TCRAP_Public/110919.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

           Monday, September 19, 2011, Vol. 14, No. 185

                            Headlines



A U S T R A L I A

LOYVIC PTY: S&P Lowers Senior Secured Debt Rating to 'BB+'


C H I N A

MACAO DRAGON: In Provisional Liquidation; Faces Police Probe
SINO-FOREST CORP: OSC Allows Holders to Exercise Put Options


H O N G  K O N G

ALUMNI ASSOCIATION: Creditors' Proofs of Debt Due Oct. 17
ASIA TRADING: Commences Wind-Up Proceedings
CHUNG DAH: Placed Under Voluntary Wind-Up Proceedings
COMEMON INT'L: Members' and Creditors Meetings Set for Sept. 30
ELCOTEQ ASIA: Creditors' Meeting Set for Sept. 30

ELITE WIN: Members' Final Meeting Set for Oct. 17
POLONIUS COMPANY: Members' Final Meeting Set for Oct. 11
STD ELECTRIC: Members' Final Meeting Set for Oct. 10
SUCCESS WAY: Court Enters Wind-Up Order
SUNNY POWER: Court Enters Wind-Up Order

TEXHONG TEXTILE: Moody's Says Results Has No Effect on Ba2 Rating
UNIVERSITY OF HK: Members' Final Meeting Set for Oct. 10
VICTY LIMITED: Kong and Lo Appointed as Liquidators
WONG CHING: Members' Final Meeting Set for Oct. 10
YU KEE: Court Enters Wind-Up Order

ZTEE ELECTRONICS: Court to Hear Wind-Up Petition on Oct. 26


I N D I A

AAR AAR: CRISIL Assigns 'CRISIL BB' Rating to INR22.5MM Loan
AIR INDIA: Passenger Revenue Rises 12% in August
ARTECH REALTORS: CRISIL Puts 'CRISIL BB-' Rating to INR80MM Loan
DIVIJ INFRAPROJECTS: CRISIL Cuts INR180MM Loan Rating to CRISIL B+
D.S. ENTERPRISES: CRISIL Rates INR150MM Cash Credit at 'CRISIL B'

GOYAL ENGINEERING: CRISIL Rates INR350MM Loan at 'CRISIL BB-'
J.N. SONS: CRISIL Rates INR60 Million Cash Credit at 'CRISIL B+'
KUNDIL ROLLING: CRISIL Cuts INR105MM Cash Credit Rating to 'D'
M S SHIP: CRISIL Rates INR100MM Letter of Credit at' CRISIL B'
MSP PAPER: CRISIL Assigns 'CRISIL D' Rating to INR88.4MM LT Loan

NIRVANA FASHION: CRISIL Puts 'CRISIL B' Rating to INR15MM LT Loan
PRACHI INDIA: CRISIL Rates INR65 Mil. Cash Credit at 'CRISIL B'
PRECISION ENG'G: CRISIL Puts 'CRISIL BB-' Rating on INR3MM Loan
RADHIKA TRANSMISSION: CRISIL Rates INR40MM Loan at 'CRISIL BB-'
RANA OIL: CRISIL Cuts Rating on INR100MM Cash Credit to 'CRISIL D'

RELIANCE FABRICATIONS: CRISIL Rates INR18.8MM Loan at 'CRISIL B+'
S.K.T. TEXTILE: CRISIL Places 'CRISIL BB+' Rating on INR200MM Loan
VANDANA GLOBAL: CRISIL Ups Rating on INR565.8MM Loan to 'CRISIL B'
VANITHA TEXTILES: CRISIL Rates INR46.2MM LT Loan at 'CRISIL B'
VIGNESHKUMAR SPINNING: CRISIL Rates INR19.4MM Loan at 'CRISIL BB-'


J A P A N

CORSAIR (JERSEY): S&P Puts 'B' Rating on Series 45 CDS on Watch
GK MLOX3: Moody's Reviews 'B1' Rating of Class C Notes
JLOC XXXI: S&P Puts 'B+' Rating on Class C Certs. on Watch Neg
ORIX-NRL TRUST 15: Moody's Lowers Rating of Class C Notes to 'B1'
ORIX-NRL TRUST 16: Moody's Cuts Rating on Class G Notes to 'Caa2'

ORSO ABS: S&P Cuts Class C Beneficiary Interests Rating to 'CCC+'


N E W  Z E A L A N D

AORANGI SECURITIES: Court Rejects Bid to Claim Hubbard Fees
SOUTH CANTERBURY: SFO Probe Likely to Last More Than a Year




                            - - - - -


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A U S T R A L I A
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LOYVIC PTY: S&P Lowers Senior Secured Debt Rating to 'BB+'
----------------------------------------------------------
Standard & Poor's Ratings Services' senior secured debt rating on
LoyVic Pty Ltd. has been lowered by one notch to 'BB+' from
'BBB-'.  At the same time, the rating on IPM Australia Ltd. has
also been lowered to 'BB+. LoyVic and IPM are respectively the
financing and trading arms of the Loy Yang B joint venture (LYB)
that owns and operates the 1,000 megawatt brown coal fired power
plant in the Australian State of Victoria. The outlook is
negative. "The rating action does not specifically factor in the
government's proposed carbon scheme at this time, as we currently
consider that to be more of a credit-transition factor given that
it has not been implemented," S&P stated.

"The rating action reflects our view that the LYB joint venture's
overall financial profile will be weaker than we anticipated, due
to a combination of weaker wholesale pool prices and our
expectation of higher debt costs stemming from the re-financing of
A$1.1 billion of debt that matures in June 2012 under what we
believe are likely to be tighter terms and conditions," said
Standard & Poor's credit analyst Richard Creed. "Based on recent
refinancing trends of other brown coal-fired plants in this
market, we also believe the project may potentially face shorter
debt tenor, thereby increasing periodic refinancing risks at a
time when LYB will gradually transition to a merchant role beyond
October 2016 following expiry of the pricing agreement with the
State of Victoria, which hedges at least 50% of plant output until
that time," he added.

"Supporting the rating is our view that there is likely to be some
form of implicit support, such as voluntary equity lock-up in the
lead up to the re-financing of the project, from the ultimate
owners (Mitsui Corp., 30%; and International Power PLC, 70% [IPR;
BBB-/Stable; in turn 70% owned by GDF SUEZ; A/Stable/A-1]),
because of our view that the value that remains in LYB will act as
an inducement to the owners providing support to project. Our
opinion of likelihood of support is based on the relatively young
age of the plant, the plant's sound operating performance, and its
relatively favorable cost-competitive position in a national
electricity market that is dominated by coal-fired base-load
power. Consequently, at this stage the ratings on LoyVic's debt is
more aligned with the 'bb+' stand-alone credit profile of
IPR. In the absence of any support from IPR, the ratings on
LoyVic's debt and on IPM would be lower," S&P related.

The rating remains on negative outlook due to: a range of
uncertainties relating to the ultimate refinancing terms and debt
levels; the form and extent of owner support over the medium term;
and uncertainties as to how the federal government's proposed
carbon-abatement scheme would be implemented, including to what
extent any compensation would be used to support the project's
capital structure, such as debt reduction. The rating outlook
could return to stable if these uncertainties are addressed
satisfactorily and IPR were to clearly articulate its ongoing
support, commitment, and strategy in regard to the project.


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MACAO DRAGON: In Provisional Liquidation; Faces Police Probe
------------------------------------------------------------
Macau Daily Times reports that Macao Dragon Company Limited, a
budget ferry service between Macau and Hong Kong, ceased
operations on September 14 after a run of just 14 months and
called in liquidators, blaming the shutdown on licensing problems.

Macao Dragon said while the company applied for a license in 2006,
Macau didn't grant the permit until 2010, according to Macau
Daily.

"Despite receiving constant assurances from the Macau Government
that our application for a license was receiving favorable
consideration and would be issued shortly, no license was
forthcoming until January 2010, when, after substantial costs had
already been incurred [hiring staff and acquiring fast ferries],
we were finally granted a license to carry 1,152 passengers per
vessel between Hong Kong and Macau," the news agency cited Macao
Dragon in a statement.

Macau Daily relates that the company said when service commenced
in July 2010, the Macau Maritime Administration "imposed an
immediate cap on the number of passengers we could carry."

The local authority capped the maximum number of passengers Macao
Dragon could carry at 750 people from Hong Kong and 600 on the
return journey, the company added.

Macau hadn't yet fulfilled a promise to drop the caps, the ferry
operator said, adding that its business became economically
unfeasible.  "They have not yet done so and we are now unable to
run the business on a viable basis," the company said.  "The
circumstances have made it impossible for us to continue
operations."

The Macau Government has however rejected the operator's
accusations, the report says.

According to Macau Daily, the company's directors appointed Derek
Lai and Darach E Haughey of Deloitte Touche Tohmatsu as
provisional liquidators.

The report relates that the liquidator said the collapsed ferry
operator had around 150 employees, but the number of creditors is
hard to estimate.

"We are not sure at this stage as we are still collecting
information," a spokesperson told Macau Daily, admitting that
"over 100,000 tickets had been sold on-line".

"The provisional liquidators will hold office until a meeting of
the creditors of the company is summoned, which will be within 28
days. In the interim, the provisional liquidators will take
control of the property of the company."

                   HK Police Begins Fraud Probe

In a separate report, Macau Daily Times says the Hong Kong police
have begun a fraud investigation into the company's liquidation.

The report, citing RTHK, says the police have suspicions that
fraud was committed during the sale of thousands of cut-rate
tickets just before the company ceased operations.

Macao Dragon's provisional liquidators, Derek Lai Kar Yan and
Darach E. Haughey, of Deloitte Touche Tohmatsu, confirmed to Macau
Daily Times that the operator sold at least 150,000 tickets prior
to filing for liquidation.

Most tickets were sold through two group-buying websites, Groupon
and BeeCrazy, while only 3,000 were sold over the counter, the
report notes.

"We will fully cooperate with authorities if and when required to
do so," the report quotes the provisional liquidators as saying.
"If during our work we were to find any irregularities, we will
inform the authorities."

Macao Dragon had not cashed a cheque from BeeCrazy, the
provisional liquidators said, so voucher holders should seek a
refund from the site, Macau Daily reports.

According to the report, Beecrazy said that all 64,000 vouchers
booked through the group-buying site or the Yahoo! portal would be
refunded.  Groupon Hong Kong also promised to fully refund coupon
holders, the report adds.

                     Seafarers Left Unprotected

Meanwhile, China Daily reports that the closure of Macao Dragon
ferries has exposed a weak link in labor ordinances that leaves
seafarers unprotected if their employers become insolvent.

According to China Daily, the Small Craft Workers Union said the
66 seafarers suddenly thrown out of work by the abrupt shutdown of
the company may be ineligible for compensations.

China Daily relates that about 130 Macao Dragon employees went to
the Labour Department and the Marine Department on Friday seeking
government assistance.  Around 70 employees have already applied
for payment from the Protection of Wages on Insolvency Fund, the
report notes.

The government fund was established in 1985 to provide payment to
employees who are owed back pay, wages in lieu of notice and
severance payments by their insolvent employers, as set out under
the Employment Ordinance, China Daily discloses.

However, a spokesman for the union said, the 66 seamen were not
eligible.  Seafarers are unlike other staff working on land,
according to China Daily.

