TCRAP_Public/100722.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                     A S I A   P A C I F I C

           Thursday, July 22, 2010, Vol. 13, No. 143

                            Headlines



A U S T R A L I A

NATIONAL INVESTMENT: Henry Kaye May Appeal Against ASIC 5-Year Ban
OCTAVIAR LIMITED: Overstates 2007 Pre-Tax Profit by AU$65 Million
PALM MEADOWS: To Halt Operations on August 1


H O N G  K O N G

EVERGRANDE REAL: Fitch Affirms Foreign Issuer Default Rating at BB
FINSPACE SA: Moody's Affirms Corporate Family Rating at 'B1'
LUEN HING: Court Enters Wind-Up Order
LUEN SHING: Creditors' Proofs of Debt Due August 20
MASON S. & E.: Lo and Agnew Step Down as Liquidators

OFFSET HKG: Chan Chak Ming Steps Down as Liquidator
ORIENTAL MAX: Members' Final Meeting Set for August 20
POLIFIN ASIA: Creditors' Proofs of Debt Due August 17
PRO STEP: Ha Man Kit Marcus Steps Down as Liquidator
PROFIT HARBOUR: Middleton and Cowley Step Down as Liquidators

SEBOD FOUNDATION: Ip Chung Yuen Appointed as Liquidators
SINO SPRING: Creditors' Proofs of Debt Due August 16


I N D I A

ACME CREATION: CRISIL Assigns 'B' Rating to INR43.4MM Term Loan
AMMAN STEEL: CRISIL Reaffirms 'B-' Rating on INR15MM Bank Debt
BAID HOSIERY: CRISIL Rates INR200 Million Cash Credit at 'B'
BHANDARI ENGINEERING: CRISIL Puts 'B' Ratings on Bank Facilities
HARIG INDIA: CRISIL Lifts Rating on INR23.7MM Term Loan to 'B+'

IDBI BANK: To Consider INR31.2 Billion Government Funding
JEEVAN DIESELS: ICRA Assigns 'LBB' Rating to INR125MM Bank Debts
KARTHIK AGRO: CRISIL Downgrades Rating on INR285MM LT Loan to 'D'
LITTLE BEE: CRISIL Assigns 'BB+' Rating to INR27.5MM Term Loan
LS MILLS: CRISIL Reaffirms 'D' Ratings on Various Bank Facilities

MANGAL STEEL: CRISIL Assigns 'P4+' Ratings to Various Bank Debts
ORTEL COMMUNICATIONS: CRISIL Rates INR700MM Term Loan at 'BB+'
SIMPEX OVERSEAS: ICRA Assigns 'LBB' Rating on INR120MM Loans
SRI MURUGARAJENDRA: CRISIL Puts 'B' Ratings on Bank Facilities
SYNTHETIC PACKERS: ICRA Assigns 'LBB' Rating to INR87.3MM Debts

UPPAL FERROCAST: ICRA Assigns 'LBB' Rating to LT Bank Debts
VISHWARUPA TUBES: CRISIL Places 'B+' Rating on INR40MM Term Loan


I N D O N E S I A

BANK MANDIRI: Moody's Raises Bank Financial Strength Rating to 'D'


J A P A N

ALL NIPPON: Boeing's Jet Delivery May be Delayed Until Jan. 2011
JAPAN AIRLINES: Kaplan Fox Discloses $12MM Settlement With Airline
* Fitch Downgrades Ratings on Seven Japanese Classes


K O R E A

HYUNDAI GROUP: Creditors May Not Extend Loan Maturity


N E W  Z E A L A N D

CANTERBURY BUILDING: CBS Shareholders to Vote on Merger in Nov.
MARAC FINANCE: CBS Shareholders to Vote on Merger in November
NZ FARMING: Hires Grant Samuel to Examine Olam's Takeover Bid
PROTEMIX CORPORATION: Goes Into Liquidation as Funding Runs Dry


T A I W A N

POLARIS SECURITIES: TRC Lifts Rating on Class C Notes to 'twCCC+'




                         - - - - -


=================
A U S T R A L I A
=================


NATIONAL INVESTMENT: Henry Kaye May Appeal Against ASIC 5-Year Ban
------------------------------------------------------------------
National Investment Institute Administrator Henry Kaye may appeal
against a five-year ban on managing corporations slapped on him by
the corporate watchdog over the collapse of his property empire,
The Sydney Morning Herald reports.

National Investment Institute group collapsed six years ago owing
about 3,000 clients an estimated AU$40 million.

But the Australian Securities and Investments Commission has
delayed banning him because of the collapse of criminal charges
two years ago and problems in serving documents, the report says.
Under the banning order, SMH notes, Mr. Kaye is allowed to
continue running two companies that control his superannuation.
He has the right to appeal to the Administrative Appeals Tribunal,
the report says.

SMH recounts that Mr. Kaye was charged in 2006 with obtaining
financial advantage by deception over an AU$18 million line of
credit from St George Bank, now a subsidiary of Westpac.  But the
charges were withdrawn in April 2008 after a key witness altered
evidence.

On October 14, 2009, SMH recalls, ASIC served a notice on Mr. Kaye
listing 26 of his failed companies and asking him to show cause
why he should not be banned from managing corporations.  It is
believed ASIC had difficulty serving the notice because Mr. Kaye
was travelling overseas.

According to SMH, Mr. Kaye faced a hearing before an ASIC delegate
on March 10 and April 21 this year, and the disqualification order
was made on July 1.

An ASIC list of Mr. Kaye's corporate roles, which runs to 83
pages, shows he was the director of 17 companies when the order
took effect on July 15.  All of the companies listed except Dorcas
1 and Medinvest 2, which control Mr. Kaye's super funds, are in
liquidation.


OCTAVIAR LIMITED: Overstates 2007 Pre-Tax Profit by AU$65 Million
-----------------------------------------------------------------
Liquidators of Octaviar Ltd, formerly known as MFS, said the
company overstated its pre-tax profit for the 2007 financial year
by AU$65 million, The Sydney Morning Herald reports.

SMH relates the overstated earnings were due to the treatment of
Octaviar's investment in a hedge fund investor, HFA Holdings.

According to SMH, counsel acting for the liquidators, Adam Bell,
told the NSW Supreme Court on Monday that the 33% stake in HFA was
classified as "held for trading", which meant that unrealized
gains could be recognized in earnings.  But the stock was actually
held in escrow, meaning Octaviar and its entities were prevented
from selling the stake, the report notes.

The HFA stake, which was owned by an MFS subsidiary, MFS
Alternative Asset Ltd, was sold to margin lenders in 2008, SMH
relates.

MFS reported a AU$207 million pre-tax profit for the year ended
June 30, 2007, the report adds.

                       About Octaviar Limited

Headquartered in Queensland, Australia, Octaviar Limited (ASX:OCV)
-- http://www.mfsgroup.com.au-- formerly known as MFS Limited,
perates as an Investment Management business with a portfolio of
usinesses and assets, including: operating businesses in the
leisure and childcare sectors; real estate portfolio; 35% interest
in the Stella Group; operating businesses which hold AFSL licenses
and act as Responsible Entity for a number of Managed Investment
Schemes.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 15, 2008, Octaviar Limited appointed John Greig and Nicholas
Harwood of Deloitte as Voluntary Administrators.

The directors of three Octaviar subsidiaries, Octaviar Financial
Services Pty Ltd, Octaviar Investment Notes Limited and Octaviar
Investment Bonds Limited, also appointed Messrs. Greig and Harwood
as Voluntary Administrators.

Fortress Credit Corporation (Australia) II Pty Ltd., one of
Octaviar Limited's major creditors, also appointed Stephen James
Parbery and Anthony Milton Sims of PPB as receivers and managers
for Octaviar.

In December 2008, Octaviar's creditors voted for a deed of company
arrangement over two entities in the Octaviar group, Octaviar
Limited and Octaviar Administration Pty Limited.  The three other
companies in the group were subsequently wound up.

The TCR-AP reported on Aug. 4, 2009, that the Supreme Court of
Queensland placed Octaviar Limited into liquidation.  Justice
Philip McMurdo terminated a deed of company arrangement that has
been in place since December 2008, naming company administrators
John Greig and Nick Harwood at Deloitte, as provisional
liquidators.

Administrators and liquidators Greig and Harwood at Deloitte were
then replaced by Bentleys Corporate Recovery under court order.

According to The Age, creditors are yet to recover about
AU$2.5 billion from the Group, which was found to have AU$1
billion in inter-company loans.


PALM MEADOWS: To Halt Operations on August 1
--------------------------------------------
Nick Nichols at goldcoast.com.au reports that the impending
closure of Palm Meadows Golf Course could be a sign of worse to
come for the Gold Coast, according to the man who helped develop
the course, Geoff Burchill.

The report recalls Palm Meadows Golf Course announced early this
month that it is shutting down after a series of false starts and
years of performing below par.   The course will officially halt
operations on August 1 with the loss of about 35 jobs, the report
adds.

According to Mr. Nichols, Hungtat Worldwide, the company which
runs the golf course, said the business was no longer 'financially
sustainable'.

