MIRA INFORM REPORT

Report No. :	507782
Report Date :	12.05.2018

IDENTIFICATION DETAILS

Name :	SETCO CHEMICALS (INDIA) PRIVATE LIMITED (w.e.f. 28.06.1994)
Formerly Known As :	SETCO TILES PRIVATE LIMITED
Registered Office :	B/24, Basement Floor, Bombay Market Apartments, Co-operative Society Limited, Tardeo Main Road, Mumbai-400034, Maharashtra
Tel. No.:	91-250-3294750/ 51/ 48/ 3094750
Country :	India
Financials (as on) :	31.03.2017
Date of Incorporation :	03.06.1985
Com. Reg. No.:	11-036470
Capital Investment / Paid-up Capital :	INR 20.000 Million
CIN No.: [Company Identification No.]	U26933MH1985PTC036470
IEC No.: [Import-Export Code No.]	0395003016
GSTN : [Goods & Service Tax Registration No.]	27AADCS1688L1ZU
TIN No.:	27680001320
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AADCS1688L
Legal Form :	Private Limited Liability Company
Line of Business :	Subject is engaged in manufacturing and sales of Inks and Resins. [Registered Activity]
No. of Employees :	Not Divulged

RATING & COMMENTS

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

MIRA’s Rating :

A

Credit Rating	Explanation	Rating Comments
A	Acceptable Risk	Business dealings permissible with moderate risk of default

Maximum Credit Limit :	USD 690000
Status :	Good
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject was incorporated in the year 1985. It is a manufacturer and seller of Inks and Resins. For the financial year 2017, the company has reported decline in its revenue as compared to previous year but has managed to maintain average profit margin of 5.77%. The sound financial profile of the company is marked by adequate networth base along with strong debt coverage indicators due to low debt balance sheet profile. The company has favourable Earning per Share (EPS) of INR 218 against a face value (FV) of INR 100. The rating takes into consideration the subject’s long established track record of the business operations along with extensive experience of its promoters. Business is active. Payment seems to be usually correct. In view of aforesaid, the company can be considered for normal business dealings a 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

Rating Agency Name	Not Available
Rating	Not Available
Rating Explanation	Not Available
Date	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 12.05.2018

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 DENIED BY

Name :	Mr. S. Desai
Designation :	Chief Executive Officer
Contact No.:	91-9324455596
Date :	08.05.2018

LOCATIONS

Registered Office :	B/24, Basement Floor, Bombay Market Apartments, Co-operative Society Limited, Tardeo Main Road, Mumbai-400034, Maharashtra, India
Tel. No.:	Not Available
Mobile No.:	91-9324455596 (Mr. S. Desai)
Fax No.:	Not Available
E-Mail :	setcochemicals@gmail.com info@setcochemicals.com yhs@setcochemicals.com
Website :	http://www.setcochemicals.in
Correspondence / Factory 1 :	Survey No.72, Plot Nos. 64 to 73, Dewan and Shah Industrial Estate, Waliv Phata, Vasai (East), District Palghar – 401208, Maharashtra, India
Tel. No.:	91-250-3294750/ 51
Fax No.:	91-250-2480806
Factory 2 :	Plot No.290/1, Phase-II, G.I.D.C., District Vapi – 396195, Gujarat, India

