TCRAP_Public/160902.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

          Friday, September 2, 2016, Vol. 19, No. 174

                            Headlines


A U S T R A L I A

MCALEESE LIMITED: CEO Slams Founders as Firm Collapses
OSTRAVA EQUITIES: Court Winds Up Companies and Bans Directors


C H I N A

CHINA BAK: Stockholders Elect Five Directors


I N D I A

7 STAR: ICRA Assigns 'B' Rating to INR10cr Term Loan
AHINSA FLOUR: ICRA Suspends 'B' Rating on INR8.5cr Bank Loan
AMV TEL: ICRA Assigns B+ Rating to INR2.0cr LT Loan
AROMA INDIA: CRISIL Raises Rating on INR100MM Term Loan to B-
ARULMURUGAN SPINNERS: CARE Rates INR15cr LT Loan at 'B'

ASIAN BUSINESS: Ind-Ra Assigns 'IND BB-' Final Long-Term Rating
AUM UDYOG: ICRA Suspends B+/A4 Rating on INR20cr Bank Loan
BERTLING LOGISTICS: CRISIL Cuts Rating on INR180MM Loan to 'B'
BHASKAR INTERNATIONAL: CARE Assigns B+ Rating to INR6.50cr Loan
BUNDELA EXPORTS: ICRA Assigns 'B+' Rating to INR4cr Term Loan

CALISTA PROPERTIES: CARE Raises Rating on INR9.5cr Loan to B-
CHANDI STEEL: ICRA Reaffirms 'B' Rating on INR7.5cr Cash Loan
DATTA AGRO: CARE Reaffirms 'B' Rating on INR30.09cr LT Loan
DIAMOND SOLVEX: CARE Assigns B+ Rating to INR27cr LT Loan
DRASHTI COTSPIN: CARE Hikes Rating on INR29.37cr LT Loan to B+

ECO PET: ICRA Suspends 'B' Rating on INR5.80cr Bank Loan
ERA INFRA: CARE Reaffirms 'D' Rating on INR3,048.93cr LT Loan
GOKULAM INDUSTRIES: CRISIL Reaffirms 'B' Rating on INR50MM Loan
GOMATHA COTTON: ICRA Assigns 'B' Rating to INR10cr LT Loan
HAIDERI TIMBER: ICRA Assigns 'B' Rating to INR0.5cr Cash Loan

HARI MARINE: CARE Reaffirms B+ Rating on INR15.50cr LT Loan
HINDUSTAN ORGANIC: CARE Lowers Rating on INR100MM NCD to 'D'
JTL INFRA: Ind-Ra Suspends 'IND BB' Long-Term Issuer Rating
LINERS INDIA: ICRA Assigns 'C' Rating to INR34.20cr Loan
MADHAV STORES: Ind-Ra Suspends 'IND B+' Long-Term Issuer Rating

MADHUBAN BUILDERS: CRISIL Cuts Rating on INR80MM Loan to 'D'
MODEL RAG: CRISIL Lowers Rating on INR70MM Cash Loan to 'B'
MOHAN TRACTORS: CRISIL Reaffirms B+ Rating on INR235MM Loan
MOKA BUSINESS: CARE Hikes Rating on INR0.9cr LT Bank Loan to B+
MULTAN COLLOIDS: ICRA Suspends 'B' Rating on INR5.65cr Bank Loan

MUNDRA INVESTMENTS: CARE Rates INR6.50cr LT Bank Loan at 'B'
NECCO TOOLS: CRISIL Assigns 'B+' Rating to INR30MM Cash Loan
PANASIAN IMPEX: ICRA Reaffirms B+ Rating on INR20cr Loan
PATWARI ELECTRICALS: CARE Assigns B+ Rating to INR11cr LT Loan
QUADROS MOTORS: ICRA Assigns 'B' Rating to INR14cr Cash Loan

RAJA MOTORS: CRISIL Reaffirms B+ Rating on INR60MM Cash Loan
RAJARATHNAM CONSTRUCTION: CRISIL Rates INR469.7MM Loan at B+
RAYAT & BAHRA: ICRA Suspends 'D' Rating on INR55.25cr Bank Loan
RAYAT EDUCATIONAL: ICRA Suspends D Rating on INR20cr Bank Loan
RUDHRAYAN POLYESTERS: CRISIL Ups Rating on INR49MM Loan to 'B'

SAMHI HOTELS: Ind-Ra Withdraws 'IND BB' Long-Term Issuer Rating
SHREE INFRA: ICRA Lowers Rating on INR30cr LT Loan to B+
SHRI BALAJI: ICRA Suspends 'D' Rating on INR8.21cr Term Loan
SRI TOORSA: ICRA Reaffirms 'B' Rating on INR7.12cr Term Loan
SYNCO INDUSTRIES: ICRA Assigns C+ Rating to INR8.50cr Cash Loan

TRIKOOT IRON: ICRA Suspends 'D' Rating on INR31.79cr Loan
VAIDYA INDUSTRIES: CARE Reaffirms B+ Rating on INR13.88cr LT Loan
VSN LABORATORIES: CARE Assigns B+ Rating to INR6.50cr LT Loan
YASH PAL: ICRA Reaffirms B+ Rating on INR19.50cr Term Loan


J A P A N

TAKATA CORP: Shortlists Daicel, KKR, Ningbo in Rescue Search


S I N G A P O R E

SWIBER HOLDINGS: Vallianz Rejects Payment Request
TWO OCEANS: High Court Approves Wind Up Petition


S O U T H  K O R E A

HANJIN SHIPPING: Upsets Global Trade After Filing Receivership
LOTTE GROUP: Founder's Son Summoned Over Alleged Embezzlement


                            - - - - -


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


MCALEESE LIMITED: CEO Slams Founders as Firm Collapses
------------------------------------------------------
Andrew White and Daniel Palmer at The Australian report that
McAleese Limited chief executive and major shareholder
Mark Rowsthorn has hit out at the troubled transport group's
founders, saying they were "on a route to destruction" after they
scuppered a recapitalisation and forced the company under.

According to The Australian, Mr. Rowsthorn said the founders, led
by McAleese director Gilberto Maggiolo, had long resisted
requests by the company to cut "boom time" rents on properties
they leased to McAleese, as demanded by distressed debt investor
SC Lowy as part of a rescue deal.

"These guys could have sat down and talked about the rent," Mr.
Rowsthorn told The Australian. "We could have sat down and talked
about selling assets from the business to them if that's what
they wanted. But they were on this route to destruction, in my
view."

The Australian relates that Mr. Maggiolo was the only director
opposed to the Lowy deal and had requisitioned a meeting to vote
his five fellow directors -- including Mr. Rowsthorn and chairman
Don Telford -- off the board, amid talk of a so-far undisclosed
alternative proposal through the company Havenfresh, which he
jointly owns with business partner Tony Rosso.

Mr Maggiolo spoke for 28% of the company, while Mr. Rowsthorn has
30.78%, the report says.

But the collapse on August 29 has wrecked any chance for existing
shareholders to participate in a recapitalization, with the
company telling the stock exchange that "shareholders are highly
unlikely to receive any value for their existing shares", The
Australian relates. It follows a brief but troubled history for
McAleese that included a fatal explosion of a fuel truck in 2013
just weeks before the company's float at AUD1.47 a share, the
failure of its half-owned gas haulage business, the end of the
mining boom and the mothballing of operations at its major
customer, Atlas Iron, says The Australian.

According to the report, directors met on August 29 to appoint
voluntary administrators McGrath Nicol after failing to satisfy
one of the two conditions demanded by SC Lowy: that there be a
real reduction in rent costs billed to the company by TTPH Pty
Ltd.

Mr. Maggiolo and other founders of McAleese own TTPH, which
bought nine properties linked to McAleese's heavy haulage and
lifting business in 2011 when Mr. Rowsthorn took control of the
company in a AUD100 million deal, the report notes.

According to company documents, McAleese paid more than AUD5
million in 2015 to TTPH for nine leases at what Mr. Rowsthorn
described as "boom time prices," The Australian relates. Six of
the leases have terms of 10 years expiring in 2021, with two
five-year renewal options and annual increases of the greater of
4% or the consumer price index.

"Revenue had fallen by 70% but the rent was going up," The
Australian quotes Mr. Rowsthorn as saying.

Lowy demanded the rent be cut by AUD2 million or 40% as a
condition of recapitalizing McAleese.