"The golf course business is tough, particularly in this economic
climate, and while revenue is down, the considerable capital and
maintenance costs required to keep the course running continue,"
the report quoted a Hungtat spokesman as saying.  "Hungtat
Worldwide has kept the course open, and staff employed, during
difficult economic times but it is no longer prudent to continue
operating a business which continually runs at a loss."

The report notes that the closure of Palm Meadows has sparked
rumors that other Gold Coast golf courses could follow suit amid
dwindling numbers of free-spending tourists to the strip.

"Unless the industry, in partnership with the city council, gets
more serious about the development of our tourism income beyond
simply marketing what we have now, the Gold Coast will slip
embarrassingly behind its SouthEast Asian neighbours and other
parts of Australia," said Mr. Burchill, according to
goldcoast.com.au.

Mr. Burchill coordinated the design and construction of the Palm
Meadows site for Japanese developer Shuji Yokoyama in the late
1980s, the report states.

Located in Carrara, Queensland, Australia, Palm Meadows Golf
Course -- http://www.palmmeadows.com.au/-- is a public resort
golf course.


================
H O N G  K O N G
================


EVERGRANDE REAL: Fitch Affirms Foreign Issuer Default Rating at BB
------------------------------------------------------------------
Fitch Ratings has affirmed Hong Kong-based Evergrande Real Estate
Group Limited's Long-term foreign currency Issuer Default Rating
at 'BB', and simultaneously removed it from Rating Watch Negative.
The Outlook is Stable.  Fitch has also affirmed Evergrande's
foreign currency senior unsecured rating at 'BB'.

Fitch placed Evergrande's ratings on RWN in April 2010 due to
concerns over the company's risk appetite and expansion strategy.
The resolution of the RWN is based on the agency's assessment of
Evergrande's recent sales performance, financial policies, and
liquidity position over the medium-term.  "The Stable Outlook
reflects Evergrande's solid contracted sales in H110, and Fitch's
expectation for the company to continue to deliver satisfying
contracted sales in H210, supported by the company's prudent
discount strategy," says Ying Wang, Director in Fitch's Asia-
Pacific Corporates team.  "The agency expects more Chinese
developers to launch new project pre-sales (which had been delayed
from H110) and to reduce prices, leading to rising property sales
volumes and declining Average Selling Prices in H210 compared to
the May-June period; however, the agency notes that overall price
declines should be quite modest and should not have a material
negative impact on Evergrande's cash flows and liquidity
position," adds Ms. Wang.

In April 2010, the Chinese government released a slew of measures
to tighten the residential property sector.  Since then,
Evergrande has become one of the few large developers to adopt a
discount strategy while a majority of its peers have taken a "wait
and see" approach.  Evergrande reported strong contracted sales in
May and June 2010 -- contracted ASPs decreased by 8% while
contracted sales increased by 28% compared to April.  Fitch
believes it is important for Evergrande to maintain solid
contracted sales and ensure timely project delivery in order to
meet its debt obligations, after having spent the last few years
in aggressive land bank expansion.  The agency believes the
company's focus on driving sales volumes through modest price
discounting is a prudent strategy to protect itself against the
risk of liquidity shortfall in a credit tightening environment.

Fitch expects Evergrande to have adequate liquidity over the next
18 months.  Evergrande's liquidity, including CNY7.3bn in
unrestricted cash and CNY20.5bn in unutilised bank credit
facilities at end-2009, was further strengthened in H110 by the
company's issuance of US$1.35bn senior notes and CNY21bn in
contracted sales.  The agency believes Evergrande has sufficient
liquidity to fund its development costs, land premiums, and debt
obligations in 2010 to 2012.

The agency expects Evergrande to maintain prudent financial
policies.  Evergrande's rating and Outlook are underpinned by
Fitch's assumption that management will continue to execute new
land acquisitions without impairing its financial flexibility.

Negative rating actions could occur if there are unfavorable
changes in China's regulatory or macro environment, resulting in a
material deterioration of Evergrande's contracted sales and margin
erosion, or if there is a significant shift in management's risk
appetite or financial policies, or if aggressive debt-funded
expansion leads to a significantly weakened balance sheet.


FINSPACE SA: Moody's Affirms Corporate Family Rating at 'B1'
------------------------------------------------------------
Moody's Investors Service has affirmed Finspace S.A.'s B1
corporate family rating.

Moody's has also withdrawn its B1 senior unsecured bond rating on
Finspace's proposed US$notes, as they have not been issued as
planned.

The outlook for the corporate family rating remains stable.

"Moody's expect that the company will maintain its financial
prudence, funding its plate mill expansion with operating cash
flow and available funds in the absence of the proposed bond
issuance," writes Ken Chan, a Moody's Vice President and lead
analyst for the company.

Moody's last rating action on Finspace took place on April 29,
2010, when the rating agency assigned a first-time B1 corporate
family and bond ratings to the company's proposed US$senior
unsecured notes.

Finspace's rating was assigned by evaluating factors Moody's
believe are relevant to the issuer's credit profile, such as 1)
business risk and the competitive position of the company versus
others in its industry; 2) its balance sheet and financial risk;
3) the projected performance over the near to medium term; and 4)
management's track record and tolerance for risk.

These attributes were compared to those of other issuers within
and outside Finspace's core industry; Moody's considers Finspace's
rating comparable to those of other issuers with similar credit
risk.

Finspace S.A., also known as the Canadoil Group, produces
specialized pipes, vessels, and fittings for oil and gas,
chemical, refining, power, water, and infrastructure projects
worldwide.  As a global company that can provide end-customers
one-stop shopping integrated solutions, Finspace is unique.  The
group has manufacturing facilities in Thailand, Canada, and Italy,
with sales offices in Thailand, Korea, Dubai, Canada, and Italy.


LUEN HING: Court Enters Wind-Up Order
-------------------------------------
The High Court of Hong Kong entered an order on July 7, 2010, to
wind up the operations of Luen Hing Noodles Restaurant Limited.

The official receiver is E T O'Connell.


LUEN SHING: Creditors' Proofs of Debt Due August 20
---------------------------------------------------
Luen Shing Catering Development Limited, which is in members'
voluntary liquidation, requires its creditors to file their proofs
of debt by August 20, 2010, to be included in the company's
dividend distribution.

The company's liquidator is:

         Lin Lai Har Wendy
         1301 Eton Tower
         8 Hysan Avenue
         Causeway Bay
         Hong Kong


MASON S. & E.: Lo and Agnew Step Down as Liquidators
----------------------------------------------------
Joseph Kin Ching Lo and Dermot Agnew stepped down as liquidators
of Mason S. & E. Company Limited on July 2, 2010.


OFFSET HKG: Chan Chak Ming Steps Down as Liquidator
---------------------------------------------------
Chan Chak Ming stepped down as liquidator of Offset HKG Limited on
July 8, 2010.


ORIENTAL MAX: Members' Final Meeting Set for August 20
------------------------------------------------------
Members of Oriental Max Investment Limited will hold their final
meeting on August 20, 2010, at 10:15 a.m., at Room 1601, Wing On
Centre, 111 Connaught Road Central, in Hong Kong.

At the meeting, Fung Kit Yee, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


POLIFIN ASIA: Creditors' Proofs of Debt Due August 17
-----------------------------------------------------
Creditors of Polifin Asia Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by Aug. 17,
2010, to be included in the company's dividend distribution.

The company's liquidators are:

         Lai Kar Yan (Derek)
         Darach E. Haughey
         35th Floor, One Pacific Place
         88 Queensway, Hong Kong


PRO STEP: Ha Man Kit Marcus Steps Down as Liquidator
----------------------------------------------------
Ha Man Kit Marcus stepped down as liquidator of Pro Step Limited
on June 30, 2010.


PROFIT HARBOUR: Middleton and Cowley Step Down as Liquidators
-------------------------------------------------------------
Edward Simon Middleton and Patrick Cowley stepped down as
liquidators of Profit Harbour Limited on July 12, 2010.


SEBOD FOUNDATION: Ip Chung Yuen Appointed as Liquidators
--------------------------------------------------------
Ip Chung Yuen on July 9, 2010, was appointed as liquidator of
Sebod Foundation Limited.

The liquidator may be reached at:

         Ip Chung Yuen
         14th Floor, Shanghai Industrial Investment Building
         48 Hennessy Road
         Wanchai, Hong Kong


SINO SPRING: Creditors' Proofs of Debt Due August 16
----------------------------------------------------
Creditors of Sino Spring Limited, which is in members' voluntary
liquidation, are required to file their proofs of debt by Aug. 16,
2010, to be included in the company's dividend distribution.

The company's liquidator is:

         Sun Fung Allan Ho
         Room 2702-03, CC Wu Building
         302-8 Hennessy Road
         Wanchai, Hong Kong


=========
I N D I A
=========


ACME CREATION: CRISIL Assigns 'B' Rating to INR43.4MM Term Loan
---------------------------------------------------------------
CRISIL has assigned its 'B/Negative/P4' ratings to Acme Creation
Pvt Ltd's bank facilities.

