TCRAP_Public/130808.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                      A S I A   P A C I F I C

           Thursday, August 8, 2013, Vol. 16, No. 156


                            Headlines


A U S T R A L I A

BRIDGEPORT TYRE: Receivers Seek Buyers for Firm's Assets
FAST ACCESS: ASIC Files Legal Action Over Diamond Trading Scheme
HARBOUR BAY: Appoints Ferrier Hodgson as Voluntary Administrators
NORTHERN SUBURBS: Ownership Returns to Members
* AUSTRALIA: Farmers to Spell Out Crisis to Liberal Backbenchers


C H I N A

SUNTECH POWER: CSL's Mike Nacson, GEM's Kurt Metzger Join Board
SUNWIN STEVIA: RBSM LLP Raises Going Concern Doubt


I N D I A

BAPASHREE INFRA: CRISIL Rates INR200MM LT Bank Loan at 'B'
EAST COAST: CRISIL Cuts Rating on INR220MM Loans to 'BB'
EURO INDIA: CRISIL Upgrades Ratings on INR350MM Loans to 'B+'
GS ALLOY: CRISIL Upgrades Rating on INR50MM Cash Credit to 'B+'
K N INFRA: CRISIL Downgrades Rating on INR120MM Loans to 'D'

LEENA ORGANICS: CRISIL Assigns 'B+' Ratings to INR70MM Loans
LOVELY OFFSET: CRISIL Cuts Ratings on INR235MM Loans to 'BB'
RS CONCAST: CRISIL Upgrades Ratings on INR89.5MM Loans to 'BB+'
RVM EDUCATION: CRISIL Cuts Rating on INR200MM Term Loan to 'D'
SAGAR MOTORS: CRISIL Assigns 'B+' Ratings to INR70MM Loans

VEDIC RESORTS: CRISIL Ups Ratings on INR40.9MM Loans from 'D'
ZENITH INFOTECH: Bombay High Court Admits Winding-up Petition


I N D O N E S I A

GOLDEN AGRI: Weak Market Prices Could Adversely Impact Ratings


J A P A N

* JAPAN: IMF Warns of Risk Unless Country Reins in Its Debt


N E W  Z E A L A N D

CHALMERS CAMERON: Former Foreign Exchange Trader Pleads Guilty
CYNOTECH HOLDINGS: High Court Enters Liquidation Order
SOUTH CANTERBURY: Trial to Be Held in Timaru; Heard by One Judge
SOUTH CANTERBURY FINANCE: Trio Plead Not Guilty in Fraud Case


S O U T H  K O R E A

STX PAN: Vessel Held Under Court Order Released


X X X X X X X X

* Moody's Notes Decline in Asian Liquidity Stress Index for July


                            - - - - -


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


BRIDGEPORT TYRE: Receivers Seek Buyers for Firm's Assets
--------------------------------------------------------
dissolve.com.au reports that expressions of interest are sought by
receivers PricewaterhouseCoopers for the business and assets of
Bridgeport Tyre Service Pty Ltd.  The sale is under instruction
from Derrick Vickers and Darryl Kirk as managers and receivers,
the report says.

dissolve.com.au notes that the assets are composed of mobile
service vehicles and service centers under the Bridgeport Tyre
Service and Tyreright brands. The vehicles are situated in
Maryborough, Gympie, Lytton, Kunda Park, Yatala and Stafford.

Also, the assets include property, stock, equipment and plant. The
buyer will get a freehold title for the Gympie and Lytton
locations, dissolve.com.au adds.


FAST ACCESS: ASIC Files Legal Action Over Diamond Trading Scheme
----------------------------------------------------------------
Australian Securities and Investment Commission has taken legal
action against what it claims is an elaborate diamond trading
scheme designed to avoid the operation of the consumer credit
laws.

Proceedings have been filed in the Federal Court of Australia in
Brisbane against Fast Access Finance Pty Ltd, Fast Access Finance
(Beenleigh) Pty Ltd and Fast Access Finance (Burleigh Heads) Pty
Ltd.

ASIC alleges the Fast Access Finance (FAF) companies engaged in
unlicensed credit activities and has sought civil penalties orders
against the companies, as well as compensation for six consumers.

The FAF companies operated under a business model where consumers
seeking small value loans (of amounts generally ranging from
AUD500 to AUD2,000) were required to sign documents which
purported to be for the purchase and sale of diamonds in order to
obtain a loan.

ASIC alleges in its claim that the purchase and sale of diamonds
was a pretence as there were no diamonds involved in the
transaction and consumers had no intention of buying or selling
diamonds. Rather, the diamond purchase and sale contracts were
designed to camouflage what, in reality, were loan transactions to
which the National Consumer Credit Protection Act 2009 (National
Credit Act) applied.

ASIC claims the diamond contracts were devised with the intention
of avoiding consumer credit legislation, in particular the 48% per
annum interest rate cap that previously applied in Queensland.

By operating in this manner after the July 2010 commencement of
the national consumer credit laws, ASIC claims the FAF companies
were seeking to avoid the requirement to hold a licence for their
lending activities.

Deputy Chairman Peter Kell said, "When ASIC identifies business
models or schemes that are intended to avoid obligations imposed
by the consumer credit legislation, we will take action."

"ASIC is committed to maintaining the integrity of the credit
industry and the licensing system by ensuring businesses conduct
themselves within the confines of the laws, which are intended to
protect consumers. Payday and small amount lenders can expect ASIC
to take action where they engage in this type of avoidance
behaviour," Mr. Kell said.

The Fast Access Finance proceedings are listed for a directions
hearing in the Federal Court in Brisbane on 20 September 2013.


HARBOUR BAY: Appoints Ferrier Hodgson as Voluntary Administrators
-----------------------------------------------------------------
Steven Sherman -- steven.sherman@fh.com.au -- and Jim Sarantinos -
- jim.sarantinos@fh.com.au -- of Ferrier Hodgson were appointed
voluntary administrators of these companies on Aug. 2, 2013:

-- Harbour Bay Pty Limited;
-- Care Pak Pty Limited;
-- Newimage Cosmetics Pty Limited;
-- Islander Imports Pty Limited; and
-- Swatow Imports Pty Limited (Formerly Bayview Imports Pty
    Limited).

"The Administrators are currently undertaking an urgent assessment
of the financial position of the Companies with a view to
assessing their future viability," Ferrier Hodgson said in a
statement.

Harbour Bay companies consists of four trading businesses across
four facilities in New South Wales:

Care Pak Pty Limited - a contract manufacturer of cosmetics
products. Newimage Cosmetics Pty Limited - an importer and
distributer of aerosol deodorants. Islander Imports Pty Limited -
an importer and distributor of outdoor furniture. Swatow Imports
Pty Limited - an importer and distributor of boutique furniture
and home wares.


