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3decades

 

MIRA INFORM REPORT

 

 

Report No. :

504090

Report Date :

03.05.2018

 

 

IDENTIFICATION DETAILS

 

Name :

SHYAM SUNDER DIAMONDS

 

 

Registered Office :

GE- 3060, Bharat Diamond Bourse, Bandra Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra

Tel. No.:

91-22-23677580

 

 

Country :

India

 

 

Financials (as on) :

31.03.2017

 

 

Year of Establishment :

1999

 

 

Capital Investment / Paid-up Capital :

INR 8.885 Million

 

 

IEC No.:

[Import-Export Code No.]

0399045023

 

 

GSTN :

[Goods & Service Tax Registration No.]

27AAKFS2384P1ZE

 

 

TIN / CST No.:

27210375368

 

 

PAN No.:

[Permanent Account No.]

AAKFS2384P

 

 

Legal Form :

Partnership Concern with an unlimited liability of the partners

 

 

Line of Business :

Processor and exporter of diamonds. [Confirmed by management]

 

 

No. of Employees :

20 (Approximately)

 

 

RATING & COMMENTS

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

 

MIRA’s Rating :

A

 

Credit Rating

Explanation

Rating Comments

A

Acceptable Risk

Business dealings permissible with moderate risk of default

 

Status :

Satisfactory

 

 

Payment Behaviour :

Slow but correct

 

 

Litigation :

Clear

 

 

Comments :

Subject was established in the year 1999 as a partnership firm and it is having satisfactory track.

 

It is a processor and exporter of diamonds.

 

For the financial year 2017, the firm has registered decrease its revenue from operation and maintained minimal profitability margin of 0.51%.

 

Rating takes into consideration firm’s sound financial profile marked by adequate capital base along with low debt balance sheet.

 

The firm also derives strength from its long standing track records of business operations.

 

Further, supplier (Pansuriya Impex and Dirgh Diamond Private Limited) and customer (KTC Co and Minaxi Diamond) of the firm has given positive feedback and they are satisfied with firm’s payment behaviour and overall performance.

 

However, these rating strengths are partially offset by low profitability margin during the year and stiff competition arising out of a fragmented diamond industry structure.

 

Trade relations are reported as fair. Business is active. Payment terms are seems to be slow but correct.

 

In view of aforesaid, the firm can be considered for business dealings at 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.

 

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. Jitendra Jasoliya

Designation :

Partner

Contact No.:

91-9820237125

Date :

29.04.2018

 

 

LOCATIONS

 

Registered Office :

GE- 3060, Bharat Diamond Bourse, Bandra Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra, India

Tel. No.:

91-22-23677580

Mobile No.:

91-9820237125 [Mr. Jitendra Jasoliya]

Fax No.:

Not Available

E-Mail :

shyamsai@yahoo.co.in

Area :

310 sq. ft.

Location :

Owned 

Locality:

Commercial

 

 

Factory:

Mini Bazar, Varacha Road, Surat – 395006, Gujarat, India

Area :

2500 sq. ft.

Location :

Owned

Locality:

Commercial

 

 

PARTNERS

 

Name :

Mr. Jitendra Khimjibhai Jasoliya

Designation :

Partner

Date of Birth/ Age :

38 years

Qualification :

B. Com

PAN No.:

AALPJ2460J

 

 

Name :

Mr. Khimjibhai Jivrajbhai Jasoliya

Designation :

Partner

Date of Birth/ Age :

60 years

Qualification :

5th class

 

 

Name :

Mr. Tulsibhai Jivrajbhai Jasoliya

Designation :

Partner 

Date of Birth/ Age :

62 years

Qualification :

5th class

 

 

Name :

Mr. Nareshbhai Tulsibhai Jasoliya

Designation :

Partner 

Date of Birth/ Age :

37 years

Qualification :

H.S.C.

