MIRA INFORM REPORT

 

 

Report No. :

321099

Report Date :

07.05.2015

 

IDENTIFICATION DETAILS

 

Name :

GUJARAT BOROSIL LIMITED

 

 

Registered Office :

Village Govali, Taluka – Jhagadia, Bharuch – 393001, Gujarat

Tel. No.:

91- 2645-220300

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

22.12.1988

 

 

Com. Reg. No.:

04-011663

 

 

Capital Investment / Paid-up Capital :

Rs. 1241.038 Million

 

 

CIN No.:

[Company Identification No.]

L26100GJ1988PLC011663

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

Not Available

 

 

Legal Form :

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

 

 

Line of Business :

Manufacturer and Exporter of Solar glass, Solar pattern glass.

 

 

No. of Employees :

400 (Approximately)

 

 

RATING & COMMENTS

 

MIRA’s Rating :

B (30)

 

RATING

STATUS

PROPOSED CREDIT LINE

26-40

B

Capability to overcome financial difficulties seems comparatively below average.

Small

 

Status :

Moderate

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Exists

 

 

Comments :

Subject is an established company having a moderate track record.

 

Reserves of the company seems to be low during 2014.

 

However, trade relations are fair. Business is active. Payment terms are reported to be slow but correct.

 

The company can be considered for business dealings with some cautions.

 

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

 

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 31-03-2014.

 

INFORMATION PARTED BY

 

Name :

Mr. Ashok Jain

Designation :

Director

Contact No.:

91-22-67406363

Date :

04.05.2015

 

 

LOCATIONS

 

Registered Office :

Village Govali, Taluka – Jhagadia, Bharuch – 393001, Gujarat, India

Tel. No.:

91- 2645-220300

Fax No.:

Not Available

E-Mail :

Kishor.talreja@borosil.com

Website :

http://www.gujaratborosil.com/

 

 

Factory :

Ankelshwar – Rajpipla RD, 167, M.I.D.C, Bhosari – 411026, Pune, Maharashtra, India

 

 

Corporate Office :

1101, Crescenzo, G Block, Opp. MCA Club, Bandra Kurla Complex, Bandra (East), Mumbai - 400 051, Maharashtra, India

Tel. No.:

91-22-67406300/67406363

 

 

DIRECTORS

 

As on 31.03.2014

 

Name :

Mr. B. L. Kheruka

Designation :

Chairman

 

 

Name :

Mr. P. K. Kheruka

Designation:

Vice Chairman

 

 

Name :

Mr. Shashi Mehra

Designation :

Director

 

 

Name :

Mr. Jagdish Joshi

Designation :

Director

 

 

Name :

Mr. Ashok Jain

Designation :

Whole-time Director

 

 

Name :

Mr. Ashok Kumar Doda

Designation :

Additional Director

 

 

KEY EXECUTIVES

 

Name :

Mr. Kishor Talreja

Designation :

Company Secretary

 

 

Name :

Mr. Sunil Kumar Roongta

Designation :

Chief Financial Officer

 

 

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

 

As on 31.03.2015

 

Category of Shareholders

No. of Shares

Percentage of Holding

(A) Shareholding of Promoter and Promoter Group

 

 

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

 

 

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

39822376

58.38

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

39822376

58.38

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

 

 

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

11300000

16.57

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

11300000

16.57

Total shareholding of Promoter and Promoter Group (A)

51122376

74.95

(B) Public Shareholding

 

 

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

 

 

http://www.bseindia.com/include/images/clear.gifFinancial Institutions / Banks

49300

0.07

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

49300

0.07

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

 

 

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

2608027

3.82

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

 

 

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital up to Rs. 0.100 Million

11946333

17.51

http://www.bseindia.com/include/images/clear.gifIndividual shareholders holding nominal share capital in excess of Rs. Rs. 0.100 Million

2112225

3.10

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

369239

0.54

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

187537

0.27

http://www.bseindia.com/include/images/clear.gifNRIs/OCBs

181702

0.27

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

17035824

24.98

Total Public shareholding (B)

17085124

25.05

Total (A)+(B)

68207500

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)

68207500

0.00

 

 

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Promoter and Promoter Group

 

Sl.No.

