MIRA INFORM REPORT

Report No. :	508996
Report Date :	18.05.2018

IDENTIFICATION DETAILS

Name :	ARRAYCOM (INDIA) LIMITED (w.e.f. 13.01.2000)
Formerly Known As :	PAREKH MICRO ELECTRONICS (INDIA) LIMITED
Registered Office :	Plot No B-13 13/1 and 14, GIDC Electronic Estate, Sector 25, Gandhinagar – 382023, Gujarat
Mobile No.:	91-9327035111 (Mr. Jignesh)
Country :	India
Financials (as on) :	31.03.2017
Date of Incorporation :	18.06.1992
Com. Reg. No.:	04-039667
Capital Investment / Paid-up Capital :	INR 50.000 Million
CIN No.: [Company Identification No.]	U32109GJ1992PLC039667
IEC No.: [Import-Export Code No.]	Not Divulged
GSTN : [Goods & Service Tax Registration No.]	Not Divulged
TAN No.: [Tax Deduction & Collection Account No.]	Not Available
PAN No.: [Permanent Account No.]	AAACP6344D
Legal Form :	A Closely Held Public Limited Liability Company
Line of Business :	The Company is primarily engaged in the Manufacturing of Electronic Materials, Power Semi-Conductor Devices, System Integration in Satellite Communication, Broadcast and Telecommunication and E- Learning. (Registered Activity)
No. of Employees :	Information denied by the management

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 910000
Status :	Satisfactory
Payment Behaviour :	Usually correct
Litigation :	Clear
Comments :	Subject was incorporated in the year 1992 having satisfactory track record. It is engaged as manufacturer of electronic materials, power semi-conductor devices, system integration in satellite communication, broadcasting system and telecommunication devices. For the financial year 2017, the company has achieved decent growth of 48.76% in its revenue as compared to its previous year but has incurred a loss during the year. Rating takes into consideration, the healthy financial risk profile marked by adequate net worth base and strong debt protection metrics. Rating continue to derive strength from its established track record of its business operations backed by its well-experienced management team. However, these rating strengths gets partially offset by its operation loss due to competition faced from large number of players in the industry, being the component maker with strong of technical know-how requirements which exerts pressure on the profitability margins. Payment seems to be usually correct. In view of aforesaid, the company can be considered for business dealing 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 18.05.2018

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. Jignesh
Designation :	Not Divulged
Contact No.:	91-9327035111
Date :	13.05.2018

LOCATIONS

Registered Office / Head Office / Factory :	Plot No B-13 13/1 and 14, GIDC Electronic Estate, Sector 25, Gandhinagar – 382023, Gujarat, India
Tel. No.:	91-79-23287030 / 32 / 33 / 36
Mobile No.:	91-9327035111 (Mr. Jignesh)
Fax No.:	91-79-23287031
E-Mail :	admin@arraycom.co.in
Website :	http://www.arraycom.co.in
Branch Offices :	Located At: Vadodara New Delhi Mumbai Bangalore
Overseas Office :	Located At USA

DIRECTORS

AS ON 31.03.2018

Name :

Mrs. Gorsi Atul Parekh

Designation :

Managing Director

Address :

Shanti Niwas, Opposite St. Xaviers College, Navrangpura Ahmedabad – 380009, Gujarat, India

Date of Birth/Age :

12.08.1965

Qualification :

M.A., Diploma in Business Management

Date of Appointment :

01.10.1995

DIN No.:

00343194

Other directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U72200GJ2001PTC039477	TRACKVEHICLE DOT COM (INDIA) PRIVATE LIMITED	01/05/2001	-
U80301GJ2007PTC050204	SWAYAM LEARNING PRIVATE LIMITED	13/03/2007	-
U45203GJ2014PTC078916	AMULYA INFRABUILD PRIVATE LIMITED	26/02/2014	-

Name :

Mr. Varun Atul Parekh

Designation :

Director

Address :

Shanti Niwas, Opposite St. Xaviers College, Navrangpura, Ahmedabad- 380009, Gujarat, India

Date of Appointment :

31.12.2014

DIN No.:

06960749

Name :

Mrs. Kalawati Jaisukhlal Parekh

Designation :

Whole Time Director

Address :

Shanti Niwas, Opposite St. Xaviers College, Navrangpura Ahmedabad - 380009, Gujarat, India

Date of Birth/Age :

10.12.1942

Qualification :

Undergraduate

Date of Appointment :

01.04.2013

DIN No.:

00343326

Other directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U80301GJ2007PTC050204	SWAYAM LEARNING PRIVATE LIMITED	01/10/2011	-
U45203GJ2014PTC078916	AMULYA INFRABUILD PRIVATE LIMITED	26/02/2014	-

