MIRA INFORM REPORT

Report No. :	495311
Report Date :	06.03.2018

IDENTIFICATION DETAILS

Name :	RAGHUNANDAN IMPEX
Registered Office :	C-4, 3rd Floor, Bardoliya Plot, Gotalawadi Katargam Road, Surat – 395004, Gujarat
Tel. No.:	91-261-2532711
Country :	India
Financials (as on) :	31.03.2015
Date of Establishment :	01.02.2011
Capital Investment :	INR 8.615 Million
IEC No.:	5210041239
TIN No.:	24222705809
CST No.:	24722705809
GST No.:	24AAMFR8559H1ZN
PAN No.: [Permanent Account No.]	AAMFR8559H
Legal Form :	Partnership Concern with an Unlimited Liability of the Partners
Line of Business :	Manufacturer and Exporter of Polished Diamond and also Importer of Rough Diamonds. [Confirmed by Management]
No. of Employees :	60 (Approximately)

RATING & COMMENTS

(Mira Inform has adopted New Rating mechanism w.e.f. 23^rd January 2017)

MIRA’s Rating :

B

Credit Rating	Explanation	Rating Comments
B	Medium Risk	Business dealings permissible on a regular monitoring basis

Status :	Moderate
Payment Behaviour :	Slow but correct
Litigation :	Clear
Comments :	Subject was established in the year 2011 as a partnership firm and it is having moderate track record. It is a manufacturer and exporter of polished diamond and importer of rough diamonds. Mr. Vallabhbhai Gabani [Partner] has provided general information to us. Rating is constrained on account of absence of latest financials information to evaluate risk associate with firm. Payments are unknown. The firm can be considered for business dealings with some caution.

NOTES :

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

ECGC Country Risk Classification List

Country Name	Previous Rating (30.09.2017)	Current Rating (31.12.2017)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low Risk	A2
Moderately Low Risk	B1
Moderate Risk	B2
Moderately High Risk	C1
High Risk	C2
Very High Risk	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 31-03-2016.

BIFR (Board for Industrial & Financial Reconstruction) LISTING STATUS

Subject’s name is not listed as a Sick Unit in the publicly available BIFR (Board for Industrial & Financial Reconstruction) list as of 06.03.2018

IBBI (Insolvency and Bankruptcy Board of India) LISTING STATUS

Subject’s name is not listed in the publicly available IBBI (Insolvency and Bankruptcy Board of India) list as of report date.

INFORMATION PARTED BY [GENERAL DETAILS]

Name :	Mr. Vallabhbhai Gabani
Designation :	Partner
Contact No.:	91-9825960156
Date :	04.03.2018

LOCATIONS

Registered Office :	C-4, 3rd Floor, Bardoliya Plot, Gotalawadi Katargam Road, Surat – 395004, Gujarat, India
Tel. No.:	91-261-2532711
Mobile No.:	91-9825960156 [Mr. Vallabhbhai G. Gabani]
Fax No.:	Not Available
E-Mail :	raghunandanexports@live.in mihirgabani@gmail.com
Website :	http://raghunandanexports.wix.com
Area :	600 Sq. ft.
Location :	Owned
Locality :	Commercial
Factory :	Raghuvir Complex, 7, 3^rd and 4^th Floor, Bardoliya Plot, Gotalawadi Katargam Road, Surat – 395004, Gujarat, India
Area :	1500 Sq. ft.
Location :	Owned
Locality :	Industrial

PARTNERS

Name :	Mr. Vallabhbhai G. Gabani
Designation :	Partner
Date of Birth/Age :	08.02.1970
Name :	Mr. Nareshbhai G Gabani
Designation :	Partner
Date of Birth/Age :	30.04.1976
Name :	Mr. Naranbhai G Gabani
Designation :	Partner
Date of Birth/Age :	03.04.1965
Name :	Mr. Dharmesh D. Patel
Designation :	Partner
Date of Birth/Age :	26.11.1984
Name :	Mr. Dhanjibhai G. Patel
Designation :	Partner
Date of Birth/Age :	08.09.1959
Name :	Mr. Sandeep V Patel
Designation :	Partner
Date of Birth/Age :	17.07.1984

BUSINESS DETAILS

Line of Business :	Manufacturer and Exporter of Polished Diamond and also Importer of Rough Diamonds. [Confirmed by Management]
Products :	Diamonds
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :
Products :	Polished Diamonds
Countries :	Belgium
Imports :
Products :	Rough Diamonds
Countries :	Belgium
Terms :
Selling :	Advance Payment, L/C, Cheque and Credit [30 days]
Purchasing :	Advance Payment, L/C, Cheque and Credit [30 days]