 

 

BUSINESS DETAILS

 

Line of Business :

Processor and exporter of diamonds. [Confirmed by management]

 

 

Products :

Diamonds

 

 

Brand Names :

Not Available

 

 

Agencies Held :

Not Available

 

 

Exports :

 

Products :

·         Diamonds

Countries :

·         Israel

·         Hong Kong

·         Belgium

·         USA

 

 

Imports :

 

Products :

·         Rough Diamonds

Countries :

·         Belgium

·         Dubai

 

 

Terms :

 

Selling :

Cash, Cheque and Credit (30 / 60 Days)

 

 

Purchasing :

Cash, Cheque and Credit (30 / 60 Days)

 

 

GENERAL INFORMATION

 

Suppliers :

Reference :

Pansuriya Impex

Name of the Person :

Mr. Parinbhai (Partner)

Contact No.:

91-9322232616

Since How Long Known :

18 year

Maximum Limit Dealt :

--

Experience :

Payment Behaviour

Market Goodwill

Overall

Good

Good

Good

Remark :

They gave us positive response about subject concern. They are satisfied with their payment behaviour and market goodwill.

 

 

Reference :

Dirgh Diamond Private Limited

Name of the Person :

Mr. Navneetbhai

Contact No.:

91-9920614184

Since How Long Known :

15 years

Maximum Limit Dealt :

--

Experience :

Payment Behaviour

Market Goodwill

Overall

Good

Good

Good

Remark :

They gave us positive response about subject concern. They are satisfied with their payment behaviour and market goodwill.

 

 

Customers :

Wholesalers, Retailers, End Users

 

Reference :

KTC Co.

Name of the Person :

Mr. Vikasbhai

Contact No.:

91-9821691113

Since How Long Known :

10 years

Maximum Limit Dealt :

--

Experience :

Product Quality

Delivery Behaviour

Overall

Good

Good

Good

Remark :

They gave us positive response about subject concern. They are satisfied with their product quality and delivery behaviour.

 

 

Reference :

Minaxi Diamond

Name of the Person :

Mr. Mukeshbhai

Contact No.:

91-9820728855

Since How Long Known :

12 years

Maximum Limit Dealt :

--

Experience :

Product Quality

Delivery Behaviour

Overall

Good

Good

Good

Remark :

They gave us positive response about subject concern. They are satisfied with their product quality and delivery behaviour.

 

 

No. of Employees :

20 (Approximately)

 

 

Bankers :

Banker Name :

The Saraswat Co-operative Bank Limited

Branch :

Madhava Commercial Premises Co-operative Society Limited, Plot No.C-4, E- Block, BKC, Bandra, Mumbai, Maharashtra, India

Person Name (With Designation) :

--

Contact Number :

91-22-26590965 / 26590981

Name of Account Holder :

--

Account Number :

--

Account Since (Date/Year of Account Opening) :

--

Average Balance Maintained :

--

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

--

Account Operation :

--

Remark :

--

 

 

Banker Name :

The Saraswat Co-operative Bank Limited

Branch :

Kimatri Building, Maharshi Karve Road, Marine Lines, Mumbai – 400002, Maharashtra, India

Person Name (With Designation) :

--

Contact Number :

91-22-22096014 / 22096015

Name of Account Holder :

--

Account Number :

--

Account Since (Date/Year of Account Opening) :

--

Average Balance Maintained :

--

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

--

Account Operation :

--

Remark :

--

 

 

Facilities :

SECURED LOANS

31.03.2017

INR In Million

31.03.2016

INR In Million

 

 

 

HDFC Bank

0.030

0.375

ICICI Bank Limited

1.831

1.977

 

 

 

Total

1.861

2.352

 

 

Auditors :

 

Name :

PMPJ and Associates

Chartered Accountants

Address :

Mumbai, Maharashtra, India

Membership No.:

131197

 

 

Collaborators :

Not Available

 

 

Membership :

Not Available

 

 

Sister Concern :

--

 

 