Name of the Shareholder

No. of Shares held

As a % of grand total (A)+(B)+(C)

Total shares (including underlying shares assuming full conversion of warrants and convertible securities) as a % of diluted share capital

1

Borosil Glass Works Limited

1,72,22,376

25.25

25.25

2

Fennel Investment and Finance Private Limited

2,26,00,000

33.13

33.13

3

Broadfield Holdings Limited

1,13,00,000

16.57

16.57

 

Total

5,11,22,376

74.95

74.95

 

(*) The term encumbrance has the same meaning as assigned to it in regulation 28(3) of the SAST Regulations, 2011.

 

Shareholding of securities (including shares, warrants, convertible securities) of persons belonging to the category Public and holding more than 1% of the total number of shares

 

Sl. No.

Name of the Shareholder

No. of Shares held

Shares as % of Total No. of Shares

Total shares (including underlying shares assuming full conversion of warrants and convertible securities) as a % of diluted share capital

1

Gems Flora Private limited

1007800

1.48

1.48

 

2

Shresth Enterprises Private limited

710000

1.04

1.04

 

3

Chandra Kumar Rajgarhia

817405

1.20

1.20

 

 

Total

2535205

3.72

3.72

 

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer and Exporter of Solar glass, Solar pattern glass.

 

 

Products :
  • Solar glass
  • Solar pattern glass

 

 

Brand Names :

Not Divulged

 

 

Agencies Held :

Not Divulged

 

 

Exports :

 

Products :
  • Solar glass
  • Solar pattern glass

Countries :
  • Europe
  • USA
  • Sri Lanka
  • Myanmar
  • South Africa

 

 

Imports :

 

Products :

Raw Material

Countries :
  • Romania
  • China
  • USA

 

 

Terms :

 

Selling :

Cheque and Credit (30,60 Days)

 

 

Purchasing :

Cheque and Credit (30,60 Days)

 

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 :

400 (Approximately)

 

 

Bankers :

Bank Name

Bank of Baroda

Branch

For Branch, Mumbai, Maharashtra, India

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)

CC: Rs. 30.000 Million

Non fund: Rs. 40.000 Million

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

 

 

Foreign Currency Term Loan - ECB

304.114

341.045

Short-term borrowings

 

 

Buyer's Credit on capital equipment

53.066

44.845

Working Capital Facility

26.107

8.721

Total

383.287

394.611

Note:

 

Long-term Borrowings

 

Foreign Currency Term Loan - ECB from Banks is secured by way of mortgage of all the fixed assets of the Company both present and future, ranking pari passu and by way of Hypothecation of all the moveables (save & except book debts) present and future, subject to prior charges created in favor of Company's bankers for working capital facilities. The same is further secured by personal guarantee of two directors.

 

Repayment of Foreign Currency Term Loan - ECB due within one year is Rs 70.718 Million shown under short term borrowings.

 

Foreign Currency Term Loan - ECB is repayable in 10 half yearly structured instalments from October 2012

 

Interest rate of Foreign Currency Term Loan - ECB is 445 bps above Libor and Inter Corporate Deposit is 13%.

 

Short-term borrowings

 

Buyers credit from Indusind bank is secured by Units of Mutual Fund pledged by Borosil Glass Works Limited and carries Interest @ 127 bps above Euribor.

 

Working Capital Facility from Banks is secured by Hypothecation on all stocks and book debts of the Company and additionally secured by way of a second charge on Fixed Assets of the Company.

 

The said facilities are further secured by personal guarantee of two Directors.

