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                      A S I A   P A C I F I C

            Wednesday, May 1, 2013, Vol. 16, No. 85


                            Headlines


A U S T R A L I A

ACL BEARING: Receivers Seek Buyer for Business
KAGARA LTD: Administrators Seek 5-Mo. Extension to Revive Firm
MULSANNE RESOURCES: Court OKs Funding for Insolvent Trading Case
URBAN CONTRACTORS: ASIO HQ Bldg. Project Impact Small Business
WESTPOINT GROUP: Norm Carey Accused of "Asset Stripping"

* AUSTRALIA: High Debt Driving Farms Into Receivership


C H I N A

GOLDEN WHEEL: Fitch Places 'B' Rating on CNY600MM Unsecured Notes
XINYUAN REAL: Fitch Assigns 'B+' Rating to US$200MM Unsec. Notes


I N D I A

AACHI SPICES: CARE Rates INR8.60cr LT Loan at 'CARE BB'
AEP INDUSTRIES: CARE Rates INR3.79cr Loan at 'CARE BB'
ATLANTIS PRODUCTS: CARE Rates INR6.75cr Loan at 'CARE BB-'
BINANI ZINC: CARE Reaffirms 'BB+' Rating on INR11.25cr Loan
CHINTPURNI STEEL: CARE Assigns 'B' Rating to INR15.07cr LT Loan

G KISHANLAL: CARE Rates INR4.68cr LT Bank Loan at 'CARE BB-'
JAJOO EXPORTS: CARE Assigns 'BB-' Rating to INR4.16cr Loan
JAJOO RASHMI: CARE Assigns 'BB-' Rating to INR6.75cr Loan
K & K JEWELLERS: CARE Rates INR15cr LT Loan at 'CARE B+'
KNIGHT DEALTRADE: CARE Rates INR20cr Loan at 'CARE BB-'

RAJIV PETROCHEMICALS: CARE Rates INR10.85cr Loan at 'CARE BB-'
ROLTA INDIA: Fitch Assigns 'BB-' Issuer Default Ratings


N E W  Z E A L A N D

HANOVER FINANCE: SFO Concludes Finance Company Investigations
STARPLUS HOMES: Unsecured Creditors Unlikely to Get Paid


S O U T H  K O R E A

* South Korean Firms Sees Negative Business Outlook For May


X X X X X X X X

* Upcoming Meetings, Conferences and Seminars


                            - - - - -


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


ACL BEARING: Receivers Seek Buyer for Business
----------------------------------------------
ABC News reports that ACL Bearing that is being put on the market
has already attracted interest from potential buyers.

Receivers have decided to sell ACL Bearing and have informed
employees, according to ABC News.

The report recalls that the company went into receivership in 2009
and 150 jobs at the company have been cut.

Receiver manager Matt Byrnes said it is the right time to try and
sell, the report notes.

"That's a decision that we've contemplated a number of times since
we've been in control of ACL. . . . We have had some interest
recently from a couple of parties, while that's not the sole
reason for us making our decision its certainly a factor," the
report quoted Mr. Byrnes as saying.

Mr. Byrnes said it is too early to tell how the sale will affect
workers, the report notes.

"Until we progress those discussions with the interested parties,
and understand what their interest level is, we won't know exactly
how many employees that'll impact and how," Mr. Byrnes said, the
report adds.

ACL Bearing is a Launceston car parts maker.


KAGARA LTD: Administrators Seek 5-Mo. Extension to Revive Firm
--------------------------------------------------------------
Neale Prior at The West Australian reports that Kagara Ltd
administrators have asked for another five months to resuscitate
the stricken base metals group in the face of creditor claims of
more than AUD90 million and a potential insolvent trading inquiry.

While pushing for more time for asset sales and for long-time
director Joe Treacy to put together a rescue deal, the
administrators have told creditors they could also carry out
investigations into other potential recovery actions, the report
says.

In a letter sent to creditors promoting a potential restructure,
the West Australian relates, Mr. Treacy said they would receive
cash plus shares in return for their debt and be able to
participate in the "predicted upswing" in metal prices.

At the centre of the revived group would be its undeveloped
Admiral Bay zinc and lead project, about 200km south of Broome,
and a stake in its sharemarket-listed precious metals spin-off
Mungana Goldmines, the West Australian notes.

According to the West Australian, the mooted restructure could see
creditors of the West Perth-based Kagara parent entity get a
return of 50 cents for every dollar of debt, yet creditors of the
group's troubled Queensland base metals mining and exploration
operations could receive as little as 2.4 cents in the dollar.

The West Australian, citing an administrators' report, discloses
that between AUD2.4 million and AUD58.2 million could potentially
be recovered from insolvent trading actions, depending on whether
the company was ultimately found to be insolvent in early December
or when ANZ pulled support in April.

But the administrators warned that directors could have a defence
to any insolvent trading actions with arguments that they expected
cash from asset sales, were trying to raise new capital and had
ANZ's support, the West Australian relates.

Creditors will meet in Perth, Brisbane, Cairns, Townsville and
Sydney on May 6.  According to the West Australian, administrators
recommend creditors vote in favor of what they describe as a
holding deed of company arrangement, giving
Mr. Treacy until September 30 to come up with a plan that would
underpin a more permanent deed.  They said this left the way open
for creditors to later put the company into liquidation, while
allowing assets sales to be carried out in the meantime without
perceptions of a fire sale, the report notes.

                         About Kagara Ltd

Kagara Ltd (ASX: KZL) -- http://www.kagara.com.au/-- engages in
exploration, development, and production of mineral properties in
Western Australia and North Queensland. It primarily focuses on
the exploration of zinc, copper, gold, lead, and nickel.

Michael Joseph Patrick Ryan, Mark David Peter Englebert, Quentin
James Olde and Stefan Dopking of Taylor Woodings were appointed
Joint and Several Administrators of Kagara Ltd and certain
subsidiaries on April 29, 2012.


MULSANNE RESOURCES: Court OKs Funding for Insolvent Trading Case
----------------------------------------------------------------
The Sydney Morning Herald reports that Nathan Tinkler can now be
sued by liquidators after the NSW Supreme Court approved a funding
agreement between Blackwood and the liquidators of one of his
failed companies, Mulsanne Resources.

According to the report, Justice Black gave the liquidators'
lawyers the opportunity to view the judgment before it was
published to ensure no commercially sensitive information was made
public.

As reported in the Troubled Company Reporter-Asia Pacific on
April 22, 2013, The Australian said Mr. Tinkler was facing a claim
of trading while insolvent after liquidators from his company
Mulsanne Resources said they would start proceedings as a result
of his attempt to take over miner Blackwood Corp.
The Australian said the court action means Mr. Tinkler could face
a potentially bankrupting compensation payout to Blackwood, a
AUD220,000 fine or up to five years in jail.  Citing an affidavit
filed on April 18 in the NSW Supreme Court by Mulsanne liquidator
Robyn Duggan, The Australian related that it was alleged
Mr. Tinkler as a director of Mulsanne engaged in insolvent trading
when he made the AUD28.4 million offer last year.