CAPITAL STRUCTURE

 

AS ON 31.03.2017

 

CAPITAL ACCOUNT OF JITENDRA KHIMJIBHAI JASOLIYA

 

Particulars

 

INR in million

Particulars

INR in million

 

 

 

 

To Capital withdrawals

0.284

By Opening balance

0.510

To Closing balance

0.495

By Net profit

0.055

 

 

By Remuneration

0.165

 

 

By Interest on capital

0.049

 

 

 

 

 

0.779

 

0.779

 

 

CAPITAL ACCOUNT OF KHIMJIBHAI JIVRAJBHAI JASOLIYA

 

Particulars

 

INR in million

Particulars

INR in million

 

 

 

 

To Capital withdrawals

0.015

By Opening balance

3.344

To Closing balance

4.058

By Net profit

0.082

 

 

By Remuneration

0.247

 

 

By Interest on capital

0.400

 

 

 

 

 

4.073

 

4.073

 

 

CAPITAL ACCOUNT OF NARESHBHAI TULSIBHAI JASOLIYA

 

Particulars

 

INR in million

Particulars

INR in million

 

 

 

 

To Opening balance

0.006

By Net profit

0.055

To Capital withdrawals

0.471

By Remuneration

0.164

To Interest on capital

0.036

By Closing balance

0.294

 

 

 

 

 

0.513

 

0.513

 

 

CAPITAL ACCOUNT OF TULSIBHAI JIVRAJBHAI JASOLIYA

 

Particulars

 

INR in million

Particulars

INR in million

 

 

 

 

To Capital withdrawals

0.025

By Opening balance

3.860

To Closing balance

4.626

By Net profit

0.082

 

 

By Remuneration

0.247

 

 

By Interest on capital

0.462

 

 

 

 

 

4.651

 

4.651

 

 

FINANCIAL DATA

[all figures are INR Million]

 

ABRIDGED BALANCE SHEET

 

SOURCES OF FUNDS

31.03.2017

31.03.2016

31.03.2015

EQUITY AND LIABILITIES

 

 

 

1] Partners Capital

8.885

7.708

6.977

2] Share Application Money

0.000

0.000

0.000

3] Reserves & Surplus

0.000

0.000

0.000

4] (Accumulated Losses)

0.000

0.000

0.000

NETWORTH

8.885

7.708

6.977

LOAN FUNDS

 

 

 

1] Secured Loans

1.861

2.352

2.772

2] Unsecured Loans

10.321

1.821

1.821

TOTAL BORROWING

12.182

4.173

4.593

DEFERRED TAX LIABILITIES

0.000

0.000

0.000

 

 

 

 

TOTAL

21.067

11.881

11.570

 

 

 

 

APPLICATION OF FUNDS

 

 

 

 

 

 

 

FIXED ASSETS [Net Block]

2.560

2.892

3.274

Capital work-in-progress

0.000

0.000

0.000

 

 

 

 

INVESTMENT

0.000

0.000

0.000

DEFERRED TAX ASSETS

0.000

0.000

0.000

 

 

 

 

CURRENT ASSETS, LOANS & ADVANCES

 

 

 

 

Inventories

57.984

54.009

24.346

 

Sundry Debtors

1.583

0.701

7.738

 

Cash & Bank Balances

2.246

1.492

1.900

 

Other Current Assets

0.007

0.002

0.040

 

Loans & Advances

0.715

0.007

0.000

Total Current Assets

62.535

56.211

34.024

Less : CURRENT LIABILITIES & PROVISIONS

 

 

 

 

Sundry Creditors

0.000

0.000

0.296

 

Other Current Liabilities

44.014

47.222

25.432

 

Provisions

0.014

0.000

0.000

Total Current Liabilities

44.028

47.222

25.728

Net Current Assets

18.507

8.989

8.296

 

 

 

 

MISCELLANEOUS EXPENSES

0.000

0.000

0.000

 