But when McAleese could not meet the condition, it triggered the
immediate repayment of the debt, forcing directors to seek the
protection of voluntary administration, the report notes.

McAleese Limited (ASX:MCS) -- http://www.mcaleese.com.au/news/--
is an Australia-based company, which is engaged in the provision
of heavy haulage and craneage, bulk haulage, liquid fuels
distribution, and transport and logistics services. The Company
operates in four segments: the Heavy Haulage & Lifting division,
which provides heavy haulage and lifting solutions for equipment
required in the construction, operation and maintenance of
resources, energy and infrastructure projects; the Bulk Haulage
division, which provides bulk commodities haulage across off-road
and on-road routes and ancillary onsite services in the mining
sector; the Oil & Gas division, which includes Cootes Transport,
a provider of liquid and gaseous fuel transportation services in
Australia for oil and gas companies and Refuel International,
which designs and manufactures of refueling and handling
equipment, and the Specialised Transport division, which includes
the operations of WA Freight Group, including the movement of
less than truck load freight.

On Aug. 29, 2016, Joseph Hayes, Jason Preston, Jamie Harris and
Keith Crawford of McGrathNicol were appointed Voluntary
Administrators of McAleese Limited and each of its wholly owned
subsidiaries with the exception of Sunshine Refuellers Pty Ltd.


OSTRAVA EQUITIES: Court Winds Up Companies and Bans Directors
-------------------------------------------------------------
The Federal Court in Melbourne has made orders winding up Ostrava
Equities Pty Ltd and eight other companies associated with the
Ostrava financial services business and its proprietors Mr.
Bradley Grimm and Ms Vanessa Ash.

The Court has also ordered that Mr. Grimm and Ms. Ash be
restrained from providing financial services, for 20 and 10 years
respectively, and disqualified from managing corporations, for 15
and 7 years respectively.

Following a successful application by ASIC, Ms. Leanne Chesser
and Mr. Craig Shepard of KordaMentha were appointed as joint and
several liquidators of Ostrava Equities Pty Ltd, Ostrava Asset
Management Pty Ltd, Ostrava Securities Pty Ltd, Ostrava Wealth
Management Pty Ltd, Beta Pharmacology Pty Ltd, Prometheus Capital
Pty Ltd, Thrive Lending Pty Ltd, Trade BTC Pty Ltd and Equity
Capital Partners Hedge Fund Pty Ltd.

Justice Davies made the winding up orders on just and equitable
grounds, having regard to serious misconduct and mismanagement of
the Companies' affairs, including multiple breaches of financial
services laws by the Companies and by Mr. Grimm in his capacity
as financial adviser to self-managed superannuation fund (SMSF)
clients.

The Court found that Ostrava Equities Pty Ltd and Mr. Grimm
engaged in dishonest conduct by charging unauthorised fees to
clients. The Court also found that the company and Mr. Grimm
contravened the Corporations Act by making misleading statements
to clients about the value of their SMSFs, providing unlicensed
managed discretionary account services, failing to comply with
financial services disclosure obligations and failing to act in
clients' best interests.

The Court found that both Mr. Grimm and Ms. Ash, who is a lawyer
and former employee of ASIC, had breached their duties as company
directors.

Justice Davies found that Mr. Grimm's conduct was "deliberate and
in contumelious disregard of the law and statutory requirements".
Her Honour said Mr. Grimm had "engaged in deliberate courses of
conduct to enrich himself and the corporate group that he
established at others' expense."

Justice Davies further found that Ms. Ash "either knew, or ought
to have known, the standard of conduct required by law but she
appears to have relied passively on Mr. Grimm in the carrying on
of the financial services business without proper supervision or
exercising any independent or critical judgment."

ASIC Commissioner Greg Tanzer said, "This outcome sends a message
that anyone who breaches financial services laws or their duties
as company directors faces serious consequences. ASIC will not
tolerate this kind of egregious misconduct."

ASIC commenced legal action in April 2015 against Mr. Grimm,
Ms. Ash and Ostrava Equities Pty Ltd, Ostrava Asset Management
Pty Ltd and Ostrava Securities Pty Ltd.

On Aug. 24, 2015, ASIC was given leave to join Ostrava Wealth
Management Pty Ltd, Beta Pharmacology Pty Ltd, Prometheus Capital
Pty Ltd, Thrive Lending Pty Ltd and Trade BTC Pty Ltd as
defendants to the proceeding. On ASIC's application, the Court
appointed Ms. Chesser and Mr. Shepard as provisional liquidators
to these and the other corporate defendants on Oct. 20, 2015.

On April 1, 2016, ASIC was given leave to join Equity Capital
Partners Hedge Fund Pty Ltd as a defendant to the proceeding.

Ms. Ash was the sole director of Ostrava Equities Pty Ltd and a
joint director of Ostrava Asset Management Pty Ltd and Ostrava
Securities Pty Ltd.  Ms. Ash was previously employed by ASIC as a
lawyer between 2000 and 2009.

Mr. Grimm was a director of Ostrava Wealth Management Pty Ltd, a
joint director of Ostrava Asset Management Pty Ltd and former
director of Ostrava Equities Pty Ltd. He was the sole director of
Beta Pharmacology Pty Ltd, Prometheus Capital Pty Ltd, Thrive
Lending Pty Ltd, Trade BTC Pty Ltd and Equity Capital Partners
Hedge Fund Pty Ltd.

Ostrava Equities Pty Ltd and Mr. Grimm were until Oct. 21, 2015,
authorised representatives of Australian financial services
licensee Marigold Falconer International Ltd.  Mr. Grimm and Ms
Ash are also authorised representatives of Ostrava Securities Pty
Ltd which holds its own Australian financial services licence.

Mr. Grimm and Ms. Ash agreed to the winding up, restraint and
disqualification orders at a hearing on June 21, 2016.



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


CHINA BAK: Stockholders Elect Five Directors
--------------------------------------------
China BAK Battery, Inc., held an annual meeting of stockholders
on Aug. 26, 2016, at which the stockholders elected Yunfei Li,
Simon J. Xue, Martha C. Agee, Jianjun He and Guosheng Wang as
directors to serve until the 2017 annual meeting of stockholders.
The Company's stockholders also ratified the selection of Crowe
Horwath (HK) CPA Limited as the Company's independent registered
accounting firm for the fiscal year ending Sept. 30, 2016.

Holders of the Company's common stock at the close of business on
July 8, 2016, were entitled to vote at the Annual Meeting.  As of
the Record Date, there were 17,338,828 outstanding shares of
common stock entitled to vote.  A total of 11,804,225 shares of
common stock (68.08%), constituting a quorum, were represented in
person or by valid proxies at the Annual Meeting.

                        About China BAK

China BAK Battery conducted business through BAK International
Limited and its subsidiaries that produced prismatic cells,
cylindrical cells, lithium polymer cells and high power lithium
batters.  The BAK International business was foreclosed on
June 30, 2014.  Consequently, China BAK is looking to develop,
manufacture and sell energy high power lithium batteries
primarily for electric vehicles when its Dalian, China
manufacturing facilities start to operate in the first quarter of
2015.

China BAK reported net profit of US$15.9 million for the year
ended Sept. 30, 2015, compared to net profit of US$37.8 million
for the year ended Sept. 30, 2014.

Crowe Horwath (HK) CPA Limited, in Hong Kong, China, issued a
"going concern" qualification on the consolidated financial
statements for the year ended Sept. 30, 2015, citing that the
Company has a working capital deficiency, accumulated deficit
from recurring net losses and significant short-term debt
obligations maturing in less than one year as of Sept. 30, 2015.
All these factors raise substantial doubt about its ability to
continue as a going concern.



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


7 STAR: ICRA Assigns 'B' Rating to INR10cr Term Loan
----------------------------------------------------
ICRA has assigned the rating of [ICRA]B to INR10.00 crore
proposed term loan of 7 Star Construction.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Term Loan               10.00        [ICRA]B assigned

The assigned rating is constrained by the exposure to the market
risks with 47%-49% of the units yet to be sold and moderate
funding risk with partial promoter's funds and bank funds yet to
be infused. The rating is further constrained by high
geographical concentration with both the projects located in the
same location of the Surat city as well as the intense
competitive pressures in the real estate market of Surat area.
The rating further takes into account the demand cyclicality in
the real estate business. ICRA further takes note that SSC is a
partnership firm and any significant withdrawals from the capital
account could adversely affect its capital structure.