   Facilities                            Ratings
   ----------                            -------
   INR5.0 Million Cash Credit Facility   B/Negative (Assigned)
   INR43.4 Million Rupee Term Loan       B/Negative (Assigned)
   INR5.0 Million Bank Guarantee         P4 (Assigned)

The ratings reflect Acme's weak financial risk profile marked by a
small net worth, high gearing, and low return on capital employed
(RoCE) ratio, and small scale of operations in the intensely
competitive embroidery work segment in the textile industry.
These rating weaknesses are partially offset by the benefits that
Acme's promoters' experience in embroidery work and house
designing segments.

Outlook: Negative

CRISIL believes that ACME's financial risk profile will remain
constrained as its cash accruals are likely to be inadequate vis-
a-vis its term debt obligations over the near term.  The rating
may be downgraded if ACME's financial risk profile deteriorates
beyond expectation, most likely because of lower-than-expected
operating margin and cash accruals.  Conversely, the outlook may
be revised to 'Stable' in case ACME's cash accruals improves or in
case the company services its debt comfortably, supported by
timely infusion of funds by promoters.

                        About Acme Creation

ACME was incorporated in 2005 in Surat (Gujarat).  The company
does embroidery work on fabric on job-work basis.  It commenced
operations in 2007 and enhanced by doint capital expenditure of
around INR50 million in 2009-10.  It installed 5 schiffli machines
by the end of 2009-10. ACME has a team of four designers for
creating embroidery designs and currently has a portfolio of
around 5000 designs.

Acme reported a net loss of INR0.4 million on net sales of INR42.3
million for 2008-09, against a net loss of INR2.5 million on net
sales of INR28.2 million for 2007-08.


AMMAN STEEL: CRISIL Reaffirms 'B-' Rating on INR15MM Bank Debt
--------------------------------------------------------------
CRISIL has revised the rating outlook of Amman Steel Corporation
to 'Stable' from 'Negative', while reaffirming its rating at 'B-';
the rating on its short term facilities has been reaffirmed at
'P4'.

   Facilities                               Ratings
   ----------                               -------
   INR15.00 Million Overdraft Limit         B-/Stable (Reaffirmed;
                                                  Outlook revised
                                                  from Negative)
   INR40.0 Million Demand Promissory Limit   P4 (Reaffirmed)
   INR70.0 Million Letter of Credit Limit    P4 (Reaffirmed)

The outlook revision reflects the improvement in liquidity driven
by higher profitability during 2009-10 (refers to April 1 to
March 31).  ASC's cash accruals are expected to remain stable over
the medium term on the back of steady demand for its products.

The rating continues to reflect ASC's small scale of operations,
significant geographical concentration in its revenue profile, and
weak financial risk profile marked by high gearing and weak debt
protection metrics.  The rating also factors in the susceptibility
of its operating margin to volatility in raw material prices and
in the value of the Indian Rupee.  These rating weaknesses are
partially offset by the benefits the firm derives from its
experienced management and by its established presence in the
steel industry.

Outlook: Stable

CRISIL believes that ASC will continue to benefit from its stable
cash accruals on the back of steady demand for its products over
the medium term.  The outlook may be revised to 'Positive' if
ASC's profitability and scale of operations increase.  Conversely,
the outlook may be revised to 'Negative' if the firm's financial
risk profile deteriorates, most likely because of a sharp decline
in revenues or margins, or undertakes large debt-funded capex, or
sizeable capital withdrawal by the proprietor.

                         About Amman Steel

Set up as a proprietorship firm in 1979 by S P Muthuramalingam,
ASC trades in steel and iron scrap.  Based in Tiruchirappalli
(Tamil Nadu), the firm is part of the Amman group, which
manufactures steel ingots, steel bars, and cotton yarn, provides
local bus transportation services and undertakes real estate
development.

ASC posted a provisional profit after tax (PAT) of INR5.3 million
on net sales of INR260.9 million for 2009-10, against a reported
PAT of INR1.7 million on net sales of INR323.1 million for 2008-
09.


BAID HOSIERY: CRISIL Rates INR200 Million Cash Credit at 'B'
------------------------------------------------------------
CRISIL has assigned its 'B/Stable' rating to Baid Hosiery Pvt
Ltd's cash credit facility.

   Facilities                        Ratings
   ----------                        -------
   INR200.0 Million Cash Credit      B/Stable (Assigned)

The rating reflects BHPL's weak financial risk profile, marked by
a small net worth and weak debt protection metrics, which is
expected to deteriorate further because of the company's large
debt-funded capital expenditure (capex) plan, and exposure to high
inventory-related risks.  These rating weaknesses are partially
offset by BHPL's established relationships with its supplier and
its diversified customer base.

Outlook: Stable

CRISIL believes that BHPL's credit risk profile will continue to
remain weak, given the large debt funded capex programme with an
existing below-average financial risk profile.  The outlook may be
revised to 'Positive' if there is substantial equity infusion
and/or sustained improvement in profitability while the company
achieves moderate revenue growth, leading to significant
improvement in the company's financial risk profile.  Conversely,
the rating outlook may be revised to 'Negative' if the project is
delayed materially impacting BHPL's debt protection metrics.

                         About Baid Hosiery

BHPL was incorporated in 2007 and began commercial operations in
2008.  The company trades in cotton yarn and polyester yarn, which
are required to manufacture hosiery products.  BHPL also sells its
products to beedi manufacturers.  The company is undertaking a
debt-funded capital expenditure programme to enter into the cotton
fabric knitting segment.  The project cost is estimated to be
around INR180 million, which is likely to be funded by debt to
promoters' contribution in the ratio of 2:1.  The company expects
commercial operations from this unit to start in October 2010

BHPL reported a profit after tax (PAT) of INR8.1 million on net
sales of INR1586.9 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR4.9 million on net sales
of INR808.7 million for 2008-09.


BHANDARI ENGINEERING: CRISIL Puts 'B' Ratings on Bank Facilities
----------------------------------------------------------------
CRISIL has assigned its 'B/Stable' rating to Bhandari Engineering
Company Pvt Ltd's bank facilities.

   Facilities                             Ratings
   ----------                             -------
   INR35.0 Million Cash Credit Facility   B/Stable (Assigned)
   INR15.0 Million Rupee Term Loan        B/Stable (Assigned)

The rating reflects BECPL's weak financial risk profile, marked by
low net worth, high gearing, and weak debt protection measures,
and small scale of operations in the industrial equipment
industry, and exposure to risks related to geographical
concentration in its revenue profile.  These rating weaknesses are
partially offset by the benefits that BECPL derives from its
promoters' experience in the electrical equipment industry, and
established relationships with principals such as Kirloskar
Electirc Co. Ltd, Larsen & Toubro Ltd and Crompton Greaves.

Outlook: Stable

CRISIL believes that BECPL will maintain its credit risk profile
over the medium term on the back of orders from upcoming thermal
power plants and refineries in the region and promoter's long
experience in dealing in electrical equipments.  The outlook may
be revised to 'Positive' if BECPL bags new orders and diversifies
into businesses involving higher value addition.  Conversely, the
outlook may be revised to 'Negative' if the company's liquidity
comes under pressure because of its stretched working capital
position, or slowdown in sales growth.

                    About Bhandari Engineering

BECPL was incorporated in 1995 by Mr. P R Bhandari. Mr Bhandari
has been dealing in and manufacturing diesel generators, pumps,
and other industrial equipment since 1968.  BECPL has dealership
of around 30 engineering companies selling electrical equipment
such as motors, transformers, compressors, switchgears, and
frequency meters.

BECPL reported a provisional profit after tax (PAT) of INR1.9
million on provisional net sales of INR165 million for 2009-10
(refers to financial year, April 1 to March 31) against a PAT of
INR0.8 million on net sales of INR110 million for 2008-09.


HARIG INDIA: CRISIL Lifts Rating on INR23.7MM Term Loan to 'B+'
---------------------------------------------------------------
CRISIL has upgraded its ratings on Harig India Pvt Ltd's bank
facilities to 'B+/Stable/P4' from 'D/P5'.

  Facilities                           Ratings
   ----------                           -------
   INR42.5 Million Cash Credit Limit    B+/Stable (Upgraded from
                                                   'D')
   INR23.7 Million Term Loan            B+/Stable (Upgraded from
   (Reduced from INR47.4 Million)                  'D')

   INR37.5 Million Letter of Credit     P4 (Upgraded from 'P5')
   INR37.5 Million Proposed LT Bank     B+/Stable (Assigned)
                      Loan Facility
   INR11.4 Million Proposed ST Bank     P4 (Assigned)
                         Loan Facility

The upgrade reflects improvement in HIPL's liquidity, leading to
timely payment of interest on its term loan for the past six
months, and prepayment of term loan obligations due till June
2011.  HIPL has prepaid the term loan from profit generated
(Rs.145.6 million) from the sale of its 49 per cent stake in Mita
India Pvt Ltd (Mita India, earlier known as Mita Harig India Pvt
Ltd).  The upgrade also factors in the improvement in HIPL's
business risk profile, driven by stabilization of its tractor
division, and improving capacity utilization of its hydraulic
lifts division, which is backed by addition of new customers.
CRISIL believes that HIPL will generate sufficient cash accruals
to meet its term debt obligations over the medium term.

