MIRA INFORM REPORT

Report No. :	343146
Report Date :	06.10.2015

IDENTIFICATION DETAILS

Name :	SHIVAM IRON AND STEEL COMPANY LIMITED

Registered Office :	20B, Abdul Hamid Street, 9th Floor, East India, Kolkata – 700069, West Bengal
Mobile No.:	91-9204651377 (Mr. Hitesh)

Country :	India

Financials (as on) :	31.03.2014

Date of Incorporation :	16.09.1998

Com. Reg. No.:	21-153383

Capital Investment / Paid-up Capital :	Rs. 241.369 Million

CIN No.: [Company Identification No.]	U00331WB1998PLC153383

IEC No.:	2104000807

TAN No.: [Tax Deduction & Collection Account No.]	RCHS00811G

PAN No.: [Permanent Account No.]	AAECS1926J

Legal Form :	A Closely Held Public Limited Liability Company

Line of Business :	Manufacturer and Exporter of Iron and Steel, TMT Bar, Ferro Alloys etc.

No. of Employees :	250 (Approximately)

RATING & COMMENTS

MIRA’s Rating :

B (31)

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 :	Clear

Comments :	Subject is an established company incorporated in the year 1998 having moderate track. General financial position of the company seems to be fair. However, the rating takes into consideration continuous decline in the profit margin due to volatility in steel prices and exposure to intense competition. Further, the rating also takes into consideration working capital intensive nature of business operation and slowdown in steel industry. Their trade relations are reported as fair. Business is active. Payments terms are reported slow but correct. The company can be considered for business dealings with some caution.

NOTES :

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

ECGC Country Risk Classification List – March 31, 2015

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

India

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

EXTERNAL AGENCY RATING

Rating Agency Name	CRISIL
Rating	Long Term Rating = B-
Rating Explanation	High risk of default
Date	April, 2015

Rating Agency Name	CRISIL
Rating	Short Term Rating = A4
Rating Explanation	Minimal degree of safety and carry very high credit risk.
Date	April, 2015

RBI DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available RBI Defaulters’ list.

EPF (Employee Provident Fund) DEFAULTERS’ LIST STATUS

Subject’s name is not enlisted as a defaulter in the publicly available EPF (Employee Provident Fund) Defaulters’ list as of 31-03-2015.

INFORMATION PARTED BY

Name :	Mr. M Mukherjee
Designation :	G.M. Commercial and Marketing
Contact No.:	91-9831180634

LOCATIONS

Registered Office:	20B, Abdul Hamid Street, 9th Floor, Fast India, Kolkata – 700069, West Bengal, India
Tel. No.:	91-6532-250073
Mobile No.:	91-9204651377 (Mr. Hitesh)
Fax No.:	91-6532-229326
E-Mail :	shivam76@rediffmail.com info@shivamiron.com shivam@shivamiron.com gmukherjee2009@gmail.com
Website :	www.shivamiron.com

Factory 1 :	Dukhia Mahadev Temple Road, At Jambad, PO: Udnabad, Giridih – 815 301, Jharkhand
Tel. No.:	91-6532-244182/ 244027
Tele Fax No.:	91-6532-244082
E-Mail :	info@shivamiron.com shivam@shivamiron.com

Factory 2 :	At Chandwara, District Koderma
E-Mail :	info@shivamiron.com shivam@shivamiron.com

Administrative Office :	Kayani Apartment, 1^st Floor Tah Complex, Gandhi Chowck, Giridh – 815 301, Jharkhand, India
Tel. No.:	91-6632-250821 / 250073
Fax No.:	91-6532-229326 / 225951

Branches :	Located at: · Orissa · Nagpur

DIRECTORS

AS ON 30.09.2014

Name :

Mr. Arun Kumar Agarwala

Designation :

Managing Director

Address :

Station Road, Giridih - 815301, Jharkhand, India

Date of Birth/Age :

01.08.1960

Qualification :

Graduate

Date of Appointment :

