MIRA INFORM REPORT

 

 

Report No. :

346824

Report Date :

26.10.2015

 

IDENTIFICATION DETAILS

 

Name :

DESAI COTTON CO.

 

 

Registered Office :

Plot No.100/8/1, GIDC Sundarkuva Road, Modern High School, Dhundhuka, District Ahmedabad – 382460, Gujarat

Mobile No.:

91-9723228664 [Mr. Archit A Shah]

 

 

Country :

India

 

 

Financials (as on) :

--

 

 

Date of Establishment :

04.02.2015

 

 

Capital Investment :

Not Divulged

 

 

PAN No.:

[Permanent Account No.]

AALFD2817P

 

 

Legal Form :

Partnership Concern with an Unlimited Liability of the Partners

 

 

Line of Business :

Manufacturer of Cotton Bales.

 

 

No. of Employees :

18 (3 in Office and 15 in Factory) (Approximately)

 


 

RATING & COMMENTS

 

MIRA’s Rating :

NB

 

RATING

STATUS

 

PROPOSED CREDIT LINE

-

NB

                                       New Business

-

 

 

Status :

New Business

 

 

Payment Behaviour :

Unknown

 

 

Litigation :

Clear

 

 

Comments :

Subject is new partnership concern established on 4th February 2015 and it is engaged into manufacturing of cotton bales.

 

Mr. Archit A. Shah, Chartered Accountant of the concern has provided information to us and further he claimed that concern will start its business activities after two to three months.

 

Payment terms are unknown.

 

In view of infancy, the concern can be considered for business dealings with safe and secure 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 – March 31, 2015

 

Country Name

Previous Rating

(31.12.2014)

Current Rating

(31.03.2015)

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 31-03-2015.

 

 

INFORMATION PARTED BY

 

Name :

Mr. Archit A Shah

Designation :

Chartered Accountant

Contact No.:

91-9723228664

Date :

21.10.2015

 

 

LOCATIONS

 

Registered Office/ Factory :

Plot No.100/8/1, GIDC Sundarkuva Road, Modern High School, Dhundhuka, District Ahmedabad – 382460, Gujarat, India

Tel. No.:

Not Available

Mobile No.:

91-9723228664 [Mr. Archit A Shah]

91-9898789727 [Mr. Rahim Usmanbhai Desai]

Fax No.:

Not Available

E-Mail :

desaicottonco@gmail.com

caarchitshah@yahoo.com

Area :

6705 Sq. Mt.

Location :

Owned

 

 

PARTNERS

 

Name :

Mr. Mushebhai Usmanbhai Desai

Designation :

Partner

Address :

Sundarkuva Road, Modern High School, Dhandhuka, Ahmedabad, Gujarat, India

Date of Birth/Age :

01.04.1959

Qualification :

B. Com

Experience :

15 Years

PAN No.:

ABLPD2699E

 

 

Name :

Mr. Rahim Usmanbhai Desai

Designation :

Partner

Address :

Sundarkuva Road, Modern High School, Dhandhuka, Ahmedabad, Gujarat, India

Date of Birth/Age :

18.12.1966

Qualification :

B. Com and LLB

Experience :

12 Years

PAN No.:

ANEPD1775A

 

 

BUSINESS DETAILS

 

Line of Business :

Manufacturer of Cotton Bales.

 

 

Brand Names :

--

 

 

Agencies Held :

--

 

 

Exports :

--

 

 

Imports :

--

 

 

Terms :

 

Selling :

Cash [15-30 Days]

 

 

Purchasing :

Cash 7 Days

 

 

PRODUCTION DETAILS

Products

Installed Capacity

 

 

Cotton Bales

3360000 Kg.

 

 

GENERAL INFORMATION

 

Suppliers :

Reference:

Not Divulged

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

 

Customers :

Wholesalers

 

Reference:

Not Divulged

Name of the Person (Designation):

Not Divulged

Contact Number:

Not Divulged

Since how long known:

Not Divulged

Maximum limit dealt:

Not Divulged

Experience:

Not Divulged

Remark

Not Divulged

 

·         Maharishi Cotfiber

·         Jalaram Cotton

·         Swastik Cotton

 

 

No. of Employees :

18 (3 in Office and 15 in Factory) (Approximately)

 

 

Bankers :

Bank Name:

Bank of India

Branch:

Dhandhuka Branch, Ahmedabad, Gujarat, India

Person Name (with Designation):

Not Available

Contact Number:

Not Available

Name of Account Holder:

Desai Cotton Co.

Account Number:

206620110000081

Account Since (Date/ Year of A/c Opening):

Not Available

Average Balance Maintained (Optional):

Not Available

Credit Facilities Enjoyed (CC/OD/Term Loan):

Proposed = T.L. = Rs. 5.400 Million and CC = Rs. 5.100 Million

Account Operation:

Not Available

Remarks: Not Available

 

 

Facilities :

--

 

 

 

Auditors :

 

Name :

Archit A Shah and Company

Chartered Accountants

Address :

405, ONYX-2, Near Navchetan School, Paldi Cross Road, Paldi, Ahmedabad – 380007, Gujarat, India

Tel. No.:

91-79-26580321/ 26622013

Mobile No.:

91-9723228664

E-Mail :

caarchitshah@yahoo.com

 

 

Memberships :

--

 

 

Collaborators :

--

 

 

Associates/Subsidiaries :

Not Available

 

 

CAPITAL STRUCTURE

 

Capital Investment :

 

Owned :

Not Divulged

Borrowed :

Not Divulged

Total :

Not Divulged

 

 

FINANCIAL DATA

[all figures are in Rupees Million]

 

NEW BUSINESS

 

Note : Sole Proprietary and Partnership concerns are exempted from filing their financials with the Government Authorities or Registry.

