MIRA INFORM REPORT

 

 

Report No. :

328284

Report Date :

23.06.2015

 

IDENTIFICATION DETAILS

 

Name :

LYPSA GEMS AND JEWELLERY LIMITED (w.e.f. 07.03.2012)

 

 

Formerly Known As :

MALOO GEMS AND JEWELLERY LIMITED (w.e.f. 12.01.2010)

 

MALOO POLYMERS LIMITED

 

 

Registered Office :

2nd Floor, Diamond Park Building, Opposite Ambika Nagar Society, Dargah Road, Navsari – 396445, Gujarat

Tel. No.:

91-2637-280365

 

 

Country :

India

 

 

Financials (as on) :

31.03.2015

 

 

Date of Incorporation :

30.11.1995

 

 

Com. Reg. No.:

04-028270

 

 

Capital Investment / Paid-up Capital :

Rs.210.600 Million

 

 

CIN No.:

[Company Identification No.]

L28990GJ1995PLC028270

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

SRTM05742C

 

 

PAN No.:

[Permanent Account No.]

AABCM0649K

 

 

Legal Form :

A Public Limited Liability Company. The Company’s Shares are Listed on the Stock Exchanges.

 

 

Line of Business :

Manufacturer, Trader, Exporter and Importer of Diamonds.

 

 

No. of Employees :

450 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba (45)

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Usually correct

 

 

Litigation :

Clear

 

 

Comments :

Subject is an established company having satisfactory track record.

 

General financial position of the company seems to be sound and healthy.

 

Trade relations are fair. Business is active. Payment terms are reported to be usually correct.

 

The company can be considered for business dealings at usual trade terms and condition.

 

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 – 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

ICRA

Rating

Long Term Interchangeable= BBB-

Rating Explanation

Moderate degree of safety and moderate credit risk.

Date

March, 2015

 

 

Rating Agency Name

ICRA

Rating

Short Term Interchangeable= A3

Rating Explanation

Moderate degree of safety and higher credit risk.

Date

March, 2015

 

 

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 PARTED BY

 

Name :

Mr. Hemant Rathod

Designation :

Finance Head

Contact No.:

91-9869561862

Date :

22.06.2015

 

LOCATIONS

 

Registered Office/ Factory :

2nd Floor, Diamond Park Building, Opposite Ambika Nagar Society, Dargah Road, Navsari – 396445, Gujarat, India

Tel. No. :

91-2637-280365

Mobile No.:

91-9869561862 (Mr. Hemant Rathod)

Fax No. :

Not Available

E-Mail :

info@lypsa.in

Website :

www.lypsa.in

Area :

7000 sq. ft.

Location :

Rented

Locality :

Commercial

 

 

Corporate Office :

BC-6021 Bharat Diamond Bourse, Bandra Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra, India

Tel. No. :

91-22-67413600

Fax No. :

91-22-67413614

E-Mail :

info@lypsa.in

 

 

Factory :

Wing A, Second Block, Holl No.202 to 302, Orchid Complex, Opposite HDFC Bank, Chhapi-Siroj-Pura Road, Vadgah Banas Katha, Gujarat, India 

Area :

6000 sq. ft.

Location :

Owned

Locality :

Industrial 

 

 

DIRECTORS

 

AS ON 31.03.2014

 

Name :

Mr. Manish Jaysukhlal Janani

Designation :

Managing Director

 

 

Name :

Mr. Dipankumar Babulal Patwa

Designation :

Chairman

 

 

Name :

Mr. Jeeyan Dipankumar Patwa

Designation :

Executive Director

Date of Birth/Age :

14.08.1989

Qualification :

·         BSC Management

·         MSC International Management, LSE

Date of Appointment :

23.06.2009

 

 

Name :

Mr. Ravindra Chandulal Sanghavi

Designation :

Independent and Non-Executive Director

Date of Birth/Age :

03.07.1960

Qualification :

B.Com

Date of Appointment :

23.06.2009

 

 

Name :

Mr. Ajit Mangaldas Shah

Designation :

Independent and Non-Executive Director

 

 

Name :

Mr. Bhavesh Shashikant Sheth

Designation :

