MIRA INFORM REPORT

 

 

Report No. :

339904

Report Date :

04.09.2015

 

IDENTIFICATION DETAILS

 

Name :

SHAREKHAN LIMITED (W.E.F. 26.11.2005)

 

 

Formerly Known As :

SHAREKHAN PRIVATE LIMITED

 

FINFLOW INVESTMENT PRIVATE LIMITED

 

 

Registered Office :

Lodha iThink Techno Campus, 10th Floor, Beta Building, Off. JVLR, Opposite Kanjurmarg Railway Station, Kanjurmarg (East), Mumbai – 400042, Maharashtra

Tel. No.:

91-22-67502000

 

 

Country :

India

 

 

Financials (as on) :

31.03.2014

 

 

Date of Incorporation :

20.04.1995

 

 

Com. Reg. No.:

11-087498

 

 

Capital Investment / Paid-up Capital :

Rs.863.000 Million

 

 

CIN No.:

[Company Identification No.]

U99999MH1995PLC087498

 

 

IEC No.:

Not Available

 

 

TAN No.:

[Tax Deduction & Collection Account No.]

Not Available

 

 

PAN No.:

[Permanent Account No.]

AAECS5096H

 

 

Legal Form :

A Closely Held Public Limited Liability Company

 

 

Line of Business :

Subject is provides research based stock broking services predominantly to non-institutional investors, renders depository services, portfolio management services and undertakes arbitrage and trading in securities and derivatives on proprietary account.

 

 

No. of Employees :

Information declined by the management.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

A (57)

 

RATING

STATUS

PROPOSED CREDIT LINE

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

 

Status :

Good

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Exist

 

 

Comments :

 Subject is an established company having satisfactory track.

 

Rating takes into consideration strong networth base of the company along with decent financial condition in FY 2014.

 

Management has reported almost stable revenue base along with decent profit margin in the year under consideration.

 

Trade relations are fair. Business is active. Payment terms are reported to be regular and as per commitments.

 

In view of strong financial condition, the company can be considered for normal business dealings with 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.

 

 

EXTERNAL AGENCY RATING

 

Rating Agency Name

ICRA

Rating

Short term debt Programme = A1+

Rating Explanation

Very strong degree of safety and carry lowest credit risk.

Date

March, 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 31-03-2013.

 

 

INFORMATION DENIED BY

 

Name :

Mr. Suryakant

Designation :

Not Divulged

Contact No.:

91-22-67502000

Date :

03.09.2015

 

 

LOCATIONS

 

Registered Office :

Lodha iThink Techno Campus, 10th Floor, Beta Building, Off. JVLR, Opposite Kanjurmarg Railway Station, Kanjurmarg (East), Mumbai – 400042, Maharashtra, India

Tel. No.:

91-22-67502000 / 61150000

Fax No.:

91-22-67481899

E-Mail :

vijay@sharekhan.com

Website :

www.sharekhan.com

 

 

Corporate Office :

29, Ruby Building, 18th Floor, Ruby Mills Compound, Senapati Bapat Marg, Dadar West, Mumbai – 400028, Maharashtra, India

Tel. No.:

91-22-67502000

 

 

DIRECTORS

 

As on 14.08.2014

 

Name :

Mr. Jaideep Arora

Designation :

Whole-Time Director

Address :

Flat 16, Diamond Apartment, Mount Mary Road, Bandra - West, Mumbai - 400050, Maharashtra, India

Date of Birth/Age :

12.03.1969

Qualification :

B. Tech, PGDBM

Experience :

21 Years

Date of Appointment :

30.09.2002

DIN No.:

00056252

 

 

Name :

Mr. Tarun Pravinchandra Shah

Designation :

Whole-Time Director

Address :

121 A, 12th Floor, Grand Paradi Apartment, A K Road, Mumbai - 400036, Maharashtra, India

Date of Birth/Age :

01.02.1959

Qualification :

B.Sc.

