MIRA INFORM REPORT

Report No. :	332005
Report Date :	18.07.2015

IDENTIFICATION DETAILS

Name :	IBM INDIA PRIVATE LIMITED (w.e.f. 14.02.2006)
Formerly Known As :	IBM GLOBAL SERVICES INDIA PRIVATE LIMITED
Registered Office :	No.12, Subramanya Arcade, Bannerghatta Main Road, Bangalore-560029, Karnataka
Tel. No.:	91-80-4068300
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	13.06.1997
Com. Reg. No.:	08-022382
Capital Investment / Paid-up Capital :	Rs. 2304.000 Million
CIN No.: [Company Identification No.]	U72200KA1997PTC022382
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAACI4403L
Legal Form :	Private Limited Liability Company
Line of Business :	The Company is primarily engaged in the business of selling computer systems, software and Information technology services and carrying out lease financing activity for Company's products.
No. of Employees :	Information declined by the management

RATING & COMMENTS

MIRA’s Rating :

A (62)

RATING		STATUS	PROPOSED CREDIT LINE
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

Maximum Credit Limit :	USD 240000000
Status :	Good
Payment Behaviour :	Regular
Litigation :	Exist
Comments :	Subject is a part of well-known multinational “International Business Machines Corp Inc., USA.” It is well-established company having good track record. From, the financials for the year ended 2014, the company have shown healthy operations, and strong financial risk profile and capital structure marked by strong liquidity, negligible debt and comfortability working capital cycle. Rating further drive strength from its strong financial and managerial support from its parent company, established reputation in the market and its brand image. Trade relations are reported as fair. Business is active. Payments are reported to be regular and as per commitments. In view of reputed brand name and support from “IBM” US its parent company, the subject can be considered good for business dealings at usual trade terms and conditions.

ECGC Country Risk Classification List – March 31, 2015

Country Name	Previous Rating (31.12.2014)	Current Rating (31.03.2015)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	Not Available

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2013.

INFORMATION DENIED

Management non-cooperative (91-80-40683000)

LOCATIONS

Registered Office :	No.12, Subramanya Arcade, Bannergatta Road, Bangalore - 560029, Karnataka, India
Tel. No.:	91-80-4068300
Fax No.:	91-80-22063871
E-Mail :	subhsrid@in.ibm.com response@in.ibm.com
Website :	www.ibm.com
Factory :	201, Villianoor Road, 45A, National Highway, Moolakulam, Pondichery – 605010, Tamilnadu, India

DIRECTORS

As on 22.09.2014

Name :	Mrs. Vanitha Narayanan
Designation :	Managing Director
Address :	Flat No. 2B Crescent Park, No 26/1 Resthouse Crescent Road, Bangalore, 560001, United States of America
Date of Birth/Age :
Date of Appointment :	04.01.2013
DIN No.:	06488655
Name :	Mr. Rajesh Nambiar
Designation :	Director
Address :	Adarsh Vista Villa No.70, Basvanagar Off, Airport Road, Bangalore- 560037, Karnataka, India
Date of Birth/Age :	15.09.1967
Date of Appointment :	20.03..2007
DIN No.:	01449425
Name :	Mr. Ramanan Ravi Kumar
Designation :	Director
Address :	493 Embassy Heritage, 62/2-1 8^th Main, Malleswaram, Bangalore- 560055, Karnataka, India
Date of Birth/Age :	22.11.1960
Date of Appointment :	29.09.2007
DIN No.:	01824555
Name :	Mr. Amit Sharma
Designation :	Director
Address :	209, Defence Colony, 3^rd Main, 5^th Cross, Indira Nagar, Bangalore-560038, Karnataka, India
Date of Birth/Age :	28.08.1970
Date of Appointment :	15.09.2010
DIN No.:	00404377
Name :	Mrs. Anita Sanghi
Designation :	Director
Address :	Flat 1, Sai Krupa Heera, CV, Raman Nagar, Bangalore – 560093, Karnataka, India
Date of Birth/Age :	11.04.1966
Date of Appointment :	15.09.2010
DIN No.:	01638548
Name :	Mr. Dilpreet Singh
Designation :	Director
Address :	H. No. 1347, Chakarpur, D.L.F. Phase - 4, Block - B, Gurgaon, 122010, Haryana, India
Date of Birth/Age :	17.06.1958
Date of Appointment :	30/09/2013
DIN No.:	03042448

