TCRAP_Public/120206.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, February 6, 2012, Vol. 15, No. 26

                            Headlines


A U S T R A L I A

GOLDEN SPARROW: Supreme Court Enters Wind Up Order for Firm
RAPTIS GROUP: Says ATO Only Stumbling Block on Comeback Plan
ROCKY POINT: Receiver Puts Electricity Plant Up For Sale


H O N G  K O N G

BIG DRAGON: Creditors Get HK$10,060 Recovery on Claims
CHESCON LIMITED: Court Enters Wind-Up Order
DAILY RACK: Court Enters Wind-Up Order
GOOD SUCCESS: Briscoe and Hill Step Down as Liquidators
GRAND CHINA: Court to Hear Wind-Up Petition on Feb. 22

GRANDBLE LIMITED: Court to Hear Wind-Up Petition on Feb. 22
HELIIX LIMITED: Court Enters Wind-Up Order
HELTECH INTERNATIONAL: Court Enters Wind-Up Order
POLYSOURCES WORLDWIDE: Court Enters Wind-Up Order
MAN PO: Court to Hear Wind-Up Petition on March 21

POWER OF PRODUCTION: Court to Hear Wind-Up Petition on March 28
RECYCLE DEVELOPMENT: Haughey and Lai Appointed as Liquidators
UNION BRIDGE: Court Enters Wind-Up Order
WAH YICK: Creditors Get 100% Recovery on Claims
YICK SUN: Court to Hear Wind-Up Petition on Feb. 15


I N D I A

NATIONAL WOOD: CRISIL Assigns 'CRISIL B' Rating to INR30MM Loan
NIRMAL INTL': CRISIL Assigns 'CRISIL B' Rating to INR5.5MM Loan
PIONEER MOTORS: CRISIL Rates INR4.5 Million Loan at 'CRISIL BB+'
RAJ INTERNATIONAL: CRISIL Rates INR180MM Loan at 'CRISIL B+'
RAJLAXMI CONSTRUCTIONS: CRISIL Cuts Cash Credit Rating to 'D'

RASHI GRANITE: CRISIL Assigns 'CRISIL BB-' Rating to INR40MM Loan
SATPAL STRIPS: CRISIL Assigns 'CRISIL B+' Rating to INR40MM Loan
SALASAR TECHNO: CRISIL Cuts Rating on INR300MM Loan to 'BB+'
SHREE KRISHNA: Delays in Loan Payment Cues CRISIL Junk Rating
SKYWORLD EXIM: CRISIL Puts 'CRISIL B+' Rating on INR150MM Loan

S. V. ENTERPRISE: CRISIL Assigns 'B+' Rating to INR32.5MM Loan
VEER TRADING: CRISIL Rates INR100 Million Loan at 'CRISIL B'
VITECH EQUIPMENTS: CRISIL Puts 'BB' Rating on INR6.3MM Loan


J A P A N

OLYMPUS CORP: May Snub Fujifilm Proposed Tie Up


N E W  Z E A L A N D

CRITERION GROUP: In Receivership; No Redundancy for 180 Workers
LOMBARD FINANCE: Judge Reserves Decision in Directors' Case
SOUTH CANTERBURY: Sells 33.6% Stake in Dairy Holdings for NZ56-MM


                            - - - - -


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


GOLDEN SPARROW: Supreme Court Enters Wind Up Order for Firm
-----------------------------------------------------------
The Australian Securities & Investment Commission said an
unlicensed financial planning business based on the Gold Coast
has been wound up following an application by ASIC to the Supreme
Court of Queensland.

ASIC alleged Golden Sparrow Pty Ltd, GS Contracting Pty Ltd, and
Michelle Margaret Bruhn operated an unlicensed and fraudulent
financial services business, defrauding 36 investors in excess of
AUD350,000.

The court made declarations on Jan. 30, 2012, that Golden
Sparrow, GS Contracting, and Ms. Bruhn carried on a financial
services business without holding an Australian financial
services (AFS) licence, as required under the Corporations Act
2001.  The court also ordered that:

   * Golden Sparrow and GS Contracting be wound up;

   * William Fletcher -- bfletcher@bris.bentleys.com.au --
     and Katherine Barnet -- kbarnet@bcr.bentleys.com.au --
     of Bentleys Corporate Recovery Pty Ltd be appointed as
     the liquidators of the companies; and

   * Ms. Bruhn, Golden Sparrow and GS Contracting be
     restrained from carrying on a financial services
     business without holding an AFS licence.

ASIC alleged that Golden Sparrow used cold calling and a Web site
to induce investors to deposit funds into a number of bank
accounts held in the names of Golden Sparrow and GS Contracting
with the promise that the funds would used to buy shares on
behalf of the investors and generate returns of between 1% and 3%
per week.

ASIC further alleged that Ms. Bruhn was the sole director of
these two companies and withdrew the money from company bank
accounts. ASIC's investigation found that, between mid-August and
November 2011, approximately AUD350,000 was deposited by
investors into these accounts. During the same period of time,
approximately AUD300,000 was withdrawn in cash.

"ASIC's investigation into this matter continues. This action
follows interim orders obtained by ASIC in November 2011 to
prevent the business from continuing to operate.

"ASIC continues to work with the Queensland Police Service and
the Australian Crime Commission on this and similar cases of
investment fraud," the regulator said.


RAPTIS GROUP: Says ATO Only Stumbling Block on Comeback Plan
------------------------------------------------------------
Lucy Ardern at Gold Coast Bulletin reports that the Australian
Tax Office appears to be the only real stumbling block to the
Raptis Group beginning to develop on the Gold Coast again.

The Bulletin relates that the company issued a statement last
week which highlighted how the ATO had failed to approve the
distribution of money and shares -- despite the fact the request
had been made by the Raptis Group back in June.

The ATO asked for further information from the company in
October, but the Raptis Group supplied the details within a few
days and has been waiting for a result since then, according to
the report.

The company has also been frustrated by delays in a decision from
the Federal Court on its appeal to eliminate a proof of debt
amount claimed by the ATO, which was heard on March 1, the
Bulletin relates.

According to the report, the determination of Raptis Group
chairman and CEO Jim Raptis to "bring the group back under the
control of shareholders" was made clear in the statement.

"He is focused on delivering the best possible outcome for the
shareholders and creditors.  These creditors are to be our future
shareholders under the deed of arrangement," the Bulletin cited
Raptis' statement.

The company revealed it was exploring potential development
opportunities and was keen to start work on projects.

"In anticipation of the Group's reinstatement, funds will be made
available to identify and commence new development
opportunities."

                        About Raptis Group

Based in Sydney, Australia, Raptis Group Limited (ASX:RPG) --
http://www.raptis.com/-- engaged in property development,
property investment, residential property management and resort
hotel operations.  Its projects include Platinum on the river
Brisbane, Southport Central Tower 1 Southport Gold Coast and
Southport Central Tower 2 Southport Gold Coast.