Name :

Mr. Bipin Chandravadan Vasavada

Designation :

Director

Address :

4 Parul Shopping Centre, Ambawadi Vistar, Umiya Vijay, Satellite Road, Ahmedabad - 380015, Gujarat, India

Date of Birth/Age :

12.08.1941

Date of Appointment :

27.03.2007

DIN No.:

01432243

Name :

Mr. Ranchhodbhai Nanjibhai Patel

Designation :

Director

Address :

11, Divya Kiran Society, Naroda, Ahmedabad - 382330, Gujarat, India

Date of Birth/Age :

01.06.1955

Date of Appointment :

29.03.2010

DIN No.:

03067717

Other directorship:

CIN/FCRN	Company Name	Begin Date	End Date
U01111GJ2012PTC072717	PARITOSH SEEDS PRIVATE LIMITED	05/03/2015	-

KEY EXECUTIVES

Name :	Mr. Lalit Prabhulal Sanghvi
Designation :	Company Secretary and Chief Executive Officer
Address :	EW-4, Kamaldeep Apartment, Opposite Telephone Exchange, C. G. Road, Ahmedabad - 380006, Gujarat, India
Date of Birth/Age :	22.01.1956
Date of Appointment :	26.07.2001
PAN No.:	AJJPS6813K

MAJOR SHAREHOLDERS

AS ON 31.03.2017

SHAREHOLDING DETAILS FILE ATTACHED

Equity Share Break up (Percentage of Total Equity)

AS ON 22.09.2017

Category	Percentage
Promoters- Individual/Hindu Undivided Family- Indian	70.64
Public/Other than promoters- Individual/Hindu Undivided Family- Indian	28.49
Public/Other than promoters- Individual/Hindu Undivided Family- Non-resident Indian (NRI)	0.04
Public/Other than promoters - Body corporate	0.83
Total	100.00

BUSINESS DETAILS

Line of Business :

The Company is primarily engaged in the Manufacturing of Electronic Materials, Power Semi-Conductor Devices, System Integration in Satellite Communication, Broadcast and Telecommunication and E- Learning. (Registered Activity)

Products / Services :

Name and Description of main products / services	NIC Code of the Product/service
System Integration in the fields of Satellite Communication and Broadcasting	613 & 749
Electronic Materials (TFM)	261

Brand Names :

Not Available

Agencies Held :

Not Available

Exports :

Not Divulged

Imports :

Not Divulged

Terms :

Not Divulged

PRODUCTION STATUS – (NOT AVAILABLE)

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 :

Information denied by the management

Bankers :

Banker Name :	State Bank of India
Branch :	GIDC Electronic Estate, Gandhinagar - 382044, Gujarat, India
Person Name (With Designation) :	--
Contact Number :	--
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 :

(INR In Million)

SECURED LOAN	As on 31.03.2017	As on 31.03.2016
LONG TERM BORROWING
Term Loan From Other Institutions	0.857	1.127
SHORT TERM BORROWING
From Banks
Working capital loan	11.800	3.543
Suppliers'/Buyers' credit	60.854	0.000
Total	73.511	4.67

NOTE:

LONG TERM BORROWING

Term loans are secured by hyphothecation of vehicles and personal guarantee of Director.

Term loans bearing interest in the range of 9.49% p. a. to 18% p. a. are repayable in equal monthly instalments by November 2020.

SHORT TERM BORROWING

Working capital limit from Bank is repayable on demand, bearing interest @10.75% p.a. as per terms of sanction and is secured by 1st and exclusive charge by way of mortgage of land and building and other fixed assets. The same is further secured by hyphothecation of entire current assets, personal guarantee and pledge of shares by Directors of the Company

Auditors :
Name :	J.T. Shah and Company Chartered Accountants
Address :	201/202, Lalita Complex,, 352/3, Rasala Marg, Navrangpura, Ahmedabad – 380009, Gujarat, India
PAN N Income-tax PAN of auditor or auditor's firm :	AABFJ6616J
Memberships :	Not Available
Collaborators :	Not Available
Associates/Subsidiaries :	--

CAPITAL STRUCTURE

AS ON 31.03.2017

Authorised Capital :

No. of Shares	Type	Value	Amount
20000000	Equity Shares	INR 10/- each	INR 200.000 Million