NORTHERN SUBURBS: Ownership Returns to Members
----------------------------------------------
Daily Mercury reports that the ownership of the Northern Suburbs
Leagues Club is once again back in the hands of its members.

Manager Wayne Percey said the club had traded its way back into a
position where it could pay back its debt after going into
receivership in 2005, according to Daily Mercury.

"Redcliffe District Rugby League Football Club in Brisbane saved
the club from disappearing and we've been able to trade to get to
the position we're in now. . . . Redcliffe Leagues Club have
always had it for sale and we were able to go to the bank and ask
if they could lend us the money to buy it back," the report quoted
Manager Percey as saying.

The report notes that while Manager Percey couldn't comment on how
much it had cost the club to "buy itself back", Mr Percey said
Redcliffe had offered members a cheaper price than other
interested parties.

The report notes that Manager Percey said it had been a hard few
months for the club after a fire caused $1.3 million damage in
November.

Manager Percey said a new housing development and growth in the
Northern Beaches had helped the club earn enough to reclaim its
ownership, the report discloses.

"It's been tough but the board has been fantastic and really
supportive.  The mining decline has made it hard on everyone and
throughout the central Queensland region we're showing negative
growth at the moment. . . . Everyone is waiting for the outcome of
the election before they start spending again," the report quoted
Manager Percey as saying.

Northern Suburbs Leagues Club was formed in 1994 and has now grown
to 3500 members.

The report recalls that financial struggles led the club into
receivership in 2005.

The Redcliffe District Rugby League Football Club bought the
Northern Suburbs Leagues Club in March 2005, with Redcliffe
Leagues Club assuming the management rights of the licensed venue
as part of the acquisition, the report relays.

Manager Percey said it was a big win for members to be able to buy
back ownership of the club, the report notes.

The report adds that Manager Percey said Redcliffe would hand over
the deeds to the club later.


* AUSTRALIA: Farmers to Spell Out Crisis to Liberal Backbenchers
----------------------------------------------------------------
Brad Thompson at The West Australian reports that the leaders of
the Muntadgin Farming Alliance will meet about a dozen Liberal
backbenchers in Perth over the next two days to spell out the
deepening financial crisis in WA agriculture.

Alliance spokesman Jeff Hooper said Wheatbelt communities were
concerned that the State Government and banks were not
acknowledging the true extent of the problem, according to The
West Australian.

The report notes that Mr. Hooper said banks were taking a much
harder line, putting farmers into asset management, forcing them
to sign deeds of forbearance and appointing receivers.

"I personally know of 30 people under asset management, we have
people paying 19 per cent interest, there are four big farmers in
the Yilgarn Shire already in receivership and peak debt is
escalating all the time," the report quoted Mr. Hooper as saying.

The West Australian relates that it is understood at least one
second-tier lender is preparing to exit the industry in WA and has
put eight farms in the South West into receivership.

The Department of Agriculture and Food WA is holding a crisis
meeting of industry groups, WAFarmers, banks, financial
counsellors and health workers next week to discuss the Wheatbelt,
the report says.

The West Australian discloses that DAFWA Director General Rob
Delane described it as a "triage session" to see what more could
be done to ease the pain in some of the hardest-hit areas.

The report relates that Mr. Delane rejected claims by Yilgarn
shire president Romolo Patroni that DAFWA had withdrawn resources
and effectively given up on parts of the north-east and eastern
Wheatbelt.

Mr. Delane, the report notes, said the department had increased
staff at Merredin, based key cropping research projects in the
town and boosted weather station coverage to help farmers make
decisions on rainfall and frost.

Mr. Hooper said the alliance -- which organised one of the biggest
farm crisis meetings in WA's history in April -- continued to
support legislation introduced in Federal Parliament by maverick
independent MP Bob Katter to amend the powers of the Reserve Bank
to create a Commonwealth-backed reconstruction and development
bank, Mr. Delane adds.



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C H I N A
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SUNTECH POWER: CSL's Mike Nacson, GEM's Kurt Metzger Join Board
---------------------------------------------------------------
Suntech Power Holdings Co., Ltd., has appointed two new members to
the Company's Board of Directors, Mr. Michael Nacson and Mr. Kurt
Metzger.  The two Board members were nominated by the holders of
the Company's 3 percent Convertible Notes as a condition of the
Forbearance Agreement announced on June 28th.  The additions bring
the total number of board members to nine.

Mr. Nacson has more than 25 years of senior management and board-
level experience in the Asia-Pacific region and has worked
extensively with businesses with distressed debt and undergoing
corporate restructuring.  Mr. Nacson is currently a Principal at
CSL, an Asia-based corporate transactions advisory company and
outsourced CFO provider.  He has previously held positions as a
Managing Director, CFO, CRO, CPO, executive and non-executive
director of a number of Asia Pacific companies in the technology,
chemical, real-estate, business consulting, manufacturing,
finance, electronics, communications and transportation
industries.  Educated in the UK, Mr. Nacson previously worked as a
Partner in Arthur Andersen's Hong Kong Corporate Restructuring
Practice.

Mr. Metzger has over 20 years of senior management experience
providing financial services and counsel to financially distressed
companies and growth stage companies.  He is currently a principal
at GEM Advisory, a management consulting company, and has held
positions as a CRO and CFO in alternative asset management, bio-
energy, petrochemical, textiles, IT and clean energy investment
companies.  Previously, Mr. Metzger worked for Ferrier Hodgson, a
leading financial advisor for corporate debt, restructuring and
turnaround management.  Prior to that, he spent 16 years with
Fleet Boston Financial Corp where he last served as the Deputy MD,
Asia Fixed Income.  Mr. Metzger holds a BA in Economics with a
concentration in Alternative Energy from Brown University.

Ms. Susan Wang, the chairperson of Suntech's board, said, "We
would like to welcome our two new board members.  Messrs. Nacson
and Metzger come with credentialed experience in restructuring
and, in my view, will help benefit Suntech in the coming months."

                           About Suntech

Wuxi, China-based Suntech Power Holdings Co., Ltd. (NYSE: STP)
produces solar products for residential, commercial, industrial,
and utility applications.  With regional headquarters in China,
Switzerland, and the United States, and gigawatt-scale
manufacturing worldwide, Suntech has delivered more than
25,000,000 photovoltaic panels to over a thousand customers in
more than 80 countries.