China Daily discloses that the land staff are protected by Hong
Kong's Employment Ordinance and the Fund.  But seafarers are
regulated by a different system, known as the Merchant Shipping
(Seafarers) Ordinance.

That ordinance, however, provides no guidance concerning the
compensation for employees of insolvent companies, the report
notes.

"We were not aware of it until this time," the spokesman told
China Daily.

The Labour Department said it cannot help, and the Marine
Department stated the matter was beyond its jurisdiction, the
spokesman added.

China Daily notes that the Small Craft Workers Union estimated
that the entire staff is owed HK$1.5 million in salaries for the
first half of September.  With compensations added, the sum may
well reach HK$5 million, the news agency relays.

The Labour Department said on Friday that it has agreed to make
"initial registration" for the 66 seamen, and, if necessary, will
help them to get payment from the fund, reports China Daily.

China Daily adds that a three-party meeting in early October has
already been arranged among the department, affected employees,
and the provisional liquidator, in order to find a solution to
this issue.

                       About Macao Dragon

Macao Dragon Company Limited is a ferry operator providing
services between Macau and Hong Kong.


SINO-FOREST CORP: OSC Allows Holders to Exercise Put Options
------------------------------------------------------------
Ben Dummett at Dow Jones Newswires reports that the Ontario
Securities Commission said Thursday it will allow holders of
Sino-Forest Corp. put options to exercise the contracts.

Put options allow holders to sell a specific number of underlying
shares by a certain date at a presubscribed price, Dow Jones
discloses.  They are typically purchased to bet the price of a
stock will fall.

According to the news agency, holders of the 8,993 outstanding
Sino-Forest put options, which represent about 899,300 shares,
have been prevented from exercising the contracts because of a
cease-trade order on the forest-products company's Toronto-listed
shares as a result of an investigation by the securities regulator
into Sino-Forest's business practises.  A large part of Sino-
Forest's timber operations are in China, Dow Jones notes.

The OSC had earlier extended the trading halt to Jan. 25 to give
it more time to carry out its probe.  The OSC initiated the
trading halt last month.

In response, the Canadian Derivatives Clearing Corp. requested the
OSC allow for exercise of the put contracts.

The OSC ruled the contracts could be exercised, saying the order
balances a number of competing interests and preserves the
integrity of the capital markets.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 31, 2011, Bloomberg News said Sino-Forest Corp.'s Chief
Executive Officer and Chairman Allen Chan resigned two days after
the Ontario Securities Commission said the company may have
exaggerated timber holdings, the same charge made by short seller
Carson Block in June.

According to Bloomberg, the OSC halted trading in Sino-Forest's
shares on Aug. 26 and said the company may have misrepresented
revenue.  Bloomberg noted that Sino-Forest has plunged 67% in
Toronto since Mr. Block's Muddy Waters LLC published a report
June 2 alleging that the company was a "fraud."

Reporters from The Globe and Mail newspaper also found evidence in
China that Sino-Forest had exaggerated the amount of timberland it
owned and overstated its revenues, The New York Times' DealBook
said. The securities regulator said Sino-Forest appeared to have
engaged in self-dealing as well, the DealBook added.

                         About Sino-Forest

Sino-Forest Corporation (TSE:TRE) -- http://www.sinoforest.com--
is a commercial forest plantation operator in the People Republic
of China (PRC).  As of Dec. 31, 2009, Sino-Forest had
approximately 512,700 hectares of forest plantations located
primarily in southern and eastern China.

                           *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
Sept. 1, 2011, Standard & Poor's Ratings Services lowered the
long-term corporate credit rating on China-based commercial forest
operator Sino-Forest Corp. to 'CCC-' from 'B'. The outlook is
negative. "At the same time, we lowered the issue rating on the
senior unsecured notes and convertible bonds to 'CCC-' from 'B'.
We also lowered the Greater China credit scale ratings on the
company and the notes to 'cnCCC-' from 'cnBB-'. We removed all the
ratings from CreditWatch, where they were originally placed with
negative implications on June 30, 2011. We then withdrew all the
ratings," S&P related.

"We lowered the rating on Sino-Forest partly because we believe
recent developments point towards a higher likelihood that
allegations of fraud at the company will be substantiated," said
Standard & Poor's credit analyst Frank Lu. "The downgrade also
reflects our opinion about the severity of the difficulties the
company now faces in operating its existing business and our
view that the pressure on liquidity has increased."

Moody's Investors Service also downgraded to Caa1 from B1 the
corporate family and senior unsecured debt ratings of Sino-Forest
Corporation.  At the same time, Moody's continues its review for
further downgrade.


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H O N G  K O N G
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ALUMNI ASSOCIATION: Creditors' Proofs of Debt Due Oct. 17
---------------------------------------------------------
Creditors of The Alumni Association (Hong Kong) of The Chinese
High School of Jakarta Indonesia Limited, which is in members'
voluntary liquidation, are required to file their proofs of debt
by Oct. 17, 2011, to be included in the company's dividend
distribution.

The company commenced wind-up proceedings on Sept. 6, 2011.

The company's liquidator is:

         Wong Kwan Man
         B4, 12th Floor
         Far View Mansion
         16 Yuet Wah Street
         Kwun Tong, Kowloon


ASIA TRADING: Commences Wind-Up Proceedings
-------------------------------------------
Members of Asia Trading Limited, on Sept. 9, 2011, passed a
resolution to voluntarily wind up the company's operations.

The company's liquidators are:

         Leung Hok Lim
         Leong Ting Kwok David
         26th Floor, Citicorp Centre
         18 Whitfield Road
         Causeway Bay, Hong Kong


CHUNG DAH: Placed Under Voluntary Wind-Up Proceedings
-----------------------------------------------------
At an extraordinary general meeting held on Sept. 9, 2011,
creditors of Chung Dah Ware House Co Limited resolved to
voluntarily wind up the company's operations.

The company's liquidator is:

         Heng Poi Cher
         4304, 43/F, China Resources Building
         26 Harbour Road
         Wanchai, Hong Kong


COMEMON INT'L: Members' and Creditors Meetings Set for Sept. 30
---------------------------------------------------------------
Members and creditors of Comemon International Corporation Limited
CYCO Limited will hold their annual meetings on Sept. 30, 2011, at
11:00 a.m., and 11:30 a.m., respectively at Suite 2302, 23/F
Seaview Commercial Building, at 21 Connaught Road West, Sheung
Wan, in Hong Kong.

At the meeting, Cheung Hok Hin Alan, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


ELCOTEQ ASIA: Creditors' Meeting Set for Sept. 30
-------------------------------------------------
Creditors of Elcoteq Asia Limited will hold their meeting on
Sept. 30, 2011, at 3:00 p.m., for the purposes provided for in
Sections 241, 242, 243, 244 and 255A of the Companies Ordinance.

The meeting will be held at 35th Floor, One Pacific Place, at 88
Queensway, in Hong Kong.


ELITE WIN: Members' Final Meeting Set for Oct. 17
-------------------------------------------------
Members of Elite Win Investments Limited will hold their final
general meeting on Oct. 17, 2011, at 10:00 a.m., at Level 28,
Three Pacific Place, at 1 Queen's Road East, in Hong Kong.

At the meeting, Ying Hing Chiu and Chan Mi Har, the company's
liquidators, will give a report on the company's wind-up
proceedings and property disposal.


POLONIUS COMPANY: Members' Final Meeting Set for Oct. 11
--------------------------------------------------------
Members of Polonius Company Limited will hold their final meeting
on Oct. 11, 2011, at 10:00 a.m., at 23/F., Exchange Tower, at
No. 33 Wang Chiu Road, Kowloon Bay, Kowloon, in Hong Kong.

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


STD ELECTRIC: Members' Final Meeting Set for Oct. 10
----------------------------------------------------
Members of STD Electric (H.K.) Company Limited will hold their
final meeting on Oct. 10, 2011, at 10:00 a.m., at Room 1203,
12/F., Capitol Centre, Tower II, at 28 Jardine's Crescent,
Causeway Bay, in Hong Kong.

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


SUCCESS WAY: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on Aug. 31, 2011, to
wind up the operations of Success Way Engineering Limited.

The official receiver is Teresa S W Wong.


SUNNY POWER: Court Enters Wind-Up Order
---------------------------------------
The High Court of Hong Kong entered an order on Aug. 31, 2011, to
wind up the operations of Sunny Power Trading Limited.

The official receiver is Teresa S W Wong.


TEXHONG TEXTILE: Moody's Says Results Has No Effect on Ba2 Rating
-----------------------------------------------------------------
Moody's Investors Service says that Texhong Textile Group Ltd.'s
financial results for Jan-June were generally in line with Moody's
expectations, and have no immediate impact on the company's Ba2
issuer and senior unsecured bond ratings.

The ratings outlook remains stable.

"Texhong's nearly 16% year-on-year (y-o-y) decline in net profit
in 1H 2011 was mainly due to decreased sales of low-count cotton
yarn and denim yarn, as well as a RMB79 million provision for
inventory devaluation, based on product sales prices at the end of
July 2011," says Jonathan Lee, a Moody's Vice President and Senior
Analyst.

"Moody's expects profitability in 2H 2011 will be weaker than 2H
2010 due to the delivery of high-priced cotton according to
contracts set in 2010 and lower average selling prices for its
main products when compared to 2010," says Lee, who is also a lead
analyst for Texhong. "But such high-priced cotton feedstock will
be fully consumed in the remaining months of 2011 and will
unlikely cause any permanent impairment to Texhong's financial
position, which is not forecast to be weaker than that in 2008-
2009."

Texhong's ratings have considered its exposure to the cyclical
nature of cotton prices. And the near-term sharp decline in prices
has been partly mitigated by the Chinese government's announcement
of minimum purchase prices to build its cotton reserve from
September 2011 to March 2012.

Moody's further notes that there have not been any material
adverse changes to Texhong's rating factors. A steady increase in
wages and income per capita in China offers a favorable
environment for domestic demand for textiles and apparel products.

Texhong has maintained a stable core customer list which is
domestic centric. Moreover, it possesses adequate liquidity and
financial flexibility. Cash on hand of RMB662 million at
end-June 2011 can cover maturing debt repayments and capital
expenditure in the next 12 months.

Texhong's Ba2 rating continues to reflect its ability to manage
through the industry cycles, its diversified customer base, and
its track record of prudent capacity expansion.

At the same time, the rating takes into account its small scale in
a highly fragmented market and its limited product
diversification.

The stable outlook reflects Moody's expectation that the company
will maintain a prudent cotton procurement and inventory
management strategy, and will not experience any substantial
deterioration in the quality of its trade receivables. It will
further have adequate liquidity and financial resources to fund
debt repayments and the next phases of capacity expansion in
Vietnam in the next 12-18 months.

Upward rating pressure will be limited in the near term. However,
an upgrade is possible in the medium term if the company maintains
its track record of growth, as well as its steady profitability
and financial profiles.

In terms of credit metrics, Moody's would consider adjusted
Debt/EBITDA consistently below 2.5x and EBITDA margin consistently
above 15% as indications for an upgrade.

The rating could be under pressure for downgrade if 1) the
company's liquidity profile deteriorates, 2) it adopts an
aggressive cotton procurement strategy, which exposes the company
to greater risk of cotton price fluctuations, 3) sizable bad debts
emerge in its receivables profile and materially hurt liquidity
and profitability, and 4) it engages in large scale debt-financed
expansion projects.

