TCRAP_Public/140904.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, September 4, 2014, Vol. 17, No. 175


                            Headlines


A U S T R A L I A

ADELAIDE EXCAVATIONS: Clifton Hall Appointed as Liquidators
AETEC PTY: HLB Mann Judd Appointed as Administrator
KILLARNEE GROUP: Ferrier Hodgson Appointed as Administrators
KLASSE PTY: Goes Into Liquidation; Creditors Meeting Set Sept. 15
MILLER DIAMONDS: Showcase Jewellers Buys Passion8

ONLY FRESH: In Administration; First Meeting Set For Sept. 8


C H I N A

CHINA CITIC: Moody's  Affirms B1 Subordinated Debt Rating
COUNTRY GARDEN: Credit Profile Improves, Fitch Says
MODERN LAND: Moody's Places B2 CFR on Review for Downgrade


I N D I A

ALISHAN GINNING: CRISIL Ups Rating on INR80MM Cash Credit to B+
BHAGYA DIAMOND: ICRA Reaffirms 'B+' Rating on INR6cr Cash Credit
BIJJARAGI MOTORS: CRISIL Rates INR50M Inventory Funding Loan 'B'
DEV FUN: ICRA Suspends 'D' Rating on INR15cr Term Loan
GARDEN CITY: CRISIL Assigns B Rating to INR24.9M Capital Facility

HOTEL TULI: CRISIL Assigns B+ Rating to INR20MM Cash Credit
K.C. RICE: CRISIL Reaffirms B+ Rating on INR120MM Cash Credit
K.C. SOLVENT: CRISIL Reaffirms B+ Rating on INR340MM Cash Credit
K. P. INDUSTRIES: CRISIL Reaffirms 'B' INR50MM Cash Credit Rating
KRISHNA COTTON: ICRA Suspends 'B' Rating on INR7.0cr Cash Limit

LEAD VENTURES: CRISIL Cuts Rating on INR45MM Cash Credit to 'D'
MARVEL SIGMA: ICRA Revises Rating on INR25cr Fund Based Loan to D
MORACEAE PHARMA: ICRA Revises Rating on INR10cr Cash Credit to D
PUSHPENDRA REAL: ICRA Reaffirms 'B' Rating on INR10cr Cash Credit
ROSELABS BIOSCIENCE: ICRA Suspends D Rating on INR134cr Term Loan

SUBRA ENTERPRISES: CRISIL Places B+ Rating on INR50MM Cash Credit
SUKETU ORGANICS: CRISIL Reaffirms D Rating on INR64.8MM Bank Loan
SURYODAY COTEX: CRISIL Assigns B Rating to INR44.2MM Bank Loan
SWASTIK POWER: ICRA Reaffirms D Rating on INR104.95cr Term Loan
TATA MOTORS: S&P Revises Outlook to Pos. & Affirms 'BB' CCR

TMI HEALTHCARE: ICRA Assigns 'B' Rating to INR13.5cr Term Loan
VARASIDDHI INFRA: CRISIL Cuts Rating on INR75MM Project Loan to D
VIJEX VYAPAAR: CRISIL Assigns B+ Rating to INR12MM Cash Credit


J A P A N

DTC ONE: Fitch Affirms 'BBsf' Rating on JPY0.85BB Class E Notes
RENESAS ELECTRONICS: CEO Says Restructuring 60% Complete


M A L A Y S I A

MALAYSIA AIRLINES: Airfares Expected to Drop, Analysts Say
MALAYSIA AIRLINES: Khazanah Hires Management Consultants


N E W  Z E A L A N D

HERBERT INSURANCE: Boss Knew Firm Was Insolvent, Witness Says


S R I  L A N K A

NATIONAL SAVINGS: Fitch Rates Proposed US$-Denom. Notes BB-(EXP)
NATIONAL SAVINGS: S&P Assigns 'B+' Rating on Proposed Sr. Notes


                            - - - - -


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


ADELAIDE EXCAVATIONS: Clifton Hall Appointed as Liquidators
-----------------------------------------------------------
Timothy Clifton and Mark Hall of Clifton Hall were appointed Joint
and Several Liquidators of Adelaide Excavations Pty Ltd on Sept.
3, 2014.

A meeting of creditors will be held at 10:30 a.m. on Sept. 12,
2014, at Clifton Hall, Level 3, 431 King William Street, Adelaide.


AETEC PTY: HLB Mann Judd Appointed as Administrator
---------------------------------------------------
Kimberley Stuart Wallman -- kwallman@hlbinsol.com.au -- of HLB
Mann Judd (Insolvency WA) was appointed as administrator of Aetec
Pty Ltd, formerly trading as Aetec Auto Electrical Products &
Services, on Sept. 1, 2014.

A first meeting of the creditors of the Company will be held at
the Ground Floor, 15 Rheola Street, in West Perth, on Sept. 10,
2014, at 10:00 a.m.


KILLARNEE GROUP: Ferrier Hodgson Appointed as Administrators
------------------------------------------------------------
Martin Jones, Darren Weaver and Ben Johnson of Ferrier Hodgson
were appointed Voluntary Administrators of the Killarnee Group on
Sept. 1, 2014, pursuant to section 436A of the Corporations Act
2001. The first meeting of creditors is to be held on Sept. 10,
2014.

Ferrier Hodgson said: "The Administrators are undertaking an
immediate assessment of the group's affairs while the business
continues to trade. The Administrators have advised that it is too
early to form any views as to the likely return to creditors,
however are hopeful that a sale can be achieved that will maximise
the returns to stakeholders."

Killarnee Group comprises of three entities being, Killarnee Civil
& Concrete Contractors Pty Ltd, Killarnee Contracting Pty Ltd and
Killarnee Equipment Holdings Pty Ltd.

Killarnee Group is a family owned and operated West Australian
company, specialising in remote area civil and concrete works
within the Australian resource, energy and infrastructure sectors.


KLASSE PTY: Goes Into Liquidation; Creditors Meeting Set Sept. 15
-----------------------------------------------------------------
Timothy Clifton and Simon Miller of Clifton Hall were appointed
Joint and Several Liquidators of Klasse Pty Ltd on Sept. 1, 2014.

A meeting of creditors will be held at 10:00 a.m. on Sept. 15,
2014, at Clifton Hall, Level 3, 431 King William Street, in
Adelaide.


MILLER DIAMONDS: Showcase Jewellers Buys Passion8
-------------------------------------------------
Cliff Sanderson at Dissolve.com.au reports that Showcase Jewellers
has purchased Passion8, formerly owned by collapsed Miller
Diamonds.

Insolvency firm Jirsch Sutherland was appointed as official
liquidator of Miller Diamonds in late July, the report says.


ONLY FRESH: In Administration; First Meeting Set For Sept. 8
------------------------------------------------------------
W. Roland Robson -- wrrobson@rcinsol.com.au -- and Bill Cotter --
bcotter@rcinsol.com.au -- of Robson Cotter Insolvency Group were
appointed as administrators of Only Fresh Pty Ltd on Aug. 27,
2014.

A first meeting of the creditors of the Company will be held at
Robson Cotter Insolvency Group, Suite 3, Factory 2, 97 Boundary
St, in West End, Queensland, on Sept. 8, 2014, at 10:30 a.m.



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


CHINA CITIC: Moody's  Affirms B1 Subordinated Debt Rating
---------------------------------------------------------
Moody's Investors Service has placed on review for upgrade China
CITIC Bank Corporation Limited's foreign currency long-term
deposit rating of Baa2, and maintained unchanged the bank's P-2
short-term deposit rating and ba2 standalone baseline credit
assessment.

At the same time, Moody' has placed on review for upgrade China
CITIC Bank International Limited's foreign currency and local
currency long-term deposit ratings of Baa2 and maintained
unchanged the bank's P-2 short-term deposit rating and baa3
standalone baseline credit assessment.

Moody's has also placed China CITIC Bank International Limited's
Baa2 senior unsecured rating, (P)Baa2 senior unsecured MTN program
rating, and (P)Baa2 deposit note/CD program rating on review for
upgrade, and affirmed the bank's Ba1 subordinated debt rating and
Ba3(hyb) additional Tier 1 security rating with stable outlook.
The bank's (P)Ba1 subordinated MTN program rating and (P)Ba2
junior subordinated MTN program rating are also affirmed.

Ratings Rationale

China CITIC Bank:

The rating actions follow the upgrade to A3 from Baa2 of the
senior unsecured bond rating of both CITIC Group Corporation
(CITIC Group) and CITIC Limited (formerly CITIC Pacific Limited)
on 28 August 2014. (Please refer to Moody's press release titled
"Moody's upgrades CITIC Group and CITIC Limited to A3; confirms
CITIC Resources at Ba3" for details.)

CITIC Group, fully owned by China's Ministry of Finance, is China
CITIC Bank's ultimate parent. CITIC Group owns a 78% stake in
CITIC Limited, which in turns owns 66.95% of China CITIC Bank's
shares.

Moody's review of China CITIC Bank's foreign currency long-term
deposit rating considers the strengthened external support
available to the bank, given CITIC Limited's listing status, the
expected broader access to low-cost funding channels for CITIC
Group and CITIC Limited, and the strong support that the Chinese
government (Aa3 stable) has demonstrated with regard to the
acquisition and listing of CITIC Group in the overseas capital
markets.

On the other hand, Moody's does not expect the group
reorganization to materially affect the bank's business and
standalone credit fundamentals.

Moody's review will focus on the parental support and government
support available for China CITIC Bank in time of stress.