However, the ratings also reflect HIPL's small scale of
operations, weak debt protection metrics because of large working
capital requirements, and the company's exposure to risks related
to customer concentration in its revenue profile, and to
downtrends in the agriculture industry.  These rating weaknesses
are partially offset by the company's established market position
in the tractor components industry and strong customer base.

Outlook: Stable

CRISIL believes that HIPL will continue to benefit from its
established clientele over the medium term.  However, the
company's financial risk profile is expected to remain constrained
over this period because of its large working capital
requirements.  The outlook may be revised to 'Positive' if the
company scales up its operations or generates more-than-expected
profitability, thereby improving its financial risk profile.
Conversely, the outlook may be revised to 'Negative' if HIPL's
financial risk profile deteriorates, most likely because of
larger-than-expected debt-funded capital expenditure.

                         About Harig India

Incorporated in 1961, HIPL manufactures hydraulic pumps and lifts,
which are critical components used in manufacturing tractors.  In
2008-09 (refers to financial year, April 1 to March 31), the
company started manufacturing tractors.  It has two units in
Ghaziabad (Uttar Pradesh) with a combined capacity of 16,500
pieces of hydraulic equipment and 2000 tractors per annum.  HIPL
has sold its 49 per cent ownership in the joint venture (JV), Mita
India, in January 2010 to CBM Spa Costruzioni Meccaniche, Italy,
which is an associate of HIPL's JV partner Mita Oleodinamica SPA.

For 2009-10, HIPL reported a profit after tax of INR109.8 million
on net sales of INR163.0 million, against a net loss of INR21.9
million on net sales of INR130.0 million for 2008-09.  The losses
in 2008-09 were because of unstable operations at HIPL's then
recently established tractor division.


IDBI BANK: To Consider INR31.2 Billion Government Funding
---------------------------------------------------------
IDBI Bank Ltd. will today, July 22, consider raising INR31.2
billion by selling 259.5 million shares to the government of India
at INR120.19 each, Bloomberg News reports citing IDBI's statement
on the Bombay Stock Exchange.

The Economic Times says the capital infusion by the government is
part of its planned capital support to the state-run banks to
shore up their lending capacity.

The Economic Times recalls that finance minister Pranab Mukherjee
in the last budget had announced that the government planned a
capital support of INR15,000 crore to public sector banks in the
current fiscal to ensure that they are able to attain a minimum 8
per cent tier-I capital by March 31, 2011.  Three other banks,
Union Bank, Bank of Maharashtra and UCO Bank would also get
capital under the capital infusion scheme, the report notes.

                          About IDBI Bank

IDBI Bank Limited (BOM:500116)-- http://www.idbi.com/-- formerly
Industrial Development Bank of India, is an India-based commercial
bank.  The Bank offers an array of corporate banking products
under various segments, such as Deposits, Cash Management, Central
and State Government agency business (both direct and indirect
taxes), Trade Finance and Treasury Products.  The Bank operates in
four segments: Wholesale Banking, Retail Banking, Treasury
Services and Other Banking Operations. IDBI Capital Market
Services Limited is a wholly owned subsidiary of the Bank.  Its
businesses include primary dealing, stock brokering, distribution
of financial products, merchant banking, debt arranging and
underwriting, portfolio management and research services. IDBI
Gilts Limited, a wholly owned subsidiary of the Bank undertakes
primary dealer business.  IDBI Fortis Life Insurance Company
Limited is a joint venture of the Bank, Federal Bank Limited and
Fortis Insurance International.

                           *     *     *

IDBI Bank Ltd continues to carry Moody's Investors Service's 'Ba1'
Foreign LT Bank Deposits rating, 'Ba1' Long Term rating and 'D-'
Bank Financial Strength Rating.  IDBI Bank also continues to carry
Fitch Ratings' Individual Rating of D.


JEEVAN DIESELS: ICRA Assigns 'LBB' Rating to INR125MM Bank Debts
----------------------------------------------------------------
ICRA has assigned "LBB" rating to the INR125 million Fund based
limits of Jeevan Diesels and Electrical Limited.  The outlook on
the long-term rating is stable.  ICRA has also assigned an A4
rating to the INR130 million fund based and INR380 million non-
fund based limits of JDEL.

ICRA' rating of JDEL factors in its relatively weak financial
profile characterized by relatively low margins (even lower than
industry averages) and sales volatility in the past which have
resulted in a pressure on coverage indicators.  ICRA notes that
the demand of Diesel Generator (DG) sets would remain vulnerable
to economic conditions in general, and to slowdown in demand from
the telecom sector in particular.  The financial profile of the
company would also remain exposed to delays/deferment in tender
awards in the government sector, which accounts for a significant
proportion of the company's sales.  The ratings are also
constrained by the fact that the DG Set industry is relatively
low-tech with high competitive pressures. Lower rated DG set
segments are much more fragmented and competitive with additional
pressure from Chinese imports. Working capital intensity is
generally high in this industry with significant inventory and
debtor levels.

ICRA draws comfort from the overall positive demand scenario and
favourable growth prospects of DG sets both in Indian and exports
market in medium term, sales growth the company has shown in the
past and improving trend in margins in past four years.  Company
commands reputed and diverse client profile, especially in PSU and
Industrial segment and has gained significant traction with PSU
clients. It' also moving in higher rated DG set segment and is an
OEM for Perkins and MTU.  The Company is moderately leveraged at
1.0x and there is no significant capex planned in near future.

Overall, improvement in profit margin indicators and consistent
sales growth with controlled working capital blockade will be key
rating determinants going forward.

                       About Jeevan Diesels

Established in 1978, Jeevan Diesels and Electrical Limited, today,
is a leading Genset manufacturer based in Bangalore.  The company
is primarily engaged in the business of DG sets manufacturing
based on engines from various manufacturers like Perkins, Cummins
India, Mahindra and Greaves.  It' mainly into 7.5 KVA ? 2000 KVA
segment and also makes associate equipments and its parts such as
control panels and switchgears.  The units include off the shelf
or specially constructed to be transportable, trolley mounted
canopied and soundproofed sets.  The company has three
Manufacturing units and they are situated at Mettupalayam and
Kattukuppam in Pondicherry; and Rakholi village in Silvassa.  The
company is owned by the promoter family namely Jains and Bardia.
The client base of company includes PSU clients like NTPC, BSNL,
HPCL, BHEL and corporate like Biocon, Helix and Lanco Steel.

Company had profit after tax of Rs 15.4 million over net sales of
INR1.32 billion in FY09.


KARTHIK AGRO: CRISIL Downgrades Rating on INR285MM LT Loan to 'D'
-----------------------------------------------------------------
CRISIL has downgraded its rating on Karthik Agro industries Pvt
Ltd's bank facilities to 'D' from 'B/Stable'.

   Facilities                             Ratings
   ----------                             -------
   INR285.00 Million Long-Term Loan       D (Downgraded from
                                                 'B/Stable')
   INR36.00 Million Cash Credit           D (Downgraded from
                                                 'B/Stable')

The downgrade reflects the delay by Karthik Agro in the repayment
of its term loans; the delay was mainly driven by the company's
stretched liquidity, as delays in the commercialisation of its
maiden project led to cost overruns. Karthik Agro commenced
commercial operations in April 2010, as against the planned
commencement in August 2009.

Though Karthik Agro's margins are susceptible to volatility in
prices of raw materials, the company benefits from its promoters'
industry experience.

                         About Karthik Agro

Set up in 2007 by Mr. Veranna Charantimath and Mr. Lingraj
Mashyal, Karthik Agro manufactures ethanol and extra-neutral
alcohol from molasses and grains at its unit in Bagalkot
(Karnataka).


LITTLE BEE: CRISIL Assigns 'BB+' Rating to INR27.5MM Term Loan
--------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable/P4+' ratings to the bank
facilities of Little Bee Impex.

   Facilities                               Ratings
   ----------                               -------
   INR27.5 Million Term Loan                BB+/Stable (Assigned)
   INR260.0 Million Export Packing Credit   P4+ (Assigned)
   INR5.0 Million Bank Guarantee            P4+ (Assigned)
   INR7.5 Million Letter of Credit          P4+ (Assigned)
   INR8.5 Million Proposed ST Bank Loan     P4+ (Assigned)
                               Facility

The ratings reflect LBI's weak financial risk profile, marked by a
small net worth and high gearing levels.  This weakness is
partially offset by LBI's established position in the honey
industry with a healthy clientele.

Outlook: Stable

CRISIL believes that LBI's financial risk profile will remain weak
over the medium term, with the expected increase in debt levels
due to increased working capital requirements.  However, the firm
will sustain its business risk profile over this period supported
by its established industry position and healthy clientele.  The
outlook may be revised to 'Positive' in case of more-than-expected
increase in LBI's cash accruals/profitability resulting in
improvement in its financial risk profile.  Conversely, the
outlook may be revised to 'Negative' in case of lower-than-
expected increase in cash accruals, or if the firm undertakes a
more-than-expected debt-funded capital expenditure programme,
leading to deterioration in its debt protection metrics.