In terms of credit metrics, Moody's would consider a rating
downgrade if 1) EBITDA margin steadily falls below 10%, and 2)
adjusted debt/EBITDA exceeds 3.5-4x on a consistent basis.

The principal methodology used in rating Texhong Textile Group
Ltd. was the Global Manufacturing Industry Methodology published
in December 2010.

Established in 1997 and listed in the Hong Kong Stock Exchange
since 2004, Texhong Textile Group Ltd. specializes in producing
core-spun yarn and textile products. The company currently
operates 12 yarn production bases -- 11 in the Yangtze River Delta
region in China and one in Vietnam. Its Chairman, Mr. Tianzhu
Hong, holds a 52.2% stake and is the majority shareholder of the
company.


UNIVERSITY OF HK: Members' Final Meeting Set for Oct. 10
--------------------------------------------------------
Members of The University of Hong Kong School of Professional and
Continuing Education Alumni Education Fund Limited will hold their
final meeting on Oct. 10, 2011, at 10:00 a.m., at 21/F., Tai Yau
Building, at 181 Johnston Road, Wanchai, in Hong Kong.

At the meeting, Yu Kwong Man, the company's liquidator, will give
a report on the company's wind-up proceedings and property
disposal.


VICTY LIMITED: Kong and Lo Appointed as Liquidators
---------------------------------------------------
Kong Chi How Johnson and Lo Siu Ki on June 24, 2011, were
appointed as liquidators of Victy Limited.

The liquidators may be reached at:

          Kong Chi How Johnson
          Lo Siu Ki
          25/F Wing On Centre
          111 Connaught Road
          Central, Hong Kong


WONG CHING: Members' Final Meeting Set for Oct. 10
--------------------------------------------------
Members of Wong Ching Ho Seed Company Limited will hold their
final meeting on Oct. 10, 2011, at 2:30 p.m., at Rooms 2102-3
China Insurance Group Building, at 141 Des Voeux Road Central, in
Hong Kong.

At the meeting, Mak Kay Lung Dantes, the company's liquidator,
will give a report on the company's wind-up proceedings and
property disposal.


YU KEE: Court Enters Wind-Up Order
----------------------------------
The High Court of Hong Kong entered an order on Aug. 29, 2011, to
wind up the operations of Yu Kee Food Company Limited.

The official receiver is Teresa S W Wong.


ZTEE ELECTRONICS: Court to Hear Wind-Up Petition on Oct. 26
-----------------------------------------------------------
A petition to wind up the operations of Ztee Electronics
(International) Co., Limited will be heard before the High Court
of Hong Kong on Oct. 26, 2011, at 9:30 a.m.

ATM Electronic Corporation filed the petition against the company
on Aug. 24, 2011.

The Petitioner's solicitors are:

          K. M. Lai & Li
          23rd Floor, Regent Centre
          No. 88 Queen's Road
          Central, Hong Kong


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AAR AAR: CRISIL Assigns 'CRISIL BB' Rating to INR22.5MM Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB/Stable' rating to the bank
facilities of Aar Aar Technoplast Pvt Ltd.

   Facilities                    Ratings
   ----------                    -------
   INR22.5 Million Term Loan     CRISIL BB/Stable (Assigned)
   INR75 Million Cash Credit     CRISIL BB/Stable (Assigned)

The rating reflects the AATPL's moderate financial risk profile,
promoters' extensive industry experience with relationships with
key customers and strong revenue growth on back of strong demand
from the customers. These rating strengths are partially offset by
AATPL's working capital intensive operations and exposure to high
customer concentration.

Outlook: Stable

CRISIL believes that AATPL's business risk profile over the medium
term will continue to be supported by strong relationships with
key customers and promoters' extensive industry experience. The
outlook may be revised to 'Positive' in case of an improvement in
company's capital structure driven by higher than expected cash
accruals or improved working capital cycle. Conversely, the
outlook may be revised to 'Negative' in case of significant
pressure on profitability or working capital management due to
delays in receivables.

                     About Aar Aar Technoplast

In 1978, Mr. Ravi Ratra set up a proprietorship firm called Aar
Aar Plastics. It manufactured injection plastic moulding
components for home appliances. In 2001, the firm was
reconstituted as a private limited company called AATPL. AATPL
currently manufactures headlight and taillight housing (HTH) and
speedometer bodies for the automobile industry. AATPL is a tier II
supplier to Lumax Auto technologies Ltd (rated 'CRISIL A/ Stable/
CRISIL A1'), which accounts for 80% of its sales. AATPL is also a
tier II supplier to original equipment manufacturers such as
Maruti Suzuki India Ltd (rated 'CRISIL AAA/ Stable/CRISIL A1+'),
and Hero Honda Motors Ltd (rated 'CRISIL AAA/FAAA/Stable/CRISIL
A1+').  The company has two manufacturing units, in Faridabad
(Uttar Pradesh) and Gurgaon (Haryana).

AATPL is expected to report a profit after tax (PAT) of
INR20.7 million on net sales of INR674.2 million for 2010-11
(refers to financial year, April 1 to March 31), as against a PAT
of INR 7.0 million on net sales of INR350.9 million for 2009-10.


AIR INDIA: Passenger Revenue Rises 12% in August
------------------------------------------------
The Economic Times reports that Air India Ltd said on Thursday its
passenger revenue for August rose to INR9.98 billion from
INR8.89 billion a year ago, a growth of 12.3 percent, helped by an
increase in load factors.

Air India also said the airline has received INR12 billion by way
of equity infusion from the government in 2011/12.

The board of the loss-making airline has approved Rohit Nandan as
its new chairman, the report says.

The Economic Times says Air India is in talks with banks to
restructure $4 billion of working capital debt and is in the midst
of implementing a turnaround plan with a hub-and-spoke route model
focus, cut costs by redeploying staff and unload non-core real
estate.

The Comptroller and Auditor-General earlier this month criticized
Air India's decision to buy 111 Boeing and Airbus planes in
2005/06, saying it imposed an "undue long term financial burden on
the carrier," the report adds.

              To Go Ahead With Dreamliner Aircraft Purchase

In a separate report, The Economic Times says that Air India has
decided to go ahead and purchase the 27 Dreamliner aircraft from
Boeing despite poor financials and doubts about its ability to
repay the INR17,000-crore loans needed for the planes.

According to the news agency, the Air India board, which met in
New Delhi on Thursday, agreed that the 27 aircraft are essential
to expand operations and swing the airline back into
profitability.

The Economic Times relates that Rohit Nandan, the chairman and
managing director, said that the board has recommended purchase
but declined to elaborate.

The recommendation will now be discussed by the group of ministers
(GoM) who will take the final call when they meet some time next
month, the report notes.

The Economic Times notes that a number of people, including the
civil aviation minister, Vyalar Ravi, have raised doubts about the
airline's ability to pay for the purchase.

Mr. Ravi had said that Air India does not have the money. "Well,
everybody knows about the financial health of Air India. That is
precisely the reason I say AI simply does not have the funds to
pay for the Dreamliner Boeing 787 aircraft: that is the fact,"
Mr. Ravi told ET.

Though Boeing has offered help in the form of loans at low rates
from US Exim Bank, Air India's current financial predicament could
impair its ability to service the loan.  Its debt burden of
INR43,000 crore is likely to swell to an unmanageable
INR60,000 crore after the Dreamliner buy, according to the report.

Air India had ordered 27 Dreamliners in 2005 as part of its
aircraft acquisition programme of 68 aircraft worth 30,000 crore.
The aircraft was supposed to be delivered three years ago but
technical problems delayed production and Boeing is beginning
world-wide deliveries only later this year.

                          About Air India

Air India -- http://www.airindia.com/-- transports passengers
throughout India and to more than 40 destinations throughout the
world.  Affiliate Air India Express operates as a low-fare
carrier, mainly between India and destinations in the Middle
East, and Air India Cargo provides freight transportation.  The
government of India has merged Air India with another state-
controlled carrier, Indian Airlines, which has focused on
domestic routes.  The combined airline, part of a new holding
company called National Aviation Company of India, uses the Air
India brand.  The new Air India and its affiliates have a fleet
of more than 110 aircraft altogether.

                          *     *     *

The Troubled Company Reporter-Asia Pacific, citing the Hindustan
Times, reported on June 19, 2009, that Air India has been
bleeding cash due to excess capacity, lower yield, a drop in
passenger numbers, an increase in fuel prices and the effects of
the global slowdown.  The carrier incurred net losses of
INR2,226.16 crore in 2007-08 and INR5,548 crore in 2008-09.  Air
India is estimated to have lost INR54 billion in the fiscal year
ended March 31, 2010, according to The Wall Street Journal.

The TCR-AP, citing livemint.com, reported on July 27, 2010, that
Air India unveiled a turnaround plan that envisages the airline
reaching operational break-even and wiping out the INR14,000
crore of accumulated losses and INR18,000 crore of debt on its
balance sheet by 2014-15.  The plan includes raising the
company's fleet strength to as many as 275 planes from 148 in
five years.  Air India Chairman and Managing Director Arvind
Jadhav said the new 100-page turnaround plan for 2010-14, which
ruled out any job cuts or wage reductions, was approved by the
board and would be adopted after incorporating suggestions by
representatives of the airline's 33,500 employees.


ARTECH REALTORS: CRISIL Puts 'CRISIL BB-' Rating to INR80MM Loan
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable' rating to the long-
term bank facilities of Artech Realtors Private Limited.

   Facilities                       Ratings
   ----------                       -------
   INR80.0 Million Long Term Loan   CRISIL BB-/Stable (Assigned)
   INR97.0 Million Proposed Long    CRISIL BB-/Stable (Assigned)
         Term Bank Loan Facility

The rating reflects Artech's established presence in the
Thiruvananthapuram market supported by the long standing
experience of promoters in the real estate business and good
bookings received on the current projects. The above mentioned
strengths are partially offset by Artech's high dependence on
customer advances for timely completion of its future projects and
geographical concentration in its revenue profile.

Outlook: Stable

CRISIL believes that Artech's will continue to benefit over the
medium term by the good bookings received on the current projects
of the company. The outlook may be revised to 'Positive' if the
company generates larger-than-expected cash flows resulting from
timely receipt of customer advances and faster than expected
completion of its ongoing projects. Conversely, the outlook may be
revised to 'Negative' if there are any substantial delays in
receipt of advances thereby impacting its liquidity profile.

                       About Artech Realtors

Setup as a partnership firm in 1996, Artech was reconstituted as a
private limited company in 2005. The company is engaged in the
business of developing residential and commercial real estate
properties. Mr.T.S.Ashok is the company's managing director. The
company is currently undertaking around 12 projects primarily in
Thiruvananthapuram (Kerala); 11 are residential developments and 1
is commercial real estate development.

Artech reported, on provisional basis, a profit after tax (PAT) of
INR15.3 million on revenues of INR532.1 million for 2010-11
(refers to financial year, April 1 to March 31); it reported a PAT
of INR11.9 million on revenues of INR353.0 million for 2009-10.


DIVIJ INFRAPROJECTS: CRISIL Cuts INR180MM Loan Rating to CRISIL B+
------------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of Divij
Infraprojects Pvt Ltd to 'CRISIL B+/Stable/CRISIL A4' from 'CRISIL
BB-/Stable/CRISIL A4+'.