China CITIC Bank International:

China CITIC Bank International's deposit ratings factor in the
very high likelihood of support from its majority parent China
CITIC Bank, which owns 70% of the bank. The review for upgrade on
China CITIC Bank International's ratings follows the same rating
actions for its parent bank.

China CITIC Bank International's current deposit ratings factor in
one notch of support uplift from its standalone baseline credit
assessment of baa3. Systemic support from the Chinese government
for its parent China CITIC Bank is likely to flow through to the
bank in the event of need. An upgrade in the parent China CITIC
Bank's supported deposit ratings will likely lead to similar
rating actions for China CITIC Bank International. The junior
securities of China CITIC Bank International are not on review as
their ratings are linked to the BCA which should not be affected
by this review.

China CITIC Bank International's majority parent China CITIC Bank
and the CITIC Group have a consistent track record of supporting
the bank since the global financial crisis. China CITIC Bank
International collaborates with its parent China CITIC Bank and
the CITIC Group to pursue cross-border business opportunities and
benefits from customer referrals from its parents.


COUNTRY GARDEN: Credit Profile Improves, Fitch Says
---------------------------------------------------
Fitch said that Country Garden Holdings Co. Ltd.'s (Country
Garden; BB+/Stable) 1H14 financial results show that the company's
efforts to improve its credit profile are paying off.  The company
further diversified its business with the number of projects
rising to 209 at end-1H14 from 171 as at end-2013, and the
addition of 15 new cities.  Country Garden has also sought to keep
a stable financial profile with a proposed HKD3.1bn rights issue
announced on 27 August 2014.  The company's leverage, as measured
by net debt/adjusted inventory, would have been 43% at end-1H14 if
the rights issue had been included, unchanged from the end-2013
level.

A key factor Fitch will evaluate when considering positive action
on Country Garden's ratings is the company's progress on efforts
to become a nationwide homebuilder.  Since 2010, the company has
focused on expanding beyond its traditional stronghold in
Guangdong province.  The proportion of contracted sales from this
province fell to 30% in 1H14 from 44% in 2013 and over 60% before
2013.  Only 14% of the new land acquired in 1H14, by gross floor
area, was in Guangdong province.

However, Fitch notes that Country Garden is still in the process
of establishing leading positions in the new markets it has
entered since 2010.  Out of the 22 provinces and municipalities it
operated in 1H14, four generated over CNY5bn of sales.  This is an
improvement over the full-year 2013 when only Guangdong province
generated more than CNY10bn of sales, a level Fitch considers a
leading homebuilder would achieve within a province. But it will
have to move beyond provinces in southern and eastern China and
have a range of provinces that generate over CNY10bn in sales on a
sustainable basis to be considered a nationwide player. This could
happen in two years if the company continues on its current
trajectory.

Fitch also notes that Country Garden has successfully transitioned
to building high-rise homes from its traditional strength in
landed housing projects.  The company's sales turnover, measured
by the ratio of contracted sales to gross debt, was 1.9x
(annualized) in 1H14, the same as at end-2013, with almost three
quarters of its 1H14 contracted sales came from high-rise
buildings.  This was likely because the company stuck to its core
strength of selling to wealthy individuals and upgraders.  One
third of its 1H14 sales came from large units- either high-rise
apartments of over 140 sqm or landed homes.  Only 16% of its
residential properties sold in 1H14 were below 90 sqm, the segment
that first-time homebuyers gravitate towards.


MODERN LAND: Moody's Places B2 CFR on Review for Downgrade
-----------------------------------------------------S-----
Moody's Investors Service has placed Modern Land (China) Co.,
Ltd.'s B2 corporate family rating and B2 senior unsecured rating
on review for downgrade.

Ratings Rationale

On August 31, 2014, Modern Land announced that Mr Zhong Tianxiang,
CEO and Executive Director, and Mr Fan Qingguo, CFO and Executive
Director, had resigned from the company. Mr Zhong and Mr Fan will
remain as non-executive directors of the company.

Subsequently, on 1 September, the company announced that it had
restructured its management teams and will not re-appoint any CEO
and CFO. The functions of Mr Zhong and Mr Fan will be carried out
by the President, Mr Zhang Peng, and the Vice President, Mr Wang
Qiang.

"While Mr Zhang and Mr Wang have been working in Modern Land for a
long period of time, these material changes in the senior
management team could interrupt the company's day-to-day
operations, and could affect the company's abilities in meeting
its business plans," says Kaven Tsang, a Moody's Vice President
and Senior Analyst.

In its review, Moody's will evaluate the potential rating impact
from Modern Land's restructuring, including the impact on 1) the
company's day-to-day operations; 2) the company's business
strategy and execution of its business plan; and 3) its access to
bank loans and refinancing.

In addition, Moody's will also review the reason for the company's
delay in releasing its 1H 2014 results to 31 August from 26 August
originally.

Moody's notes that Modern Land's 1H 2014 results are in line with
expectation.

The company reported 36% year-on-year growth in contracted sales
in 1H 2014 to RMB2.28 billion. This achievement follows strong
sales growth of around 54% year-on-year in 2013.

Gross debt rose to RMB3.78 billion at end-June 2014 from RMB2.16
billion at end-2013, resulting in a decline in revenue to gross
debt to 1.1x for the 12 months ended June 2014 from 1.6x in
FY2013.

In addition, its EBITDA/interest coverage fell to 5.2x for the 12
months to June 2014 from 8.6x in 2013.

Moody's expects Modern Land's EBITDA/interest will decline to
around 2.5x, and revenue to gross debt to around 0.8x in the next
12 months.

Modern Land's B2 corporate family rating continues to reflect its
track record of generating stable sales in its niche market of
comfortable and eco-friendly homes. It also reflects the high
profitability of its niche products.

On the other hand, the rating considers Modern Land's small scale
and exposure to market volatility, against the backdrop of its
need to access capital to fund its rapid growth.

Its cash holdings totaling RMB2.5 billion (including restricted
cash) as of June 2014 and operating cash flow adequately cover its
maturing debt of RMB905 million and committed land payments in the
next 12 months.

The principal methodology used in this rating was Global
Homebuilding Industry published in March 2009.

Listed on the Hong Kong Stock Exchange in July 2013, Modern Land
(China) Co., Limited was founded in 2000 in Beijing by the
company's chairman, Mr. Zhang Lei. It specializes in developing
"comfort living" housing units and is one of the few early
pioneers of green and eco-friendly projects in China.

As of June 2014, the company had a total land bank of 3.6 million
square meters in gross floor area in China (excluding investment
properties and properties held for own use), located in Beijing,
Jiujiang, Nanchang, Taiyuan, Changsha, Xiantao, and Wuhan.



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


ALISHAN GINNING: CRISIL Ups Rating on INR80MM Cash Credit to B+
---------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facilities of
Alishan Ginning Mills Pvt Ltd to 'CRISIL B+/Stable' from 'CRISIL
B/Stable'.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit               80      CRISIL B+/Stable (Upgraded
                                     from 'CRISIL B/Stable')
   Proposed Long Term         8.9    CRISIL B+/Stable (Upgraded
   Bank Loan Facility                from 'CRISIL B/Stable')

   Standby Letter of         10      CRISIL B+/Stable (Upgraded
   Credit                            from 'CRISIL B/Stable')

   Term Loan                 21.1    CRISIL B+/Stable (Upgraded
                                     from 'CRISIL B/Stable')

The rating upgrade reflects the significant improvement in AGMPL's
scale of operations, with revenue of INR537.2 million in 2013-14
(refers to financial year, April 1 to March 31), against INR278
million in 2012-13. The increase in revenue was because of the
company's improved capacity utilisation. The upgrade also factors
in the improvement in AGMPL's gearing to 2.90 times as on March
31, 2014, from 3.36 times as on March 31, 2013. Its liquidity was
also better, with higher-than-expected cash accruals of INR9.8
million, adequate to service its term debt repayment obligation of
INR6.0 million, in 2013-14.

The rating continues to reflect AGMPL's modest scale of operations
in the fragmented cotton industry, and the susceptibility of its
operating margin to fluctuations in cotton prices and to
regulatory changes. The rating is also constrained by the
company's below-average financial risk profile, marked by a modest
net worth base and low debt protection metrics. These rating
weaknesses are partially offset by the extensive business
experience of AGMPL's promoters in the cotton industry.
Outlook: Stable

CRISIL believes that AGMPL will continue to benefit over the
medium term from the experience of its promoters in the cotton
industry. The outlook may be revised to 'Positive' if the company
reports higher-than-expected revenue while improving its
profitability and capital structure. Conversely, the outlook may
be revised to 'Negative' in case of a decline in AGMPL's revenue
or profitability, or a stretch in its working capital cycle,
resulting in deterioration in its financial risk profile.
About the Company

AGMPL was incorporated in 2011, promoted by Mr. Kisanlal Agarwal
and his friend Mr. Sunderlal Agarwal. Its day-to-day operations
are managed by Mr. Ashish Agarwal (son of Mr. Kishanlal Agarwal)
and Mr. Rahul Agarwal (son of Mr. Sunderlal Agarwal). The company
processes raw cotton (kapas) to manufacture cotton bales and
extract cotton seeds. It has a ginning and pressing unit in
Kantabij (Odisha), and a registered office in Bhubaneswar.

AGMPL reported a profit after tax (PAT) of INR3.1 million on net
sales of INR537.2 million for 2013-14, against PAT of INR1.9
million on net sales of INR278.0 million for 2012-13.