                          About Little Bee

LBI, a partnership firm registered in 2003, is engaged in bee
keeping and the extracting, processing, and exporting of honey.
The firm is an export-oriented unit and mainly exports to the US
and Europe.  It has its manufacturing facility in Ludhiana
(Punjab), and procures raw honey through its network of over 6000
bee keepers (80 per cent of the annual requirements) and captive
bee hives (20 per cent).  The firm has three partners: Mr.
Shahzada Singh Kapoor (40 per cent share in the profits), Mrs.
Sarabpreet Kaur (20 per cent), and Mrs. Parwinder Kaur (40 per
cent). LBI is part of a well-diversified group which also includes
Kashmir Apiaries Pvt Ltd (supplies honey in the domestic market),
Kashmir Apiaries Exports (exports honey in bulk quantities), Lee
Bee Foods (manufactures jams and pickles), and Little Bee Products
(manufactures snacks like chips).

LBI reported a profit after tax (PAT) of INR106 million on net
sales of INR643 million for 2008-09 (refers to financial year,
April 1 to March 31), against a PAT of INR72 million on net sales
of INR502 million for 2007-08.


LS MILLS: CRISIL Reaffirms 'D' Ratings on Various Bank Facilities
-----------------------------------------------------------------
CRISIL's ratings on the bank facilities of LS Mills Ltd (LS Mills)
reflect continuing default by LS Mills in servicing its term
loans, because of sustained losses and weak liquidity.

   Facilities                           Ratings
   ----------                           -------
   INR1431.9 Million Long-Term Loan     D (Reaffirmed)
   INR300 Million Cash Credit           D (Reaffirmed)
   INR150 Million Letter of Credit      P5 (Reaffirmed)
   INR10 Million Bank Guarantee         P5 (Reaffirmed)

LS Mills has a weak financial risk profile, and its margins are
susceptible to volatility in raw material prices.  However, the
company has an established market position in the textile
industry.

Incorporated in 1984 by Mr. L Sundararajan, LS Mills manufactures
cotton yarn.  The company has an installed capacity of 100,072
spindles, 720 rotors, 60 looms, and 99 sewing machine. Its product
portfolio includes yarn, fabrics, and home furnishing products.

For 2008-09 (refers to financial year, April 1 to March 31), LS
Mills reported a net loss of INR82 million on a turnover of
INR1.16 billion, against a profit after tax of INR42 million on
net sales of INR1.1 billion for the preceding year.


MANGAL STEEL: CRISIL Assigns 'P4+' Ratings to Various Bank Debts
----------------------------------------------------------------
CRISIL has assigned its 'BB/Stable/P4+' ratings to Mangal Steel
Enterprises Ltd's bank facilities.

   Facilities                              Ratings
   ----------                              -------
   INR40 Million Cash Credit               BB/Stable (Assigned)
   INR70 Million Standby Line of Credit    P4+ (Assigned)
   INR100 Million Letter of Credit         P4+ (Assigned)
   INR20 Million Bank Guarantee            P4+ (Assigned)
   INR100 Million EPC/PCFC                 P4+ (Assigned)
   INR240 Million FBD/EBR                  P4+ (Assigned)

The ratings reflect MSEL's large working capital requirements and
exposure to risks related to customer and geographical
concentration in revenue profile.  These rating weaknesses are
partially offset by MSEL's moderate financial risk profile, marked
by low gearing and moderate debt protection metrics, and the
benefits that the company derives from its promoters' experience
in the steel industry.

Outlook: Stable

CRISIL believes that MSEL will maintain its stable credit risk
profile over the medium term, backed by its moderate financial
risk profile.  The outlook may be revised to 'Positive' if MSEL
improves its capacity utilisation along with increase in operating
margin and diversifies its client base along with geographical
diversification.  Conversely, the outlook may be revised to
'Negative' in case MSEL's financial risk profile deteriorates
because of decline in margins and revenues, or if the company
undertakes large, debt-funded capital expenditure.

                         About Mangal Steel

MSEL was set up in 1973 as a partnership concern by Mr. Garodia.
The firm was engaged in processing and export of scrap and also
had a rolling mill.  In 1977, scrap exports were banned and hence
the promoters discontinued the business. MSEL started
manufacturing trellising products in 1980s, catering to fencing
wall industry.  The company diversified into road construction in
1983.  It then diversified into agriculture industry in 1990s and
then into manufacturing of threaded rods.  The company sold its
rolling mill facility in 1996.  All the products of the company
are exported to USA.  The company has two plants at Salkia (West
Bengal).

MSEL reported a profit after tax (PAT) of INR21 million on
operating income of INR708 million for 2008-09 (refers to
financial year, April 1 to March 31), against a PAT of INR18
million on operating income of INR805 million for 2008-09.


ORTEL COMMUNICATIONS: CRISIL Rates INR700MM Term Loan at 'BB+'
--------------------------------------------------------------
CRISIL has assigned its 'BB+/Stable' rating to the term loan
facility of Ortel Communications Ltd.

   Facilities                             Ratings
   ----------                             -------
   INR700 Million Term Loan Facility      BB+/Stable (Assigned)

The rating reflects Ortel's established market position as a cable
and data service provider in Orissa, underpinned by its provision
of last-mile connectivity, and its efficient operations because of
integration of services.  These rating strengths are partially
offset by Ortel's weak financial risk profile, marked by
constrained financial flexibility and aggressive capital
expenditure (capex) plans.

Outlook: Stable

CRISIL believes that Ortel will continue to benefit from its
established market positioning in Orissa and leverage its business
strengths.  However, exposure to intense competition, coupled with
the capital-intensive nature of its business, will constrain the
company's financial flexibility over the near to medium term.  The
outlook may be revised to 'Positive' if the company achieves and
sustains higher-than-expected growth in revenues and
profitability, and successfully expands its business in and
outside Orissa.  Conversely, the outlook may be revised to
'Negative' if Ortel undertakes a larger-than-expected debt-funded
capex programme, resulting in deterioration of its financial risk
profile.

                     About Ortel Communications

Ortel was incorporated as a private limited company in 1996.  It
operates a FAT PIPE broadband communications network in Orissa to
provide analogue and digital cable television (TV) services and
high-speed internet access.  The company has a triple-play
business model through which it provides multiple services (cable
TV: analogue/digital and data services) through delivery channels,
and benefits from its last-mile connectivity. Ortel markets its
cable TV service under the 'Ortel' brand, and its data service
under the Ortel.net brand.  It started its operations in
Bhubaneswar, Cuttack, and Paradip, after which it expanded to
Rourkela and Puri.

Ortel is part of the Panda group, a private sector group in
Orissa, which is the promoter of the IMFA group of companies, with
interests in smelters, power generation, and coal and chromite
mining.  The Panda family and associates have a majority
shareholding of 74 per cent in Ortel, New Silk Route - PE
Mauritius holds around 14 per cent, with the rest being held by
the Medium & Small Infrastructure Fund.

For 2009-10 (refers to financial year, April 1 to March 31), Ortel
reported a provisional profit after tax of INR15.8 million (net
loss of INR57.5 million for 2008-09), on net sales of INR741.6
million (Rs.538.6 million).


SIMPEX OVERSEAS: ICRA Assigns 'LBB' Rating on INR120MM Loans
------------------------------------------------------------
ICRA has assigned an "LBB" rating to the INR 120 million fund
based limits of Simpex Overseas Private Limited.  The outlook on
the rating is stable.

The rating takes into account the intensely competitive nature and
low value additive nature of the metal trading industry, SOPL's
modest scale of operations, which results in limited economies of
scale, and its low profitability and modest cash accruals. Low
profitability coupled with high working capital borrowings have
resulted in moderate debt coverage indicators.  The margins of the
company are exposed to foreign exchange fluctuations due to large
volumes of imported raw materials as well as movement in traded
goods prices. Nevertheless, the rating draws comfort from SOPL's
experienced management and demonstrated financial support from
promoters. Going forward, ICRA expects SOPL's profitability to
remain under pressure while working capital requirements to
increase in line with the growth in scale of operations.

Simpex Overseas was incorporated in 1994 by Mr. Om Prakash
Maheshwari.  SOPL is a closely held company with entire
shareholding with promoters and their group companies.  Currently
the company is managed by Mr. Maheshwari and his friend Mr.
Prakash Trivedi.  The company is involved in trading of scrap of
metals and alloys such as steel, stainless steel, brass, copper,
zinc, aluminium etc.

For the financial year ending 31st March 2010, the company
reported an operating income of INR 1.17 billion and a profit
before tax of INR 7.9 million.


SRI MURUGARAJENDRA: CRISIL Puts 'B' Ratings on Bank Facilities
--------------------------------------------------------------
CRISIL has assigned its 'B/Stable/P4' ratings to Sri
Murugarajendra Oil Industry Pvt Ltd's bank facilities.

   Facilities                          Ratings
   ----------                          -------
   INR95.0 Million Cash Credit         B/Stable (Assigned)
   INR20.0 Million Corporate Loan      B/Stable (Assigned)
   INR10.0 Million Term Loan           B/Stable (Assigned)
   INR122.4 Million Proposed LT Bank   B/Stable (Assigned)
                       Loan Facility
   INR250.0 Million Letter of Credit   P4 (Assigned)
   INR2.5 Million Bank Guarantee       P4 (Assigned)

The ratings reflect SMOIL's constrained financial risk profile,
and susceptibility to adverse regulatory changes, pricing
pressures, and intense competition in the edible oil industry.
These weaknesses are partially offset by the company's established
track record in the edible oil business.

