|
Report No. : |
303485 |
|
Report Date : |
21.01.2015 |
IDENTIFICATION DETAILS
|
Name : |
HONG KONG CAPITAL CO. |
|
|
|
|
Registered Office : |
Room 9, 12/F., Flat A2F2, Phase 2, Hang Fung Industrial Building, 2G Hok
Yuen Street, Hunghom, Kowloon |
|
|
|
|
Country : |
Hong Kong |
|
|
|
|
Date of Incorporation : |
14.04.1994 |
|
|
|
|
Com. Reg. No.: |
17986419-000-04 |
|
|
|
|
Legal Form : |
Sole Proprietorship |
|
|
|
|
Line of Business : |
Manufacturer, Importer and Exporter of All Kinds of Diamonds. |
|
|
|
|
No. of Employee : |
3 (Including Associate) |
RATING & COMMENTS
|
MIRA’s Rating : |
B |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
|
Status : |
Small Company |
|
Payment Behaviour : |
Slow but correct |
|
Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2014
|
Country Name |
Previous Rating (30.06.2014) |
Current Rating (30.09.2014) |
|
Hong Kong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
|
Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
|
Restricted |
C2 |
|
Off-credit |
D |
HONG KONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy,
highly dependent on international trade and finance - the value of goods and
services trade, including the sizable share of re-exports, is about four times
GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on
only four commodities, whether imported or produced locally: hard alcohol,
tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping
laws. Hong Kong's open economy left it exposed to the global economic slowdown
that began in 2008. Although increasing integration with China, through trade,
tourism, and financial links, helped it to make an initial recovery more
quickly than many observers anticipated, its continued reliance on foreign
trade and investment leaves it vulnerable to renewed global financial market
volatility or a slowdown in the global economy. The Hong Kong government is
promoting the Special Administrative Region (SAR) as the site for Chinese
renminbi (RMB) internationalization. Hong Kong residents are allowed to
establish RMB-denominated savings accounts; RMB-denominated corporate and
Chinese government bonds have been issued in Hong Kong; and RMB trade
settlement is allowed. The territory far exceeded the RMB conversion quota set
by Beijing for trade settlements in 2010 due to the growth of earnings from
exports to the mainland. RMB deposits grew to roughly 12% of total system
deposits in Hong Kong by the end of 2013. The government is pursuing efforts to
introduce additional use of RMB in Hong Kong financial markets and is seeking to
expand the RMB quota. The mainland has long been Hong Kong's largest trading
partner, accounting for about half of Hong Kong's total trade by value. Hong
Kong's natural resources are limited, and food and raw materials must be
imported. As a result of China's easing of travel restrictions, the number of
mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9
million in 2012, outnumbering visitors from all other countries combined. Hong
Kong has also established itself as the premier stock market for Chinese firms
seeking to list abroad. In 2012 mainland Chinese companies constituted about
46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for
about 57.4% of the Exchange's market capitalization. During the past decade, as
Hong Kong's manufacturing industry moved to the mainland, its service industry
has grown rapidly. Credit expansion and tight housing supply conditions have
caused Hong Kong property prices to rise rapidly; consumer prices increased by
more than 4% in 2013. Lower and middle income segments of the population are
increasingly unable to afford adequate housing. Hong Kong continues to link its
currency closely to the US dollar, maintaining an arrangement established in
1983. In 2013, Hong Kong and China signed new agreements under the Closer
Economic Partnership Agreement, adopted in 2003 to forge closer ties between
Hong Kong and the mainland. The new measures, effective from January 2014,
cover services and trade facilitation, and will improve access to the
mainland's service sector for Hong Kong-based companies.
|
Source
: CIA |
HONG KONG CAPITAL
CO.
ADDRESS: Room 9, 12/F., Flat A2F2, Phase 2, Hang
Fung Industrial Building, 2G Hok Yuen Street, Hunghom, Kowloon, Hong Kong.
PHONE: 852-2333 2407, 2330 8619
FAX: 852-2721
0173, 2330 8824
E-MAIL: hongkongcapital11@yahoo.com
Manager: Mr. Rajendrakumar
Jayantilal Soni
Establishment: 14th April, 1994.
Organization: Sole
Proprietorship.
Capital: Not disclosed.
Business Category: Diamond
Trader.
Employee: 3. (Including associate)
Main Dealing Banker: Wing Lung
Bank Ltd., Hong Kong.
Banking Relation: Satisfactory.
HONG KONG
CAPITAL CO.
Head Office:-
Room 9, 12/F., Flat A2F2, Phase 2, Hang Fung Industrial Building,
2G Hok Yuen Street, Hunghom, Kowloon, Hong Kong.
Mailing Address:-
P.O. Box 86207, Tsim Shat Tsui Post Office, Kowloon, Hong Kong.
Associated
Company:-
Ronak Gems, Hong Kong. (Same
address and same owner)
17986419-000-04
Manager: Mr. Rajendrakumar
Jayantilal Soni
Name: Mr. Rajendrakumar
Jayantilal SONI
Residential Address: 14/F., Front
Portion, Ocean View Court, 25 Chatham Road, Tsimshatsui, Kowloon, Hong Kong.
The subject was established on 14th April, 1994 as a sole proprietorship
concern owned by Mr. Kamlesh Jivanbhai Shah under the Hong Kong Business
Registration Regulations.