 


 

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

Yes

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)

No

16

No. of employees

Yes

17

Details of sister concerns

No

18

Major suppliers

No

19

Major customers

Yes

20

Banking Details

Yes

21

Banking facility details

No

22

Conduct of the banking account

Yes

23

Financials, if provided

No

24

Capital in the business

No

25

Last accounts filed at ROC, if applicable

No

26

Turnover of firm for last three years

No

27

Reasons for variation <> 20%

--

28

Estimation for coming financial year

Yes

29

Profitability for last three years

No

30

Major shareholders, if available

No

31

External Agency Rating, if available

No

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

 

 

 

 

------------------------------------------------------------------------------------------------------------------------------

 

COST OF PROJECT

 

[RS. IN MILLION]

 

SR. NO.

PARTICULARS

AMOUNT

 

 

 

1

Land and Building

2.244

 

 

 

2

Plant and Machinery

7.500

 

 

 

3

Preliminary and Pre-operative Expenses

0.300

 

 

 

4

Margin for Working Capital requirement

2.744

 

 

 

 

Total

 

12.788

 

------------------------------------------------------------------------------------------------------------------------------

 

MEANS OF FINANCE

 

[RS. IN MILLION]

 

SR. NO.

PARTICULARS

AMOUNT

 

 

 

1

Promoters Contribution

4.644

 

 

 

2

Term Loans – Bank of India

5.400

 

 

 

3

Unsecured Loan from Friends and Relatives

2.744

 

 

 

 

Total

 

12.788

 

------------------------------------------------------------------------------------------------------------------------------

 


PARTICULARS OF EXISTING / PROPOSED LIMITS FROM THE BANKING SYSTEM

 

[RS. IN MILLION]

 

SR. NO.

NAME OF BANK/ FINANCIAL INSTITUTION

NATURE OF FACILITY

BALANCE AS ON 31.03.2015

LIMITS NOW REQUESTED 2015-16

 

 

 

 

 

A

BOI – Dhandhuka Branch

Working Capital Limits

Fund Based

Cash Credit

Stock

Book Debts

But Maximum A

Nil

5.100

 

 

 

 

 

 

 

Term Loans

Hypothecation of Machinery  

Nil

5.400

 

 

 

 

 

B

 

Non-Fund based

1. Guarantee Inland

2. Letter of Credit 

 

Nil

Nil 

 

 

Nil

 

 

 

 

 

 

Total

 

 

 

10.500

 

------------------------------------------------------------------------------------------------------------------------------

 

ASSESSMENT OF WORKING CAPITAL REQUIREMENTS

 

OPERATING STATEMENT

 

(RS. IN MILLION)

 

SR. NO.

PARTICULARS

31.03.2016

Estimated

31.03.2017

Projected

31.03.2018

Projected

31.03.2019

Projected

31.03.2020

Projected

 

 

 

 

 

 

 

1

Gross Sales

 

 

 

 

 

 

1. Domestic Sales

97.118

141.032

181.568

222.104

262.640

 

2. Export Sales

0.000

0.000

0.000

0.000

0.000

 

3. Other Operating / Revenue Income

0.000

0.000

0.000

0.000

0.000

 

Total

97.118

141.032

181.568

222.104

262.640

 

 

 

 

 

 

 

2

Less: Excise Duty

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

3

Net Sales

97.118

141.032

181.568

222.104

262.640

 

 

 

 

 

 

 

4

%age rise (+) or fall (-) in net sales as compared to previous year

NA

(3.19%)

28.74%

22.33%

18.25%

 

 

 

 

 

 

 

5

Cost of Sales

 

 

 

 

 

 

1. Raw Material [Including stores and other items used in the process of manufacture]

96.533

134.507

172.907

211.307

249.707

 

- Imported

0.000

0.000

0.000

0.000

0.000

 

- Indigenous

96.533

134.507

172.907

211.307

249.707

 

 

 

 

 

 

 

 

2. Other Spares

 

 

 

 

 

 

- Imported

0.000

0.000

0.000

0.000

0.000

 

- Indigenous

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

 

3. Power and Fuel

0.400

0.800

1.400

1.600

1.800

 

 

 

 

 

 

 

 

4. Direct Labour [Factory wages and salaries]

0.492

1.200

1.200

1.300

1.500

 

 

 

 

 

 

 

 

5. Other manufacturing expenses 

0.050

0.500

0.400

0.500

0.600

 

 

 

 

 

 

 

 

6. Depreciation

1.125

0.956

0.813

0.637

0.554

 

 

 

 

 

 

 

 

7. Other Costs

0.050

0.600

1.000

1.200

1.500

 

 

 

 

 

 

 

 

Sub-total [1 + 7]

98.650

138.563

177.719

216.544

255.661

 

 

 

 

 

 

 

 

8. Add: Opening stock in process

0.000

0.541

0.648

0.756

0.587

 

 

 

 

 

 

 

 

Sub-total

98.650

139.104

178.367

217.300

256.248

 

 

 

 

 

 

 

 

9. Less: Closing Stock in process

0.541

0.648

0.756

0.863

0.970

 

 

 

 

 

 

 

 

Cost of Production

98.109

138.456

177.611

216.437

255.278

 

 

 

 

 

 

 

 

Add: Opening stock of finished

0.000

2.698

3.808

4.884

5.952

 

 

 