Australian Associated Press reported in November last year
Mulsanne Resources was wound up and liquidators were appointed
after it failed to pay a AUD28.4 million debt to coal explorer
Blackwood Corporation.  According to AAP, Blackwood sued Mulsanne
Resources after Mr. Tinkler's company agreed to buy a 33.85% stake
in it for AUD28.4 million, but then failed to follow through with
the deal.

AAP related that NSW Supreme Court senior deputy registrar
Nicholas Flaskas on Tuesday ordered Mulsanne Resources be wound
up and Robyn Duggan and John Melluish from Ferrier Hodgson be
appointed as liquidators in order for Blackwood to recover the
debt.


URBAN CONTRACTORS: ASIO HQ Bldg. Project Impact Small Business
--------------------------------------------------------------
The Brisbane Times reports that the federal small business
advocate is investigating the impact on Canberra's building
industry of the capital's new ASIO headquarters.

According to the report, two construction firms working on the
project have called in administrators, citing money owed on the
giant federal government job as a key factor in their financial
woes.

Brisbane Times relates that the companies, Urban Contractors and
Tread Lightly Earthmoving, owe millions between them to smaller
contractors and businesses in Canberra and the region.

A spokeswoman for federal Small Business Commissioner
Mark Brennan confirmed the problems surrounding the ASIO project
had been referred to his office but would provide no details about
what the commissioner could do for the stricken businesses, the
report says.

"The matter has been brought to the Commissioner's attention," the
report quotes the spokeswoman as saying.  "As the Commissioner has
not completed the examination, it is not appropriate to be
commenting at this time on the issues involved."

The ASIO site in Russell has been plagued by delays and budget
blowouts, the report notes.

Brisbane Times notes that construction costs have ballooned from
AUD460 million to AUD633 million, and the spy agency is still
months away from moving in.

Urban Contractors called in administrators in October last year,
citing difficulties with its contract with lead contractor Bovis
Lend Lease for work on the ASIO site as one of the primary causes
its problems, the report recalls.

A report from administrator BCR Advisory found that Urban did not
have the finance facilities and structure to cope with the working
capital requirements of the Lend Lease contract, says Brisbane
Times.

Earlier this month, the report says, Queanbeyan company Tread
Lightly Earthmoving, a key creditor of Urban Contractors, were
also forced to call in administrators.

Both companies continued to trade as they sought a resolution with
Lend Lease, but now, following the concerns of Tasmanian Greens
Senator Peter Whish-Wilson, the Australian Small Business
Commissioner has been called in to investigate, the Brisbane Times
reports.


WESTPOINT GROUP: Norm Carey Accused of "Asset Stripping"
--------------------------------------------------------
Neale Prior at The West Australian reports that property and
investment entrepreneur Norm Carey was accused Monday of engaging
in asset stripping on the day that receivers were appointed to
flagship company Westpoint Corporation Pty Ltd.

A District Court jury was told that Mr. Carey and Westpoint Corp
secretary Graeme Rundle dishonestly backdated the transfer of an
option to buy the Warnbo Fair Shopping Centre knowing that the
company was facing dire financial circumstances, the West
Australian says.

According to the report, prosecutor Alan Macsporran said the
option transfer to Mr. Carey's family trust company Bowesco Pty
Ltd came a month after Stan Perron's Perron Group offered
AUD1 million for the right to buy the shopping centre and adjacent
development land.

The West Australian relates that Mr. Macsporran made the
allegations in opening the trial of Mr. Carey and and Mr. Rundle
on charges that they dishonestly used their position at Westpoint
Corp to give an advantage to Bowesco. They have pleaded not
guilty, the report notes.

The report says the jury was told that the Australian Securities
and Investments Commission became concerned about Westpoint's
solvency in August 2005. Auditor KPMG told ASIC in December it had
concerns.

According to the West Australian, Mr. Macsporran said Mr. Carey
had considered putting forward a deed of company arrangement to
allow developments to go ahead and for mezzanine debt to be
repaid, allowing the company to trade its way out of trouble.

But financier Perpetual appointed accountants from KordaMentha as
receivers of Westpoint Corp on Jan. 24, 2006 -- the day the
Warnbro Fair option was transferred to Bowesco. The transfer was
dated Oct. 7, 2005.

"What's alleged here is asset stripping," the report quotes
Mr. Macsporran as saying.

The West Australian adds that Mr. Carey's barrister Sam Vandongen
said the option contract repeatedly contemplated it being
exercised by Westpoint Corp or a nominee company.

Mr. Vandongen said Westpoint Corp's role was never to carry out
developments, which were done by other companies within the group,
the report relays.

                        About Westpoint Group

Headquartered in Perth, Western Australia, the Westpoint Group
-- http://westpoint.com.au/-- was engaged in property
development and owned or managed retail and commercial properties
with a total value of over AU$300 million.  The Group's troubles
began in 2005 when the Australian Securities and Investments
Commission commenced investigations on 160 companies within the
Westpoint Group.  The ASIC's investigation led to ASIC initiating
action in late 2005 in the Federal Court of Australia against a
number of mezzanine companies in the Westpoint Group, including
winding up proceedings.  The ASIC contended that Westpoint
projects are suffering from significant shortfall of assets over
liabilities so that hundreds of investors are at serious risk of
not receiving repayment of their investments.  The ASIC also
sought wind-up orders after the Westpoint companies failed to
comply with its requirement to lodge accounts for certain
financial years.  These wind-up actions are still continuing.

In February 2006, the Federal Court in Perth issued a wind-up
order against Westpoint Corporation Pty Ltd.  The ASIC had
applied to wind up the company on grounds of insolvency.  The
ASIC believed that Westpoint Corporation is responsible for
arranging, managing and coordinating Westpoint Group's property
projects as well as holding money for other group companies.  The
ASIC was concerned that Westpoint Corporation was unable to pay
its debts, including its obligations under the guarantees given
to the mezzanine companies to make good expected shortfalls in
the repayment of amounts owed to investors.

The Westpoint Group's collapse is considered by many as the
largest of its type in recent years, with small investors being
the biggest group affected.  Investors are currently joining
forces to commence a class action against Westpoint and its
advisors.


* AUSTRALIA: High Debt Driving Farms Into Receivership
------------------------------------------------------
Elysse Morgan at ABC News reports that there has been a large jump
in the number of farms going into administration because of high
debts, and administrators say the problem is getting worse.

Scores of farms across the country are in receivership, or in some
form of financial distress, because farmers borrowed against land
that is now falling in value, according to ABC News.

The report relates that the problem is particularly bad for dairy
farmers, which have also been hit with low milk prices.

In Queensland alone, farm debt jumped 19 per cent over the two
years to 2011 to around $17 billion, the report discloses.

The report notes that Chris Honey from corporate advisory and
insolvency firm McGrathNicol says more farmers are losing their
properties.

"In sectors such as the northern beef sector, the dairy sector in
New South Wales and northern Victoria, we are just beginning to
see signs of distress in the cropping areas of central New South
Wales," the report quoted Mr. Honey as saying.