 

 

 

TOTAL

21.067

11.881

11.570

 

PROFIT & LOSS ACCOUNT

 

 

PARTICULARS

31.03.2017

31.03.2016

31.03.2015

 

SALES

 

 

 

 

Income

53.798

61.723

64.924

 

Other Income

1.901

0.000

0.000

 

TOTAL

55.699

61.723

64.924

 

 

 

 

 

Less

EXPENSES

 

 

 

 

Cost of goods sold

49.966

57.050

59.406

 

Labour charges

0.543

0.327

0.407

 

Exchange difference

0.000

0.428

1.042

 

Accounting charges

0.020

0.020

0.020

 

Audit fees

0.022

0.020

0.012

 

Audit fees (VAT)

0.000

0.000

0.008

 

BDB Cam charges

0.024

0.000

0.000

 

BDB electricity charges

0.012

0.000

0.000

 

BDB HVAC charges

0.043

0.038

0.037

 

BDB municipal tax

0.050

0.060

0.067

 

Car insurance

0.025

0.016

0.028

 

Certification expenses

0.605

0.000

0.021

 

Commission expenses

0.161

0.216

0.224

 

Conveyance expenses

0.026

0.026

0.031

 

Electricity expenses

0.030

0.034

0.040

 

Export expenses

0.079

0.031

0.049

 

Import expenses

0.041

0.042

0.026

 

Membership fees

0.001

0.001

0.001

 

Loan processing fees (For Car)

0.000

0.000

0.012

 

Motor car expenses

0.042

0.030

0.042

 

Office expenses

0.035

0.000

0.043

 

Office maintenance expenses

0.062

0.094

0.044

 

Professional fees

0.018

0.001

0.000

 

Remuneration to partners

0.823

0.850

0.907

 

Salary expenses

0.084

0.216

0.216

 

SDB booking expenses

0.000

0.001

0.000

 

Telephone expenses

0.024

0.024

0.022

 

The GJEPC membership fees

0.000

0.023

0.000

 

TOTAL

52.736

59.548

62.705

 

 

 

 

 

 

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

2.963

2.175

2.219

 

 

 

 

 

Less

FINANCIAL EXPENSES

2.228

1.313

1.323

 

 

 

 

 

 

PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION

0.735

0.862

0.896

 

 

 

 

 

Less

DEPRECIATION/ AMORTISATION

0.337

0.384

0.442

 

 

 

 

 

 

PROFIT/ (LOSS)  BEFORE TAX

0.398

0.478

0.454

 

 

 

 

 

Less

TAX

0.125

0.154

0.140

 

 

 

 

 

 

PROFIT/ (LOSS)  AFTER TAX 

0.273

0.324

0.314

 

The above information has been parted by Mr. Jitendra Jasoliya (Partner)

 

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

 

 

KEY RATIOS

 

EFFICIENCY RATIOS

 

PARTICULARS

 

31.03.2017

31.03.2016

31.03.2015

Average Collection Days

(Sundry Debtors / Income * 365 Days)

10.74

4.15

43.50

 

 

 

 

Account Receivables Turnover

(Income / Sundry Debtors)

33.98

88.05

8.39

 

 

 

 

Average Payment Days

(Sundry Creditors / Purchases * 365 Days)

0.00

0.00

1.82

 

 

 

 

Inventory Turnover

(Operating Income / Inventories)

0.05

0.04

0.09

 

 

 

 

Asset Turnover

(Operating Income / Net Fixed Assets)

1.16

0.75

0.68

 

 

LEVERAGE RATIOS

 

PARTICULARS

 

31.03.2017

31.03.2016

31.03.2015

Debt Ratio

((Borrowing + Current Liabilities) / Total Assets)

0.86

0.87

0.81

 

 

 

 

Debt Equity Ratio

(Total Liability / Networth)

1.37

0.54

0.66

 

 

 

 

