MIRA INFORM REPORT

Report No. :	312194
Report Date :	17.03.2015

IDENTIFICATION DETAILS

Name :	LALA KASHINATH SETH JEWELLERS PRIVATE LIMITED
Registered Office :	Seth Kali Charan Road, Kothi Kashi Nath, Shahjahanpur-242001, Uttar Pradesh
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	08.09.1999
Com. Reg. No.:	20-024740
Capital Investment / Paid-up Capital :	Rs. 13.500 Million
CIN No.: [Company Identification No.]	U52391UP1999PTC024740
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
CST No.:	09809301272C
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	The Company is engaged in the trading business of Gold, Silver and Diamond Ornaments.
No. of Employees :	70 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (42)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 290000
Status :	Satisfactory
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject is an established company having satisfactory track record. General financial position of the company is normal and acceptable for business dealing. Trade relations are reported as fair. Business is active. Payments terms are reported to be slow but correct. The company can be considered normal for business dealings at usual trade terms and conditions.

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)
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

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 31-03-2014.

INFORMATION PARTED BY (GENERAL DETAILS)

Name :	Mr. Niraj Trivedi
Designation :	Accounts Executive
Contact No.:	91-7275803901
Date :	13.03.2015

LOCATIONS

Registered Office :	Seth Kali Charan Road, Kothi Kashi Nath, Shahjahanpur-242001, Uttar Pradesh, India
Tel. No.:	91-512-2353570/2365349
Mobile No.:	91-7275803901 (Mr. Niraj Trivedi)
Fax No.:	Not Available
E-Mail :	infopcs08@gmail.com
Showroom 1 :	Swaroop Nagar, Kanpur-2552625, Uttar Pradesh, India
Showroom 2 :	#58/5, Birhana Road, Kanpur-208001, Uttar Pradesh, India
Showroom 3 :	Lal Bunglow, Kanpur, Uttar Pradesh, India

DIRECTORS

As on 13.09.2014

Name :

Mr. Bharat Chandra Seth

Designation :

Director

Address :

58 / 05 Birhana Road, Kanpur-208001, Uttar Pradesh, India

Date of Birth/Age :

06.06.1970

Date of Appointment :

08.09.1999

DIN No.:

00204159

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U52391UP1999PTC024740	LALA KASHI NATH SETH JEWELLERS PRIVATE LIMITED	Director	08/09/1999	08/09/1999	-	Active	NO
2	U70102UP2012PTC048482	BRAHMAVARTA DEVELOPERS PRIVATE LIMITED	Director	16/08/2013	16/08/2013	-	Active	NO

Name :

Mrs. Anupama Seth

Designation :

Director

Address :

58 / 05 Birhana Road, Kanpur-208001, Uttar Pradesh, India

Date of Birth/Age :

21.03.1968

Date of Appointment :

08.09.1999

DIN No.:

00194302

Name :

Mr. Raghavendra Chandra Seth

Designation :

Director

Address :

58 / 05 Birhana Road, Kanpur-208001, Uttar Pradesh, India

Date of Birth/Age :

31.08.1967

Date of Appointment :

01.04.2000

DIN No.:

00194416

Other Directorship :

S.No.	CIN/LLPIN	Name of the Company/ LLP	Current designation of the Director/ Designated Partner	Date of appointment at current designation	Original date of appointment	Date of cessation	Company/ LLP Status	Defaulting status
1	U52391UP1999PTC024740	LALA KASHI NATH SETH JEWELLERS PRIVATE LIMITED	Director	01/04/2000	01/04/2000	-	Active	NO
2	U50102UP2011PTC046395	Fourwheels Auto Private Limited	Additional director	24/06/2013	24/06/2013	-	Active	NO

Name :

Mrs. Navneeta Seth

Designation :

Director

Address :

58 / 05 Birhana Road, Kanpur-208001, Uttar Pradesh, India

Date of Birth/Age :

08.12.1971

Date of Appointment :

01.04.2000

DIN No.:

00194365

KEY EXECUTIVES

Name :	Mr. Niraj Trivedi
Designation :	Accounts Executive

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 13.09.2014

Names of Shareholders	No. of Shares	Percentage
Bharat Chandra Seth	450,000	33.33
Anupama Seth	580,000	42.96
Raghavendra Chandra Seth	30,000	2.22
Navneeta Seth	190,000	14.07
Radhey Krishna Enterprises (India) Private Limited	100,000	7.41
	1,350,000	100.00

Equity Share Break up (Percentage of Total Equity)

Category	Percentage
Bodies corporate	7.00
Directors or relatives of Directors	93.00
Total	100.00

BUSINESS DETAILS

Line of Business :	The Company is engaged in the trading business of Gold, Silver and Diamond Ornaments.
Products :	Gold Ornaments Silver Ornaments Diamond Ornaments
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Cash and Credit
Purchasing :	Cash and Credit

PRODUCTION STATUS NOT AVAILABLE

GENERAL INFORMATION

Suppliers :

Reference :	K.G.K. Vreations Private Limited, Mumbai
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

Customers :

Retailers and End Users

Reference :	Kamdhenu Cattle Feed, Kanpur
Name of the Person :	Not Divulged
Contact No.:	Not Divulged
Since How Long Known :	Not Divulged
Experience :	Not Divulged
Maximum Limit Dealt :	Not Divulged

