MIRA INFORM REPORT

Report No. :	499108.2
Report Date :	03.05.2018

IDENTIFICATION DETAILS

Name :	POONAM STEELS
Registered Office :	Plot No.449-450, Overlock Road, Industrial Area- B, Miller Ganj, Ludhiana-141003, Punjab
Mobile No.:	91-9814024387 (Mr. Joginder Kumar Mittal)
Country :	India
Financials (as on) :	31.03.2017
Year of Establishment :	1980
Capital Investment / Paid-up Capital :	Not Divulged
IEC No.: [Import-Export Code No.]	Not Applicable (As informed by the management that firm does not have export and import)
GSTN : [Goods & Service Tax Registration No.]	03ACHPM4738N1ZA
TIN No.:	03161071039
PAN No.: [Permanent Account No.]	ACHPM4738N
Legal Form :	Sole Proprietary Concern
Line of Business :	Trader of all iron and steel such as MS steel, MS rod, alloy steel, carbon steels, forged steels, steels pipes, etc. [Confirmed by management]
No. of Employees :	06 (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

Maximum Credit Limit :	USD 36000 (INR 2399940)
Status :	Moderate
Payment Behaviour :	Slow
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

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 31-03-2018.

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 03.05.2018.

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

Name :	Mr. Joginder Kumar Mittal
Designation :	Proprietor
Contact No.:	91-9814024387
Date :	23.03.2018

LOCATIONS

Registered Office :	Plot No.449-450, Overlock Road, Industrial Area- B, Miller Ganj, Ludhiana-141003, Punjab, India
Tel. No.:	Not Available
Mobile No.:	91-9814024387 (Mr. Joginder Kumar Mittal)
Fax No.:	Not Available
E-Mail :	steels_poonam@rediffmail.com
Area:	100 Sq. Ft. (As per site visit)
Locality:	Industrial (As per site visit)
Warehouse :	Phase-5, Focal Point, Ludhiana, Punjab, India

SOLE PROPRIETOR

Name :	Mr. Joginder Kumar Mittal
Designation :	Proprietor
Address:	Plot No.449-450, Overlock Road, Industrial Area- B, Miller Ganj, Ludhiana-141003, Punjab, India
Date of Birth/Age :	62 Years
Qualification :	BA, LLB
PAN No.: [Permanent Account No.]	ACHPM4738N

BUSINESS DETAILS

Line of Business :	Trader of all iron and steel such as MS steel, MS rod, alloy steel, carbon steels, forged steels, steels pipes, etc. [Confirmed by management]
Products :	MS Steel Bars MS Channel MS Rod Alloy Steel Carbon Steels Forged Steels Steels Pipes PIG Iron Billet C.I. Skull MS Billet PIG Iron
Brand Names :	Not Available
Agencies Held :	Not Available
Exports :	Not Available
Imports :	Not Available
Terms :
Selling :	Advance Payment, L/C, Cheque and Credit [30 Days]
Purchasing :	Advance Payment, L/C, Cheque and Credit [30 Days]

GENERAL INFORMATION

Suppliers :

• Concast Bengal Industries Limited
• Concast Steel and power Limited, Banku
• Kamal Brothers
• Maya Enterprises
• Om Prakash and Company
• Rakesh Enterprises
• Ram Prakash and Sons
• S.G. Steels
• S.R. Traders
• Sadhu Singh and Sons
• Sona Alloys Private Limited
• V.A. Enterprise

Reference :	Kailash Enterprises
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Experience :	--
Maximum Limit Dealt :	--
Remark :	--

Customers :

Retailers and End Users

• Dankuni Steels Limited
• Dashmesh Castings
• Dhiman Engineering Products
• Goyal Iron and Mill Store
• GSC Castings Private Limited
• Jagdamba International
• Jai Mehndipur Balaji Ispat Udyog
• Jasal Engineers
• Pawan Trading Company
• Shiva Alloy Rolls
• Vishal Trading Company
• Neelachal ispat Nigam Limited

Reference :	Concast Steel and Power Limited
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Experience :	--
Maximum Limit Dealt :	--
Remark :	--

No. of Employees :

06 (Approximately)

Bankers :

Bank Name	HDFC Bank Limited
Branch	LSE Building, Feroze Gandhi Market, Ludhiana-141001, Punjab, India
Person Name (With Designation)	--
Contact Number	--
Name of Account Holder	--
Account Number	--
Account Since (Date/Year of Account Opening)	--
Average Balance Maintained (If Possible)	--
Credit Facilities Enjoyed (If any)	--
Account Operation	--
Remarks (If any)	--

Auditors 1:
Name :	Pawan Garg and Company Chartered Accountants
Auditors 2:
Name :	Aggarwal Garg and Company Chartered Accountants
Address:	638/30 and 31, Thapar Market, Industrial Area – B, Miller Ganj, Ludhiana-141003, Punjab, India
Tel. No:	91-161-2535912
Mobile No:	91-9814117346
Email:	Agco912@yahoo.in
Pan No:	AABFA9648R
Registration No:	004745N
Membership No:	083139
Collaborators :	Not Available
Membership :	Not Available
Sister Concern :	Not Available

CAPITAL STRUCTURE

As on: 31.03.2017

Particular	INR in million
Opening Balance	10.122
Add: Addition	0.887
Less: Withdrawal	(0.828)
Add: Profit / Loss Account	2.481
Total	12.662

FINANCIAL DATA

[all figures are INR Million]