   Facilities                       Ratings
   ----------                       -------
   INR180.0 Million Cash Credit     CRISIL B+/Stable (Downgraded
                                       from 'CRISIL BB-/Stable')

   INR50.0 Million Bank Guarantee   CRISIL A4 (Downgraded from
                                              'CRISIL A4+')

The downgrade reflects deterioration in Divij's business risk
profile because of significant customer and project concentration
in its outstanding order book and pressure on its liquidity due to
delays in debtor realization. Divij's order book, as on July 31,
2011, comprised just three projects from two customers.
Furthermore, its working capital requirements are expected to
increase because of delays in debtor realization.  Therefore,
CRISIL believes that Divij's bank limits will remain fully
utilized over the medium term and that the company will need
funding support from promoters to sustain operations.

The ratings reflect Divij's customer-concentrated revenue profile,
low operational efficiency, and working-capital-intensive
operations. These rating weakness are partially offset by the
extensive experience of the company's promoters in the
infrastructure industry.

Outlook: Stable

CRISIL believes that Divij's liquidity will remain weak because of
high working capital intensity and pressure on debtor realization.
The outlook may be revised to 'Positive' if Divij increases
diversification of its order book and effectively manages its
working capital requirements, leading to improvement in its
liquidity. Conversely, the outlook may be revised to 'Negative' in
case of more-than-expected increase in working capital
requirements or if larger-than-expected debt-funded capital
expenditure, leading to deterioration in financial risk profile.

                    About Divij Infraprojects

Divij was incorporated in 2009, and promoted by Mr. Girish Chopra
and his wife, Mrs. Ashima Chopra. The company commenced operations
on July 14, 2009.  Divij was formerly a partnership firm, named
Global Creations, which was also managed by Mr. and Mrs. Chopra;
the firm operated in the civil construction segment. Divij is a
registered Class A contractor with the Central Public Works
Department, and the public works departments of Himachal Pradesh
and Haryana.

Divij reported, a profit after tax (PAT) of INR7.2 million on
revenues of INR1.3 billion for 2010-11 (refers to financial year,
April 1 to March 31), against a PAT of INR5.4 million on revenues
of INR825.9 million for 2009-10.


D.S. ENTERPRISES: CRISIL Rates INR150MM Cash Credit at 'CRISIL B'
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the Cash
Credit Facility of D.S. Enterprises.

   Facilities                       Ratings
   ----------                       -------
   INR150.0 Million Cash Credit     CRISIL B/Stable (Assigned)
                       Facility

The rating reflects DSE's small scale of operations in the highly
fragmented note-book manufacturing industry and its weak financial
risk profile marked by high gearing and weak debt protection
metrics. These rating weaknesses are partially offset by the
extensive experience of DSE's promoter-partners in the business of
publishing and printing textbooks and notebooks and the benefits
that it derives from the MBD group's established marketing
network.

Outlook: Stable

CRISIL believes that DSE will continue to benefit over the medium
term from healthy demand prospects for notebooks, supported by
increasing literacy rates, and from the established dealer network
of its group companies. The outlook may be revised to 'Positive'
if DSE reports more-than-expected improvement in its revenues and
profitability on a sustained basis and if its promoter-partners
infuse equity capital in the firm, leading to improvement in its
capital structure. Conversely, the outlook may be revised to
'Negative' if DSE contracts more-than-expected debt to fund its
working capital requirements or if its debt protection metrics
deteriorate.

                       About D.S. Enterprises

DSE is a partnership concern, set up in 2003 by the late Mr. Ashok
Kumar Malhotra and his daughters, Ms. Sonica Malhotra and Ms.
Monica Malhotra. The firm undertook some publishing work for its
group companies through its publishing unit in Karnal (Haryana).
However, the work was later discontinued and was transferred to
group companies engaged solely in publishing; this was done to
achieve synergies and economies of scale. With the demise of Mr.
Ashok Kumar Malhotra in December 2009, the partnership was
dissolved and a new partnership was established by Ms. Sonica
Malhotra, Ms. Monica Malhotra, and their mother, Mrs. Satish Bala.
DSE started manufacturing notebooks at its unit in Una (Himachal
Pradesh) in after the new partnership was formed. The operations
of this unit commenced in February 2010, and 2010-11 (refers to
financial year, April 1 to March 31) was the first full year of
its operations.


GOYAL ENGINEERING: CRISIL Rates INR350MM Loan at 'CRISIL BB-'
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the bank facilities of Goyal Engineering Polymers Pvt Ltd.

   Facilities                       Ratings
   ----------                       -------
   INR198.7 Million Cash Credit     CRISIL BB-/Stable (Assigned)
   INR350.0 Mil. Letter of Credit   CRISIL A4+ (Assigned)

The ratings reflect the extensive industry experience of the GEPL
group's promoters and its established customer and supplier
relations. These rating strengths are partially offset by the GEPL
group's weak financial risk profile, marked by small net worth,
high gearing, and average debt protection metrics, large working
capital requirements, modest scale of operations with customer and
supplier concentration, and susceptibility to volatility in
foreign exchange rates.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of GEPL and the proprietorship firm, Goyal
Polymers (GP), together referred to as the GEPL group. This is
because GEPL was set up to take over the operations of GP and the
takeover was completed on April 01, 2011.

Outlook: Stable

CRISIL believes that the GEPL group will continue to benefit from
the extensive industry experience of its promoters and from their
funding support, over the medium term. The outlook may be revised
to 'Positive' in case of an improvement in the group's liquidity
and gearing, most likely because of more-than-expected cash
accruals and efficient working capital management. Conversely, the
outlook may be revised to 'Negative' in case of increased pressure
on the group's liquidity, resulting from larger-than-expected
working capital requirements or larger-than-expected debt-funded
capital expenditure.

                         About the Group

GEPL imports engineering plastic raw materials, such as
polycarbonate, acrylonitrile butadiene styrene, polyacetal,
polyamide, and acrylic, and sells it to automotive component
players in India. GEPL was set up in 2010 to take over the
business of GP, a proprietorship firm. GP was in the trading
business since 2002. The GEPL group set up GEPL to expand its
scale of operations. GEPL completed the takeover of GP's business
with effect from April 01, 2011.

The GEPL group's Profit after Tax (PAT) and net sales for 2010-11
(refers to financial year, April 1 to March 31) are estimated at
INR 86.8 million and INR 2.5 billion respectively. The group
reported a PAT of INR79.4 million on net sales of INR1.6 billion
for 2009-10.


J.N. SONS: CRISIL Rates INR60 Million Cash Credit at 'CRISIL B+'
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the cash
credit facility of J.N. Sons.

   Facilities                     Ratings
   ----------                     -------
   INR60 Million Cash Credit      CRISIL B+/Stable (Assigned)

The rating reflects JNS's small scale of operations in a
fragmented steel trading industry, and a weak financial risk
profile, marked by a high total outside liabilities to tangible
ratio, weak debt protection metrics and a small net worth. These
rating weaknesses are partially offset by the extensive experience
of JNS's partners in trading steel products.

Outlook: Stable

CRISIL believes that JNS will benefit over the medium term from
its long-standing presence in steel trading industry. The outlook
may be revised to 'Positive' if the firm's scale of operations
increases significantly along with improvement in its financial
risk profile. Conversely, the outlook may be revised to 'Negative'
if JNS's financial risk profile deteriorates due to increase in
working capital or large debt-funded capital expenditure.

                          About J.N. Sons

Set up as a partnership firm by Mr. Rajesh Mittal and his family
members in 1991, JNS trades various steel products, such as Hot
Rolled (HR) plates, Mild steel (MS) plates, beams, channels, round
bars, and square bars. The firm's office is located in Ghaziabad
(Uttar Pradesh).

JNS reported book profit of INR1.8 million on net sales of
INR507.8 million for 2010-11 (refers to financial year, April 1 to
March 31), as against a book profit of INR1.0 million on net sales
of INR359.8 million for 2009-10.


KUNDIL ROLLING: CRISIL Cuts INR105MM Cash Credit Rating to 'D'
--------------------------------------------------------------
CRISIL has downgraded its rating on the bank facilities of Kundil
Rolling Mills Pvt Ltd, part of the Kundil group, to 'CRISIL
D/CRISIL D' from 'CRISIL B-/Negative/ CRISIL A4'.

   Facilities                        Ratings
   ----------                        -------
   INR105.0 Million Cash Credit      CRISIL D (Downgraded from
                                         'CRISIL B-/Negative')

   INR3.0 Million Letter of Credit   CRISIL D (Downgraded from
                                              'CRISIL A4')

   INR3.0 Million Bank Guarantee     CRISIL D (Downgraded from
                                              'CRISIL A4')

The rating downgrade reflects consistent overdrawals of its cash
credit account by Kundil Rolling Mills; the overdrawals have been
caused by the Kundil group's weak liquidity.

The Kundil group is also exposed to competition in the thermo-
mechanically treated (TMT) steel bar industry, and is susceptible
to downturns in the end-user industries and to volatility in steel
prices; moreover, the group has a weak financial risk profile
marked by high gearing. The Kundil group, however, benefits from
its moderate operating efficiency because of its semi-integrated
operations, and its promoters' industry experience.

For arriving at its ratings, CRISIL has combined the business and
financial risk profiles of Kundil Sponge Iron Ltd (manufactures
sponge iron), Kundil Alloys and Mandovi Metals Pvt Ltd (both
manufacture mild-steel [MS] ingots), Kundil Rolling Mills Pvt Ltd
and Kundil Ispat Ltd (both manufacture TMT bars), and Kundil
Infrastructure Co Ltd (setting up a railway siding). This is
because these entities, herein collectively referred to as the
Kundil group, have fungible cash flows, and common promoters and
management. Furthermore, all the group entities, except Kundil
Infrastructure Co Ltd, are engaged in the same line of business
and have strong operational linkages with each other.

                         About the Group

The Kundil group is a family-run business, set up by Mr. Surajit
Baruah. The group is currently managed by Mr. Surajit Baruah and
Mr. Vijay Kashyap (executive director). Kundil Rolling was set up
in 1998. It primarily manufactures TMT bars and rods for sale
under the Kamadhenu brand.


M S SHIP: CRISIL Rates INR100MM Letter of Credit at' CRISIL B'
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the Letter of
credit facility of M S Ship Breaking Pvt Ltd.

   Facilities                         Ratings
   ----------                         -------
   INR100 Million Letter of Credit    CRISIL B/Stable (Assigned)

The rating reflects MSSPL's exposure to risks related to the
cyclical and fragmented nature of the shipbreaking industry, high
vulnerability to government regulations and moderate financial
risk profile, marked by low net worth, high gearing and weak debt
protection metrics. These rating weaknesses are partially offset
by the extensive industry experience of MSSPL's promoters and
healthy growth prospects for the ship-breaking industry over the
medium term.

Outlook: Stable

CRISIL expects MSSPL to maintain its business & financial risk
profile on the back of extensive industry experience of promoters
& healthy growth prospects for the ship-breaking industry over the
medium term. The outlook could be revised to 'Positive' if there's
significant improvement in revenues while maintaining its
profitability, capital structure and debt protection metrics.
Conversely, the outlook may be revised to 'Negative' if there's a
slowdown in revenues or deterioration in profitability, capital
structure or debt protection metrics.