Independent and Non-Executive Director

 

 

Name :

Mr. Pankajkumar Vrajlal Shah

Designation :

Independent and Non-Executive Director

 

 

KEY EXECUTIVES

 

Name :

Mrs. Neelam Maheshwari

Designation :

Company Secretary

 

 

Name :

Mr. Hemant Rathod

Designation :

Account Head

 

 

SHAREHOLDING PATTERN

 

AS ON 31.03.2015

 

Category of Shareholder

No. of Shares

Percentage of Holding

(A) Shareholding of Promoter and Promoter Group

 

 

(1) Indian

 

 

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

7585000

36.02

http://www.bseindia.com/include/images/clear.gifDirectors/Promoters & their Relatives & Friends

7585000

36.02

http://www.bseindia.com/include/images/clear.gifSub Total

7585000

36.02

http://www.bseindia.com/include/images/clear.gif(2) Foreign

 

 

Total shareholding of Promoter and Promoter Group (A)

7585000

36.02

(B) Public Shareholding

 

 

http://www.bseindia.com/include/images/clear.gif(1) Institutions

 

 

http://www.bseindia.com/include/images/clear.gifForeign Institutional Investors

207000

0.98

http://www.bseindia.com/include/images/clear.gifSub Total

207000

0.98

http://www.bseindia.com/include/images/clear.gif(2) Non-Institutions

 

 

http://www.bseindia.com/include/images/clear.gifBodies Corporate

8126245

38.59

http://www.bseindia.com/include/images/clear.gifIndividuals

 

 

Individual shareholders holding nominal share capital up to Rs.0.100 Million

1040932

4.94

Individual shareholders holding nominal share capital in excess of Rs.0.100 Million

3248602

15.43

http://www.bseindia.com/include/images/clear.gifAny Others (Specify)

852221

4.05

http://www.bseindia.com/include/images/clear.gifHindu Undivided Families

447710

2.13

http://www.bseindia.com/include/images/clear.gifNon-Resident Indians

379144

1.80

http://www.bseindia.com/include/images/clear.gifClearing Members

25367

0.12

http://www.bseindia.com/include/images/clear.gifSub Total

13268000

63.00

Total Public shareholding (B)

13475000

63.98

Total (A)+(B)

21060000

100.00

(C) Shares held by Custodians and against which Depository Receipts have been issued

0

0.00

http://www.bseindia.com/include/images/clear.gif(1) Promoter and Promoter Group

0

0.00

http://www.bseindia.com/include/images/clear.gif(2) Public

0

0.00

http://www.bseindia.com/include/images/clear.gifSub Total

0

0.00

Total (A)+(B)+(C)

21060000

0.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer, Trader, Exporter and Importer of Diamonds.

 

 

Products :

Diamonds

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

 

Products :

Polished Diamond

Countries :
  • USA
  • UK
  • Middle East
  • Gulf Countries
  • Far East
  • Europe
  • Malaysia
  • South East

 

 

Imports :

Products :

Rough Diamond

Countries :
  • Israel
  • Dubai
  • South Africa
  • Hongkong
  • Russia
  • Shanghai

 

 

Terms :

 

Selling :

Cash and Advance Payment

 

 

Purchasing :

Cash and Advance Payment

 

 

PRODUCTION STATUS – NOT AVAILABLE

 

 

GENERAL INFORMATION

 

Suppliers :

Company Name :

D. Naresh Kumar Exports Private Limited

Name of the Person :

GW 6032, Bharat Diamond Bourse, G Block, BKC, Bandra East, Mumbai – 400051, Maharashtra, India

Contact No.:

91-9821434348 (Mr. Devang Kundalia)

Since How Long Known :

15 Years

Maximum Limit Dealt :

--

Experience :

Payment Behaviour

Market Goodwill             Excellent

Overall                      

Remark :

He confirmed that we a=have very good relation with this company, no complaints.