26.07.2004

Voter ID No.:

KDW0090242

PAN No.:

ABPPA0122K

DIN No.:

00575599

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	U51109WB1995PTC070170	LILAC VINIMAY PRIVATE LIMITED	Director	16/06/2003	16/06/2003	-	Active	NO
2	U27101JH2002PLC009902	SATYAM FERRO TECH LIMITED	Director	20/04/2004	20/04/2004	-	Amalgamated	NO
3	U00331WB1998PLC153383	SHIVAM IRON AND STEEL COMPANY LIMITED	Managing director	26/07/2004	26/07/2004	-	Active	NO
4	U27102WB2004PTC099306	SUNDARAM FERRO TECH PRIVATE LIMITED	Director	30/07/2004	30/07/2004	-	Amalgamated	NO
5	U65993WB1996PTC077291	BENZMARK CREDIT CAPITAL PRIVATE LIMITED	Director	5/11/2004	5/11/2004	-	Active	NO
6	U65999WB1993PTC058191	ALMAL FINANCIERS AND CONSULTANTS PRIVATE LIMITED	Additional director	2/5/2015	2/5/2015	-	Active	NO

Name :

Mr. Binod Kumar Agarwala

Designation :

Director

Address :

Chowk Bazar, Giridih - 815301, Jharkhand, India

Date of Birth/Age :

03.01.1963

Qualification :

Graduate

Date of Appointment :

21.09.1998

Voter ID No.:

BR/46/275/174455

PAN No.:

ABPPA0123J

DIN No.:

00575464

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	U00331WB1998PLC153383	SHIVAM IRON AND STEEL COMPANY LIMITED	Director	21/09/1998	21/09/1998	-	Active	NO
2	U27101JH2002PLC009902	SATYAM FERRO TECH LIMITED	Director	22/08/2002	22/08/2002	-	Amalgamated	NO
3	U27102WB2004PTC099306	SUNDARAM FERRO TECH PRIVATE LIMITED	Director	19/12/2006	19/12/2006	-	Amalgamated	NO
4	U51109WB2008PTC125584	SUNDARAM EXIM PRIVATE LIMITED	Director	10/5/2008	10/5/2008	-	Strike off	NO
5	U23201WB2007PLC118619	SUNDARAM ALLOYS LIMITED	Director	22/04/2010	22/04/2010	27/05/2010	Active	NO
6	U65910WB2006PTC107487	GAJANAND BARTER PRIVATE LIMITED	Director	28/06/2010	28/06/2010	22/09/2010	Active	NO

Name :

Mr. Pramod Kumar Agarwala

Designation :

Director

Address :

Chowk Bazar, Giridih - 815301, Jharkhand, India

Date of Birth/Age :

26.07.1966

Qualification :

Graduate

Date of Appointment :

16.09.1998

Voter ID No.:

KDW0090226

PAN No.:

ABPPA0125Q

DIN No.:

00575433

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	U00331WB1998PLC153383	SHIVAM IRON AND STEEL COMPANY LIMITED	Director	16/09/1998	16/09/1998	-	Active	NO
2	U23109JH1993PTC005217	BALAJI COMMERCIAL COMPANY PRIVATE LIMITED	Director	1/3/2001	1/3/2001	1/2/2008	Active	NO
3	U51909WB1995PTC067638	MUBARAK COSMETIC PRIVATE LIMITED	Director	7/4/2005	7/4/2005	16/08/2010	Active	NO
4	U27102WB2004PTC099306	SUNDARAM FERRO TECH PRIVATE LIMITED	Director	30/04/2007	30/04/2007	-	Amalgamated	NO
5	U93090JH2007NPL013038	GIRIDIH GYMKHANA CLUB	Director	4/6/2007	4/6/2007	28/12/2012	Active	NO
6	U51109WB2008PTC125584	SUNDARAM EXIM PRIVATE LIMITED	Director	10/5/2008	10/5/2008	-	Strike off	NO
7	U23201WB2007PLC118619	SUNDARAM ALLOYS LIMITED	Director	31/10/2013	25/02/2010	7/3/2015	Active	NO