 

 

Auditors :

 

Name :

Singhi and Company

Chartered Accountants

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Associates:
  • Borosil Glass Works Limited
  • Window Glass Limited
  • Swapan Properties LLP
  • Fennel Investment and Finance Private Limited
  • Broadfield Holdings Limited
  • Sonargaon Properties LLP
  • Gujarat Fusion Glass LLP (w.e.f 3.4.2014)
  • Vyline Glass Works Limited
  • Borosil International Limited
  • Cycas Trading LLP

 

 

CAPITAL STRUCTURE

 

As on 31.03.2014

 

Authorised Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

92000000

Equity Shares

Rs.5/- each

Rs.460.000 Million

 

Unclassified Share Capital

 

Rs. 40.000 Million

 

 

 

 

9000000

Preference Shares

Rs.100/- each

Rs.900.000 Million

 

 

 

 

 

Total

 

Rs.1400.000 Million

 

Issued, Subscribed & Paid-up Capital :

No. of Shares

Type

Value

Amount

 

 

 

 

68207500

Equity Shares

Rs.5/- each

Rs. 341.038 Million

9000000

Preference Shares

Rs.100/- each

Rs. 900.000 Million

 

 

 

 

 

Total

 

Rs.1241.038 Million

 

NOTE:

 

* Face value reduced From Rs. 10/- to Rs 5/- per share as per approval of shareholders in the EGM held on 14th February,2003.

 

** The preference shares has the priority in case of payment of dividend and in case of winding up that of repayment of Capital and arrears of dividend.

 

Voting Rights attached to these shares are as per provisions of Sec. 87 of the Companies Act, 1956. These shares are redeemable not later than 7 years from the date of issue i.e 17th March 2012 but the Company has option to redeem it any time by giving two months notice in writing.

 

Shareholders holding

More Than 5% Of Equity Shares

%

No. of Shares

Fennel Investment and Finance Private Limited

33.13

22600000

Borosil Glass Workd Limited

 

25.25

17222376

Broadfield Holdings Limited

16.57

11300000

 

 

 

 

 

74.95

51122376

 

 

 

Shareholders holding

More Than 5% of Preference Shares

%

No. of Shares Held

Borosil Glass Works Limited

100.00

9000000

 

Reconciliation of the No of shares outstanding and the amount of share capital as at March 31, 2014 and March 31, 2013

 

 

31.03.2013

Particulars

No of shares

(Rs. In Millions)

Equity Shares

 

 

Number of shares at the beginning

68,207,500

341.038

Add : Shares Issued during the Year

Nil

Nil

Number of shares at the end

68,207,500

341.038

 

 

 

Preference Shares

 

 

Number of shares at the beginning

9,000,000

900.000

Add : Shares Issued during the Year

Nil

Nil

Number of shares at the end

9,000,000

900.000

 

 

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

1241.038

1241.038

1241.038

(b) Reserves & Surplus

49.404

(33.460)

46.443

(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)

1290.442

1207.578

1287.481

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

317.194

457.127

432.303

(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

2.847

2.261

1.856

Total Non-current Liabilities (3)

320.041

459.388

434.159

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

79.173

53.566

33.439

(b) Trade payables

167.657

159.627

116.243

(c) Other current liabilities

107.915

95.267

37.987

(d) Short-term provisions

14.248

13.258

3.503

Total Current Liabilities (4)

368.993

321.718

191.172

 

 

 

 

TOTAL

1979.476

1988.684

1912.812

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

1179.524

1227.771

1191.487

(ii) Intangible Assets

1.771

1.260

1.663

(iii) Capital work-in-progress

19.552

31.858

12.814

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

0.268

0.243

0.231

(c) Deferred tax assets (net)

95.734

137.414

95.958

(d)  Long-term Loan and Advances

71.439

86.556

132.250

(e) Other Non-current assets

0.000

0.000

0.000

Total Non-Current Assets

1368.288

1485.102

1434.403

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

5.010

30.233

0.000

(b) Inventories

307.973

233.452

218.934

(c) Trade receivables

230.406

171.392

156.817

(d) Cash and cash equivalents

23.874

9.224

10.558

(e) Short-term loans and advances

22.319

30.158

49.367

(f) Other current assets

21.606

29.123

42.733

Total Current Assets

611.188

503.582

478.409

 