BHAGYA DIAMOND: ICRA Reaffirms 'B+' Rating on INR6cr Cash Credit
----------------------------------------------------------------
ICRA has reaffirmed the [ICRA]B+ rating assigned to the long term
fund based facilities of INR6.00 crore of Bhagya Diamond Jewellery
Private Limited.

                          Amount
   Facilities           (INR crore)    Ratings
   ----------           -----------    -------
   Long Tern Fund Based-    6.00       [ICRA]B+ reaffirmed
   Cash Credit

The re-affirmation of the rating takes into account BDJPL's weak
financial risk profile as evident from thin profitability,
leveraged capital structure and weak debt protection metrics. The
rating is further constrained on account of intense competitive
intensity in the gems & jewellery business and susceptibility of
margins to fluctuating prices of gold and rough diamonds. The
rating also takes into account the entity's stretched liquidity
position owing to high inventory levels as indicated by high
utilization of working capital limits.

However, the rating continues to take comfort from the long
standing presence of the promoters in the jewellery business;
healthy growth in the company's operating income and its strong
association with customers ensuring repeat orders.

Bhagya Diamond Jewellery Private Limited was incorporated in 2009
and is primarily engaged in trading of gold ornaments and diamond
jewellery along with manufacturing of jewellery in limited
quantities. The promoters of the company are also involved in a
few other companies engaged in similar line of activity in
Ahmedabad. The company has strong association with established
jewellery manufacturers and reputed retail jewellers in Ahmedabad.
In FY14, the shareholding pattern of the company underwent a
change with Bhagya Infrastructure Private Limited's shareholding
of ~18.52% in BDJPL acquired by the remaining two shareholders
namely Mr. Anant Shah and Mr. Jigar Hebra.

Recent Results
For the year ended on March 31, 2014 (as per unaudited provisional
financials), the company reported an operating income of INR66.05
crore and profit before tax of INR0.09 crore as against an
operating income of INR54.51 crore and profit after tax of INR0.06
crore for FY 2013.


BIJJARAGI MOTORS: CRISIL Rates INR50M Inventory Funding Loan 'B'
----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Bijjaragi Motors.

                              Amount
   Facilities                 (INR Mln)     Ratings
   ----------                 ---------     -------
   Inventory Funding Facility      50       CRISIL B/Stable
   Proposed Inventory Funding      40       CRISIL B/Stable

The rating reflects BM's modest scale of operations and below
average financial risk profile, marked by high gearing, and weak
debt protection metrics. These rating weaknesses are partially
offset by its promoters' extensive experience in the automobile
dealership business and its established relationship with its
principal, Tata Motors Ltd (TML).

Outlook: Stable

CRISIL believes BM will continue to benefit over the medium term
from its established position in the auto dealership market for
TML in Bijapur and Bagalkot districts of Karnataka, and its
promoters' extensive experience in the auto dealership business.
The outlook may be revised to 'Positive' in case of significant
improvement in the firm's financial risk profile, driven most
likely by higher cash accruals or equity infusion, along with
efficient working capital management. Conversely, the outlook may
be revised to 'Negative' if BM undertakes any large, debt-funded
capital expenditure programme, or its working capital management
or operating profitability deteriorates, thereby weakening its
financial risk profile, particularly liquidity.

Set up in 2008, BM is an authorised dealer of passenger vehicles
and spare parts of TML for the districts of Bijapur and Bagalkot.
The firm is promoted by Mr. Raju Bijjargi and his family members.

BM, provisionally,  reported a profit after tax (PAT) of INR2
million on an income of INR505.3 million for 2013-14 (refers to
financial year, April 1 to March 31), as against a PAT of INR2.5
million on an operating income of INR515.7 million in 2012-13.


DEV FUN: ICRA Suspends 'D' Rating on INR15cr Term Loan
------------------------------------------------------
ICRA has suspended [ICRA]D rating assigned to the INR15.00 crore
term of Dev Fun Point Reality Private Limited. The suspension
follows ICRA's inability to carry out a rating surveillance in the
absence of the requisite information from the company.

                       Amount
   Facilities        (INR crore)      Ratings
   ----------        -----------      -------
   Term Loan             15.00        [ICRA]D suspended

Incorporated in 2009, Dev Fun Point Reality Pvt. Ltd is promoted
by the Ahmedabad-based Dev Group and operated a hotel by the name
of 'Dev Comfort' which is located at S.G Highway in Ahmedabad.
The facility includes a hotel with 62 deluxe rooms, 6 luxury suite
rooms and a banquet hall, with an adjoining party plot, which is
rented out for marriages and other social occasions. The group has
presence in the Ahmedabad Hotel segment through Dev Regency (27
rooms), Dev Corporate (32 rooms) and Dev Fun Point Resorts which
runs a 37 room hotel property by the name of Fun Point Resorts at
the same location as that of DFPRPL.


GARDEN CITY: CRISIL Assigns B Rating to INR24.9M Capital Facility
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable/CRISIL A4' ratings to the
bank facilities of Garden City Agro Exports Pvt Ltd.

                              Amount
   Facilities               (INR Mln)   Ratings
   ----------               ---------   -------
   Term Loan                  10.6      CRISIL B/Stable
   Proposed Working
   Capital Facility           24.9      CRISIL B/Stable

   Foreign Exchange
   Forward                      2        CRISIL A4

   Foreign Bill Discounting    17.5      CRISIL B/Stable

   Bank Guarantee               2.5      CRISIL A4

   Cash Credit                 17.5      CRISIL B/Stable

The ratings reflect its modest scale of, and working-capital-
intensive operations. The ratings also factor in the company's
below-average financial risk profile, marked by a modest net worth
and high gearing. These rating weaknesses are partially offset by
the promoters' extensive experience in the gherkin exports
segment, and their established customer relationships.

Outlook: Stable

CRISIL believes that GCAE will continue to benefit over the medium
term from its promoters' extensive industry experience and their
established relationships with key customers. The outlook may be
revised to 'Positive' if the company generates higher-than-
expected cash accruals most likely caused by significant
improvement in scale of operations or benefits from significant
equity infusion by its promoters, leading to improvement in its
financial risk profile. Conversely, the outlook may be revised to
'Negative' if GCAE's financial risk profile weakens caused by
decline in its cash accruals or deterioration in its working
capital management or if the company undertakes a large, debt-
funded, capital expenditure programme thereby resulting in
deterioration of the liquidity position.

Incorporated in rural Bengaluru in 2002, GCAE processes and
exports gherkins (preserved in Acetic Acid, Brine or Vinegar). The
managing director, Mr. Gurumurthy N, oversees the company's daily
activities.

GCAE reported profit after tax (PAT) of INR1.7 million on net
sales of INR84.5 million for 2013-14 (refers to financial year,
April 1 to March 31), as against PAT of INR0.8 million on net
sales of INR84.9 million for 2012-13.


HOTEL TULI: CRISIL Assigns B+ Rating to INR20MM Cash Credit
-----------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Hotel Tuli International.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit               20      CRISIL B+/Stable
   Overdraft Facility        50      CRISIL A4

The ratings reflect HTI's small scale of operations,
susceptibility to cyclicality inherent in the hotels segment, and
its constrained financial flexibility due to loans and advances
extended to group company. These rating weaknesses are partially
offset by the extensive experience of HTI's promoters in the hotel
industry and the established brand of the Tuli group in its region
of operations.

Outlook: Stable

CRISIL believes that HTI will maintain its stable credit risk
profile over the medium term on the back of its established brand
in the region. The outlook may be revised to 'Positive' in case of
higher-than-expected average room rent and occupancy levels,
resulting in higher-than-expected accruals, or significant
reduction in fund support to group company, leading to improvement
in HTI's liquidity. Conversely, the outlook may be revised to
'Negative' in case the firm generates lower accruals, most likely
due to subdued demand, or extends further fund support to group
company, or in case the firm undertakes any large debt-funded
capital expenditure programme, thereby adversely affecting its
financial risk profile, especially liquidity.

HTI was set up in 1993 by members of the Nagpur (Maharashtra)-
based Tuli family. HTI runs two hotels: a three-star hotel, Hotel
Tuli International in Nagpur; and luxury villas under Tuli Tiger
Corridor in Pench (Madhya Pradesh). The firm's operations are
managed by Mr. Ravindrapal Singh Tuli.


K.C. RICE: CRISIL Reaffirms B+ Rating on INR120MM Cash Credit
-------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of K.C. Rice
Mills continues to reflect KCR's small scale of operations, large
working capital requirements, susceptibility to volatility in raw
material prices and adverse regulatory changes, and its small net
worth. These rating weaknesses are partially offset by the
extensive experience of KCR's promoters in the rice industry and
the firm's above-average financial risk profile marked by moderate
gearing and comfortable debt protection metrics.

                         Amount
   Facilities          (INR Mln)   Ratings
   ----------          ---------   -------
   Cash Credit            120      CRISIL B+/Stable (Reaffirmed)

Earlier, for arriving at the ratings, CRISIL had combined the
business and financial risk profiles of KCR and K.C. Industries
(KCI), together referred to as the KC group. However, for the
current rating exercise, KCR's business and financial profiles are
considered on a standalone basis on account of consistent decline
in intercompany transactions and the management's stance that all
future transactions will be on an arm-length basis.

Outlook: Stable

CRISIL believes that KCR's financial risk profile will remain
constrained over the medium term because of its large working
capital requirements and small net worth. The outlook may be
revised to 'Positive' in case the firm substantially improves its
operating margin and scale of operations, while maintaining its
working capital requirements. Conversely, the outlook may be
revised to 'Negative 'if KCR's operating margin declines further,
adversely affecting its overall profitability, or it undertakes a
large, debt-funded capital expenditure programme.