 

 

 

 

 

Sub-total

98.109

141.154

181.419

221.321

261.230

 

 

 

 

 

 

 

 

Less: Closing Stock of finished

2.698

3.808

4.884

5.952

7.020

 

 

 

 

 

 

 

 

Sub-total [Cost of Sales]

95.411

137.346

176.535

215.369

254.210

 

 

 

 

 

 

 

 

Gross Profit

1.707

3.686

5.033

6.735

8.430

 

 

 

 

 

 

 

6

Selling, General & Administrative Expenses

0.340

1.410

1.816

2.221

2.626

 

 

 

 

 

 

 

7

Sub-total

95.751

138.756

178.351

217.590

256.836

 

 

 

 

 

 

 

8

Operating Profit before Interest

1.367

2.276

3.217

4.514

5.804

 

 

 

 

 

 

 

9

Interest

0.672

1.110

1.205

1.300

1.620

 

 

 

 

 

 

 

10

Operating Profit after Interest

0.695

1.166

2.012

3.214

4.184

 

 

 

 

 

 

 

11

(i) Add: Other non-operating income

 

 

 

 

 

 

(a) Interest / Misc. income

--

--

--

--

--

 

Sub-total [Income]

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

 

(ii) Deduct: Other non-operating expense

 

 

 

 

 

 

(a) Provision for Bad and Doubtful Debts

0.000

0.000

0.000

0.000

0.000

 

Preliminary expenses written off

0.060

0.060

0.060

0.060

0.060

 

Sub-total (expenses)

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

 

(iii) Net of other non-operating incomes/expenses (net of 8(i) & 8(ii))

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

12

Profit before tax/loss

0.695

1.166

2.012

3.214

4.184

 

 

 

 

 

 

 

13

Provision for taxes

0.153

0.292

0.583

0.820

1.066

 

 

 

 

 

 

 

14

Net Profit / (Loss)

0.542

0.874

1.430

2.394

3.118

 

 

 

 

 

 

 

15

(i) Equity dividend paid/ Drawings

--

--

--

--

--

 

(ii) Dividend Rate

--

--

--

--

--

 

 

 

 

 

 

 

16

Retained Profit [11-12]

0.542

0.874

1.430

2.394

3.118

 

 

 

 

 

 

 

17

Retained Profit / Net Profit (%age)

100.00%

100.00%

100.00%

100.00%

100.00%

 

------------------------------------------------------------------------------------------------------------------------------

 

ANALYSIS OF BALANCE SHEET

 

(RS. IN MILLION)

 

SR. NO.

PARTICULARS

31.03.2016

Estimated

31.03.2017

Projected

31.03.2018

Projected

31.03.2019

Projected

31.03.2020

Projected

 

 

 

 

 

 

 

 

CURRENT LIABILITIES

 

 

 

 

 

1

Short term borrowings from bank (incl. Bills purchased, discounted & excess borrowings placed on repayment basis)

 

 

 

 

 

 

(i) From applicant bank

5.100

6.000

7.000

8.000

9.000

 

(ii) From other banks

--

--

--

--

--

 

(iii) of which BP & BD

--

--

--

--

--

 

Sub Total (A)

5.100

6.000

7.000

8.000

9.000

 

 

 

 

 

 

 

2

Short term borrowings from others

--

--

--

--

--

 

 

 

 

 

 

 

3

Sundry Creditors - Trade

0.965

2.242

2.882

3.522

4.162

 

 

 

 

 

 

 

4

Advance payments from customers/deposits from dealers

--

--

--

--

--

 

 

 

 

 

 

 

5

Provision for Taxation

0.153

0.292

0.582

0.820

1.066

 

 

 

 

 

 

 

6

Dividend Payable

--

--

--

--

--

 

 

 

 

 

 

 

7

Other statutory liabilities (due within one year)

--

--

--

--

--

 

 

 

 

 

 

 

8

Deposits/Instalments of term loan/ DPGs/ Debentures etc. (due within one year)

1.508

1.508

1.508

1.508

0.724

 

 

 

 

 

 

 

9

Other current liabilities & Provisions (due within one year)

0.514

0.538

0.698

1.765

1.739

 

- Creditors for expenses/ staff advance

0.014

0.038

0.048

0.057

0.067

 

- Other Current Liabilities

0.500

0.500

0.650

1.708

1.672

 

Sub Total

3.140

4.580

5.670

7.615

7.691

 

 

 

 

 

 

 

10

Total Current Liabilities

8.240

10.580

12.670

15.615

16.691

 

 

 

 

 

 

 

 

TERM LIABILITIES

 

 

 

 

 

11

Debentures (not maturing within one year)

--

--

--

--

--

 

 

 

 

 

 

 

12

Preference Shares (redeemable after one year)

--

--

--

--

--

 

 

 

 

 

 

 

13

Term loans (excluding instalments payable within one year)

3.504

2.645

1.657

0.521

0.000

 

 

 

 

 

 

 

14

Deferred Payment Credits (excl. instalments due within one year)

--

--

--

--

--

 

 

 

 

 

 

 

15

Term deposits (repayable after one year)

2.892

1.334

1.259

0.000

0.000

 

 

 

 

 

 

 

16

Other Term Liabilities

--

--

--

--

--

 

 

 

 

 

 

 

17

Total Term Liabilities

6.396

3.979

2.916

0.521

0.000

 

 

 

 

 

 

 

18

Total Outside Liabilities

14.636

14.559

15.586

16.136

16.691

 

 

 

 

 

 

 

 

NET WORTH

 

 

 

 