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4999985	Equity Shares	INR 10/- each	INR 50.000 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	50.000	50.000	50.000
(b) Reserves & Surplus	269.675	272.296	267.852
(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)	319.675	322.296	317.852
(3) Non-Current Liabilities
(a) long-term borrowings	0.857	1.127	2.800
(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	1.873	2.260	1.236
Total Non-current Liabilities (3)	2.730	3.387	4.036
(4) Current Liabilities
(a) Short term borrowings	74.259	9.081	210.850
(b) Trade payables	4.819	5.983	1.537
(c) Other current liabilities	6.991	11.167	20.467
(d) Short-term provisions	0.431	1.530	0.569
Total Current Liabilities (4)	86.500	27.761	233.423
TOTAL	408.905	353.444	555.311
II.          ASSETS
(1) Non-current assets
(a) Fixed Assets
(i) Tangible assets	218.538	223.850	228.803
(ii) Intangible Assets	11.239	14.936	14.443
(iii) Capital work-in-progress	0.000	0.000	0.000
(iv) Intangible assets under development	0.000	0.000	0.000
(b) Non-current Investments	0.061	0.061	0.061
(c) Deferred tax assets (net)	0.000	0.000	0.000
(d) Long-term Loan and Advances	11.041	8.150	4.835
(e) Other Non-current assets	1.000	1.808	1.630
Total Non-Current Assets	241.879	248.805	249.772
(2) Current assets
(a) Current investments	10.175	15.697	11.906
(b) Inventories	14.691	11.087	0.000
(c) Trade receivables	105.189	42.891	239.236
(d) Cash and cash equivalents	7.364	10.108	21.435
(e) Short-term loans and advances	28.093	23.716	32.352
(f) Other current assets	1.514	1.140	0.610
Total Current Assets	167.026	104.639	305.539
TOTAL	408.905	353.444	555.311

PROFIT & LOSS ACCOUNT

	PARTICULARS	31.03.2017	31.03.2016	31.03.2015
	SALES
	Income	184.343	123.918	580.483
	Other Income	2.115	2.252	3.625
	TOTAL	186.458	126.170	584.108
Less	EXPENSES
	Cost of Materials Consumed	19.768	12.887	19.156
	Purchases of Stock-in-Trade	95.577	24.844	326.799
	Cost of Service For Project	0.386	5.668	41.631
	Changes In Inventories of Finished Goods, Work In Process and Stock In Trade	(4.577)	0.640	53.178
	Employees benefits expense	41.825	49.274	48.923
	Other expenses	22.042	40.242	43.458
	Exceptional Income	0.000	(32.092)	0.000
	TOTAL	175.021	101.463	533.145
	PROFIT/ (LOSS) BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION	11.437	24.707	50.963
Less	FINANCIAL EXPENSES	6.148	8.765	23.815
	PROFIT / (LOSS) BEFORE TAX, DEPRECIATION AND AMORTISATION	5.289	15.942	27.148
Less/ Add	DEPRECIATION/ AMORTISATION	7.898	10.367	10.420
	PROFIT/ (LOSS) BEFORE TAX	(2.609)	5.575	16.728
Less	TAX	0.012	1.131	3.250
	PROFIT/ (LOSS) AFTER TAX	(2.621)	4.444	13.478
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD	43.789	39.345	28.367
Less	APPROPRIATIONS
	Transfer to General Reserve	0.000	0.000	2.500
	Balance Carried to the B/S	41.168	43.789	39.345
	IMPORTS
	Raw materials -TFM Division	0.517	0.171	0.200
	Trading Goods & Services -System Integration Division	88.368	9.172	321.529
	Capital Goods
	TOTAL IMPORTS	88.885	9.343	321.729
	Earnings / (Loss) Per Share (INR)	(0.52)	0.89	2.70

CURRENT MATURITIES OF LONG TERM DEBT DETAILS

Particulars	31.03.2017	31.03.2016	31.03.2015
Current Maturities of Long term debt	0.270	3.008	3.758
Cash generated from operations	(62.632)	206.810	9.029
Net cash flows from (used in) operations	(68.792)	196.914	(18.036)

KEY RATIOS

EFFICIENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Average Collection Days (Sundry Debtors / Income * 365 Days)	208.27	126.34	150.43
Account Receivables Turnover (Income / Sundry Debtors)	1.75	2.89	2.43
Average Payment Days (Sundry Creditors / Purchases * 365 Days)	15.25	57.88	1.62
Inventory Turnover (Operating Income / Inventories)	0.78	2.23	0.00
Asset Turnover (Operating Income / Net Fixed Assets)	0.05	0.10	0.21