KEY EXECUTIVES

Name :	Mrs. Subhashree Sridharan
Designation :	Company Secretary
Address :	T-3, Sri Mahalajkshmi Apartments, 30-31, 5^th Main, 8^th Cross, Malleswaram, Bangalore-560003, Karnataka, India
Date of Birth/Age :	29.05.1973
Date of Appointment :	05.01.2007
PAN No.:	ALXPS0933J

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 22.09.2014

Names of Shareholders	No. of Shares
IBM World Trade Corporation, USA	230359233
IBM World Trade Holding LLC, USA	15
Total	230359248

Equity Share Break up (Percentage of Total Equity)

As on 22.09.2014

Category	Percentage
Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is primarily engaged in the business of selling computer systems, software and Information technology services and carrying out lease financing activity for Company's products.

Products/ Services :

Item Code No.	Product Description
99733110	Computer systems, software and IT technology

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark:	Not Divulged

Customers :

Reference :	Not Divulged
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Maximum Limit Dealt :	Not Divulged
Experience :	Not Divulged
Remark:	Not Divulged

No. of Employees :

Information declined by the management

Bankers :

Bank Name	Not Divulged
Branch	Not Divulged
Person Name (With Designation)	Not Divulged
Contact Number	Not Divulged
Name of Account Holder	Not Divulged
Account Number	Not Divulged
Account Since (Date/Year of Account Opening)	Not Divulged
Average Balance Maintained (If Possible)	Not Divulged
Credit Facilities Enjoyed (If any)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Facilities :

Secured Loan	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Long-term maturities of finance lease obligations	678.000	706.000
Total	678.000	706.000

Auditors :
Name :	Price Waterhouse and Company Chartered Accountants
Address :	Plot No 14, Block EPSector V Saltlake Electronic Complex Bidden nagar, Kolkata-700091, West Bengal, India
PAN N Income-tax PAN of auditor or auditor's firm :	AAHFP0187A
Memberships :	--
Collaborators :	--
Ultimate holding company:	· International Business Machines Corporation, USA (IBM Corp)
	·
Holding company	· IBM World Trade Corporation, USA (IBM WTC)
	·
Subsidiary companies and Step- down subsidiary	· Telelogic India Private Limited · BigFix Software (India) Private Limited · IBM Business Consulting Service Private Limited · Unica Softtech System (India) Private Limited · Sterling Commerce Solutions India Private Limited
	·
Associate :	· IBM Daksh Business Process Services Private Limited
	·
Fellow Subsidiary Companies :	· Network Solutions Private Limited · IBM World Trade Corporation, Sri Lanka Branch · IBM United Kingdom Limited, UK · IBM World Trade Corporation, China Branch · IBM Switzerland Limited, Switzerland · IBM Technology Campus, Ireland · IBM Svenska Ab Stockholm, Sweden · IBM Singapore Pte Limited, Singapore · IBM Nederland NV, Netherlands · IBM Malaysia SDN Bhd, Malaysia · IBM Japan Limited, Japan · IBM Ireland Product Distribution Limited, Singapore Branch · IBM Global Services Integration Hub, Singapore · IBM International Holdings BV, Singapore Branch · IBM Denmark A/S · IBM Deutschland Gmbh, Germany · IBM China Company Limited, China · IBM China Investment Co Limited, China · IBM Belgium SA/NV, Belgium · IBM Australia Limited, Australia

CAPITAL STRUCTURE

As on 22.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
250,000,000	Equity Shares	Rs.10/- each	Rs. 2500.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
230,359,248	Equity Shares	Rs.10/- each	Rs. 2303.592 Million

