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Report No. : |
342741 |
|
Report Date : |
03.10.2015 |
IDENTIFICATION DETAILS
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Name : |
JEDI DIA. TRADING LTD. |
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|
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Registered Office : |
Unit 911, 9/F., Peninsula square, 18 Sung On Street, Hunghom, Kowloon |
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|
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Country : |
Hongkong |
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Date of Incorporation : |
121.06.2006 |
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Com. Reg. No.: |
36842173 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer, Exporter
and Wholesaler of all kinds of diamonds and jewellery products, emerald,
precious stones |
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No. of Employees : |
3 |
RATING & COMMENTS
|
MIRA’s Rating : |
Ba |
|
RATING |
STATUS |
PROPOSED CREDIT LINE |
|
|
41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES:
Any query related to this report can be made
on e-mail: infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – March 31, 2015
|
Country Name |
Previous Rating (31.12.2014) |
Current Rating (31.03.2015) |
|
Hongkong |
A1 |
A1 |
|
Risk Category |
ECGC
Classification |
|
Insignificant |
A1 |
|
Low |
A2 |
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Moderate |
B1 |
|
High |
B2 |
|
Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
HONGKONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on
international trade and finance - the value of goods and services trade,
including the sizable share of re-exports, is about four times GDP. Hong Kong
has no tariffs on imported goods, and it levies excise duties on only four
commodities, whether imported or produced locally: hard alcohol, tobacco,
hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong
Kong's open economy left it exposed to the global economic slowdown that began
in 2008. Although increasing integration with China, through trade, tourism,
and financial links, helped it to make an initial recovery more quickly than
many observers anticipated, its continued reliance on foreign trade and
investment leaves it vulnerable to renewed global financial market volatility
or a slowdown in the global economy. The Hong Kong government is promoting the
Special Administrative Region (SAR) as the site for Chinese renminbi (RMB)
internationalization. Hong Kong residents are allowed to establish
RMB-denominated savings accounts; RMB-denominated corporate and Chinese
government bonds have been issued in Hong Kong; and RMB trade settlement is
allowed. The territory far exceeded the RMB conversion quota set by Beijing for
trade settlements in 2010 due to the growth of earnings from exports to the
mainland. RMB deposits grew to roughly 12.5% of total system deposits in Hong
Kong by the end of 2014. The government is pursuing efforts to introduce
additional use of RMB in Hong Kong financial markets and is seeking to expand
the RMB quota. The mainland has long been Hong Kong's largest trading partner,
accounting for about half of Hong Kong's total trade by value. Hong Kong's
natural resources are limited, and food and raw materials must be imported. As
a result of China's easing of travel restrictions, the number of mainland
tourists to the territory has surged from 4.5 million in 2001 to 47.3 million
in 2014, outnumbering visitors from all other countries combined. Hong Kong has
also established itself as the premier stock market for Chinese firms seeking
to list abroad. In 2014 mainland Chinese companies constituted about 50% of the
firms listed on the Hong Kong Stock Exchange and accounted for about 60.1% of the
Exchange's market capitalization. During the past decade, as Hong Kong's
manufacturing industry moved to the mainland, its service industry has grown
rapidly. Credit expansion and tight housing supply conditions have caused Hong
Kong property prices to rise rapidly; consumer prices increased by more than
4.4% in 2014. Lower and middle income segments of the population are
increasingly unable to afford adequate housing. Hong Kong continues to link its
currency closely to the US dollar, maintaining an arrangement established in
1983. In 2014, Hong Kong and China signed a new agreement on achieving basic
liberalization of trade in services in Guangdong Province under the Closer
Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong
Kong and the mainland. The new measures, effective from March 2015, cover a
negative list and a most-favored treatment provision, and will improve access
to the mainland's service sector for Hong Kong-based companies.
|
Source
: CIA |
JEDI DIA.
TRADING LTD.
ADDRESS: Unit 911, 9/F., Peninsula
square, 18 Sung On Street, Hunghom, Kowloon, Hong Kong.
PHONE: 852-3525
0287
FAX: 852-3525
0286, 3825 0286
E-MAIL: jedidia@netvigator.com
Managing Director:
Mr. Devang Sevantilal Shah
Incorporated on: 12th June, 2006.
Organization: Private Limited Company.
Issued Share Capital: HK$3,000,000.00
Business Category: Diamond
Trader.
Employees: 3.
Main Dealing Banker: The
Hongkong & Shanghai Banking Corp. Ltd., Hong Kong.
Banking Relation: Satisfactory.
Registered Head
Office:-
Unit 911, 9/F., Peninsula square, 18 Sung On Street,
Hunghom, Kowloon, Hong Kong.