Name :

Mr. Sanjay Kumar Jalan

Designation :

Director

Address :

Babhantoli, Giridih - 815301, Jharkhand, India

Date of Birth/Age :

30.07.1967

Date of Appointment :

06.07.2012

DIN No.:

00576987

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	U27102WB2004PTC099306	SUNDARAM FERRO TECH PRIVATE LIMITED	Director	20/04/2006	20/04/2006	-	Amalgamated	NO
2	U51311WB1996PTC081614	DHERAR TEXTILES PRIVATE LIMITED	Director	2/12/2009	2/12/2009	-	Active	NO
3	U00331WB1998PLC153383	SHIVAM IRON AND STEEL COMPANY LIMITED	Director	6/7/2012	6/7/2012	-	Active	NO

Name :

Mr. Shiv Kumar Agarwala

Designation :

Director

Address :

Chowk Bazar, Giridih- 815301, Jharkhand, India

Date of Birth/Age :

15.03.1962

Qualification :

Graduate

Date of Appointment :

01.07.2001

PAN No.:

ABQPA8327F

Voter ID No.:

KDW0884008

DIN No.:

00575394

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	U23109JH1993PTC005217	BALAJI COMMERCIAL COMPANY PRIVATE LIMITED	Director	1/3/2001	1/3/2001	-	Active	NO
2	U00331WB1998PLC153383	SHIVAM IRON AND STEEL COMPANY LIMITED	Director	1/7/2001	1/7/2001	-	Active	NO
3	U27101JH2002PLC009902	SATYAM FERRO TECH LIMITED	Director	28/03/2006	28/03/2006	-	Amalgamated	NO
4	U51311WB1996PTC081614	DHERAR TEXTILES PRIVATE LIMITED	Director	2/12/2009	12/4/2007	-	Active	NO
5	U51109WB2008PTC125584	SUNDARAM EXIM PRIVATE LIMITED	Director	10/5/2008	10/5/2008	-	Strike off	NO

KEY EXECUTIVES

Name :	Mr. Ganesh Mukherjee
Designation :	G. M. in Commercial Marketing

MAJOR SHAREHOLDERS

AS ON 30.09.2014

(SHAREHOLDING DETAILS FILE ATTACHED)

Equity Share Break up (Percentage of Total Equity)

AS ON 30.09.2014

Category	Percentage
Bodies corporate	77.16
Directors or relatives of Directors	22.56
Other top fifty shareholders	0.28
Total	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer and Exporter of Iron and Steel, TMT Bar, Ferro Alloys etc.

Products :

Item Code No.	Product Description
27040030	HARD COKE
72142090	M. S. BAR
72011000	PIG IRON
72023000	S I L I C O MANGANESE

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Products :

Iron and Steel
TMT Bar
Ferro Alloys etc.

Countries :

Pakistan,
Japan
Taiwan
Iron
Saudi Arabia
South America

Imports :

Products :

Raw Material

Countries :

Australia
South Africa

Terms :

Selling :

Cash and Credit (30 Days)

Purchasing :

Cash and Credit (30 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 :

Retailers, End Users and OEMs

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 :

250 (Approximately)

Bankers :

Punjab National Bank, Bhorandiha Branch, Bhorandiha, Giridih - 815301, Jharkhand, India

HDFC Bank Limited, HDFC Bank House Senapati Bapat Marg, Lower Parel (West), Mumbai- 400013, Maharashtra, India

Bank of India, Giridih Branch, Katchery Road, Giridih, JharkhaNd - 815301, India

Banker Name	State Bank of India
Branch Address	Overseas Branch, Kolkata, West Bengal, 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)	1250.000 million (Fund + non fund)
Account Operation	Not Divulged
Remarks (If any)	Not Divulged

Facilities :

(Rs. In Million)