LEVERAGE RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Debt Ratio ((Borrowing + Current Liabilities) / Total Assets)	0.21	0.09	0.43
Debt Equity Ratio (Total Liability / Networth)	0.24	0.04	0.68
Current Liabilities to Networth (Current Liabilities / Net Worth)	0.27	0.09	0.73
Fixed Assets to Networth (Net Fixed Assets / Networth)	0.72	0.74	0.77
Interest Coverage Ratio (PBIT / Financial Charges)	1.86	2.82	2.14

PROFITABILITY RATIOS

PARTICULARS		31.03.2017	31.03.2016	31.03.2015
Net Profit Margin ((PAT / Sales) * 100)	%	(1.42)	3.59	2.32
Return on Total Assets ((PAT / Total Assets) * 100)	%	(0.64)	1.26	2.43
Return on Investment (ROI) ((PAT / Networth) * 100)	%	(0.82)	1.38	4.24

SOLVENCY RATIOS

PARTICULARS	31.03.2017	31.03.2016	31.03.2015
Current Ratio (Current Assets / Current Liabilities)	1.93	3.77	1.31
Quick Ratio ((Current Assets – Inventories) / Current Liabilities)	1.76	3.37	1.31
G-Score Ratio Financial (Networth / Total Assets)	0.78	0.91	0.57
G-Score Ratio Debt (Debts / Equity Capital)	1.51	0.26	4.35
G-Score Ratio Liquidity (Total Current Assets / Total Current Liabilities)	1.93	3.77	1.31

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	50.000	50.000	50.000
Reserves & Surplus	267.852	272.296	269.675
Share Application money pending allotment	0.000	0.000	0.000
Net worth	317.852	322.296	319.675
Long Term borrowings	2.800	1.127	0.857
Short Term borrowings	210.850	9.081	74.259
Current Maturities of Long term debt	3.758	3.008	0.270
Total borrowings	217.408	13.216	75.386
Debt/Equity ratio	0.684	0.041	0.236

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	580.483	123.918	184.343
		(78.653)	48.762

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	580.483	123.918	184.343
Profit	13.478	4.444	-2.621
	2.32%	3.59%	-1.42%

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	No
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	No
17	Details of sister concerns	No
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

OUTLOOK

The year under report witnessed two major policy initiatives by Government of India having far reaching long term consequences on the Indian Economy. The long pending reform as regards implementation of Goods and Service Tax ultimately materialized on passage of constitutional amendment bill. The de-monetization of high value currency in the later half of the financial year 2016-17 led to stringent liquidity issues affecting the economic growth adversely.

In the current year, the economy is slowly recouping from the after effects of these policy changes. On positive side the inflation has been continuously softening which will ensure easing of interest rates over longer period. Healthy monsoon with improvement in the overall demand will give boost to the Indian Economy which continues to remain one of the fastest growing economy in the world.

It is expected that after implementation of GST, the process of floating tenders by the Government customers will be expedited which will result into higher inflow of orders in the System Integration Division. The demand for electronic materials is showing steady growth in the current year. The Company has taken conscious decision to gradually prune down the activities of E-path Division due to the operations becoming non viable in the present setup.

The Company’s diversification initiative towards setting up of Solar Power Generation Plants for residential, institutional and industrial units started showing good results in the financial year under report. As a channel partner of MNRE, the Company hopes to increase overall business due to major thrust given by the Government

towards promoting Solar Power Generation.

UNSECURED LOANS:

(INR In Million)

Particulars	As on 31.03.2017	As on 31.03.2016
SHORT TERM BORROWING
From Others
Business Loan	0.605	4.538
Loan from Corporate	1.000	1.000
Total	1.605	5.538

INDEX OF CHARGE:

SNO	SRN	CHARGE ID	CHARGE HOLDER NAME	DATE OF CREATION	DATE OF MODIFICATION	DATE OF SATISFACTION	AMOUNT	ADDRESS
1	C71346837	10604658	TOYOTA FINANCIAL SERVICES INDIA LIMITED	03/11/2015	-	-	1450000.0	NO. 21 CENTROPOLIS, FIRST FLOOR,5TH CROSS LANGFORD ROAD, SHANTI NAGARBANGALOREKA560025IN
2	G43708189	90111332	STATE BANK OF INDIA	14/10/1996	24/04/2017	-	250000000.0	GIDC ELECTRONIC ESTATE,GANDHINAGARGJ382044IN
3	C55483895	90109018	THE INDUSTRIAL CREDIT AND INVESTMENT CORPORATION OF INDIA	09/06/1993	-	03/06/2015	20000000.0	163; BACKBAY RECLAMATIONMUMBAIMH400020IN
4	C55559009	90109235	THE INDUSTRIAL CREDIT AND INVESTMENT CORPN. OF INDIA LTD.	02/02/1995	13/03/1997	03/06/2015	27000000.0	163 BACKBAY RECLAMATIONMUMBAIMH400020IN
5	B80984883	90111727	STATE BANK OF INDIA	07/02/2004	04/03/2005	03/08/2013	207500000.0	COMMERCIAL BRANCHAHMEDABADGJ380006IN
6	B80980568	90110687	STATE BANK OF INDIA	07/02/2004	09/08/2004	03/08/2013	207500000.0	COMMERCIAL BRANCHAHMEDABADGJ380006IN
7	A53409215	90109505	THE INDUSTRIAL FINANCE CORPN. OF INDIA LTD.	22/10/1996	-	17/12/2008	233700000.0	BANK OF BARODA BUILDING16 SANSAD MARGNEW DELHIDL110001IN
8	A39954227	90110174	INDUSTRIAL DEVELOPMENT BANK OF INDIA	24/07/2000	-	04/06/2008	80000000.0	IDBI COMPLEX C.G.ROADAHMEDABADGJ380006IN
9	Y10198730	90109038	SCICI LTD.	13/09/1993	-	12/03/1996	10000000.0	141 MAKER TOWER P FUFFE PARADEMUMBAIMH400005IN