 

19

Ordinary Share Capital

4.644

5.186

6.060

7.490

9.884

 

 

 

 

 

 

 

20

General Reserve

--

--

--

--

--

 

 

 

 

 

 

 

21

Revaluation Reserve

--

--

--

--

--

 

 

 

 

 

 

 

22

Other Reserves (excluding provisions)

--

--

--

--

--

 

 

 

 

 

 

 

23

Surplus (+) or deficit (-) in Profit & Loss Account

0.542

0.874

1.430

2.394

3.118

 

Share Premium

--

--

--

--

--

 

 

 

 

 

 

 

24

Networth

5.186

6.060

7.490

9.884

13.002

 

 

 

 

 

 

 

25

TOTAL LIABILITIES

19.822

20.619

23.076

26.020

29.693

 

 

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

26

Cash & Bank balances

0.041

0.010

0.031

0.232

0.058

 

 

 

 

 

 

 

27

Investments [other than long term]

 

 

 

 

 

 

- Govt. and other trustee securities

0.000

0.000

0.000

0.000

1.000

 

- Fixed Deposits with banks

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

28

- Receivables other than deferred and exports [including bills purchased / discounted by banks]

6.070

5.876

7.565

9.254

10.943

 

- Export receivables [including bills purchased / discounted by banks]

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

29

Installments of deferred receivables [due within 1 year]

--

--

--

--

--

 

 

 

 

 

 

 

30

Inventory

 

 

 

 

 

 

(i) Raw materials (including stores and other items in process of manufacture)

1.609

2.242

2.882

3.522

4.162

 

(a) Imported

--

--

--

--

--

 

(b) Indigenous

1.609

2.242

2.882

3.522

4.162

 

 

 

 

 

 

 

 

(ii) Stock-in-process

0.245

0.541

0.444

0.541

0.638

 

 

 

 

 

 

 

 

(iii) Finished Goods

2.698

3.808

4.884

5.952

7.020

 

 

 

 

 

 

 

 

(iv) Other consumable spares

0.000

0.000

0.000

0.000

0.000

 

(a) Imported

--

--

--

--

--

 

(b) Indigenous

--

--

--

--

--

 

 

 

 

 

 

 

31

Advance to suppliers of Raw materials & stores/spares

--

--

--

--

--

 

 

 

 

 

 

 

32

Advance payment of taxes

--

--

--

--

--

 

 

 

 

 

 

 

33

Other current assets

 

 

 

 

 

 

Misc. current assets

0.000

0.000

0.000

0.000

0.000

 

 

 

 

 

 

 

 

Total Current Assets

10.663

12.476

15.806

19.501

23.821

 

 

 

 

 

 

 

 

FIXED ASSETS

 

 

 

 

 

35

Gross Block (land & building machinery vehicles work-in-progress)

9.744

8.619

7.663

6.850

6.159

 

 

 

 

 

 

 

36

Depreciation to date

1.125

0.956

0.813

0.691

0.587

 

 

 

 

 

 

 

37

Net Block (35-36)

8.619

7.663

6.850

6.159

5.572

 

 

 

 

 

 

 

 

OTHER NON-CURRENT ASSETS

 

 

 

 

 

38

Investments/book debts /advances deposits which are not current assets

0.300

0.300

0.300

0.300

0.300

 

i.(a) Investments in subsidiary companies/ affiliates 

--

--

--

--

--

 

(b) Others

--

--

--

--

--

 

 

 

 

 

 

 

 

ii. Advances to suppliers of capital goods & contractors

--

--

--

--

--

 

 

 

 

 

 

 

 

iii. Deferred receivables (maturity exceeding one year)

--

--

--

--

--

 

 

 

 

 

 

 

 

iv. Others

0.300

0.300

0.300

0.300

0.300

 

- GEB Deposit

0.250

0.250

0.250

0.250

0.250

 

- Other Deposit

0.050

0.050

0.050

0.050

0.050

 

- Invest. In Gold

--

--

--

--

--

 

- Receivables over 6 months

--

--

--

--

--

 

 

 

 

 

 

 

39

Non consumables stores & spares

0.000

--

--

--

--

 

 

 

 

 

 

 

40

Other non-current assets (incl. Dues from director)

0.000

--

--

--

--

 

 

 

 

 

 

 

41

Total Other Non-Current Assets (Total of 38 to 40)

0.300

0.300

0.300

0.300

0.300

 

 

 

 

 

 

 

42

Intangible assets (patents, goodwill, prelim, expenses, bad/ doubtful debts not provided for etc.)

0.240

0.180

0.120

0.060

0.000

 

 

 

 

 

 

 

43

Total Assets (Total of 34, 37, 41 & 42)

19.822

20.619

23.076

26.020

29.693

 

 

 

 

 

 

 

44

Tangible Net worth  

4.946

5.880

7.370

9.824

13.002

 

 

 

 

 

 

 

45

Net Working Capital

2.423

1.896

3.136

3.886

7.130

 

Adjusted TNW

4.946

5.880

7.370

9.824

13.002

 

 

 

 

 

 

 

46

Current Ratio

1.29

1.18

1.25

1.25

1.43

 

 

 

 

 

 

 

47

Total outside liabilities / Net worth

2.96

2.48

2.11

1.64

1.28

 

 

 

 

 

 

 

48

Total Term Liabilities/ Tangible Netwroth

1.29

0.68

0.40

0.05

--

 

 

 

 

 

 

 

49

TOL/ Adjusted TNW

2.96

2.48

2.11

1.64

1.28

 

 

 

 

 

 

 

 

Additional Information

 

 

 

 

 

A

Arrears of Depreciation

NA

NA

NA

NA

NA

 

 

 

 

 

 

 

B

Contingent Liabilities:

 

 

 

 

 

 

(a) Arrears of cumulative dividends

NA

NA

NA

NA

NA

 

(b) Gratuity liability not provided for

NA

NA

NA

NA

NA

 

(c) Disputed excise/ customs/ tax liabilities

NA

NA

NA

NA

NA

 

(d) Other liabilities not provided for

NA

NA

NA

NA

NA

 

------------------------------------------------------------------------------------------------------------------------------

 

FUND FLOW STATEMENT

 

(RS. IN MILLION)

 

SR. NO.