The rating, however, favorably factors in the longstanding
presence of the promoters in the real estate sector through
various projects executed by group entities as well as moderate
execution risk with ~78% to 80% of the project completed.
Given the slowdown in the real estate market, the key rating
driver would be the ability to secure adequate bookings and
customer advances for both the projects while ensuring timely
project execution within the envisaged costs and timely receipts
of the required approvals.

Established in 2014, 7 Star Construction is engaged in
construction and development of residential dwellings. Based in
Surat, Gujarat, SSC is part of the 7 Star group of Surat and is
formed to as an SPV (Special Purpose Vehicle) for the
construction of a two residential projects viz. 'Star Galaxy' and
'Star Garden' in Surat. The partners of the firm have previous
experience in the field of construction and development of
residential and commercial buildings.


AHINSA FLOUR: ICRA Suspends 'B' Rating on INR8.5cr Bank Loan
------------------------------------------------------------
ICRA has suspended its long-term rating of [ICRA]B assigned to
the INR8.50 crore bank facilities of Ahinsa Flour Mill Private
Limited. The suspension follows ICRA's inability to carry out a
rating surveillance in the absence of the requisite information
from the company.


AMV TEL: ICRA Assigns B+ Rating to INR2.0cr LT Loan
---------------------------------------------------
ICRA has assigned a long-term rating of [ICRA]B+ to the INR2.00
crore long term - proposed facilities of AMV Tel Private Limited.
ICRA has also assigned a short term rating of [ICRA]A4 to the
INR8.00 crore short term - proposed facilities of AMV.

                         Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Long-term-
   Unallocated             2.00       [ICRA]B+/Assigned

   Short-term-
   Unallocated             8.00       [ICRA]A4/Assigned

The assigned ratings take into account the long standing
experience of the promoters and management spanning over two
decades in different sectors. The ratings also factor in AMV's
product placement in the mid-range segment (medium priced
category) smart-phones, which has significant growth
opportunities in the domestic replacement handset market driven
by increasing purchasing power of consumers, and a growing middle
class population. The ratings also takes comfort from the
financial flexibility enjoyed by the company, being part of the
AMV Group of Companies, and the high net worth and connections of
the group's promoters. The ratings also take into consideration
sourcing of quality products and components from highly reputed
players such as Sony, Kingston etc., add on services to be
offered; the in-place agreements with its manufacturer & after
sales service partner.

The ratings are, however, constrained by the significant project
off-take risks given AMV's nascent stage of operations with
approvals pending from BIS authorities and working capital
facilities yet to be sanctioned by banks. The ratings also takes
into account the high competitive intensity in the Indian mobile
handset industry characterized by the presence of low cost
feature phones and numerous unorganized players, given the low
entry barriers, and AMV's limited bargaining power with its
suppliers, which results in moderate profitability. The ratings
further take into account AMV's reliance on Chinese suppliers for
product sourcing exposing the company to product
quality/servicing issues and the vulnerability of operation to
Government policy primarily with respect to changes in the duty
structure; and the inevitability to continuously adapt to the
customer preferences and technological obsolescence.

AMV Tel Private Limited, is part of the AMV Group of Companies
based out of Kochi, and was established as a Private Limited
Company in 2015. The Company is a closely held entity with Mr.
Anil Kumar Sharma holding 50% share and Mrs. Vijayta Sharma
holding 50% share. The company imports mobile phones and other
accessories like Bluetooth devices, head phones etc from Chinese
manufacturers who manufacture the devices according to the
specifications provided by AMV's research & development team. The
Company is planning to launch four models of mobile phones
upfront and other accessories by first week of October 2016 under
the brand name "ZStone".

The AMV group has footprints across diverse businesses such as
hospitality infrastructure- through management agreement with
Hyatt Group and management agreement with an international hotel
brand to develop a five star deluxe hotel in Colombo, Sri Lanka,
Construction and real estate development by developing and
constructing numerous residential & commercial spaces. The
company is also engaged into exporting of spices from India to
Middle East, Europe and other countries around the world,
importing and trading of PPR pipes & fittings/UPVC doors and
windows.


AROMA INDIA: CRISIL Raises Rating on INR100MM Term Loan to B-
-------------------------------------------------------------
CRISIL has upgraded its rating on the long-term bank facility of
Aroma India Private Limited to 'CRISIL B-/Stable' from 'CRISIL
D'.

                        Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Term Loan               100       CRISIL B-/Stable (Upgraded
                                      from 'CRISIL D')

The rating upgrade reflects track record of timely repayment of
its term loan obligations. Furthermore, liquidity profile of the
company is expected to improve with improvement in cash accruals
backed by better capacity utilization due to high demand from its
principal Pernod Ricard.

The ratings continue to reflect AIPL's average financial risk and
stretched liquidity. However, the company benefits from the
extensive experience of its promoters in the Indian-made foreign
liquor (IMFL) business.

Outlook: Stable

CRISIL believes that AIPL will benefit over the medium term from
the extensive experience of its promoters in the IMFL business.
The outlook may be revised to 'Positive' if AIPL registers
significantly higher revenue resulting in improvement in the
business and liquidity profile of the company. Conversely, the
outlook may be revised to 'Negative' in case of lower than
expected offtake by Pernod Ricard India Pvt Ltd or if the company
undertakes any large debt funded capex resulting in weakening of
AIPL's liquidity and financial profile.

AIPL was set up in 1996 by Mr. Shanti Kumar Jain and his son Mr.
Amit Kumar Jain in Guwahati (Assam). The company established an
IMFL bottling plant for Pernod Ricard India Pvt Ltd in Amingaon,
Assam, which commenced operations in 2014-15 (refers to financial
year, April 1 to March 31). The company has also been
manufacturing citronella grass oil and citronella seedling (used
in perfumes and essential oils), but on a very small scale.


ARULMURUGAN SPINNERS: CARE Rates INR15cr LT Loan at 'B'
-------------------------------------------------------
CARE assigns 'CARE B' to the bank facilities of Arupadai
Arulmurugan Spinners Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long -term Bank Facilities      15       CARE B Assigned

Rating Rationale

The ratings assigned to the The rating assigned to the bank
facilities of Arupadai Arulmurugan Spinners Private Limited
is constrained by small scale of operations, fluctuating total
operating income, susceptibility of profitability margins to
fluctuations in raw material prices, leveraged capital structure
and weak debt indicators and presence in a highly competitive and
fragmented textile industry. However, the rating draws strength
from experience of the promoters in textile industry,
satisfactory working capital cycle and stable outlook of the
textile industry.  The ability of the company to increase its
scale of operations and profitability margins and improve its
capital structure.

AASPL was incorporated in the year 2006. The company is promoted
by Mr. S. Suresh and their friends and relatives. The company is
engaged in the manufacturing of blended yarn comprising of
viscose. It also manufactures viscose yarn based on customer
needs. The company procures the raw material (viscose) from
Grasim Industries Limited. The company sells its products, ie,
viscose yarn to traders and manufacturers of apparel.

In FY16 (Provisional), AASPL has reported a total operating
income of INR37.71 crore (INR32.88 crore in FY15) and a PAT of
INR0.09 crore (INR0.03 crore in FY15).


ASIAN BUSINESS: Ind-Ra Assigns 'IND BB-' Final Long-Term Rating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has assigned Asian Business
Connections Private Limited's (ABCPL) INR4,500 million non-
convertible debentures (NCDs) a final long-term rating of 'IND
BB-'. The Outlook is Stable.

The assignment of final rating follows the receipt of final
documents conforming to information already received by Ind-Ra.
The final ratings are, therefore, the same as the provisional
ratings assigned in August 2016. The agency maintains a Long-Term
Issuer Rating of 'IND BB-' on the company with a Stable Outlook.

To arrive at the ratings, the agency has taken a consolidated
view of ABCPL and its subsidiaries (together referred to as the
Carnival Group) considering legal linkages, common management
control and a track record of cash fungibility within the group.
Financial support is extended by one subsidiary to another
through ABCPL as ABCPL is the holding company.

KEY RATING DRIVERS

The ratings reflect ABCPL's dependence on its subsidiaries to
honour servicing of the NCDs as it does not have any economic
activity on a standalone basis. Moreover, in the past there have
been no instances of upstreaming of dividend from its
subsidiaries.