DIRECTORS

AS ON 31.03.2018

Name :	Mr. Yogesh Hariprasad Solanki
Designation :	Managing Director
Address :	302C Ashish Building, Tirupati Apartments Bhulabhai Desai Road, Mumbai – 400026, Maharashtra, India
Date of Birth/Age :	20.02.1949
Date of Appointment :	01.05.1998
DIN No.:	00096900
Name :	Mr. Jayant Hariprasad Solanki
Designation :	Director
Address :	A/004, Evershine Classique Co-Operative Housing Society Limited, Evershine City, Vasai (East), Thane – 401208, Maharashtra, India
Date of Birth/Age :	28.04.1943
Date of Appointment :	01.04.1998
DIN No.:	00096850
Name :	Mrs. Sangeeta Jayant Solanki
Designation :	Director
Address :	A/004, Evershine Classique, Co-Operative Housing Society, Evershine City, Vasai (East), Thane – 401208, Maharashtra, India
Date of Birth/Age :	17.10.1945
Date of Appointment :	01.12.2000
DIN No.:	00096919
Name :	Mrs. Rekha Yogesh Solanki
Designation :	Director
Address :	C302 Ashish Building, Tirupati Apartment Bhulabhai Desai Road, Mumbai – 400026, Maharashtra, India
Date of Birth/Age :	06.06.1952
Date of Appointment :	01.12.2000
DIN No.:	00096949
Name :	Ms. Vanaja Anil Nair
Designation :	Director
Address :	B2/D-101 Gokul Vatika CHS Limited, Krishna Township, Ambadi Road, Near Surya Garden, Vasai Road (West), Thane – 401202, Maharashtra, India
Date of Appointment :	02.07.2016
DIN No.:	07558172

KEY EXECUTIVES

Name :	Mr. S. Desai
Designation :	Chief Executive Officer
Name :	Nitin R. Joshi
Designation :	Company Secretary
Address :	415, Marathon Max, Next to Udyog Kshetra, Junction of L.B.S. Marg and Goregoan Link Road, Mulund (West), Mumbai-400 080, Maharashtra, India
Tel. No:	91-22-2562 5660
Mob. No:	91-98201 29178
Email:	n_r_joshi@yahoo.com

MAJOR SHAREHOLDERS

AS ON 31.03.2017

Names of Shareholders	No. of Shares
Yogesh Hariprasad Solanki (HUF)	4000
Yogesh Hariprasad Solanki jointly with Rekha Solanki	33000
Rekha Yogesh Solanki jointly with Yogesh Solanki	32000
Grishma Yogesh Solanki jointly with Yogesh Solanki	15500
Reshma Yogesh Solanki jointly with Rekha Solanki	15500
Jayant Hariprasad Solanki (HUF)	7000
Jayant Hariprasad Solanki jointly with Sangeeta Solanki	30000
Tapan Jayant Solanki jointly with Vandana Tapan Solanki	32000
Sangeeta Solanki jointly with Jayant Hariprasad Solanki	20000
Vandana Tapan Solanki jointly with Tapan Jayant Solanki	11000
Total	200000

AS ON 28.12.2017

Equity Share Break up	Percentage
Category
Promoters - Individual/Hindu Undivided Family – Indian	57.50
Public/Other than promoters - Individual/Hindu Undivided Family – Indian	42.50
Total	100.00

BUSINESS DETAILS

Line of Business :

Subject is engaged in manufacturing and sales of Inks and Resins. [Registered Activity]

Products / Services :

• Liquid Printing Inks
• Synthetics Resins
• Lamination Adhesives
• Specialty Paints

NIC Code of the Product/ service	Products/Services Description
39095000	Amino-Resins, Polyurethane

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

GENERAL INFORMATION

Suppliers :

Reference :	Not Divulged
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark :	--

Customers :

Reference :	Not Divulged
Name of the Person :	--
Contact No.:	--
Since How Long Known :	--
Maximum Limit Dealt :	--
Experience :	--
Remark :	--

No. of Employees :

Not Divulged

Bankers :

Bank Name	Bassein Catholic Co-operative Bank Limited
Branch	Manickpur Branch, 1st Floor, Lawrence Shopping Center, Manickpur , Vasai (West), Thane – 401202, Maharashtra, 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)	--

Facilities :