The Federal Government is now offering low interest loans to
farmers, but farming bodies are dubious about how much they will
help, the report adds.



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C H I N A
=========


GOLDEN WHEEL: Fitch Places 'B' Rating on CNY600MM Unsecured Notes
-----------------------------------------------------------------
Fitch Ratings has assigned China-based homebuilder Golden Wheel
Tiandi Holdings Company Limited (GWTH)'s CNY600 million 11.25%
senior unsecured notes due 2016 a final 'B' rating. This final
rating follows the receipt of documents conforming to information
already received, and is in line with the expected rating assigned
on April 17, 2013.

Key Rating Drivers

Small scale: GWTH's business scale is smaller than B-rated peers,
as reflected by recognised sales of only CNY863m in 2012. Cash
flow and sales performance can be volatile, due to concentration
on only five to six major projects at any one time. In addition,
the company's focus on small commercial projects linked to metro
stations may also curb the speed of expansion of its business
scale.

Limited diversification: GWTH has not diversified meaningfully
outside of its home base in Nanjing. In 2012, projects in Nanjing
accounted for 65% of its land bank. This, together with its small
scale, exposes GWTH to potential competition from larger regional
or national players which may affect margins, and, eventually,
liquidity.

Unique model mitigates: GWTH has a proven track record in
developing small-sized commercial projects linked to metro
stations mainly in Nanjing. The unique locations and commercial
projects have the potential to boost the value of its investment
properties. They also allow the company to make superior margins.
At end-2012, it recorded a 52% gross profit margin and 45% EBITDA
margin. As China builds more subways in second tier cities, GWTH's
business model should remain sustainable. These factors mitigate
risks posed by its small scale.

Healthy financial position: GWTH's prudent financial management is
demonstrated by the low 7.5% net debt/adjusted inventory ratio at
end-2012. Fitch expects this ratio to rise to 15% at end-2013,
following an increase in debt to fund new projects.

Investment properties strengthen profile: GWTH's recurring EBITDA
from its investment property portfolio provided a1.7x coverage of
its gross interest expense in 2012. Fitch expects this ratio to
range around 0.5x over the next three years, as an increase in
debt outpaces rental income growth. Nonetheless, its investment
property portfolio, valued at CNY3.1bn at 2012, provides financial
flexibility.

Rating Sensitivities

Negative: Future developments that may, individually or
collectively, lead to negative rating action include:

- A significant year-on-year decrease in contracted sales plus
  sales after completion

- EBITDA margin falling below 25% on a sustained basis

- Net debt/ adjusted inventory rising above 30% on a sustained
  Basis

- Deviation from the current focus on metro-linked projects

Positive: No positive rating action is expected over the next 12-
18 months given the company's current small scale. However,
positive rating action may result from:

- Increase in the value of investment properties to over CNY5bn
  and annual contracted sales plus sales after completion to
  CNY3bn

- Recurrent EBITDA interest coverage rising over 1x on a
  sustained basis


XINYUAN REAL: Fitch Assigns 'B+' Rating to US$200MM Unsec. Notes
----------------------------------------------------------------
Fitch Ratings has assigned US-listed China-based Xinyuan Real
Estate Co., Ltd.'s senior unsecured USD200 million 13.25% notes a
final 'B+' rating. The assignment of the final rating follows the
receipt of documents conforming to information already received,
and is in line with the expected rating assigned on April 18,
2013.

Key Rating Drivers

Financial strength balances scale: Xinyuan's rating is dependent
on its financial strength remaining solid, especially in
maintaining sufficient cash to meet short-term debt obligations.
Its small scale constrains its business diversity in terms of a
narrow product mix, limited geographical spread, and a small
number of projects being sold in a year relative to peers.
Xinyuan's low EBITDA margin of about 13% on a five-year rolling
average basis reflects that it is susceptible to sudden sharp home
price swings, such as that in 2008.

Asset-light small homebuilder: Xinyuan's small holding of property
development assets gives its creditors less protection in the
event of asset liquidation. Its land bank by saleable gross floor
area (GFA) of 1.2 million square metres (sqm) at end-2012 was less
than the size of similarly rated peers. Even including the new
land Xinyuan is close to acquiring, its land bank will still be
less than half of that of its peers. Further, its land acquisition
strategy will continue to focus on fast-growing second and third
tier cities with a concentration on Henan Province. Xinyuan's
contracted sales of CNY5.2bn in 2012 were, however, comparable to
other 'B+' rated Chinese homebuilders.

Land cost affects margin: Xinyuan's high proportion of land cost
versus its selling price kept profit margin low. Land cost has
been between 20% and 30% of its average selling price (ASP). This
is compared with less than 20% for most Chinese homebuilders. The
higher proportion of land cost was in part due to its land being
acquired in land auctions and also partly because Xinyuan's fast
turnover business model does not allow for much land price
appreciation, given the short lead time between land acquisition
and the start of presales. However, the company aims to mitigate
this by acquiring land plots through negotiated land auctions,
whereby land costs may be closer to 20% of ASP.

Healthy credit metrics: Xinyuan has been in a net cash position
since 2011. Its low inventory levels are a result of its high
asset turnover strategy, thus minimising investments in
development properties. The company's 2012 contracted sales/total
debt ratio of 2.7x was the highest among Fitch-rated Chinese
homebuilders.

Replicating home base success: Xinyuan has developed 24 projects
since 2001, 16 of which are in Zhengzhou. Since 2007, Xinyuan has
replicated its successful Zhengzhou developments in other cities.
This has helped the company to gain new markets in Jinan, Suzhou,
Xuzhou, Kunshan and Chengdu; and Xinyuan's business in the first
three of these cities continues to expand with growth
opportunities.

Undergoing faster expansion: Xinyuan has gone through financial
consolidation between 2008 and 2012 in the face of market
uncertainty. Its financial strength makes it an attractive
strategic partner to local land authorities for participation in
early stage land development. This will help Xinyuan undergo a
faster pace of land acquisition in Zhengzhou.

Rating Sensitivities

Negative: Future developments that may, individually or
collectively, lead to negative rating action include:

- reduction of scale as reflected by a fall in GFA land bank to
  less than two years
- contracted sales falling below CNY5bn
- net debt/adjusted inventory rising above 25%
- changes to its fast turnover model where contracted sales/gross
  debt fall below 1.5x

Positive: Positive rating action is not expected in the next
18-24 months due to Xinyuan's small operational scale and lack of
business diversification. However, future developments that may,
individually or collectively, lead to positive rating action
include:

- significant increase in scale as reflected by contracted sales
  exceeding CNY15bn
- increase in business diversification by geography, by product
  mix as well as in presence in a greater number of cities
- maintaining a strong financial profile



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I N D I A
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AACHI SPICES: CARE Rates INR8.60cr LT Loan at 'CARE BB'
-------------------------------------------------------
CARE assigns 'CARE BB' rating to the bank facilities of Aachi
Spices And Foods Private Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       8.60      CARE BB Assigned

Rating Rationale

The rating assigned to the bank facilities of Aachi Spices and
Foods Private Limited is constrained by the limited track record
of operations of the company, its regional nature of operations
confined to South India, limited value addition inherent to this
business and consequent intense competition from a number of
organized and unorganized players, susceptibility of profitability
to the volatility associated with raw material prices and ASFPL's
strained financial risk profile characterized by thin profit
margin, low cash accruals, high leverage and weak coverage
indicators. The rating is further constrained by the significantly
large debt-funded capex plans of the company.