FINANCIAL DATA

[all figures are in Rupees Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2014	31.03.2013	31.03.2012
I. EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	2304.000	2304.000	2304.000
(b) Reserves & Surplus	80502.000	63702.000	51520.000
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	82806.000	66006.000	53824.000
(3) Non-Current Liabilities
(a) long-term borrowings	836.000	762.000	716.000
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(c) Other long term liabilities	2104.000	2470.000	2916.000
(d) long-term provisions	2826.000	2690.000	1365.000
Total Non-current Liabilities (3)	5766.000	5922.000	4997.000
(4) Current Liabilities
(a) Short term borrowings	0.000	0.000	0.000
(b) Trade payables	13694.000	14133.000	11323.000
(c) Other current liabilities	20589.000	22349.000	19607.000
(d) Short-term provisions	3942.000	4408.000	4207.000
Total Current Liabilities (4)	38225.000	40890.000	35137.000
TOTAL	126797.000	112818.000	93958.000
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	18550.000	17447.000	16606.000
(ii) Intangible Assets	1282.000	1607.000	1514.000
(iii) Capital work-in-progress	109.000	53.000	161.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	1157.000	1815.000	883.000
(c) Deferred tax assets (net)	2603.000	3264.000	443.000
(d) Long-term Loan and Advances	36038.000	31820.000	22779.000
(e) Other Non-current assets	3500.000	4219.000	3485.000
Total Non-Current Assets	63239.000	60225.000	45871.000
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	1671.000	1597.000	1856.000
(c) Trade receivables	41610.000	37115.000	27990.000
(d) Cash and cash equivalents	9981.000	1253.000	4871.000
(e) Short-term loans and advances	6433.000	7489.000	8380.000
(f) Other current assets	3863.000	5139.000	4990.000
Total Current Assets	63558.000	52593.000	48087.000
TOTAL	126797.000	112818.000	93958.000

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		Income
		Other Income
		TOTAL (A)	206159.000	199240.000	178617.000
Less	EXPENSES
		TOTAL (B)	173848.000	174946.000	150119.000
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		32311.000	24294.000	28498.000
Less	FINANCIAL EXPENSES (D)		147.000	223.000	303.000
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		32164.000	24071.000	28195.000
Less/ Add	DEPRECIATION/ AMORTISATION (F)		8329.000	8080.000	7340.000
	PROFIT BEFORE TAX (E-F) (G)		23835.000	15991.000	20855.000
Less	TAX (H)		7035.000	3809.000	5647.000
	PROFIT AFTER TAX (G-H) (I)		16800.000	12182.000	15208.000
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		62820.000	50638.000	35430.000
	BALANCE CARRIED TO THE B/S		79620.000	62820.000	50638.000
	Earnings Per Share (Rs.)		72.93	52.88	66.02

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	107.000	10.000	1049.000
Cash generated from operations	NA	NA	NA
Net cash flows from (used in) operation	25273.000	19280.000	20240.000

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	8.15	6.11	8.51
Operating Profit Margin (PBIDT/Sales)	(%)	15.67	12.19	15.95
Return on Total Assets (PBT/Total Assets}	(%)	19.39	14.85	22.55
Return on Investment (ROI) (PBT/Networth)		0.29	0.24	0.39
Debt Equity Ratio (Total Debt /Networth)		0.01	0.01	0.03
Current Ratio (Current Asset/Current Liability)		1.66	1.29	1.37

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Share Capital	2304.000	2304.000	2304.000
Reserves & Surplus	51520.000	63702.000	80502.000
Money received against share warrants	0.000	0.000	0.000
Share Application money pending allotment	0.000	0.000	0.000
Net worth	53824.000	66006.000	82806.000
long-term borrowings	716.000	762.000	836.000
Short term borrowings	0.000	0.000	0.000
Current maturities of long-term debts	1049.000	10.000	107.000
Total borrowings	1765.000	772.000	943.000
Debt/Equity ratio	0.033	0.012	0.011

YEAR-ON-YEAR GROWTH

Year on Year Growth	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Total Income	178617.000	199240.000	206159.000
		11.546	3.473

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Total Income	178617.000	199240.000	206159.000
Profit	15208.000	12182.000	16800.000
	8.51%	6.11%	8.15%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check List by Info Agents	Available in Report (Yes / No)
1]	Year of establishment	Yes
2]	Constitution of the entity -Incorporation details	Yes
3]	Locality of the entity	Yes
4]	Premises details	No
5]	Buyer visit details	--
6]	Contact numbers	Yes
7]	Name of the person contacted	No
8]	Designation of contact person	No
9]	Promoter’s background	Yes
10]	Date of Birth of Proprietor / Partners / Directors	Yes
11]	Pan Card No. of Proprietor / Partners	No
12]	Voter Id Card No. of Proprietor / Partners	No
13]	Type of business	Yes
14]	Line of Business	Yes
15]	Export/import details (if applicable)	No
16]	No. of employees	No
17]	Details of sister concerns	Yes
18]	Major suppliers	No
19]	Major customers	No
20]	Banking Details	No
21]	Banking facility details	No
22]	Conduct of the banking account	--
23]	Financials, if provided	Yes
24]	Capital in the business	Yes
25]	Last accounts filed at ROC, if applicable	Yes
26]	Turnover of firm for last three years	Yes
27]	Reasons for variation <> 20%	--
28]	Estimation for coming financial year	No
29]	Profitability for last three years	Yes
30]	Major shareholders, if available	Yes
31]	External Agency Rating, if available	No
32]	Litigations that the firm/promoter involved in	Yes
33]	Market information	--
34]	Payments terms	No
35]	Negative Reporting by Auditors in the Annual Report	No