                     About M S Ship Breaking

MSSPL, incorporated in 1998, is engaged in ship breaking
activities and undertakes trading of the related materials. Until
2009-10 (refers to financial year, April 1 to March 31), the
company was trading into iron and steel products. However, from
2009-10 onwards, it started undertaking ship breaking activities.
Mr. Pankaj Agrawal, along with his son Mr. Punit Agrawal, manages
the company's day-to-day operations. The ship breaking process is
carried out at a ship breaking yard in Mumbai (Maharashtra) for
which, the company uses a plot in the Bombay Port Trust area on a
rental basis.

MSSPL posted a profit after tax (PAT) of INR 1 million on net
sales of INR73.9 million for 2010-11 (refers to financial year,
April 1 to March 31) on provisional basis. The company reported a
profit after tax (PAT) of INR0.4 million on net sales of
INR32.6 million for 2009-10 (refers to financial year, April 1 to
March 31), as against a PAT of INR0.3 million on net sales of
INR25.5 million for 2008-09.


MSP PAPER: CRISIL Assigns 'CRISIL D' Rating to INR88.4MM LT Loan
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL D' rating to the long-term bank
facilities of MSP Paper Mill Pvt Ltd.

   Facilities                       Ratings
   ----------                       -------
   INR88.4 Million Long-Term Loan   CRISIL D (Assigned)
   INR47.5 Million Cash Credit      CRISIL D (Assigned)

The rating reflects instances of delay by MSP in servicing its
debt; the delays have been caused by the company's weak liquidity.

MSP has a below-average financial risk profile, marked by a weak
capital structure, and its scale of operations, in the fragmented
industrial paper segment, is small. The company, however, benefits
from the extensive industry experience of its promoters and its
established customer relationships.

                          About MSP Paper

Incorporated in 2008, MSP was promoted by Mr. M S Palanivel to
manufacture kraft paper. Its facility in Tiruchengode (Tamil Nadu)
has an installed capacity of 18,000 tonnes per annum (tpa). MSP
commenced commercial production in February 2009; the company has
the ability to manufacture multi-layer kraft paper ranging from 16
to 32 burst factor and 140 to 180 grammage per square metre.

During April 2011, the company undertook a capital expenditure
(capex) programme of around INR140 million to set up a steam power
plant with a capacity of 150 tonnes per day and increase its paper
manufacturing capacity to 45,000 tpa. The capex was funded in a
debt-to-equity ratio of 2.2:1. Owing to the implementation of the
capex plan, production was stopped in April 2011; operations were
resumed in July 2011.

MSP, on provisional basis, reported a profit after tax (PAT) of
INR0.2 million on net sales of INR260 million for 2010-11 (refers
to financial year, April 1 to March 31), as against a PAT of
INR2 million on net sales of INR193 million for 2009-10.


NIRVANA FASHION: CRISIL Puts 'CRISIL B' Rating to INR15MM LT Loan
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the
bank facilities of Nirvana Fashion Clothing.

   Facilities                    Ratings
   ----------                    -------
   INR65 Million Cash Credit     CRISIL B/Stable (Assigned)
   INR15 Million Proposed LT     CRISIL B/Stable (Assigned)
          Bank Loan Facility
   INR10 Mil. Letter of Credit   CRISIL A4 (Assigned)

The rating reflects the firm's weak financial risk profile and
limited negotiating power with customers due to presence in highly
competitive readymade garments industry. These rating weaknesses
are partially offset by the promoter's extensive experience in the
industry.

Outlook: Stable

CRISIL believes that NFC will maintain a stable business risk
profile on the back of extensive experience of the promoters &
established customer relationships over the medium term. The
outlook may be revised to 'Positive' in case of scaling up of its
operations while maintaining its profitability, capital structure
& debt protection metrics. Conversely, the outlook may be revised
to 'Negative' in case of slowdown in the revenues or deterioration
in profitability, capital structure or debt protection metrics.

                       About Nirvana Fashion

Nirvana Fashion Clothing, a partnership firm was established in
1996. NFC gets readymade garments like shirts and trousers for
men, shirt, trousers, blouse, dresses and tops for women and kids
wear manufactured on contract basis and supplies to reputed retail
chains like Future group, Pantaloons, Arvind Retail, Lee Cooper
and Provogue etc. The firm also has its own brand named 'Going 3'
for menswear. Founder & key partner of the firm is Mr. Bajrang
Biyani. NFC's office is at Mumbai.

NFC reported profit after tax (PAT) of 3.1 million on net sales of
INR293.9 million for 2010-11(refers to financial year, April 1 to
March 31) on provisional basis. The company reported a profit
after tax (PAT) of INR0.8 million on net sales of INR249 million
for 2009-10 (refers to financial year, April 1 to March 31), as
against a net loss of INR0.7 million on net sales of INR135.7
million for 2008-09.


PRACHI INDIA: CRISIL Rates INR65 Mil. Cash Credit at 'CRISIL B'
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the cash
credit facility of Prachi India Pvt Ltd.

   Facilities                    Ratings
   ----------                    -------
   INR65 Million Cash Credit     CRISIL B/Stable (Assigned)

The rating reflects PIPL's weak financial risk profile, marked by
a high gearing, small net worth, and weak debt protection metrics,
small scale of operations, and large working capital requirements.
These rating weaknesses are partially offset by the extensive
experience of PIPL's promoters in printing and publishing
educational textbooks and the financial support they extend to the
company.

Outlook: Stable

CRISIL believes that over the medium term, PIPL's scale of
operations will remain small, and financial risk profile, weak,
because of its small net worth and high gearing. The outlook may
be revised to 'Positive' if PIPL scales up its operations and
improves its capital structure, most likely through fresh equity
infusion. Conversely, the outlook may be revised to 'Negative' if
PIPL's liquidity weakens significantly, most likely because of
less-than-expected cash accruals, or if the company undertakes a
larger-than-expected, debt-funded capex programme.

                         About Prachi India

PIPL was set up in 1997 by brothers, Mr. Mukesh Tyagi and
Mr. Rakesh Tyagi. The company prints and publishes education text
books for the CBSE (Central Board of Secondary Education), ICSE
(Indian Certificate of Secondary Education) and state boards.

PIPL reported a profit after tax (PAT) of INR3.4 million on net
sales of INR250 million for 2009-10 (refers to financial year,
April 1 to March 31), as against a PAT of INR3.2 million on net
sales of INR205 million for 2008-09.


PRECISION ENG'G: CRISIL Puts 'CRISIL BB-' Rating on INR3MM Loan
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the bank facilities of Precision Engineering Components.

   Facilities                      Ratings
   ----------                      -------
   INR3 Million Term Loan          CRISIL BB-/Stable (Assigned)
   INR2 Million Proposed Cash      CRISIL BB-/Stable (Assigned)
                 Credit Limit
   INR50 Million Cash Credit       CRISIL BB-/Stable (Assigned)
   INR5 Million Bill Discounting   CRISIL A4+ (Assigned)
   INR4 Million Letter of Credit   CRISIL A4+ (Assigned)
   INR6 Million Bank Guarantee     CRISIL A4+ (Assigned)

The ratings reflect PEC's comfortable debt protection metrics,
supported by healthy operating margin, established customer
relationships, and promoter-partners' extensive experience in the
fabrication and machined component industry. These rating
strengths are partially offset by PEC's weak capital structure
because of its working-capital-intensive and small-scale of
operations.

Outlook: Stable

CRISIL believes that PEC will continue to benefit from its
promoter-partners' extensive industry experience and established
relationships with its key customer, over the medium term. The
outlook may be revised to 'Positive' if PEC scales up its
operations, while prudently managing its working capital cycle.
Conversely, the outlook may be revised to 'Negative' if the firm's
liquidity weakens significantly because of stretch in working
capital cycle or pressure on revenues and profitability.

                    About Precision Engineering

PEC was set up in 1984 as a partnership firm by Mr. J H Bhojwani.
Later, his son, Mr. Ravi Bhojwani, joined the firm as a promoter-
partner. PEC manufactures machined components, including traction
systems, stator frames, plugs and sockets for oil rig controls,
contactors and relays for electric traction, and steam turbine
fasteners. Its primarily customer is Bharat Heavy Electricals Ltd.
PEC's manufacturing unit is in Bhopal (Madhya Pradesh).

PEC reported a profit after tax (PAT) of INR6.7 million on net
sales of INR106 million for 2009-10 (refers to financial year,
April 1 to March 31), as against a PAT of INR0.7 million on net
sales of INR57 million for 2008-09.


RADHIKA TRANSMISSION: CRISIL Rates INR40MM Loan at 'CRISIL BB-'
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the bank facilities of Radhika Transmission Pvt Ltd.

   Facilities                       Ratings
   ----------                       -------
   INR40 Million Cash Credit        CRISIL BB-/Stable (Assigned)
   INR19.9 Million Bill Discounting CRISIL A4+ (Assigned)
   INR20 Million Letter of Credit   CRISIL A4+ (Assigned)
   INR20 Million Bank Guarantee     CRISIL A4+ (Assigned)

The ratings reflect the extensive experience of Cabcon group's
promoters in the power cable segment and the healthy demand
prospects for the cable and conductors industry. These rating
strengths are partially offset by the Cabcon group's
susceptibility to risks related to low entry barriers in the cable
and conductors industry, large working capital requirements, and a
weak financial risk profile, marked by a high gearing, weak debt
protection metrics, and a moderate net worth.

For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of RTPL, Cabcon India Pvt Ltd and Shreyash
Aluminium and Alloys Pvt Ltd, together referred to as the Cabcon
group. The consolidated approach is because the three companies
are under a common management, engaged in similar operations, and
have significant operational linkages. However, CRISIL has
deconsolidated Kishore & Co with the Cabcon group because KC has
limited operational linkages with the group; also, a director
common in both SAAPL and KC has resigned from SAAPL's board.

Outlook: Stable

CRISIL believes that the Cabcon group will continue to benefit
over the medium term from its promoters' extensive industry
experience and its strong clientele. The outlook may be revised to
'Positive' in case the group generates higher-than-expected
operating income and profitability. Conversely, the outlook may be
revised to 'Negative' if the Cabcon group undertakes a large debt-
funded capital expenditure programme, leading to significant
decline in its operating income and profitability.

                         About the Group

The Cabcon group started manufacturing power cables in 1991 with
the establishment of CIPL (the group's flagship company) by Mr. S
B Fomra. CIPL manufactures aluminium conductor steel reinforced,
all aluminium alloy conductors, all aluminium conductors, and
aluminium wires, which are used in overhead transmission and
distribution of electricity. The company's manufacturing unit is
located near Kolkata (West Bengal) and has capacity to produce
15,000 tonnes per annum (tpa) of conductors.

RTPL is in a similar line of business as CIPL with capacities of
3600 tpa. SAAPL, which commenced operations in January 2009, is
engaged in the rolling of aluminium ingots into aluminium wires,
which is used as a raw material by CIPL and RTPL. SAAPL undertakes
the rolling process for both the companies on jobwork basis.

The Cabcon group reported a profit after tax (PAT) of INR18.89
million on net sales of INR2292 million for 2010-11 (refers to
financial year, April 1 to March 31), as against a PAT of INR11.11
million on net sales of INR1716 million for 2009-10.


RANA OIL: CRISIL Cuts Rating on INR100MM Cash Credit to 'CRISIL D'
------------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
Rana Oil Industries to 'CRISIL D' from 'CRISIL B'. CRISIL has also
removed the rating from 'Rating Watch with Developing
Implications'.