ABCPL's management has stated that the proceeds from the NCDs
will be passed on to its 99.99% subsidiary CSJ Infrastructure
Private Limited (CSJ) in the form of 9% inter-corporate deposits
(ICDs) as part of CSJ's refinancing arrangements. The term sheet
of the NCD issue states that ABCPL has to repay INR1,500 million
within 30 months from the date of issue, with the remaining
tranche to be redeemed over 60 months from the date of issue. The
term sheet also states that the servicing/redemption of the NCDs
would be met through cash accruals from the mall, hotel and
commercial real estate assets held by CSJ, as ABCPL does not have
any operations of its own. CSJ would upstream cash to its parent
by way of interest on the ICDs and repayment of the ICDs.

Although CSJ has reported strong EBITDA of INR1,380 million in
FY16 (Provisional) (FY15: INR1,563 million) on revenue of
INR1,861 million (INR2,108 million), its cash flows are
inadequate to meet the servicing requirements on its INR13,089
million debt; hence this is being refinanced. The agency factors
in the nascent stage of CSJ's hotel operations (with only 100 out
of 211 rooms operational), which could moderately impact its
profitability. Timely repayment of ABCPL's NCDs will also be
contingent upon the sale of the remaining office space in CSJ
(163,000 sq. ft., equivalent to almost 50% of total saleable
area). Any delay in these sales could pose a liquidity risk for
the parent.

The ratings are constrained by CSJ's strained liquidity position
and due to no support being drawn from the group's flagship
company, Advantage Overseas Pvt Ltd. However, AOPL, along with
ABCPL, has guaranteed CSJ's debt. Any delay in the finalization
of refinancing arrangements for CSJ could result in the
invocation of the guarantee by the lender and could impinge AOPL
and ABCPL's credit profiles.

However, the ratings are supported by the likely financial
flexibility available to ABCPL by way of divestment of its equity
stake in CSJ, which has an enterprise value of INR20,120m, as per
a recent valuation report shared by the company with the agency.

RATING SENSITIVITIES

Negative: The ratings could be downgraded if there is:

   -- a delay in achieving the desired level of occupancy in for
      CSJ's hotel and delays in office premise sales

   -- cash accruals from the mall coming in lower than the
      agency's expectations

   -- an invocation of ABCPL's guarantee by CSJ's lender

COMPANY PROFILE

Incorporated in 2009 by Mr. Shrikant Bhasi, ABCPL operates in
various verticals such as commodities trading, film exhibitions,
food and beverages and real estate through its subsidiaries. Most
of its revenue, EBITDA and debt come from its subsidiaries AOPL,
CSJ, Carnival Soft Private Limited and Carnival Films Private
Limited.

Provisional FY16 numbers indicate that revenue increased by about
58% to INR960 billion (FY15: INR606,624 million), led a scale-up
in its agro commodity trading segment. ABCPL's consolidated
EBITDA margin was less than 1% in FY16 (same as FY15).


AUM UDYOG: ICRA Suspends B+/A4 Rating on INR20cr Bank Loan
----------------------------------------------------------
ICRA has suspended its long-term rating of [ICRA]B+ and short-
term rating of [ICRA]A4 assigned to the INR20.00 crore bank
facilities of Aum Udyog. The suspension follows ICRA's inability
to carry out a rating surveillance in the absence of the
requisite information from the Company.


BERTLING LOGISTICS: CRISIL Cuts Rating on INR180MM Loan to 'B'
--------------------------------------------------------------
CRISIL has downgraded its ratings on the bank facilities of
Bertling Logistics India Private Limited (part of the Bertling
group) to 'CRISIL B/Stable/CRISIL A4' from 'CRISIL BB-
/Stable/CRISIL A4+'.

                       Amount
   Facilities        (INR Mln)    Ratings
   ----------        ---------    -------
   Bank Guarantee        120      CRISIL A4 (Downgraded
                                  from 'CRISIL A4+')

   Cash Credit           180      CRISIL B/Stable (Downgraded
                                  from 'CRISIL BB-/Stable')

The rating downgrade reflects sustained weakness in the Bertling
group's business risk profile in the four years ended March 31,
2016. Owing to intense competition and delays in project
execution, the group's topline declined sharply to about INR431
million in fiscal 2016 from INR849 million the previous fiscal,
resulting in negative cash accrual during the year. Declining
revenue and high fixed costs resulted in operating losses in the
past four years. The slowdown in business profile is expected to
persist over the medium term, continuing to impact topline and
profitability.

The group's debt protection metrics are inadequate owing to the
losses. Financial risk profile may remain constrained over the
medium term as well. Operating margin will remain a key rating
sensitivity factor.

The ratings reflect the group's weak financial risk profile,
especially capital structure and debt protection metrics, and
exposure to cyclicality in end-user industries, and intense
competition. These weaknesses are partially offset by the group's
established track record in the logistic services industry, and
the company's diversified service profile.

For arriving at the ratings, CRISIL has combined the business and
financial risk profiles of Bertling and its subsidiary, Globe
Forwarding Agencies Pvt Ltd. This is because the two companies,
together referred to as the Bertling group, have operational
synergies and a common management.
Outlook: Stable

CRISIL believes the Bertling group's business and financial risk
profiles will remain constrained over the medium term by slowdown
in orders from customers. The outlook may be revised to
'Positive' if significantly higher revenue, profitability, and
cash accrual strengthen the group's debt protection metrics.
Substantial accretion to reserves, or equity infusion, resulting
in a stronger capital structure, may also lead to a revision in
outlook to 'Positive'. Conversely, the outlook may be revised to
'Negative' if liquidity deteriorates due to low profitability or
stretch in working capital cycle.

Incorporated in 2007, Bertling provides project logistic services
such as freight forwarding and transportation to companies
engaged in the power, capital goods, and engineering sectors. GFA
provides custom clearance services. Bertling and GFA are based in
Mumbai and the group's overall financial operations are managed
by Mr. M B Narayanan, chief financial officer.


BHASKAR INTERNATIONAL: CARE Assigns B+ Rating to INR6.50cr Loan
---------------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Bhaskar
International Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities      6.50      CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of Bhaskar
International Private Limited is primarily constrained by its
small scale of operations with low net worth base, weak financial
risk profile marked by, low profitability margins, leveraged
capital structure & coverage indicators and working capital
intensive nature of operations. The rating is further constrained
due to raw material price fluctuation risk and its presence in
highly competitive industry leading to low bargaining power.

The rating, however, draws comfort from the experienced
promoters, growing scale of operations and its presence in
favorable location.

Going forward, the ability of the company to increase its scale
of operations while improving profitability margin and capital
structure will be the key rating sensitivity.

Haryana-based BIPL was incorporated in June 1997 and promoted by
Mr. Ashwani Kumar Oberoi, Mr. Sunil Kumar Oberoi and their family
members. BIPL is primarily engaged in the trading of gunny bags &
poly propylene woven fabric bags. It also manufactures poly
propylene woven fabric bags which find application in packaging
of rice, food grains and sugar.  The manufacturing facility of
the company is located in the Industrial estate in Yamuna Nagar,
Haryana, with an installed capacity to manufacture 6 lakh PP
woven bags per month. BIPL procures old gunny & PP bags from
various rice mills, paper mills, etc locally and new bags are
procured from Jute mill located in Kolkata. BIPL sell its product
to wholesalers and various corporates operating in cement, food
and chemical companies located domestically. The group associates
of BIPL Kittiman Cement & Packaging Industries Ltd. (rated 'CARE
BB-'), Yamuna Bandra Trader, Yamuna Bandra Packaging Idia Ltd.,
Shaktiman Bio Agro Indid Pvt. Ltd. which are engaged in similar
line of business.

BIPL reported a PAT of INR0.22 crore on a total income of
INR25.19 crore in FY15 (refers to the period April 1 to
March 31). BIPL has reported a total operating income of INR36.68
crore till FY16 (as per the unaudited results).


BUNDELA EXPORTS: ICRA Assigns 'B+' Rating to INR4cr Term Loan
-------------------------------------------------------------
ICRA has assigned its long-term rating of [ICRA]B+ to the INR7.0-
crore unallocated fund-based facilities of Bundela Exports.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Unallocated
   (Working Capital)         3.0        [ICRA]B+; assigned

   Unallocated
   (Term Loan)               4.0        [[ICRA]B+; assigned

ICRA's rating takes into account the highly competitive nature of
the granite processing industry in which Bundela Exports
operates, with a large number of unorganized and small players,
resulting in limited pricing flexibility and thin profitability.
The rating is also constrained by the firm's modest scale of
operations and the vulnerability of the firm's profitability to
any change in Government policy on royalty charges, as was seen
in FY2016. ICRA also takes note of the partnership constitution
of the firm, which exposes it to risks of withdrawal of capital,
dissolution etc.