PARTICULARS

31.03.2016

Estimated

31.03.2017

Projected

31.03.2018

Projected

31.03.2019

Projected

31.03.2020

Projected

 

 

 

 

 

 

 

1

SOURCES

 

 

 

 

 

 

[a] Net Profit

0.542

0.874

1.430

2.394

3.118

 

[b] Depreciation

1.125

(0.169)

(0.143)

(0.122)

(0.104)

 

[c] Increase in Capital

4.644

0.542

0.874

1.430

2.394

 

[d] Increase in Term Liabilities (including Public deposits)

6.396

--

--

--

--

 

[e] Decrease in

 

 

 

 

 

 

    [i] Fixed Assets

--

1.125

0.956

0.813

0.691

 

   [ii] Other non-current Assets

--

0.060

0.060

0.060

0.060

 

[f] Others (Unsecured Loans)

0.000

--

--

--

--

 

[g] Total

12.707

2.432

3.177

4.575

6.159

 

 

 

 

 

 

 

2

APPLICATION

 

 

 

 

 

 

[a] Net Loss

--

--

--

--

--

 

[b] Decrease in Term Liabilities (Incl. Public deposits)

--

2.417

1.063

2.395

0.521

 

[c] Increase in

 

 

 

 

 

 

    [i] Fixed Assets

9.744

--

--

--

--

 

   [ii] Other non-current Assets

0.540

--

--

--

--

 

[d] Dividend Payments

0.000

0.000

0.000

0.000

0.000

 

[e] Others

--

0.542

0.874

1.430

2.394

 

[f] Total

10.284

2.959

1.937

3.825

2.915

 

 

 

 

 

 

 

3

Long Term Surplus  (+)  /  Deficit  (-)

2.423

(0.527)

1.240

0.750

3.244

 

 

 

 

 

 

 

4

Increase/ Decrease in current assets       

10.663

1.813

3.330

3.695

4.320

 

 

 

 

 

 

 

5

 Increase/ Decrease in current Liabilities

3.140

1.440

1.090

1.945

0.076

 

 

 

 

 

 

 

6

 Increase/ Decrease in working capital Gap

7.523

0.373

2.240

1.750

4.244

 

 

 

 

 

 

 

7

Net Surplus (+) /  deficit (-) 

(5.100)

(0.900)

(1.000)

(1.000)

(1.000)

 

 

 

 

 

 

 

8

 Increase/ Decrease in Bank Borrowings

5.100

0.900

1.000

1.000

1.000

 

 

 

 

 

 

 

9

Increase/ Decrease in Net Sales

97.118

43.914

40.536

40.536

40.536

 

 

 

 

 

 

 

 

* Break up  of (4)

 

 

 

 

 

 

[i]  Increase/ Decrease in Raw material

1.609

0.633

0.640

0.640

0.640

 

[ii]  Increase/ Decrease in Stock in process

0.245

0.296

(0.097)

0.097

0.097

 

[iii]  Increase/ Decrease in finished goods

2.698

1.110

1.077

1.068

1.068

 

[iv]  Increase/ Decrease in Receivables

 

 

 

 

 

 

    [a] Domestic

6.070

(0.194)

1.689

1.689

1.689

 

    [b] Export

0.000

0.000

0.000

0.000

0.000

 

[iii]  Increase/ Decrease in stores & spares

0.000

0.000

0.000

0.000

0.000

 

[iii]  Increase/ Decrease in other Current Assets

0.041

(0.032)

0.021

0.201

0.826

 

 

 

 

 

 

 

 

Total

 

10.663

1.813

3.330

3.695

4.320

 

------------------------------------------------------------------------------------------------------------------------------

 


COMPUTATION OF MAXIMUM PERMISSIBLE BANK FINANCE FOR WORKING CAPITAL

 

(RS. IN MILLION)

 

FIRST METHOD OF LENDING

 

SR. NO.

PARTICULARS

31.03.2016

Estimated

31.03.2017

Projected

31.03.2018

Projected

31.03.2019

Projected

31.03.2020

Projected

 

 

 

 

 

 

 

1

Total Current Assets (Form IV-9)

10.663

12.477

15.806

19.501

23.821

 

 

 

 

 

 

 

2

Other Current Liabilities (other than bank borrowings) (Form IV-14)

3.140

4.580

5.670

7.615

7.691

 

 

 

 

 

 

 

3

Working Capital Gap (WCP)     (1-2)

7.523

7.897

10.136

11.886

16.130

 

 

 

 

 

 

 

4

Minimum stipulated net working Capital [25% of total current assets other than Export Receivables]

1.881

1.974

2.534

2.972

4.033

 

 

 

 

 

 

 

5

Actual/Projected net working capital (45 in form III)

2.423

1.896

3.136

3.886

7.130

 

 

 

 

 

 

 

6

Item 3 minus item 4

5.642

5.923

7.602

8.915

12.098

 

 

 

 

 

 

 

7

Item 3 minus item 5

5.100

6.001

7.000

8.000

9.000

 

 

 

 

 

 

 

8

Maximum permissible bank finance (item 6 or 7 whichever is less)

5.100

5.923

7.000

8.000

9.000

 

 

 

 

 

 

 

9

Excess borrowings, if any representing short fall in NWC (4-5)

--

0.078

--

--

--

 

 

SECOND METHOD OF LENDING

 

SR. NO.