As reported by the TCR on March 20, 2013, Suntech Power Holdings
Co., Ltd., has received from the trustee of its 3% Convertible
Notes a notice of default and acceleration relating to Suntech's
non-payment of the principal amount of US$541 million that was due
to holders of the Notes on March 15, 2013.  That event of default
has also triggered cross-defaults under Suntech's other
outstanding debt, including its loans from International Finance
Corporation and Chinese domestic lenders.


SUNWIN STEVIA: RBSM LLP Raises Going Concern Doubt
--------------------------------------------------
Sunwin Stevia International, Inc., filed with the U.S. Securities
and Exchange Commission on Aug. 2, 2013, its annual report on Form
10-K for the fiscal year ended April 30, 2013.

RBSM LLP, in New York, expressed substantial doubt about Sunwin
Stevia's ability to continue as a going concern, citing the
Company's operating losses and negative cash flows from
operations.

The Company reported a net loss of $4.0 million on $9.8 million of
revenues in fiscal 2013, compared to a net loss of $4.3 million on
$11.5 million of revenues in fiscal 2012.

The Company's balance sheet at April 30, 2013, showed
$30.9 million in total assets, $4.6 million in total current
liabilities, and stockholders' equity of $26.3 million.

A copy of the Form 10-K is available at http://is.gd/cPUd0I

Shandong, China-based Sunwin Stevia International, Inc., a Nevada
corporation, sells stevioside, a natural sweetener, as well as
herbs used in traditional Chinese medicines and veterinary
products.  Substantially all of the Company's operations are
located in the People's Republic of China.



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I N D I A
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BAPASHREE INFRA: CRISIL Rates INR200MM LT Bank Loan at 'B'
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the proposed
long-term bank facility of Bapashree Infrastructure Pvt Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Long-Term       200      CRISIL B/Stable
   Bank Loan Facility

The rating reflects exposure to risk associated with BIPL's
current ongoing residential real estate project; and
susceptibility of its revenue profile to cyclicality in the real
estate sector. The ratings also factors in support by BIPL to
project planned in its subsidiary company. These rating weaknesses
are partially offset by established track record of BIPL's
promoters in the real estate industry in Ahmedabad.

Outlook: Stable

CRISIL believes that BIPL will benefit over the medium term from
the established track record of its promoters in the real estate
industry. The outlook may be revised to 'Positive' if the company
generates higher-than-expected cash flows from operations
resulting from accelerated execution of its project and improved
inflow of advances. Conversely, the outlook may be revised to
'Negative' if BIPL reports significantly lower-than-expected cash
flow from operations, either because of subdued response to its
project or lower-than-envisaged flow of advances, impacting its
debt servicing ability.

BIPL was setup in September 2007 by Mr. Jagdish Patel and his son,
Mr. Ketan Patel. The company is engaged in residential real estate
development in Ahmedabad. The company has two ongoing residential
projects in Ahmedabad.

BIPL reported a profit after tax (PAT) of INR3.7 million on
operating income of INR128.5 million for 2011-12 (refers to
financial year, April 1 to March 31), as against a PAT of INR0.3
million on operating income of INR30.3 million for 2010-11.


EAST COAST: CRISIL Cuts Rating on INR220MM Loans to 'BB'
--------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of East Coast Distributors Pvt Ltd to 'CRISIL BB/Stable' from
'CRISIL BB+/Stable'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit               150     CRISIL BB/Stable (Downgraded
                                     from 'CRISIL BB+/Stable')

   Proposed Long-Term         70     CRISIL BB/Stable (Downgraded
   Bank Loan Facility                from 'CRISIL BB+/Stable')

The rating downgrade reflects the weakening of EDPL's business
risk profile marked by lower-than-expected revenues and a
significant decline in its operating margins. The company's
revenues estimated at INR410 million for 2012-13 (refers to the
financial year, April 1 to March 31) declined by 7 per cent year-
on-year as EDPL's brand has not performed as per expectations.
This along with inflationary pressures and a slowdown in the
economy has resulted in a sharp deterioration in EDPL's operating
margin to less than 1 per cent for 2012-13 from 7 per cent a year
earlier resulting in cash losses. While EDPL has taken several
measures to rein in costs and boost profitability, however, CRISIL
believes that EDPL's operating margins and net cash accrual
generation will remain modest over the medium term, given the weak
industry environment.

CRISIL's rating on the long-term bank facilities of East Coast
Distributors Pvt Ltd reflects the benefits that EDPL derives from
its promoters' extensive experience in the housewares industry,
and moderate financial risk profile supported by funding support
from promoters. This rating strength is partially offset by the
limited track record of EDPL's key brand, Roxx, low operating
margins and its working-capital-intensive operations.

Outlook: Stable

CRISIL believes that EDPL will benefit over the medium term from
its promoters' extensive experience in the houseware industry and
their funding support. The outlook may be revised to 'Positive' if
the company's operating revenues and accruals improve
significantly and sustainably. Conversely, the outlook may be
revised to 'Negative' if the company does not turnaround its
operations as anticipated, or if its financial risk profile
weakens because of a stretch in its working capital cycle
stretches, reduced financial assistance from promoters, or in case
of any unanticipated debt-funded capital expenditure (capex)
programme.

Incorporated in 1999 by Mr. Shyam Sunder Agarwal and his brother,
Mr. Suresh Kumar Agarwal, EDPL trades in housewares and tableware,
such as gift articles, glass and crystal ware, and other crockery
products under its brand, Roxx. The company is a part of the RB
Agarwala group, which has interests in paper, yarn, castings, real
estate, and houseware industries. EDPL is managed by Mr. Shyam
Sunder Agarwal, his brother, Mr. Suresh Kumar Agarwal, and son,
Mr. Abhinav Agarwal.

For 2012-13, EDPL reported, on a provisional basis, a net loss of
INR23 million on revenues of INR409.8 million; the company
reported a profit after tax (PAT) of INR2.7 million on revenues of
INR440.8 million for 2011-12.


EURO INDIA: CRISIL Upgrades Ratings on INR350MM Loans to 'B+'
-------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
Euro India Fresh Foods Pvt Ltd to 'CRISIL B+/Stable' from 'CRISIL
B-/Stable'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit               30      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL B-/Stable')

   Proposed Long-Term       237      CRISIL B+/Stable (Upgraded
   Bank Loan Facility                from 'CRISIL B-/Stable')

   Term Loan                 83      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL B-/Stable')

The rating upgrade reflects CRISIL's belief that Euro's revenues
and cash accruals will register healthy growth over the medium
term. The company achieved healthy offtake with revenues of
INR135.0 million in its first year of commercial operations.
Euro's liquidity is also expected to improve on account of the
company's healthy revenue growth leading to higher cash accruals.
The proposed enhancement in Euro's bank limits is expected to fund
a substantial portion of its incremental working capital cycle.
CRISIL also believes that Euro will continue to receive need-based
funding support from its promoter. Euro is planning to undertake a
capital expenditure (capex) programme towards expansion of its
manufacturing capacity. The effect of the capex on the liquidity
of the company will remain a key rating sensitivity factor going
forward.