SECURED LOANS	31.03.2017 INR In Million	31.03.2016 INR In Million
LONG TERM BORROWINGS
From Bank
Bassein Catholic Co-operative Bank Limited	0.000	19.904
HDFC Bank Limited	0.144	1.326
From Finance Company
Kotak Mahindra Prime Limited	0.000	0.067
IDBI Auto Loan	0.000	0.425
SHORT TERM BORROWINGS
Overdraft from Banks	128.334	135.390
Total	128.478	157.112

SHORT TERM BORROWINGS

Cash credit from Banks is secured by hypothecation of stock and book debts and collaterally secured by equitable mortgage of land and factory building at vasai and deposit of the title deeds of land building at Plot No.290/1, Phase-II, G.I.D.C., District Vapi – 396195, Gujarat, India and personal guarantee of directors of the company the cash credit is repayable on demand and carries interest @12.5% pa.

Auditors :
Name :	M.M. Zaveri and Company Chartered Accountants
Address :	A-5, Apsara Building, 4, Daulat Nagar, Borivali (East), Mumbai – 400066, Maharashtra, India
Tel. No.:	91-22-28902003 / 28952242
Email:	mmzaveri@yahoo.com
PAN No.:	AAATZ1139K
Memberships :	Not Available
Collaborators :	Not Available
Subsidiaries Company :	Aquathane Chemicals Private Limited CIN No.U24100MH1998PTC113414
Enterprises having significant influence :	Rang Utsav Shivmark Impex LLP Caxton Chemical Industries CYMK Inks LLP Great Tech Innovative Chemicals Karm Chem Arun Inks

CAPITAL STRUCTURE

AS ON 28.12.2017

Authorised Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	INR 100/- each	INR 20.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
200000	Equity Shares	INR 100/- each	INR 20.000 Million

FINANCIAL DATA

[all figures are INR Million]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS	31.03.2017	31.03.2016	31.03.2015
I.              EQUITY AND LIABILITIES
(1)Shareholders' Funds
(a) Share Capital	20.000	20.000	20.000
(b) Reserves & Surplus	222.924	312.157	271.043
(c) Money received against share warrants	0.000	0.000	0.000
(2) Share Application money pending allotment	0.000	0.000	0.000
Total Shareholders’ Funds (1) + (2)	242.924	332.157	291.043
(3) Non-Current Liabilities
(a) long-term borrowings	0.144	21.722	39.169
(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	20.024	20.122	1.893
Total Non-current Liabilities (3)	20.168	41.844	41.062
(4) Current Liabilities
(a) Short term borrowings	128.334	135.390	164.315
(b) Trade payables	130.569	149.806	186.494
(c) Other current liabilities	9.984	31.052	24.067
(d) Short-term provisions	11.340	25.804	1.813
Total Current Liabilities (4)	280.227	342.052	376.689
TOTAL	543.319	716.053	708.794
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	110.986	222.273	216.642
(ii) Intangible Assets	0.392	0.007	0.007
(iii) Capital work-in-progress	0.000	10.298	21.869
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	6.181	6.115	6.112
(c) Deferred tax assets (net)	12.229	11.369	2.349
(d) Long-term Loan and Advances	12.361	13.094	13.505
(e) Other Non-current assets	0.000	0.000	0.000
Total Non-Current Assets	142.149	263.156	260.484
(2) Current assets
(a) Current investments	0.000	0.000	0.000
(b) Inventories	146.466	143.607	145.609
(c) Trade receivables	140.854	248.189	226.265
(d) Cash and cash equivalents	50.601	36.189	53.133
(e) Short-term loans and advances	63.249	24.912	23.303
(f) Other current assets	0.000	0.000	0.000
Total Current Assets	401.170	452.897	448.310
TOTAL	543.319	716.053	708.794

