MIRA INFORM REPORT

Report No. :	320916
Report Date :	09.05.2015

IDENTIFICATION DETAILS

Name :	MOHAN THREAD MILLS PRIVATE LIMITED
Registered Office :	848/7, Govind Puri, Kalkaji, New Delhi - 110019
Tel No.:	91-9312605016 (Mr. Rakesh Khandelwal)
Country :	India
Financials (as on) :	31.03.2014
Date of Incorporation :	26.09.2006
Com. Reg. No.:	55-154294
Capital Investment / Paid-up Capital :	Rs.1.643 Million
CIN No.: [Company Identification No.]	U17291DL2006PTC154294
IEC No.:	Not Available
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	Not Available
Legal Form :	Private Limited Liability Company
Line of Business :	Manufacturer of Threads and Embroidery Yarn.
No. of Employees :	35 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

Ba (46)

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

Maximum Credit Limit :	USD 26000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject is an established company having a satisfactory track record. Financial position of the company seems to be decent. Trade relations are reported as fair. Business is active. Payment terms are reported to be usually 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

Name :	Mr. Rakesh Khandelwal
Designation :	Director
Contact No.:	91-9312605016
Date :	05.05.2015

LOCATIONS

Registered Office :	848/7, Govind Puri, Kalkaji, New Delhi – 110019, India
Tel. No.:	91-11-26486106
Mobile No.:	91-9312605016 (Mr. Rakesh Khandelwal)
Fax No.:	91-11-26445342
E-Mail :	mohanthreads@rediffmail.com
Location :	Owned
Factory :	Located At: · Faridabad
Branch :	Located At: · Noida

DIRECTORS

As on 30.09.2014

Name :	Mr. Dinesh Kumar Khandelwal
Designation :	Director
Address :	307, Tilakkhand Girinagar, Kalkaji, New Delhi - 110019, India
Date of Birth/Age :	24.09.1962
Date of Appointment :	26.09.2006
DIN No.:	01608795
Name :	Mr. Mohan Lal Khandelwal
Designation :	Director
Address :	307, Tilakkhand Girinagar, Kalkaji, New Delhi - 110019, India
Date of Birth/Age :	10.05.1976
Date of Appointment :	26.09.2006
DIN No.:	01610715
Name :	Mr. Rakesh Kumar Khandelwal
Designation :	Director
Address :	307, Tilakkhand Girinagar, Kalkaji, New Delhi - 110019, India
Date of Birth/Age :	11.03.1971
Date of Appointment :	26.09.2006
DIN No.:	01613564

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

As on 30.09.2014

Names of Shareholders	No. of Shares	%age
Dinesh Kumar Khandelwal	59250	36.06
Mohan Lal Khandelwal	20700	12.60
Rakesh Kumar Khandelwal	58250	35.45
Chandrakala	12400	7.55
Dharm Veer	10100	6.15
Krishna Narayan Gupta	3600	2.19
Total	164300	100.00

As on 30.09.2014

Equity Share Break up (Percentage of Total Equity)

Category	Percentage of Holding
Directors or relatives of Directors	100.00
Total	100.00

BUSINESS DETAILS

Line of Business :	Manufacturer of Threads and Embroidery Yarn.
Products :	v Embroidery Thread v Polyester Jari Thread v Trilobal Polyester Embroidery Threads v Spun Polyester Yarn v Trilobal Polyester Embroidery Thread v Metallic Yarn v Polyester Embroidery Thread v Pearl Cotton Thread v Mercerized Braided Embroidery Thread v Stranded Thread v Silk Embroidery Thread v Cotton Embroidery Dori v Embroidery Yarn v Metallic Dori v Knitting Cotton Thread v Knitting Cotton White Yarn
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Divulged
Imports :	Not Divulged
Terms :
Selling :	Cash and Credit (30, 60 and 90 Days)
Purchasing :	Cash and Credit (30, 60 and 90 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 :	--

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 :	--

No. of Employees :

35 (Approximately)

Bankers :

Banker Name	Punjab and Sind Bank
Branch Address	Okhla Industrial Area – 1, New Delhi – 110020, 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)	Not Divulged
Account Operation	Not Divulged
Remarks (If any)	--

Standard Charted Bank

Facilities :

SECURED LOANS	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
Car Loan - Punjab and Sind Bank	0.125	0.198
SHORT TERM BORROWINGS
From Bank
Cash Credit Facility - Punjab and Sind Bank	4.946	4.505
Total	5.071	4.703

Auditors :
Name :	KSJ and Company Chartered Accountants
Address :	M-1, Malviya Nagar, New Delhi – 110017, India
PAN No. :	AADFK7691L
Memberships :	--
Collaborators :	--
Associates / Subsidiaries :	Nil

CAPITAL STRUCTURE

As on 31.03.2014

Authorised Capital :