Particulars	31.03.2016
Sales Turnover (Approximately)	600.000

Expected Sales (2017-2018): INR 600.000 Million

The above information has been parted by Mr. Joginder Kumar Mittal (Proprietor)

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		31.03.2017
PROPRIETOR CAPITAL
1] Proprietor Capital		12.662
2] Reserves & Surplus		0.000
3] (Accumulated Losses)		0.000
NETWORTH		12.662
LOAN FUNDS
1] Secured Loans		64.111
2] Unsecured Loans		9.930
TOTAL BORROWING		74.041
DEFERRED TAX LIABILITIES		0.000
TOTAL		86.703
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		0.780
Capital work-in-progress		0.000
INVESTMENT		0.006
DEFERREX TAX ASSETS		0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	4.103
	Sundry Debtors	205.069
	Cash & Bank Balances	0.138
	Other Current Assets	0.000
	Loans & Advances	0.397
Total Current Assets		209.707
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	121.329
	Other Current Liabilities	2.461
	Provisions	0.000
Total Current Liabilities		123.790
Net Current Assets		85.917
MISCELLANEOUS EXPENSES		0.000
TOTAL		86.703

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017
	SALES
	Income	610.259
	Other Income	0.319
	TOTAL	610.578
Less	EXPENSES
	Cost of Materials Consumed	569.761
	Freight Octroy and Cartage	28.555
	Rebate and Discount	(0.485)
	Audit Fees	0.015
	Bonus	0.035
	Brokerage and Commission	0.173
	Car Expenses	0.042
	Computer Expenses	0.006
	Donation	0.021
	Electricity Expenses	0.037
	Entertainment	0.020
	Fee and Taxes	0.001
	House Tax	0.004
	Insurance	0.021
	Misc. Expenses	0.007
	Postage and Courier Expenses	0.000
	Printing and Stationery	0.013
	Rent	0.186
	Salary	0.420
	Scooter Expenses	0.020
	Service Tax	0.379
	Telephone	0.033
	Travelling Expenses	0.048
	TOTAL	599.312
	PROFIT / (LOSS) BEFORE INTEREST AND DEPRECIATION	11.266
Less	FINANCIAL EXPENSES	8.661
	PROFIT / (LOSS) BEFORE DEPRECIATION	2.605
Less	DEPRECIATIONION	0.124
	NET PROFIT	2.481

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017
Average Collection Days (Sundry Debtors / Income * 365 Days)	122.65
Account Receivables Turnover (Income / Sundry Debtors)	2.98
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	77.73

LEVERAGE RATIOS

PARTICULARS	31.03.2017
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.94
Debt Equity Ratio (Total Liability / Networth)	5.85
Current Liabilities to Networth (Current Liabilities / Net Worth)	10.56
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.06
Interest Coverage Ratio (PBIT / Financial Charges)	1.30

PROFITABILITY RATIOS

PARTICULARS		31.03.2017
Net Profit Margin ((PAT / Sales) * 100)	%	0.41
Return on Total Assets ((PAT / Total Assets) * 100)	%	1.18
Return on Investment (ROI) ((PAT / Networth) * 100)	%	19.59

SOLVENCY RATIOS

PARTICULARS	31.03.2017
Current Ratio (Current Assets / Current Liabilities)	1.57
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	1.54
G-Score Ratio Financial (Networth / Total Assets)	0.06
G-Score Ratio Debt (Debts / Equity Capital)	5.85
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.57

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	Yes
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	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	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	--
23	Financials, if provided	Yes
24	Capital in the business	Yes
25	Last accounts filed at ROC, if applicable	No
26	Turnover of firm for last two years	Yes
27	Reasons for variation <> 20%	--
28	Estimation for coming financial year	Yes
29	Profitability for 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

FIXED ASSETS:

• Air Conditioner
• Building
• Car
• Computer
• Cycle
• Fax Machine
• Furniture
• Mobile Set
• Paper Shadder
• Scooter
• Machine
• Vehicle
• Telephone
• Electric Fitting

UNSECURED LOAN

PARTICULAR	31.03.2017 (INR in Million)
Amit Mittal	0.446
Joginder Mittal and Sons HUF	2.341
Parmila Rani	1.143
Pawan Kumar Mittal HUF	2.514
Poonam Mittal	0.039
Priya Mittal	2.690
Varn Mittal	0.757
Total	9.930

OBSERVATION POINTS

Name of Company :	POONAM STEELS
Address :	Plot No.449-450, Overlock Road, Industrial Area- B, Miller Ganj, Ludhiana-141003, Punjab, India
Mobile No.:	91-9814024387
Person to whom we met:	Mr. Ramtej Designation : Caretaker
Name Board :	Sighted
Location:	Easy
Landmark :	Shiv Shanker Tempo Union
Total Floors of the building:	Shed Type Premises
Locality:	Industrial
Area of premises :	100 Sq. Ft.
Area :	Neutral
No. of employees seen at premises:	01
Visibility of Items:	Telephone Computers Air Conditioner Office Equipment
Furniture items sighted :	2 Tables and 4 Chairs
Neighbour’s interview :	Company of Company: Mann Power Press Company of Company: Rajesh Steels
Proof of visit:	Photograph

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	INR
US Dollar	1	INR 66.66
UK Pound	1	INR 90.66
Euro	1	INR 80.01

INFORMATION DETAILS

Information Gathered by :	SVT
Analysis Done by :	VRS
Report Prepared by :	MTN

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	NO
--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.