The rating, however, favorably factors in the vast experience of
promoters in Fast Moving Consumer Goods marketing, the synergies
derived from being part of the Aachi group of companies, which has
a relatively strong brand recall through the "Aachi" brand, The
ability of ASFPL to leverage on the widespread and established
distribution network of the Aachi group spread across Tamil Nadu
region and the continued support from the promoters by way of
unsecured loans.

Going forward, the ability of ASFPL to expand its footprint across
India, through a competitive pricing strategy and the ability to
introduce new products to attract new clients and catering to
their preferences, while sustaining the quality of the products
and retaining existing clients would be the key rating
sensitivities. The ability of ASFPL to improve its profit margin
in the highly fragmented industry will also be a key rating
sensitivity.

Aachi Spices & Foods Private Limited was promoted in 2008 as a
proprietorship firm by Mr. A. D. Padmasingh Isaac and was later
incorporated as a private limited company in March 2010. It
belongs to the Aachi group, which was established in 1995. The
Aachi group was focused on preparation of various spices and
masala powders until 2008. ASFPL was established with the Aachi
group's objective of entering into the ready to cook, ready to eat
food product segment. The group has also been able to establish
its brand image of "Aachi". The brand has been built through a
strong and sustained marketing campaign on television and
newspaper ASFPL manufactures both 'Ready-to-cook' and 'Ready-to-
eat' items such as Gulab jamun mix, Badam drink mix, Ragi flour,
Payasam mix, veg and non-veg pickles, spices, rava idly mix,
masala rice for biryani etc. The company's main facilities are
located at Padi and Red hills. ASFPL's products are marketed to
the consumers through 3,500 agents and 10 lakh retailers through
its group company Aachi Masala Foods Private Limited [AMFPL];
AMFPL is a marketing arm of ASFPL. AMFPL also procures food
products from various MSME manufacturers.


AEP INDUSTRIES: CARE Rates INR3.79cr Loan at 'CARE BB'
------------------------------------------------------
CARE assigns 'CARE BB' and 'CAREA4' to the bank facilities of
AEP Industries Private Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       3.79      CARE BB Assigned
   Long-term/Short-term Bank       2.70      CARE BB/ CARE A4
   Facilities                                Assigned

Rating Rationale

The ratings assigned to the bank facilities of AEP Industries
Private Limited are primarily constrained on account of its modest
scale of operations in the highly fragmented industry coupled with
declining margins, moderately leveraged capital structure and
elongated collection period.

The ratings further continue to be constrained due to volatility
associated with the raw material prices and project implementation
risk associated with the ongoing capex.

These constraints outweigh the benefits derived from the
experienced promoters, reputed customer profile and support from
the group company on operational front. The ability of AEPIPL to
increase its scale of operations, completion of the project within
time and cost parameters along with improvement in profitability
and capital structure are the key rating sensitivities.

AEPIPL, earlier known as Powergrip (India) Fasteners Private
Limited was incorporated in 1996. AEPIPL specializes in
manufacturing and supply of all kinds of high-tensile and
stainless-steel fasteners in size above 3/8" diameter (M10). In
2009, AEPIPL diversified into investment casting (lost wax
process) and started a plant at Vithal Udyognagar, Gujarat, with
an installed capacity of 480 MTPA.

AEPIPL is a sister concern of AEP Company (rated 'CARE BB; CARE
A4'), which was established in 1975. Besides, Unique Forging
(India) Private Limited (UFPL) and Unique Industries (UI) are also
its sister concerns which are engaged in the manufacturing of
forging components.

As against a net profit of INR0.09 crore on a total operating
income of INR6.15 crore in FY11 (refers to the period April 1 to
March 31), AEPIPL reported a net profit of INR0.22 crore on a
total operating income of INR9.94 crore during FY12.


ATLANTIS PRODUCTS: CARE Rates INR6.75cr Loan at 'CARE BB-'
----------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4+' ratings to the bank
facilities of Atlantis Products Private Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       6.75      CARE BB- Assigned
   Short-term Bank Facilities      0.50      CARE A4+ Assigned
   Long-term/Short-term Bank      13.00      CARE BB-/CARE A4+
   Facilities                                Assigned

Rating Rationale

The ratings assigned to the bank facilities of Atlantis Products
Private Limited are constrained on account of its highly leveraged
capital structure, relatively weak debt coverage indicators and
increasing working capital requirements. The ratings are further
constrained due to its presence in a highly competitive business
segment and vulnerability of its profitability to the volatility
in the prices of raw materials.

The ratings, however, favorably take into consideration the vast
experience of the promoters in trading business and increase in
the scale of operations over the last two years catering to a
reputed clientele.

Increase in the scale of operations with improvement in
profitability, rationalization of capital structure and efficient
management of working capital requirements would be the key rating
sensitivities.

Incorporated in April 2009 by Rajiv Vastupal Mehta, APPL is part
of the Rajiv group based at Ahmedabad (Gujarat). The company is
engaged in the manufacturing of Poly-Propylene/
High-Density Polyethylene (HDPE) woven sacks, woven fabrics and
tarpaulins at its manufacturing facilities at Dholka (Ahmedabad)
with an installed capacity of 9,000 Metric Tonnes Per Annum
(MTPA) and trading of PP/HDPE granules. Sales from manufacturing
activity, trading activity and other income constituted 69%, 29%
and 2%, respectively, of total operating income during FY12
(refers to the period April 01 to March 31).

During FY12, APPL reported a total operating income of INR73.26
crore (P.Y.: INR51.08 crore) with losses of INR2.06 crore (P.Y.:
Profit of INR0.29 crore). During the nine months ending December
2012, the company has reported total operating income of INR61.76
crore with PAT of INR0.51 crore.


BINANI ZINC: CARE Reaffirms 'BB+' Rating on INR11.25cr Loan
-----------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Binani Zinc Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities      11.25      CARE BB+ Reaffirmed

   Long-term Bank Facilities      15.00      CARE BBB- (SO)
                                             Reaffirmed

   Short-term Bank Facilities    247.00      CARE A 3 (SO)
                                             Reaffirmed

Rating Rationale

The bank facilities of Binani Zinc Limited aggregating INR262
crore are backed by an unconditional and irrevocable corporate
guarantee extended by Binani Industries Limited (BIL; rated 'CARE
BBB- /CARE A3') for the repayment obligations of these bank
facilities.

The standalone rating of BZL continues to be constrained by
fluctuating realisations and profitability margins due to volatile
zinc prices, absence of captive sources of raw materials and
power, low cash accruals and stressed debt coverage indicators.
The ratings, however, continue to factor in the promoter's long-
standing experience in the domestic zinc business and revival in
demand from the end-user industries.