No. of Shares	Type	Value	Amount
250000	Equity Shares	Rs.10/- each	Rs.2.500 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
164300	Equity Shares	Rs.10/- each	Rs.1.643 Million

FINANCIAL DATA

[all figures are in Rupees Millions]

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	1.643	0.990	0.990
(b) Reserves & Surplus	7.365	3.950	3.487
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	3.600	3.550
Total Shareholders’ Funds (1) + (2)	9.008	8.540	8.027
(3) Non-Current Liabilities
(a) long-term borrowings	8.298	4.645	0.000
(b) Deferred tax liabilities (Net)	0.046	0.037	0.038
(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)	8.344	4.682	0.038
(4) Current Liabilities
(a) Short term borrowings	4.946	4.505	4.769
(b) Trade payables	9.683	7.608	5.364
(c) Other current liabilities	1.776	1.098	0.823
(d) Short-term provisions	0.220	0.217	0.183
Total Current Liabilities (4)	16.625	13.428	11.139
TOTAL	33.977	26.650	19.204
II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	7.902	4.457	3.250
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	0.000	0.000	0.856
(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	0.931	0.931	0.024
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	8.833	5.388	4.130
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	8.259	7.290	4.239
(c) Trade receivables	15.576	12.500	10.385
(d) Cash and cash equivalents	0.733	0.859	0.266
(e) Short-term loans and advances	0.576	0.613	0.184
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	25.144	21.262	15.074
TOTAL	33.977	26.650	19.204

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2014	31.03.2013	31.03.2012
	SALES
		TOTAL	NA	NA	NA
Less	EXPENSES
		TOTAL	NA	NA	NA
	PROFIT/ (LOSS) BEFORE TAX		0.706	0.679	0.607
Less	TAX		0.229	0.216	0.188
	PROFIT/ (LOSS) AFTER TAX		0.477	0.463	0.419
	Earnings / (Loss) Per Share (Rs.)		2.90	2.82	2.55

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Return on Total Assets (PBT/Total Assets}	(%)	2.08	2.55	3.31
Return on Investment (ROI) (PBT/Networth)		0.08	0.08	0.08
Debt Equity Ratio (Total Debt/Networth)		1.47	1.07	0.59
Current Ratio (Current Asset/Current Liability)		1.51	1.58	1.35

FINANCIAL ANALYSIS

[all figures are in Rupees Millions]

DEBT EQUITY RATIO

Particular	31.03.2012	31.03.2013	31.03.2014
	(Rs. In Millions)	(Rs. In Millions)	(Rs. In Millions)
Share Capital	0.990	0.990	1.643
Reserves & Surplus	3.487	3.950	7.365
Net worth	4.477	4.940	9.008
long-term borrowings	0.000	4.645	8.298
Short term borrowings	4.769	4.505	4.946
Total borrowings	4.769	9.150	13.244
Debt/Equity ratio	1.065	1.852	1.470

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	No
18]	Major customers	No
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

NOTE:

The registered address of the company has been shifted from 307, Tilak Khand, giri Nagar, Kakaji, New Delhi – 110019, India to the present address w.e.f 01.12.2006

UNSECURED LOANS

PARTICULAR	31.03.2014 (Rs. In Millions)	31.03.2013 (Rs. In Millions)
LONG TERM BORROWINGS
From Bank
Loan from Standard Charted Bank	4.383	4.839
Transferred to other current liabilities	(0.820)	(0.392)
From Others
Loan from Reliance Capital Limited	1.848	0.000
Transferred to other current liabilities	(0.488)	0.000
From Directors
Loan from Director	3.250	0.000
Total	8.173	4.447

INDEX OF CHARGES

S.No.	Charge ID	Date of Charge Creation/Modification	Charge amount secured	Charge Holder	Address	Service Request Number (SRN)
1	10425045	30/04/2013	2,200,000.00	RELIANCE CAPITAL LTD	"H" BLOCK 1ST FLOOR, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai, Maharashtra - 400710, INDIA	B74913609
2	10375777	30/08/2012	5,000,000.00	RELIANCE CAPITAL LTD	"H" BLOCK 1ST FLOOR, Dhirubhai Ambani Knowledge City, Koparkhairne, Navi Mumbai, Maharashtra - 400710, INDIA	B57818510
3	10197142	15/11/2014 *	9,810,770.90	Punjab & Sind Bank	Okhla Industrial Area-I, New Delhi, New Delhi, Delhi - 110020, INDIA	C36245041

* Date of charge modification

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.64.05
UK Pound	1	Rs.99.04
Euro	1	Rs.71.76

INFORMATION DETAILS

Information Gathered by :	MNJ
Analysis Done by :	RAS
Report Prepared by :	ANK

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	5
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
-- PROFITABILITY	1~10	5
--LIQUIDITY	1~10	5
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--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	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		46

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.