The following table shows the changes of the partners:-
|
Name |
Incoming Date |
Outgoing Date |
|
Kamlesh Jivanbhai SHAH |
14-04-1994 |
18-07-2001 |
|
Rajendrakumar Jayantilal SONI |
01-08-1994 |
04-09-1994 |
|
Abdul Samad Ibrahim SOLKAR |
01-08-1994 |
20-08-1995 |
|
Prakash Kirtilal MEHTA |
17-07-2001 |
11-10-2001 |
Initially the subject’s registered address was located at “Unit D &
E, 16/F., Cameron Plaza, 23-25A Cameron Road, Tsimshatsui, Kowloon, Hong Kong”
moved to “Room 108, 1/F., Wing On Plaza, 62 Mody Road, Tsimshatsui East,
Kowloon, Hong Kong” in September 1998; to “Flat 7 & 8, 8/F., Guardforce
Centre, 3 Hok Yuen Street East, Hunghom, Kowloon, Hong Kong” in May 2004;
to “14/F., Front Portion, Ocean View Court, 25 Chatham Road, Tsimshatsui,
Kowloon, Hong Kong” where is the residential address of the sole proprietor in
July 2004; to “Flat B, 7/F., Golden Mansion, 83-85 Chatham Road, Tsimshatsui,
Kowloon, Hong Kong” in August 2005; to “Flat F, 26/F., Block 1, Royal
Peninsula, 8 Hung Lai Road, Hunghom, Kowloon, Hong Kong” in July 2007; to
“Flat D, 18/F., Block 1” of the same building in July 2008; to “Flat G, 3/F.,
Block 2” of the same building in December 2009; and further moved to “Flat J,
3/F., Block 2” of the same building in January 2010.
The subject moved to the present address in late October 2013.
Apart from these, neither material change nor amendment has been ever
traced and noted.
Activities: Manufacturer,
Importer and Exporter.
Lines: All kinds of
diamonds.
Employee: 3. (Including associate).
Raw Materials: India, Belgium,
other European countries
Markets: Hong Kong,
other Asian countries, North America, Western Europe.
Terms/Sales: COD or as per
contracted.
Terms/Buying: L/C, D/P, T/T
Capital: Not disclosed.
Profit or Loss: Making a small
profit every year.
Condition: Keeping in a normal
condition.
Facilities: Making fairly active
use of general banking facilities.
Payment: Met trade commitments as
contracted.
Commercial Morality:
Satisfactory.
Bankers:-
Wing Lung Bank Ltd., Hong Kong.
DBS Bank (Hong Kong) Ltd., Hong Kong.
Standing: Small.
Hong Kong Capital Co. is a sole proprietorship owned and operated by
Mr. Rajendrakumar Jayantilal Soni who is an Indian. Soni retired from the subject in September
1994 but joined in again in October 2001.
Now, the subject is still controlled by him. He is a Hong Kong ID Card holder and has got
the right to reside in Hong Kong permanently.
He is also manager of the subject.
The subject’s registered address last time was located at Flat J, 3/F.,
Block 2, Royal Peninsula, 8 Hung Lai Road, Hunghom, Kowloon, Hong Kong. This office was in a residential building. The subject moved to the present address in
late October 2013. Its phone number is
852-2330 8619.
The subject’s mailing address is “P.O. Box 86207, Tsim Sha Tsui Post
Office, Kowloon, Hong Kong”.
The subject is a diamond trader.
It is dealing in fine coloured diamonds.
Products include fancy coloured diamonds, unusual rose cut and briolette
cut diamonds and all kinds of loose diamonds.
Diamonds are chiefly imported from India, Belgium and the other European
countries. Most of the commodities are
polished and cut diamonds. Polished and
cut diamonds are marketed in Hong Kong, exported or re‑exported to Japan,
the other Asian countries, Europe, the Middle East and North America. Business is rather active.
The subject is able to make a small profit in the past years.
Soni is also the sole proprietor of another diamond trading firm known
as Ronak Gems. This firm was set up on
30th October, 1989 and also located at the same address of the subject. Ronak Gems and the subject are engaged in the
same lines of business, more or less.
Ronak Gems is also a gemstone trader.
It is dealing with different customers.
The subject is able to maintain a number of regular suppliers and
foreign customers.
The old partner of the subject Mr. Kamlesh Jivanbhai Shah retired from
the subject on 18th July, 2001. On 23rd
June, 2001 he set up his own business known as “In Collection” in Hong
Kong. In Collection is also a diamond
trader.
On the whole, since the history of the subject in Hong Kong is over
twenty years and nine months, consider it good for normal business engagements.
DIAMOND INDUSTRY – INDIA
-
From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
-
The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
-
The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
-
Some of the basic traits of family run business enterprises
include spirit of entrepreneurship, mutual trust lowers transaction costs,
small, nimble and quick to react, information as a source of advantage and
philanthropy.
-
Family owned diamond businesses need to improve on many
fronts including higher standard of corporate governance, long-term performance
– focused strategies, modern management and technology.
-
Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
-
Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by
28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
-
The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.61.85 |
|
|
1 |
Rs.93.27 |
|
Euro |
1 |
Rs.71.57 |
INFORMATION DETAILS
|
Analysis Done by
: |
KAR |
|
|
|
|
Report Prepared
by : |
TPT |
RATING EXPLANATIONS
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
|
71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
|
56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
|
26-40 |
B |
Capability to
overcome financial difficulties seems comparatively below average. |
Small |
|
11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
|
<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
|
-- |
NB |
New Business |
-- |
This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.