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Report No. : |
325746 |
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Report Date : |
05.06.2015 |
IDENTIFICATION DETAILS
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Name : |
JEEL DIAM LTD. |
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Registered Office : |
Room 1503, 15/F., Rise Commercial Building, 5-11 Grannville Circuit, Tsimshatsui, Kowloon |
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Country : |
Hong Kong
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Date of Incorporation : |
13.01.2010 |
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Com. Reg. No.: |
51675185 |
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Legal Form : |
Private Limited Company. |
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Line of Business : |
Importer, Exporter and Wholesaler of all kinds of Diamonds. |
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No. of Employees : |
3 |
RATING & COMMENTS
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MIRA’s Rating : |
Ba |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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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 – December 31, 2014
|
Country Name |
Previous Rating (30.09.2014) |
Current Rating (31.12.2014) |
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Hong Kong |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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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 40.7 million in 2013, 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 48.5% of the firms listed on the Hong Kong Stock Exchange and accounted for about 56.9% 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. As of year-end 2014, the Democracy protests that began in late September probably will have some adverse effects on economic growth, particularly retail sales.
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Source
: CIA |
JEEL
DIAM LTD.
Address: Room 1503, 15/F., Rise Commercial Building, 5-11 Grannville Circuit, Tsimshatsui, Kowloon, Hong Kong.
Phone: 852-3114 7994
Fax: 852-3114 7995
E-Mail: jeeldiamltd@hotmail.com
Managing Director: Mr. Rajeshkumar Naranbhai Bhadiyadra
Incorporated on: 13th January, 2010.
Organization: Private Limited Company.
Issued Share Capital: HK$8,000,000.00
Business Category: Diamond Trader.
Employees: 3.
Main Dealing Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: -
Registered Head
Office:-
Room 1503, 15/F., Rise Commercial Building, 5-11 Grannville Circuit, Tsimshatsui, Kowloon, Hong Kong.
Associated
Companies:-
Hind Gems B.V.B.A., Belgium.
Pankaj Diamond, India.
SRB Diam (H.K.), Hong Kong.
SRB Diam Inc., USA.
Sumit Diam (HK) Ltd.
Flat A, 7/F., Houng Sun Building, 45-47 Carnarvon Road, Tsimshatsui, Kowloon, Hong Kong.
51675185
1410843
Managing Director: Mr. Rajeshkumar Naranbhai Bhadiyadra
HK$8,000,000.00
(As per registry
dated 13-01-2015)
|
Name |
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No. of shares |
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Umesh Vallabhbhai BHADIYADRA |
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1,000,000 |
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Rajeshkumar Naranbhai BHADIYADRA |
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7,000,000 |
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––––––––– |
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Total: |
8,000,000 ======== |
(As per registry
dated 13-01-2015)
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Name (Nationality) |
Address |
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Rajeshkumar Naranbhai BHADIYADRA |
Flat A, 7/F., Houng Sun Building, 45-47 Carnarvon Road, Tsimshatsui, Kowloon, Hong Kong. |
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Umesh Vallabhbhai BHADIYADRA |
7 Mahaeshwar Soc., Near Baroda Pristage Varachha Road, Surat, India. |
(As per registry
dated 13-01-2015)
|
Name |
Address |
Co. No. |
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Champion Corporate Ltd. |
Unit 907, 9/F., Silvercord Tower 2, 30 Canton Road, Tsimshatsui, Kowloon, Hong Kong. |
0657221 |
The subject was incorporated on 13th January, 2010 as a private limited liability company under the Hong Kong Companies Ordinance.
The subject was formerly located at Room 515, 5/F., Tower A, New Mandarin Plaza, 14 Science Museum Road, Tsimshatsui East, Kowloon, Hong Kong. Moved to Unit A, 8/F., Kam Chung Commercial Building, 19‑21 Hennessy Road, Wanchai, Hong Kong in May 2012.
The subject moved to the present address in late 2012.
Apart from these, neither material change nor amendment has been ever traced and noted.
Activities: Importer, Exporter and Wholesaler.
Lines: All kinds of diamonds
Employees: 3.