SECURED LOAN	As on 31.03.2014	As on 31.03.2013
LONG TERM BORROWING
Rupee term loans from banks	273.427	380.455
SHORT TERM BORROWING
Loans repayable on demand from banks [Hypothecation Of Current Assets ]	1299.384	1232.803
Total	1536.811	1613.258

Auditors :
Name :	Kedia Agarwal and Associates Chartered Accountants
Address :	Tah Complex, Gandhi Chowk, Giridh - 815301, Jharkhand, India
Tel. No.:	91-6532-222639
Mobile No.:	91-9431144160 / 9835505990
Fax No.:	91-6532-222639
E-Mail :	sk-kaagrd@yahoo.co.in
PAN N Income-tax PAN of auditor or auditor's firm :	AACFK6368H

Memberships :	Not Available

Collaborators :	Not Available

Related Party:	Baba Strip and Tubes Limited, India [U27310WB2007PLC114311] Balaji Commercial Company Private Limited, India [U23109JH1993PTC005217] Sundaram Alloys Limited, India [U23201WB2007PLC118619]

CAPITAL STRUCTURE

After 30.09.2014

Authorised Capital: Rs. 250.000 Million

Issued, Subscribed & Paid-up Capital: Rs. 248.789 Million

AS ON 30.09.2014

Authorised Capital :

No. of Shares	Type	Value	Amount

25000000	Equity Shares	Rs.10/- each	Rs.250.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount

24136920	Equity Shares	Rs.10/- each	Rs.241.369 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	241.369	241.109	226.109
(b) Reserves & Surplus	1570.714	997.257	912.055
(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)	1812.083	1238.366	1138.164

(3) Non-Current Liabilities
(a) long-term borrowings	273.427	380.455	500.424
(b) Deferred tax liabilities (Net)	19.965	18.955	18.253
(c) Other long term liabilities	27.426	29.981	34.405
(d) long-term provisions	0.000	0.000	0.000
Total Non-current Liabilities (3)	320.818	429.391	553.082

(4) Current Liabilities
(a) Short term borrowings	1299.384	1232.803	1020.290
(b) Trade payables	275.490	171.674	59.522
(c) Other current liabilities	97.043	61.251	459.324
(d) Short-term provisions	2.660	0.000	0.000
Total Current Liabilities (4)	1674.577	1465.728	1539.136

TOTAL	3807.478	3133.485	3230.382

II. ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	1401.757	961.187	1045.327
(ii) Intangible Assets	0.000	0.000	0.000
(iii) Capital work-in-progress	59.621	55.872	63.023
(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	5.433
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	1461.378	1017.059	1113.783

(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	1559.434	1295.258	1181.558
(c) Trade receivables	434.950	451.952	394.791
(d) Cash and cash equivalents	84.164	103.291	88.640
(e) Short-term loans and advances	204.704	213.364	390.716
(f) Other current assets	62.848	52.561	60.894
Total Current Assets	2346.100	2116.426	2116.599

TOTAL	3807.478	3133.485	3230.382

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2014	31.03.2013	31.03.2012
	SALES
	Income	4550.311	3392.256	3721.040
	Other Income	7.087	5.747	17.605
	TOTAL (A)	4557.398	3398.003	3738.645

Less	EXPENSES
	Cost of Materials Consumed	2957.161	2037.354	2497.546
	Purchases of Stock-in-Trade	0.000	22.744	13.102
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	130.955	(70.802)	(236.774)
	Employees benefits expense	25.719	30.071	45.434
	Other expenses	1015.914	953.222	1076.432
	TOTAL (B)	4129.749	2972.589	3395.740

Less	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (C)	427.649	425.414	342.905

Less	FINANCIAL EXPENSES (D)	259.941	246.439	173.404

	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)	167.708	178.975	169.501

Less/ Add	DEPRECIATION/ AMORTISATION (F)	127.808	140.758	114.793

	PROFIT/ (LOSS) BEFORE TAX (E-F) (G)	39.900	38.217	54.708

Less	TAX (H)	15.998	13.017	18.043

	PROFIT/ (LOSS) AFTER TAX (G-H) (I)	23.902	25.200	36.665

	Earnings / (Loss) Per Share (Rs.)	0.99	1.11	2.32

Particulars

31.03.2015

Sales Turnover (Approximately)

2000.000

(Due to market Fluctuation)

The above information has been parted by Mr. Ganesh Mukherjee (G.M. Commercial and Marketing).