Update
KCR reported a turnover of INR203 million in 2013-14 (refers to
financial year, April 1 to March 31), a growth of 13 per cent over
the previous year. KCR's operating margin increased to 6.2 per
cent in 2013-14 (3.2 per cent in 2012-13) owing to a steep
increase in paddy prices and due to reduced share of trading in
2013-14.

KCR's financial risk profile remained below-average in 2013-14. It
had a small net worth of INR 37.4 million and high gearing of 4.18
times as on March 31, 2014. KCR's high leverage and low operating
margin have constrained its debt protection measures with net cash
accruals to total debt (NCATD) and interest coverage ratios of
0.02 times and 1.42 times, respectively, for 2013-14. KCR has
relied largely on its bank limits to meet its working capital
requirements, as reflected in its highly utilised cash credit
facility during the 12 months ended July 31, 2014.

KCR reported a net profit of INR1.7 million on net sales of
INR203.9 million for 2013-14, as against a net profit of INR1.2
million on net sales of INR179.1 million for 2012-13.
About the Group

KCR is part of the KC group of Jalalabad (Punjab). The group is
managed by Mr. Raman Kumar and his brother Mr. Anil Kumar. Both
KCR and KCI processes and sells basmati rice. The group primarily
processes the PUSA 1121 variety of basmati rice for its own sales
and as well as job work for outsiders.


K.C. SOLVENT: CRISIL Reaffirms B+ Rating on INR340MM Cash Credit
----------------------------------------------------------------
CRISIL's rating on the bank facilities of K.C. Solvent Extractions
Pvt Ltd continues to reflect KCSE's weak financial risk profile,
marked by a small net worth, very high gearing, and weak debt
protection metrics.

                        Amount
   Facilities         (INR Mln)   Ratings
   ----------         ---------   -------
   Cash Credit            340     CRISIL B+/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility     102.9   CRISIL B+/Stable (Reaffirmed)

   Term Loan               37.1   CRISIL B+/Stable (Reaffirmed)

The rating also factors in KCSE's susceptibility to changes in
regulatory policies, volatility in raw material prices, and the
vagaries of the monsoon. These rating weaknesses are partially
offset by the promoters' extensive experience in the rice industry
and the company's diversified product mix.

Outlook: Stable

CRISIL believes that KCSE will maintain its business risk profile,
supported by its diversified product-mix. The company's financial
risk profile continues to be constrained by very high gearing and
weak debt protection metrics. The outlook may be revised to
'Positive' if KCSE's capital structure improves significantly,
driven by the promoter's capital infusion; or the company's
profitability improves substantially leading to larger-than-
expected cash accruals or a reduction in debt, driven by better
working capital management. Conversely, the outlook may be revised
to 'Negative' if KCSE's financial risk profile weakens, because of
a decline in sales or a large, debt-funded capital expenditure
(capex) programme.

Update
KCSE's revenues registered around 23 per cent year-on-year growth
to around INR140.6 million in 2012-13 (refers to financial year,
April 1 to March 31), mainly driven by increased demand from its
existing clients and partially from higher realisations following
an increase in paddy prices. However, the healthy growth in KCSE's
top line was offset by a decline in its operating margin by around
180 basis points to 3.8 per cent in 2013-14, because of the
company's increased focus on trading. CRISIL believes that growth
in KCSE's revenues and operating margin will remain vulnerable to
prices of raw material, specifically paddy, the prices of which
depend on several unpredictable factors including availability,
and weather.

KCSE has working-capital-intensive operations. The company's gross
current assets (GCAs) were 171 days for 2013-14, higher than 121
days in 2012-13. The company's GCA days were high, mainly due to
increase in inventory as on 31st March 2014 following its
increasing focus on manufacturing process. The inventory holding
requirements will remain high since the company purchases paddy in
bulk during the peak season (October to March) each year, to meet
inventory requirements throughout the year. KCSE had a receivables
cycle of 134 days as on 31st March 2014. Consequently, the company
maintained its average bank limit utilisation at around 70 per
cent in the lean season; and reported high bank limit utilisation
of around 80-85 per cent during the peak season.

KCSE's net worth remained low at around INR63.4 million, as on
March 31, 2014, thereby limiting the company's financial
flexibility. KCSE contracted large debt to fund its working
capital requirements. Both factors led to a high gearing of around
9.66 times as on March 31, 2014.

KCSE was incorporated in Jalalabad (Punjab) and currently being
managed by Mr. Prem Kumar. The company primarily produces and
processes rice bran oil, and has an extraction and refining plant
in Jalalabad, Bhatinda (Punjab). The capacity of the extraction
plant is 160 tonnes per day (tpd), and that of the refining plant
is 50 tpd.


K. P. INDUSTRIES: CRISIL Reaffirms 'B' INR50MM Cash Credit Rating
-----------------------------------------------------------------
CRISIL's rating to the long-term bank facilities of K. P.
Industries continues to reflect KPI's small scale of operations
and weak financial risk profile, marked by a small net worth, high
gearing, and weak debt protection metrics. Theses rating
weaknesses are partially offset by the extensive experience of the
firm's promoters in the rice and wheat milling and trading
industry.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Cash Credit               50      CRISIL B/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes that KPI will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' in case of substantial equity
infusion or more-than-expected accretion to reserves, leading to
an improvement in the firm's capital structure and liquidity.
Conversely, the outlook may be revised to 'Negative' if KPI
undertakes an unexpected large debt-funded capital expenditure
programme, or reports less-than-expected revenues and
profitability, thereby adversely affecting its financial risk
profile, including its liquidity.

KPI was set up in 2010 as a partnership firm in Ahmedabad
(Gujarat) by the Prajapati family. The firm is engaged in rice and
wheat processing with a total capacity of 3.25 tonnes per hour.
The processing facilities are in Ahmedabad. KPI's day-to-day
operations are managed by Mr. Dhaval Prajapati and Mr. Atul
Prajapati.

For 2012-13 (refers to financial year, April 1 to March 31), KPI
reported a profit after tax of INR0.7 million on net sales of
INR311.2 million.


KRISHNA COTTON: ICRA Suspends 'B' Rating on INR7.0cr Cash Limit
---------------------------------------------------------------
ICRA has suspended the [ICRA]B rating assigned to the INR8.00
crore fund based cash credit facility and INR1.85 crore term loan
facilities of Krishna Cotton (KC).

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Cash Credit Limit     7.00        [ICRA]B suspended
   Term Loan Limit       1.85        [ICRA]B suspended

The suspension follows ICRAs inability to carry out a rating
surveillance in the absence of the requisite information from the
company. According to its suspension policy, ICRA may suspend any
rating outstanding if in its opinion there is insufficient
information to assess such rating during the surveillance
exercise. ICRA will withdraw the rating in case it remains under
suspension for a period of three years.

KC was established as a partnership firm in 2011, by Mr. Mukesh
Kasundra with other eight partners and is engaged in ginning &
pressing of raw cotton to produce cotton lint and cotton seeds.
The manufacturing plant of firm is located at Jamnagar district
and is equipped with 24 ginning machines to produce 200 cotton
lint bales and 60MT cotton seeds per day.


LEAD VENTURES: CRISIL Cuts Rating on INR45MM Cash Credit to 'D'
---------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Lead Ventures (LV) to 'CRISIL D/CRISIL D' from 'CRISIL
B+/Stable/CRISIL A4'.

                           Amount
   Facilities            (INR Mln)     Ratings
   ----------            ---------     -------
   Cash Credit               45        CRISIL D (Downgraded
                                       from 'CRISIL A4')

   Proposed Short Term        1.5      CRISIL D (Downgraded
   Bank Loan Facility                  from 'CRISIL B+/Stable')

   Working Capital
   Term Loan                 15        CRISIL D (Downgraded
                                       from 'CRISIL B+/Stable')

The rating downgrade reflects instances of delay by LV in
servicing its debt; the delays have been caused by the firm's weak
liquidity. LV has weak liquidity on account of stretched working
capital cycle.

The ratings reflect LV's small scale of operations with low
profitability and high working capital intensity; the ratings also
factor in the firm's weak financial risk profile, marked by small
net worth and high gearing. These rating weaknesses are offset by
the extensive experience of LV's promoter family and associates in
the distributorship business model.

LV is a partnership firm established in 2009 by Mr. Durez Azeez
Fazal and his sister, Ms. Sameera Khan. The firm has been the sole
distributor for 165 Nestle products for South Bengaluru since
October 2010.


MARVEL SIGMA: ICRA Revises Rating on INR25cr Fund Based Loan to D
-----------------------------------------------------------------
ICRA has revised the long term rating assigned to INR25.00 crore
fund based bank facility of Marvel Sigma Homes Private Limited to
[ICRA]D from [ICRA]C.

                          Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Fund Based Limit        25.00      Revised to [ICRA]D
                                      from [ICRA]C

The rating revision factors in the delays in debt servicing by the
company.

Marvel Sigma Homes Private Limited is part of the Pune based real
estate developers, Marvel Group and a subsidiary of Marvel
Promoters and Developers (Pune) Pvt Ltd. MSHPL was incorporated in
June 2010, being 74:26 joint venture between MPDPL and ICICI
Prudential AMC Ltd. Promoted by Mr. Vishwajeet Jhavar, the Marvel
group is a first-generation entrepreneurial setup with over a
decade of experience in the Pune real estate market, having
developed over 1.2 million sq. ft. of residential real estate in
the city since 2000. The other promoters of the group are Mr.
Vinay Chudiwal who is a real estate developer, and Mr. Mahesh
Laddha and Mr. Prithviraj Solanki who have an extensive experience
in liaison and execution of construction projects respectively.
The company is currently developing six real estate residential
projects -- Marvel Bounty I, Marvel Arco, Marvel Cascada, Marvel
Bounty II, Marvel Kyra and Marvel Viva.