 

 

 

TOTAL

1979.476

1988.684

1912.812

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

Income

1328.259

955.319

790.950

 

Other Income

4.110

13.159

18.786

 

TOTAL (A)

1332.369

968.478

809.736

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of Materials Consumed

341.664

260.662

227.026

 

Changes in inventories of finished goods, work-in-progress and Stock-in-Trade

(46.196)

5.982

10.094

 

Employees benefits expense

141.342

141.626

115.699

 

Selling & Distribution Expenses

185.637

135.473

176.163

 

Other expenses

437.519

363.004

338.288

 

Exceptional Items (Income)

(47.292)

0.000

0.000

 

TOTAL (B)

1012.674

906.747

867.270

 

 

 

 

 

Less

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

319.695

61.731

-57.534

 

 

 

 

 

Less

FINANCIAL EXPENSES (D)

29.205

34.371

115.541

 

 

 

 

 

 

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

290.490

27.360

-173.075

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION (F)

161.771

148.694

139.010

 

 

 

 

 

 

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

128.719

(121.334)

(312.085)

 

 

 

 

 

Less

TAX (H)

45.855

(41.431)

(100.893)

 

 

 

 

 

 

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

82.864

(79.903)

(211.192)

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD

(242.075)

(162.172)

3.020

 

 

 

 

 

Add

Set off of loss from General Reserve

0.000

0.000

46.000

 

 

 

 

 

 

Balance Carried to the B/S

(159.211)

(242.075)

(162.172)

 

 

 

 

 

 

EARNINGS IN FOREIGN CURRENCY

 

 

 

 

F.O.B. Value of Exports

47.093

73.141

358.616

 

TOTAL EARNINGS

47.093

73.141

358.616

 

 

 

 

 

 

IMPORTS

 

 

 

 

Components and Spare Parts

26.077

26.495

16.865

 

Packing Material

0.939

1.510

1.012

 

Raw Material

40.788

49.900

45.696

 

Capital Items

14.913

102.147

2.985

 

TOTAL IMPORTS

82.717

180.052

66.558

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

0.03

(2.36)

(3.14)

 

 

Expected Sales (2014-2015) : Rs.1500.000 Million

 

The above information has been parted by Mr. Ashok Jain

 

QUARTERLY RESULTS

 

PARTICULARS

 

30.06.2014

1st Quarter

30.09.2014

2nd Quarter

31.12.2014

3rd Quarter

Audited / UnAudited

UnAudited

UnAudited

UnAudited

Net Sales

331.400

362.600

378.900

Total Expenditure

279.100

326.300

334.400

PBIDT (Excl OI)

52.300

36.300

44.500

Other Income

1.100

1.100

0.300

Operating Profit

53.400

37.400

44.800

Interest

5.300

4.700

4.800

Exceptional Items

0.000

0.000

0.000

PBDT

48.100

32.700

40.000

Depreciation

32.100

31.500

34.200

Profit Before Tax

16.000

1.200

5.800

Tax

4.900

0.200

2.500

Provisions and contingencies

0.000

0.000

0.000

Profit After Tax

11.100

1.000

3.300

Extraordinary Items

0.000

0.000

0.000

Prior Period Expenses

0.000

0.000

0.000

Other Adjustments

0.000

0.000

0.000

Net Profit

11.100

1.000

3.300

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT / Sales)

(%)

6.24

(8.36)

(26.70)

 

 

 

 

 

Operating Profit Margin

(PBIDT/Sales)

(%)

24.07

6.46

(7.27)

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

6.91

(6.67)

(17.30)

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.10

(0.10)

(0.24)

 

 

 

 

 

Debt Equity Ratio

(Total Debt /Networth)

 

0.31

0.42

0.36

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.66

1.57

2.50

 

 

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

1241.038

1241.038

1241.038

Reserves & Surplus

46.443

(33.460)

49.404

Net worth

1287.481

1207.578

1290.442

 

 

 