                          *     *     *

The Troubled Company Reporter-Asia Pacific reported on Feb. 5,
2009, that Raptis Group appointed Brian Silvia and Andrew Cummins
of BRI Ferrier (NSW) Pty Ltd as administrators to the company.

Raptis Group has more than 90 subsidiary entities, with all
assets having been mortgaged to 27 banks and financiers owed in
excess of AUD940 million, Mr. Silvia said.  Raptis Group,
according to The Australian, has more than AUD1 billion in total
liabilities.

The TCR-AP, citing The Australian, reported on April 2, 2009,
that Raptis Group's creditors approved a restructure plan.  The
proposed deed of company arrangement (DOCA) was approved on
March 31, 2009, by two meetings of creditors on the Gold Coast.

The DOCA involves a debt-for-equity swap that will result in
creditors owning 40 million shares in the publicly listed group.
It also paves the way for the group's relisting on the Australian
Stock Exchange, after being suspended since Sept. 12, 2008.


ROCKY POINT: Receiver Puts Electricity Plant Up For Sale
--------------------------------------------------------
Lucy Ardern at Gold Coast Bulletin reports that Rocky Point Green
Power will be offered for sale this month and the receiver is
hoping a buyer will kick-start operations and ensure the future
of the nearby mill and sugar industry on the northern Gold Coast.

Receiver Jason Preston -- jpreston@mcgrathnicol -- of
McGrathNicol, is moving quickly after being appointed last week
and plans to launch a marketing campaign soon for the co-
generation plant, which supplies power to Rocky Point Sugar Mill,
the Bulletin says.

According to the report, Mr. Preston said he was hopeful of
finding a buyer to repair the co-generation plant and make it
operational again.

The Bulletin recalls that there were two major breakdowns at the
plant last year and it has not operated since late December.  The
plant employs about 35 people but Rocky Point Green Power's
financial troubles could impact on up to 200 jobs because of its
connection with the Rocky Point Sugar Mill, the report states.

The report says Mill boss David Heck is working with the
receivers in the hope of restarting mill operations in time for
the crush in June.  But he made no guarantees and said Rocky
Point Green Power was closely tied to the mill, with several
agreements between the companies, the Bulletin notes.

The receiver was appointed by Rocky Point Green Power's only
secured creditor, the company's financier and a subsidiary of
Babcock & Brown.  It is understood Rocky Point Green Power owes
the finance company about AUD6 million.

The amount owed to unsecured creditors is unknown, as is the
number of parties owed money by Rocky Point Green Power.

Rocky Point Green Power is a Queensland-based electricity
generation plant.


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


BIG DRAGON: Creditors Get HK$10,060 Recovery on Claims
------------------------------------------------------
Big Dragon Asia Limited, which is in compulsory liquidation, will
declare dividend to its creditors on or after Feb. 10, 2012.

The company will pay HK$10,060 for ordinary claims.

The company's liquidators are:

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


CHESCON LIMITED: Court Enters Wind-Up Order
-------------------------------------------
The High Court of Hong Kong entered an order on Jan. 18, 2012, to
wind up the operations of Chescon Limited.

The official receiver is Teresa S W Wong.


DAILY RACK: Court Enters Wind-Up Order
--------------------------------------
The High Court of Hong Kong entered an order on Jan. 5, 2012, to
wind up the operations of Daily Rack Electronics Company Limited.

The company's liquidator is:

         Mat Ng
         JLA Asia Limited
         20/F Henley Building
         5 Queen's Road
         Central, Hong Kong


GOOD SUCCESS: Briscoe and Hill Step Down as Liquidators
-------------------------------------------------------
Stephen Briscoe and Nicholas Timothy Cornforth Hill stepped down
as liquidators of Good Success Catering Group Limited on Jan. 4,
2012.


GRAND CHINA: Court to Hear Wind-Up Petition on Feb. 22
------------------------------------------------------
A petition to wind up the operations of Grand China Shipping
(Hong Kong) Company Limited will be heard before the High Court
of Hong Kong on Feb. 22, 2012, at 9:30 a.m.

Tumac Corporation filed the petition against the company on
Dec. 21, 2011.

The Petitioner's solicitors are:

          Ince & Co
          Room 3801-06, 38th Floor
          ICBC Tower, Citibank Plaza
          3 Garden Road, Hong Kong


GRANDBLE LIMITED: Court to Hear Wind-Up Petition on Feb. 22
-----------------------------------------------------------
A petition to wind up the operations of Grandble Limited will be
heard before the High Court of Hong Kong on Feb. 22, 2012, at
9:30 a.m.

The Petitioner's solicitor:

          Fanny Fung
          Government Counsel
          Counsel for the petitioner
          Department of Justice
          2nd Floor, High Block
          Queensway Government Offices
          66 Queensway, Hong Kong


HELIIX LIMITED: Court Enters Wind-Up Order
------------------------------------------
The High Court of Hong Kong entered an order on Jan. 16, 2012, to
wind up the operations of Heliix Limited.

The company's liquidator is:

         Mat Ng
         JLA Asia Limited
         20/F Henley Building
         5 Queen's Road
         Central, Hong Kong


HELTECH INTERNATIONAL: Court Enters Wind-Up Order
-------------------------------------------------
The High Court of Hong Kong entered an order on Jan. 4, 2012, to
wind up the operations of Heltech International Limited.

The company's liquidator is:

         Mat Ng
         JLA Asia Limited
         20/F Henley Building
         5 Queen's Road
         Central, Hong Kong


POLYSOURCES WORLDWIDE: Court Enters Wind-Up Order
-------------------------------------------------
The High Court of Hong Kong entered an order on Jan. 16, 2012, to
wind up the operations of Polysources Worldwide Limited.

The company's liquidator is:

         Mat Ng
         JLA Asia Limited
         20/F Henley Building
         5 Queen's Road
         Central, Hong Kong


MAN PO: Court to Hear Wind-Up Petition on March 21
--------------------------------------------------
A petition to wind up the operations of Man Po International
Holdings Limited will be heard before the High Court of Hong Kong
on March 21, 2012, at 9:30 a.m.

Overseas Associates Limited filed the petition against the
company on Jan. 17, 2012.

The Petitioner's solicitors are:

          Edmund W.H. Chow & Co
          Rooms 204-206, 2nd Floor
          Takshing House
          No. 20 Des Voeux Road
          Central, Hong Kong


POWER OF PRODUCTION: Court to Hear Wind-Up Petition on March 28
---------------------------------------------------------------
A petition to wind up the operations of Power of Production
Company Limited will be heard before the High Court of Hong Kong
on March 28, 2012, at 9:30 a.m.

Neo Tee Wan trading as Curtex Trading Company filed the petition
against the company on Jan. 9, 2012.