Affiliated Company:-
SG Trading Co., Hong Kong. [Business ceased]
36842173
1051596
Managing Director:
Mr. Devang Sevantilal Shah
Mobile Phone No.: 852-852-9099
7486
Contact Person: Mr. Harsh Zhaveri
HK$3,000,000.00
(As per registry dated 12-06-2015)
|
Name |
|
No. of shares |
|
Devang Sevantilal SHAH |
|
2,250,000 |
|
Jagruti Devang SHAH |
|
750,000 |
|
|
|
–––––––– |
|
|
Total: |
3,000,000 ======= |
(As per registry dated 12-06-2015)
|
Name (Nationality) |
Address |
|
Devang Sevantilal SHAH |
Flat B-1, 13/F., Burlington House, 92 Nathan Road,
Tsimshatsui, Kowloon, Hong Kong. |
|
Jagruti Devang SHAH |
Flat B-1, 13/F., Burlington House, 92 Nathan Road,
Tsimshatsui, Kowloon, Hong Kong. |
(As per registry dated 12-06-2015)
|
Name |
Address |
Co. No. |
|
Taxbase Consultants Ltd. |
Room 1408, 14/F., Hollywood Plaza, 610 Nathan Road, Mongkok,
Kowloon, Hong Kong. |
0411324 |
The subject was
incorporated on 12th June, 2006 as a private limited liability company under
the Hong Kong Companies Ordinance.
Formerly the subject
was located at Flat 1, 9/F., Block B, Burlington House, 92-94C Nathan Road,
Tsimshatsui, Kowloon, Hong Kong, moved to Flat 1, 13/F., Block B of the same
building in June 2010, to Room 1507, 15/F., Multifield Plaza, 3-7A Prat Avenue,
Tsimshatsui, Kowloon, Hong Kong with effect from 19th July, 2010; moved to Suite
B & C, 5/F., Cameron Plaza, 23‑25A Cameron Road, Tsimshatsui,
Kowloon, Hong Kong in late 2011 and further to the present address in late
2013.
Apart from these,
neither material change nor amendment has been ever traced and noted.
Activities: Importer,
Exporter and Wholesaler.
Lines: All
kinds of diamonds and jewellery products, emerald, precious stones
Employees: 3.
Commodities Imported: India,
Belgium, other European and Asian countries, etc.
Markets: Japan,
Taiwan, India, Southeast Asian countries, Middle East, Europe, etc.
Terms/Sales: L/C, T/T, etc.
Terms/Buying: L/C, T/T, D/P, etc.
Issued Share Capital: HK$3,000,000.00
Mortgage or Charge: (See attachment)
Profit or Loss: Made
small profits in the past years.
Condition: Keeping in a normal manner.
Facilities: Making active use of general
banking facilities.
Payment: Met trade commitments as
contracted.
Commercial Morality:
Satisfactory.
Banker: The Hongkong &
Shanghai Banking Corp. Ltd., Hong Kong.
Standing: Normal.
GENERAL
Jedi Dia. Trading
Ltd. formerly was jointly owned by three India merchants, namely, Mr. Devang
Sevantilal Shah, holding 25% interests; Mr. Jagruti Devang Shah, also holding
25%; and Mr. Darpil Narendra Shah, 50%.
On 20th December, 2013 D N Shah transferred all his shares to D S Shah,
and since then the subject has been jointly held by D S Shah, who is holding
75%, while J D Shah, still holding 25%.
The subject has increased
its issued share capital from HK$4.00 to HK$3 million.
The subject moved to
the present address in late 2013.
Devang Sevantilal
Shah and Jagruti Devang Shah are Hong Kong ID Card holders and have got the
right to reside in Hong Kong permanently.
D. S. Shah can be reached at his Hong Kong mobile phone number 852-9099
7486 while D. N. Shah can be reached at his Hong Kong mobile phone number
852-9748 6804. The two Shahs are also
directors of the subject.
The subject is a
diamond importer, exporter and wholesaler.
It is engaged in manufacturing loose diamonds like white marquise, Pear
Shape Diamonds: VVS-SI, D-H Colour, Size ranges from 0.04 cts to 0.7 cts. White Round Diamonds: VVS-PK, F-J Colour, Size: -2, -6, ˝, +6 – ˝,
0.10 cts to 0.50 cts.
The subject also
trades in tappers, buggets and rose cut diamonds range from 0.005 cts to 1
cts. Some of the diamonds are over 1
cts. Most of the diamonds bear the
trademark Jedi Dia.
Commodities are
chiefly imported from India, Belgium, other European and Asian countries.
Finished products are exported to China, Japan, Taiwan, India, the other Asian
countries, the Middle East, Europe, etc.
Business keeps is normal.
Formerly D. S. Shah
was also a partner of a partnership SG Trading Co. which was located at a
different address. However, SG Trading
Co. has ceased business since 15th January, 2007.
In order to penetrate
the international market further, the subject has taken part in fairs and
exhibitions held in Hong Kong and other foreign large cities. For instance, it is going to take part in
“HKTDC Hong Kong International Diamond, Gem & Pearl Show 2016” which will
be held in Hong Kong AsiaWorld-Expo, Lantau, Hong Kong during the period of 1st
to 5th March, 2016.