 

long-term borrowings

432.303

457.127

317.194

Short term borrowings

33.439

53.566

79.173

Total borrowings

465.742

510.693

396.367

Debt/Equity ratio

0.362

0.423

0.307

 

 

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

790.950

955.319

1328.259

 

 

20.781

39.038

 

 

 

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

790.950

955.319

1328.259

Profit

(211.192)

(79.903)

82.864

 

(26.70%)

(8.36%)

6.24%

 

 

 

LOCAL AGENCY FURTHER INFORMATION

 

CURRENT MATURITIES OF LONG-TERM DEBT DETAILS:

 

Particulars

31.03.2014

31.03.2013

31.03.2012

 

(Rs. In Million)

Current maturities of long-term debt

707.170

55.949
NA

 

 

 

 

Total

707.170

55.949
NA

 

 

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

Yes

15]

Capital in the business

Yes

16]

Details of sister concerns

Yes

17]

Major suppliers

No

18]

Major customers

No

19]

Payments terms

Yes

20]

Export / Import details (if applicable)

Yes

21]

Market information

--

22]

Litigations that the firm / promoter involved in

Yes

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

 

LITIGATION DETAILS

 

HIGH COURT OF GUJARAT

TAX APPEAL No. 1284 of 2008

 

Status : PENDING

( Converted from : ST/2182/2008 )

CCIN No : 001092200801284

 

Last Listing Date:

08/07/2009

Coram

·         HONOURABLE THE CHIEF JUSTICE MR. K.S.RADHAKRISHNAN

·         HONOURABLE MR.JUSTICE AKIL KURESHI

S.NO.

Name of the Petitioner

Advocate On Record

1

COMMISSIONER OF CENTRAL EXCISE

MR GAURANG H BHATT for: Appellant(s) http://gujarathc-casestatus.nic.in/gujarathc/images/arrow1.png1

S.NO.

Name of the Respondant

Advocate On Record

1

GUJARAT BOROSIL LTD.

RULE NOT RECD BACK for :Opponent(s) http://gujarathc-casestatus.nic.in/gujarathc/images/arrow1.png1

Presented On

: 21/06/2008

Registered On

: 21/06/2008

Bench Category

: DIVISION BENCH

District

: SURAT

Case Originated From

: THROUGH HIS/HER/THEIR ADVOCATE

Listed

: 199 times

StageName

: FOR FINAL HEARING - TAX MATTERS

 

Office Objection

Filing Stage

·         WHETHER COPIES ARE LEGIBLE AND WHETHER TYPED COPIES OF HAND WRITTEN ANNEXURES FILED ?

 

Classification
  • DB - OJ - TAX APPEAL - CENTRAL EXCISE ACT, 1944 - UNDER SECTION 35G

Act
  • TAXATION LAWS (CONTINUATION AND VALIDATION OF RECOVERY PROCEEDINGS) ACT, 1964
  • CENTRAL EXCISES AND SALT ACT, 1944

 

Office Details

 

S. No.

Filing Date

Document Name

Advocate Name

Court Fee on Document

Document Details

1

15/08/2008

VAKALATNAMA

MR GAURANG H BHATT ADVOCATE
for PETITIONER(s) http://gujarathc-casestatus.nic.in/gujarathc/images/arrow1.png1

-

MR GAURANG H BHATT:1

2

15/08/2008

DOCUMENT

RULE NOT RECD BACK
for RESPONDENT(s) http://gujarathc-casestatus.nic.in/gujarathc/images/arrow1.png1

-

RULE NOT RECD BACK:1

3

02/02/2009

APPEARANCE NOTE

MR GAURANG H BHATT ADVOCATE
for PETITIONER(s) http://gujarathc-casestatus.nic.in/gujarathc/images/arrow1.png1

-

MR GAURANG H BHATT:1

Court Proceedings

 

S. No.

Notified Date

CourtCode

Board Sr. No.