No. of Employees :

70 (Approximately)

Bankers :

Banker Name :	Punjab National Bank
Branch Address :	Swaroop Nagar Branch, Swaroop Nagar, Kanpur - 208002, Uttar Pradesh, India
Facilities :	Not Divulged
Person Name :	Not Divulged
Contact No.:	Not Divulged
Report :	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

• Canara Bank, Purani Dal Mandi, Near Naya Ganj Crossing, Birhana Road,, Kanpur - 208001, Uttar Pradesh, India

• Corporation Bank ,The Mall Road, Kanpur- 208001, Uttar Pradesh, India

Facilities :

(Rs. In Million)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
Short Term Borrowing
Loans from Banks	217.233	155.539
Total	217.233	155.539

Auditors :
Name :	Saxena Associates Chartered Accountants
Address :	12 Pratap Enclave, Bisrat (G.T) Road, Shahjahanpur-242001, Uttar Pradesh, India
PAN No.:	AADFS2286F
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

As on 13.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
1,500,000	Equity Shares	Rs.10/- each	Rs.15.000 million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
1,350,000	Equity Shares	Rs.10/- each	Rs.13.500 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	13.500	13.500	13.500
(b) Reserves & Surplus	86.572	74.264	63.684
(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)	100.072	87.764	77.184
(3) Non-Current Liabilities
(a) long-term borrowings	8.644	8.667	8.831
(b) Deferred tax liabilities (Net)	0.000	0.000	0.000
(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)	8.644	8.667	8.831
(4) Current Liabilities
(a) Short term borrowings	217.233	155.539	110.396
(b) Trade payables	116.631	83.627	90.320
(c) Other current liabilities	6.405	5.620	4.516
(d) Short-term provisions	0.000	0.000	0.000
Total Current Liabilities (4)	340.269	244.786	205.232
TOTAL	448.985	341.217	291.247
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	12.720	11.285	5.419
(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)	0.000	0.000	0.000
(d) Long-term Loan and Advances	0.000	0.000	0.000
(e) Other Non-current assets	0.000	0.000	50.000
Total Non-Current Assets	12.720	11.285	55.419
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	289.908	226.867	211.015
(c) Trade receivables	5.129	30.632	14.398
(d) Cash and cash equivalents	64.465	58.626	6.914
(e) Short-term loans and advances	76.337	13.381	3.075
(f) Other current assets	0.426	0.426	0.426
Total Current Assets	436.265	329.932	235.828
TOTAL	448.985	341.217	291.247

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES	772.600	693.000	595.906
Less	EXPENSES	NA	NA	NA
	PROFIT BEFORE TAX	NA	NA	NA
Less	TAX	NA	NA	NA
	PROFIT AFTER TAX	12.308	10.580	8.475
	Earnings Per Share (Rs.)	9.12	7.84	6.28

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	1.59	1.53	1.42
Debt Equity Ratio (Total Debt /Networth)		2.26	1.87	1.54
Current Ratio (Current Asset/Current Liability)		1.28	1.35	1.15

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	13.500	13.500	13.500
Reserves & Surplus	63.684	74.264	86.572
Net worth	77.184	87.764	100.072
long-term borrowings	8.831	8.667	8.644
Short term borrowings	110.396	155.539	217.233
Total borrowings	119.227	164.206	225.877
Debt/Equity ratio	1.545	1.871	2.257

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)
Sales	595.906	693.000	772.600
		16.294	11.486

NET PROFIT MARGIN

Net Profit Margin	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Million)	(Rs. In Million)	(Rs. In Million)
Sales	595.906	693.000	772.600
Profit	8.475	10.580	12.308
	1.42%	1.53%	1.59%

LOCAL AGENCY FURTHER INFORMATION

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

(Rs. In Million)

UNSECURED LOAN	As on 31.03.2014	As on 31.03.2013
Long Term Borrowing
Loans from director and Relatives	8.644	8.667
Total	8.644	8.667

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10542948	08/10/2014	49,568,000.00	CAPITAL FIRST LIMITED	15th Floor, Tower -2, Indiabulls Finance Centre, Senapati Bapat Marg, Elphinstone,, MUMBAI, Maharashtra - 400013, INDIA	C40357261
2	10384661	11/03/2014 *	200,000,000.00	Corporation Bank	The Mall, Kanpur, Uttar Pradesh - 208001, INDIA	C07018518
3	10225416	14/05/2012 *	110,000,000.00	PUNJAB NATIONAL BANK	SWAROOP NAGAR BRANCH, SWAROOP NAGAR, KANPUR, Utta  r Pradesh - 208002, INDIA	B40726465

* Date of charge modification

FIXED ASSETS

• Air conditioner
• Computers
• Furniture and fixture
• Fax machine
• Electric fitting
• Motor car
• Cycle
• Invertor

· 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.62.82
UK Pound	1	Rs.92.82
Euro	1	Rs.66.16

INFORMATION DETAILS

Information Gathered by :	DPA
Analysis Done by :	DIV
Report Prepared by :	JYTK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	5
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	4
--LIQUIDITY	1~10	4
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	4
--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	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		42

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.