Outlook: Stable

CRISIL expects SMOIL to maintain its steady business risk profile
on the back of promoters' longstanding industry experience and
established relationships with its suppliers and customers.  The
outlook may be revised to 'Positive' if SMOIL's scale of
operations increases and profitability improves on a sustainable
basis, thereby resulting in increased cash accruals.  Conversely,
the outlook may be revised to 'Negative' if the company's debt
protection indicators weaken because of more-than-expected debt or
a significant reduction in cash accruals.

Set up in 1984, SMOIL is into solvent extraction and edible oils
refining.  The company processes and trades in sunflower and rice
bran oil, and crude palm oil.

SMOIL reported a profit after tax (PAT) of INR14 million on net
sales of INR3620 million for 2009-10 (refers to financial year,
April 1 to March 31), against a PAT of INR6 million on net sales
of INR1890 million for 2008-09.


SYNTHETIC PACKERS: ICRA Assigns 'LBB' Rating to INR87.3MM Debts
---------------------------------------------------------------
ICRA has assigned an "LBB" rating to the INR87.30 million fund-
based limits of Synthetic Packers Private Limited.  The outlook
for the rating is "stable".  ICRA has also assigned an A4 rating
to INR 46 million short term non fund based limits of SPL.

The assigned ratings take into account SPL's long track record in
poly film industry, its reputed and diversified client base and
its long term association with its customers.  The ratings are
however constrained by the company's small scale of operation, it
exposure to raw material price fluctuation and foreign currency
fluctuation risks.  The ratings are further constrained by the
company's modest profitability and stretched capital structure
(gearing of 2.24 times as on March 31, 2010).  While assigning the
rating ICRA has also taken note of the intensely competitive
nature of the industry marked by the presence of large number of
organized and unorganized players.

SPL was established in the year 1981 and is mainly into the
manufacturing of poly film products including packaging films,
lamination films, shrink films, zip lock bags and wide width
films.  The company has a reputed client base which includes
companies like Hindustan Unilever Ltd, ITC Limited, Cipla Ltd, R.R
Industries Ltd, Caretex.  During FY2010, SPL posted a net profit
of INR17.5 million over a revenue of INR547.9 million.


UPPAL FERROCAST: ICRA Assigns 'LBB' Rating to LT Bank Debts
-----------------------------------------------------------
ICRA has assigned an "LBB" rating with a stable outlook to the
long term sanctioned bank facilities and an "A4" rating to the
short term bank facilities of Uppal Ferrocast Private Limited.

The ratings are constrained by the small scale of operations of
the company, high client concentration, and the high working
capital intensity of operations (NWC/OI for FY 2009 at 42%) driven
by high inventory levels maintained by the company.  These risks
are further magnified by the inherently cyclical nature of steel &
iron industry and the limited growth prospects of the foundry due
to lack of space for expansion.  The ratings are underpinned by
the long track record & the reputed customer base of UFPL, the
relatively high degree of customisation in castings supplied by
the company which is reflected in its good profitability
indicators, and the demonstrated ability of UFPL to pass on
variations in steel prices to its customers.

Uppal Ferrocast Private Limited was incorporated in the year 1997
after its founding promoters decided to converted the earlier
established partnership concern into a Private Limited Company.
In the last ten years, UFPL's foundry has seen gradual expansions
& mordernisation, and today, it has an installed production
capacity of 3,000 tons per annum.  The foundry, spread over 20,000
sq. ft. in the Industrial Development Area (IDA) - Uppal,
Hyderabad, manufactures ductile & grey iron castings with a weight
range of 300 grams to 2.5 tons.


VISHWARUPA TUBES: CRISIL Places 'B+' Rating on INR40MM Term Loan
----------------------------------------------------------------
CRISIL has assigned its 'B+/Stable' rating to Vishwarupa Tubes Pvt
Ltd's bank facilities.

   Facilities                         Ratings
   ----------                         -------
   INR120.0 Million Cash Credit       B+/Stable (Assigned)
   INR40.0 Million Term Loan          B+/Stable (Assigned)

The rating reflects VTPL's constrained business risk profile
because of the start-up phase of its operations, weak financial
risk profile, marked by a small net worth, high gearing, and weak
debt protection metrics, and exposure to risks related to intense
competition in the electronic-resistance-welded (ERW) pipes
segment, and geographical concentration in revenue profile.  These
rating weaknesses are partially offset by the experience of VTPL's
promoters in the steel industry.

Outlook: Stable

CRISIL believes that VTPL's scale of operations will remain small
and its financial risk profile, weak, over the medium term, as the
company's operations are in the start-up phase.  The outlook may
be revised to 'Positive' if VTPL scales up its operations, leading
to more-than-expected cash accruals, thereby improving its
financial risk profile.  Conversely, the outlook may be revised to
'Negative' if the company fails to increase its scale of
operations or contracts large quantum of debt to fund its capital
expenditure.

                      About Vishwarupa Tubes

VTPL manufactures ERW pipes and tubes.  The company has recently
set up a manufacturing unit in Howrah (West Bengal), with a
capacity of 45,000 tonnes per annum.  The plant commenced
commercial production in May 2010. VTPL is part of the Sarkar Gray
group, which manufactures, and trades in, steel products.  The
group, promoted by Mr. Dhiraj Thard, includes Sarkar Gray Iron
Products (rated 'B+/Stable' by CRISIL), Shree Radhe Krishna
Smelters Pvt Ltd (BB-/Stable), and Vishwarupa Steel Pvt Ltd (BB-
/Stable/P4+).


=================
I N D O N E S I A
=================


BANK MANDIRI: Moody's Raises Bank Financial Strength Rating to 'D'
------------------------------------------------------------------
Moody's Investors Service has raised Bank Mandiri's bank financial
strength rating to D from D-.  The outlook for the revised rating
is stable.  Similarly, the higher D BFSR maps to a baseline credit
assessment of Ba2 from Ba3.  No other ratings were affected and
carry stable outlooks unless indicated: the foreign currency long-
term/short term deposit remain Ba3 with a positive outlook/Not
Prime and the global local currency deposit Baa3.

"The rating action incorporates marked and sustained improvements
in the bank's financial performance -- particularly in
profitability and asset quality - as a result of its
transformation since 2005," says Beatrice Woo, a Moody's Vice
President and Senior Credit Officer.

"The bank's net interest margin has widened through a shift in its
loan mix towards the higher-yielding retail segment, and this has
been accompanied by a move towards lower-cost deposits," says Woo.
"Retail loans increased from 20% of loans at end-2005 to 27% at
March 2010, while low cost deposits grew from 45% of deposits to
57% over this period."

As for asset quality, the bank reduced its non-performing loans
ratio to 2.6% of loans at March 2010 through active management
from 25.2% at end-2005.  And importantly, its coverage ratio rose
substantially from 44.4% to 219.1%.  Restructured loans,
traditionally very high at Bank Mandiri, were significantly cut to
8% of loans at March 2010 from 19% at end-2005.

Moreover, while its capital ratios have fallen steadily, its
economic solvency is positive, even after adjustments for
additional provisions against its balance of non-performing loans.

As part of its transformation, it has also internally restructured
and strengthened its operating platform, particularly in corporate
governance, risk management and internal controls.

Many of the changes at the bank were initiated by a management
team installed in May 2005, and following allegations of graft
involving former senior management and a surge in non-performing
loans due to Bank Indonesia's implementation of stricter loan
classification rules, and which questioned the effectiveness of
Bank Mandiri's risk positioning.

Moody's notes that the bank's former Chief Executive Officer
assumed the post of finance minister in April 2010 and his
successor was named on July 5.  However, as the new CEO was a
director at the bank and in Moody's opinion, many of the changes
in practices and strategic focus initiated since 2005 have become
institutionalized, the higher BFSR anticipates that the bank's
direction will remain in a positive trend.

In its current strategy, management has identified three areas of
focus: (1) developing its wholesale transaction franchise with
services such as cash management, foreign exchange and payroll
loans; (2) retail deposit banking; and (3) loans in retail
segments including mortgages, personal loans, credit cards, micro-
banking in urban cities and Syariah.  Furthermore, Bank Mandiri is
capitalizing on its government links for new business
opportunities, such as cooperative arrangements with universities
and potentially, the Post Office.

In addition, the BFSR incorporates the bank's dominant franchise
as the largest bank in the country with a 14.7% share of system
deposits at March 2010.

On the other hand, Moody's believes that Bank Mandiri may be
vulnerable to government influence, a situation which also weighs
upon its BFSR, given the significant level of state ownership, as
with other state-owned banks in Indonesia.

The last rating action on Bank Mandiri was taken on June 21 2010
when the outlook on its Ba3 foreign currency long-term deposit
rating was revised to positive from stable.  The action was in
line with similar actions taken on Indonesia's sovereign ratings
on June 21 2010.

Bank Mandiri is headquartered in Jakarta and had assets of
IDR399.3 trillion at March 2010.

