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MIRA INFORM REPORT
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Report No. : |
486191 |
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Report Date : |
18.01.2018 |
IDENTIFICATION DETAILS
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Name : |
CHINA DIAMOND CORPORATION LIMITED |
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Registered Office : |
Room 6, 6/F., Chevalier House, 45-51 Chatham Road South, Tsimshatsui,
Kowloon |
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Country : |
Hong Kong |
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Date of Incorporation : |
17.04.2000 |
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Com. Reg. No.: |
30872168-000 |
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Legal Form : |
Private Limited Company |
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Line of Business : |
Importer and Processor of All Kinds of Raw Materials for Diamond, Precious Stones, Sapphire, Ruby. |
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No. of Employees : |
16 |
RATING & COMMENTS
(Mira Inform has adopted New Rating mechanism w.e.f. 23rd
January 2017)
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MIRA’s Rating : |
A |
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Credit Rating |
Explanation |
Rating Comments |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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Status : |
Satisfactory |
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Payment Behaviour : |
No Complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List
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Country Name |
Previous Rating (30.06.2017) |
Current Rating (30.09.2017) |
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Hong Kong |
A1 |
A1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low Risk |
A2 |
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Moderately Low Risk |
B1 |
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Moderate Risk |
B2 |
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Moderately High Risk |
C1 |
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High Risk |
C2 |
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Very High Risk |
D |
HONG KONG - ECONOMIC OVERVIEW
Hong Kong has a free market economy, highly dependent on international trade
and finance - the value of goods and services trade, including the sizable
share of reexports, is about four times GDP. Hong Kong has no tariffs on
imported goods, and it levies excise duties on only four commodities, whether
imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and
methyl alcohol. There are no quotas or dumping laws. Hong Kong continues to
link its currency closely to the US dollar, maintaining an arrangement
established in 1983.
Hong Kong's open economy left it exposed to the global economic slowdown
that began in 2008. Although increasing integration with China through trade,
tourism, and financial links aided a more rapid initial recovery than many
observers anticipated, its continued reliance on foreign trade and investment
leaves it vulnerable to renewed global financial market volatility or a
slowdown in the global economy.
The Hong Kong Government is promoting the Special Administrative Region
(SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong
residents are allowed to establish RMB-denominated savings accounts;
RMB-denominated corporate and Chinese government bonds have been issued in Hong
Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB
conversion quota set by Beijing for trade settlements in 2010 due to the growth
of earnings from exports to the mainland. RMB deposits grew to roughly 9.4% of
total system deposits in Hong Kong by the end of 2015. The government is
pursuing efforts to introduce additional use of RMB in Hong Kong financial
markets and is seeking to expand the RMB quota.
The mainland has long been Hong Kong's largest trading partner,
accounting for about half of Hong Kong's total trade by value. Hong Kong's
natural resources are limited, and food and raw materials must be imported. As
a result of China's easing of travel restrictions, the number of mainland
tourists to the territory has surged from 4.5 million in 2001 to 47.3 million
in 2014, outnumbering visitors from all other countries combined. Mainland
visitors to Hong Kong declined 3% in 2015 to approximately 45.7 million,
reflecting an overall drop of 2.5% in total visitors to Hong Kong. Hong Kong
has also established itself as the premier stock market for Chinese firms
seeking to list abroad. In 2015, mainland Chinese companies constituted about
51% of the firms listed on the Hong Kong Stock Exchange and accounted for about
62.1% of the exchange's market capitalization. During the past decade, as Hong
Kong's manufacturing industry moved to the mainland, its service industry has
grown rapidly. In 2014, Hong Kong and China signed a new agreement on achieving
basic liberalization of trade in services in Guangdong Province under the
Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties
between Hong Kong and the mainland. The new measures, effective March 2015,
cover a negative list and a most-favored treatment provision, and will improve
access to the mainland's service sector for Hong Kong-based companies.
Credit expansion and a tight housing supply have caused Hong Kong
property prices to rise rapidly; consumer prices increased 4.4% in 2014, but
slowed to 2.9% in 2015. Lower- and middle-income segments of the population are
increasingly unable to afford adequate housing.
Hong Kong’s economic integration with the mainland continues to be most
evident in the banking and finance sector. Initiatives like the Hong
Kong-Shanghai Stock Connect, the Mutual Recognition of Funds, and The Hong Kong
Shanghai Gold Connect are all important steps towards opening up the Mainland’s
capital markets and has reinforced Hong Kong’s leading role as China’s offshore
RMB market. Additional connect schemes from bonds to commodities and other
investment products are also under exploration by Hong Kong authorities.