 

 

Reference :

Maahir Gems BVBA

Address :

Hoveniersstraat 12, 2018 Antwerpen, Belgium

Name of the Person :

Mr. Ketan Khimani

Contact No.:

+32475-299853

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Reference :

Nirmal Gems DMCC

Address :

Unit No. 30-01-34, Bldg No. 3, Plot No. 550-554, J & G DMCC, PO Box 242175, Dubai, United Arab Emirates

Name of the Person :

Not Divulged

Contact No.:

+971-503797790

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Reference :

Rosy Blue (India) Private Limited

Address :

1908-09, Prasad Chambers, Opera House, Mumbai – 400004, Maharashtra, India

Name of the Person :

Mr. Narendra Thakkar

Contact No.:

91-22-66650000

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

 

Customers :

Company Name :

S. Vinodkumar Diamonds Private Limited

Name of the Person :

Office No BW- 3010, 3rd Floor, Bharat Diamond Bourse, BKC, Bandra East, Mumbai – 400051, Maharashtra, India

Contact No.:

91-22-40328080 Mr. Rahul Shah (Accountant)

Since How Long Known :

4 Years

Maximum Limit Dealt :

--

Experience :

Product Quality

Delivery Behaviour           Excellent   

Overall                      

Remark :

He informed that we are very much satisfied by their product quality and delivery behaviour.

 

 

Reference :

Shanghai Gemdem Diamond Co Limited

Address :

Block A Room 803B, No 1701 Century Boulevard, Pu Dong New Area, Post No 200122, Shanghai, China, Mr. NG Flendid

Name of the Person :

Mr. NG Flendid

Contact No.:

+86-132-6663-2713

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Reference :

Express Way International Limited

Address :

Unit 1603, 16/F, Lucky Building, 39 Welliangton Street Central, Hong Kong

Name of the Person :

Ms. Michelle Yu

Tel. No.:

+852-21406533

Fax No.:

+852-21475633

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Reference :

Kiran Gems Private Limited

Address :

FE- 5011, Bharat Diamond Bourse, BKC, Bandra East, Mumbai – 400051, Maharashtra, India

Name of the Person :

Mr. Jayesh Shah

Contact No.:

91-22-4054444

Since How Long Known :

20 Year

Experience :

Have good quality products, always delivered goods time to time.

Maximum Limit Dealt :

Depend on requirement (Rs.0.500 Million to Rs.100.000 Millions)

 

 

 

No. of Employees :

450 (Approximately)

 

 

Bankers :

Banker Name :

Bank of India

Branch :

Opera House Branch, Hermes House, Mama Parmanand Marg, Opera House, Mumbai – 400004, Maharashtra, India

Person Name (With Designation) :

Mr. Shridhar (Relationship Manager)

Contact Number :

91-22-23690160

Name of Account Holder :

Lypsa Gems and Jewellers Limited

Account Number :

007630110000016

Account Since (Date/Year of Account Opening) :

3 Years

Average Balance Maintained :

Not Divulged

Credit Facilities Enjoyed (CC/OD/Term Loan) :

CC+PC= Rs.340.000 Million

Account Operation :

Satisfactory

Remark :

As claimed by Mr. Shridhar (Relationship Manager) that subject is having very good track record for banking transaction.

 

·         Oriental Bank of Commerce

 

 

 

Facilities :

SECURED LOANS

31.03.2015

Rs. In Million

31.03.2014

Rs. In Million

Long Term Borrowings

 

 

Foreign Currency loans – PSCFC/PCFC

0.000

Rupee loans - PSC

 

148.593

From Banks – Others

 

 

Rupee loan – Car loan

 

3.055

 

 

 

Total

NA

151.648

 

 

Auditors :

 

Name :

Doshi Maru and Associates

Chartered Accountants

Address :

9, Shreepal Building, S N Road, Tambe Nagar, Mulund (West), Mumbai – 400080, Maharashtra, India

Tel. No. :

91-22-23472578/ 25654859

 

 

Collaborators :

Not Divulged

 

 

Membership :

Not Divulged

 

 

Associates :

Name :

Lypsa Gems and Jewellery DMCC

Address :

Dubai

Line of Business :

Trader of Diamond.