MORACEAE PHARMA: ICRA Revises Rating on INR10cr Cash Credit to D
-----------------------------------------------------------------
ICRA has revised the ratings for INR10.5 crore bank facilities of
Moraceae Pharmaceuticals Private Limited to [ICRA]D from [ICRA]B.
The revision in ratings takes into account the recent
irregularities in debt servicing.

                           Amount
   Facilities           (INR crore)    Ratings
   ----------           -----------    -------
   Cash Credit Facilities    10.0      Revised to [ICRA]D
                                       from [ICRA]B

   Long-term Unallocated      0.5      Revised to [ICRA]D
                                       from [ICRA]B

Moraceae Pharmaceuticals Private Limited was founded in 1994 as
Moraceae Pharmaceuticals in Gorakhpur (Uttar Pradesh) by Mr.
Ravinder Singh, a first generation entrepreneur. The company is
engaged in the business of manufacturing and marketing
formulations. The company has a marketing network spread across
the states of Uttar Pradesh, Uttarakhand, Jharkhand, Rajasthan,
West Bengal, Assam and the North Eastern States.


PUSHPENDRA REAL: ICRA Reaffirms 'B' Rating on INR10cr Cash Credit
-----------------------------------------------------------------
ICRA has reaffirmed the long term rating outstanding on the
INR10.00 crore fund based bank facilities of Pushpendra Real
Construction Private Limited at [ICRA]B.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Fund Based- cash      10.00       [ICRA]B reaffirmed
   Credit

The reaffirmation of the rating takes into account the exposure to
execution risks with the construction of two of the sub phases yet
to commence as well as market risks with sale of 51% of the area
yet to be tied up. ICRA notes that with a significant portion of
the project cost to be met through customer receipts, the
timeliness of sales and collections remains critical to avoid cash
flow mismatches. The risks are further accentuated considering the
high repayment obligation to the extent of INR7.50 crore due in FY
2015 with first quarterly instalment of INR2.50 crore falling due
on September 30, 2014.

The rating, however, draws comfort from the promoter group's
experience in residential real estate development in Ratnagiri,
clear land title, receipt of key approvals for the project and
achievement of debt tie up.

Pushpendra Real Construction Private Limited was promoted by Mr.
Mahendra Jain to undertake real estate development in the city of
Ratnagiri in the year 2006. It is a part of the Padmavatee Group
which has developed 0.31 million (mn) sq ft of real estate
projects till date and is currently has 0.32 mn sq ft of area
under development across its various group entities. PRCPL is
currently undertaking the development of a township project called
Pushpendra City located in Khedshi, Ratnagiri with a total
saleable area of 0.44 mn sq ft.

Recent Results

For the year ended March 31, 2014, the company reported an
operating income of Rs16.86 crore and profit after tax of INR0.32
crore on provisional basis.


ROSELABS BIOSCIENCE: ICRA Suspends D Rating on INR134cr Term Loan
-----------------------------------------------------------------
ICRA has suspended [ICRA]D rating assigned to the INR19.00 crore
cash credit facility & the INR134.00 crore term loans and [ICRA]D
rating assigned to the INR8.50 crore Letter of Credit facility &
the INR2.00 crore Bank Guarantee facility of Roselabs Bioscience
Limited. The suspension follows ICRA's inability to carry out a
rating surveillance in the absence of the requisite information
from the company.

                           Amount
   Facilities           (INR crore)     Ratings
   ----------           -----------     -------
   Term Loans              134.00       [ICRA]D
   Cash Credit Facility     19.00       [ICRA]D
   Letter of Credit
   Facility                  8.50       [ICRA]D
   Bank Guarantee
   Facility                  2.00       [ICRA]D

Incorporated in 2010, Roselabs Bioscience Limited (erstwhile
Roselabs Bioscience Private Limited) is promoted by Mr. Pawan
Kumar Agarwal and Mr. Zameer Agarwal, and is closely held by the
promoters and family members. The company is in final staged of
setting up a composite plant for to manufacturing multiple types
of pre-filled syringes and for filling formulations. The product
portfolio of RBL mainly includes glass pre-filled syringe and
plastic pre-filled syringe. RBL's manufacturing facility being set
up at Bavala near Ahmedabad; the construction work on the same was
initiated in May 2010 and the company commenced commercial
production of glass PFS from April 2013.


SUBRA ENTERPRISES: CRISIL Places B+ Rating on INR50MM Cash Credit
-----------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable' rating to the long-term
bank facilities of Subra Enterprises (SE).

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

The rating reflects SE's below-average financial risk profile,
marked by a modest net worth, and exposure to intense competition
in the agro commodities trading industry. These rating weaknesses
are partially offset by the extensive experience of SE's partners
in the agro commodities trading business.

Outlook: Stable

CRISIL believes that SE will continue to benefit over the medium
term from its partners' extensive experience in the agro
commodities trading business. The outlook may be revised to
'Positive' in case the firm significantly scales up its operations
and improves its profitability, while it maintains its working
capital requirements. Conversely, the outlook may be revised to
'Negative' in case SE faces any unfavourable regulatory changes,
leading to significant decline in its revenue, or if its working
capital management deteriorates, leading to weakening of its
financial risk profile.

SE, set up in 2012, is based in Chennai. It trades in agro
commodities. Its operations are managed by Mr. A S Sharath
Chandran and his son, Mr. Shiyaam Sharath.

SE reported a net profit of INR1.26 million on sales of INR543.6
million for 2013-14 (refers to financial year, April 1 to
March 31), against a net profit of INR0.43 million on sales of
INR52.7 million for 2012-13.


SUKETU ORGANICS: CRISIL Reaffirms D Rating on INR64.8MM Bank Loan
-----------------------------------------------------------------
CRISIL's ratings on the bank facilities of Suketu Organics Pvt Ltd
continue to reflect instances of delays by SOPL in servicing its
term debt; the delays are caused by the company's weak liquidity.
SOPL's liquidity is weak because of its working-capital-intensive
operations.

                           Amount
   Facilities            (INR Mln)    Ratings
   ----------            ---------    -------
   Cash Credit               35       CRISIL D (Reaffirmed)
   Letter of Credit           7       CRISIL D (Reaffirmed)
   Proposed Long Term
   Bank Loan Facility        64.8     CRISIL D (Reaffirmed)
   Term Loan                 23.2     CRISIL D (Reaffirmed)

SOPL also has a weak financial risk profile, marked by weak debt-
protection metrics and a negative net worth, and a small scale of
operations. These rating weaknesses are partially offset by the
extensive experience of SOPL's promoters in the chemical industry.

SOPL was established in 2000-01 by Mr. Ketan Patel, and is being
actively managed by his brother, Mr. Dipesh Patel. The company
commenced operations in 2007-08; it manufactures specialty
polymers, which include insulating wire enamels, insulating
varnishes, organic titanates, phenolic resins, and moulding
powders.


SURYODAY COTEX: CRISIL Assigns B Rating to INR44.2MM Bank Loan
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B/Stable' rating to the long-term
bank facilities of Suryoday Cotex Pvt Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Term Loan               15.8      CRISIL B/Stable
   Cash Credit             20        CRISIL B/Stable
   Proposed Long Term
   Bank Loan Facility      44.2      CRISIL B/Stable

The rating reflects SCPL's exposure to the risks related to the
on-going project, initial phase and modest scale of operations in
the highly competitive cotton-ginning industry, its weak financial
risk profile marked by high gearing and average debt protection
metrics. These rating weaknesses are partially offset by its
promoters' extensive experience in the cotton ginning industry,
leading to its established relationships with customers and
suppliers, and location advantages of its plant.

Outlook: Stable

CRISIL believes SCPL will continue to benefit over the medium term
from its promoters' extensive industry experience. The outlook may
be revised to 'Positive' if the company stabilises its operations
earlier than expected, leading to substantial increase in scale of
operations and large cash accruals, thus improving its financial
risk profile. Conversely, the outlook may be revised to
'Negative', if the company achieves lower than expected cash
accruals or its financial risk profile weakens, caused most likely
by stretch in working capital borrowings or, large debt-funded
capital expenditure, or disruption in its operations driven by
adverse regulatory changes.
Incorporated in 2013, SCPL is promoted by the Rajkot (Gujarat)-
based Gida family. Its key promoter, Mr. Jaydeepbhai Gida, has
experience of about a decade in the cotton industry.

Commercial operations for the company are expected to start from
November 2014.


SWASTIK POWER: ICRA Reaffirms D Rating on INR104.95cr Term Loan
---------------------------------------------------------------
ICRA has reaffirmed the rating of [ICRA]D to the INR124.95 crore
fund based bank facilities of Swastik Power and Mineral Resources
Private Limited. SPMRPL also has an unallocated limit of INR0.05
crore, to which ICRA has reaffirmed the rating of [ICRA]D.