All carry stable outlooks except where indicated:

GLC deposit of Baa3, foreign currency long-term deposit rating of
Ba3 with a positive outlook, foreign currency short-term deposit
of Not Prime and BFSR of D.


=========
J A P A N
=========


ALL NIPPON: Boeing's Jet Delivery May be Delayed Until Jan. 2011
----------------------------------------------------------------
Boeing Co.'s planned first delivery of its 787 jetliner to All
Nippon Airways Co. may be delayed until January next year, Japan
Today reports.

Jim Albaugh, chief executive of Boeing Commercial Airplanes, told
Japanese reporters in London that Boeing still hopes to achieve
its year-end target of the jet's delivery, but the possibility of
achieving it has become slimmer due to remaining work on the
plane's vertical tail, according to Japan Today.   Delivery of the
long-range passenger plane has been delayed from the initially
planned May 2008 due to safety and other production problems, the
report notes.

                           About ANA

All Nippon Airways Co. Ltd. -- http://www.ana.co.jp/-- is a
Japan-based company engaged in three business segments.  Its Air
Transportation segment is engaged in the air transportation
business, as well as the provision of services at airports, the
provision of reservation services through telephones and the
maintenance of aircrafts in the country and overseas markets.  The
Traveling segment develops, plans and sells tour packages under
the brand names ANA Hello Tour and ANA Sky Holiday.  This segment
also offers services to travelers and sells travel products and
air tickets.  The Others segment is involved in the information
communications, real estate, building management, land
transportation and airplane fixture repair businesses, among
others.  The company has 112 subsidiaries and 40 associated
companies.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
Nov. 23, 2009, Moody's Investors Service downgraded the long-term
debt ratings of All Nippon Airways Co., Ltd., to Ba2 from Baa3.
The outlook is stable.


JAPAN AIRLINES: Kaplan Fox Discloses $12MM Settlement With Airline
------------------------------------------------------------------
Kaplan Fox & Kilsheimer LLP announced a $12 million settlement,
subject to court approval, with Japan Airlines in In re: Air Cargo
Shipping Services Antitrust Litigation, 06-MD-1775 (JG) (VVP), a
multi-district litigation pending in the Eastern District of New
York.  Kaplan Fox serves as one of four co-lead counsels
representing a class of direct purchasers from defendants of air
cargo shipping services for shipments to, from and within the
United States seeking compensation for alleged overcharges
sustained as a result of a price-fixing conspiracy alleged against
over two dozen airlines.

Japan Airlines, which is based in Tokyo, Japan, filed for
bankruptcy in January 2010, and remains in bankruptcy.  In
addition to the $12 million settlement payment, Japan Airlines has
also agreed to provide substantial cooperation in the prosecution
of the action against the remaining defendants.

On September 25, 2009, Judge John Gleeson granted final approval
to an $85 million settlement with Deutsche Lufthansa AG, Lufthansa
Cargo AG, and Swiss International Air Lines Ltd.  On July 14,
2010, it was announced that a settlement had been reached with
defendants Societe Air France, Koninklijke Luchtvaart Maatschappij
N.V. and Martinair Holland N.V. for $87 million.  Thus, the
current settlement will increase the total amount recovered for
the class to date to $184 million.

                      About Japan Airlines

Japan Airlines Corporation -- http://www.jal.co.jp/-- is a
Japan-based company mainly engaged in the provision of air
transport services.  The Company is active in five business
segments through its 203 subsidiaries and 83 associated companies.
JAL International Co. Ltd. is a wholly owned operating subsidiary
of Japan Airlines Corporation.

Japan Airlines Corporation, Japan Airlines International Co., Ltd.
and JAL Capital Co., Ltd., on January 19, 2010, filed the
petitions to commenced corporate reorganization proceedings with
the Tokyo District Court.  The Court appointed the Enterprise
Turnaround Initiative Corporation of Japan and Eiji Katayama,
Esq., as reorganization trustees.

Japan Airlines Corp. filed for reorganization January 19 in the
Tokyo District Court and filed a Chapter 15 petition in New York
(Bankr. S.D.N.Y. Case No. 10-10198).  The Company said debt is
$28 billion.

Bankruptcy Creditors' Service, Inc., publishes Japan Airlines
Bankruptcy News.  The newsletter tracks the Chapter 15 proceedings
and the bankruptcy proceedings in Tokyo undertaken by Japan
Airlines Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


* Fitch Downgrades Ratings on Seven Japanese Classes
----------------------------------------------------
Fitch Ratings has said that seven publicly-rated classes from
three Fitch-rated Japanese CMBS transactions were downgraded
during the second quarter of 2010.  Over the same period, two
publicly-rated classes from a Japanese CMBS transaction were
upgraded and 34 classes from a total of seven Japanese CMBS and
RMBS transactions were affirmed.

"The downgrades during this quarter all related to junior classes
of Japanese CMBS transactions and reflected the progress of work-
out activities on the defaulted loans," said Naoki Saito, Director
in Fitch's Japanese Structured Finance team.  "Such progress
generally does not have a negative impact on the senior classes
due to the sequential payment structure," added Mr. Saito.

The most junior class for both JLOC VII Limited and JLOC 36 LLC
were downgraded to 'CC' from 'CCC', as Fitch believed that
principal loss on these classes became probable, considering the
expected recovery amounts from the defaulted loans.  Five junior
classes from JLOC 41 LLC were downgraded due to the revaluation of
collateral properties, reflecting the progress of work-out
activities.  Four of these junior classes plus one additional
class were downgraded further in the first half of July, due to
quicker than expected dispositions of underlying properties of two
defaulted loans, and thus no credit was given to further excess
cashflows generated from these properties.

Two senior classes from UDMAC-J1 Trust were upgraded, following
improved credit enhancement levels as partial repayments of a
large underlying loan, accounting for half of the underlying loans
by value, were applied sequentially to the outstanding notes.  As
a result, one third of the outstanding balance on the most senior
class was repaid as of end-Q210.

The number of Japanese CMBS classes on Rating Watch Negative
reduced to seven by end-June 2010, from 22 at end March 2010.  Two
of these RWNs were resolved in the first half of July, while a
further three classes from another Japanese CMBS transaction were
placed on RWN.  In total therefore, eight Japanese CMBS classes
are on RWN at the time of publishing.  The agency aims to review
all RWNs over the next two months, upon further progress in the
disposition process of the underlying properties.  At the end of
Q210, 77 classes had a Negative Outlook assigned.


=========
K O R E A
=========


HYUNDAI GROUP: Creditors May Not Extend Loan Maturity
-----------------------------------------------------
Bloomberg News, citing MoneyToday, reports that creditors of
Hyundai Group may not agree to extend the maturity of its loans
unless the company signs an agreement by the end of July to
improve its finances.

Bloomberg relates MoneyToday said the group has loans worth
between KRW400 billion and KRW500 billion due this year.

                       About Hyundai Group

Hyundai, once South Korea's largest conglomerate, has shrunk to
become a minor player since the Asian financial crisis of 1997
prompted the spin-off of key auto and shipbuilding units.

It now has five firms -- Hyundai Elevator, Hyundai Merchant
Marine, Hyundai Logistics, Hyundai Securities and Hyundai Asan,
which is engaged in inter-Korean projects in North Korea.

The group is struggling as its North Korea tourism projects are on
ice and its main subsidiary Hyundai Merchant Marine is performing
badly, according to the Chosun Ilbo.  In May 2010, the group was
picked by creditors as a financially distressed conglomerate.


====================
N E W  Z E A L A N D
====================


CANTERBURY BUILDING: CBS Shareholders to Vote on Merger in Nov.
---------------------------------------------------------------
BusinessDesk reports that Canterbury Building Society told
shareholders they can expect to vote on a proposal to merge with
Southern Cross Building Society and Pyne Gould's Marac unit in
mid- to late-November.

The report relates CBS said the merger proposal is undergoing due
diligence, and more announcements are likely next month.

According to the report, former ASB executive James Mitchell was
appointed project manager to evaluate the proposal three weeks ago
and will lead the integration of the three firms if the bid goes
ahead.

The Troubled Company Reporter-Asia Pacific reported on June 4,
2010, that a memorandum of understanding was signed early in June
by Canterbury Building Society, Southern Cross Building Society
and Pyne Gould Corporation, involving a proposal to merge their
banking related activities.  The proposal envisages that the
merged entity would be listed on the NZSX, providing the only
opportunity for New Zealand investors to own shares in a bank
focused on the some market.  The group would initially have assets
of NZ$2.2 billion, 360 staff and about 70 customer outlets around
the country, providing a national platform for growth.

                     About Canterbury Building

Canterbury Building Society is a building society and nonbank
deposit-taking institution.  It offers mainly residential and
commercial lending, funded by retail deposits.

                           *     *     *

As reported in Troubled Company Reporter-Asia Pacific on Nov. 23,
2009, Standard & Poor's Ratings Services assigned its 'BB+/B'
counterparty ratings on Canterbury Building Society.  The
outlook is stable.


MARAC FINANCE: CBS Shareholders to Vote on Merger in November
---------------------------------------------------------
BusinessDesk reports that Canterbury Building Society told
shareholders they can expect to vote on a proposal to merge with
Southern Cross Building Society and Pyne Gould's Marac unit in
mid- to late-November.