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2014	31.03.2013	31.03.2012
Current Maturities of Long term debt	NA	NA	NA
Cash generated from operations	NA	NA	NA
Net cash flows from (used in) operations	39.900	38.217	190.985

KEY RATIOS

PARTICULARS		31.03.2014	31.03.2013	31.03.2012
Net Profit Margin (PAT / Sales)	(%)	0.53	0.74	0.99

Operating Profit Margin (PBIDT/Sales)	(%)	9.40	12.54	9.22

Return on Total Assets (PBT/Total Assets}	(%)	1.06	1.24	1.73

Return on Investment (ROI) (PBT/Networth)		0.02	0.03	0.05

Debt Equity Ratio (Total Debt /Networth)		0.87	1.30	1.34

Current Ratio (Current Asset/Current Liability)		1.40	1.44	1.38

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	226.109	241.109	241.369
Reserves & Surplus	912.055	997.257	1570.714
Net worth	1138.164	1238.366	1812.083

long-term borrowings	500.424	380.455	273.427
Short term borrowings	1020.290	1232.803	1299.384
Total borrowings	1520.714	1613.258	1572.811
Debt/Equity ratio	1.336	1.303	0.868

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	3721.040	3392.256	4550.311
		(8.836)	34.138

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	3721.040	3392.256	4550.311
Profit	36.665	25.200	23.902
	0.99%	0.74%	0.53%

LOCAL AGENCY FURTHER INFORMATION

Sr. No.	Check list by info agents	Available in Report (Yes/No)
1	Year of establishment	Yes
2	Constitution of the entity -Incorporation details	Yes
3	Locality of the entity	Yes
4	Premises details	No
5	Buyer visit details	--
6	Contact numbers	Yes
7	Name of the person contacted	Yes
8	Designation of contact person	Yes
9	Promoter’s background	Yes
10	Date of Birth of Proprietor / Partners / Directors	Yes
11	Pan Card No. of Proprietor / Partners	Yes
12	Voter Id Card No. of Proprietor / Partners	No
13	Type of business	Yes
14	Line of Business	Yes
15	Export/import details (if applicable)	Yes
16	No. of employees	Yes
17	Details of sister concerns	Yes
18	Major suppliers	No
19	Major customers	No
20	Banking Details	Yes
21	Banking facility details	Yes
22	Conduct of the banking account	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	Yes
26	Turnover of firm for last four years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last three years	Yes
30	Major shareholders, if available	Yes
31	External Agency Rating, if available	Yes
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	Yes
35	Negative Reporting by Auditors in the Annual Report	No

NOTE: Registered office of the company has been shifted from 20b, Abdul Hamid Street, 7th Floor, Kolkata -700069, West Bengal, India to the present address w.e.f. 02.12.2013

FIXED ASSETS

Tangible assets

Land
Buildings
Plant and equipment
Factory equipments
Furniture and fixtures
Vehicles
Office equipment
Computer equipments

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 records 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.65.29
UK Pound	1	Rs.99.31
Euro	1	Rs.73.39

INFORMATION DETAILS

Information Gathered by :	PRT

Analysis Done by :	DIV

Report Prepared by :	GTA

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	3
--LIQUIDITY	1~10	3
--LEVERAGE	1~10	3
--RESERVES	1~10	4
--CREDIT LINES	1~10	3
--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	YES
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES
DEFAULTER
--RBI	YES/NO	NO
--EPF	YES/NO	NO
TOTAL		31

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.

MIRA INFORM REPORT

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