The rating also reflects Euro's below-average financial risk
profile marked by a high gearing and weak debt protection metrics,
and exposure to competition from large and established players.
These rating weaknesses are partially offset by Euro's diversified
product portfolio.

Outlook: Stable

CRISIL believes that Euro will continue to benefit over the medium
term from its diversified product portfolio. The outlook may be
revised to 'Positive' if the company achieves more-than-expected
sales growth and profitability, leading to improvement in
financial risk profile. Conversely, the outlook may be revised to
'Negative' in case Euro registers deterioration in its liquidity
because of larger-than-expected debt-funded capex, or lower-than-
expected sales growth or profitability.

Euro, incorporated in 2008-09 (refers to financial year, April 1
to March 31), is into manufacturing of potato chips, fried
extruded snacks, namkeen, mineral water, and core filling snacks,
plant is located at Surat, Gujarat. The company has launched its
products under its brand names Euro Spa for mineral water and Euro
for other products. It is managed by Mr. Dinesh Sanspara.

Euro has achieved a profit after tax (PAT) of INR6.0 million on
net sales of INR134.9 million for 2012-13, its first year of
commercial operations.


GS ALLOY: CRISIL Upgrades Rating on INR50MM Cash Credit to 'B+'
---------------------------------------------------------------
CRISIL has upgraded its rating on G.S. Alloy Castings Ltd's long-
term bank facilities to 'CRISIL B+/Stable' from 'CRISIL C', while
reaffirming its rating on the company's short-term facilities at
'CRISIL A4'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit              50       CRISIL B+/Stable (Upgraded
                                     from 'CRISIL C')

   Letter of Credit          5       CRISIL A4 (Reaffirmed)

The rating upgrade reflects timely servicing of its term debt (not
rated by CRISIL) over the three quarters through June 2013, backed
by improved accruals during 2012-13 (refers to financial year,
April 1 to March 31) due to revenue growth and improved
profitability. CRISIL expects GSAC to sustain its liquidity backed
by sustained profitability and thus cash accruals over the medium
term. The upgrade also reflects the improvement in financial risk
profile of GSAC with moderate gearing and above-average debt
protection metrics.

The ratings, however, continue to reflect the susceptibility of
GSAC's exposure to risks relating to intense competition in the
castings industry, customer concentration, and profitability to
volatility in raw material prices. These rating weaknesses are
partially offset by the extensive industry experience of GSAC's
promoters and its moderate financial risk profile.

Outlook: Stable

CRISIL believes that GSAC will continue to benefit over the medium
term from the extensive industry experience of its promoters, and
established relationships with its customers and suppliers. The
outlook may be revised to 'Positive' if there is a substantial
increase in the company's scale of operations, while it sustains
its profitability, or if its capital structure improves, most
likely due to equity infusion by promoters. Conversely, the
outlook may be revised to 'Negative', if GSAC's profitability
declines, or its working capital cycle lengthens, leading to
pressure on its liquidity.

GSAC, established in 1987, by Mr. Prasada Rao, manufactures alloy
and steel castings, which have application in heavy engineering
industries. Its plant is located at Vijaywada, Andhra Pradesh.

For 2012-13, on a provisional basis, GSAC reported a profit after
tax (PAT) of INR21.9 million on net sales of INR906.49 million; it
had reported a net loss of INR19.0 million on net sales of
INR744.87 million for 2011-12.


K N INFRA: CRISIL Downgrades Rating on INR120MM Loans to 'D'
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of K N Infra Projects Pvt Ltd to 'CRISIL D' from 'CRISIL B-
/Stable'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Long-Term        5       CRISIL D (Downgraded from
   Bank Loan Facility                'CRISIL B-/Stable')

   Term Loan               115       CRISIL D (Downgraded from
                                     'CRISIL B-/Stable')

The rating downgrade reflects instances of delay by KNIPPL in
servicing its debt; the delays have been caused by the company's
weak liquidity on account of lower-than-expected bookings in its
real estate project adversely affecting its cash flows and absence
of timely funding support from its promoters.

KNIPPL is exposed to demand risk associated with its project and
to cyclicality inherent in the Indian real estate industry. These
rating weaknesses are partially offset by the extensive industry
experience of KIPPL's promoters.

Incorporated in 2008, KNIPPL is currently executing a residential
real estate project in Kapra, a part of Greater Hyderabad (Andhra
Pradesh). The project comprises 115 apartments (15 1-bedroom hall
kitchen (BHK), 35 2-BHK, and 65 3-BHK apartments).


LEENA ORGANICS: CRISIL Assigns 'B+' Ratings to INR70MM Loans
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of Leena Organics Pvt. Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit             32.5      CRISIL B+/Stable

   Proposed Long-Term      37.5      CRISIL B+/Stable
   Bank Loan Facility

The rating reflects LOPL's modest scale of operations and subdued
financial risk profile marked by high gearing and modest debt
protection metrics. These rating weaknesses are partially offset
by the extensive experience of LOPL's promoters in the chemicals
industry and established customer relationships.

Outlook: Stable

CRISIL believes that LOPL will maintain its stable business risk
profile over the medium term, backed by the extensive experience
of its promoters in the chemicals industry and their established
customer relationships. The outlook may be revised to 'Positive'
if LOPL's financial risk profile improves significantly driven by
higher-than-expected revenues and profitability, while improving
its capital structure and debt protection metrics. Conversely, the
outlook may be revised to 'Negative' if the company undertakes
significant debt-funded capital expenditure or if cash accruals
decrease significantly resulting in deterioration in LOPL's
financial risk profile.

Incorporated in 2003, Leena Organics Pvt. Ltd. (LOPL) is engaged
in the manufacturing of chemical products such as ethyl acetate,
butyl acetate and toluene, which find applications in
pharmaceutical, printing, paints, and adhesive industries. The
company has its manufacturing facilities at Ghaziabad with a total
installed capacity of around 10000 MT per annum. Its business
operations are managed by Mr. Ashu Singhal.

LOPL reported a (provisional) profit after tax (PAT) of INR1.3
million on net sales of INR199 million for 2012-13 (refers to
financial year, April 1 to March 31), as against a PAT of INR0.6
million on net sales of INR102.9 million for 2011-12.