CONTINGENT LIABILITIES (AS ON 31.03.2017)

The Company has contingent liabilities not provided for in respect of:

a Bank guarantees and letters of credit issued by the bank for INR 71.791 Million (previous year INR 84.718 Million).

b Guarantee given by the Company on behalf of other Company for INR 30.000 Million (previous year INR 30.000 Million) against which the principal amount outstanding is INR 14.400 Million ( previous year INR 14.400 Million).

c i) INR 0.235 Million awarded against the Company by Hon'ble Senior Civil Judge-11, Tis Hazari Court, New Delhi, in an industrial dispute case against which the Company has filed writ petition in the Hon'ble Delhi High Court.

ii) INR 0.186 Million awarded against the Company by Hon'ble Senior Civil Judge-4, Tis Hazari Courts, New Delhi, in an Industrial dispute case against which the Company has filed writ petition in the Hon'ble Delhi High Court. (previous year in aggregate INR 0.301 Million). The Hon'ble Delhi High Court has granted stay against these orders and as per the direction of Court, the Company has deposited INR 0.146 Million and INR 0.118 Million respectively with the Hon'ble High Court of Delhi.

d Income tax demand for the A.Y. 2012-13 of INR 0.566 Million against which application for rectification has been filed (previous year INR 0.566 Million).

e Demand towards revenue charges (service charges, NAA charges, lease rent and infrastructure fund) by GIDC of INR 0.806 Million (previous year INR 0.672 Million) against which certain objections have been raised by the Company.

f The Dy. Commissioner of Commercial Taxes ,Gujarat has raised the demand for INR 1.399 Million (which comprises of Central Sales Tax / Vat amount of INR 0.773 Million and interest amount of INR 0.626 Million) vide final notice of assessment dated 30/03/2017 inrespect of assessment for the year 2012-13. The Company has preferred an appeal against this order before the Jt. Commissione of Commercial Tax, Gandhiangar., which is pending for final orders.

g Additional Commissioner, Central Excise and Service Tax, Audit-1, Commissionarate , Ahmedabad has raised show cause notice No. VI/1( C )/ Audit -1/20/Arraycom/SCN/2016-17 dated 19th August, 2016 asking the Company to show cause why cenvat credit of INR 1.846 Million availed in the month of March, 2013 in respect of Service Tax on software services should not be disallowed. The Company has filed its reply to the said show cause notice vide letter dated 23rd Jan, 2017 and 29th March,2017 and also concluded the submissions in the personal hearing held on 29th March,2017 before the Asstt. Comm. of Central Excise, Gandhinagar. Final order is awaited.

h Hon’ble High Court of Gujarat vide order dated 31st August,2016 allowed the petition filed by the Company against the order dated 21st October,2013 / 1st Novermber,2013 passed by the Dy. Collector of Stamp Duty valuation , Gandhinagar demanding INR 1.445 Million (previous year INR 1.445 Million) being deficit stamp duty in respect of conveyance of GIDC land. Hence the said order of Dy. Collector has been set aside pursuant to the order of Hon’ble High Court of Gujarat.

FIXED ASSETS:

• Land-Freehold
• Buildings
• Plant and Machinery
• Electrical Installation
• Computers Office
• Equipment Furniture and Fixtures
• 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 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 67.72
UK Pound	1	INR 91.65
Euro	1	INR 79.89

INFORMATION DETAILS

Information Gathered by :	PNM
Analysis Done by :	NIS
Report Prepared by :	KVT

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	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.