                       Amount
   Facilities        (INR crore)      Ratings
   ----------        -----------      -------
   Fund Based Limit-      20.00       [ICRA]D reaffirmed
   Cash Credit

   Fund Based Limit-     104.95       [ICRA]D reaffirmed
   Term Loan

   Unallocated             0.05       [ICRA]D reaffirmed

The rating takes into account the recent delays in servicing of
debt in a timely manner and the high gearing, notwithstanding the
improvement seen in the recent past, as a result of the
significant debt funded capital expenditure plans which the
company has undertaken. The rating is further constrained by the
weak business and financial risk profile as characterized by the
considerable delay in the project execution, suspension of
operations of the coal washery unit and low margins in the coal
trading business. SPMRPL also has a weak liquidity profile as a
result of high debtor and inventory days. The rating, however,
favourably factors in the experience of the promoters in the coal
washery and coal trading business and the power purchase agreement
with Power Trading Corporation of India which is expected to
reduce offtake risk, once the proposed power plant is
commissioned.

Incorporated in 2005, SPMRPL is engaged in the business of coal
washery and coal trading and has a capacity of generating 0.9 MTPA
of wet coal washery. The plant of the company is located in the
Korba district of Chhattisgarh.

SPMRPL, has undertaken a capital expenditure plan for the
installation of a coal washery unit with a capacity of 4.6 MTPA
and a coal reject based power plant with a capacity of generating
50MW. The revised project cost for the same is expected to be more
than INR160 crores.



TATA MOTORS: S&P Revises Outlook to Pos. & Affirms 'BB' CCR
-----------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on India-
based automobile maker Tata Motors Ltd. to positive from stable.
At the same time, S&P affirmed its 'BB' long-term corporate credit
rating on Tata Motors.

S&P revised its outlook to reflect the stronger performance of
Tata Motors' U.K.-based subsidiary Jaguar Land Rover Automotive
PLC (JLR). If JLR sustains the good operating performance, Tata
Motors' consolidated financial ratios over the next 12 months are
likely to be stronger than S&P's conservative estimates.

"JLR's successful launches of models such as Evoque and New Range
Rover in the past two years have sustained the positive momentum
in sales and margins and there is a likelihood that its operating
performance this year may be stronger than our expectation," said
Standard & Poor's credit analyst Abhishek Dangra.  JLR's reported
EBITDA margin of about 20% for the quarter ended June 2014 is
above S&P's expectation.

Consequently, Tata Motors' consolidated free operating cash flows
may be higher than S&P's expectation.  However, weaker demand
growth in the important China market, delay in new product
launches resulting in lower EBITDA at JLR, or a delay in the
demand recovery for Indian automobiles remain key operating risks.
S&P expects JLR to continue to contribute about 90% of Tata
Motors' EBITDA on a consolidated basis.

"We expect good operating performance for Tata Motors, supported
by JLR and a recovery in India operations," Mr. Dangra said.

However, S&P believes Tata Motors could generate significant
negative free operating cash flows because of higher capital
expenditures at JLR.  JLR has significantly raised its capital
expenditure estimate to GBP3.5 billion-GBP3.7 billion, from
GBP2.75 billion, to add new products, engines and platforms,
increase production capacity, and to meet emission standards.  As
a result, Tata Motors' ratio of funds from operations (FFO) to
debt could weaken below 30% in fiscal 2016 from more than 37% in
fiscal 2014.

Nevertheless, JLR's stronger performance can result in Tata
Motors' free operating cash flows being higher than S&P's current
cautious estimates for fiscals 2015 and 2016.  S&P calculates the
debt for Tata Motors after deducting surplus cash and estimated
debt that the captive finance business for India operations can
support.

"The positive outlook reflects our expectation that JLR's strong
operating performance, if sustained, can result in higher free
operating cash flows than what we expect.  This can lead to Tata
Motors sustaining ratio of FFO to debt above 30%, despite
significant increase in capital expenditure," Mr. Dangra said.

S&P may raise its rating on Tata Motors if strong operating
performance of JLR partly offsets the increased capital
expenditure, such that Tata Motors' ratio of FFO to debt stays
above 30%.  S&P may also upgrade Tata Motors if successful
positioning of the Jaguar range of vehicles improves Tata Motors'
business risk profile.

S&P may revise the outlook to stable if the ratio of FFO to debt
declines toward 25%.  This may happen if Tata Motors' operating
performance weakens for reasons such as lower demand for JLR's
products in major markets like China or new product launches, or
if capital expenditure is higher than expected.


TMI HEALTHCARE: ICRA Assigns 'B' Rating to INR13.5cr Term Loan
--------------------------------------------------------------
ICRA has assigned [ICRA]B rating to the INR13.50 crore term loan
facilities and INR1.50 long term fund based facilities of TMI
Healthcare Private Limited. ICRA has also assigned [ICRA]A4 rating
to the INR6.00 crore short term non fund based (sub limit)
facilities of the Company.

                       Amount
   Facilities        (INR crore)     Ratings
   ----------        -----------     -------
   Term Loans            13.50       [ICRA]B/assigned

   Long Term Fund
   Based Limits           1.50       [ICRA]B/assigned

   Short Term Non
   Fund Based Limits     (6.00)      [ICRA]A4/assigned

The assigned ratings take into account the promoters' diverse and
long standing experience in the medical profession and favorable
location of the hospital being easily accessible by the industrial
and residential population in the catchment area which is likely
to support the footfalls in hospital and in turn the Company's
business prospects going forward. Further, the Company's
hospital's wide range of facilities and service offerings catering
to diverse range of income groups, and the availability of wide
array of treatments, diagnostic center, pharmacy store and
emergency unit is expected to aid in improving visibility and
patient inflows going forward. The rating is, however, constrained
by the relatively nascent stage of operations, marked by low
operating revenues, losses and weak debt coverage metrics. The
Company also faces competition from other established multi-
specialty hospitals in the region which is likely to limit the
growth to some extent. Going forward, the Company's ability to
stabilize the operations, improve its margins and coverage
indicators would remain key rating sensitivities.

TMI Healthcare Private Limited -- promoted by group of medical
professionals in 2011 has set up a multi-specialty hospital under
the name "People Tree Hospital" -- at Yeshwantpur which commenced
operations from October, 2013 with Out Patient Department (OPD)
followed by In-Patient Department (IPD) from February, 2014
onwards. The aforesaid hospital project has been planned to be
completed in two phases of 100 beds each. At present, 60 beds have
been installed with remaining to be installed subsequently.
Facilities such as pharmacy, diagnostic and emergency units are
also offered by the hospital. The hospital offers treatment in
Orthopaedics, Paedritics, Neuro-sciences, and Obstetrics &
Gynaecology among others.

Recent results
According to unaudited results, the Company reported net loss of
INR2.0 crore on operating income of INR0.9 crore during 2013-14
(first year of operation).


VARASIDDHI INFRA: CRISIL Cuts Rating on INR75MM Project Loan to D
-----------------------------------------------------------------
CRISIL has downgraded its rating on the bank facilities of
Varasiddhi Infrastructures to 'CRISIL D' from 'CRISIL B+/Stable'.

                           Amount
   Facilities            (INR Mln)     Ratings
   ----------            ---------     -------
   Project Loan              75        CRISIL D (Downgraded
                                       from 'CRISIL B+/Stable')
   Proposed Long Term
   Bank Loan Facility        25        CRISIL D (Downgraded
                                       from 'CRISIL B+/Stable')

The downgrade reflects instances of delay by Varasiddhi in
servicing its term debt, because of weak liquidity, driven by cash
flow mismatches; sluggish demand adversely impacting customer
advances; and time and cost overruns in project completion,
resulting in reduced cash inflows.

Varasiddhi is also susceptible to risks related to cyclical demand
inherent to the Indian real estate sector. However, the firm
benefits from the promoters' extensive experience in the real
estate sector.

Varasiddhi was established as a partnership firm in 2006-07 by Mr.
Vipin Joshi, Mr. Ambavi Patel, Mr. Bechar Patel, Mr. Hitesh
Panchasara, Mr. Habiburrehman Khan, and others. The firm is a real
estate developer based in Mumbai. At present, it is constructing
Crosswinds, a residential complex in Bhandup (Mumbai).


VIJEX VYAPAAR: CRISIL Assigns B+ Rating to INR12MM Cash Credit
--------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/ CRISIL A4' ratings to
the bank facilities of Vijex Vyapaar Pvt Ltd.

                           Amount
   Facilities            (INR Mln)   Ratings
   ----------            ---------   -------
   Proposed Short Term
   Bank Loan Facility        20      CRISIL A4

   Cash Credit               12      CRISIL B+/Stable

   Letter of Credit          50      CRISIL A4

The ratings reflect VVPL's susceptibility to fluctuations in
foreign exchange (forex) rates and modest scale of operations.
These rating weaknesses are partially offset by VVPL's moderate
financial risk profile marked by above-average total outside
liabilities to tangible net worth (TOLTNW) ratio and moderate debt
protection metrics, the extensive industry experience of VVPL's
promoters' and their funding support.

Outlook: Stable

CRISIL believes that VVPL will continue to benefit from its
moderate financial risk profile marked by above-average TOLTNW
ratio and moderate debt protection metrics, and promoters' funding
support. The outlook may be revised to 'Positive' if VVPL
significantly scales up its operations leading to higher-than-
expected cash accruals while prudently managing its working
capital cycle. Conversely, the outlook may be revised to
'Negative' if its working capital cycle lengthens, or its revenues
and profitability come under pressure.

VVPL, established in 1993, imports and trades copper wire, toner
and toner cartridge, and   photocopier parts. It is based in New
Delhi and is managed by Mr Navratan Baid.