LOVELY OFFSET: CRISIL Cuts Ratings on INR235MM Loans to 'BB'
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facilities
of Lovely Offset Printers Pvt Ltd to 'CRISIL BB/Stable' from
'CRISIL BB+/Stable', and has reaffirmed its rating on the
company's short-term bank facilities at 'CRISIL A4+'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Bank Guarantee            30      CRISIL A4+ (Reaffirmed)

   Cash Credit              150      CRISIL BB/Stable (Downgraded
                                     from 'CRISIL BB+/Stable')

   Line of Credit            50      CRISIL BB/Stable (Downgraded
                                     from 'CRISIL BB+/Stable')

   Packing Credit             5      CRISIL A4+ (Reaffirmed)

   Long-Term Loan            35      CRISIL BB/Stable (Downgraded
                                     from 'CRISIL BB+/Stable')

The rating downgrade reflects CRISIL's belief that LOPL will face
continued pressure on its liquidity because of its tightly matched
cash accruals against its term debt obligations and its stretched
working capital cycle. In 2012-13 (refers to financial year, April
1 to March 31), LOPL implemented a capital expenditure (capex)
programme of INR106 million towards procurement of printing
machinery. The same was funded by term loan of around INR78
million. The capex was larger than CRISIL's expectations of the
capex for the same period. CRISIL believes that LOPL's cash
accruals over the medium term would be tightly matched against its
maturing debt obligations at an average of INR71 million per
annum. In the past, the promoters have provided funding support to
LOPL in the form of capital infusion thereby supporting the
company's capital structure as well as its liquidity. CRISIL
believes that LOPL's promoters will continue to support the
company's liquidity, with timely infusion of equity and extension
of unsecured loans. LOPL's bank lines have been extensively
utilised, with average utilisation of 84.6 per cent over the 12
months through May 2013.

The ratings also reflect the extensive experience of LOPL's
promoters in the printing industry, and the company's healthy
operating efficiencies. These rating strengths are partially
offset by LOPL's modest scale of operations in a highly fragmented
industry, and highly leveraged capital structure.

Outlook: Stable

CRISIL believes that LOPL will continue to benefit over the medium
term from its established track record in the printing industry.
The outlook may be revised to 'Positive' if the company records
considerable increase in its revenues, while it maintains its
profitability, resulting in improvement in its financial risk
profile, particularly in its liquidity. Conversely, the outlook
may be revised to 'Negative' if LOPL records decline in its
accruals, or undertakes a larger-than-expected, debt-funded capex
programme, resulting in deterioration in its financial risk
profile.

LOPL was set up as a proprietary concern in 1962; it was
reconstituted as a partnership firm and as a private limited
company in 1999 and 2006 respectively. LOPL prints diaries,
calendars, wedding cards, books, and stationery. It operates
through five showrooms in Tamil Nadu. Its day-to-day operations
are managed by Mr.K. Vijaykumar.


RS CONCAST: CRISIL Upgrades Ratings on INR89.5MM Loans to 'BB+'
---------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
R.S. Concast Ltd to 'CRISIL BB+/Stable' from 'CRISIL BB-/Stable',
while reaffirming its rating on the company's short-term
facilities at 'CRISIL A4+'.

                         Amount
   Facilities             (INR Mln)    Ratings
   ----------             ---------    -------
   Cash Credit                85.0     CRISIL BB+/Stable
                                      (Upgraded from 'CRISIL BB-
                                       /Stable')

   Letter of Credit           20.0     CRISIL A4+ (Reaffirmed)

   Proposed Long-Term          4.5     CRISIL BB+/Stable
   Bank Loan Facility                 (Upgraded from 'CRISIL BB-
                                      /Stable')

   Standby Letter of Credit   10.5     CRISIL A4+ (Reaffirmed)

The rating upgrade reflects improvement in RSC's financial risk
profile, particularly capital structure and liquidity. Unsecured
loans of around INR45 million from associate concerns have been
converted into equity in the first quarter of 2013-14 (refers to
financial year, April 1 to March 31), leading to improvement in
RSC's gearing to less than 1.4 times as on date from around 2.5
times earlier. Moreover, another associate entity has committed to
maintaining the INR60 million unsecured loans extended by it to
RSC for at least three more years. CRISIL believes that RSC will,
therefore, maintain its stronger financial risk profile over the
medium term, especially in the absence of major capital
expenditure (capex) plans for the period.

The ratings continue to factor in the RSC promoters' extensive
experience in the steel industry, and RSC's moderate financial
risk profile marked by comfortable interest coverage and gearing,
improving net worth, and continued support from associate
concerns. These rating strengths are partially offset by RSC's
marginal market share, and susceptibility to intense competition
in the steel industry.

Outlook: Stable

CRISIL believes that RSC will continue to benefit from its
promoters' extensive experience in the steel industry and the
stable revenues generated from warehouse rentals over the medium
term. The outlook may be revised to 'Positive' if higher-than-
expected accruals, or significant infusions of equity drive a
sharp improvement in the company's financial risk profile.
Conversely, the outlook may be revised to 'Negative' if withdrawal
of funds by associate concerns, under-utilisation of warehousing
capacities, or any significant debt-funded capex weakens RSC's
financial risk profile.

RSC, set up in 2004, began commercial operations in 2006-07, by
manufacturing ingots. The company shifted to manufacturing billets
in 2011-12. It sells around 80 per cent of the billets it produces
to group company R.S Ispat Ltd (rated 'CRISIL BBB-/Stable/CRISIL
A3').

RSC entered the warehousing business in 2012-13, setting up a 2
lakh square feet warehouse in Kolkata. The warehouse has been
leased to ITC Ltd (rated 'CRISIL AAA/Stable/CRISIL A1+), Apollo
Tyres Ltd (rated 'CRISIL A/Negative/CRISIL A1') and Proctor and
Gamble Hygiene & Healthcare Ltd. The operations of RSC are managed
by Mr. Rakesh Agarwal

For 2012-13, RSC reported a provisional profit after tax (PAT) of
INR8.5 million on net sales of INR1.36 billion (up from INR7.9
million and INR1.1 billion, respectively, for 2011-12).


RVM EDUCATION: CRISIL Cuts Rating on INR200MM Term Loan to 'D'
-------------------------------------------------------------
CRISIL has downgraded its rating on the term-loan facility of
R.V.M Education Pvt Ltd to 'CRISIL D' from 'CRISIL B-/Stable'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Term Loan                200      CRISIL D (Downgraded from
                                     'CRISIL B-/Stable')

The rating downgrade reflects instances of delay by REPL in
repayment of its term loan installments. REPL has a monthly debt
obligation of around INR3.6 million. The company has not met its
term debt obligations that were due in the period from April 2013
to June 2013.

REPL is also exposed to project execution risks. Moreover, its
financial flexibility is constrained by its sizeable debt against
its small net worth. However, REPL is expected to benefit from the
healthy demand prospects of the education sector in India.