GENERAL INFORMATION

Suppliers :

Reference:	Chintan Gems, Belgium
Name of the Person (Designation):	--
Contact Number:	--
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	--

Customers :

Wholesalers, Retailers and End Users

Reference:	B.G. Star
Name of the Person (Designation):	--
Contact Number:	91-9374712563
Since how long known:	--
Maximum limit dealt:	--
Experience:	--
Remark	Not Reachable

No. of Employees :

60 (Approximately)

Bankers :

Bank Name:	Axis Bank Limited
Branch:	Digvijay Tower, Opposite St. Xaviers School, Ghod Dod Road, Surat – 395001, Gujarat, India
Person Name (with Designation):	--
Contact Number:	91-9998690539
Name of Account Holder:	RAGHUNANDAN IMPEX
Account Number:	--
Account Since (Date/ Year of A/c Opening):	--
Average Balance Maintained (Optional):	--
Credit Facilities Enjoyed (CC/OD/Term Loan):	--
Account Operation:	--
Remarks:	Ringing

Auditors :
Name :	AAP and Company Chartered Accountants
Address :	L16-17, Agrasen Point, Opposite Maharaja Arcade, Citi Light, Surat, Gujarat, India
Mobile No.:	91-9825977566
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	Not Available

CAPITAL STRUCTURE

AS ON 31.03.2015

Capital Investment :
Owned :	INR 8.615 Million
Borrowed :	--
Total :	INR 8.615 Million

FINANCIAL DATA

[all figures are in INR Million]

PARTICULARS	31.03.2017	31.03.2016
Sales Turnover (Approximately)	Not Divulged	Not Divulged

The above information has been declined by Mr. Vallabhbhai G. Gabani [Partner]

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

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2015
SHAREHOLDERS FUNDS
1] Partners Capital		8.615
2] Reserves & Surplus		0.000
3] (Accumulated Losses)		0.000
NETWORTH		8.615
LOAN FUNDS
1] Secured Loans		0.000
2] Unsecured Loans		5.910
TOTAL BORROWING		5.910
DEFERRED TAX LIABILITIES		0.000
TOTAL		14.525
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.675
Capital work-in-progress		0.000
INVESTMENT		0.045
DEFERRED TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	68.263
	Sundry Debtors	0.000
	Cash & Bank Balances	1.511
	Other Current Assets	0.000
	Loans & Advances	0.183
Total Current Assets		69.957
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	0.000
	Other Current Liabilities	54.338
	Provisions	1.814
Total Current Liabilities		56.152
Net Current Assets		13.805
MISCELLANEOUS EXPENSES		0.000
TOTAL		14.525

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2015
	SALES
		Sales	128.080
		Other Income	0.004
		TOTAL	128.084
Less	EXPENSES
		Cost of Goods sold	103.500
		Exchange rate diff.	1.760
		Material and Traders Expenses	0.186
		Power and Fuel Expenses	0.996
		Salary and Wages Factory	12.595
		Soing ad Curfing Labour Expenses	0.994
		Accounting Expenses	0.025
		Admin Expenses	0.005
		Audit Fees	0.009
		Conveyance Expenses	0.027
		Cust. Clearing and for Expenses	0.106
		Donation	0.116
		Employer cont. of PF	0.049
		Gem and Jewellery Membership Expenses	0.007
		General Expenses	0.029
		General Insurance Expenses	0.004
		Interest to Partners	0.360
		Remuneration to Partners	1.200
		Office Expenses	0.026
		Salary and Wages office	3.902
		Saran Manjai Expenses	0.169
		Stationery and Printing Expenses	0.008
		Telephone Expenses	0.008
		Travelling Expenses	0.560
		TOTAL	126.641
	PROFIT BEFORE INTEREST AND DEPRECIATION AND AMORTISATION		1.443
Less	FINANCIAL EXPENSES		0.576
	PROFIT BEFORE DEPRECIATION AND AMORTISATION		0.867
Less/ Add	DEPRECIATION/ AMORTISATION		0.119
	NET PROFIT		0.748

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2015
Average Collection Days (Sundry Debtors / Income * 365 Days)	0.00
Account Receivables Turnover (Income / Sundry Debtors)	0.00
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	0.00
Inventory Turnover (Operating Income / Inventories)	0.02
Asset Turnover (Operating Income / Net Fixed Assets)	2.00