PARTICULARS

31.03.2016

Estimated

31.03.2017

Projected

31.03.2018

Projected

31.03.2019

Projected

31.03.2020

Projected

 

 

 

 

 

 

 

1

Total Current Assets (Form IV-9)

10.663

12.477

15.806

19.501

23.821

 

 

 

 

 

 

 

2

Other Current Liabilities (other than bank borrowings) (Form IV-14)

3.140

4.580

5.670

7.615

7.691

 

 

 

 

 

 

 

3

Working Capital Gap (WCP)     (1-2)

7.523

7.897

10.136

11.886

16.130

 

 

 

 

 

 

 

4

Minimum stipulated net working Capital [25% of total current assets other than Export Receivables]

2.666

3.119

3.952

4.875

5.955

 

 

 

 

 

 

 

5

Actual/Projected net working capital (45 in form III)

2.423

1.896

3.136

3.886

7.130

 

 

 

 

 

 

 

6

Item 3 minus item 4

4.857

4.778

6.185

7.011

10.175

 

 

 

 

 

 

 

7

Item 3 minus item 5

5.100

6.001

7.000

8.000

9.000

 

 

 

 

 

 

 

8

Maximum permissible bank finance (item 6 or 7 whichever is less)

4.857

4.778

6.185

7.011

9.000

 

 

 

 

 

 

 

9

Excess borrowings, if any representing short fall in NWC (4-5)

0.243

1.223

0.816

0.989

--

 

------------------------------------------------------------------------------------------------------------------------------

 

NETWORTH STATEMENT

 

MR. RAHIM USMANBHAI DESAI

 

(RS. IN MILLION)

 

AS ON 09.10.2015

 

DETAILS OF ASSETS

 

IMMOVABLE PROPERTY

 

LAND

 

Name of the Village or Taluka where the lands are situated together with S. No.

Ancestral or Self-acquired

Total Value

 

 

 

Agriculture land 5 Acre (Survey No. 189, A/c No. 735)

Ancestral

5.200

 

BUILDINGS

 

Sr. No.

Name of the Village or Town where they are situated together with street and Municipal No.

Ancestral or Self-acquired

Market Value per acre

Total Value

 

 

 

 

 

1

Shop No. 1, Shreenand Complex, Property No. 11790, Opposite Dena Bank, Dhandhuka

Purchased

2,000,000

2.000

 

LIQUID ASSETS

 

Particulars

 

Nature of Stock

Total Value

 

 

 

Cash and Bank Balances

Cash and Bank

0.023

Realizable Book Debts

 

--

Investment in Desai Cotton Partnership Firm

 

0.533

 

 

 

Loans and Advances

 

 

Investment in Gold

 

0.400

Other Movable property like Life Policies etc.

 

0.040

 

 

 

Total

 

 

0.996

 

 

LIABILITIES

 

Borrowings

Security

Limit

Amount Borrowed

 

Nature

Value

 

 

 

 

 

 

 

From their Banks

CC

Nil

Nil

Nil

 

 

 

 

 

From Other Banks

 

 

 

 

Gold Loan

Gold

Nil

Nil

0.200

 

 

 

 

 

Other Source

 

 

 

 

Kisan Cooperative Society

 

 

 

0.084

 

 

 

 

 

Total

 

 

 

 

0.284

 

 

NETWORTH

RS. 7.912 MILLION

 

 

------------------------------------------------------------------------------------------------------------------------------

 

NETWORTH STATEMENT

 

MR. MUSHEBHAI USMANBHAI DESAI

 

(RS. IN MILLION)

 

AS ON 09.10.2015

 

DETAILS OF ASSETS

 

IMMOVABLE PROPERTY

 

LAND

 

Name of the Village or Taluka where the lands are situated together with S. No.

Ancestral or Self-acquired

Total Value

 

 

 

Survey No. 195, Plot No. 10, 144 Sq. Mt. Plot, Compound Wall, Room and Shed

Purchased in 2009-10

2.100

 

 

 

Agriculture land 5 Acre Survey No. 189

Ancestral

5.200

 

 

 

Total

 

 

7.300

 

LIQUID ASSETS

 

Particulars

 

Nature of Stock

Total Value

 

 

 

Cash and Bank Balances

Cash and Bank

0.073

Realizable Book Debts

 

--

Investment in Desai Cotton Partnership Firm

 

1.767

 

 

 

Loans and Advances

 

--

Investment in Gold

 

0.260

Other Movable property like Life Policies etc.

 

 

Bike

 

0.010

 

 

 

Total

 

 

2.110

 

 

LIABILITIES

 

Borrowings

Security

Limit

Amount Borrowed

 

Nature

Value

 

 

 

 

 

 

 

From their Banks

CC

Nil

Nil

Nil

 

 

 

 

 

From Other Banks

 

 

 

 

Bank of Baroda (KCC)

Agriculture against Survey No. 189

Nil

0.300

0.300

 

 

 

 

 

Total

 

 

 

 

0.300

 

 

NETWORTH

RS. 9.110 MILLION

 

 

------------------------------------------------------------------------------------------------------------------------------

 

INDUSTRY OUTLOOK

 

Cotton Corporation of India (CCI) has procured 86 lakh bales of cotton this marketing year so far, little lower than the record procurement of 89 lakh bales in 2008-09. As cotton arrival is expected to last till. May this year, cotton procurement by CCI is likely to breach the record level by the end of season. Around 302 lakh bales of cotton has arrived in domestic market until 24.03.2015, compared to 306 lakh bales year ago during the same period said CCI.