REPL was set up in 2011 by Mr. Lokvesh Magu. The company is
currently undertaking a project to establish a school named Manav
Rachna International School in Noida (Uttar Pradesh) under the
franchise with Manav Rachna Group. The school will offer pre-
primary, primary, and secondary education up to the higher
secondary level; it has enrolled 78 students for the 2013-14
academic year.


SAGAR MOTORS: CRISIL Assigns 'B+' Ratings to INR70MM Loans
----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of Sagar Motors.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Long-Term        5       CRISIL B+/Stable (Assigned)
   Bank Loan Facility

   Cash Credit              15       CRISIL B+/Stable (Assigned)


   Electronic Dealer        50       CRISIL B+/Stable (Assigned)
   Financing Scheme(e-DFS)

The rating reflects the firm's below-average financial risk
profile, marked by modest net worth and high gearing, and its
average scale of operations with low profitability. These rating
weaknesses are partially offset by SM's established relationship
with Ashok Leyland Ltd and its low exposure to debtor and
inventory risks.

Outlook: Stable

CRISIL believes that SM will continue to benefit over the medium
term from its established relationship with ALL. The outlook may
be revised to 'Positive' in case of substantial improvement in
SM's financial risk profile driven by higher-than-expected cash
accruals or capital infusion along with efficient working capital
management. Conversely, the outlook may be revised to 'Negative'
in case of further pressure on the firm's financial risk profile,
particularly its liquidity, owing to lower-than-expected cash
accruals or larger-than-expected working capital requirements or
large debt-funded capital expenditure.

Set up in 1983, SM is an authorised and exclusive dealer for the
heavy and medium heavy commercial vehicles (HCV and MHCV) of ALL
since March 2011 for three districts in Maharashtra. The firm is
owned and managed by Mr. Manmat Kore and his wife Mrs.
Shivnandabai Kore.


VEDIC RESORTS: CRISIL Ups Ratings on INR40.9MM Loans from 'D'
-------------------------------------------------------------
CRISIL has upgraded its ratings on the bank facilities of Vedic
Resorts & Hotels Pvt Ltd to 'CRISIL B+/Stable/CRISIL A4' from
'CRISIL D/CRISIL D'. CRISIL has also placed its ratings on the
outstanding bank facilities of VRHPL on 'Notice of Withdrawal' for
60 days at the company's request. The ratings will be withdrawn at
the end of the notice period, in line with CRISIL's policy on
withdrawal of ratings on bank loans. CRISIL has withdrawn the
ratings on VRHPL's term loans of INR143.6 million, and the
proposed bank facilities of INR0.5 million at the company's
request, as there is no amount outstanding for these facilities.

                          Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Bank Guarantee           0.9      CRISIL A4 (Upgraded from
                                     'CRISIL D'; Placed on
                                     'Notice of Withdrawal')

   Cash Credit             40.0      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL D'; Placed on
                                     'Notice of Withdrawal')

   Long-Term Loan         143.6      Withdrawal

   Proposed Long-Term      0.5       Withdrawal
   Bank Loan Facility

The upgrade reflects improvement in VRHPL's liquidity. The
company's liquidity and cash accruals improved with an increase in
its scale of operations, driven by an increase in footfalls and
occupancy at its Vedic Village Spa Resort. Therefore, the company
had repaid its term loans funded by the State Bank of India and
the State Bank of Mysore, on which it was delaying previously.
VRHPL's revenue diversity remains restricted by its dependence on
business generated by the resort; the company is also susceptible
to cyclicality in the hospitality industry. However, VRHPL
benefits from its favorable location near the Kolkata
International Airport.

Outlook: Stable

CRISIL believes that VRHPL will benefit over the medium term from
its favorable location and moderate occupancy levels over the
medium term. The outlook may be revised to 'Positive' if the
company significantly improves its scale of operations and
profitability, backed by a sustained increase in occupancy and
room tariffs, and maintains its capital structure. Conversely, the
outlook may be revised to 'Negative' if the company records lower-
than-expected cash accruals driven by low occupancy or room
tariffs, or undertakes a larger-than-expected debt-funded capital
expenditure (capex) programme, thereby weakening its financial
risk profile.

VRHPL was incorporated in 1998 in Kolkata (West Bengal), as Circle
Clubs & Resorts Pvt Ltd. The company was renamed in 2007. It is
promoted by Mr. Raj Kishore Modi and his family. VRHPL operates
the Vedic Village Spa Resort in Rajarhat (Kolkata).


ZENITH INFOTECH: Bombay High Court Admits Winding-up Petition
-------------------------------------------------------------
The Economic Times reports that the Bombay High Court has admitted
the winding-up petition filed by foreign lenders against Zenith
Infotech and has also appointed advocate Shalil Shah as the
provisional liquidator.

ET relates that on July 30 Justice SJ Kathawala, while pronouncing
the operative part of the order, observed that prima facie the
company is unable to pay its debt. However, the court has also
directed lenders to publish the advertisement about the winding-up
petition after two weeks.

According to the report, Zenith Infotech had defaulted on two
foreign currency convertible bond (FCCB) dues in 2011 and 2012,
aggregating $83 million.  ET notes that during the course of the
debate, Janak Dwarkadas, senior counsel representing the trustees
of the foreign bondholders, argued that Zenith Infotech has filed
for BIFR because of the wrongdoings of its promoters and this
can't be the reason to take shelter after siphoning off money from
the company.

"We have not read the order yet. However, we have decided to
challenge the order within two weeks," the report quotes
Raj Saraf, Chairman of Zenith Infotech, as saying.

Zenith Computers, another listed entity of the same promoter
group, is also facing winding-up petition for defaulting on FCCB
dues from SBI, according to ET.  The Securities Appellate Tribunal
(SAT) gave relief to Zenith Infotech by dismissing Sebi's ex-party
order to furnish a bank guarantee of
$33.93 million and restraining the company's promoters from
dealing in the stock market, the report relays.

Zenith Infotech Limited -- http://www.zenithinfotech.com/-- is an
India-based company. The Company is serving information technology
(IT) providers worldwide. Its product and services include
computer software and computer network and integration. The
Company's subsidiaries include Zenith Infotech (Singapore) Pte
Ltd., Zenith Infotech Services Sdn.Bhd. and Zenith Infotech FZE.
During September 2011, the Company sold its MS Division to Zenith
RMM LLC.