Experience :

28 Years

Date of Appointment :

26.06.1995

DIN No.:

00051871

 

 

Name :

Mr. Shankar Keshava Vailaya

Designation :

Whole-Time Director

Address :

203,Oceanic Apartments, Carter Road,, Bandra (West), Mumbai - 400050, Maharashtra, India

Date of Birth/Age :

08.02.1964

Qualification :

Chartered Accountant

Experience :

29 Years

Date of Appointment :

21.09.2001

DIN No.:

00090509

 

 

Name :

Mr. Jimmy Lachmandas Mahtani

Designation :

Director

Address :

1 Chatsworth Road, 22-21, Singapore, 249745, Singapore

Date of Birth/Age :

27.10.1976

Date of Appointment :

02.02.2008

DIN No.:

00996110

 

 

Name :

Mr. Paurush Roy

Designation :

Director

Address :

42 Twinstar Jupiter Housing Society, Cuffe Parade, Mumbai - 400005, Maharashtra, India

Date of Birth/Age :

17.08.1974

Date of Appointment :

15.10.2012

DIN No.:

03038347

 

 

Name :

Mr. Sadashiv Srinivas Rao

Designation :

Director

Address :

Flat No.602, 6th Floor, Amul Apartments, Plot No.09, Chembur, St Anthony Road, Mumbai - 400071, Maharashtra, INDIA

Date of Birth/Age :

17.06.1960

Date of Appointment :

17.04.2013

DIN No.:

01245772

 

 

Name :

Mr. Sandeep Gupta

Designation :

Director

Address :

A-3405, 34th Floor, Oberoi Woods CHSL, Oberoi Garden, City, Mohan Gokhle Road, Goregaon East, Mumbai - 400063, Maharashtra, India

Date of Birth/Age :

14.10.1969

Date of Appointment :

31.03.2015

DIN No.:

06744040

 

 

Name :

Kalpanaiyer

Designation :

Director

Address :

601, Ann Abode, 18-A, St Martin Road, Bandra (West), Mumbai - 400050, Maharashtra, India

Date of Appointment :

27.03.2015

DIN No.:

01874130

 

 

Name :

Thiruvidaimarudur Sivashankar Srivatsan

Designation :

Director

Address :

Flat No.72, 7th Floor, Lords Condominium, 6th Road TPS-Iv, Bandra-West, Mumbai - 400050, Maharashtra, India

Date of Birth/Age :

09.06.1967

Date of Appointment :

21.08.2014

DIN No.:

02720714

 

 

Name :

Raunak Gupta

Designation :

Additional Director

Address :

C-21, Trishul Building, Near Holy Spirit Hospital,, Mahakali Caves Road, Andheri East, Mumbai - 400093, Maharashtra, India

Date of Appointment :

14.08.2015

DIN No.:

06624489

 

 

Name :

Mr Marc Desaedeleer

Designation :

Director

Address :

Lee Garden, Lower Road, Chalfont St Peter, Gerrards Cross, Buckinghamshire, London, Sl98lq, United Kingdom

Date of Birth/Age :

30.12.1950

Date of Appointment :

31.03.2015

DIN No.:

00508623

 

KEY EXECUTIVES

 

Name :

Mr. Kunal Suresh Karnani

Designation :

Chief Financial Officer

Address :

701/ 702, Anani Basera S.S. Patkar College Road, S.V.Road Goregaon, Mumbai - 400062, Maharashtra, India

Date of Appointment :

12.06.2014

PAN No.:

ANFPK2629D

 

 

Name :

Mr. Vijay H Sakali

Designation :

Company Secretary

Address :

Flat No. 103, Sai Sidhi Apartment, Opposite Balkum Fire Brigde, Kapurbawadi, Thane - 400607, Maharashtra, India

Date of Birth/Age :

06.07.1982

Date of Appointment :

10.02.2012

PAN No.:

BLVPS3770A

 

 

MAJOR SHAREHOLDERS

 

As on 14.08.2014

 

SHAREHOLDERS FILE ATTACHED

 

As on 27.08.2015

 

Names of Allottee

No. of Shares Allotted

Hiten Gala

6133

Anup Chandak

3900

Hemang Jani

36900

Devang Kamdar

20667

Jigar Lodaya

3867

Anil H. Balani

15500

Piyush R. Shah

6300

Mehul Dedhia

14500

Ketan Parekh

40200

Jigar Pandit

14500

Ravi Somani

9700

Hemandra Agarwal

12000

Total

184167

 

As on 14.08.2014

 

Equity Share Break up (Percentage of Total Equity)

 

Category

Percentage

Foreign holdings( Foreign institutional investor(s), Foreign companie(s) Foreign financial institution(s), Non-resident Indian(s) or Overseas Corporate bodies or Others

44.78

Bodies corporate

45.22

Directors or relatives of Directors

6.65

Other top fifty shareholders

3.35

Total

100.00

 

 

 

BUSINESS DETAILS

 

Line of Business :

Subject is provides research based stock broking services predominantly to non-institutional investors, renders depository services, portfolio management services and undertakes arbitrage and trading in securities and derivatives on proprietary account.