However, the rating derives comfort from the management's
experience in granite processing and assured availability of
granite blocks from quarries owned by the partners. The rating
also factors in the firm's currently lightly leveraged capital
structure, which, despite the proposed debt-funded capital
expenditure for capacity enhancement in FY2017, will remain
comfortable. ICRA also takes note of the favorable demand outlook
for granite slabs in the domestic and international markets.
Going forward, the firm's ability to ramp up its scale of
operations while bringing about a sustained improvement in its
profitability and maintaining optimal working capital intensity
will be the key rating sensitivities.

Bundela Exports was set up in 2000 by the Bundela family in
Lalitpur, Uttar Pradesh, with Mr. Sujan Singh Bundela,
Mr. Chandra Bhushan Singh Bundela and Mr. Shashi Bhushan Singh
Bundela as partners, with equal profit sharing. The firm
processes granite blocks into granite stones and has an existing
production capacity of 10,000 cubic meters per annum. The firm
sources the granite from a quarry owned by the partners.

Recent Results

Bundela Exports reported a profit after tax (PAT) of INR0.75
crore on an operating income (OI) of INR29.31 crore in FY2016, as
against a PAT of INR0.41 crore on an OI of INR23.11 crore in the
previous year.


CALISTA PROPERTIES: CARE Raises Rating on INR9.5cr Loan to B-
-------------------------------------------------------------
CARE revokes the suspension and revises the ratings assigned to
the bank facilities of Calista Properties Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities      9.50      CARE B- Suspension
                                            Revoked and revised
                                            From CARE D

   Short term Bank Facilities     3.00      CARE A4 Suspension
                                            Revoked and revised
                                            From CARE D

Rating Rationale

The revision in the ratings assigned to the bank facilities of
Calista Properties Private Limited factors in the regularization
of the debt servicing track record since April 1, 2016.

The ratings continue to remain constrained on account of short
track record of operations, moderate occupancy levels and high
operating costs translating into loss and risk associated with
revenue concentration on a single property. The ratings are
constrained on account of weak capital structure and debt
coverage indicators along with inherent cyclicality associated
with the hotel industry.

The ratings, however, continue to derive strength from experience
of the promoters in the hotel industry, marketing-cum-management
contract with 'Radisson Hotels International Inc.'(RHI) and
regular infusion of funds by the promoters and favorable location
of the hotel in Pune.

The ability of CPPL to improve occupancy levels and ARR in light
of competitive nature of the industry while reducing its
operating costs thus improving its operating margin and capital
structure remain the key rating sensitivities. Furthermore,
efficient management of working capital requirement and
improvement in liquidity position is also crucial.

CPPL, incorporated in March 2006, is promoted by the Kalmadi
group (promoted by Mr. Suresh Kalmadi) and Mr. Vijay Kumar Gupta.
Mr. Gupta carries a rich experience of over a one and a half
decade in the hospitality industry and he is also the Managing
Director (MD) of Hotel Le Meridien, Pune. The Kalmadi Group is
the owner of automobile company viz. Sai Service Station Limited
which is an authorized dealer of Maruti Suzuki India Limited for
various locations in Maharashtra.

CPPL owns a 5-star hotel with 141 rooms on Nagar Bypass Road,
Kharadi, Pune operated under the brand "Radisson". CPPL has
entered into 10 year management-cum-marketing arrangement with
Radisson Hotels International, Inc. The hotel started its
commercial operations from November 2009.

During FY16 (refers to the period April 1 to March 31), CPPL
booked net loss of INR6.99 crore against a total operating income
of INR25.24 crore compared to net loss of INR12.15 crore against
a total operating income of INR22.68 crore in FY15.


CHANDI STEEL: ICRA Reaffirms 'B' Rating on INR7.5cr Cash Loan
-------------------------------------------------------------
ICRA has reaffirmed the long-term rating of [ICRA] assigned to
the INR7.50 crore cash credit (reduced from INR10.00 crore
earlier) facility of Chandi Steel Industries Limited. ICRA has
also reaffirmed the short term rating of [ICRA]A4 assigned to the
INR1.50 crore non fund based bank facilities of CSIL.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Fund Based Limit-
   Cash Credit             7.50         [ICRA]B reaffirmed

   Non Fund Based Limit-
   Bank Guarantee          1.50         [ICRA]A4 reaffirmed

The reaffirmation of the ratings takes into consideration the
weak credit risk profile of one of the group companies to which
CSIL has extended a corporate guarantee. Besides, the company has
a stretched liquidity position, as reflected by high utilization
of the working capital limits, which also restricts its financial
flexibility. The ratings continue to be impacted by the ongoing
weakness in the steel industry, which is likely to keep CSIL's
profitability and cash flows under pressure. The company's
relatively small scale of operations, coupled with the lack of
vertical integration in its stand-alone rolled products
manufacturing business, make margins sensitive to input and
output prices. The ratings are also constrained by CSIL's weak
financial profile as reflected by low net profitability and weak
debt protection metrics. The ratings, however, favorably consider
the experience of the promoters in the steel industry and the
strategic location of the manufacturing unit that is in close
proximity to raw material sources, leading to low landed cost of
input materials.

The ability of the company to achieve revenue growth without
compromising its profitability in a competitive environment while
improving its capital structure and coverage indicators would
remain the key rating sensitivities.

Chandi Steel Industries Limited was incorporated in 1978 as
Chandi Steel Industries Private Limited by the promoters of a
partnership concern, Haryana Steel Corporation. The company re-
rolls semi-finished steel (alloy and non-alloy billets/ ingots/
blooms/ slabs) into long products (alloy and non-alloy bars,
rounds, squares and flats). The promoters of the Jai Balaji Group
purchased the company in 1993, and subsequently converted the
entity to its current form in November 2003 by listing CSIL on
the Calcutta Stock Exchange Association Limited. CSIL's re-
rolling plant is located at Belur Road in Howrah, West Bengal,
and has an effective capacity of 16,500 MTPA.

Recent Results
The company reported a net profit of INR0.23 crore on an
operating income of INR85.11 crore during FY2016. It had reported
a net profit of INR0.10 crore on an operating income of INR60.47
crore in FY2015.


DATTA AGRO: CARE Reaffirms 'B' Rating on INR30.09cr LT Loan
-----------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of
Datta Agro Services Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities    30.09       CARE B Reaffirmed

   Short-term Bank Facilities   25.00       CARE A4 Reaffirmed

Rating Rationale

The ratings of Datta Agro Services Private Limited continue to
remain constrained on account of decline in its Total Operating
Income (TOI) during FY16 (refers to the period April 1 to
March 31), implementation risk associated with predominantly
debt-funded capex and tight liquidity arising from the delay in
receipt of fertilizer subsidy. The ratings are further
constrained by DASPL's presence in a highly regulated industry
and its dependence on imports for its key raw material
requirements.

The ratings however, favorably factor in the vast experience of
the promoters in the fertilizer industry, financial support
extended by the promoters in the form of unsecured loans and
equity, and improvement in PBILDT margin of DASPL during FY16 on
back of lower material cost and efficient logistics management.

DASPL's ability to increase its market presence and effective
working capital management would be the key rating sensitivities.
Furthermore, its ability to sustain and gradually improve its
overall financial risk profile in the wake of any adverse
government policy towards the fertilizer industry would also
remain crucial.

Incorporated in June 2007, DASPL is engaged in manufacturing of
Single Super Phosphate (SSP) fertilizer from its sole
manufacturing facility located at Jalgaon. Post commencing its
commercial production in September 2011, DASPL continued to
operate with an installed capacity of 1.32 lakh Metric Tons Per
Annum (MTPA) for manufacturing of SSP.

DASPL markets its product under the brand name "Satpuda" via a
distribution channel of more than 150 distributors in
the states of Madhya Pradesh and Maharashtra.

Furthermore, DASPL is setting up a Nitrogen, Phosphorus,
Potassium (NPK) manufacturing plant with a capacity of 200 Tons
per day (TPD) where in the commercial production is expected to
commence from September 2016. The total project cost is estimated
to be around INR7.10 crore which would be funded in a debt to
equity ratio of 2.3:1.

As per the audited results of FY16, DASPL reported profit after
tax (PAT) of INR2.22 crore on a Total Operating Income (TOI) of
INR49.28 crore as against PAT of INR2.43 crore on a TOI of
INR68.36 crore during FY15.