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


GOLDEN AGRI: Weak Market Prices Could Adversely Impact Ratings
--------------------------------------------------------------
Moody's Investors Service says that Golden Agri Resources Ltd's
(GAR) results for the first six months of 2013 have been adversely
impacted by weaker palm oil prices, but remain within the
parameters of its Ba2, stable rating. The results show revenue up
by 8.8% in H1 2013 compared with H1 2012, while the year on year
improvement in Q2 2013 was even greater at 25.4%. Nevertheless,
reported EBITDA was 22.5% lower in H1 2013 and fell away by 30.1%
in Q2 2013, year on year.

"Of the major oil palm companies, we would expect GAR to be one of
the hardest hit by the weaker palm oil prices seen in early 2013
compared to a year earlier, given its vast plantation area
relative to the current capacity of its downstream activities,"
says Alan Greene, a Moody's Vice President -- Senior Credit
Officer.

"Nevertheless, while the company points to the average CPO prices
being 25% weaker in H1 2013 compared with H1 2012, the average
price for the June quarter was only 0.4% lower than the average
for the March quarter. The main problem has been rising costs in
the plantations, at a time when GAR has significantly expanded its
low margin downstream capacity" adds Greene, who is also Lead
Analyst for GAR.

The company also noted that some tree stress has been apparent
following last year's large harvest. Overall, the fresh fruit
bunch (FFB) production for the half year to June is only 2% lower
than in H1 2012. However, the yield of FFB per hectare in Q2 2013
was down by 13% compared to the yield in Q2 2012, offsetting the
3.1% year on year increase in mature plantation area.

The reported EBITDA margin in the June quarter of 8.3% is
substantially lower than the 14.7% achieved in the March quarter.
The revenue of the Indonesian businesses grew by 23.9% in Q2 2013
over Q1 2013 as downstream activity picked up, while gross margin
shrank from 30.3% in Q1 2013 to 20.4% in Q2 2013 - a function of
rising labor costs and the cost of raw materials to feed the
refineries. However, over the first six months of 2013,
inventories fell by $219 million compared to a rise of $140
million in H1 2012, resulting in a higher reported cash flow from
operations of $261 million in H1 2013 compared with $111 million
in H1 2012.

This relatively weak set of quarterly results brings GAR closer to
the triggers that might indicate a downgrade but there is no
pressure on the rating. CPO prices have stabilized, at around
$700/ton locally or $850/ton delivered Europe, in recent weeks and
the performance of GAR's Chinese edible oil and snack food
operation, where competition and price controls have limited
profits, has improved slightly, albeit a small part of the overall
GAR business.

GAR continues to invest heavily in downstream activities such as
logistics and refining as well as increasing its plantation
holdings and the $400 million of convertible bond raised last
October has now been spent.

After planting 5,600 hectares in H1 2013, GAR's planted area has
increased by a net 1,154 ha since December 2012 and stands at
464,580 ha. GAR is expected to complete the acquisition of 16,000
ha of plantation in H2 2013. However, the largest increase in
plantation area is likely to be in Liberia where GAR is invested
through The Verdant Fund LP. This vehicle holds a license to
develop up to 220,000 ha, the process taking some twenty years to
complete.

"Moody's expects GAR to bounce back in H2 2013, when palm oil
production is seasonally stronger, but CPO prices may struggle to
recover if palm oil output is high, and soy and other oilseed
crops also have good harvests, unless there is a large improvement
in demand from China and India, the main consumers of palm oil",
adds Greene.

"However, Moody's will monitor developments and watch for
excessive leverage as the investment in the value chain occurs,
noting that gross debt at June 2013 of $2,054 million is already
some $648 million or 46% greater than a year earlier, even as net
profits for H1 2013 were some 41% lower than in H1 2012",
continues Greene.

Golden Agri, registered in Mauritius, is the largest listed oil
palm plantation company in Indonesia. Listed on the Singapore
Stock Exchange in 1999, it mainly operates in Indonesia and China
and is 49.95% owned by the Widjaja family.



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


* JAPAN: IMF Warns of Risk Unless Country Reins in Its Debt
-----------------------------------------------------------
Takashi Nakamichi and Eleanor Warnock at The Wall Street Journal
report that the International Monetary Fund on August 5 made a
fresh call on Japan's government to bring its flow of red ink
under control, saying the central bank's monetary easing could
backfire if investors believe it is "monetizing" the growing
mountain of government debt, a step that often leads to financial
turmoil.

The Journal relates that the IMF has recently hardened its
rhetoric toward Japan, suggesting the rest of the world is worried
that Prime Minister Shinzo Abe's cabinet appears divided over
whether to stick to a plan to raise its sales tax from next April.
Raising government revenue is generally considered vital to
reining in public debt, a danger spot for the Japanese and global
economies, the report says.

"It has been -- and remains -- the IMF's view that it is critical
to move ahead with the consumption tax increase as planned," Jerry
Schiff, deputy director of the IMF's Asia and Pacific department,
told The Wall Street Journal in an interview.

Delaying the tax increase could affect the credibility of Japan's
fiscal overhaul and trigger rises in Japanese government bond
yields that could hurt growth, Mr. Schiff told the Journal.  As
well, "although failure to address the fiscal problems could cause
a spike in rates even without the BOJ being seen as monetizing the
debt, this is a specific risk in the current context," the Journal
quotes Mr. Schiff as saying.

The Journal notes that monetization refers to the central bank's
buying government debt to finance public spending, often a recipe
for major financial confusion.  The Journal says Mr. Schiff's
reference to monetization may reflect growing concerns within the
IMF over Japan's possible retreat from budgetary overhaul.
According to the Journal, the IMF has long called for Japanese
fiscal reform, and did so in May in its concluding statement after
annual policy discussions with Japanese officials. But that
statement didn't mention any risks stemming from concerns of
monetization, the report notes.



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


CHALMERS CAMERON: Former Foreign Exchange Trader Pleads Guilty
--------------------------------------------------------------
Sam Thompson at NewstalkZB reports that former Foreign Exchange
trader Rene Chalmers has pleaded guilty to theft and dishonesty
charges.

Mr. Chalmers used investors' money and reported false gains
through monthly or quarterly investor statements, the report says.

According to NewstalkZB, the Serious Fraud Office said this type
of offending undermines investor confidence and discourages saving
and participation in the economy.

Mr. Chalmers will be sentenced in November, the report notes.

Chalmers Cameron Investments Limited was placed into voluntary
liquidation in May last year, owing investors about US$5 million.


CYNOTECH HOLDINGS: High Court Enters Liquidation Order
------------------------------------------------------
Fiona Rotherham at Stuff.co.nz reports that Cynotech Holdings, the
NZAX-listed company that 1980s high-flier Allan Hawkins took
control over three years ago, was on August 7 placed in
liquidation by order of the High Court in Auckland.