LEVERAGE RATIOS

PARTICULARS	31.03.2015
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.88
Debt Equity Ratio (Total Liability / Networth)	0.69
Current Liabilities to Networth (Current Liabilities / Net Worth)	7.20
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.08
Interest Coverage Ratio (PBIT / Financial Charges)	2.51

PROFITABILITY RATIOS

PARTICULARS		31.03.2015
Net Profit Margin ((PAT / Sales) * 100)	%	0.58
Return on Total Assets ((PAT / Total Assets) * 100)	%	1.06
Return on Investment (ROI) ((PAT / Networth) * 100)	%	8.68

SOLVENCY RATIOS

PARTICULARS	31.03.2015
Current Ratio (Current Assets / Current Liabilities)	1.13
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	0.03
G-Score Ratio Financial (Networth / Total Assets)	0.12
G-Score Ratio Debt (Debts / Equity Capital)	0.69
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.13

Total Liability = Short-term Debt + Long-term Debt + Current Maturities of Long-term debts

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	No
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)	Yes
16	No. of employees	Yes
17	Details of sister concerns	No
18	Major suppliers	Yes
19	Major customers	Yes
20	Banking Details	Yes
21	Banking facility details	No
22	Conduct of the banking account	Yes
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 one year	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	No
29	Profitability for last one year	Yes
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

DIAMOND INDUSTRY – INDIA

- From time immemorial, India is well known in the world as the birthplace for diamonds.  It is difficult to trace the origin of diamonds but history says that in the remote past, diamonds were mined only in India. Diamond production in India can be traced back to almost 8^th Century B.C.  India, in fact, remained undisputed leader till 18^th Century when Brazilian fields were discovered in 1725 followed by emergence of S. Africa, Russia and Australia.

- The achievement of the Indian diamond industry was possible only due to combination of the manufacturing skills of the Indian workforce and the untiring and unflagging efforts of the Indian diamantaires, supported by progressive Government policies.

- The area of study of family owned diamond businesses derives its importance from the huge conglomerate of family run organizations which operate in the diamond industry since many generations.

- Some of the basic traits of family run business enterprises include spirit of entrepreneurship, mutual trust lowers transaction costs, small, nimble and quick to react, information as a source of advantage and philanthropy.

- Family owned diamond businesses need to improve on many fronts including higher standard of corporate governance, long-term performance – focused strategies, modern management and technology.

- Utmost caution is to be exercised while dealing with some medium and large diamond traders which are usually engaged in fictitious import – export, inter-company transactions, financially assisted by banks. In the process, several public sector banks lost several hundred million rupees. They mostly diverted borrowed money for diamond business into real estate and capital markets.

- Excerpts from Times of India dated 30^th October 2010 is as under –

- Gem & Jewellery Export Promotion Council in its statistical data has shown the export of polished diamonds to have increase by 28 % in February 2013. Compared to $ 1.4 bn worth of polished diamond export in February, 2012, India exported $ 1.84 billion worth of polished diamonds in February 2013. A senior executive of GJEPC said, “Export of cut and polished diamonds started falling month-wise after the imposition of 2 % of import duty on the polished diamonds. But February, 2013 has given a new ray of hope to the industry as the export of polished diamonds has actually increased by 28 %. It means the industry is on the track of recovery and round tripping of diamonds has stopped completely.” Demand has started coming from the US, the UK, Japan and China. India’s polished diamond export is expected to cross $ 21 bn in 2013-14.

- The banking sector has started exercising restraint while following prudent risk management norms when lending money to gems and jewellery sector. This follows the implementation of Basel III accord – a global voluntary regulatory standard on bank capital adequacy, stress testing and market liquidity.

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 records 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	INR 65.05
UK Pound	1	INR 89.70
Euro	1	INR 80.03

INFORMATION DETAILS

Information Gathered by :	SAV
Analysis Done by :	PRS
Report Prepared by :	BVA

SCORE FACTORS

DEMERIT POINTS
--BANK CHARGES	YES/NO	NO
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	YES
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	NO
--OTHER MERIT FACTORS	YES/NO	YES

RATING EXPLANATIONS

Credit Rating	Explanation	Rating Comments
A++	Minimum Risk	Business dealings permissible with minimum risk of default
A+	Low Risk	Business dealings permissible with low risk of default
A	Acceptable Risk	Business dealings permissible with moderate risk of default
B	Medium Risk	Business dealings permissible on a regular monitoring basis
C	Medium High Risk	Business dealings permissible preferably on secured basis
D	High Risk	Business dealing not recommended or on secured terms only
NB	New Business	No recommendation can be done due to business in infancy stage
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)

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.