 

 

Products :

Product Description

Item Code No. (ITC Code)

Securities brokerage services

99715210

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

Not Divulged

 

 

Imports :

Not Divulged

 

 

Terms :

 

Selling :

Not Divulged

 

 

Purchasing :

Not Divulged

 

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

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

Customers :

Reference :

Not Divulged

Name of the Person :

Not Divulged

Contact No.:

Not Divulged

Since How Long Known :

Not Divulged

Experience :

Not Divulged

Maximum Limit Dealt :

Not Divulged

 

 

No. of Employees :

Information declined by the management.

 

 

Bankers :

Banker Name

Not Divulged

Branch Address

Not Divulged

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)

Not Divulged

 

 

Facilities :

(Rs. In Million)

SECURED LOAN

As on

31.03.2014

As on

31.03.2013

SHORT TERM BORROWING

 

 

Other Loans and advances

891.000

0.000

Total

891.000

0.000

 

Financial Institution :

The Hong Kong and Shanghai Banking Corporation Limited, 52/60 Mahatma Gandhi Road, Fort, Mumbai - 400001, Maharashtra, India

 

 

Auditors :

 

Name :

BSR and Associates

Chartered Accountants

Address :

Lodha Excelus 1st Floor, Apollo Mills Compound, N. M. Joshi Marg, Mahalakshmi, Mumbai – 400011, Maharashtra, India

PAN No.:

AADFB6889R

 

 

Memberships :

Not Available

 

 

Collaborators :

Not Available

 

 

Subsidiaries :
  • Sharekhan Commodities Private Limited, India
  • Sharekhan Financial Services Private Limited, India
  • Sharekhan Investment Services Limited, UAE
  • Sharekhan.Com India Private Limited, India

 

 

CAPITAL STRUCTURE

 

As on 31.03.2014

 

Authorised Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

39000000

Equity Shares

Rs.10/- each

Rs.390.000 Million

51000000

Preference Shares

Rs.10/- each

Rs.510.000 Million

 

Total

 

Rs.900.000 Million

 

Issued, Subscribed & Paid-up Capital:

No. of Shares

Type

Value

Amount

 

 

 

 

35378860

Equity Shares

Rs.10/- each

Rs.353.788 Million

50963855

Preference Shares

Rs.10/- each

Rs.509.638 Million

 

Total

 

Rs.863.426 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

863.000

863.000

862.000

(b) Reserves & Surplus

6237.000

5395.000

4478.000

(c) Money received against share warrants

0.000

0.000

0.000

 

 

 

 

(2) Share Application money pending allotment

1.000

1.000

1.000

Total Shareholders’ Funds (1) + (2)

7101.000

6259.000

5341.000

 

 

 

 

(3) Non-Current Liabilities

 

 

 

(a) long-term borrowings

3351.000

3351.000

3351.000

(b) Deferred tax liabilities (Net)

0.000

0.000

0.000

(c) Other long term liabilities

0.000

0.000

0.000

(d) long-term provisions

41.000

50.000

31.000

Total Non-current Liabilities (3)

3392.000

3401.000

3382.000

 

 

 

 

(4) Current Liabilities

 

 

 

(a) Short term borrowings

891.000

0.000

0.000

(b) Trade payables

5534.000

3978.000

5905.000

(c) Other current liabilities

696.000

905.000

540.000

(d) Short-term provisions

136.000

118.000

120.000

Total Current Liabilities (4)

7257.000

5001.000

6565.000

 

 

 

 

TOTAL

17750.000

14661.000

15288.000

 

 

 

 

II.          ASSETS

 

 

 

(1) Non-current assets

 

 

 

(a) Fixed Assets

 

 

 