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017	31.03.2016	31.03.2015
	SALES
	Income	755.787	948.500	967.938
	Other Income	4.096	10.275	5.153
	TOTAL	759.883	958.775	973.091
Less	EXPENSES
	Cost of Materials Consumed	504.092	619.321	688.907
	Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	(9.227)	(2.444)	0.935
	Employees benefits expense	81.999	88.630	57.306
	Other expenses	88.056	122.010	117.051
	TOTAL	664.920	827.517	864.199
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	94.963	131.258	108.892
Less	FINANCIAL EXPENSES	17.223	23.153	18.512
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	77.740	108.105	90.380
Less	DEPRECIATION/ AMORTISATION	12.090	21.339	25.966
	PROFIT/ (LOSS) BEFORE TAX	65.650	86.766	64.414
Less	TAX	22.051	31.209	21.534
	PROFIT/ (LOSS) AFTER TAX BEFORE PRIOR PERIOD ADJUSTMENT	43.599	55.557	42.880
	EARNINGS IN FOREIGN CURRENCY
	F.O.B. Value of Exports	182.845	240.956	218.484
	TOTAL EARNINGS	182.845	240.956	218.484
	IMPORTS
	Raw Materials	110.025	165.265	193.095
	TOTAL IMPORTS	110.025	165.265	193.095
	Earnings / (Loss) Per Share (INR)	218.00	277.79	214.40

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2017	31.03.2016	31.03.2015
Current Maturities of Long term debt	0.879	14.880	16.997
Cash generated from operations	95.633	101.683	75.139
Net cash flow from (used in) operating activities	50.497	80.936	46.825

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Average Collection Days (Sundry Debtors / Income * 365 Days)	68.02	95.51	85.32
Account Receivables Turnover (Income / Sundry Debtors)	5.37	3.82	4.28
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	94.54	88.29	98.81
Inventory Turnover (Operating Income / Inventories)	0.65	0.91	0.75
Asset Turnover (Operating Income / Net Fixed Assets)	0.85	0.56	0.46

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.52	0.53	0.61
Debt Equity Ratio (Total Liability / Networth)	0.53	0.52	0.76
Current Liabilities to Networth (Current Liabilities / Net Worth)	1.15	1.03	1.29
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.46	0.70	0.82
Interest Coverage Ratio (PBIT / Financial Charges)	5.51	5.67	5.88

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016	31.03.2015
Net Profit Margin ((PAT / Sales) * 100)	%	5.77	5.86	4.43
Return on Total Assets ((PAT / Total Assets) * 100)	%	8.02	7.76	6.05
Return on Investment (ROI) ((PAT / Networth) * 100)	%	17.95	16.73	14.73

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Current Ratio (Current Assets / Current Liabilities)	1.43	1.32	1.19
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	0.91	0.90	0.80
G-Score Ratio Financial (Networth / Total Assets)	0.45	0.46	0.41
G-Score Ratio Debt (Debts / Equity Capital)	6.47	8.60	11.02
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.43	1.32	1.19

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

FINANCIAL ANALYSIS

[all figures are INR Million]

DEBT EQUITY RATIO

Particular	31.03.2015	31.03.2016	31.03.2017
	INR In Million	INR In Million	INR In Million
Share Capital	20.000	20.000	20.000
Reserves & Surplus	271.043	312.157	222.924
Net worth	291.043	332.157	242.924
Long-term borrowings	39.169	21.722	0.144
Short term borrowings	164.315	135.390	128.334
Current Maturities of Long term debt	16.997	14.880	0.879
Total borrowings	220.481	171.992	129.357
Debt/Equity ratio	0.758	0.518	0.532

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	967.938	948.500	755.787
		(2.008)	(20.318)

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	967.938	948.500	755.787
Profit	42.880	55.557	43.599
	4.43%	5.86%	5.77%

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	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	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	No
32	Litigations that the firm/promoter involved in	--
33	Market information	--
34	Payments terms	No
35	Negative Reporting by Auditors in the Annual Report	No

Note: The registered office of the company has been shifted from Survey No.72, Plot Nos. 64 to 73, Dewan and Shah Industrial Estate, Waliv Phata, Vasai (East), District Thane – 401208, Maharashtra, India to the present address.