The ability of BZL to achieve financial closure and necessary
clearances for the domestic mining projects is the key rating
sensitivity.

Rating Rationale- BIL

The ratings continue to factor in the long track record and
diversified business operations, experience of the promoters in
the cement, zinc and glass fibre businesses and Binani's strong
brand image. The ratings also factor in the proposed divestment of
40% stake in Binani Cement Limited (BCL), in which BIL holds
98.43% stake, the proceeds from which will be partly utilized to
retire a part of BIL's debt and thereby ease the strain on its
capital structure.

The ratings are, however, constrained by continued
underperformance of its subsidiaries resulting in subdued
performance on consolidated basis, high dependence on its cement
subsidiary for growth, high leverage on account of the debt-funded
acquisitions and the volatile nature of industries in which the
subsidiaries of BIL operate.

The ability of the BIL's subsidiaries to turn around and improve
their performance alongwith BIL's ability to timely monetise its
investments constitute the key rating sensitivities.

BZL, a subsidiary of BIL, has been in operations since 1967. The
company is engaged in the manufacturing of zinc with an installed
capacity of 38,000 Tonne Per Annum (TPA) at its plant
located at Binanipuram in Kerala. Mr Braj Binani is the promoter
and chairman of BZL. The company also produces Sulphuric Acid and
Cadmium which are generated as by-products.

BZL registered a net loss of INR14.56 crore on a total operating
income of INR406.95 crore in FY12 (refers to the period April 1 to
March 31) as against a net loss of INR8.57 crore on a total
operating income of INR415.34 crore in FY11.


CHINTPURNI STEEL: CARE Assigns 'B' Rating to INR15.07cr LT Loan
---------------------------------------------------------------
CARE assigns 'CARE B' and 'CARE A4' ratings to the Bank Facilities
of Chintpurni Steel Private Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       15.07     CARE B Assigned
   Short-term Bank Facilities       1.00     CARE A4 Assigned

Rating Rationale

The ratings assigned to the bank facilities of Chintpurni Steel
Private Limited are primarily constrained by its modest scale of
operations, low capacity utilization, declining PBILDT margin,
leveraged capital structure and working capital intensive nature
of operations. The ratings are further constrained by its presence
in the highly fragmented industry, susceptibility to cyclicality
of steel industry and raw material price volatility.  The ratings,
however, take comfort from the experience of the promoters of CSL.

Going forward, the ability of CSL to increase its scale of
operations while improving its capacity utilization and capital
structure, better working capital management and the ability to
manage the raw material price fluctuation risk would be the key
rating sensitivities.

Chintpurni Steel Private Limited was incorporated in 2004 by Mr
Jamnadass Manek and others (family friends and relatives). The
company is engaged in the manufacturing of sponge iron, trading of
iron-ore and its by-product (i.e. fines). In FY12 (refers to the
period April 1 to March 31), the company also started
manufacturing of Mild Steel (MS) Ingots. During FY11 and FY12, the
company generated revenue from other income (approximately 10% of
the total income) in the form of contract receipt pertains to
supervision of open cast mines of coal in Jharkhand and nearby
region. The manufacturing facility of the company is located at
Ramgarh, Jharkhand, with an installed capacity of 60,000 Tonnes
per annum (TPA) for sponge iron and 18,900 TPA for MS ingots.

For FY12, CSL achieved a total operating income of INR44.61 crore
and PAT of INR0.88 crore. For 11M FY13 (refers to the period
April 1 to February 28), CSL achieved a total operating income of
INR63 crore.


G KISHANLAL: CARE Rates INR4.68cr LT Bank Loan at 'CARE BB-'
------------------------------------------------------------
CARE assigns 'CARE BB-' rating to the Bank Facilities of G
Kishanlal Jewels.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       4.68      CARE BB- Assigned

Rating Rationale

The rating assigned by CARE is based on the capital deployed by
the partners and the financial strength of G. Kishanlal Jewels as
on March 31, 2012. The rating may undergo a change in case of
withdrawal of capital by the partners in addition to the financial
performance and other relevant factors.

The rating of G Kishanlal Jewels is constrained by the partnership
nature of the firm, highly fragmented and competitive nature of
the industry, small size and limited track record of operations,
volatility in raw material prices and working capital intensive
nature of operations. The ratings favorably factor in the
experience of the management team in trading activities, franchise
agreement with Gitanjali Jewellery Retail Pvt Ltd and prime
location of the showroom. The ability of the company to improve
the scale of operations, profitability margins and manage working
capital efficiently will be key sensitivities.

G Kishanlal Jewels is a partnership firm started in September 2010
by Vishnu Naredi and his relatives. GKJ has its showroom at
Jubliee Hills, Hyderabad with a store space of 2,500 square feet.
GKJ entered into a franchise agreement with Gitanjali Jewellery
Retail Pvt Ltd in January 2011 and commenced operations from July
2011. Mr Vishnu Naredi and Mr. Varun Naredi are the Managing
Partners of the firm who looks into day-to-day operations of the
firm.

GKJ has registered a PAT of INR0.15 crore out of total income of
INR8.44 crore in FY12 (refers to the period April 01 to
March 31). GKJ registered a PAT of INR0.25 cr on total revenue of
INR12.54 cr for 11MFY13.


JAJOO EXPORTS: CARE Assigns 'BB-' Rating to INR4.16cr Loan
----------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4' ratings to the bank
facilities of Jajoo Exports.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       4.16      CARE BB- Assigned
   Short-term Bank Facilities      9.50      CARE A4 Assigned

The ratings assigned by CARE are based on the capital deployed by
the proprietor and the financial strength of the firm at present.
The ratings may undergo change in case of the withdrawal of
capital or the unsecured loans brought in by the proprietor in
addition to the financial performance and other relevant factors.

Rating Rationale

The ratings assigned to the bank facilities of Jajoo Exports are
primarily constrained by its moderate financial risk profile
marked by the moderately low profitability, leveraged capital
structure, moderately weak debt coverage indicators and liquidity
position. The ratings are further constrained on the account of
vulnerability of profit margin to volatility in the foreign
exchange rates and JES's presence in highly fragmented and
competitive refractory industry. The ratings, however, derive
strength from the long standing track record of the operations and
wide experience of the promoter in the industry.

The ability of JES to increase the scale of operations in light of
the competitive nature of the industry and increase in the
presence in market along with improvement in the profitability and
improvement in the capital structure are the key rating
sensitivities.

Jaipur (Rajasthan)-based JES was established as a proprietorship
concern in the year 1997 by Sudhir Jaju. The firm is engaged in
the manufacturing of ferro alloys and ramming mass (used as
lining in furnace). JES is also involved in the trading of the
ferro alloys which comprises approximately 20% of the total income
during last three years ended FY12 (refers to the period
April 1 to March 31). The firm caters only to the overseas markets
of Africa, Europe and Middle East Countries. The manufacturing
facilities are located in Jaipur with an installed capacity of
6,000 metric tonnes per annum (MTPA) for ferro alloys and 3,600
MTPA for manufacturing ramming mass as on March 31, 2012.