The subject’s
business is chiefly handled by D. S. Shah and J. D. Shah. The subject is a business of the Shah
family. The contact person of the
subject is Mr. Harsh Zhaveri.
The subject operates
from its own office in Hong Kong.
The history of the
subject in Hong Kong is over nine years and three months.
On the whole,
consider it good for normal business engagements.
|
Date |
Particulars |
Amount |
|
16-08-2010 |
Instrument: Assignment of Receivables – General
with Notice of Assignment Property: In consideration of the Banking Facilities, the
Customer, as beneficial owner and by way of security for the payment of the
Secured Monies, hereby assigns, and agrees to assign, to the Bank the
Receivables until all the Secured Monies have been paid or discharged Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
To secure all monies in respect of banking facilities |
|
10-08-2012 |
Instrument: Mortgage Property: 926/588,444th parts or shares of and in Kowloon Inland
Lot No. 10985 ( Unit 11 on 9/F. of West Wing Peninsula Square, 18 Sung On
Street, Kowloon, Hong Kong.) Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
To secure general banking facilities |
|
21-03-2012 |
Instrument: Assignment of Life Insurance Property: (i) all the Assignor’s claims, options, privileges,
right , title, interest and benefit in and under the Insurance; and (ii) all
the Assignor’s claims and rights against the issuer of the Policy. Insurance Policy Number: 28004616-50 Name of Insurance Company: HSBC Life (International)
Ltd. Name of the Insured: Devang Sevantilal Shah Assignor/Policy Owner: Jedi Dia Trading Ltd. Mortgagee: The Hongkong & Shanghai Banking
Corp. Ltd., Hong Kong. |
(i) all and any monies and liabilities in any currency
whenever and however incurred, owing by the Assignor to the Bank, including
amounts payable by the Assignor under this Deed; (ii) interest on such
monies; (iii) all monies paid by the Bank in respect of the Policy pursuant
to the terms of this Deed; and (iv) all expenses of the Bank in perfecting or
enforcing this Deed |
DIAMOND INDUSTRY – INDIA
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From time immemorial, India is well known in the world
as the birthplace for diamonds. It is difficult to trace the origin of
diamonds but history says that in the remote past, diamonds were mined only in
India. Diamond production in India can be traced back to almost 8th
Century B.C. India, in fact, remained undisputed leader till 18th
Century when Brazilian fields were discovered in 1725 followed by emergence of
S. Africa, Russia and Australia.
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The achievement of the Indian diamond industry was
possible only due to combination of the manufacturing skills of the Indian
workforce and the untiring and unflagging efforts of the Indian diamantaires,
supported by progressive Government policies.
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The area of study of family owned diamond businesses
derives its importance from the huge conglomerate of family run organizations
which operate in the diamond industry since many generations.
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Some of the basic traits of family run business
enterprises include spirit of entrepreneurship, mutual trust lowers transaction
costs, small, nimble and quick to react, information as a source of advantage
and philanthropy.
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Family owned diamond businesses need to improve on
many fronts including higher standard of corporate governance, long-term
performance – focused strategies, modern management and technology.
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Utmost caution is to be exercised while dealing with
some medium and large diamond traders which are usually engaged in fictitious
import – export, inter-company transactions, financially assisted by banks. In
the process, several public sector banks lost several hundred million rupees.
They mostly diverted borrowed money for diamond business into real estate and
capital markets.
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Excerpts from Times of India dated 30th
October 2010 is as under –
-
Gem & Jewellery Export Promotion Council in its
statistical data has shown the export of polished diamonds to have increase by 28
% in February 2013. Compared to $ 1.4 bn worth of polished diamond export in
February, 2012, India exported $ 1.84 billion worth of polished diamonds in
February 2013. A senior executive of GJEPC said, “Export of cut and polished
diamonds started falling month-wise after the imposition of 2 % of import duty
on the polished diamonds. But February, 2013 has given a new ray of hope to the
industry as the export of polished diamonds has actually increased by 28 %. It
means the industry is on the track of recovery and round tripping of
diamonds has stopped completely.” Demand has started coming from the US, the
UK, Japan and China. India’s polished diamond export is expected to cross $ 21
bn in 2013-14.
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The banking sector has started exercising restraint
while following prudent risk management norms when lending money to gems and
jewellery sector. This follows the implementation of Basel III accord – a
global voluntary regulatory standard on bank capital adequacy, stress testing
and market liquidity.
FOREIGN EXCHANGE RATES
|
Currency |
Unit
|
Indian Rupees |
|
US Dollar |
1 |
Rs.65.55 |
|
|
1 |
Rs.99.17 |
|
Euro |
1 |
Rs.73.08 |
INFORMATION DETAILS
|
Analysis Done by
: |
DIV |
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Report Prepared
by : |
NIT |
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 |
-- |
|
This score serves as a reference to assess SC’s
credit risk and to set the amount of credit to be extended. It is calculated
from a composite of weighted scores obtained from each of the major sections of
this report. The assessed factors and their relative weights (as indicated
through %) are as follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend (10%) Operational size
(10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or
its officials.