Commodities Imported: India, other Asian countries
Markets: Hong Kong, China, other Asian countries, Europe
Terms/Sales: L/C, T/T
Terms/Buying: L/C, T/T, D/P
Issued Share Capital: HK$8,000,000.00
Date of Security Over Deposits with the Bank: 06-11-2012
Amount: To secure all monies in respect of banking facilities owing at any time plus interest and all expenses.
Property: Initially US$500,000 or equivalent and all monies whether now or hereafter standing to the credit of the Company’s deposit with the Bank under deposit number: 053-082996
Mortgagee: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Profit or Loss: Made a small profit in 2014.
Condition: Keeping in a normal manner.
Facilities: Making rather active use of general banking facilities.
Payment: Met trade commitments as contracted.
Commercial Morality: Satisfactory.
Banker: The Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Small.
Jeel Diam Ltd. formerly was wholly-owned by Mr. Pankaj Himatbhai Bhadiyadra who was an Indian. On 8th March, 2010, P. H. Bhadiyadra transferred his share to Mr. Umesh Vallabhbhai Bhadiyadra. In early 2014, the subject issued 7 million ordinary shares which were allotted to Rajeshkumar Naranbhai Bhadiyadra. Now, the subject is 12.5% owned by Mr. U V Bhadiyadra and 87.5% owned by Mr. R N Bhadiyadra.
Belonging to the same family, the two Bhadiyadras are also directors of the subject. Being an India passport holder, Mr. U V Bhadiyadra does not have the right to reside in Hong Kong permanently. However, R N Bhadiyadra is a Hong Kong ID holder.
The subject commenced business in January 2010. It is a diamond trader. It is trading in GIA certified diamonds, loose polished diamonds, rough diamonds Most of its products range from 0.01 to 3.00 carats, 1F -1I clarity and D-M colour and in almost all clarities and round shape.
The subject has had an associated company SRB Diam (H.K.) which is also a diamond trader. SRB Diam (H.K.) is a member of SRB Diam Group [SRB Diam]. The subject is engaged in the same lines of business as SRB Diam, more or less.
SRB Diam has got its factory in India while its prime markets are China, Hong Kong, and the United States. Its products include bracelets, brooches, earrings, necklaces, rings, pendants SRB Diam is one of the leading diamond manufacturing and marketing companies with sales offices in the United Sates and a plant in India. SRB Diam is the marketing arm of Pankaj Diamond which was established by Mr. R N Bhadiyadra. Pankaj Diamond is one of the top ten diamond exporters in the non-sightholder category in India.
The subject is operated by the Bhadiyadra family.
Currently, SRB Diam has had associated companies in Surat, India and Belgium, besides in the United States. SRB Diam is specialized in round brilliant diamonds, WS to I2, from 0.01 to 0.5 cts with ideal cut and white in colour.
The subject’s products are provided by SRB Diam in India. Products are marketed in Asia, Europe and the United States.
The subject is fully supported by SRB Diam and Pankaj Diamond in India. Its history in Hong Kong is over five years and four months.
The subject has had another associated company known as Sumit Diam (HK) Ltd. [Sumit Diam] which is also a diamond trader. This company is located at: Flat A, 7/F., Houng Sun Building, 45-47 Carnarvon Road, Tsimshatsui, Kowloon, Hong Kong. However, this is the residential address of R N Bhadiyadra and Mrs. Shital Bhadiyadra.
The contact person of Sumit Diam is Mrs. Shital Bhadiyadra who is a family member of Bhadiyadra.
On the whole, consider the subject good for business engagements.
DIAMOND INDUSTRY – INDIA
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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.
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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.
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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.
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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.
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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.
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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.
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Excerpts from Times of India dated 30th
October 2010 is as under –
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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.
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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
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.64.17 |
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1 |
Rs.98.30 |
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Euro |
1 |
Rs.72.25 |
INFORMATION DETAILS
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Analysis Done by
: |
SUB |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest capability
for timely payment of interest and principal sums |
Unlimited |
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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 |
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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 |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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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 |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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-- |
NB |
New Business |
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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.