During FY12, as per the audited results, JES reported a total
operating income of INR35.70 crore (FY11: INR31.08 crore) and a
Profit After Tax of INR1.01crore (FY11: INR0.83 crore). During
FY13 (provisional), JES had achieved the total operating income of
INR43.10 crore and PAT of INR1.10 crore.


JAJOO RASHMI: CARE Assigns 'BB-' Rating to INR6.75cr Loan
---------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4' ratings to the bank
facilities of Jajoo Rashmi Refractories Private Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term/Short-term Bank       6.75      CARE BB- Assigned
   Facilities

   Short-term Bank Facilities      1.00      CARE A4 Assigned

Rating Rationale

The ratings assigned to the bank facilities of Jajoo Rashmi
Refractories Private Limited are primarily constrained by its
moderate financial risk profile marked by the low profitability,
leveraged capital structure, weak debt coverage indicators and
liquidity position. The ratings are further constrained on the
account of JRPL's presence in highly fragmented and competitive
refractories industry.

The ratings, however, derive strength from the long-standing track
record of the operations and wide experience of the promoters in
the industry.

The ability of JRPL to increase the scale of operations in light
of competitive nature of industry and increase in the presence in
market along with improvement in the profitability and improvement
in the capital structure are the key rating sensitivities.

Jaipur (Rajasthan)-based JRPL, incorporated in 1995, promoted by
Sudhir Jaju and Sunil Jaju. The company is engaged in the
manufacturing of ferro alloys and ramming mass. JRPL is also
involved in the trading of the ferro alloys which comprises more
than 20% of the total income during last three years ended FY12
(refers to the period April 1 to March 31). The manufacturing of
the ferro alloys and ramming mass (used as lining in furnace)
accounted for nearly 50% and 30%, respectively, of its total
operating income during FY12. The manufacturing facilities are
located in Jaipur with an installed capacity of 4,800 metric
tonnes per annum (MTPA) for ferro alloys and 24,000 MTPA for
manufacturing ramming mass as on March 31, 2012. JRPL also possess
quartz mines in Rajasthan, which is the main raw material for
manufacturing ramming mass.

During FY12, as per the audited results, JRPL reported a total
operating income of INR22.75 crore (FY11: INR24.34 crore) and a
Profit After Tax of INR0.20 (FY11: INR0.18 crore). During FY13
(provisional), JRPL had achieved the total operating income of
INR38.00 crore and PAT of INR0.42 crore.


K & K JEWELLERS: CARE Rates INR15cr LT Loan at 'CARE B+'
--------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of K & K
Jewellers.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities        15       CARE B+ Assigned

The rating assigned by CARE is based on the capital deployed by
the proprietor and the financial strength of the entity at
present. The rating may undergo a change in case of withdrawal of
the capital or the unsecured loans brought in by the proprietor in
addition to the financial performance and other relevant factors.

Rating Rationale

The rating assigned to the bank facilities of K & K Jewellers
(K&K) is constrained by modest scale of operations and weak
financial risk profile marked by declining profitability margins,
weak debt coverage indicators and high leverage. The rating is
further constrained by operations in a highly fragmented and
competitive G&J industry, customer concentration risk, foreign
exchange fluctuation risk and constitution of the entity as
proprietorship.

These factors far offset the benefits derived from the experienced
and qualified proprietor, and his financial support in the past.
The ability of K&K to increase the scale of operations along with
improvement in the overall financial risk profile and efficient
management of working capital cycle are the key rating
sensitivities.

K & K Jewellers, established in 2007 as proprietorship concern by
Balasaheb Kadam, is engaged in manufacturing of gold jewellery and
trading of diamonds. K & K mainly deals in 22 carat gold jewellery
which contributed around 50% of the total income in FY12 (refers
to the period April 01 to March 31). The revenues primarily
generated domestically with exports (mainly to the U.S.A., U.A.E
and Hong Kong) contributing around 34% of the total income in
FY12. However, the entire key raw material viz gold and diamond
are procured domestically.

During FY12, K&K reported total operating income of INR122.32
crore (vis-a-vis INR51.58 crore in FY11) and PAT of INR0.77 crore
(vis-a-vis INR0.10 crore in FY11). Furthermore, during provisional
FY13, the entity has posted revenue of INR128 crore and PAT of
INR0.90 crore.


KNIGHT DEALTRADE: CARE Rates INR20cr Loan at 'CARE BB-'
-------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4' ratings to the bank
facilities of Knight Dealtrade Pvt Ltd.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long term Bank Facilities       20.00     CARE BB- Assigned
   Short term Bank Facilities       9.50     CARE A4 Assigned

Rating Rationale

The ratings are constrained by KDPL's short track record of
operation, volatile input prices, significant non business
exposure, and high gearing levels. The rating is also constrained
by low profitability margins business and entry of large number of
unorganised players intensifying competition in the industry.
These constraints are partly offset by the experience of promoters
and established group.

The ability of the company to enhance the scale of operation and
profit levels in addition to manage working capital effectively
would be the key rating sensitivities.

Knight DealTrade Pvt Ltd, part of the Kolkata-based Mani Group,
commenced operations from June 30, 2011, is engaged in the trading
of construction materials mainly cement and steel. It stocks the
material at its subsidiary's (Mani Pushpak Nirman Pvt Ltd) godown
of 2,61,360 square feet. KDPL was originally incorporated on March
20, 2007 under the name of Kuber Residency Pvt Ltd and was
involved in the trading of edible oil and tea.

Mani group, promoted by Shri Sanjay Jhunjhunwala in 1980, is a
well-known Kolkata based real estate group with around 60
completed projects comprising both residential and commercial
projects (retail, entertainment, IT, hospitality and education)
mostly in Kolkata, under various companies.

During FY12 (refers to the period July 1, 2011 to March 31, 2012),
the company reported a PBILDT of INR0.0 crore and a loss of INR0.1
crore on the total operating income of INR13.2 crore. In M9FY13
(provisional), KDPL has achieved net sales of INR52.3 crore.


RAJIV PETROCHEMICALS: CARE Rates INR10.85cr Loan at 'CARE BB-'
--------------------------------------------------------------
CARE assigns 'CARE BB-' and 'CARE A4+' ratings to the bank
facilities of Rajiv Petrochemicals Private Limited.

                                 Amount
   Facilities                  (INR crore)   Ratings
   -----------                 -----------   -------
   Long-term Bank Facilities       10.85     CARE BB- Assigned
   Short-term Bank Facilities      43.75     CARE A4+ Assigned

Rating Rationale

The ratings assigned to the bank facilities of Rajiv
Petrochemicals Private Limited are constrained on account of its
highly leveraged capital structure and increasing working capital
requirements. The ratings are further constrained due to its
presence in a highly competitive trading business having low
profitability which is susceptible to volatile raw materials
prices and foreign exchange fluctuations.