 

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2015

 

Authorised Capital : Not Available

 

Issued, Subscribed & Paid-up Capital : Rs.210.600 Million

 

 

AS ON 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

20000000

Equity Shares

Rs.10/- each

Rs.200.000 Million

 

 

 

 

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

14040000

Equity Shares

Rs.10/- each

Rs.140.400 Million

 

 

 

 

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

 

31.03.2015

31.03.2014

31.03.2013

I.              EQUITY AND LIABILITIES

 

 

 

(1)Shareholders' Funds

 

 

 

(a) Share Capital

210.600

140.400

140.400

(b) Reserves & Surplus

90.768

135.030

114.595

(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)

301.368

275.430

254.995

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

0.000

0.000

0.000

(b) Deferred tax liabilities (Net)

3.280

1.901

1.725

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

0.000

0.000

0.000

Total Non-current Liabilities (3)

3.280

1.901

1.725

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

380.767

211.281

210.419

(b) Trade payables

905.317

977.538

1002.685

(c) Other current liabilities

11.459

16.147

25.230

(d) Short-term provisions

14.939

12.832

13.702

Total Current Liabilities (4)

1312.482

1217.798

1252.036

 

 

 

 

TOTAL

1617.130

1495.129

1508.756

 

 

 

 

II.            ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

48.605

33.879

17.489

(ii) Intangible Assets

0.000

0.000

0.000

(iii) Capital work-in-progress

0.000

0.000

0.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.000

0.000

0.000

(c) Deferred tax assets (net)

1.736

1.930

5.356

(d)  Long-term Loan and Advances

0.000

0.000

0.000

(e) Other Non-current assets

9.651

9.189

10.146

Total Non-Current Assets

59.992

44.998

32.991

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

1.079

10.466

0.794

(b) Inventories

261.725

334.026

207.547

(c) Trade receivables

1208.645

874.104

1173.903

(d) Cash and cash equivalents

64.805

171.818

86.136

(e) Short-term loans and advances

20.584

59.717

7.144

(f) Other current assets

0.300

0.000

0.241

Total Current Assets

1557.138

1450.131

1475.765

 

 

 

 

TOTAL

1617.130

1495.129

1508.756

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2015

31.03.2014

 

31.03.2013

 

SALES

 

 

 

 

 

Income

4368.416

4123.514

3019.249

 

 

Other Income

(34.996)

(3.375)

(18.385)

 

 

TOTAL                                              (A)

4333.420

4120.139

3000.864

 

 

 

 

 

Less

EXPENSES

 

 

 

 

 

Cost of Materials Consumed

3539.708

3422.894

2063.363

 

 

Purchase of Stock-in-trade

272.700

376.385

597.214

 

 

Changes in Inventories of finished goods, work-in-progress and stock-in-trade

(35.151)

(112.430)

147.557

 

 

Employee Benefits Expenses

45.337

38.794

19.295

 

 

Other Expenses

411.140

318.838

110.695

 

 

TOTAL                                              (B)

4233.734

4044.481

2938.124

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B)     (C)

99.686

75.658

62.740

 

 

 

 

 

Less

FINANCIAL EXPENSES                                    (D)

42.776

26.321

19.288

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D)                                (E)

56.910

49.337

43.452

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION                     (F)

3.612

2.184

0.854

 

 

 

 

 

 

PROFIT/(LOSS) BEFORE TAX (E-F)                  (G)     

53.298

47.153

42.598

 

 

 

 

 

Less

TAX                                                                  (H)

17.906

15.677

14.356

 

 

 

 

 

 

PROFIT/(LOSS) AFTER TAX (G-H)                    (I)

35.392

31.476

28.242

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

75.230

54.795

37.184

 

 

 

 

 

Less

APPROPRIATIONS

 

 

 

 

Short Provision from I. Tax (F.Y. 2012-13)

 

(0.598)

0.000

 

 

Proposed Dividend

 

7.020

7.020

 

 

Provision for Reduction in Value of Investments

 

3.426

2.472

 

 

Tax on Proposed Dividend

 

1.193

1.139

 

BALANCE CARRIED TO THE B/S

NA

75.230

54.795

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

NA

65.480

49.324

 

 

 

 

 

 

CIF VALUE OF IMPORTS

NA

56.133

43.185

 

 

 

 

 

 

Earnings Per Share (Rs.)