LITIGATION DETAILS

HIGH COURT OF KARNATAKA -BENGALURU BENCH
ITA 210/2014
Petitioner/Appnt. Name	THE COMMISSIONER OF INCOME-TAX
Respondent/Defnt. Name	M/S IBM INDIA PVT LTD
Petnr./Appnt. Advocate	K V ARAVIND
Respnt./Defnt. Advocate	--
Date Filed	31/05/2014
District	Bengaluru City
Stage	HEARING
Last Posted For	ADMISSION
Last Action Taken	ADMIT/RULE
Last Date of Action	13/07/2015
Next Hearing Date	--
Latest Order	--
Before Hon'ble Judge/s	VINEET SARANARAVIND KUMAR

UNSECURED LOAN

Particular	31.03.2014 (Rs. in Million)	31.03.2013 (Rs. in Million)
Long-term Borrowings
Other loans and advances	158.000	56.000
Total	158.000	56.000

RESULTS OF OPERATIONS

Total revenue increased to Rs. 206,159 Million from Rs. 199,240 Million in the previous year, at a growth rate of around 3%. The operating profits increased by about 33% from Rs. 24,294 Million to Rs. 32,311 Million due to increase in other incomes, increase in exports and lower operating expenses. The profit after tax increased to Rs. 16,800 Million from Rs. 12,182 Million.

GENERAL INFORMATION

IBM India Private Limited (the "Company’) is a limited liability company incorporated in India. The Company is a wholly-owned subsidiary of International Business Machines Corporation, USA (‘IBM Corporation’), its ultimate holding company. The Company is primarily engaged in the business of selling computer systems, software and Information technology services and carrying out lease financing activity for Company's products.

BUSINESS OPERATIONS & OUTLOOK

The world is transforming and so are our clients. We need to evolve. Our recently launched marketing campaign “Made with IBM, the new IBM brand platform that provides evidence of how our clients are capitalizing on IBM's capabilities, like data, cloud, Watson and new ways of engaging people, through mobile and social, all underpinned by security. The number of cities that will be built, infrastructure around roads, energy, power, water and electricity is huge. This is where our whole “smarter approach to building” comes in. IBM also has a cloud computing centre inIndia. We have got private clouds that we are building for customers here. We have IBM data centre’s that support cloud.

It’s our passion to make IBM “The most essential company in the world”.

AWARDS

At the Energy Efficiency Summit 2013 hosted by Confederation of Indian Industry (CII), IBM’s Integrated Server Room (ISR) was awarded in the “ Most Innovative Energy Saving Product” category.

CII’s National Award for Excellence in Energy Management recognizes Excellence in Energy Management and rewards organizations that have made outstanding contributions in the area of energy efficiency. More than 200 Organizations across different industries from the Public and Private Sector participated in this event this year. CII’s panel of judges and annual event award participants selected the winners, looking atdata points including actual energy savings, installed sites and customer references.