   Facilities                       Ratings
   ----------                       -------
   INR100 Million Cash Credit       CRISIL D (Downgraded from
                                    CRISIL B; Removed from
                                    'Rating Watch with Developing
                                    Implications')

The downgrade in rating reflects Rana Oil's weak liquidity, marked
by consistent overutilisation of bank lines over the past three
months ended August 31, 2011.

The rating has been removed from watch after the management of the
firm stated that its earlier intention to consolidate the
businesses of Rana Oil and other associate entities into a group
company Rana Denim Pvt Ltd was unlikely over the near term.

The ratings were placed on 'Rating Watch with Developing
Implications' on March 11, 2011, because the promoters had then
expressed their intention to consolidate the businesses of ROI and
other associate entities by the end of March 31, 2011. There was
no clarity on the terms of consolidation and subsequent impact on
RDPL and ROI's credit risk profiles. RDPL was not forthcoming on
the likely changes in shareholding pattern and capital withdrawal
and infusions by the promoters.

ROI also has a weak financial risk profile, marked by a high
gearing and weak debt protection metrics, and susceptibility to
changes in government policies and regulations. These rating
weaknesses are partially offset by the extensive experience of
ROI's partners in the cotton industry and its established
relations with its clientele.

                          About Rana Oil

A partnership firm set up in 1996 by Mr. Hasmali Karani and
Mr. Anwar Karani, ROI manufactures full-pressed cotton bales and
processes cottonseed oil. The firm purchases raw cotton from local
farmers in Maharashtra. It gets operational support from some of
its group entities on jobwork basis. ROI also supplies cotton to
group company, RDPL, which manufactures cotton yarn.

ROI reported an estimated profit after tax (PAT) of INR0.9 million
on net sales of INR788 million for 2010-11 (refers to financial
year, April 1 to March 31), as against a PAT of INR4.2 million on
net sales of INR426 million for 2009-10.


RELIANCE FABRICATIONS: CRISIL Rates INR18.8MM Loan at 'CRISIL B+'
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank loan facilities of Reliance Fabrications Pvt Ltd.

   Facilities                        Ratings
   ----------                        -------
   INR20.00 Million Cash Credit      CRISIL B+/Stable (Assigned)
   INR18.80 Million Term Loan        CRISIL B+/Stable (Assigned)
   INR10.00 Mil. Letter of Credit    CRISIL A4 (Assigned)
   INR10.00 Million Bank Guarantee   CRISIL A4 (Assigned)
   INR2.50 Million SME Credit        CRISIL B+/Stable (Assigned)

The ratings reflect the small scale, and working-capital-intensive
nature, of RFPL's operations in the process plant equipment
industry, and the company's small net worth.

These rating weaknesses are, however, partially offset by the
benefits that RFPL derives from its promoters' industry experience
and its strong customer base.

Outlook: Stable

CRISIL believes that RFPL will continue to benefit over the medium
term from its established relationship with its clients and its
promoters' industry experience. The outlook may be revised to
'Positive' in case the company reports better-than-expected
improvement in its revenues and profitability, while it maintains
its capital structure. Conversely, the outlook may be revised to
'Negative' if RFPL reports a significant decline in its margins or
if it undertakes a large, debt-funded capital expenditure
programme resulting in deterioration in its financial risk
profile.

                    About Reliance Fabrications

Set up as a closely-held company in 1966 and promoted by
Jamshedpur based Gutgutia family, RFPL manufactures process plant
equipment and maintenance spares for industries such as petroleum,
refining, chemical, fertilizer, steel, cement, and power. The
company's product range comprises pressure vessels, heat
exchangers, and cooling towers. About 50% of RFPL's turnover is
from Tata Steel Ltd (rated 'CRISIL AA/FAA+/Stable') and the rest
from other players by way of tender participation.

RFPL reported a profit after tax (PAT) of INR1.7 million on net
sales of INR64.4 million for 2010-11 (refers to financial year,
April 1 to March 31), against a PAT of INR2.4 million on net sales
of INR92.4 million for 2009-10.


S.K.T. TEXTILE: CRISIL Places 'CRISIL BB+' Rating on INR200MM Loan
------------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB+/Stable' rating to the long-
term bank facilities of S.K.T. Textile Mills.

   Facilities                      Ratings
   ----------                      -------
   INR80 Million Cash Credit       CRISIL BB+/Stable (Assigned)
   INR200 Million Long-Term Loan   CRISIL BB+/Stable (Assigned)
   INR80 Million Proposed Cash     CRISIL BB+/Stable (Assigned)
                  Credit Limit

The rating reflects the SKT group's above-average financial risk
profile, marked by a moderate gearing and healthy debt protection
metrics, promoters' extensive experience in the textile industry,
and established regional position in manufacturing cotton grey
fabric. These rating strengths are partially offset by the SKT
group's moderate scale of operations and susceptibility to intense
competition and volatility in raw material prices.

For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of Vanitha Textiles and SKTM, together
referred to as the SKT group. This is because both the companies
are in same line of business, share a common management, and have
financial and operational linkages.

Outlook: Stable

CRISIL believes that the SKT group will continue to benefit over
the medium term from its promoters' extensive experience in the
cotton grey fabric business. The outlook may be revised to
'Positive' if the group's scale of operations and capital
structure improve considerably from their current levels.
Conversely, the outlook may be revised to 'Negative' if the
group's financial risk profile deteriorates because of lower-than-
expected operating margin and revenues, or large debt-funded
capital expenditure.

                          About the Group

Based in Palladam (Tamil Nadu), the SKT group manufactures grey
fabric, processed fabric, and made-ups, such as bed sheets and
other home textiles. The group is an integrated player in the grey
fabric segment with facilities, such as spinning, weaving, sizing,
packing, and stitching. The group has a spindlage capacity of
24,000 spindles, three sizing units, two sulzer loom units
comprising 84 looms with a working width of 144 inches, and 12
jacquard looms with a working width of 122 inches, 7 looms with a
working width 122 inches, 35 looms of working width 136 inches.
The group also has ties-ups with 500 power looms for undertaking
works on jobwork basis. The SKT group's promoter-director, Mr. P M
Nachimuthoo, has around three decades of experience in the
textiles business. The other promoter-directors, Mr. M Krishnasamy
and Mr. N Sivakumar, have more than a decade of experience in
similar lines of business.

The SKT group reported a profit after tax (PAT) of INR46 million
on net sales of INR773 million for 2010-11 (refers to financial
year, April 1 to March 31), as against a PAT of INR22 million on
net sales of INR576 million for 2009-10.


VANDANA GLOBAL: CRISIL Ups Rating on INR565.8MM Loan to 'CRISIL B'
------------------------------------------------------------------
CRISIL has upgraded its ratings on the long-term bank loan
facilities of Vandana Global Ltd to 'CRISIL B/Stable' from
'CRISIL C'; the rating on the short-term facilities has been
reaffirmed at 'CRISIL A4'.

   Facilities                       Ratings
   ----------                       -------
   INR565.8 Mil. Rupee Term Loan    CRISIL B/Stable (Upgraded from
                                                      'CRISIL C')

   INR1110.0 Million Cash Credit    CRISIL B/Stable (Upgraded from
                                                     'CRISIL C')

   INR284.2 Million Proposed LT     CRISIL B/Stable (Assigned)
             Bank Loan Facility

   INR50 Million Bill Discounting   CRISIL A4 (Assigned)

   INR20 Million Cash Management    CRISIL A4 (Assigned)
                        Services

   INR500.0 Million Export Packing  CRISIL A4 (Reaffirmed)
                            Credit

   INR400.0 Mil. Letter of Credit   CRISIL A4 (Reaffirmed)

   INR100.0 Million Bank Guarantee  CRISIL A4 (Reaffirmed)

The upgrade reflects CRISIL's belief that Vandana will sustain
improvement in its liquidity, backed by enhanced bank lines,
deferment of capital expenditure (capex), and receipt of sticky
advances from suppliers. Vandana's lines have been enhanced by
INR225 million under consortium banking arrangement, which should
be sufficient to cover the company's incremental working capital
requirements amid increase in prices and volumes. Uncertainty in
coal linkages and lack of environmental clearance has lead to
deferment of establishment of the company's 65-megawatt (MW) power
plant, which has alleviated the earlier expected pressures on its
liquidity. In the mean time, the company has recovered about
INR150 million of advances, which were earlier stuck with its
suppliers. A combination of the aforesaid factors has enabled the
company to ensure timely servicing of its term loans over the past
four months through August 2011. CRISIL believes that Vandana will
maintain its financial discipline, while ensuring adequate
liquidity to continue servicing debt in a timely manner over the
medium term.

However, any delay in servicing debt and funding-mix of capex will
remain key rating sensitivity factors.

The ratings reflect Vandana's marginal market share,
susceptibility to downturns in the steel industry and to
volatility in commodity prices, and exposure to project-related
risks. These rating weaknesses are partially offset by the
company's diversified product portfolio and partially integrated
operations.

Outlook: Stable

CRISIL believes Vandana will maintain its business risk profile,
supported by its diversified revenue stream and established
relations with customers and suppliers, over the medium term. The
outlook may be revised to 'Positive' in case Vandana improves its
liquidity significantly, while maintaining its current
profitability, scale of operations, and capital structure.
Conversely, the outlook may be revised to 'Negative' in case the
company reprises its plans to build a power plant, or in case of
an unprecedented stretch in its working capital cycle, which would
weaken its liquidity.

                       About Vandana Global

Vandana, based in Raipur (Chhattisgarh), and promoted by Mr. G P
Agarwal, commenced operations in 1996 as a sponge-iron producer,
with an installed production capacity of 200 tonnes per day (tpd).
It began producing ingots in 2003-04 (refers to financial year,
April 1 to March 31), with an installed capacity of 44,000 tonnes
per annum. In 2006-07, it added a concast facility for
manufacturing billets. Since then, the company has also added
power and ferro-alloys (silicomanganese and ferro-manganese) to
its product portfolio, and increased its production capacities for
sponge iron and billets. Vandana's production units are at Siltara
in Raipur, and its two windmills, with capacity of 0.80 MW and
1.25 MW, are in Karnataka. Vandana's current production capacities
are: sponge iron - 700 tpd; billets - two furnaces of 6 tonnes
each, and two of 12 tonnes each; ferro alloys - two furnaces of 9
megavolt amperes each; and installed power capacity of 43.05 MW.
Vandana deferred its capex plan to set up a 65-MW thermal power
plant because of uncertainty in coal linkages. The proposed capex
was to be completed by 2012-13, entailing an outlay of INR3.2
billion, and was to be funded in a debt-to-equity ratio of 3:1.

For 2010-11, Vandana reported a net profit of INR313.5 million on
net revenues of INR4.3 billion, as against a net profit of
INR347.5 million on net sales of INR3.6 billion for the preceding
year.


VANITHA TEXTILES: CRISIL Rates INR46.2MM LT Loan at 'CRISIL B'
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB+/Stable' rating to the long-
term bank facilities of Vanitha Textiles.

   Facilities                       Ratings
   ----------                       -------
   INR35 Million Cash Credit        CRISIL BB+/Stable (Assigned)
   INR46.2 Million Long-Term Loan   CRISIL BB+/Stable (Assigned)
   INR4.7 Million Proposed Cash     CRISIL BB+/Stable (Assigned)
                   Credit Limit

The rating reflects the SKT group's above-average financial risk
profile, marked by a moderate gearing and healthy debt protection
metrics, promoters' extensive experience in the textile industry,
and established regional position in manufacturing cotton grey
fabric. These rating strengths are partially offset by the SKT
group's moderate scale of operations and susceptibility to intense
competition and volatility in raw material prices.