1.68

3.36

3.03

 

 

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

 

Particulars

 

31.03.2015

31.03.2014

31.03.2013

Current Maturities of Long term debt

NA

NA

NA

Cash generated from operations

NA

93.110

27.372

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2015

31.03.2014

31.03.2013

Net Profit Margin

PAT / Sales

(%)

0.81

0.76

0.94

 

 

 

 

 

Operating Profit Margin

(PBDIT/Sales)

(%)

2.28

1.83

2.08

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets)

(%)

3.30

3.16

2.83

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.18

0.17

0.17

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

1.26

0.77

0.83

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.19

1.19

1.18

 

 

STOCK PRICES

 

Face Value

Rs.10.00/-

Market Value

Rs.66.45/-

 

 

FINANCIAL ANALYSIS

[all figures are in Rupees Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2013

31.03.2014

31.03.2015

 

Rs. In Million

Rs. In Million

Rs. In Million

Share Capital

140.400

140.400

210.600

Reserves & Surplus

114.595

135.030

90.768

Net worth

254.995

275.430

301.368

 

 

 

 

long-term borrowings

0.000

0.000

0.000

Short term borrowings

210.419

211.281

380.767

Total borrowings

210.419

211.281

380.767

Debt/Equity ratio

0.825

0.767

1.263

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2013

31.03.2014

31.03.2015

 

Rs. In Million

Rs. In Million

Rs. In Million

Sales

3019.249

4123.514

4368.416

 

 

36.574

5.939

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2013

31.03.2014

31.03.2015

 

Rs. In Million

Rs. In Million

Rs. In Million

Sales

3019.249

4123.514

4368.416

Profit

28.242

31.476

35.392

 

0.94%

0.76%

0.81%

 

 

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

Yes

5

Buyer visit details

--

6

Contact numbers

Yes

7

Name of the person contacted

Yes

8

Designation of contact person

Yes

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)

Yes

16

No. of employees

Yes

17

Details of sister concerns

Yes

18

Major suppliers

Yes

19

Major customers

Yes

20

Banking Details

Yes

21

Banking facility details

Yes

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

Yes

32

Litigations that the firm/promoter involved in

--

33

Market information

--

34

Payments terms

Yes

35

Negative Reporting by Auditors in the Annual Report

No

 

 

 

 

UNSECURED LOAN:

 

Particulars

31.03.2015

Rs. In Million

31.03.2014

Rs. In Million

Long Term Borrowings

 

 

Loans and Advances

 

From Directors

 

59.633

 

 

 

Total

NA

59.633

 

 

INDEX OF CHARGE:

 

Sr. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10510511

17/05/2014

357,500,000.00

Bank of India

Opera House Branch, Hermes House,, Mama Parmanand Marg, Opera House,, Mumbai - 400004, Maharashtra, India

C12341533

2

10374179

03/07/2014 *

357,500,000.00

Bank of India

Opera House Branch, Hermes House, Mama Parmanand Marg, Opposite Charni Road Station,, Mumbai - 400004, Maharashtra, India

C12342176

 

*Date of modification Charges

 

 

FIXED ASSETS:

 

·         Air Conditions

·         Aqua guard

·         Furniture and Fixture

·         Motor Car

·         Office Equipments

·         Water Coolers

·         Computers

·         Computers

·         Safe

·         Machineries

·         Factory Building

·         Factory Land

·         Air Conditions – Chhapi

·         Computer – Chhapi

·         Furniture and Fixture – Chhapi

·         Machineries – Chhapi

 

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.

 

 

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.63.51

UK Pound

1

Rs.100.94

Euro

1

Rs.72.32

 

 

INFORMATION DETAILS

 

Information Gathered by :

NYA

 

 

Analysis Done by :

KAR

 

 

Report Prepared by :

NKT

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

6

PAID-UP CAPITAL

1~10

5

OPERATING SCALE

1~10

6

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILITY

1~10

4

--LIQUIDITY

1~10

5

--LEVERAGE

1~10

4

--RESERVES

1~10

4

--CREDIT LINES

1~10

5

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

NO

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

YES

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

 

 

 

TOTAL

 

45

 

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

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.