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


DTC ONE: Fitch Affirms 'BBsf' Rating on JPY0.85BB Class E Notes
---------------------------------------------------------------
Fitch Ratings has upgraded the class B and C notes of DTC Two and
the class E notes of DTC Four.  Fitch has affirmed another 40
classes of notes in eight DTC transactions.  Of the 43 classes of
notes, the Outlook on one class remains Positive, all other
Outlooks are Stable.

KEY RATING DRIVERS

The upgrades of the class B and C notes of DTC Two reflect
continued improvement in credit enhancement (CE) levels.  Fitch
believes that these two notes have significant cushion for the
current ratings due to stable underlying pool performance and the
sequential principal repayment.  Although similar improvement has
been observed in DTC One and Three, DTC One has a smaller number
of loans in the underlying pool than other transactions, leading
Fitch to assume greater performance volatility in higher rating
stress scenarios.  For DTC Three, the absence of an eligible
advancing agent has left its liquidity protection relatively
weaker compared with other transactions.

The upgrade of the class E notes of DTC Four reflects growth in CE
levels.  Fitch expects the improvement in CE levels to continue
and the notes to be repaid at a faster pace than the other rated
notes in this transaction, in accordance with the transaction
agreements.  The notes are likely to be fully redeemed within a
year.

The affirmations of the 40 classes of notes reflect Fitch's view
that available CE levels are sufficient to support the current
ratings.  The Outlook on the class E notes of DTC Five remains
Positive, as the notes will be repaid at a faster pace than the
other rated notes, similar to the class E notes of DTC Four.

All of the transactions are securitizations of mortgage loans
backed by multi-family apartment properties.  The master lease
structure in place contributes to stable loan performance and for
each of the eight transactions, delinquencies and defaults have
been limited to date.  Fitch expects this trend to continue.

Fitch considers the cash flow performance of the underlying
properties to be moderately below the agency's initial assumptions
due to a decline in rent income.  This has led to an increase in
net loss assumption from each underlying pool in stressed
scenarios.  However, this has been offset by improved CE levels.

Six transactions, other than DTC Three and Eight, have exposure to
an ineligible Japanese counterparty as account bank that
undermines support for their 'AAAsf' ratings.  However, Fitch's
analysis takes into account the sufficient protection via their
available liquidity mechanism and CE levels against their exposure
to such a counterparty ('A-'/Stable/'F1').

RATING SENSITIVITIES

An unexpected increase in the delinquency or default rate may lead
to higher loss assumption, which may, in turn, affect the ratings
of the notes.

For DTC Three and DTC Eight, Fitch continues to believe that these
transactions have available cash reserves to address liquidity
risk in the absence of an eligible advancing agent.  This view is
based on the expected stable performance of the underlying loan
pools, note amortization and a low interest rate environment in
Japan.  Therefore, an unexpected increase in interest rates may
lead to negative rating action on these transactions.

The full list of rating actions is as follows.

DTC One Special Purpose Company:

JPY61m Class A-1 notes affirmed at 'AAAsf'; Outlook Stable
JPY0.54bn Class A-2 notes affirmed at 'AAAsf'; Outlook Stable
JPY2m Class A-3 notes affirmed at 'AAAsf'; Outlook Stable
JPY0.32bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.18bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.32bn Class D notes affirmed at 'BBBsf'; Outlook Stable
JPY0.35bn Class E notes affirmed at 'BBsf'; Outlook Stable
DTC Two Funding Limited:
JPY0.76bn Class A notes affirmed at 'AAAsf'; Outlook Stable
JPY0.47bn Class B notes upgraded to 'AA+sf' from 'AAsf'; Outlook
Stable
JPY0.28bn Class C notes upgraded to 'A+sf' from 'Asf'; Outlook
Stable
JPY0.38bn Class D notes affirmed at 'BBBsf'; Outlook Stable
JPY0.85bn Class E notes affirmed at 'BBsf'; Outlook Stable
JPY1.89bn Class J notes affirmed at 'BBBsf'; Outlook Stable
DTC Three Funding Limited:
JPY1.52bn Class A-1 notes affirmed at 'AAAsf'; Outlook Stable
JPY1.03bn Class A-2 notes affirmed at 'AAAsf'; Outlook Stable
JPY0.87bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.54bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.69bn Class D notes affirmed at 'BBBsf'; Outlook Stable
JPY0.776bn Class E notes affirmed at 'BBsf'; Outlook Stable
DTC Four Funding Limited:
JPY3.63bn Class A-1 notes affirmed at 'AAAsf'; Outlook Stable
JPY1.82bn Class A-2 notes affirmed at 'AAAsf'; Outlook Stable
JPY0.46bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.46bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.46bn Class D notes affirmed at 'BBBsf'; Outlook Stable
JPY62m Class E notes upgraded to 'BBB-sf' from 'BB+sf'; Outlook
Stable
DTC Five Funding Limited:
JPY5.61bn Class A notes affirmed at 'AAAsf'; Outlook Stable
JPY0.47bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.47bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.47bn Class D notes affirmed at 'BBBsf'; Outlook Stable
JPY0.11bn Class E notes affirmed at 'BB+sf'; Outlook Positive
DTC Six Funding Limited:
JPY6.12bn Class A notes affirmed at 'AAAsf'; Outlook Stable
JPY0.5bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.53bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.39bn Class D notes affirmed at 'BBBsf'; Outlook Stable
Class E notes were paid in full in June 2014.
DTC Seven Funding Limited:
JPY7.4bn Class A notes affirmed at 'AAAsf'; Outlook Stable
JPY0.98bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.87bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.39bn Class D notes affirmed at 'BBBsf'; Outlook Stable
DTC Eight Funding Limited:
JPY9.09bn Class A notes affirmed at 'AAAsf'; Outlook Stable
JPY1.09bn Class B notes affirmed at 'AAsf'; Outlook Stable
JPY0.99bn Class C notes affirmed at 'Asf'; Outlook Stable
JPY0.7bn Class D notes affirmed at 'BBBsf'; Outlook Stable
JPY0.36bn Class N notes affirmed at 'BBBsf'; Outlook Stable
Class E notes were paid in full in July 2014.
All tranche balances are as of 1 September 2014.


RENESAS ELECTRONICS: CEO Says Restructuring 60% Complete
--------------------------------------------------------
The Japan Times reports that Renesas Electronics Corp. is more
than halfway finished with its restructuring plan, according to
chairman and chief executive officer Hisao Sakuta.

"In financial terms, we have already passed our worst period,"
Hisao Sakuta said in an interview on September 2, the report
relays.

According to the report, Mr. Sakuta said the company has completed
"about 60 percent" of its restructuring measures and is almost
finished with its withdrawal from noncore operations, which
pending the sale of a subsidiary that makes integrated circuits
for liquid crystal displays.

It has also decided to terminate production of uncompetitive
products within two years, Mr. Sakuta said, the report relays.

Demand for chips is expected to grow for products designed to
assist elderly and disabled drivers or to help reduce driving
errors, Mr. Sakuta, as cited by The Japan Times, said.

The report says Renesas' total payroll, including those overseas,
fell to 27,000 by the end of March from its peak of about 50,000.
The number is still "a little too large," he said, before adding
that he will try to maintain this level through expansion, adds
The Japan Times.

Mr. Sakuta, former chairman of Omron Corp., was tapped for his
position at Renesas in June last year after Renesas accepted
investment from the state-backed Innovation Network Corporation of
Japan, according to the report.

The INCJ, according to its website, is a unique public-private
partnership aimed at promoting innovation and enhancing the value
of businesses in Japan. It was launched in July 2009 with
JPY300 billion in capital -- with 95 percent of it provided by the
government, the report discloses.

Renesas Electronics Corporation -- http://www.renesas.com-- is a
supplier of advanced semiconductor solutions including
microcontrollers, SoC solutions and a broad range of analog and
power devices.  Business operations began as Renesas Electronics
in April 2010 through the integration of NEC Electronics
Corporation and Renesas Technology Corp., with operations spanning
research, development, design and manufacturing for a wide range
of applications. Headquartered in Japan, Renesas Electronics has
subsidiaries in 20 countries worldwide.



===============
M A L A Y S I A
===============


MALAYSIA AIRLINES: Airfares Expected to Drop, Analysts Say
----------------------------------------------------------
The Edge Financial Daily reports that Malaysia Airlines airfares
are expected to decline in the near term as some analysts believe
the national carrier would need to undercut pricing to get its
passenger load factor back to above 70%.

TA Securities Holdings Bhd analyst Tan Kam Meng believes Khazanah
Nasional Bhd's 12-point recovery plan for MAS will have a positive
impact on the aviation industry as it will help rationalise
airfares, the report says.

"Airfares will be priced rationally based on cost structures and
services rendered to avoid unfair competition," he said in a note
on September 2, the Edge Financial Daily relates.

According to the report, Mr. Tan expects the MYR6 billion lifeline
from Khazanah to be able to revive the airline's business should
the measures stipulated in the plan be successfully implemented.

"The airline will rationalise the network to be regionally focused
with strong global connectivity through the oneworld (alliance)
and other code-share partners as highlighted in the recovery plan.
The new business model will also encompass a renewed focus on
revenue yield management," the report quotes Mr. Tan as saying.

The report relates that HLIB Research aviation analyst
Daniel Wong sees the 12-point recovery solution benefitting
Malaysia Airports Holdings Bhd (MAHB), but is negative for AirAsia
Bhd, AirAsia X Bhd and Malindo Air.

That's because the new lean cost structures outlined by Khazanah
for the new company (NewCo) would enable MAS to be competitive in
the current market environment, according to the report.