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	90191839	06/08/1997	1,939,800,000.00	CANARA BANK	OVERSEAS BRANCH; M G ROAD, BANGALORE ], Karnataka - 560001, INDIA	-
2	90191617	22/03/1996	190,000,000.00	THE HONGKONG AND SHANGHAI BANKING CORPORTION LIMITED	BANGLORE BRANCH; MANIPAL CENTRE, 47; DICSON ROAD,  BANGALORE, Karnataka - 560042, INDIA	-
3	90193966	23/12/1995	51,000,000.00	STATE BANK OF INDIA	INDUSTRIAL FINANCE BRANCH, MIDFORD GARDEN, BANGAL  ORE, Karnataka - 560001, INDIA	-
4	90191534	16/11/1995	51,000,000.00	CITI BANK N.A.	ANNA SALAI, CHENNAI, Tamil Nadu, INDIA	-
5	90191520	27/10/1995	100,000,000.00	BANQUE NATIONAL DE PARIS	S G 1A/B ; SOUTH BLOCK, MANIPAL CENTRE, BANGALORE  , Karnataka - 560042, INDIA	-
6	90193951	17/10/1995	42,000,000.00	STATE BANK OF INDIA	INDUSTRIAL FINANCE BRANCH, MIDFORD GARDEN, BANGLO  RE, Karnataka - 560001, INDIA	-
7	90191466	12/07/1995	150,000,000.00	EXPORT-IMPORT BANK OF INDIA	CENTRE ONE -21ST FLOOR; WORLD TRADE CENTRE, CUFFE  PARADE, MUMBAI, Karnataka - 400005, INDIA	-
8	90191457	27/06/1995	42,000,000.00	CITI BANK N. A.	ANNA SALAI, CHENNAI, Tamil Nadu, INDIA	-
9	90191380	01/03/1995	180,000,000.00	BANK OF BARODA	CORPORATE BANKING BRANCH, RICHMOMD ROAD, BANGLORE  , Karnataka - 560025, INDIA	-
10	90193859	16/12/1996 *	61,000,000.00	CANARA BANK	OVERSEAS BRANCH; M G ROAD, BANGALORE, Karnataka - 560001, INDIA	-

CONTINGENT LIABILITIES:

(Rs. in million)

PARTICULARS	31.03.2014	31.03.2013
(a) Value Added tax, Service tax and other matters [Amount paid under protest Rs.80	5953.000	2253.000
(b) Income tax matters under dispute [Amount paid under protest Rs. 17,423	23197.000	13602.000
(c) Claims against the company not acknowledged as debts	9254.000	2892.000
Total	38404.000	18747.000

Notes:

Income tax matters under dispute include disputed taxes on account of transfer pricing adjustments made by the Tax Authorities under Section 92CA of the Income Tax Act, 1961, and other adjustments for various assessment years.

The Company has been advised that it has a good defence in respect of the disallowances and adjustments made. Contingent Liabilities disclosed above represent possible obligations where it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligations.

It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the above pending resolution of the respective proceedings.

Claims made against the Company in the normal course of business

The income-tax return filed by the Company for FY 2008-09 was taken up for regular assessment under section 143(3) of the Income-tax Act, 1961 and the Joint Commissioner of Income tax, LTU ('JCIT') has passed draft assessment order dated

October 28, 2013 for the above referred year. The JCIT has made various adjustments/disallowances in the draft assessment order and has assessed a tax demand of Rs 53,577. Against the draft assessment order, the Company had preferred an objection before the Dispute Resolution Panel('DRP').

Additionally, during the course of the proceedings, the Company had exercised its option to opt out of the Large Tax Payer Unit ('LTU') jurisdiction with effect from April 1, 2013; however, the tax department has granted such permission with effect from April 1, 2014. Aggrieved by the aforesaid extension of time limit under LTU jurisdiction, the Company filed a Writ Petition before the Karnataka High Court. The High Court vide its order dated April 28, 2014 and June 16, 2014 has granted stay on the aforesaid draft assessment order and all proceedings emanating from the draft assessment order. In addition the company has filed Writ Petition before Karnataka High Court on January 31, 2014 challenging the validity of the draft assessment order on various grounds. In view of the same, DRP proceedings for the captioned year have been stayed till further orders of the High Court in this regard.

The Company believes that it has a strong defense against the above mentioned draft assessment order and accordingly does not expect any liability to arise in this regard.

FIXED ASSETS

• Goodwill
• Computer Software
• Leasehold Land
• Freehold Building
• Leasehold Improvements
• Plant and Machinery
• Computer Equipments
• Furniture and Fixture
• Vehicles

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.63.50
UK Pound	1	Rs.99.42
Euro	1	Rs.69.14

INFORMATION DETAILS

Information Gathered by :	PRT
Analysis Done by :	KAS
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	6
OPERATING SCALE	1~10	7
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	8
--PROFITABILITY	1~10	6
--LIQUIDITY	1~10	8
--LEVERAGE	1~10	7
--RESERVES	1~10	8
--CREDIT LINES	1~10	7
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--LITIGATION	YES/NO	YES
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		62

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%)

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	--

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