According to the report, interim liquidators Tony Maginness and
Peri Finnigan, of McDonald Vague, were appointed by the court late
last month after an application by Hawkins, who is the company
chairman. The pair were confirmed August 7 as full liquidators.

Stuff.co.nz notes that interim liquidation allowed them to
preserve the assets of the consumer finance and debt-collection
company, and full liquidation will mean those assets can be sold.

They comprise mainly the distressed loan books originally acquired
when National Finance and Western Bay Finance went into
receivership, the report relays.

The liquidators' first report will be issued within the next two
weeks, Stuff.co.nz notes.

According to Stuff.co.nz, Cynotech shares were halted on July 10
when the company applied for liquidation, saying it had lost the
financial support of its 77.5 per cent shareholder, Budget Loans
Group (formerly Cynotech Securities), which is owned by Hawkins
family interests.

Hawkins is best known for his role as the boss of Equiticorp,
which collapsed after the 1987 sharemarket crash, the report says.

In January, Stuff.co.nz recalls, another company under the Hawkins
family umbrella, Seating Systems Ltd, went into receivership and
liquidation.

The receivers' report said the company's only secured creditors
were Cynotech Holdings and Budget Loans Group, which between them
were owed NZ$7.2 million, plus interest, Stuff.co.nz discloses.


SOUTH CANTERBURY: Trial to Be Held in Timaru; Heard by One Judge
----------------------------------------------------------------
Emma Bailey at Stuff.co.nz reports that New Zealand's biggest
alleged fraud trial will be held at the High Court at Timaru and
heard by a judge alone.

Stuff.co.nz relates that the decision was released on August 7 by
Justice Paul Heath following the second day of pre-trial
applications for the South Canterbury Finance (SCF) trial, which
arose out of the NZ$1.58 billion collapse of the finance company
in 2010.

The 12- to 16-week trial has been set down to start on March 12
next year, the report says.

Stuff.co.nz notes that a single charge of false accounting against
SCF's former chief financial officer, Graeme Robert Brown, was
dropped on August 6. Following that, three defendants -- Edward
Sullivan, Robert White and Lachie McLeod -- were arraigned and
pleaded not guilty to a total of 18 charges which were brought by
the Serious Fraud Office (SFO) in December 2011.

Accountant Terrence Hutton was not arraigned and did not enter a
plea, with his charge to be subject to further discussion,
according to Stuff.co.nz.

Mr. Sullivan is a retired Timaru lawyer and former SCF director,
Mr. White is a retired Timaru accountant and former SCF board
member and director and Mr. McLeod is the former SCF chief
executive, the report discloses.

Stuff.co.nz says the application to have the trial heard by a
judge alone, rather than a jury, was opposed by Messrs. White and
Sullivan.

The Crown's application for a change of venue from Timaru to
Christchurch was dismissed, the report says.  Justice Heath
indicated he would give his reasons for the decisions in writing
later, the report adds.

He also allowed a hearsay statement "from a witness who is no
longer available" to be admitted at trial, the report adds.

According to the report, Justice Heath raised concerns about the
complexity of the trial and the likelihood of the average juror
understanding the issues.

There were 880 documents and exhibits in the trial, the report
notes.

                      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.


SOUTH CANTERBURY FINANCE: Trio Plead Not Guilty in Fraud Case
-------------------------------------------------------------
Radio New Zealand reports that three men who worked for South
Canterbury Finance have pleaded not guilty to 18 fraud charges
relating to the company's collapse.

The firm was placed in receivership in 2010, owing $1.6 billion,
according to Radio New Zealand.

The report relates that the three men, a chief executive and two
directors, were remanded on bail at the High Court in Timaru on.

Charges against former chief financial officer Graeme Brown have
been dropped and he has been released, Radio New Zealand notes.

The report notes that Mr Brown's lawyer said his client has always
denied he was involved in false accounting, and the charges were
withdrawn following frank discussions with Crown lawyers.

A fifth man who worked as an accountant for the company will enter
his plea at a later date, the report discloses.

The report says that the full three-month trial begins in March
next year and it is still to be decided whether it will be in
front of a jury or just a judge.



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


STX PAN: Vessel Held Under Court Order Released
-----------------------------------------------
Radio New Zealand reports that the New Giant, a bulk carrier held
under arrest by a court order for nearly eight weeks at Gisborne,
has been released and left for Australia.

STX Pan Ocean, the ship's South Korean owners, went into
receivership in mid-June and creditors obtained a High Court writ
to seize the ship, according to Radio New Zealand.

The report notes that several other ships the company owns were
arrested in the same way at other ports around the world.

The New Giant was held at anchor in Poverty Bay.

A High Court official said negotiations between the owners and
creditors successfully resolved their dispute and the arrest order
was lifted, the report notes,

The report relates that the New Giant and its crew of 20 are now
sailing to Queensland to load a cargo of sugar.



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


* Moody's Notes Decline in Asian Liquidity Stress Index for July
----------------------------------------------------------------
Moody's Investors Service says that its Asian Liquidity Stress
Index (Asian LSI) declined for a third consecutive month to 20.2%
in July from 23.9% in June.

The index, which decreases when speculative-grade liquidity
appears to increase, is at its lowest level since July 2012, when
it was 16.8% but remains historically high.

"The LSI has decreased gradually from its recent high of 29.1% in
October 2012. The July decline resulted from a net decrease in the
number of companies with our lowest (weakest) speculative-grade
liquidity score (SGL-4)," says Laura Acres, a Moody's Senior Vice
President.

"The total number of rated high-yield companies also increased by
one to 114, which further contributed to the overall improvements
in this month's Asian LSI."

Acres was speaking on the release of Moody's latest "Asian
Liquidity Stress Index" report.

The liquidity sub-index for Chinese speculative-grade companies
fell to 25.4% from 28.8% in June as the number of Chinese
companies with an SGL-4 score decreased by two.

The number of rated Chinese high-yield corporates was unchanged at
59. China's high-yield property index also decreased, to 26.5%
from 29.4% in June, as one company left the roster of those with
an SGL-4 score.

The Indonesian sub-index, which was 8.0% in May and June, plunged
to 3.8% in July. The decrease reflected the departure of one
company from the list of those with an SGL-4 score.

Meanwhile, the Australian reading was unchanged from June at 6.7%.

High-yield rated bond issuance slowed further following the strong
start early this year. However, issuance so far this year ($17
billion) is still higher than the annual totals for each of the
previous three years.

Looking ahead, the high-yield default rate for Asia Pacific (ex-
Japan) corporates will stay at a low 2% in 2013, according to
Moody's Credit Transition Model. The rate trended downward during
the first half of the year and will rise mildly in the second
half. The 2% translates into one or two potential defaults.



                             *********

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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