The Petitioner's solicitors are:

          Keith Lam Lau & Chan
          5th - 7th Floors, The Chinese Club Building
          21-22 Connaught Road Central
          Central, Hong Kong


RECYCLE DEVELOPMENT: Haughey and Lai Appointed as Liquidators
-------------------------------------------------------------
Messrs. Darach E. Haughey and Lai Kar Yan (Derek) on Nov. 2,
2011, were appointed as liquidators of Recycle Development
Limited.

The liquidators may be reached at:

         Messrs. Darach E. Haughey
         Lai Kar Yan (Derek)
         35/F One Pacific Place
         88 Queensway, Hong Kong


UNION BRIDGE: Court Enters Wind-Up Order
----------------------------------------
The High Court of Hong Kong entered an order on Jan. 18, 2012, to
wind up the operations of Union Bridge Investment Limited.

The official receiver is Teresa S W Wong.


WAH YICK: Creditors Get 100% Recovery on Claims
-----------------------------------------------
Wah Yick Company Limited, which is in compulsory liquidation,
will pay the first and final dividend to its creditors on or
after Feb. 28, 2012.

The company will pay 100% and 4% for ordinary claims.

The company's liquidators are:

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


YICK SUN: Court to Hear Wind-Up Petition on Feb. 15
---------------------------------------------------
A petition to wind up the operations of Yick Sun Finance Company
Limited will be heard before the High Court of Hong Kong on
Feb. 15, 2012, at 9:30 a.m.

Tai Shuk Wa filed the petition against the company on Dec. 6,
2012.

The Petitioner's solicitors are:

          Deannie Yew & Associates
          Unit 1501, 15th Floor
          Hang Seng Mongkok Building
          677 Nathan Road
          Kowloon, Hong Kong


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


NATIONAL WOOD: CRISIL Assigns 'CRISIL B' Rating to INR30MM Loan
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the bank
facilities of National Wood Products.

   Facilities                       Ratings
    ----------                       -------
   INR50 Million Cash Credit        CRISIL B/Stable (Assigned)
   INR30 Million Long-Term Loan     CRISIL B/Stable (Assigned)
   INR10 Million Proposed Long-     CRISIL B/Stable (Assigned)
     Term Bank Loan Facility

The rating reflects NWP's weak financial risk profile, marked by
a high gearing and weak debt protection metrics, and small scale
of, and working-capital-intensive, operations. These rating
weaknesses are partially offset by the extensive experience of
NWP's promoter in the plywood industry.

Outlook: Stable

CRISIL believes that NWP will continue to benefit over the medium
term from its promoter's extensive industry experience. The
outlook may be revised to 'Positive' if NWP scales up its
operations, driven by higher-than-expected growth in its
revenues, and improves its capital structure and debt protection
metrics on a sustained basis, supported by fresh equity infusion
by the promoter. Conversely, the outlook may be revised to
'Negative' if NWP faces pressure on its revenues and
profitability, or if it undertakes a larger-than-expected, debt-
funded capital expenditure programme.

                          About National Wood

Set up by Mr. Abdul Muneer, NWP is a proprietary concern that
manufactures veneer, different varieties of plywood (such as
boiling water resistant, moisture resistant, marine, and fire
retardant), and block doors and plush doors. Its manufacturing
facility in Kasargode (Kerala) has capacity to manufacture 15
million square feet of plywood per annum. NWP sells its plywood
under the brand name, Trojan. NWP is a part of the Mohammad Arabi
Kumbla group, which has a longstanding presence in the plywood
timber industry.

NWP reported a profit after tax (PAT) of INR0.2 million on net
sales of INR11 million for 2010-11 (refers to financial year,
April 1 to March 31).


NIRMAL INTL': CRISIL Assigns 'CRISIL B' Rating to INR5.5MM Loan
---------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable/CRISILA4' ratings to the
bank facilities of Nirmal International.

   Facilities                         Ratings
   ----------                         -------
   INR5.5 Million Rupee Term Loan     CRISIL B/Stable (Assigned)
   INR5 Million Cash Credit           CRISIL B/Stable (Assigned)
   INR40 Million Bill Discounting     CRISIL A4 (Assigned)
   INR25 Million Packing Credit       CRISIL A4 (Assigned)

The ratings reflect Nirmal's weak financial risk profile, marked
by small net worth and weak debt protection metrics, small scale
of operations in a highly fragmented industry, and large working
capital requirements. These rating weaknesses are partially
offset by the extensive experience of Nirmal's management in the
textile industry.

Outlook: Stable

CRISIL believes that Nirmal will continue to benefit over the
medium term from the extensive industry experience of its
proprietor. The outlook may be revised to 'Positive' in case the
firm's scale of operations and profitability improves
considerably, leading to better-than-expected cash accruals.
Conversely, the outlook may be revised to 'Negative' in case of
an increased pressure on the firm's financial risk profile,
especially liquidity, because of larger-than-expected working
capital requirements and debt-funded capital expenditure plan, or
large quantum of withdrawals from the firm by the proprietor.

                    About Nirmal International

Established in 1998, Nirmal is a proprietorship firm engaged in
manufacturing handmade and machine-made carpets, bath mats, rugs
and cushion covers. The firm derives almost 90 per cent of its
total revenues from exports to Europe, South Africa and the
Middle East. The firm has a manufacturing unit located in Panipat
in Haryana.

Nirmal's profit after tax (PAT) and net sales are estimated at
INR4.7 million and INR245.3 million for 2010-11 (refers to
financial year, April 1 to March 31); the firm reported a PAT of
INR3.5 million on net sales of INR182.6 million for 2009-10.


PIONEER MOTORS: CRISIL Rates INR4.5 Million Loan at 'CRISIL BB+'
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB+/Stable' rating to the bank
facilities of Pioneer Motors (Kannur) Pvt Ltd, part of the
Pioneer Group.

   Facilities                        Ratings
   ----------                        -------
   INR4.5 Million Term Loan          CRISIL BB+/Stable (Assigned)
   INR70 Million Cash Credit         CRISIL BB+/Stable (Assigned)
   INR2.2 Million Proposed Long-     CRISIL BB+/Stable (Assigned)
   Term Bank Loan Facility

The rating reflects the benefits that the Pioneer Group derives
from its diversified product portfolio and its promoters'
extensive industry experience in the automobile dealership
business. These rating strengths are partially offset by the
Pioneer Group's average financial risk profile marked by a small
net worth and a high gearing, and susceptibility to risks related
to low bargaining power with principals and to intense
competition in the automobile dealership market.

For arriving at the ratings, CRISIL has consolidated the business
and financial risk profiles of PMPL and its subsidiary Wayanad
Vehicles Pvt Ltd.  This is because both the entities are in the
same line of business and share operational linkages with each
other. These entities are together, hereinafter, referred to as
the Pioneer Group.