(i) Tangible assets

829.000

922.000

1024.000

(ii) Intangible Assets

64.000

53.000

31.000

(iii) Capital work-in-progress

6.000

3.000

2.000

(iv) Intangible assets under development

0.000

0.000

0.000

(b) Non-current Investments

1023.000

1038.000

176.000

(c) Deferred tax assets (net)

136.000

118.000

101.000

(d)  Long-term Loan and Advances

896.000

572.000

371.000

(e) Other Non-current assets

433.000

794.000

56.000

Total Non-Current Assets

3387.000

3500.000

1761.000

 

 

 

 

(2) Current assets

 

 

 

(a) Current investments

910.000

100.000

310.000

(b) Inventories

2640.000

2657.000

6609.000

(c) Trade receivables

1163.000

1898.000

3166.000

(d) Cash and cash equivalents

4443.000

6118.000

3058.000

(e) Short-term loans and advances

862.000

89.000

177.000

(f) Other current assets

4345.000

299.000

207.000

Total Current Assets

14363.000

11161.000

13527.000

 

 

 

 

TOTAL

17750.000

14661.000

15288.000

 

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2014

31.03.2013

31.03.2012

 

SALES

 

 

 

 

Income

3555.000

3488.000

3786.000

 

Other Income

193.000

229.000

126.000

 

TOTAL

3748.000

3717.000

3912.000

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Employees benefits expense

867.000

802.560

831.350

 

Other expenses

1476.000

1462.440

1741.650

 

TOTAL

2343.000

2265.000

2573.000

 

 

 

 

 

Less

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

1405.000

1452.000

1339.000

 

 

 

 

 

Less

FINANCIAL EXPENSES

67.000

50.000

67.000

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

1338.000

1402.000

1272.000

 

 

 

 

 

Less/ Add

DEPRECIATION/ AMORTISATION

169.000

164.000

197.000

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX

1169.000

1238.000

1075.000

 

 

 

 

 

Less

TAX

331.000

330.000

313.000

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX 

838.000

908.000

762.000

 

 

 

 

 

Add

PREVIOUS YEARS’ BALANCE BROUGHT FORWARD 

4925.000

4017.000

3255.000

 

 

 

 

 

Balance Carried to the B/S

5763.000

4925.000

4017.000

 

 

 

 

 

 

Earnings / (Loss) Per Share (Rs.)

23.68

25.66

21.53

 

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

(338242.000)

3737.000

2663.000

 

 

KEY RATIOS

 

PARTICULARS

 

 

31.03.2014

31.03.2013

31.03.2012

Net Profit Margin

(PAT/Sales)

(%)

23.57

26.03

20.13

 

 

 

 

 

Operating Profit Margin

(PBDIT / Sales)

(%)

39.52

41.63

35.37

 

 

 

 

 

Return on Total Assets

(PBT/Total Assets}

(%)

7.05

9.17

7.16

 

 

 

 

 

Return on Investment (ROI)

(PBT/Networth)

 

0.16

0.20

0.20

 

 

 

 

 

Debt Equity Ratio

(Total Debt/Networth)

 

0.60

0.54

0.63

 

 

 

 

 

Current Ratio

(Current Asset/Current Liability)

 

1.98

2.23

2.06

 

 

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

862.000

863.000

863.000

Reserves & Surplus

4478.000

5395.000

6237.000

Share Application money pending allotment

1.000

1.000

1.000

Net worth

5341.000

6259.000

7101.000

 

 

 

 

long-term borrowings

3351.000

3351.000

3351.000

Short term borrowings

0.000

0.000

891.000

Total borrowings

3351.000

3351.000

4242.000

Debt/Equity ratio

0.627

0.535

0.597

 

 

 

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

3786.000

3488.000

3555.000

 

 

(7.871)

1.921

 

 

 

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

3786.000

3488.000

3555.000

Profit

762.000

908.000

838.000

 

20.13%

26.03%

23.57%

 

 

 

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

No

9

Promoter’s background

Yes

10

Date of Birth of Proprietor / Partners / Directors

Yes

11

Pan Card No. of Proprietor / Partners

No

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

No

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 three 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

Yes

33

Market information

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

34

Payments terms

No

35

Negative Reporting by Auditors in the Annual Report

No

 

Note:

Registered address has been shifted from the 206-Phoenix House 2Nd Floor, Senapati Bapat Marg, Phoenix Mills Compound, Lower Parel, Mumbai – 400013, Maharashtra, India to the present address w.e.f. 07.05.2010