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Source
: CIA |
Company
name & address
CHINA DIAMOND CORPORATION LIMITED
ADDRESS: Room 6, 6/F.,
Chevalier House, 45-51 Chatham Road South, Tsimshatsui, Kowloon, Hong Kong.
PHONE: 852-2521 0029,
2521 0026, 2375 8018, 2736 6040
FAX: 852-2521 0019
E-MAIL: info@chinadia.com
MANAGEMENT
Managing Director: Mr. Darshan
Jivatlal Bhagat
SUMMARY
Incorporated on: 17th April, 2000.
Organization: Private Limited Company.
Issued Share Capital: HK$12,880,623.00
Business Category: Diamond
Importer, Exporter and Processor.
Employees: 16.
Main Dealing Banker: Dah Sing
Bank Ltd., Hong Kong.
Banking Relation: Satisfactory.
Name
CHINA DIAMOND CORPORATION LIMITED
ADDRESS
Registered Head
Office:-
Room 6, 6/F., Chevalier House, 45-51 Chatham Road South, Tsimshatsui,
Kowloon, Hong Kong.
Business Name:-
C D (Belgium) Company, Hong Kong.
[BR No. 30872168-001]
Holding Company:-
C D Jewels International Ltd., British Virgin Islands.
Shanghai Company:-
China Diamond (Shanghai) Corporation Ltd.
Room A511, China Diamond Exchange Center, 1701 Century Avenue, Pudong,
Shanghai 200122, China.
[Tel: (86-21) 6128 0738; Fax:
(86-21) 6182 0731]
Zhuhai Factory:-
3/F., 8 The Tenth Ping Xi Road, Nan Ping Hi-Tech Industrial Area, Zhuhai
SEZ, China.
Related/Affiliated
Companies:-
16 Diamonds.com Ltd., Hong Kong.
(Same address)
Bei Wah Diamante (Macau) Limitada, Macau.
C.D. Jewels DMCC, UAE.
C.D. Jewels, India.
Jewellery Collection (Holdings) Ltd., Hong Kong. [Dissolved]
Jewellery Collection Co., Hong Kong.
[Owned by Mr. Yau Kung Wan (BR No. 16971156-000)]
Jewellery Collection Group Ltd., Hong Kong.
[Dissolved]
[Also trading as Jewellery Collection Co. (BR No. 17517709-001)]
Jewellery Collection International Ltd., Hong Kong.
Jewellery Collection Manufacturer Ltd., Hong Kong.
BUSINESS
REGISTRATION NUMBER
30872168-000
COMPANY
FILE NUMBER
0713048
MANAGEMENT
Managing Director: Mr. Darshan Jivatlal Bhagat
Contact Person: Ms. Ceicludia Yip
ISSUED
SHARE CAPITAL
HK$12,880,623.00
SHAREHOLDERS
(As per registry dated 17-04-2017)
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Name |
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No. of shares |
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C D Jewels International Ltd. P. O. Box 957, Offshore Incorporations Centre, Road Town, Tortola, British
Virgin Islands. |
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12,880,623 ======== |
DIRECTORS
(As per registry dated 17-04-2017)
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Name (Nationality) |
Address |
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Darshan Jivatlal BHAGAT |
Flat A, 25/F., Block 6, Parc Palais, 18 Wylie Road, Ho Man Tin,
Kowloon, Hong Kong. |
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YAU Kung Wan |
House 22, Valais I, Interlaken Avenue, 28 Kwu Tung Road, Sheung Shui,
New Territories, Hong Kong. |
SECRETARY
(As per registry dated 17-04-2017)
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Name |
Address |
Co. No. |
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Professional Company Secretary Ltd. |
2/F., 59 Sai Yeung Choi Street, Mongkok, Kowloon, Hong Kong. |
1886121 |
HISTORY
The subject was incorporated on 17th April, 2000 as a private limited
liability company under the Hong Kong Companies Ordinance.
Formerly the subject was located at Room 803, 8/F., Dragon Seed
Building, 39 Queen’s Road Central, Hong Kong, moved to Room 502, 5/F.,
Wing On House, 71 Des Voeux Road Central, Hong Kong in February 2007, to
Room 407-409, 4/F., Tower B, Hunghom Commercial Centre, 37-39 Ma Tau Wai
Road, Hunghom, Kowloon, Hong Kong in February 2009, moved to Room 911-912,
9/F., Heng Ngai Jewelry Centre, 4 Hok Yuen Street, Hunghom, Kowloon, Hong Kong
in April, 2011, and further moved to the present address with effect from 19th
June, 2015.