"NewCo aims to achieve cost advantage against Asian full-service
carriers (FSC), cost parity with Middle East FSCs and short-haul
cost within 15% of the low-cost carriers (LCC) competition.

"The move would be negative to AirAsia, AirAsia X and Malindo
given the continued stiff competition from MAS, the lower cost
structure will allow MAS to price its products lower through yield
pressure," Mr. Wong, as cited by the report, said.

The report adds that AllianceDBS Research Sdn Bhd said the 12-
point recovery plan sees MAS abandoning its "load-active, yield
passive" strategy and raise unit revenue by 10%-15% going forward,
as the present fare structure is unsustainable.

"This is a more sensible strategy given that MAS is likely to
remain an FSC that offers premium frills due to its membership in
the oneworld alliance," said its analyst Tan Kee Hoong, the report
relays.

Mr. Tan, on the other hand, is of the view that the move would
benefit domestic airlines, but would be negative for MAHB as
travel demand could drop in response to more expensive fares, the
report notes.

"Our top pick for the (aviation) sector is AirAsia Bhd, which will
be the prime beneficiary of the MAS restructuring. Although
AirAsia X Bhd would also benefit, foreign airlines could still
encroach on its routes and negate the impact of the absence of
competition from MAS.

"Meanwhile, MAHB's share price has largely priced in the risk of
weaker passenger traffic ahead," Mr. Tan said, adding that
minority investors should accept the 27 sen offer price for MAS
shares, according to The Edge Financial Daily.

Meanwhile, The Edge Financial Daily reports that MASwings Sdn Bhd,
a subsidiary of MAS, plans to introduce a new business plan,
including improving the quality of rural air services in Sabah and
Sarawak next year.

Its chief executive officer, Captain Ritzerwan Rashid, said the
plan was in line with the restructuring of MAS and improvement of
the level of efficiency of the community airline, the report adds.

                         *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
September 1 2014, The Associated Press said Malaysia Airlines will
cut 6,000 workers as part of a $1.9 billion overhaul announced on
August 29 to revive its damaged brand after being hit by double
passenger jet disasters.

Investigators continue to scour the southern Indian Ocean for
Malaysia Airlines Flight 370, which veered far off course while en
route from Kuala Lumpur to Beijing on March 8 with 239 people on
board, said the report.  In July, 298 people were killed
when Flight 17 was blasted out of the sky as it flew over an area
of eastern Ukraine controlled by pro-Russian separatists.

These tragedies have scarred the airline's brand, once associated
with high-quality service, AP added.

Headquartered in Selangor, Malaysia, state-owned Malaysia Airlines
-- http://www.malaysiaairlines.com/-- engages in the business of
air transportation and the provision of related services.

Last year, Malaysia Airlines reported a net loss of MYR1.17
billion ($359 million), its third consecutive year of
net losses, according to The Wall Street Journal. In the three
months that ended June 30, its net loss widened to MYR307 million
from MYR176 million in the year-earlier period, the Journal
disclosed.


MALAYSIA AIRLINES: Khazanah Hires Management Consultants
--------------------------------------------------------
KiniBiz reports that State investment fund Khazanah Nasional has
engaged top management consultants to hammer out a winning
strategy to turn around Malaysia Airlines by an end-2017 deadline.

The big name management consultants that have been called in
include Bain & Company, McKinsey & Company and Seabury, sources
told KiniBiz.  Seabury is an established aviation consulting firm.

"It's not just one adviser. It's a bunch working directly with
Khazanah," one industry source told KiniBiz.

On August 29, Khazanah announced a MYR6 billion rescue package for
Malaysia Airlines that includes taking full ownership of the loss-
making airlines, cutting as many as 6,000 jobs and "right-sizing"
operations.

A new company will be formed to house the "new MAS," which will
"critically involve a significantly corrected cost and operational
structure," the report quotes Khazanah managing director Azman
Mokhtar as saying.

                         *     *     *

As reported by the Troubled Company Reporter - Asia Pacific on
September 1 2014, The Associated Press said Malaysia Airlines will
cut 6,000 workers as part of a $1.9 billion overhaul announced on
August 29 to revive its damaged brand after being hit by double
passenger jet disasters.

Investigators continue to scour the southern Indian Ocean for
Malaysia Airlines Flight 370, which veered far off course while en
route from Kuala Lumpur to Beijing on March 8 with 239 people on
board, said the report.  In July, 298 people were killed
when Flight 17 was blasted out of the sky as it flew over an area
of eastern Ukraine controlled by pro-Russian separatists.

These tragedies have scarred the airline's brand, once associated
with high-quality service, AP added.

Headquartered in Selangor, Malaysia, state-owned Malaysia Airlines
-- http://www.malaysiaairlines.com/-- engages in the business of
air transportation and the provision of related services.

Last year, Malaysia Airlines reported a net loss of MYR1.17
billion ($359 million), its third consecutive year of
net losses, according to The Wall Street Journal. In the three
months that ended June 30, its net loss widened to MYR307 million
from MYR176 million in the year-earlier period, the Journal
disclosed.



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


HERBERT INSURANCE: Boss Knew Firm Was Insolvent, Witness Says
-------------------------------------------------------------
Hamish Fletcher at The New Zealand Herald reports that the boss of
a now-failed insurance broker recognised the company was trading
while insolvent 18 months before it went into receivership, a
witness told the Auckland District Court on August 27.

The Herald relates that former Herbert Insurance boss
Grant Herbert faces 18 charges of theft by a person in a special
relationship and eight charges under the Secret Commissions Act.
He pleaded not guilty to the charges on August 26.

Herbert Insurance, as a broker, was paid clients' premiums and
forwarded the money to insurance companies, taking a commission.
The company was required to keep the premiums in a separate
account, Serious Fraud Office lawyer Todd Simmonds told Judge
Brooke Gibson.

However, between February 2009 and March 2011, when the company
went into receivership, customer premiums were transferred into
Herbert Insurance's operating account and used to meet business-
related expenses, Mr. Simmonds, as cited by the Herald, said.

According to the Herald, the Crown lawyer said on August 26 this
was an unlawful and illegitimate use of the premiums and that
Herbert knew and instructed it to happen.

The Herald relates that in the trial's second day, Herbert
Insurance's former chief financial officer Ian Jagger said
financial difficulties were becoming more apparent around
September 2008 and Mr. Herbert told him funds should be
transferred from the premium account.

When Mr. Jagger raised concerns in an email about being
"technically insolvent", Mr. Herbert replied he was working on a
sale and talk of insolvency could put it in jeopardy, the report
says.

Herbert Insurance Group Limited was placed in receivership on
March 7, 2011, following an attempt to voluntarily liquidate the
company and sell assets. HIG had approximately 4,000 clients
throughout New Zealand.  Receivers Korda Mentha advised in
March 2011 that they sold Herbert Insurance Group's client base
to Aon New Zealand, one of the world's largest insurance brokers.

The SFO opened its investigation into HIG on March 10, 2011.



================
S R I  L A N K A
================


NATIONAL SAVINGS: Fitch Rates Proposed US$-Denom. Notes BB-(EXP)
----------------------------------------------------------------
Fitch Ratings has assigned Sri Lanka-based National Savings Bank's
(NSB; BB-/Stable) proposed issue of US dollar-denominated notes an
expected rating of 'BB-(EXP)'.

The final rating is contingent upon receipt of final documents
conforming to information already received.

The proceeds are to be used for general corporate purposes.

KEY RATING DRIVERS

The notes are rated at the same level as NSB's Long-Term Foreign
Currency Issuer Default Rating (IDR) of 'BB-' as they rank equally
with the bank's other senior unsecured obligations.


NSB's IDRs are based on the government of Sri Lanka's (BB-/Stable)
high propensity but moderate ability to provide extraordinary
support to the bank, if needed.  The state's moderate ability to
provide support is reflected in the sovereign rating.  The bank's
Outlook reflects the Stable Outlook on Sri Lanka's sovereign
rating.

Fitch believes that state support for NSB stems from its policy
mandate of mobilizing retail savings and investing them in
government securities.  Its ratings also reflect preferential
state support to the bank in the form of the explicit guarantee
for its deposits contained in the NSB Act.  Fitch is of the view
that the authorities would support depositors and senior unsecured
creditors of NSB to maintain confidence and systemic stability in
case of need, even though the NSB Act only contains an explicit
deposit guarantee.

RATING SENSITIVITIES

Any change in Sri Lanka's rating or to the perception of state
support to NSB could result in a change in NSB's IDRs and hence
the rating of the notes.

NSB's ratings are:

Long-Term Foreign Currency IDR: 'BB-'; Outlook Stable
Long-Term Local Currency IDR: 'BB-'; Outlook Stable
Short-Term Foreign Currency IDR: 'B'
Support Rating: '3'
Support Rating Floor: 'BB-'
US dollar senior unsecured notes: 'BB-'
National Long-Term Rating: 'AAA(lka)'; Outlook Stable


NATIONAL SAVINGS: S&P Assigns 'B+' Rating on Proposed Sr. Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B+' issue rating
to the proposed senior unsecured notes of Sri Lanka's National
Savings Bank (NSB: B+/Stable/B).  The rating on the notes reflects
the long-term issuer credit rating on the bank.

The proposed notes will constitute direct, unsecured and
unsubordinated obligations of NSB.  They shall at all times rank
equally among themselves and with all other unsecured obligations
of the bank.

The rating on the notes is subject to S&P's review of the final
issuance documentation.



                             *********

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, and Peter A. Chapman,
Editors.

Copyright 2014.  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.



                 *** End of Transmission ***