Outlook: Stable

CRISIL believes that the Pioneer Group will continue to benefit
over the medium term from its longstanding relationship with its
principals - Piaggio Vehicles Pvt Ltd and Honda Motorcycles and
Scooters India Ltd.  The outlook may be revised to 'Positive' if
there is a significant increase in the group's scale of
operations and net worth, driven by equity infusion by the
promoters. Conversely, the outlook may be revised to 'Negative'
if the Pioneer Group reports significant decline in its volumes
or operating margin, or if the group undertakes a larger-than-
expected, debt-funded capital expenditure programme.

                          About the Group

PMPL, incorporated in 1997, is an authorised dealer of vehicles
and spare parts manufactured by Piaggio and HMSI for the Kannur
district (Kerala). Wayanad Vehicles, a subsidiary of PMPL, is one
of the dealers for Piaggio vehicles for the Kasargode district
(Kerala). The Pioneer Group has four Honda two-wheeler showrooms
spread across Kannur, cumulatively measuring 5250 square feet (sq
ft), and three Piaggio showrooms (two in Kannur and one in
Kasargode), cumulatively measuring 5500 sq ft. The Pioneer Group
has an equal number of service stations-cum-workshops, located
adjoining each of the showrooms.

The Pioneer Group reported a profit after tax (PAT) of INR10.6
million on net sales of INR767.7 million for 2010-11 (refers to
financial year, April 1 to March 31), against a PAT of INR13.6
million on net sales of INR709.0 million for 2009-10.


RAJ INTERNATIONAL: CRISIL Rates INR180MM Loan at 'CRISIL B+'
------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of Raj
International Ltd to 'CRISIL B+/Negative/CRISIL A4' from 'CRISIL
BB-/Stable/CRISIL A4+'.

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

   INR49.9 Million Term Loan       CRISIL B+/Negative (Downgraded
                                    from 'CRISIL BB-/Stable')

   INR520.0 Million Foreign Bill   CRISIL A4 (Downgraded from
   Discounting                     'CRISIL A4+')

The rating downgrade reflects weakening in the company's
liquidity despite enhancement in bank lines. The deterioration in
liquidity has been caused by significant increase in RIL's debtor
collection period. The company's working capital requirements
have increased considerably because of high receivable levels
during 2011-12 (refers to financial year, April 1 to March 31).
This increase in working capital requirements has led to full
utilization of RIL's bank lines over the 12 months.

RIL also has working-capital-intensive operations because of
higher debtor collection period; moreover, it has geographical
and customer concentration in the jewelry segment, which may
negatively impact its revenue profile. The company, however,
benefits from its moderate financial risk profile marked by a
comfortable net worth and conservative capital structure.

For arriving at its ratings, CRISIL has analysed the business and
financial risk profiles of RIL, Guru-G Tex Print Pvt Ltd and Ugam
Impex Ltd on a standalone basis. In the past, CRISIL had combined
the business and financial risk profiles of RIL with those of
RIL's other group companies GTPPL and UIL. The change in
analytical approach is driven by strong stance taken by the
management of these companies that there would be no financial
support between RIL, UIL, and GTPPL, and that all the
transactions would be done at an arm's length. Henceforth, these
companies would be operating on a standalone basis only.

Outlook: Negative

CRISIL expects RIL's liquidity to remain stretched over the
medium term marked by its working-capital-intensive operations as
a result of long debtor collection period. The ratings may be
downgraded if RIL's liquidity weakens further because of
increasing working capital requirements. The outlook may be
revised to 'Stable' in case of significant improvement in the
company's liquidity profile.

                     About Raj International

RIL (formerly, Raj Synthetics) was set up as a partnership firm
by Mr. Jagdish Bodra, Mr. Rajesh Bodra, and Mr. Ashok Jalani in
1992. It was reconstituted as a private limited company in 1996.
RIL has various business divisions comprising textile trading,
diamond trading, gold jewellery manufacturing, and wind power
generation. In 2007, the company got its current name because of
its changing business risk profile, and its corporate status was
changed to a closely held public limited company.

RIL reported a profit after tax (PAT) of INR187 million on net
sales of INR17 billion for 2010-11, against a PAT of INR80
million on net sales of INR6.3 billion for 2009-10.


RAJLAXMI CONSTRUCTIONS: CRISIL Cuts Cash Credit Rating to 'D'
-------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Rajlaxmi Constructions Ltd to 'CRISIL D/CRISIL D' from 'CRISIL C/
CRISIL A4'.

   Facilities                          Ratings
   ----------                          -------
   INR193.40 Million Cash Credit       CRISIL D (Downgraded from
                                                 CRISIL C)

   INR16.50 Million Standby Line       CRISIL D (Downgraded from
   of Credit                                     CRISIL C)

   INR16.60 Million Corporate Loan     CRISIL D (Downgraded from
                                                 CRISIL C)

   INR150.00 Million Bank Guarantee    CRISIL D (Downgraded from
                                                 CRISIL A4)

The downgrade reflects instances of delay by Rajlaxmi in
servicing its term debt and equipment finances; the delays have
been caused by the company's weak liquidity mainly because of the
stretched receivables position. The receivables of the company
increased from INR 212.55 million in 2009-10 to INR 267 million
in 2010-11 with INR 128.78 million outstanding for more than six
months. This has been despite a dip of around 3 per cent in
turnover in 2010-11 as compared to the previous year.

RCL also has working-capital-intensive operations. These rating
weaknesses are partially offset by RCL's established position in
the construction industry, healthy order book, and above average
financial risk profile, marked by a healthy net worth, low
gearing, and moderate debt protection metrics.

                   About Rajlaxmi Constructions

Established in 1982 by Mr. S N Sahoo, RCL undertakes road,
bridge, irrigation, and other civil and infrastructure
construction projects. The company's operations are limited to
Orissa. RCL has also undertaken a residential project in Jajpur
Keonjhar Road (Orissa).

RCL reported a profit after tax (PAT) of INR35.78 million on net
sales of INR1108.57 million for 2010-11 (refers to financial
year, April 1 to March 31), as against a PAT of INR54.87 million
on net sales of INR1145.51 million for 2009-10.


RASHI GRANITE: CRISIL Assigns 'CRISIL BB-' Rating to INR40MM Loan
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL BB-/Stable/CRISIL A4+' ratings to
the bank facilities of Rashi Granite Exports India Pvt Ltd.

   Facilities                        Ratings
   ----------                        -------
   INR40 Mil. Export Packing Credit  CRISIL BB-/Stable (Assigned)
   INR30 Mil. Proposed Long-Term     CRISIL BB-/Stable (Assigned)
     Bank Loan Facility
   INR10 Million Bank Guarantee      CRISIL A4+ (Assigned)
   INR30 Million Letter of Credit    CRISIL A4+ (Assigned)

The ratings reflect RGPL's moderate financial risk profile,
marked by low gearing, and the extensive industry experience of
the company's promoters in the granite processing business. These
rating strengths are partially offset by RGPL's modest scale of
operations with stagnant revenues, susceptibility to foreign
exchange movements, working-capital-intensive operations, and
exposure to risks related to execution of debt-funded capital
expenditure (capex) and subsequent ramp-up of operations.