The subject registered its Chinese name on 9th June, 2000.
Apart from these, neither material change nor amendment has been ever
traced and noted.
OPERATIONS
Activities: Importer
and Processor.
Lines: All
kinds of raw materials for diamond, precious stones, sapphire, ruby.
Brand Name: J.C.
Employees: 16.
Materials/Commodities: Imported
from Europe, South Africa, India, etc.
Markets: Southeast
Asia, Japan, Europe, Middle East, etc.
Terms/Sales: CAD, L/C, T/T, D/A, etc.
Terms/Buying: L/C, T/T, D/P, D/A, etc.
MEMBERSHIP
The Hong Kong General Chamber of Commerce, Hong Kong. [Membership
No. HKC1162]
FINANCIAL
INFORMATION
Issued Share Capital: HK$12,880,623.00
Indebtedness: HK$6,241,657.81 (Total amount
outstanding on all mortgages and charges as per last
Annual Return
dated 17-04-2017)
Mortgage or Charge (since 2010):
(See attachment)
Profit or Loss: Making
a small profit every year.
Condition: Business
is active.
Facilities: Making
active use of general banking facilities.
Payment: Met as required.
Commercial Morality: Satisfactory.
Bankers:- Dah
Sing Bank Ltd., Hong Kong.
Bank of India, Hong Kong Branch.
China Construction Bank (Asia) Corporation
Ltd., Hong Kong.
China CITIC Bank International Ltd.,
Hong Kong.
DBS Bank (Hong Kong) Ltd.,
Hong Kong.
Standard Chartered Bank (Hong Kong)
Ltd., Hong Kong.
The Hongkong & Shanghai Banking Corp.
Ltd., Hong Kong.
Citibank, N.A., Hong Kong.
Standing: Satisfactory.
GENERAL
China Diamond Corporation Limited is a private limited company
incorporated in April 2000. Formerly the
subject had just issued 2 ordinary shares of HK$1.00 each while the
shareholders Mr. Darshan Jivatlal Bhagat and Mr. Tso Wing Ching each held
one share respectively. On 20th March,
2001, the subject created 859,034 ordinary shares more and on the same date,
558,321 shares were allotted to Bhagat while 300,662 shares were allotted to
Tso.
The subject was reshuffled and increased its issued share capital again. It had been jointly owned by Bhagat, holding
65%, and Mr. Yau Kung Wan, a Hong Kong businessman holding 35%. On 23rd April, 2013, Yau and Bhagat
transferred all their shares to C D Jewels International Ltd. [CDJI] which is a
BVI-registered company. Now, the subject
is wholly-owned by CDJI.
Now, Yau and Bhagat are also directors of the subject. Bhagat is a Hong Kong ID card holder.
The subject moved to the present address in April 2015 which is the
latest.
The subject is a diamond trader. Its
business name is C D (Belgium) Company.
Its main products are loose diamonds, polished diamonds, 0.08 to 2.00
carats diamonds, etc.
It imports all kinds of raw materials for diamond, precious stones,
sapphire, ruby, etc. from Europe, South Africa, Cambodia, India, other Asian
countries, etc.
The finished products include the following:
Necklaces, bangles, diamond pendants, diamond engagement rings, etc.
Products are marketed in Hong Kong, exported to China, India, Japan,
Southeast Asia, the Middle East, Europe, etc.
However, Belgium seems to be the prime market of the subject.
Long time ago, the subject just exported its products to India
only. Now, its products are exported to
over ten countries. Overall business is
steady.
The subject’s products have got the following certifications: GIA, the
IGI, and HRD.
In Hong Kong, the subject has had about 16 employees.
The subject has set up a company in Shanghai, China known as China
Diamond (Shanghai) Corporation Ltd. in order to penetrate the China market further. The Shanghai Company is located at Room A511,
China Diamond Exchange Center, 1701 Century Avenue, Pudong, Shanghai.
The subject has set up a factory in Zhuhai Special Economic Zone, China
engaged in diamonds cutting and polishing.
The factory has about 150 employees.
Another factory in Shenzhen Special Economic Zone, China is
manufacturing J.C. branded jewellery
for the subject.
The subject is marketing its own products throughout the world.
Besides the subject, Mr. Yau Kung Wan is also operating another firm
known as Jewellery Collection Co. which is also a jewellery and diamond
trader. This company is located at a
different address.
The principal shareholder of the subject Bhagat is an Indian who has got
close business ties with some of the diamond manufacturers in India.