Current Liabilities to Networth

(Current Liabilities / Net Worth)

6.12

6.36

3.95

 

 

 

 

Fixed Assets to Networth

(Net Fixed Assets / Networth)

0.29

0.38

0.47

 

 

 

 

Interest Coverage Ratio

(PBIT / Financial Charges)

1.33

1.66

1.68

 

 

PROFITABILITY RATIOS

 

PARTICULARS

 

 

31.03.2017

31.03.2016

31.03.2015

PAT to Sales

((PAT / Sales) * 100)

%

0.51

0.52

0.48

 

 

 

 

 

Return on Total Assets

((PAT / Total Assets) * 100)

%

0.42

0.55

0.84

 

 

 

 

 

Return on Investment (ROI)

((PAT / Networth) * 100)

%

3.07

4.20

4.50

 

 

SOLVENCY RATIOS

 

PARTICULARS

 

31.03.2017

31.03.2016

31.03.2015

Current Ratio

(Current Assets / Current Liabilities)

1.15

1.15

1.24

 

 

 

 

Quick Ratio

((Current Assets – Inventories) / Current Liabilities)

0.08

0.04

0.35

 

 

 

 

G-Score Ratio Financial

(Networth / Total Assets)

0.14

0.13

0.19

 

 

 

 

G-Score Ratio Debt

(Debts / Equity Capital)

1.37

0.54

0.66

 

 

 

 

G-Score Ratio Liquidity

(Total Current Assets / Total Current Liabilities)

1.15

1.15

1.24

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

 

 

FINANCIAL ANALYSIS

[all figures are in INR Million]

 

DEBT EQUITY RATIO

 

Particular

31.03.2015

31.03.2016

31.03.2017

 

INR In Million

INR In Million

INR In Million

Partners Capital

6.977

7.708

8.885

Reserves & Surplus

0.000

0.000

0.000

Net worth

6.977

7.708

8.885

 

 

 

 

Secured Loans

2.772

2.352

1.861

Unsecured Loans

1.821

1.821

10.321

Total borrowings

4.593

4.173

12.182

Debt/Equity ratio

0.658

0.541

1.371

 

 

 

YEAR-ON-YEAR GROWTH

 

Year on Year Growth

31.03.2015

31.03.2016

31.03.2017

 

INR In Million

INR In Million

INR In Million

Sales

64.924

61.723

53.798

 

 

(4.930)

(12.840)

 

 

 

NET PROFIT MARGIN

 

Net Profit Margin

31.03.2015

31.03.2016

31.03.2017

 

INR In Million

INR In Million

INR In Million

Sales

64.924

61.723

53.798

Profit/(Loss)

0.314

0.324

0.273

 

0.48%

0.52%

0.51%

 

 

 

 

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)

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

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

No

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

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

 

 

 

 

UNSECURED LOANS:

 

PARTICULARS

31.03.2017

INR In Million

31.03.2016

INR In Million

 

 

 

Rekha Bank

0.030

0.000

ICICI Bank Limited

1.831

0.000

Saurabh Exports Private Limited

0.000

1.821

 

 

 

Total

10.321

1.821

 

 

FIXED ASSETS:

 

·         Office Premises

·         Furniture and Fittings

·         Generator

·         Machinery

·         Mobile Phone

·         Motor Car

·         Printer

·         T V Set

·         Telephone

·         Water Purifier

·         Computer

 

 

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 8th Century B.C.  India, in fact, remained undisputed leader till 18th 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 30th October 2010 is as under –

 

Gem and 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

INR

US Dollar

1

INR 66.78

UK Pound

1

INR 92.89

Euro

1

INR 80.74

 

 

INFORMATION DETAILS

 

Information Gathered by :

SPR

 

 

Analysis Done by :

PSD

 

 

Report Prepared by :

NKT

 

 

SCORE FACTORS

 

DEMERIT POINTS

 

 

--BANK CHARGES

YES/NO

YES

--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.