Outlook: Stable

CRISIL believes that RGPL will continue to benefit from its
promoters' extensive industry experience, and will maintain its
moderate financial risk profile supported by low gearing over the
medium term. The outlook may be revised to 'Positive' in case the
company reports higher-than-expected growth in its scale of
operations and profitability leading to overall improvement in
its business risk profile. Conversely, the outlook may be revised
to 'Negative' in case of delays in stabilisation of capital
expenditure, or significant time and cost overruns, resulting in
substantial deterioration in its financial risk profile.

                          About Rashi Granite

Incorporated in 2002, RGPL is a completely export-oriented unit
(EOU) based in Bengaluru (Karnatak). It processes and exports
granite slabs and tiles. The company mainly exports to the US,
Europe, and the Middle East. RGPL's capacity is 50 containers per
month which has been utilised to the extent of 80 per cent. The
company's EOU status is valid till March 31, 2012.

RGPL reported a profit after tax (PAT) of INR13.6 million on net
sales of INR255.7 million for 2010-11 (refers to financial year,
April 1 to March 31), against a PAT of INR7.8 million on net
sales of INR252.3 million for 2009-10.


SATPAL STRIPS: CRISIL Assigns 'CRISIL B+' Rating to INR40MM Loan
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-
term bank facilities of Satpal Strips Pvt Ltd, part of the Satpal
group.

   Facilities                       Ratings
   ----------                       -------
   INR40.0 Million Cash Credit      CRISIL B+/Stable (Assigned)
   INR29.0 Million Term Loan        CRISIL B+/Stable (Assigned)

The rating reflects the Satpal group's weak financial risk
profile, marked by a high gearing, small net worth, and weak debt
protection metrics, small scale of operations, and vulnerability
to volatility in steel prices. These rating weaknesses are
partially offset by the extensive experience of the Satpal
group's promoters in the steel industry and established
clientele.

For arriving at the rating, CRISIL has combined the business and
financial risk profiles of SSPL and Satpal Metals Pvt Ltd,
together referred to as the Satpal group. The consolidated
approach is because both the entities are under a common
management and SMPL sells products manufactured by SSPL. These
entities also have significant business and financial linkages as
the entire raw material requirement of SMPL is met by SSPL.

Outlook: Stable

CRISIL believes that the Satpal group will continue to benefit
from its promoters' extensive industry experience and established
relationship with its customers, over the medium term. The
outlook may be revised to 'Positive' if the group ramps up its
revenues and profitability and improves its liquidity and
financial risk profile through more-than-expected cash accrual or
infusion of fresh promoters' equity. Conversely, the outlook may
be revised to 'Negative' if the Satpal group's liquidity weakens
significantly, most likely because of lower-than-expected cash
accruals, or if it undertakes more-than-expected debt-funded
capital expenditure programme, thereby further weakening its
capital structure.

                          About the Group

Incorporated in 2007, SSPL is promoted by Mr. Amit Jain and
Mr. Atul Jain. The company manufactures cold-rolled (CR) coils,
strips, and sheets. In 2010-11 (refers to financial year, April 1
to March 31), the promoters forward-integrated into manufacturing
ERW (Electric Resistance Welding) pipes under SMPL. The Satpal
group's manufacturing facility is located in Gobindgarh (Punjab)
and has capacity of 45,000 tonnes per annum (tpa) of CR
coil/strips and 27,000 tpa of ERW pipes. The group sells Mild
Steel strips and coils to various tubes and pipe manufacturers
and also through a network of dealers in Punjab, Delhi,
Maharashtra, Uttar Pradesh, Karnataka, and Gujarat.

The Satpal group reported a profit after tax (PAT) of
INR2.7 million on an operating income of INR707.6 million for
2010-11, as against a PAT of INR1.8 million on an operating
income of INR698.1 million for 2008-09.


SALASAR TECHNO: CRISIL Cuts Rating on INR300MM Loan to 'BB+'
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facility
of Salasar Techno Engineering Pvt Ltd, part of the Salasar group,
to 'CRISIL BB/Stable' from 'CRISIL BB+/ Stable' while reaffirming
the rating on its short-term bank facility at 'CRISIL A4+'.

   Facilities                        Ratings
   ----------                        -------
   INR300 Million Cash Credit        CRISIL BB/Stable (Downgraded
                                      from 'CRISIL BB+/Stable')

   INR75 Million Bank Guarantee      CRISIL A4+ (Reaffirmed)

The downgrade reflects expected deterioration in the Salasar
group's liquidity and financial risk profile due to unanticipated
debt-funded capital expenditure programme, leading to debt
repayment obligations; and larger-than-expected working capital
requirements amid expected depressed cash accruals due to the
start-up nature of the group's steel unit.

For arriving at the ratings, CRISIL has combined the financial
risk profiles of STEPL and Salasar Stainless Ltd, together
referred to as the Salasar group. The consolidated approach is
because both the companies are managed by the same promoters,
though they are into different businesses. Furthermore, STEPL has
given corporate guarantee for the bank lines of SSL. During the
time of initial rating, CRISIL had not consolidated the financial
risk profiles of STEPL and SSL as SSL was recently incorporated.

The ratings also reflect the Salasar group's moderate financial
risk profile, marked by comfortable net worth, low gearing, and
comfortable debt protection metrics constrained by high reliance
on non-operating income, and recent diversification of revenue
profile. These rating strengths are partially offset by the
Salasar group's working-capital-intensive operations,
vulnerability of margins to volatility in raw material prices and
foreign exchange rates, and unrelated diversification with risk
related to stabilisation of operations in the steel pipes unit.

                         Outlook: Stable

CRISIL believes that the Salasar group's scale of operations will
continue to be average over the medium term, while its financial
risk profile will remain constrained as its working capital
requirements are likely to remain large. The outlook may be
revised to 'Positive' if the group increases its scale of
operations while maintaining profitability levels and capital
structure. Conversely, the outlook may be revised to 'Negative'
if there is further unrelated diversification, or delay in ramp-
up of sales of SSL, leading to pressure on cash accruals, or in
case of larger-than-expected working capital requirements,
resulting in weakening in its financial risk profile or higher-
than-expected pressure on liquidity.