Stage

Action

Coram

1

12/05/2009

1

-

FOR FINAL HEARING - TAX MATTERS

NEXT DATE

·         HONOURABLE THE CHIEF JUSTICE MR. K.S.RADHAKRISHNAN

·         HONOURABLE MR.JUSTICE AKIL KURESHI

2

08/07/2009

1

-

FOR FINAL HEARING - TAX MATTERS

RULE/ADMIT

·         HONOURABLE THE CHIEF JUSTICE MR. K.S.RADHAKRISHNAN

·         HONOURABLE MR.JUSTICE AKIL KURESHI

Available Orders

 

S. No.

Case Details

Judge Name

Order Date

CAV

Judgement

Questions

Transferred

1

TAX APPEAL/1284/2008

·         HONOURABLE THE CHIEF JUSTICE MR. K.S.RADHAKRISHNAN

·         HONOURABLE MR.JUSTICE AKIL KURESHI

10/07/2009

N

ORDER

-

Y

 

PERFORMANCE

 

Net revenue from operations for the year grew by 39%. The selling prices rose by 17% compared to previous year and volume growth was 22%. Profit before interest, depreciation and tax as a percentage to Net revenue jumped to 20.51% as compared to 6.46% in the previous year. The working has shown a turnaround and the results show a Profit before tax of Rs 81.427 Million compared to a loss of Rs. 121.334 Million in the previous year.

 

Sheet Glass plant

 

The furnace was cooled down on 28th July, 2010 and it was decided not to renew the same for making sheet glass. Finally it was decided to dismantle the furnace and production machines and dispose of the same. The foundation of furnace has been retained for any future use.

 

Solar Glass plant

 

The Company achieved record Net turnover of 1328.300 Million. Production of both Solar glass and Patterned glass increased.

 

The Solar glass market worldwide is showing signs of improvement after a long period of sluggishness and the demand is growing. The prices of solar glass however continue to remain low as there is still overcapacity in international market and there is huge pressure to keep the capital cost of solar power low.

 

Accordingly the module manufacturers are looking for extremely competitive prices of components. While the Company has been catering to the domestic market with limited exports there has been surge in export inquiries after EU imposed Anti-Dumping Duty on import of solar glass from China. With both domestic and export sectors looking up, the Company is gradually curtailing production of normal designs in Patterned glass and focus on premium designs only.

 

Dispute with the major international customer continues and the Company has been successful in obtaining attachment order on personal properties of directors holding them personally liable. Matter is still under litigation. The amount due, net of the claims negotiated, continues to be shown as doubtful but recoverable.

 

OUTLOOK

 

The growth of solar energy in the Country is expected to accelerate which will require huge quantity of low iron glass. The projects already announced by various state Governments and National Solar Mission of Government of India are much higher compared to last year. The solar energy produced will be more dependable by this non-conventional route and will reduce pressure on natural resources besides being non-polluting and environment friendly.

 

In the international markets also the demand is growing and the Company is expecting substantial growth in the near future.

 

UNSECURED LOAN

 

PARTICULARS

31.03.2014

(Rs. in Million)

31.03.2013

(Rs. in Million)

Long-term Borrowings

 

 

Inter Corporate Deposit (Since repaid)

13.080

116.082

Total

13.080

116.082

 

INDEX OF CHARGES

 

S.NO.

CHARGE ID

DATE OF CHARGE CREATION/MODIFICATION

CHARGE AMOUNT SECURED

CHARGE HOLDER

ADDRESS

SERVICE REQUEST NUMBER (SRN)

1

10522443

10/09/2014

20,000,000.00

BANK OF BARODA

MUMBAI MAIN OFFICE BRANCH, POST BOX NO.347, 10/12, 4TH FLOOR, MUMBAI SAMACHAR MARG, FORT, MUMBAI, M
AHARASHTRA - 400023, INDIA

C22980684

2

10135914

26/12/2008

360,975,000.00

BANK OF BARODA

CORPORATE FINANCIAL SERVICES- FORT BRANCH, 10/12,
4TH FLOOR,MUMBAI SAMACHAR MARG, FORT,, MUMBAI, MA
HARASHTRA - 400023, INDIA