DIAMOND SOLVEX: CARE Assigns B+ Rating to INR27cr LT Loan
---------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of Diamond
Solvex Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities       27       CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of Diamond Solvex
Private Limited is constrained by its weak solvency position,
working capital intensive nature of operations and customer
concentration risk. The rating is further constrained by the
susceptibility of margins to volatility in raw material prices,
intense competition and regulatory risk inherent in the
fragmented edible oil industry. The rating, however, derives
strength from DSPL's experienced promoters and long track
record of operations of the company, steady scale-up of
operations in the past and location advantage with easy access to
raw material availability.

Going forward, the ability of the company to profitably scale up
its operations while improving the overall solvency position and
managing the working capital requirements efficiently, will
remain the key rating sensitivities.

DSPL was incorporated in the year 1992. The company is a family-
owned business, promoted by Mr. Atul Jain and Mr. Raj Kumar Jain.
The company is engaged in the extraction of rice bran and sun
flower oil and manufacturing of de-oiled cakes.

DSPL operates from its two manufacturing facilities located at
Amristar (Punjab) with a combined installed capacity of 9,000
metric tonnes per annum (MTPA) and 18,000 MTPA for rice bran oil
and sun flower oil, respectively, as on March 31, 2016.

In FY15 (refers to the period April 1 to March 31), the company
reported a total operating income of INR110.04 crore with PAT of
INR0.28 crore as against a total operating income of INR109.22
crore with PAT of INR0.52 crore in FY14. In FY16 (Provisional),
the company has achieved a total operating income of INR121.06
crore, with PAT of INR0.65 crore.


DRASHTI COTSPIN: CARE Hikes Rating on INR29.37cr LT Loan to B+
--------------------------------------------------------------
CARE revises the LT rating and reaffirms the ST rating assigned
to the bank facilities of Drashti Cotspin Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     29.37      CARE B+ Revised from
                                            CARE B

   Short-term Bank Facilities     1.65      CARE A4 Reaffirmed

Rating Rationale
The revision in the long-term rating assigned to the bank
facilities of Drashti Cotspin Private Limited is primarily on
account of successful commencement of operations post completion
of project during FY16 (refers to the period October 14 to March
31), moderately leveraged capital structure, moderate debt
coverage indicators along with moderate liquidity position. The
ratings continue to take comfort from the wide experience of the
promoters in the cotton spinning industry coupled with strategic
location in the cotton-producing region of Gujarat with easy
availability of raw material, power and fuel along with fiscal
benefits from the government.

The ratings, however, continue to remain constrained on account
of susceptibility of profit margin to volatility in cotton
prices, along with inherent cyclicality and high competitive
intensity associated with the spinning industry.

The ability of DCPL to increase its scale of operations coupled
with further improvement in profit margins and capital structure
would remain the key rating sensitivities.

Amreli-based (Gujarat) DCPL was incorporated as a private limited
company in April 2011 by Mr. Jayvant Finava, Mr. Vijay Finava,
Mr. Jenith Finava and Mr. Brijesh Patel with an objective of
manufacturing of cotton yarn. DCPL manufactures combed and carded
cotton yarn with an average count of 30s. The commercial
operation of DCPL commenced in October 2015 with an installed
capacity of 3,591 metric tonne per annum (MTPA) with 14,592
spindles as on March 31, 2016.

As per the provisional results of FY16, DCPL reported total
operating income (TOI) of INR21.22 crore with PAT of INR0.08
crore. During 4MFY17 (Provisional), DCPL has achieved a turnover
of INR17.11 crore.


ECO PET: ICRA Suspends 'B' Rating on INR5.80cr Bank Loan
--------------------------------------------------------
ICRA has suspended its long-term rating of [ICRA]B assigned to
the INR5.80 crore bank facilities of Eco Pet Industries LLP. The
suspension follows ICRA's inability to carry out a rating
surveillance in the absence of the requisite information from the
company.


ERA INFRA: CARE Reaffirms 'D' Rating on INR3,048.93cr LT Loan
-------------------------------------------------------------
CARE reaffirms the ratings assigned to the bank facilities of Era
Infra Engineering Ltd.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities   3,048.93     CARE D Reaffirmed

   Long/Short-term Bank        2,000.00     CARE D/CARE D
   Facilities                               Reaffirmed

   Long-term Non-Convertible
   Debentures (NCD-(aggregate)   286.00     CARE D Reaffirmed

Rating Rationale

The ratings of the bank facilities and instruments of Era Infra
Engineering Ltd continue to factor in delays in debt servicing by
the company due to its weak liquidity.

EIEL, incorporated in September 1990, is the flagship company of
the Era Group and is engaged in construction business. It is
promoted by Mr. H S Bharana, a civil engineer, having more than
two decades of experience in the construction industry. The
company has executed projects across different sectors such as
roads & highways, power, railways, metro, aviation, social
infrastructure, industrial, institutional and related segments.
The group also has business interests in real estate, power
transmission and manufacturing of pre-engineered structures.

On account of deterioration in financial performance, high
working capital requirements and debt levels and time and cost
over runs in some of the group's Build Operate Transfer (BOT)
road projects; the liquidity position of the company has been
impacted, leading to delays in debt servicing by the company.

During FY16 (refers to the period April 1 to March 31), the
company posted a total operating income of INR1,211.02 crore
with net loss of INR1,311.64 crore as against a total operating
income of INR1,704.98 crore with net loss of INR656.89 in
FY15.


GOKULAM INDUSTRIES: CRISIL Reaffirms 'B' Rating on INR50MM Loan
---------------------------------------------------------------
CRISIL's rating on the bank facilities of Gokulam Industries
continues to reflect GI's below-average financial risk profile
marked by its modest networth, and subdued debt protection
metrics.

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

   Term Loan                8       CRISIL B/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility      12       CRISIL B/Stable (Reaffirmed)

The rating also reflects the firm's modest scale of operations
and susceptibility of its operating margin to volatility in raw
material prices. These rating weaknesses are partially offset by
its partners' extensive experience in the food processing
industry.
Outlook: Stable

CRISIL believes that GI will continue to benefit over the medium
term from its partners' extensive industry experience. The
outlook may be revised to 'Positive' in case of significant
improvement in the firm's financial risk profile on account of
better than expected cash accruals led by improvement in scale
and operating profitability or due to capital infusion from
partners. Conversely, the outlook may be revised to 'Negative' if
GI undertakes more-than-expected debt-funded expansions, reports
a substantial decline in revenues or profitability, or there is a
stretch in its working capital cycle, constraining its financial
risk profile.

Set up in September 2013 as a partnership firm, GI is engaged in
processing of pulses mainly Urad, Toor and Moong dal. The firm
commenced its daily operations from January 2015 onwards. The
daily operations are managed by the managing partner, Mr. R.
Hariharan.


GOMATHA COTTON: ICRA Assigns 'B' Rating to INR10cr LT Loan
----------------------------------------------------------
ICRA has assigned long-term rating of [ICRA]B to the INR2.00
Crore enhanced fund based facilities of Gomatha Cotton
Industries.  ICRA also has a long-term rating outstanding of
[ICRA]B for the INR10.00 Crore fund based facilities of the firm.

                         Amount
   Facilities          (INR crore)     Ratings
   ----------          -----------     -------
   LT-Fund based
   Facilities              10.00       [ICRA]B (outstanding)

   LT-Fund based
   Facilities
   (enhanced limits)        2.00       [ICRA]B (Assigned)

The assigned rating is constrained by the project implementation
risk associated with ginning mill construction with commercial
operations expected to start from October 2016; highly
competitive cotton ginning business given the fragmented nature
of industry structure owing to low entry barriers and the
vulnerability of firm's profitability to raw material prices,
which are subject to seasonality, crop harvest and regulatory
risk. The ratings also consider the risks arising from
partnership nature of the firm including capital withdrawals.
However the rating takes comfort from the prior experience of
partners in the cotton industry and locational advantages the
firm enjoys due to proximity to cotton growing areas of
Telangana.

The ability to implement the project without any time & cost
overruns and ability to ramp up operations will remain key rating
sensitivities.

Gomatha Cotton Industries is a partnership firm set up in April
2016 by Mr. Gunda Srinivas and Mr. Gourishetty Srinivas along
with 13 other partners. The firm is planning to set up cotton
ginning and pressing unit in Husnabad, Karimnagar with 44 ginning
machines for producing cotton bales. The partners of the firm
have prior experience in the cotton ginning industry and have
planned to set up their own ginning unit. The INR9.51 Crore
project will be funded by INR5 Crore partner's capital and INR4
Crore term loans.


