Bhawani Silk Mills

8/13/2019 Bhawani Silk Mills

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NOTE TO ASSISTANT GENERAL MANAGER, SMELF, SURAT

Fresh/Renewal/ Enhancement

OBSERVATIONS

Date of receipt ofproposal at SMELF

Date of receipt of fullclarification at SMELF

Date of puttin up tosanctionin Aut!orit"

#$%#&%'#() )#%#&%'#() )#%#&%'#()

Na*e of t!e Account + Ms% Sil- Mills

Branc! + International Business Branch, SuratReion . Surat./one + South Gujarat Zone

SE0TION I+ DETAILS OF T1E 2RO2OSAL

(%#% Gist of t!e 2roposal+To consider fres! sanction cre3it facilities for a period of ! months on terms and conditionsas detailed in "nne#ure $.

(%(

a To consi3er fres! sanction of t!e follo4in facilities%56 in

Lacs7

Li*its2urpose

E8istin2ropos

e3Inc%597Dec%5:7

2resent Os

O;er:3ues, ifan"

%ash%redit

&or'in(%apital

:: )*.++ )*.++ -- il

ac'in(%reditupto 0+da1s

cumFB/FB$2sance0+ da1s

&or'in(

%apital

-- !*+.++ !*+.++ --- I3

FB:Total

:: )'


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= a% To accept 3e;iations+2ara*eter As per Do*estic

2olic" Ban->sGui3elines

2resent case De;iation

----il---

c Mo3ifications+ Nil

3 0onfir*ations+ Nile To allo4 follo4in concessions+ Nil

f Ot!er issues+ Nil

(%' a Reference of e8istin sanction ot applica4le as new account. =% Aree*ent in principle rante3 on

ot "pplica4le

(%) A3:!oc sanctions*o3ifications 3urin t!e re;ie4 perio3 5in =rief7%SanctionsAut!Date Gist 5 in one line7

ot applica4le

'%# Basic Data+:"sset %lassification Fresh "ccountBan'5s %redit Ratin( Based on "BS6.+6.!+6

B7B * ,%%8 FR 6/ %R 9, %F%/ FB/FB$8 FR !/ %R 9.:Su4ject to ;alidation

Term 3oan .".Securit1 ";aila4le8rimar1

Term 3oan I3&or'in(%apital

9!.* 3acs :Estimated as on 6.+6.!+9eriod

9.) &hether listed firm8 presentmar'et uotation J *! wee'shi(h / low8 ot listed su4seuentto 4u1 4ac' of shares.

ot a listed compan1

9. 7ur Ban'5s in;estment in thefirm

il

9.0 &hether all clearance / appro;alsha;e 4een o4tained li'e ollution%learance

The acti;it1 of the firm is tradin( and e#port of ;alueadded art sil' cloths/ fa4rics which does not reuirepermission from G%B.

?%(# MaJor Inspection irreularities

%oncurrent "udit ot "pplica4le as fresh account.Internal "uditRBI InspectionStatutor1 "udit%redit "uditStoc' "udit%omment of %redit ?onitorin( $ept.

?%(( Au3itors Re*ar-s

"uditors of the firm.

Mualification remar's of the auditors

?/s. G.. Rai C "ssociates, %hartered "ccountants,Suratil

&hether statutor1 dues ha;e 4eenpaid

Les

%ontin(ent lia4ilities il7ther Remar's il


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*.A arameters Indicati;e?in/?a# le;el as per S?E

loan polic1

%ompan15s le;el as at

6.+6.6 6.+6.9"udited Estimated

i. %urrent Ratio .66 A.+6 .9+ii. $E Ratio :T73/T&< 9.*8 !.6 !.9*iii. $E Ratio :TT3/T&< 68 !.!A +.+!i;. ";era(e $S%R ot "pplica4le -- --;. ?inimum $S%R ot "pplica4le -- --;i. romoters contri4ution incl.

2nsecured 3oans;s.

+4


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5Rs% in lacs7Na*e of t!e

associateSales Net profit Tani=le net

4ort!0urrent

ratioDE ratio

5TOLTNC7

ear5Au3ite37

'#('

'#() '#(' '#() '#(' '#() '#(' '#() '#(' '#()

il

$%# USTIFI0ATIONS+

(7 0as! 0re3it+ Rs% $. )4++?+) and ;s. -(4.,( Lacs during .>. )4+)?+- res2ective&y.

3he firm has not avai&ed any #orking ca2ita& faci&ity and managing the business from their

o#n funds. 6o# as they are 2&anning for ex2ort of cotton yarn$ fabrics @ to#e&s$ they have

a22roached our !ank for sanction of #orking ca2ita& faci&ities.

Considering the 2ro2osed ex2ort activity$ the firm has estimated sa&es of ;s. +4*.44 Lacs

for .>. )4+-?+, out of #hich domestic sa&es is ;s. ,)*.44 Lacs and ex2ort sa&es of ;s.


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e8port li*its are to =e release3 strictl" aainst Letter of 0re3it for t!e first Si8 Mont!sti*e an3 after ettin e8perience of t!e o;erseas custo*ers confir* or3ers *a" =econsi3ere3 for release of pac-in cre3it%

Detaile3 assess*ent of 4or-in capital is i;en !erein after in Section II of t!isappraisal note%

(7 Ter* Loan+ NIL'7 Non fun3 =ase3 facilit"+ NIL)7 Ot!er Issue+ Nil

RE0OMMENDATIONS8-In ;iew of the for(oin(, we recommend to sanction fresh &or'in( %apital limits for a period of !months as indicated in Issue for %onsideration %olumn on terms and conditions detailed in"nne#ure- $ of this note and su4ject to the followin(8

2re 3is=urse*ent con3ition+

(% "ll the facilities are to 4e released onl1 after proper documentation, creation C re(istration ofeuita4le mort(a(e and the same to 4e ;etted 41 ?ana(er :le(al


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To endea;or for can;assin( 6rdpart1 products ;iK. India First 3ife Insurance amon( thepromoters and famil1 mem4ers.

To endea;or to cross sell the ;arious IT facilities/ products i.e. %redit %ard, $e4it %ard,Baroda connect, pa1ment of indirect ta# online, RTGS to promoters/ firm/ (roup.

Firm to desist from inter-firm transactions, onl1 (enuine trade transactions are to 4e allowedand there should 4e no inter-loc'in( of funds.

That the compan1 4rin( additional lon( term funds to meet with the repa1ment o4li(ationsof the Ban' in time, if there is ne(ati;e cash profit or positi;e cash profit is not adeuate toser;ice repa1ment o4li(ations of the Ban'.

The firm to maintain financial discipline and ensure that adeuate funds are a;aila4le in theaccount 4efore issuin( the cheue. The 4an' will ha;e the ri(ht to discontinue thesanctioned credit facilities in the e;ent of dishonor of 9 cheues of Rs..++ crore C a4o;eand/or A cheues of 4elow Rs. .++ crore durin( financial 1ear for want of sufficient funds inthe account.

Reco**en3e3

5Ra;i Mal!otra70!ief ManaerSME Loan Factor"$ate8

10


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Branc! International Business BranchBorro4er Na*e ?/s. Sil' ?illsBorro4er AS0ROM ID

Na*e of Fiel3AS0RO

M0ODE

Description

(

0onstitution

6)

PROPRIETARY CONCERN (PROPRIETOR -

MALE)

' Occupation )+9 Trader) Reliion ot $eclared :ot "pplica4le

Bhawani Silk Mills

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