Besides, the subject has expanded its business by setting up a new firm
known as 16 Diamonds.com Ltd. which is a Hong Kong-registered firm engaged in
online jewellery retailing.
The subject has had two showrooms, one is in its registered address
while the other is located at 16/F., Luk Fook Jewellery Centre, 239 Temple
Street, Jordan, Kowloon, Hong Kong.
A Macau subsidiary known as Bei Wah Diamante (Macau) Limitada has been
set up in recent years in Macau. This
company is responsible for the Macau market.
The subject also has had associated companies in Mumbai of India and
Dubai of the United Arab Emirates.
In order to penetrate the international market further, the subject has
taken part in fairs and exhibitions held in Hong Kong and other foreign large
cities. For instance, it is going to
take part in “HKTDC Hong Kong International Diamond, Gem & Pearl Show 2018”
which will be held in Hong Kong AsiaWorld-Expo, Lantau, Hong Kong during the
period of 27th February to 3rd March, 2018.
Its booth No. is AWE 2-H18.
According to the subject, its annual sales turnover is over HK$500 to
700 million. Business is active.
The contact person of the subject is Ms. Ceicludia Yip who is a Hong
Kong employee.
On the whole, having a history of over seventeen years and nine months
in Hong Kong, the subject is considered good for normal business
engagements.
REMARKS
Property information of the company:-
Property Location: Workshop
Unit 11 & 12 on 9/F., Heng Ngai Jewelry Centre,
4 Hok Yuen Street East, Kowloon, Hong Kong.
Owner: China Diamond Corporation
Ltd.
Date of Purchase: n.a.
Purchased Price: n.a.
Incumbrances:-
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Date of Mortgage |
Amount
Consideration |
Mortgagee |
Nature |
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28-10-2010 |
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Standard Chartered Bank (Hong Kong) Ltd., Hong Kong. |
Legal charge to secure general banking facilities |
MORTGAGE
OR CHARGE
(Since 2010)
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Date |
Description of
Instrument |
Mortgagee |
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04-04-2011 |
Charge on Cash Deposit to secure Liabilities of the Depositor |
DBS Bank (Hong Kong) Ltd., Hong Kong. |
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04-05-2011 |
Letter of Set-off and Appropriation |
Bank of India, Hong Kong Branch. |
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14-06-2012 |
Deposit Deed |
Citibank N.A., Hong Kong Branch. |
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25-09-2013 |
Charge Over Account |
China Construction Bank (Asia) Corporation Ltd., Hong Kong. |
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23-01-2015 |
Mortgage |
China Construction Bank (Asia) Corporation Ltd., Hong Kong. |
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23-01-2015 |
Assignment of Rentals |
China Construction Bank (Asia) Corporation Ltd., Hong Kong. |
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28-09-2017 |
Legal Charge/Mortgage |
Citibank N.A., Hong Kong Branch. |
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28-09-2017 |
Rental Assignment |
Citibank N.A., Hong Kong Branch. |
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
INR 63.97 |
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1 |
INR 88.13 |
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Euro |
1 |
INR 78.35 |
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HKD |
1 |
INR 8.16 |
Note :
Above are approximate rates obtained from sources believed to be correct
INFORMATION DETAILS
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Analysis Done by
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PRA |
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Report Prepared
by : |
TPT |
RATING EXPLANATIONS
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Credit Rating |
Explanation |
Rating Comments |
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A++ |
Minimum Risk |
Business dealings permissible with minimum
risk of default |
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A+ |
Low Risk |
Business dealings permissible with low
risk of default |
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A |
Acceptable Risk |
Business dealings permissible with
moderate risk of default |
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B |
Medium Risk |
Business dealings permissible on a regular
monitoring basis |
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C |
Medium High Risk |
Business dealings permissible preferably
on secured basis |
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D |
High Risk |
Business dealing not recommended or on
secured terms only |
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NB |
New Business |
No recommendation can be done due to
business in infancy stage |
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NT |
No Trace |
No recommendation can be done as the
business is not traceable |
NB is stated where there is insufficient information to facilitate rating. However, it is not to be considered as unfavourable.
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 are as follows:
·
Financial
condition covering various ratios
·
Company
background and operations size
·
Promoters
/ Management background
·
Payment
record
·
Litigation
against the subject
·
Industry
scenario / competitor analysis
·
Supplier
/ Customer / Banker review (wherever available)
This report is issued at
your request without any risk and responsibility on the part of MIRA INFORM
PRIVATE LIMITED (MIPL) or its officials.