For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of VT and SKT Textile Mills, together
referred to as the SKT group. This is because both the companies
are in same line of business, share a common management, and have
financial and operational linkages.

Outlook: Stable

CRISIL believes that the SKT group will continue to benefit over
the medium term from its promoters' extensive experience in the
cotton grey fabric business. The outlook may be revised to
'Positive' if the group's scale of operations and capital
structure improve considerably from their current levels.
Conversely, the outlook may be revised to 'Negative' if the
group's financial risk profile deteriorates because of lower-than-
expected operating margin and revenues, or large debt-funded
capital expenditure.

                         About the Group

Based in Palladam (Tamil Nadu), the SKT group manufactures grey
fabric, processed fabric, and made-ups, such as bed sheets and
other home textiles. The group is an integrated player in the grey
fabric segment with facilities, such as spinning, weaving, sizing,
packing, and stitching. The group has a spindlage capacity of
24,000 spindles, three sizing units, two sulzer loom units
comprising 84 looms with a working width of 144 inches, and 12
jacquard looms with a working width of 122 inches, 7 looms with a
working width 122 inches, 35 looms of working width 136 inches.
The group also has ties-ups with 500 power looms for undertaking
works on jobwork basis. The SKT group's promoter-director, Mr. P M
Nachimuthoo, has around three decades of experience in the
textiles business. The other promoter-directors, Mr. M Krishnasamy
and Mr. N Sivakumar, have more than a decade of experience in
similar lines of business.

The SKT group reported a profit after tax (PAT) of INR46 million
on net sales of INR773 million for 2010-11 (refers to financial
year, April 1 to March 31), as against a PAT of INR22 million on
net sales of INR576 million for 2009-10.


VIGNESHKUMAR SPINNING: CRISIL Rates INR19.4MM Loan at 'CRISIL BB-'
------------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the bank facilities of Vigneshkumar Spinning Mills Pvt Ltd.

   Facilities                        Ratings
   ----------                        -------
   INR30 Million Cash Credit         CRISIL BB-/Stable (Assigned)
   INR19.4 Million Long- Term Loan   CRISIL BB-/Stable (Assigned)
   INR23.3 Million Proposed Long     CRISIL BB-/Stable (Assigned)
         Term Bank Loan Facility
   INR7.5 Million Letter of Credit   CRISIL A4+ (Assigned)
   INR5.6 Million Standby Letter     CRISIL A4+ (Assigned)
                       of Credit

The ratings reflect VSMPL's healthy financial risk profile, marked
by a low gearing and healthy debt protection metrics, promoters'
extensive experience in the textile industry, and established
regional position in the cotton yarn market. These rating
strengths are partially offset by VSMPL's small scale of
operations, limited revenue diversity, susceptibility to risks
related to its volatility in prices, and availability of, raw
materials

Outlook: Stable

CRISIL believes that VSMPL will continue to benefit from its
promoters' extensive industry experience in textile industry, over
the medium term. The outlook may be revised to 'Positive' in case
the company significantly improves its scale of operations and
capital structure, along with sustaining its profitability.
Conversely, the outlook may be revised to 'Negative' if VSMPL
undertakes any larger-than-expected debt-funded capital
expenditure programme, or its profitability declines
significantly, thereby weakening its financial risk profile.

                   About Vigneshkumar Spinning

Incorporated in 1991, VSMPL manufactures cotton yarn. The
company's promoter-directors, Mr. P M Nachimuthoo, Mr. M
Krishnaswamy, and Mr. P Balasubramaniyam, have been in a similar
line of business since the past three decades. VSMPL operates from
its single unit in Palladam (Tamil Nadu), which has an installed
capacity of 14,000 spindles.

VSMPL reported a profit after tax (PAT) of INR11 million on net
sales of INR166 million for 2010-11 (refers to financial year,
April 1 to March 31), as against a PAT of INR9 million on net
sales of INR135 million for 2009-10.


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


CORSAIR (JERSEY): S&P Puts 'B' Rating on Series 45 CDS on Watch
---------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'Bsrp (sf)' rating
on Corsair (Jersey) No. 2 Ltd. series 45 credit default swap on
CreditWatch with negative implications.

"We have placed the rating on CreditWatch negative following the
receipt of a credit event notice related to one of the referenced
entities in the portfolio from the arranger," S&P stated.

Rating Placed On CreditWatch Negative
Corsair (Jersey) No. 2 Ltd.
Series 45 credit default swap
To                        From        Amount
Bsrp (sf)/Watch Neg       Bsrp (sf)   JPY3 bil.


GK MLOX3: Moody's Reviews 'B1' Rating of Class C Notes
------------------------------------------------------
Moody's Japan K.K has placed under review for possible downgrade
the ratings for the Class A through D Notes issued by GK MLOX 3.

The final maturity of the notes will take place in June 2015.

Deal Name: GK MLOX 3

Class A, A3 (sf) Placed Under Review for Possible Downgrade;
previously on July 28, 2010 Downgraded to A3 (sf) from Aa1 (sf)

Class B, Baa3 (sf) Placed Under Review for Possible Downgrade;
previously on July 28, 2010 Downgraded to Baa3 (sf) from A1 (sf)

Class C, B1 (sf) Placed Under Review for Possible Downgrade;
previously on July 28, 2010 Downgraded to B1 (sf) from Baa1 (sf)

Class D, Caa3 (sf) Placed Under Review for Possible Downgrade;
previously on July 28, 2010 Downgraded to Caa3 (sf) from B3 (sf)

MLOX3, effected in September 2007, represents the securitization
of five non-recourse loans, one of which backed by an office
building in Tokyo was prepaid before maturity. The transaction is
currently backed by four loans and one of which has been under
special servicing.

The current review reflects these factors:

(1) Moody's need to confirm the performance of the underlying
properties for the remaining loans and will re-assess its recovery
assumptions for the properties.

(2) With the waterfall structure of the transaction, any note-
related expenses, including the special servicer's liquidation
fees, are deducted from the interest income instead of the
principal at the note level. Such expenses are prioritized before
note-interest payments, and note-interest payments may accrue and
may not be recovered. Therefore, Moody's needs to examine the
possibility of loss on the accrued interest, given the payment or
recovery scenarios for the remaining loans.

The principal methodology used in this rating was "Updated:
Moody's Approach to Rating CMBS Transactions in Japan (June 2010)"
published on Sept. 30, 2010.


JLOC XXXI: S&P Puts 'B+' Rating on Class C Certs. on Watch Neg
--------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on the class
A to C trust certificates, issued under the JLOC XXXI Trust
Certificates transaction on CreditWatch with negative
implications. "At the same time, we affirmed our ratings on
classes D and X issued under the same transaction," S&P related.

The trust certificates were initially secured by 22 nonrecourse
loans (effectively 19 loans), of which four loans (the four loans
originally represented about 13% of the total initial issuance
amount of the trust certificates) remain at this point.

"We placed classes A to C on CreditWatch negative because: the
cash flows from the underlying properties backing two of the
transaction's four remaining loans (the two loans originally
represented about 9% of the total initial issuance amount of the
trust certificates) are lower than the assumptions we made when we
reviewed our ratings in October 2010, and the recovery prospects
of the properties are under downward pressure accordingly," S&P
related.

"We intend to review our ratings on classes A to C after
reconsidering our assumption with respect to the likely recovery
amount from the properties with lower-than-expected cash flows
that back the aforementioned two loans. In reviewing the ratings,
we also intend to consider the performance of the properties
backing the transaction's two other remaining loans by gathering
additional information," S&P said.

JLOC XXXI is a multiborrower commercial mortgage-backed securities
(CMBS) transaction. The trust certificates were initially secured
by 22 nonrecourse loans, which were originally backed by 62 real
estate properties. The transaction was arranged by Morgan Stanley
Japan Securities Co. Ltd., and ORIX Asset Management & Loan
Services Corp. acts as the servicer for this transaction.

The ratings address the full and timely payment of interest and
ultimate repayment of principal by the transaction's legal final
maturity date in Feb. 2015 for the class A trust certificates, the
full payment of interest and ultimate repayment of principal by
the legal final maturity date for the class B to D certificates,
and the timely payment of available interest for the interest-only
class X certificates.

Ratings Placed on CreditWatch Negative
JLOC XXXI Trust Certificates
JPY24.3 billion trust certificates due February 2015
Class    To                   From          Initial Issue Amount
A        AA (sf)/Watch Neg    AA (sf)       JPY21.6 bil.
B        BBB- (sf)/Watch Neg  BBB- (sf)     JPY1.1 bil.
C        B+ (sf) /Watch Neg   B+ (sf)       JPY0.9 bil.

Ratings Affirmed
Class     Rating            Initial Issue Amount
D         CCC (sf)          JPY0.7 bil.
X         AAA (sf)          JPY24.3 bil. (initial notional
principal)


ORIX-NRL TRUST 15: Moody's Lowers Rating of Class C Notes to 'B1'
----------------------------------------------------------------
Moody's Japan K.K. has downgraded the ratings for the Class A
through E Trust Certificates issued by Orix-NRL Trust 15.

Class A, Downgraded to A2 (sf) from Aa2 (sf) ; previously on July
5, 2011 Aa2 (sf) Placed Under Review for Possible Downgrade

Class B, Downgraded to Baa3 (sf) from A3 (sf) ; previously on July
5, 2011 A3 (sf) Placed Under Review for Possible Downgrade

Class C, Downgraded to B1 (sf) from Ba1 (sf) ; previously on July
5, 2011 Ba1 (sf) Placed Under Review for Possible Downgrade

Class D, Downgraded to Caa3 (sf) from B2 (sf) ; previously on July
5, 2011 B2 (sf) Placed Under Review for Possible Downgrade

Class E, Downgraded to Caa3 (sf) from Caa1 (sf) ; previously on
July 5, 2011 Caa1 (sf) Placed Under Review for Possible Downgrade

Deal Name: Orix-NRL Trust 15

Class: Class A through E Trust Certificates

Issue Amount (initial): JPY36.6 billion

Dividend: Floating

Issue Date (initial): Sept. 4, 2007

Final Maturity Date: June, 2014

Underlying Asset (initial): Seven non-recourse loans and three
specified bonds and cash

Originator: ORIX Corporation

Arranger: ORIX Corporation

Certificate Sales Intermediary: ORIX Securities Corporation (as of
the issue date)

ORIX-NRL Trust 15, effected in September 2007, represents the
securitization of seven non-recourse loans and three specified
bonds.

The Originator entrusted the loans to the asset trustee and, in
return, received the Class A through I and X Trust Certificates,
which it then sold through the Arranger and the Certificate Sales
Intermediary to investors. The trust certificates are rated by
Moody's.

In this transaction, interest and principal payments will be made
on a sequential basis. The losses will be allocated in reverse
sequential order, starting with the most subordinate class of the
trust certificates.

Three non-recourse loans and one specified bond have either been
paid down or recovered.

The transaction is currently secured by four non-recourse loans
and two specified bonds. Of the loans, two are under special
servicing.