The ratings, however, favorably takes into consideration the vast
experience of the promoters in trading business and its
established track record of operations of two decades.

Increase in the scale of operations with improvement in
profitability, rationalization of capital structure and efficient
management of working capital requirements would be the key rating
sensitivities.

Incorporated in October 1993 by Rajiv Vastupal Mehta, RPPL is part
of the Rajiv group based at Ahmedabad (Gujarat). The company is
engaged in the trading of Polyvinyl Chloride (PVC) resins,
Low-Density Polyethylene (LDPE) and High-Density Polyethylene
(HDPE) polymers, Polypropylene (PP) granules and polyester films.
In addition to trading activity, it also acts as the consignment
agent for plastic granules for some companies.

During FY12 (refers to the period April 01 to March 31), RPPL
reported a total operating income of INR308.47 crore (P.Y.:
INR384.08 crore) with profit of INR0.18 crore (P.Y.: Profit of
INR1.20 crore). During the 11 months ended February 2013, RPPL has
reported TOI of INR317.39 crore.


ROLTA INDIA: Fitch Assigns 'BB-' Issuer Default Ratings
-------------------------------------------------------
Fitch Ratings has assigned technology company Rolta India Limited
Long-Term Foreign- and Local-Currency Issuer Default Ratings
(IDRs) of 'BB-'.  The Outlook is Stable.

Fitch also has assigned a foreign-currency senior unsecured rating
of 'B+' and Rolta, LLC's proposed USD guaranteed senior notes an
expected foreign currency senior unsecured 'B+(EXP)' and placed
them on Rating Watch Positive (RWP). The final rating of the
proposed notes is contingent upon the receipt of documents
conforming to information already received.

Rolta, LLC is a wholly owned subsidiary of Rolta. Rolta plans to
use the proceeds from the notes for the repayment of a portion of
its secured debt, as well as for working capital and general
corporate purposes.

Key Rating Drivers

Proposed notes notched down: The senior unsecured and debt ratings
are notched down a level below the IDR. This is because while the
notes will be fully guaranteed by Rolta and its main operating
subsidiaries on a senior basis, they will be subordinated to the
company's secured debt. The latter accounted for close to 90% of
the total debt at end of the financial year to June 2012 (end-
FY12).

The RWP reflects Rolta's plan to use 75% of the bond proceeds to
refinance a portion of its secured debt. The senior unsecured and
debt ratings will then be upgraded to 'BB-' if sufficient proceeds
are raised and used to pay down enough secured debt to reduce the
subordination of senior unsecured creditors.

Small scale, low diversification: Despite its high profitability
Rolta's ratings are constrained by its small scale of operations.
Given its size, Fitch believes that the company's growth strategy
will continue to rely partly on acquisitions of core technologies
to strengthen its intellectual properties which will require high
capex and limit its ability to deleverage.

Increase in leverage: Fitch forecasts that Rolta's funds flow from
operations (FFO)-adjusted leverage will increase well above 3x by
end-FY13 from 2.8x at end-FY12 due to capex. Rolta's free cash
flow (FCF) is likely to remain negative over the medium term as
capex will only slowly decline from a peak of INR14bn in FY12.

Niche-market operation: Rolta's key credit strength lies in its
established market position in engineering and geospatial services
which have high entry barriers. This has led to solid revenue
growth and operating EBITDAR margins over 40%, which compare
favorably with industry peers. In addition, Indian defence
spending is likely to grow which will continue to be a foundation
for Rolta's growth over the long term.

Transition to IP-led strategy: Rolta's gradual transition to an
IP-led solution provider is a sound strategy as it creates long-
term recurring revenues in the form of licence sales and
maintenance fees. The company's target to improve the IP-driven
revenue share to 25%-30% in the next two to three years from the
current 15% should add stability to revenue growth and operating
margins.

Rating Sensitivities

Negative: Future developments that may, individually or
collectively, lead to negative rating action include

- FFO-adjusted leverage increasing above 4x. However, Fitch
  expects the company to maintain leverage below 4x in the
  medium term, driven by a gradual decrease in capex and stable
  FFO growth.

Rolta's IDRs are constrained by the small scale of its operations.
As such, Fitch does not foresee any positive rating action over
the medium term.

The RWP on the senior unsecured and the proposed notes' instrument
ratings will be resolved post the bond issue and the refinancing
of its secured debt.



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


HANOVER FINANCE: SFO Concludes Finance Company Investigations
-------------------------------------------------------------
The Serious Fraud Office said it has completed its investigation
of Hanover Finance Limited, bringing to an end its investigations
into the 2007/08 finance company collapses. That process, which
saw SFO investigate 15 separate companies, resulted in criminal
prosecutions in relation to nine companies. Overall, 23
individuals have faced charges laid by SFO.

The last of the investigations, into Hanover Finance Limited and
related companies, took 32 months. SFO announced it will not be
proceeding with criminal charges in this case.

"This has been by far the most extensive and challenging of the
finance company investigations undertaken by SFO," said Acting SFO
Chief Executive Simon McArley.

Since September 2010, SFO has analysed more than 107,000 pages of
documentary evidence and interrogated over 3,730 gigabytes of
electronic data. Fifty-four interviews have been conducted over
120 hours, and more than 30 individual loans or other transactions
of interest have been identified and reconstructed. Overall,
around 12,700 hours have been spent analysing that evidence.
Expert opinion advice has also been considered from eight external
advisors.

From that evidence and advice, SFO believes that serious questions
arise as to:

  * The consistency between the overall view of the nature and
    financial condition of the companies disclosed to investors
    in the period from December 2007, and the actual position
    of the companies;

  * The solvency of the companies at the times that dividends
    were paid during the six months immediately prior to the
    suspension of payments to depositors in July 2008;

  * The propriety of a number of transactions entered into in
    the three months immediately prior to the suspension of
    payments to depositors that appear to have provided little
    or no benefit to the companies, while conferring some
    significant benefits on the related parties;

  * The accuracy of the valuation of the companies' assets in
    the financial statements supporting the Debt Repayment
    Proposal put to investors in November 2008.

However, in order for criminal charges to be successful it is
necessary not only to prove beyond reasonable doubt that these
circumstances occurred and that they breached the companies' legal
obligations, but that identified individuals in control of the
companies had both knowledge of the circumstances and caused them
to occur with dishonest intent.

"Recent decisions relating to other failed finance companies have
highlighted how difficult it is to satisfy this standard," said
Simon McArley.

"SFO's prosecution decisions must also be made within the context
of the Solicitor-General's Prosecution Guidelines. These require
me to be satisfied that there is a reasonable prospect, based on
credible and admissible evidence, that an impartial jury could be
satisfied, beyond reasonable doubt, that the person prosecuted has
committed a criminal offence. On the basis of the evidence
currently available, SFO is not able to reach that threshold. As a
result it is unable to commence any criminal charges in relation
to Hanover Finance and its related companies."

Simon McArley said SFO remains open to reconsider its decision if
fresh evidence as to the actual knowledge and intent of those in
control of the company becomes available.