 

India is likely to keep sourcing cotton to International market in the coming month of seasons, as stocks of USA and Brazil have almost sold out their produce. Only 32 lakh bales of cottong have been exported so far against the target of 90 lakh bales. Lower export will hence cause the higher ending stocks this season compared to the previous season. Cotton exports from India is picking up as the India cotton fibre has become cost competitive in International market since February end.

 

According to the officials Indian cotton is at least 5 cents a pound cheaper than US cotton and 2-3 cents from African cotton. Lower freight expenses due to proximity of importing regions give India leverage over US and Brazil. Demand from China is negligible but Indian is getting Import order from Bangladesh, Pakistan, Turkey, Indonesia and Vietnam said Anand Poppat an official of Saurashtra Ginners Association.

 

Gujarat lagged by 20-25 lakh bales in cotton output what was estimated to be in the current season. Similarly Karnataka noticed the short fall of 3-4 lakh bales. Telangana and Andhra Pradesh on other hand are expected to exceed the output estimates figure. Total of 90 lakh bales are expected from these two states collectively which was earlier expected 77 lakh bales. 60 lakh bales is expected from Telangana and around 30 lakh bales would be sourced from Andhra Pradesh.

 

Ministry of Textiles proposed to limit the cotton export from India by putting the cap on the amount of exportable surplus. It was the budget suggestion to build a long term inventory of cotton in country for the domestic industry said official sources.

 

------------------------------------------------------------------------------------------------------------------------------

 

VALUATION REPORT

 

(GENERAL DETAILS)

 

Purpose for which valuation is made of the property

To ascertain the fair and marketable value.

 

 

Date as on which valuation is made

22.01.2015

 

 

Name of the owner/ owners

Lessor: Dhandhuka GIDC

Lessee: Desai Cotton Industries

 

 

If the property is under joint ownership/ co-ownership, share of each such owner. Are the shares undivided?

Individual Ownership

 

 

Brief description of the property

Industrial Land

 

 

Location, Street, Ward No. 

Industrial Plot No. 100/8/1

Desai Cotton Industries situated at GIDC Industrial Estate, Dhandhuka, Ahmedabad

 

 

Survey / Plot No. of land

Survey No. 74/P, 75/P, Mouje Dhandhuka, Tal. City, District Ahmedabad

 

 

Is the property situated in residential/ commercial/ mixed area/ industrial area?

Industrial Area

 

 

Classification of locality-high class, middle class/ poor class

Middle Class Locality

 

 

Proximity to civic amenities, like schools, hospitals, offices, markets, cinema etc.

All civic amenities are available at 1 km radius.

 

 

Means and proximity to surface communication by the locality is served

Local transport services railway and taxi.

 

 

LAND

 

 

Area of land supported by documentary proof, shape, dimensions and physical features

Land Area: 6705.43 Sq. Mt.

Built up Area: 384.60 Sq. Mt.

 

 

Roads, street of lanes on which the land is abutting

East: Plot No. 100/8/2

West: Margin and Internal Road

North: Plot No. 100/7

South: Plot no. 100/9

 

 

Is it freehold or leasehold land?

Leasehold land

 

 

Is it leasehold, the name of lessor/ lesses, nature of lease, dates of commencement and termination of lease and terms of renewal of lease:

·         Initial premium

·         Ground rent payable per annum

·         Unearned increase payable to the lessor in the event of sale or transfer

 

 

 

Not Applicable

Not Applicable

Not Applicable

 

 

Is there any restrictive covenant in regard to use of land? If so

No

 

 

Are there any agreements of easements of? If so

Not Applicable

 

 

Does the land fall in an area included in any town planning plan of Govt. or any statutory body? If so

No

 

 

Has any contribution been made towards developments or any demand for such contribution still outstanding?

NA

 

 

Has the whole or part of the land been notified for acquisition by Govt. or statutory body? Give date of notification

No

 

 

IMPROVEMENTS

 

 

Furnish technical details of the building on a separate sheet.

As per Technical Details

 

 

Is the building owner-occupied tenanted/ both?

Lesser Occupied

 

 

If partly owner-occupied, specify portion and extent of area under owner-occupation.

Fully occupied by Lessee

 

 

What is the floor space Index Permissible and percentage actually utilized?

As per concern Authority

 

 

RENTS

 

 

Name of tenants/ lessees/ lionesses etc.

Portions in their occupation

Monthly of annual rent compensation/ license fee, etc. paid by each

Gross amount received for the whole property

Desai Cotton Industries

Full Portion

Not Applicable

 

Not Applicable

 

 

Are any of the occupants related to or close business associates of the owner?

Not Applicable

 

 

Is separate amount being recovered for the use of fixtures like fans, geysers, refrigerator, cooling ranges, built-in wardrobes, etc. or for service charges? If so

Not Applicable

 

 

Give details of water and electricity charges? If any to be borne by the owner

Lessee has to bear charges

 

 

Has the tenant to bear the whole of part of cost of repairs and maintenance? Give particulars

Not Applicable

 

 

If lift is installed, who has to bear the cost of maintenance and operation owner or tenant?