                          About the Group

STEPL was incorporated in 2001 by Mr. Alok Kumar and
Mr. Gyanendra Kumar Aggarwal. The company is engaged in
engineering, designing, and fabrication of steel structures for
the telecom and power sector. Its manufacturing unit in Noida
(Uttar Pradesh [UP]) commenced operations in June 2006 with an
installed capacity of 20,000 tonnes per annum (tpa). In 2009-10
(refers to financial year, April 1 to March 31), the company
established a new facility in Ghaziabad (UP) at a distance of
about 3 kilometres from its first site and expanded its capacity
to 35,000 tpa. STEPL has also diversified into turnkey erection
and commissioning of structures for power substations and
transmission lines.

SSL was incorporated in April 2010 and is a 100 per cent
subsidiary of STEPL. SSL manufactures stainless pipes and tubes.
It has installed capacity of 7200 tpa. The total project cost was
around INR180 million, which was funded through debt of INR100
million and promoters' contribution by way of equity of INR80
million through STEPL. SSL commenced operations from September
2011.

Salasar group reported a profit after tax (PAT) of INR36.0
million on net sales of INR1217.7 million for 2010-11, as against
a PAT of INR20.9 million on net sales of INR1068.2 million for
2009-10.


SHREE KRISHNA: Delays in Loan Payment Cues CRISIL Junk Rating
-------------------------------------------------------------
CRISIL has assigned its 'CRISIL D/CRISIL D' rating to the bank
facilities of Shree Krishna Poly Strap Pvt Ltd.

   Facilities                          Ratings
   ----------                          -------
   INR117.5 Million Long-Term Loan     CRISIL D (Assigned)
   INR30 Million Cash Credit           CRISIL D (Assigned)
   INR30 Million Packing Credit        CRISIL D (Assigned)
   INR2.5 Million Bank Guarantee       CRISIL D (Assigned)

The rating reflects delays by SKPL in servicing its term loan
because of its weak liquidity marked by inadequate cash accruals
and increasing working capital borrowings.

SKPL has a weak financial risk profile, marked by a small net
worth, a high gearing, and weak debt protection metrics, and is
exposed to risks related to volatility in raw material prices and
small scale of operations. SKPL, however, benefits from the
extensive industry experience of its promoters.

                        About Shree Krishna

SKPL was set up in 2009 by Mr. Aruvela Ramesh. The company
manufactures polypropylene (PPE) and polyethylene terephthalate
(PET) strappings, which are used as a versatile packaging
material across industries such as textiles, steel, beverages,
paper, ceramics, and construction. Its manufacturing facility in
Chittur (Andhra Pradesh) has capacity of around 250 tonnes per
month. PET and PPE strappings contribute around 60 per cent and
40 per cent, respectively, to the company's revenues. Mr. Ramesh
has more than two decades of experience in the plastics and
packaging industry. SKPL is managed by Mr. A Ramesh and his two
daughters, Ms. Keerthi Aruvela and Ms. Preethi Aruvela.

SKPL reported a loss of INR35 million on net sales of INR137
million for 2010-11 (refers to financial year, April 1 to
March 31), against a loss of INR9 million on net sales of INR13
million for 2009-10.


SKYWORLD EXIM: CRISIL Puts 'CRISIL B+' Rating on INR150MM Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-
term bank facilities of Skyworld Exim.

   Facilities                        Ratings
   ----------                        -------
   INR150 Million Cash Credit        CRISIL B+/Stable (Assigned)
   INR150 Million Proposed Long-     CRISIL B+/Stable (Assigned)
   Term Bank Loan Facility

The rating reflects SE's weak financial risk profile, marked by
highly leveraged capital structure with total outside liabilities
to tangible net worth of 3.60 times as on March 31, 2011
(treating promoters' loans as neither debt nor equity) and weak
debt protection metrics, and working-capital-intensive operations
marked by gross current asset of 170 days in 2010-11 (refers to
the financial year April 1, March 31). These rating weaknesses
are partially offset by the extensive experience of SE's partners
in the paper trading industry.

Outlook: Stable

CRISIL believes that SE will benefit over the medium term from
its partners' extensive experience in the paper trading industry.
The outlook may be revised to 'Positive' if SE's financial risk
profile improves through capital infusion by the partners and
significant improvement in working capital management.
Conversely, the outlook may be revised to 'Negative' in case of
further deterioration in working capital cycle or if the firm
contracts higher-than-expected debt for incremental working
capital requirements, thereby adversely impacting its debt
protection metrics.

                        About Skyworld Exim

Established in 2007, SE is a Delhi-based partnership firm that
trades in industrial paper and is promoted by Mr. Rajnish Gupta.
Initially, SE was set up by Mr. Rajnish Gupta and his brother-in-
law, Mr. Ajay Gupta, both of whom had an equal share in the
firm's profits. However, in 2009-10, Mr. Ajay Gupta retired from
the firm and his share was bought by Mr. Rajnish Gupta and his
father, Mr. Jai Bhagwan Gupta. Currently, Mr. Rajnish Gupta has
95% share in the firm and the remaining is with his father.


S. V. ENTERPRISE: CRISIL Assigns 'B+' Rating to INR32.5MM Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of S. V. Enterprise.

   Facilities                         Ratings
   ----------                         -------
   INR32.5 Million Cash Credit        CRISIL B+/Stable (Assigned)
   INR37.5 Million Bank Guarantee     CRISIL A4 (Assigned)

The ratings reflect SVE's modest scale of operations, limited
revenue diversity, and susceptibility to risks related to
fragmentation and intense competition in the civil construction
industry. These rating weaknesses are partially offset by SVE's
satisfactory debt protection metrics driven by above-average
operating profitability, and partners' extensive industry
experience.

Outlook: Stable

CRISIL believes that SVE will benefit over the medium term from
its experienced management and the firm's above-average
profitability. The outlook may be revised to 'Positive' if the
firm diversifies and improves its scale of operations on a
sustainable basis, leading to improvement in its business risk
profile, without deteriorating its financial risk profile.
Conversely, the outlook may be revised to 'Negative' in case its
financial risk profile deteriorates owing to reduced revenues
and/or profitability, or if the firm undertakes a large debt-
funded capital expenditure programme, or if its receivables
collection cycle is stretched, thereby constraining its
liquidity.

                     About S. V. Enterprises

Set up as a partnership firm in 1994, SVE undertakes civil
construction works in Gujarat. The firm mainly undertakes civil
construction works such as construction of buildings, which
includes industrial, commercial, and residential buildings for
various government authorities, semi-government authorities, and
private entities. SVE is registered as a 'Class AA' contractor
with road & building department, Gujarat, and is also registered
as a 'Class AA' contractor with Surat Municipal Corporation; it
is also registered as a 'Class S' contractor with Military
Engineering Services. The overall activities of the firm are
mainly handled by Mr. Manherbhai Patel.

SVE reported a net profit of INR21.2 million on net sales of
INR139.5 million for 2010-11 (refers to financial year, April 1
to March 31), as against a net profit of INR9.3 million on net
sales of INR141.0 million for 2009-10.