"While many may view the conduct that occurred at Hanover Finance
as egregious, that alone is not sufficient for me to commence a
prosecution," he said.

"This is a case that has attracted huge public attention and is of
significant public interest. I believe that this justifies the
vast time and resources that SFO has dedicated to it. However, we
have now exhausted every available avenue of enquiry and the time
has come to move on and focus our resources elsewhere."

"While this has been an extremely difficult decision to make, I'm
convinced that it is not only the right one but the only possible
decision on the basis of the available evidence. The decision has
not been reached in a vacuum. I have consulted with the Crown
Solicitors, leading criminal Queen's Counsel, and the Deputy
Solicitor-General," he said.

SFO has coordinated its activities fully with the civil claims
being pursued by the Financial Markets Authority (FMA), and will
provide all the information and evidence possible to assist FMA in
those claims for compensation of the investors.

"The vast majority of the information we have accumulated has
already been shared with FMA, but if there is any additional
material we can provide to assist we will do so," said Simon
McArley.

"We will now be reviewing the evidence we have gathered to see if
other referrals are appropriate," he said.

                        About Hanover Finance

Hanover Finance Limited -- http://www.hanover.co.nz/-- was
New Zealand's third-largest privately-owned finance company with
total assets of NZ$796 million at December 31, 2007.  The company
was established in 1984 to provide finance to the rural sector
and began lending to property developers and investors in 1995.
The loan portfolio has been gradually downsized since 2006 as a
result of a more cautious approach to lending in the face of
retail funding constraints.

Hanover Finance's investors in December 2008 voted in favor of
the company's Debt Restructure Proposals, including a plan to
fully repay NZ$552.6 million principal it owes over five years.
However, Hanover Finance said in November 2009 it is no longer
likely to fully repay investors under a debt restructuring plan
due to a deterioration in the commercial property development
market, a TCR-AP report on Nov. 12, 2009, said.

In December 2009, investors agreed to swap their Hanover
interests for shares in Allied Farmers Ltd.

The Serious Fraud Office commenced an investigation into the
affairs of Hanover Finance Ltd in September 2010 after
considering complaints received from the Securities Commission,
Allied Farmers and others.

The Financial Markets Authority, on March 30, 2012, filed civil
proceedings against directors and promoters of Hanover Finance
Ltd, Hanover Capital Ltd, and United Finance Ltd.  Proceedings
under the Securities Act have been filed against Mark Hotchin,
Eric Watson, Greg Muir, Sir Tipene O'Regan, Bruce Gordon and
Dennis Broit. They relate to statements made in the
December 2007 prospectuses, subsequent advertising, and the
March 2008 prospectus extension certificate.


STARPLUS HOMES: Unsecured Creditors Unlikely to Get Paid
--------------------------------------------------------
Stuff.co.nz reports that the first liquidator's report into
collapsed Starplus Homes has indicated unsecured creditors owed an
estimated NZ$13.6 million are likely to be repaid less than NZ$1.5
million if anything at all, once receivers and liquidators fees
are taken into account.

That's after first security holder Westpac Bank and other
preferential creditors are paid, including the Inland Revenue
Department (owed NZ$75,000) and staff (NZ$80,000 in wages and
holiday pay), the report says.

Stuff.co.nz notes that Starplus' Chinese owner, Richard Lee, put
the company into voluntary liquidation on April 22 but Westpac
Bank then appointed a receiver late last week who has control over
any secured assets.

Any surplus assets left over after Westpac and other preferential
creditors have been paid, will be returned to the liquidator,
according to the report.

When the liquidator was appointed the company had up to 140
properties in various stages of development in Hamilton, Cambridge
and Auckland.

The company's owner and director has estimated the value of these
properties at about NZ$7 million but the liquidator, who released
his report at the close of business on April 29, reported the
value as unknown, Stuff.co.nz relates.

Waikato Times inquiries have indicated that about NZ$40 million of
assets and NZ$25 million secured debt may be involved in the
company's failure.



====================
S O U T H  K O R E A
====================


* South Korean Firms Sees Negative Business Outlook For May
-----------------------------------------------------------
Yonhap News Agency reports that South Korea's major companies
predict their business conditions will take a turn for the worse
in May for the first time in three months due to bleak economic
prospects stemming from the Japanese yen's weakness and poor job
reports in the United States, a poll showed Monday.

The monthly business survey index came to 99.8 for May, down from
101.5 in April, the news agency discloses citing a poll of the
country's 600 companies by sales by the Federation of Korean
Industries (FKI).  The index, which had been above the benchmark
100 in March and April, turned negative for next month, the lobby
for the country's large businesses said, citing its survey
conducted between April 17 and April 23, Yonhap relates.

A BSI reading below 100 means pessimists outnumber optimists, the
report notes.

According to Yonhap, the FKI cited the yen's decline against the
U.S. dollar and poor jobs report in the U.S. as negative external
factors that could affect the local economy.



===============
X X X X X X X X
===============


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------


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   AMERICAN BANKRUPTCY INSTITUTE
      Central States Bankruptcy Workshop
         Grand Traverse Resort, Traverse City, Mich.
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July 11-13, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Northeast Bankruptcy Conference
         Hyatt Regency Newport, Newport, R.I.
            Contact: 1-703-739-0800; http://www.abiworld.org/

July 18-21, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Southeast Bankruptcy Workshop
         The Ritz-Carlton Amelia Island, Amelia Island, Fla.
            Contact: 1-703-739-0800; http://www.abiworld.org/

Aug. 8-10, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Mid-Atlantic Bankruptcy Workshop
         Hotel Hershey, Hershey, Pa.
            Contact: 1-703-739-0800; http://www.abiworld.org/

Aug. 22-24, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Southwest Bankruptcy Conference
         Hyatt Regency Lake Tahoe, Incline Village, Nev.
            Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 3-5, 2013
   TURNAROUND MANAGEMENT ASSOCIATION
      TMA Annual Convention
         Marriott Wardman Park, Washington, D.C.
            Contact: http://www.turnaround.org/

Nov. 1, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      NCBJ/ABI Educational Program
         Atlanta Marriott Marquis, Atlanta, Ga.
            Contact: 1-703-739-0800; http://www.abiworld.org/

Dec. 2, 2013
   BEARD GROUP, INC.
      19th Annual Distressed Investing Conference
          The Helmsley Park Lane Hotel, New York, N.Y.
          Contact: 240-629-3300 or http://bankrupt.com/

Dec. 5-7, 2013
   AMERICAN BANKRUPTCY INSTITUTE
      Winter Leadership Conference
         Terranea Resort, Rancho Palos Verdes, Calif.
            Contact: 1-703-739-0800; http://www.abiworld.org/



                             *********

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., Washington, D.C., USA.
Valerie U. Pascual, Marites O. Claro, Joy A. Agravante, Rousel
Elaine T. Fernandez, Julie Anne L. Toledo, Frauline S. Abangan,
and Peter A. Chapman, Editors.

Copyright 2013.  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$775 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 215-945-7000 or Nina Novak at 202-241-8200.



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