The report relates CBS said the merger proposal is undergoing due
diligence, and more announcements are likely next month.

According to the report, former ASB executive James Mitchell was
appointed project manager to evaluate the proposal three weeks ago
and will lead the integration of the three firms if the bid goes
ahead.

The Troubled Company Reporter-Asia Pacific reported on June 4,
2010, that a memorandum of understanding was signed early in June
by Canterbury Building Society, Southern Cross Building Society
and Pyne Gould Corporation, involving a proposal to merge their
banking related activities.  The proposal envisages that the
merged entity would be listed on the NZSX, providing the only
opportunity for New Zealand investors to own shares in a bank
focused on the some market.  The group would initially have assets
of NZ$2.2 billion, 360 staff and about 70 customer outlets around
the country, providing a national platform for growth.

                        About Marac Finance

New Zealand-based Marac Finance Limited provides business and
personal finance and leasing options.  It is owned by Pyne Gould
Corporation (PGC).

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
August 17, 2009, Standard & Poor's Ratings Services had lowered
its long-term rating on MARAC Finance Ltd. to 'BB+' from 'BBB-'.
At the same time, the short-term rating was lowered to 'B' from
'A-3'.  The outlook was revised to negative from stable.  The
negative outlook implies a one-in-three likelihood of a rating
downgrade within the next two years.


NZ FARMING: Hires Grant Samuel to Examine Olam's Takeover Bid
-------------------------------------------------------------
NZ Farming Systems Uruguay hired Grant Samuel & Associates to
provide an independent assessment of Olam International's takeover
proposal, according to BusinessDesk.

BusinessDesk says the developer of dairy farms in South America
advised shareholders to take no action until they have the target
company statement and the independent adviser's report.

Meanwhile, Marta Steeman at BusinessDay.co.nz reports that Forsyth
Barr head of research Rob Mercer said the 55 cents-a-share
takeover offer from Olam International for New Zealand Farming
Systems Uruguay is well below the company's liquidation value.

According to BusinessDay.co.nz, Mr. Mercer said it was too early
to comment on whether Olam's offer was attractive for the 1,600
shareholders in the largely New Zealand-owned company that
develops dairy farms in Uruguay.  But he said that the net
tangible asset per share of NZFSU was close to NZ$1, the report
relates.  That is the value of the company if its assets were
liquidated at the current book values, liabilities paid and the
proceeds distributed to shareholders, BusinessDay.co.nz notes.

BusinessDay.co.nz discloses that NZFSU's half-year report to
December last year reveals equity of US$162 million which is US66c
(NZ93c) a share.  NZFSU has accumulated losses of US$61 million
since 2006 when it was started by Craig Norgate and PGG Wrightson,
the report notes.

BusinessDay.co.nz relates Mr. Mercer said investors should wait
for the independent appraisal of the offer, which he expected to
reveal land values through recent transactions and what the return
on capital was for this business, which was "burning cash" for
development at present.

Olam International Ltd. is a Singapore-based commodity producer
and trader.

As reported in the Troubled Company Reporter-Asia Pacific on
July 19, 2010, The National Business Review said Olam
International Ltd. plans to buy PGG Wrightson's stake in NZ
Farming Systems Uruguay Ltd. and has launched a full takeover
offer for the dairy farm developer.  Olam, which owns 18.45% of NZ
Farming Systems already, will pay 55c in its takeover bid after
striking an agreement to buy 28.1 million shares from PGG
Wrightson.  The offer represents a 34% premium on the NZS
share price of 41c prior to the offer being made and values the
company at NZ$134 million.   The offer is subject to Olam
achieving a minimum 50.1% shareholding in NZS and the approval by
the Overseas Investment Office.

NZ Farming had a NZ$45.9 million loss in the year to June 30,
2009, as milk prices fell and it wrote down the value of livestock
and farms.  The loss narrowed to NZ$7 million in the six months
ended Dec. 31, 2009.

                     About NZ Farming Systems

Based in New Zealand, NZ Farming Systems Uruguay Limited (NZE:NZS)
-- http://www.nzfsu.co.nz/-- is engaged in developing and
operating dairy farming activities in Uruguay.  During the fiscal
year ended June 30, 2009 (fiscal 2009), it had 26 milking sheds in
operation.  As of June 30, 2009, the Company's wholly owned
subsidiaries included Gimley S.A., Gabefox S.A., Lembay S.A.,
Ginok S.A., Gabegim S.A. and Dunkit S.A.


PROTEMIX CORPORATION: Goes Into Liquidation as Funding Runs Dry
---------------------------------------------------------------
The New Zealand Press Association reports that Protemix
Corporation has gone into liquidation, owing NZ$2.15 million to
creditors.

The news agency, citing a report from the National Business
Review, says the company had developed a compound called Laszarin
to treat diabetic heart failure, but was unable to get results out
of clinical trials.

Protemix, set up 15 years ago, spent NZ$61 million of shareholder
funds, NZPA says.  It had received NZ$13 million of government
grants since 2003.

According to NZPA, liquidators Laurence Chilcott and Stephen
Tietjens said in their first report that Protemix had been unable
to attract sufficient new equity from new or existing shareholders
to enable its development activities to continue.

NZPA discloses that the company had failed after a sales process
that started in 2008 was unable to close a transaction, although
two conditional offers were made.  One of the offers was withdrawn
and the other was not supported by the required 90% of
shareholders.

The report adds the liquidators said they were unable to estimate
how much the company's patents might realize.

Protemix Corporation Limited, a biopharmaceutical company,
discovers, develops, and commercializes drug therapies for the
prevention and treatment of cardiovascular disease, diabetes, and
other metabolic disorders.  The company was founded in 1999 and is
based in Auckland, New Zealand with an additional office in San
Diego, California.


===========
T A I W A N
===========


POLARIS SECURITIES: TRC Lifts Rating on Class C Notes to 'twCCC+'
-----------------------------------------------------------------
Taiwan Ratings Corp. raised its ratings on the following notes
issued by Polaris Securities Co. Ltd. and Bank of Overseas Chinese
Corporate Bond Securitization Special Purpose Trust 2006-1
(Polaris Sec. & BOOC CBO 2006-1).   At the same time, affirmed the
'twCCC-' rating on the Class D notes.

  -- The rating on the Class A-1 notes to 'twAAA' from 'twA+';
  -- The rating on the Class A-2 notes to 'twA' from 'twBB+';
  -- The rating on the Class B notes to 'twBBB-' from 'twCCC+';
  -- The rating on the Class C notes to 'twCCC+' from 'twCCC-'.

Rationale

The rating actions reflect the improved portfolio credit quality
due to recent repayment of the transaction's underlying Taiwan
dollar assets, which is sufficient to fully repay the Class A-1
notes on the next trust payment day, as well as the observed
positive rating migration in the reference portfolio of the
transaction's underlying USD Synthetic Collateralized Debt
Obligation (SCDO) asset that mainly supports the ratings on the
Class A-2, B, C, and D notes.

While the rating action is based on the agency's stressed rating
analysis, in which it has taken into account certain scenarios
that may negatively affect the creditworthiness of the rated
notes, given the current pool composition and deal structure, the
CBO notes of the transaction may still be sensitive to further
credit quality migration of the underlying reference entities
backing the USD SCDO.


                         *********

Tuesday's edition of the TCR-AP delivers a list of indicative
prices for bond issues that reportedly trade well below par.
Prices are obtained by TCR-AP editors from a variety of outside
sources during the prior week we think are reliable.   Those
sources may not, however, be complete or accurate.  The Tuesday
Bond Pricing table is compiled on the Friday prior to
publication.  Prices reported are not intended to reflect actual
trades.  Prices for actual trades are probably different.  Our
objective is to share information, not make markets in publicly
traded securities.  Nothing in the TCR-AP constitutes an offer
or solicitation to buy or sell any security of any kind.  It is
likely that some entity affiliated with a TCR-AP editor holds
some position in the issuers' public debt and equity securities
about which we report.

A list of Meetings, Conferences and Seminars appears in each
Wednesday's edition of the TCR-AP. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Friday's edition of the TCR-AP features a list of companies with
insolvent balance sheets obtained by our editors based on the
latest balance sheets publicly available a day prior to
publication.  At first glance, this list may look like the
definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical
cost net of depreciation may understate the true value of a
firm's assets.  A company may establish reserves on its balance
sheet for liabilities that may never materialize.  The prices at
which equity securities trade in public market are determined by
more than a balance sheet solvency test.


                            *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter-Asia Pacific is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland, USA.  Valerie C. Udtuhan, Marites O. Claro,
Rousel Elaine T. Fernandez, Joy A. Agravante, Frauline S. Abangan,
and Peter A. Chapman, Editors.

Copyright 2010.  All rights reserved.  ISSN: 1520-9482.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding,
electronic re-mailing and photocopying) is strictly prohibited
without prior written permission of the publishers.
Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

TCR-AP subscription rate is US$625 for 6 months delivered via e-
mail.  Additional e-mail subscriptions for members of the same
firm for the term of the initial subscription or balance
thereof are US$25 each.  For subscription information, contact
Christopher Beard at 240/629-3300.





                 *** End of Transmission ***