HAIDERI TIMBER: ICRA Assigns 'B' Rating to INR0.5cr Cash Loan
-------------------------------------------------------------
The long term rating of [ICRA]B has been assigned to the INR0.50
crore1 cash credit facility and the short term rating of [ICRA]A4
has been assigned to the INR8.50 crore letter of credit facility
of Haideri Timber Private Limited.

                         Amount
   Facilities          (INR crore)     Ratings
   ----------          -----------     -------
   Cash Credit             0.50        [ICRA]B Assigned
   Letter of Credit        8.50        [ICRA]A4 Assigned

The assigned ratings are constrained by the company's weak
financial profile characterized by a small scale of operations in
a highly competitive industry and low value additive nature of
operations as well as thin profitability, low net-worth base and
moderate return indicators. The ratings also factor in the
exposure of the company's profitability to volatility in imported
timber prices, susceptibility of timber availability to export
regulations in the key supplying markets and adverse currency
fluctuations. Further, the ratings are also constrained by the
vulnerability of the profitability to cyclicality inherent in the
real estate industry and construction industry which are the main
consuming sectors.

The ratings, however, take comfort from the extensive experience
of the promoters in the timber industry and locational advantage
arising with proximity to the Kandla port, resulting in the ease
of procurement and benefits in terms of ease of logistics and
transportation costs of imported timber.

ICRA expects the scale of operations of HTPL to increase at a
moderate pace driven by stable order inflows from the customers.
The company's ability to improve profitability levels amidst high
competition in the industry while managing foreign currency
fluctuations will remain key rating sensitivities.

Incorporated in September 2011, Haideri Timber Private Limited
(HTPL) is involved in timber trading whereby it imports round and
square teakwood timber logs, mainly from Latin America (Costa
Rica), South Africa, Ghana, Panama and Columbia. The company is
managed by its promoters, Mr. Sham Kapadia and Mr. Saifuddin
Kapadia, who have extensive experience in the timber industry.
Mr. Sham Kapadia is also associated with a sister concern 'Hakimi
Timbers Private Limited,' which is also into timber trading since
2008.

Recent Results

During FY2015, HTPL reported an operating income of INR16.23
crore and profit after tax of INR0.24 crore as against an
operating income of INR16.90 crore and profit after tax of
INR0.25 crore in FY2014. Further, during FY2016 HTPL reported an
operating income of INR19.35 crore and profit before tax of
INR0.28 crore (as per unaudited provisional financial).


HARI MARINE: CARE Reaffirms B+ Rating on INR15.50cr LT Loan
-----------------------------------------------------------
CARE reaffirms 'CARE B+' rating to the bank facilities of Hari
Marine Pvt. Ltd.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities     15.50      CARE B+ Reaffirmed

Rating Rationale
The rating assigned to the bank facilities of Hari Marine Pvt.
Ltd. continues to be constrained by its project implementation
risk, susceptibility of profitability margin to foreign exchange
rate fluctuations and highly fragmented sea food processing
industry coupled with inherent risk associated with regulatory
policies and seasonality associated with the industry.
Furthermore, the rating is also constrained by its relatively
small scale of operation. The aforesaid constraints are partially
offset by the experience of the promoters and proximity to raw
material procurement area.

The ability of the company to complete the envisaged project
without cost and time overrun and derive benefits there from, the
ability of the company to improve its scale of operations along
with profitability margins and the ability to manage working
capital effectively are the key rating sensitivities.

HMPL was incorporated in June 2014 by Mr. Himanshu Kumar Das and
Mr. Sangram Kumar Das with an objective of setting up a sea food
processing unit at Banaparia, Balasore, wherein it will undergo
processing and packing of shrimps in different sizes and
standards for 100% export purpose with projected installed
processing capacity of 105 lakh Kgs per annum (LKPA). The total
cost of the project is estimated at INR15.42 crore (excluding
margins for working capital) to be funded at a debt equity ratio
of 3.51:1. About INR11.42 crore is already spent for the project
till Aug. 22, 2016, funded by term loan of INR8.00 crore and
equity capital of INR3.42 crore. The project is expected to be
commissioned by March 2017. However, since September 2015, the
company has taken two shrimp processing units on rent and is
undertaking the processing activity whereby HMPL is paying rental
at a fixed rate to the companies from where it has hired the
units.

As per the provisional results of FY16 (refers to the period
April 1 to March 31), HMPL reported a PBILDT of INR0.17 crore and
PAT of INR0.09 crore, on a total operating income of INR8.50
crore.


HINDUSTAN ORGANIC: CARE Lowers Rating on INR100MM NCD to 'D'
------------------------------------------------------------
CARE revises the rating assigned to the NCD Issue (Series XX) OF
Hindustan Organic Chemicals Limited.
                                  Amount
   Facilities                  (INR crore)    Ratings
   ----------                  -----------    -------
   Redeemable Non-Convertible      100        CARE D Revised from
   Unsecured Taxable Bonds/NCD*               CARE 'AAA(SO)';
                                              credit watch
                                              removed

* Backed by unconditional and irrevocable guarantee from the
  Government of India (GOI) for timely payment of interest
  and repayment of principal subject to terms and conditions
  and structured payment mechanism as per the
  guarantee/trusteeship document submitted to CARE. The GOI
  guarantee will continue to be valid even in the event of
  referral of Hindustan Organic Chemicals Limited (HOCL) to
  the Board for Industrial & Financial Reconstruction (BIFR)
  under SICA, 1985.

CARE has assigned the rating solely based on the strength of an
unconditional and irrevocable guarantee from GOI executed through
the Department of Chemicals & Petrochemicals, Ministry of
Chemicals and Fertilizers. The rating revision takes into account
failure to fund the designated account by HOCL/GOI on due date
leading to delay in interest payment to the bondholders. Rating
watch has been removed. The proposal for providing financial
assistance to HOCL to enable it to make interest payment has been
approved by GOI and funds are expected to be released shortly to
HOCL for interest payment to bondholders.

Incorporated on December 12, 1960, HOCL, a GOI enterprise (of
which GOI holds 58.78% equity as on March 31, 2016) and under the
administrative control of Department of Chemicals &
Petrochemicals (DCPC) - Ministry of Chemicals and Fertilizers,
manufactures organic chemicals (aniline, phenol, acetone,
formaldehyde, etc). HOCL has two manufacturing facilities
situated at Rasayani, Maharashtra and Kochi, Kerala with a
combined installed capacity of 349,495 TPA. Also, HOCL is the
sole indigenous manufacturer of the liquid rocket propellant N2O4
in India, which is supplied to ISRO.

During FY16 (refers to the period April 1 to March 31), HOCL
reported a net loss of INR173.91 crore on a total operating
income of INR114.72 crore as compared to net loss of INR215.49
crore on a total operating income of INR152.48 crore during FY15.


JTL INFRA: Ind-Ra Suspends 'IND BB' Long-Term Issuer Rating
-----------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated JTL Infra
Limited's (JTL) 'IND BB' Long-Term Issuer Rating to the suspended
category. The Outlook was Stable. This rating will now appear as
'IND BB(suspended)' on the agency's website.

The ratings have been migrated to the suspended category due to
lack of adequate information. Ind-Ra will no longer provide
ratings or analytical coverage for JTL.

The ratings will remain in the suspended category for a period of
six months and be withdrawn at the end of that period. However,
in the event the issuer starts furnishing information during the
six-month period, the ratings could be reinstated and will be
communicated through a rating action commentary.

JTL's ratings:

   -- Long-Term Issuer Rating: migrated to 'IND BB(suspended)'
      from 'IND BB'/Stable

   -- INR250 million fund-based limits: migrated to Long-term
      'IND BB(suspended)'/Short-Term 'IND A4+(suspended)' from
      Long-Term 'IND  BB'/Short-Term 'IND A4+'

   -- INR18.5 million non-fund-based limits: migrated to Short-
      Term 'IND A4+(suspended)' from Short-Term 'IND A4+'


LINERS INDIA: ICRA Assigns 'C' Rating to INR34.20cr Loan
--------------------------------------------------------
ICRA has assigned the long-term rating of [ICRA]C to INR34.20
crore (enhanced from 12.50) fund based limits, short term rating
of [ICRA]A4 to INR15.75 crore (enhanced from 2.00) non fund based
limits of Liners India Limited. ICRA also has long term/short
term rating of [ICRA]C/[ICRA]A4 outstanding to INR0.05 crore
(revised from 0.50) unallocated limits of Liners India Limited.
ICRA has also assigned the rating of MC+ to INR5.00 crore FD
program of LIL.