VEER TRADING: CRISIL Rates INR100 Million Loan at 'CRISIL B'
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the cash
credit facility of M/S Veer Trading Company.

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

The rating reflects the firm's weak financial risk profile,
marked by high total outside liabilities to tangible net worth
and low interest coverage ratios, trading nature of business
leading to low operating margin, and susceptibility to adverse
changes in government policies. These rating weaknesses are
offset by the efficient working capital management and policies
of the firm.

Outlook: Stable

CRISIL believes that VTC will continue to benefit over the medium
term from its proprietor's industry experience and its efficient
working capital management. The outlook may be revised to
'Positive' if the firm significantly improves its capital
structure through infusion of funds or larger-than-expected
accretion to capital base. Conversely, the outlook may be revised
to 'Negative' if VTC's profitability declines significantly
leading to further deterioration in its interest coverage ratio.

                        About Veer Trading

VTC was set up in 2010 as a proprietorship firm, with Mr. Pankaj
Shah as the proprietor. The firm trades in cotton bales. It sells
in the domestic market in Gujarat, Madhya Pradesh, Maharashtra,
and Andhra Pradesh, and also exports to countries such as
Pakistan, China, and Indonesia. Exports contribute to around 30
per cent of its sales.

VTC reported a book profit of INR5.04 million on operating income
of INR806.5 million in 2010-11 (refers to financial year, April 1
to March 31), its first year of operations.


VITECH EQUIPMENTS: CRISIL Puts 'BB' Rating on INR6.3MM Loan
-----------------------------------------------------------
CRISIL has assigned its 'CRISIL BB/Stable/CRISIL A4+' ratings to
the bank facilities of Vitech Equipments Pvt Ltd.

   Facilities                       Ratings
   ----------                       -------
   INR6.3 Million Term Loan         CRISIL BB/Stable (Assigned)
   INR39.6 Million Cash Credit      CRISIL BB/Stable (Assigned)
   INR4.1 Million Proposed Long-    CRISIL BB/Stable (Assigned)
    Term Bank Loan Facility
   INR50 Million Bank Guarantee     CRISIL A4+ (Assigned)
   INR25 Million Letter of Credit   CRISIL A4+ (Assigned)

The ratings reflect the VEPL's healthy financial risk profile,
marked by low gearing and strong debt protection indicators and
promoters' extensive industry experience. These rating strengths
are partially offset by VEPL's modest scale of operations,
working-capital-intensive operations and susceptibility of its
operating performance to end user cyclicality.

Outlook: Stable

CRISIL believes that Vitech Equipments Private Limited will
maintain its stable business risk profile over the medium term,
backed by its promoter's extensive industry experience and
healthy financial risk profile. The outlook may be revised to
'Positive' if VEPL demonstrates significant improvement in
revenues, while maintaining or improving its profitability and
working capital cycle. The outlook may be revised to 'Negative'
in case of deterioration in the financial risk profile due to
lengthening of its working capital cycle or due to decline in
revenues and profitability.

                       About Vitech Equipments

VEPL was incorporated in 2003 by Mr. Charles D'Souza, Ms. Janet
D'Souza, Mr. Leo D'Souza, and Mr. Vivek D'Souza. The company is
engaged in fabrication of medium- to heavy-sized equipments, such
as heat exchangers, pressure vessels, extractors, and deodorisers
for refineries/petrochemicals, dairy, and pharmaceuticals
industries. VEPL's clientele includes companies, such as Desmet
Ballestra India Pvt Ltd (CRISIL A1), Durr India Pvt Ltd, and
Vatech Wabag Ltd. VEPL has around 2800 square metres of
fabrication facility in Navi Mumbai (Maharashtra). Exports
constituted around 20 per cent of VEPL's total sales in 2010-11
(refers to financial year, April 1 to March 31).

VEPL reported a profit after tax (PAT) of INR4.3 million on net
sales of INR120.7 million for 2010-11, as against a PAT of INR7.4
million on net sales of INR190.7 million for 2009-10.


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


OLYMPUS CORP: May Snub Fujifilm Proposed Tie Up
-----------------------------------------------
Bloomberg News reports that Fujifilm Holdings Corp. may get
snubbed by cross-town rival Olympus Corp. in its attempt to move
further away from the photographic film business that dragged
down industry pioneer Eastman Kodak Co.

"We aren't too optimistic" that Olympus will welcome a takeover
approach or collaboration, Chief Executive Officer Shigetaka
Komori told Bloomberg in an interview at Fujifilm's Tokyo
headquarters.  "Olympus will most likely to want to run the
business by itself."

Mr. Komori told Bloomberg that the two companies together would
control about 85% of the global market for the tiny cameras
doctors use to peer inside the body.  The 72-year-old CEO wants
to add Olympus, which lost more than half its market value last
year over an accounting scandal, to the JPY650 billion
(US$8.5 billion) of takeovers Fujifilm spent in the past decade
to buffer it from a collapse in color film demand that pushed
Kodak to the brink of bankruptcy last month.

"Many of the things Kodak did were short-term and halfway
measures, and they weren't enough," Bloomberg quotes Mr. Komori
as saying.  "Japanese companies make long-term investments,
looking 10 to 20 years ahead.  That's the difference between us
and Kodak."

As reported in the Troubled Company Reporter-Asia Pacific on
Jan. 31, 2012, Bloomberg News said Fujifilm proposed a
partnership with Olympus Corp. and may invest in the company,
Shigehiro Nakajima, Fujifulm executive vice president, said.
The plan was presented to Olympus adviser SMBC Nikko Securities
Inc.  The companies may also exchange executives, Mr. Nakajima
said.

                   Securities Investment Scandal

The Troubled Company Reporter-Asia Pacific reported on Nov. 9,
2011, that Block & Leviton LLP, a Boston-based law firm
representing investors seeking to recover money lost due to
investment fraud, said it is investigating possible securities
fraud claims involving Olympus Corp.

On Oct. 14, 2011, Olympus's Board of Directors fired the
Company's then-President and Chief Executive Officer, Michael
Woodford, after Mr. Woodford attempted to force an inquiry into
Olympus's acquisition of British medical device maker Gyrus in
2008.  At issue were the $687.0 million in advisory fees paid to
a relatively obscure financial firm in relation to the
acquisition.  The fees were approximately one-third of the
$2.0 billion acquisition price, which is almost 30 times higher
than normal.

On Nov. 8, 2011, the Company admitted to an accounting cover-up,
stating that the advisory fees paid in connection with the Gyrus
deal and other acquisitions were used to hide steep investment
losses that began in approximately 1990.  Speaking at a press
conference, the Company's President, Shuichi Takayama, confessed
that "[w]e have conducted extremely improper accounting" and that
"[o]ur previous statements were in error."