STATE OF COMPANY’S AFFAIRS AND FUTURE OUTLOOK

Manufacturing of liquid printing inks, synthetics resins, lamination adhesives and specialty paints.

The Company has made profit INR 43.599 million in financial year 31^st March 2017.

CORPORATE INFORMATION

The company is a private limited company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The company is engaged in manufacturing and sales of Inks and Resins.

INDEX OF CHARGE:

SNo	SRN	Charge Id	Charge Holder Name	Date of Creation	Date of Modification	Date of Satisfaction	Amount	Address
1	B45662319	10370517	The Bassein Catholic Co-op Bank Limited	25/07/2012	-	-	105000000.0	Manickpur Branch, 1st floor, Lawrence Shoppingcenter, Manickpur , Vasai (west)THANEMH401202IN
2	B35686633	10198209	THE BASSEIN CATHOLIC CO-OP BANK LIMITED	19/03/2009	06/03/2012	-	86000000.0	MANICKPUR BRANCH, 1ST FLOORLAWRENCE SHOPPING CENTER, VASAI (W)VASAIMH401207IN
3	C44152353	90155320	Bassein Catholic C0-operative Bank Limited	07/02/2002	22/01/2015	-	90000000.0	Manickpur Branch, 1st floor, Lawrence shopping --center, Manickpur, Vasai (west)PalgharMH401207IN
4	C44095859	90157809	Bassein Cathokic Co-operative Bank Limited	17/10/2001	22/01/2015	-	90000000.0	Manickpur Branch, 1st floor, Lawrence shopping--enter, Manickpur, Vasai (west)PalgharMH401207IN
5	Y10255513	90155743	CANARA BANK	28/11/1989	-	-	168000.0	RAOPURA BRANCHBARODAMHIN
6	C81116485	10256904	BASSEIN CATHOLIC CO-OPERATIVE BANK LIMITED	13/11/2010	-	08/03/2016	3000000.0	MANICKPUR BRANCH, LAWRENCE SHOPPING CENTRE1ST FLOOR, MANICKPUR VASAI (WEST),THANEMH401207IN
7	C74816547	10155743	THE BASSEIN CATHOLIC CO-OP BANK LTD	21/04/2009	-	29/12/2015	15000000.0	MANIKPUR BRANCHVASAI WESTTHANEMH401207IN
8	C74815069	10119593	BASSIEN CATHOLIC CO-BANK OPP .LTD	20/08/2008	-	29/12/2015	4500000.0	MANICKPUR BRANCHVASAITHANEMH401202IN
9	C47765953	90155050	THE ECONOMIC DEVELOPMENT OF GOA DAMAN AND DIU LTD.	09/04/1997	-	26/02/2015	4500000.0	EDC HOUSEDR. A.B ROAD;PANAJIGAIN
10	C39090378	10257644	Bassein Catholic Co-operative Bank Limited	05/12/2010	-	04/01/2015	588000.0	MANICKPUR BRANCH, LAWRENCE SHOPPING CENTER1ST FLOOR, MANICKPUR, VASAI (WEST)ThaneMH401207IN

CONTINGENT LIABILITIES:

(INR in million)

PARTICULARS	31.03.2017	31.03.2016
Guarantees provided against pledge NSCs	0.026	0.026
Claim against company not acknowledged of debts	12.611	12.611
Letters of credit issued by Bank	14.310	11.618
TOTAL	26.647	24.255

FIXED ASSETS:

Tangible Asset:

• Land
• Building
• Plant and Machinery
• Electrical Fittings
• Furniture and Fixture
• Office Equipment
• Computer
• Vehicles

Intangible Asset:

• Computer Software

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	INR
US Dollar	1	INR 67.22
UK Pound	1	INR 90.88
Euro	1	INR 80.09

INFORMATION DETAILS

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

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	NO
--AFFILIATION	YES/NO	YES
--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.