A53867529

3

90109302

11/08/2011 *

90,600,000.00

BANK OF BARODA

CORPORATE FINANCIAL SERVICES-FORT BRANCH, 10/12,
4TH FLOOR, MUMBAI SAMACHAR MARG,FORT, MUMBAI, MAHA
RASHTRA - 400023, INDIA

B18986398

 

* Date of charge modification

 

 

CONTINGENT LIABILITIES:

 

(Rs. in million)

PARTICULARS

31.03.2014

31.03.2013

 

 

 

Letters of Credit outstanding

13.940

29.972

Claims against the Company not acknowledged as debt

2.317

1.766

Excise matters relating to valuation in appeal before Supreme Court From February1999 to June 2005

45.507

45.507

Equivalent amount of penalty, interest

79.706

79.706

Excise matters relating to valuation in appeal before Commissioner-Surat From July 2005 to June 2006

0.000

20.044

Equivalent amount of penalty, interest and redemption fine

0.000

45.043

The Company is legally advised that the disputed demands will not be sustained in view of a) the judgment by Supreme Court dismissing appeal of the department for the period July 2006 to June 2007 in its own case

b) Favorable decision of Commissioner (Appeal) for the period July 2005 to June 2006 and c) various legal pronouncements in similar other matters. A sum of Rs 58.933 Million paid under protest in respect of i) above disputed demand has been shown as advances recoverable.

 

 

Excise matters relating to denial of Cenvat Credit on certain inputs in appeal before Commissioner-Surat From August 2009 to January 2011.

1.933

0.000

Equivalent amount of penalty

1.933

0.000

Income tax matters in Appeal filed by the Company before

i) CIT-Appeals in respect of assessment year 1997-98 on account of penalty of Rs 4.138 Million

ii) CIT-Appeal in respect of assessment year 2010-11 and 2011-12 on account of disallowances/additions totaling to Rs 64.418 Million

ii) Gujarat High Court in respect of assessment year 2003-04 on account of carry forward of unabsorbed depreciation Rs 24.678 Million (previous year total disallowances/additions of Rs. 5.387 Million)

34.422

1.831

Income tax matters in Appeal filed by the department before Tribunal in respect of assessment year 2005-06, 2008-09 and 2009-10

29.052

29.052

Appeal filed by the Company before Jt Commissioner, Vadodara in Sales tax matter relating to purchase of fuel and Additional Tax for financial years 2000-01, 2002-03 and 2004-05

29.187

29.187

Interest and penalty thereon.

 

No liability is expected in view of judicial pronouncement by High Court in similar matter of other Companies.

25.897

25.897

Service tax matters in appeals before Commissioner (Appeals)/CESTAT for 2007-08 to 2012-13.

1.833

0.295

Interest and penalty

1.485

0.365

Arrears of dividend on Preference Share Capital from 17.3.12 to 31.3.14

165.320

84.320

Disputed amount of gas transportation charges including interest-matter pending in appeal before High Court

4.413

4.413

Bills discounted with banks (since realized)

19.284

0.000

 

FIXED ASSETS

 

Tangible Assets

 

  • Land (Free hold) and Site Development
  • Building
  • Plant and Machinery
  • Furniture,Fixtures and Fittings
  • Motor Vehicles
  • Computers

 

Intangible Assets

 

  • Computer system software

 

 

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.63.64

UK Pound

1

Rs.96.81

Euro

1

Rs.71.51

 

 

INFORMATION DETAILS

 

Information Gathered by :

SVA

 

 

Analysis Done by :

RAS

 

 

Report Prepared by :

KVT

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

4

PAID-UP CAPITAL

1~10

3

OPERATING SCALE

1~10

4

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

4

--PROFITABILITY

1~10

4

--LIQUIDITY

1~10

3

--LEVERAGE

1~10

3

--RESERVES

1~10

2

--CREDIT LINES

1~10

3

--MARGINS

-5~5

--

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--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

YES

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

30

 

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.