 

 

LITIGATION DETAILS

 

HIGH COURT OF BOMBAY

Bench:- Bombay

Lodging No. :

APPL/577/2011

Failing Date:-

30.08.2011

Reg. No.:-

APP/252/2013

Reg. Date:-

03.05.2013

Main Matter

Lodging No. :

ARBPL/930/2010

Reg. No.:-

ARBP/1362/2010

Petitioner:-

MAHARASHTRA ERECTORS PRIVATE LIMITED

Respondent:-

SHAREKHAN LIMITED

Petn. Adv:-

CHAMBER OF CORPORATE ATTORNAY (0)

Resp. Adv.:

DEEPAK SHARMA (I1910)

District:-

MUMBAI

Bench:-

DIVISION

Category:-

APPEALS

Status:-

Admitted(Unready)

Stage:-

APPEALS FOR ADMISSION – FRESH (ORIGINAL SIDE MATTERS)

Last Date:-

15.07.2013

Last Coram:-

HON’BLE SHRI JUSTICE DR. D. Y. CHANDRACHUD

 

HON’BLE SHRI JUSTICE S.C. GUPTE

 

 

Act. :

Arbitration and Conciliation Act 1996

Under Section:- 37

 

 

OPERATIONS

 

During the year, the Company earned Gross Income of Rs. 3752 million as compared to Rs. 3717 million for the previous year thereby registering an increase of 0.94%. The Profit before tax earned during the year is Rs. 1,186 million as against Rs. 1,238 million for the previous year and after providing for taxation (including deferred tax), the Profit after tax stood at Rs. 844 million as against Rs. 908 million for the previous year. The Directors are happy to state that the Company’s current reserves and surplus stand at Rs. 5767 million as at March 31, 2014.

 

 

BACKGROUND

 

Subject is provides research based stock broking services predominantly to non-institutional investors, renders depository services, portfolio management services and undertakes arbitrage and trading in securities and derivatives on proprietary account.

 

 

UNSECURED LOAN

(Rs. In Million)

Particulars

As on

31.03.2014

As on

31.03.2013

LONG TERM BORROWING

 

 

Fully convertible debentures

3351.000

3351.000

Total

3351.000

3351.000

 

 

INDEX OF CHARGES

 

S. No.

Charge ID

Date of Charge Creation/Modification

Charge amount secured

Charge Holder

Address

Service Request Number (SRN)

1

10554960

27/02/2015

150,000,000.00

THE HONGKONG AND SHANGHAI BANKING CORPORATION LIMITED

52/60 MAHATMA GANDHI ROAD, FORT, MUMBAI - 400001, Maharashtra, INDIA

C46605085

 

* Date of charge modification

 

 

FIXED ASSETS

 

  • Buildings
  • Office Building
  • Furniture and Fixtures
  • Office Equipment
  • Computer Equipments
  • Leasehold Improvements

 

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.66.22

UK Pound

1

Rs.101.22

Euro

1

Rs.74.33

 

 

INFORMATION DETAILS

 

Information Gathered by :

NYA

 

 

Analysis Done by :

KIN

 

 

Report Prepared by :

PNM

 

SCORE & RATING EXPLANATIONS

 

SCORE FACTORS

 

RANGE

POINTS

HISTORY

1~10

7

PAID-UP CAPITAL

1~10

6

OPERATING SCALE

1~10

7

FINANCIAL CONDITION

 

 

--BUSINESS SCALE

1~10

6

--PROFITABILITY 

1~10

7

--LIQUIDITY

1~10

6

--LEVERAGE

1~10

6

--RESERVES

1~10

6

--CREDIT LINES

1~10

6

--MARGINS

-5~5

---

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--LITIGATION

YES/NO

YES

--OTHER ADVERSE INFORMATION

YES/NO

NO

MERIT POINTS

 

 

--SOLE DISTRIBUTORSHIP

YES/NO

NO

--EXPORT ACTIVITIES

YES/NO

NO

--AFFILIATION

YES/NO

YES

--LISTED

YES/NO

NO

--OTHER MERIT FACTORS

YES/NO

YES

DEFAULTER

 

 

--RBI

YES/NO

NO

--EPF

YES/NO

NO

TOTAL

 

57

 

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.