The Company's admission, released just prior to the opening of
trading on the Tokyo Stock Exchange, where Olympus's common stock
is traded, sent shares spiraling downward by 29% over the prior
day's close to JPY734 (or $9.40).  The Company's American
Depository Receipts also plummeted on the news, losing 31%
compared to the prior day's close of $13.72.  Since mid-October,
when Mr. Woodward's allegations first surfaced, the Company's
stock has lost approximately 70% of its market value.

The Japanese Securities and Exchange Surveillance Commission is
said to be investigating along with the U.S. Federal Bureau of
Investigation, and the U.S. Securities and Exchange Commission.

                         About Olympus Corp.

Based in Japan, Olympus Corporation (TYO:7733) --
http://www.olympus-global.com/-- manufactures and sells medical
products, life and industrial products, imaging products,
information communication products and other products.  As of
March 31, 2011, the Company has 188 subsidiaries and 11
associated companies.


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


CRITERION GROUP: In Receivership; No Redundancy for 180 Workers
---------------------------------------------------------------
Fairfax NZ News reports that Criterion Group's workers union said
the collapse of furniture maker is a body blow for workers and
for New Zealand.

Receivers KordaMentha were called into Auckland-based Criterion
Group and its New Zealand and Australian subsidiaries on Jan. 31,
where the jobs of 180 staff are on the line, the report
discloses.

Grant Graham -- ggraham@kordamentha.com -- and Brendon Gibson --
bgibson@kordamentha.com -- of KordaMentha were named as
receivers.

Forty EPMU members at Criterion's East Tamaki factory had been
told on Jan. 31 that the company was closing down.

According to Fairfax NZ, EPMU national industry organiser
Louisa Jones said workers were in a very difficult situation, and
many had been long-serving employees.

"They are now suddenly without an income and have no idea if
they'll get their outstanding wages and holiday pay," the report
quotes Ms. Jones as saying.  "It's also another body blow for our
economy when a well-established exporting company like Criterion
shuts its doors."

Fairfax NZ relates that the EPMU said it would work with
KordaMentha to ensure that workers received their full legal
entitlements in terms of wages and holiday pay.  However, the
report relates, the workers losing their jobs did not have
redundancy policies in place.

KordaMentha said the receivers' appointment followed a "serious
decline in trading" for the group.  The aim was to sell it as a
going concern.

"A marketing process for the business has been underway for
several months and that process will now be accelerated,"
receiver Grant Graham said.

                       About Criterion Group

Criterion Group Ltd -- http://www.criterionfurniture.com/-- and
its subsidiaries manufacture and sell both office and home
furniture.


LOMBARD FINANCE: Judge Reserves Decision in Directors' Case
-----------------------------------------------------------
BusinessDesk reports that Justice Robert Dobson has reserved his
decision after defense counsel for the directors of Lombard
Finance & Investments concluded their summing up Friday.

In the High Court at Wellington, BusinessDesk relates, the judge
said he will work towards reaching his decision by February 24,
though that might be deferred.

BusinessDesk says David Hurd, counsel for Jeffries, closed by
criticizing the Securities Commission's investigation, and saying
lead investigator Michelle Peden's review was inadequate.

According to BusinessDesk, Mr. Hurd said Peden, a forensic
accountant, misunderstood Lombard Finance's operation, and didn't
engage appropriate experts, such as valuers, auditors, and
corporate governance specialists.

Mr. Hurd raised the possibility that the amended prospectus was
voided by the procedural delay in lodging an associated extension
certificate. He urged the judge to consider the requirement for
proof to be established "beyond reasonable doubt," BusinessDesk
adds.

Meanwhile, The New Zealand Herald reports that the Crown
prosecutor said Sir Douglas Graham failed in his role as chairman
of Lombard Finance & Investments by not taking a more active role
in getting to know the property development business as the
lender ultimately failed.

Prosecutor Colin Carruthers told the High Court in Wellington
that Mr. Graham let Lombard Finance's management deal with an
increasingly problematic loan book, and didn't lead greater board
scrutiny of the lender's practices, the Herald relates.

When the lender was in trouble, Mr. Graham should have ensured he
became "knowledgeable about the state of the loans, what
obstacles existed, what the likely impact was", Mr. Carruthers,
as cited by the Herald, said.

Mr. Carruthers said one of the "rare examples" of Mr. Graham
showing an adequate amount of scepticism was over the
recoverability of loans to Mark Bryers and Blue Chip, according
to the report.

"The Crown's position is that the evidence establishes the
accused failed to fulfil their obligations and that failure
deprives them of the reasonable grounds defense," the Herald
quotes Mr. Carruthers as saying.  The tension between supporting
the company's commercial goals was trumped by disclosure
requirements under the law, Mr. Carruthers added.

The Herald notes that the Crown contends Lombard Finance
directors Graham, Bill Jeffries, Lawrence Bryant and Michael
Reeves made untrue statements in a 2007 prospectus, investment
statement and advertising material.

                       About Lombard Finance

Lombard Finance & Investments Limited is a wholly owned
subsidiary of Lombard Group, a diversified company specializing
in the financial services sector offering a number of lending
options and providing investment opportunities for its
shareholders and investors.

Lombard Finance was placed into receivership on April 10, 2008,
by its trustee, Perpetual Trust Limited.  PricewaterhouseCoopers
partners John Fisk and John Waller have been appointed receivers
of the company.  The receivership also applies to three other
subsidiaries of Lombard Group, being Lombard Asset Finance
Limited, Lombard Property Holdings Limited and Lombard Asset
Finance No 2 Limited.  The receivership does not impact on
Lombard Group Limited.

The company owed NZ$127 million to 4,400 investors.


SOUTH CANTERBURY: Sells 33.6% Stake in Dairy Holdings for NZ56-MM
-----------------------------------------------------------------
BusinessDesk reports that the receivers of South Canterbury
Finance sold the failed finance company's 33.6% stake in Dairy
Holdings to existing shareholders and the dairy farm group's US
investors took advantage of the deal to exit their own 25%
holding.

Receivers Kerryn Downey and William Black of McGrathNicol said
South Canterbury Finance will receive NZ$56.4 million for its
33.6% stake.  The receivers said the deal valued Dairy Holdings
at an enterprise value of more than NZ$535 million, the report
relays.

According to the report, the transaction puts New Zealand's
biggest corporate dairy farmer in the hands of New Zealand
shareholders led by Colin Armer, Alan Pye and interests
associated with Humphry Rolleston.

                     About South Canterbury

Based in New Zealand, South Canterbury Finance Limited
(NZE:SCFHA) -- http://www.scf.co.nz/-- was engaged in the
provision of financial services.  The Company's principal
activities were 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
advanced 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 repaid 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.


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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, Ivy B. Magdadaro, Frauline S.
Abangan, and Peter A. Chapman, Editors.

Copyright 2012.  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
Peter Chapman at 240/629-3300.





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