Rating Rationale

The current rating action reflects these factors:

1) With two specially serviced loans, given the results of
special-servicing so far and the property types involved, Moody's
has lowered its recovery assumptions. Moody's has lowered its
assumptions for the other four loans after reviewing property
performance. Overall, Moody's has lowered its assumptions by 46%
for all remaining six loans from its initial assumptions.

2) As a result of the special servicing activities mentioned,
losses from the remaining loans are highly likely and would
negatively affect the Class D and E Trust Certificates.

The principal methodology used in this rating was "Updated:
Moody's Approach to Rating CMBS Transactions in Japan (June 2010)"
published on September 30, 2010.

Moody's did not receive or take into account third party due
diligence report on the underlying assets or financial instruments
relating to the monitoring of this transaction in the past six
months.


ORIX-NRL TRUST 16: Moody's Cuts Rating on Class G Notes to 'Caa2'
-----------------------------------------------------------------
Moody's Japan K.K. has downgraded the ratings for the Class D
through G Trust Certificates issued by Orix-NRL Trust 16.

Class D, Downgraded to Baa3 (sf) from Baa1 (sf) ; previously on
August 11, 2011 Baa1 (sf) Placed Under Review for Possible
Downgrade

Class E, Downgraded to B2 (sf) from Ba2 (sf) ; previously on
August 11, 2011 Ba2 (sf) Placed Under Review for Possible
Downgrade

Class F, Downgraded to Caa2 (sf) from B2 (sf); previously on
August 11, 2011 B2 (sf) Placed Under Review for Possible Downgrade

Class G, Downgraded to Caa3 (sf) from Caa1 (sf); previously on
August 11, 2011 Caa1 (sf) Placed Under Review for Possible
Downgrade

Deal Name: Orix-NRL Trust 16

Class: Class D through G Trust Certificates

Issue Amount (initial): JPY3.2 billion

Dividend: Floating

Issue Date (initial): Dec. 26, 2007

Final Maturity Date: September, 2013

Underlying Asset (initial): Two non-recourse loans and one
specified bond and cash

Originator: ORIX Corporation

Arranger: ORIX Corporation

Certificate Sales Intermediary: ORIX Securities Corporation (as of
the issue date)

ORIX-NRL Trust 16, effected in December 2007, represents the
securitization of two non-recourse loans and one specified bond.

The Originator entrusted the loans to the Asset Trustee and, in
return, received the Class A through G and X Trust Certificates,
which it then sold through the Arranger and the Certificate Sales
Intermediary to investors. The Trust Certificates are rated by
Moody's.

In this transaction, interest and principal payments will be made
on a sequential basis. The losses will be allocated in reverse
sequential order, starting with the most subordinate class of the
Trust Certificates.

One non-recourse loan and one specified bond have either been paid
down or recovered.

The transaction is currently secured by one non-recourse loan
which has been under special servicing. It is backed by 4 office
buildings in Tokyo.

Rating Rationale

The current rating action reflects these factors:

1) With one specially serviced non-recourse loan, it is highly
likely that the recovery from the property sale may fall below
Moody's recovery assumption in the previous rating action, given
the results from the special servicing activities thus far.
Therefore, Moody's has lowered its recovery assumptions by about
42% from the initial value.

2) As a result of the special servicing activities mentioned
above, losses from the remaining loan are highly likely and could
negatively affect the Class F and G Trust Certificates.

The principal methodology used in this rating was "Updated:
Moody's Approach to Rating CMBS Transactions in Japan (June 2010)"
published on September 30, 2010.

Moody's did not receive or take into account third party due
diligence report on the underlying assets or financial instruments
relating to the monitoring of this transaction in the past six
months.


ORSO ABS: S&P Cuts Class C Beneficiary Interests Rating to 'CCC+'
-----------------------------------------------------------------
Standard & Poor's Ratings Services lowered to 'CCC+ (sf)' from 'B-
(sf)' its rating on the class C beneficiary interests issued under
the ORSO ABS Funding Trust1-SFFC transaction, and affirmed its
'CCC- (sf)' rating on the class D and E-Deferral beneficiary
interests. Classes A and B have already been redeemed.

The backup servicer is proceeding with the liquidation of the
collateral properties and collection operations in accordance with
its business plan, which was initially drawn up in May 2009, then
revised in June 2010, and finally approved in June 2011.

"The downgrade is based on these factors: (1) the liquidation of
the collateral properties has progressed. Since the number of
unsold properties has decreased, we expect any future increase in
the total amount collected through property sales to be limited;
and (2) recovery by means other than property liquidation is
highly unlikely. As such, even if the amount recovered through the
liquidation of the properties is in line with the amount stated
under the revised business plan, it is our view that the principal
on the beneficiary interests is now less likely to be redeemed by
the transaction's legal final maturity date," S&P related.

The class C to E-Deferral beneficiary interests are ultimately
backed by: 1) residential mortgage loan receivables originated by
Real Estate Credit Co. Ltd. (the former SF Real Estate Credit Co.
Ltd.), a newly established company that took over the real estate-
backed loan business of SFCG Co. Ltd. through a company spin-off;
and 2) real estate-backed loan receivables originated by SFCG
prior to the company spin-off.

Rating Lowered
ORSO ABS Funding Trust1-SFFC
JPY30 billion beneficiary interests due September 2012
Class  To         From     Initial Issue Amount  Coupon Type
C      CCC+ (sf)  B- (sf)  JPY3.1 bil.             Floating

Ratings Affirmed
Class         Rating     Initial Issue Amount  Coupon Type
D             CCC- (sf)  JPY2.8 bil.             Floating
E-Deferral*   CCC- (sf)  JPY3.6 bil.             Floating
* Conditional deferred dividends

Issue date Sept. 21, 2007.


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


AORANGI SECURITIES: Court Rejects Bid to Claim Hubbard Fees
-----------------------------------------------------------
The Timaru Herald reports that statutory managers have been denied
NZ$891,000 in fees from Allan Hubbard's personal funds by the
Timaru High Court.

Judge Lester Chisholm declined the statutory managers' application
to claim fees in relation to managing the late Mr. Hubbard and his
wife Jean's personal affairs in his decision released on
August 31, the report discloses.

The couple, along with investment companies Aorangi Securities and
Hubbard Management Funds and several charitable trusts, were put
into statutory management on June 20 last year.

The bill so far for statutory management by firm Grant Thornton is
said to be about NZ$5 million, The Timaru Herald notes.

In March, the report recalls, the Hubbards made an application to
have the statutory managers pay their legal fees, which the judge
allowed.

The statutory managers then also sought to "take fees for the
management of Mr. and Mrs. Hubbard's personal assets from these
assets," The Timaru Herald says.

According to the report, Statutory manager Richard Simpson said
Mr. Hubbard's paperwork was "confused and very complicated". Their
investigations had been prolonged "in part due to the manner on
which Mr. Hubbard operated his entities," he added.

"As at Jan. 28, 2011, the statutory managers' costs relating to
the management of Mr. and Mrs. Hubbard's assets amounted to
$891,127.07," Judge Chisholm said.

"Mr. Hubbard believes that it would be unfair for his wife and
himself to be personally required to meet the statutory managers'
fees."

                     About Aorangi Securities

Aorangi Securities Ltd was incorporated in 1974 and is solely
controlled by the Hubbards.

On June 20, 2010, Aorangi Securities and seven charitable trusts
were placed into statutory management, and Allan and Jean Hubbard
were also placed into statutory management as "associated
persons" of those entities.  The seven charitable trusts included
in the statutory management are Te Tua, Otipua, Oxford, Regent,
Morgan, Benmore and Wai-iti.  Trevor Thornton and Richard Simpson
of Grant Thornton were appointed as statutory managers.

The Temple Bar Family Trust and Barns Charitable Trust were also
put into statutory management in September 2010 on recommendation
from the Securities Commission.  Hubbard Churcher Trust
Management and Forresters Nominees Company were also added to the
list of businesses under management by Trevor Thorton, Richard
Simpson and Graeme McGlinn on September 20, 2010.

The Troubled Company Reporter-Asia Pacific reported on May 12,
2011, that the Hubbards filed judicial review proceedings at the
Timaru High Court challenging the decision to place them into
statutory management and seeking orders that they be removed from
statutory management.

On June 20, 2011, the Serious Fraud Office laid 50 charges under
Crimes Act against Allan Hubbard in relation to its investigation
into the affairs of Aorangi Securities Ltd; Hubbard Management
Funds; and ASL directors Allan and Margaret (Jean) Hubbard.

The SFO has dropped the fraud charges against Allan Hubbard
following Mr. Hubbard's death on September 2.


SOUTH CANTERBURY: SFO Probe Likely to Last More Than a Year
-----------------------------------------------------------
BusinessDay.co.nz reports that the Serious Fraud Office
investigation into South Canterbury Finance, one of the biggest it
has carried out, looks likely to last longer than a year.

BusinessDay.co.nz says the investigation began last October when
the SFO began looking into several related party transactions
involving SCF that it suspected had not been disclosed to
investors, and later the Government.

The investigation followed SCF's collapse into receivership on
August 31 last year, which triggered a payout of NZ$1.6 billion to
investors under the Government's deposit guarantee scheme,
according to BusinessDay.co.nz.

BusinessDay.co.nz notes that SFO investigations are traditionally
completed within the 12-month time frame as part of the
organization's key performance indicators.  However, the report
relates, chief executive Adam Feeley said it was likely to go
beyond next month.

"We are well advanced with it; an enormous amount of work has been
done," the report quotes Mr. Feeley as saying.  "SCF and Hanover
are two of the biggest cases in the history of the SFO. It is not
a case that we look at with a standard expectation of completion
within our usual year."

"We will do it as quickly as possible but it is unlikely it will
be concluded in the year, but it won't take two or three years
either.  We do understand the case very well and have analysed all
the documents and conducted interviews and know what the key areas
are."

                      About South Canterbury

Based in New Zealand, South Canterbury Finance Limited
(NZE:SCFHA) -- http://www.scf.co.nz/-- is engaged in the
provision of financial services.  The Company's principal
activities are borrowing funds from public and institutional
investors and on lending those funds to the business, plant and
equipment, property, rural and consumer sectors.  It typically
advances funds by means of hire purchase, floor plans, leasing of
plant, vehicles and equipment, personal loans, business term
loans and revolving credit facilities, mortgages against
property, and other financial instruments, including consumer
loan insurance.

On Aug. 31, 2010, Trustees Executors Limited, as trustee for
South Canterbury Finance charging group, appointed Kerryn Downey
and William Black of McGrathNicol as receivers of the charging
group's secured assets.

"As Trustee, we have had South Canterbury Finance under
heightened surveillance since 2008.  As part of that, SCF was
granted a Trustee waiver in February 2010 to allow it time to
recapitalize.  Unfortunately, the Company's Directors have
advised us that they have not been successful with respect to a
recapitalization and requested us to appoint a receiver.  At this
point we, as Trustee, agree that it is the best interests of
debenture, deposit and bond holders to do that," said Yogesh
Mody, Southern Regional Manager for Trustees Executors Limited.

The New Zealand government said it would repay South Canterbury's
35,000 depositors and stockholders NZ$1.6 billion under the crown
retail deposit guarantee scheme.


                             *********

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 U. Pascual, Marites O. Claro, Joy A. Agravante,
Rousel Elaine T. Fernandez, Psyche A. Castillon, Ivy B. Magdadaro,
Frauline S. Abangan, and Peter A. Chapman, Editors.

Copyright 2011.  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.





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