Not Applicable

 

 

If a pump is installed, who has to bear the cost of maintenance and operation-owner or tenant?

Lessee has to bear charges

 

 

Who has to bear the cost of electricity charges for lighting of common space like entrance hall, stairs, passages, compound etc.

Lessee has to bear charges

 

 

What is the amount of property tax? Who is to bear it? Give details with documentary proof

Lessee has to bear charges

 

 

Is the building insured? If so give the policy no. amount for which it is insured and annual premium

Not Available

 

 

Is any dispute between landlord and tenant regarding rent pending in a court of law?

Not Available

 

 

Has any standard rent been fixed for the premises under any law relating to the Control of Rent?

Not Available

 

 

SALES

 

 

Give instances of sales of immovable property in the locality on a separate sheet, indicating the name and address of the property, Regis no. sale price and area of land sold.

Not Available

 

 

Land rate adopted in this valuation

Land Rate: Rs. 1500/- Sq. Mt.

Built up Rate: Rs. 8200/- Sq. Mt.

 

 

Sale instances are not available or not relied upon the basis of arriving at the land rate

From Local Inquiry and Experience

 

 

COST OF CONSTRUCTION

 

 

Year of commencement of construction and year of completion? Future life of the Building

2014

 

 

What was the method of construction by contract/ by employing labour directly/ both? 

Not Available

 

 

For items of work done on contract, produce copies of agreement

Not Available

 

 

For items of work done by engaging labour directly, Give basic rates of material and labour supported by documentary proof.

Not Available

 

 

Whether the immovable property in question is in possession of tenants or is self-occupied

Owner occupied

 

 

Whether it is vacant plot or building

Land and Building

 

 

Whether it is an agricultural, residential or industrial area

Industrial Area

 

 

Sanction Plan

Vide Case No:

GIDC/XEN/ABD/PB/PLN/19

Dated: 05.01.2015

Approved by GIDC, Ahmedabad

 

 

 

VALUATION

 

MARKET VALUE

 

SR. NO.

PARTICULARS

Area Sq. Mt.

Composite Rate [Rs./ Sq. Mt.]

Market Value in Rs. in Million

 

 

 

 

 

1

Land Area

6705.43

Rs. 1500/-

10.058

 

 

 

 

 

2

Built up Area

384.60

Rs. 8200/-

3.154

 

 

 

 

 

 

Total

 

 

 

13.212

 

The Market Value of Industrial Plot No. 100/8/1, Desai Cotton Industries situated at GIDC Industrial Estate, Dhandhuka, Ahmedabad, Mouje Dhandhuka, Ta. City, District Ahmedabad Gujarat India at Rs. 13.212 Million as on 22.01.2015.

 

 

REALIZABLE VALUE

 

Realizable Value

Rs. 13.212 Million – 10%

 

 

 

Rs. 11.891 Million

 

 

DISTRESS VALUE

 

Distress Value

Rs. 13.212 Million – 20%

 

 

 

Rs. 10.569 Million

 

 

TECHNICAL DETAILS

 

 

No of floors and height of each floor

Industrial Plot No. 100/8/1

Ground Floor

 

 

Plinth Area floor wise

Land Area: 6705.43 Sq. Mt.

Built up Area: 384.60 Sq. Mt.

 

 

Year of Construction

2014

 

 

Estimated future life

New Construction

 

 

Type of construction-Load Bearing wall/ RCC frame/ Steel frame

RCC frame structure

 

 

Type of foundations

RCC frame structure

 

 

Walls

·         Basement and plinth

·         Ground Floor

·         Superstructure above ground floor

 

 

Brick Masonry Wall

 

 

Partitions

Brick Masonry Wall

 

 

Door and Windows (Floor-Wise)

·         Basement and plinth

·         Ground Floor and First floor

·         Second Floor and Third floor

 

 

MS rolling shutter doors

MS frame with designed windows

 

 

Flooring (Floor-wise)

·         Basement and plinth

·         Ground Floor and First floor

·         Second Floor and Third floor

 

 

I.P.S. Flooring

 

 

Finishing (Floor Wise)

·         Basement and plinth

·         Ground Floor and First floor

·         Second Floor and Third floor

 

 

Inside smooth plaster and outside sand face plaster

 

 

Roofing and Terracing

MS Sheet and RCC slab as roofing

 

 

Special Architectural or Decorative features, if any 

Good building

 

 

Internal Wiring – Surface or Conduit

Class of fittings : Superior/ Ordinary/ Poor

NA

 

 

Sanitary Installations

·         No. of water closets –

·         No. of lavatory basins –

·         No. of urinals –

·         No. of sinks –

·         No. of bath tubs –

·         No. of bidets –

·         No. of geysers -

Installed

 

 

Compound Wall

·         Height and Length

·         Type of construction

Available

 

 

No. of lifts and capacity

Not Applicable

 

 

Underground pump – capacity and type of construction

Available

 

 

Overhead Tanks

·         Where located

·         Capacity

·         Type of construction

Available

 

 

Pumps – No. and their horse power

Available

 

 

Roads and paving within the compound

Internal Road

 

 

Sewage disposal whether connected to public sewers. If septic tanks provided, No. and capacity

Plan are section by GIDC

 

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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. 64.88

UK Pound

1

Rs. 99.89

Euro

1

Rs. 72.06

 

 

INFORMATION DETAILS

 

Information Gathered by :

PPT

 

 

Analysis Done by :

KAS

 

 

Report Prepared by :

BVA

 


 

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.