                         Amount
   Facilities          (INR crore)     Ratings
   ----------          -----------     -------
   Fund based limits       34.20       [ICRA]C assigned

   Non Fund based limits   15.75       [ICRA]A4 assigned

   Unallocated limits       0.05       [ICRA]C/[ICRA]A4
                                       outstanding

   FD Program               5.00       MC+ assigned

The assigned ratings are constrained by the weak financial
profile of the company characterized by low profitability, high
gearing and stretched coverage indicators. The ratings factor in
the constrained liquidity position as indicated in high average
utilization of working capital limits owing to high working
capital requirements given the long collection period and high
lead time in manufacturing. The ratings also takes into account
the company's limited pricing power and its significant
dependence on the M&HCV and tractor segment which are marked by
cyclical demand. The ratings are further constrained by the
company's exposure to fluctuations in the raw material prices and
foreign exchanges.

The ratings favorably factors in the longstanding experience of
promoters in liners manufacturing and mechanical engineering
industry, established position of the company as a recognized
vendor in the liners sector to reputed clientele such as Mahindra
& Mahindra Limited, Ashok Leyland, Enfield Cycle Co. Limited,
John Deere, Tata Motors Limited, etc. and long standing
relationships with clients as demonstrated by repeat orders.

Going forward, the ability of the company to improve its margins
and capital structure, while effectively managing its working
capital requirements, will be the key rating drivers from credit
perspective.

Liners India Limited was originally established in 1974 as a
partnership firm by Mr. S Ganesh; the firm was reconstituted as a
private limited company in 1986 and to a public limited company
in 1994. LIL has two divisions: cylinder liner manufacturing and
automobile components trading. LIL manufactures cylinder liners
and cast iron products used in diesel automotive engines. LIL
supplies to original equipment manufacturers of heavy, medium,
and light commercial vehicles, tractors, and diesel engines
worldwide. The company has manufacturing units in Vijayawada
(Andhra Pradesh), and Rudrapur (Uttarakhand) with an installed
capacity of 36 lakhs liners per annum.

The company has set up the trading division after acquisition of
Jai Motors Ltd in January 2009. LIL is a distributor in South
India for automotive component manufacturing companies and LIL is
an exclusive distributor of Shriram Pistons & Rings Ltd and
Allied Nippon Ltd for Andhra Pradesh, Telangana, Karnataka,
Kerala, and Tamil Nadu.

Recent Results
For unaudited FY2016, the company reported profit after tax of
INR0.35 crore on an operating income of INR110.57 crore as
against adjusted net loss of INR4.26 crore on an operating income
of INR106.80 crore during FY2015.


MADHAV STORES: Ind-Ra Suspends 'IND B+' Long-Term Issuer Rating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has migrated Madhav Stores'
(MS) 'IND B+' Long-Term Issuer Rating to the suspended category.
The Outlook was Stable. This rating will now appear as 'IND
B+(suspended)' on the agency's website.

The ratings have been migrated to the suspended category due to
lack of adequate information. Ind-Ra will no longer provide
ratings or analytical coverage for MS.

The ratings will remain in the suspended category for a period of
six months and be withdrawn at the end of that period. However,
in the event the issuer starts furnishing information during the
six-month period, the ratings could be reinstated and will be
communicated through a rating action commentary.

MS's ratings:

   -- Long-Term Issuer Rating: migrated to 'IND B+(suspended)'
      from 'IND B+'/Stable

   -- INR24.28 million term loans: migrated to 'IND
      B+(suspended)' from 'IND B+'/ Stable

   -- INR40 million fund-based limits: 'IND B+(suspended)'/'IND
      A4(suspended)' from 'IND B+'/ Stable/'IND A4'


MADHUBAN BUILDERS: CRISIL Cuts Rating on INR80MM Loan to 'D'
------------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facility
of Madhuban Builders to 'CRISIL D' from 'CRISIL BB-/Stable'.

                        Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Term Loan                80       CRISIL D (Downgraded from
                                     'CRISIL BB-/Stable')

The downgrade reflects the firm's delays in servicing its term
debt due to weak liquidity. The liquidity is weak as slowdown in
the real estate industry has resulted in significantly lower-
than-expected bookings and customer advances.

MB faces high demand and funding risk for its ongoing project,
and has a weak financial risk profile. Also, it is vulnerable to
the cyclicality inherent in the Indian real estate industry.
However, it benefits from the extensive experience of its
proprietor in the real estate industry in Pune, Maharashtra.

MB was established by Mr. Rajesh Majethia in 1996 as a
proprietorship firm to undertake residential real estate
development in Pune. The firm has one ongoing residential
project, Serene Spaces, which has 108 saleable units.


MODEL RAG: CRISIL Lowers Rating on INR70MM Cash Loan to 'B'
-----------------------------------------------------------
CRISIL has downgraded its rating on the long-term bank facility
of Model Rag Exports to 'CRISIL B/Stable' from 'CRISIL
B+/Stable'.

                      Amount
   Facilities       (INR Mln)    Ratings
   ----------       ---------    -------
   Cash Credit          70       CRISIL B/Stable (Downgraded
                                 from 'CRISIL B+/Stable')

The downgrade reflects weakening of liquidity driven by a
stretched working capital cycle, resulting in higher reliance on
debt and full utilization of bank limit. The stretch in the
working capital cycle is evident from a steady increase in gross
current assets to 235 days as on March 31, 2016, from 145 days as
on March 31, 2014. The increase is mainly due to delay in
payments by customers. The firm would need fresh capital from
promoters or substantially improve its working capital cycle to
alleviate the pressure on liquidity.

The ratings reflect a modest scale of operations in the highly
fragmented and competitive tobacco industry. The rating also
factors in a weak financial risk profile because of a modest
networth, high total outside liabilities to tangible net worth
ratio, and weak debt protection metrics. These rating weaknesses
are partially offset by the extensive experience of the firm's
promoters in the tobacco industry and healthy relationship with
key customers.
Outlook: Stable

CRISIL believes MRE will continue to benefit over the medium term
from the extensive industry experience of its promoters. The
outlook may be revised to 'Positive' in case of sustained
improvement in working capital management, or substantially
better liquidity on the back of sizeable equity infusion. The
outlook may be revised to 'Negative' in case of a steep decline
in profitability margins, or significant deterioration in the
firm's capital structure caused most likely by a further stretch
in the working capital cycle.

Set up in 2012 as a sole proprietorship concern by Mr. Shabbir
Ahmad, MRE trades in and processes unmanufactured tobacco. Its
processing facilities are in Guntur, Andhra Pradesh.


MOHAN TRACTORS: CRISIL Reaffirms B+ Rating on INR235MM Loan
-----------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Mohan
Tractors Private Limited continues to reflect a weak financial
risk profile because of a significantly high total outside
liabilities to tangible net worth (TOLTNW) ratio and average debt
protection metrics, and susceptibility to intense competition in
the automobile dealership market.

                       Amount
   Facilities         (INR Mln)    Ratings
   ----------         ---------    -------
   Cash Credit           120       CRISIL B+/Stable (Reaffirmed)
   Channel Financing     235       CRISIL B+/Stable (Reaffirmed)

These rating weaknesses are partially offset by the extensive
industry experience of the company's promoters, and its
diversified supplier base including Ashok Leyland Ltd, Eicher
Motors Ltd, and JCB India Ltd (JCB).

Outlook: Stable

CRISIL believes MTPL will continue to benefit from its
association with ALL, EML, and JCB over the medium term; however,
its financial risk profile is expected to remain weak over this
period due to high reliance on external borrowing. The outlook
may be revised to 'Positive' in case of equity infusion, leading
to significant improvement in its capital structure. The outlook
may be revised to 'Negative' in case of further weakening of the
financial risk profile, driven most likely by additional debt-
funded capital expenditure or deterioration in working capital
management.

Update
Operating revenue is estimated at around INR6264.4 million for
fiscal 2016, a year-on-year growth of around 63%, supported by
incremental offtake from existing customers and extensive
industry experience of promoters. Operating margin is estimated
to have been low at around 3.1% for fiscal 2016. The margin has
historically been low owing to the trading nature of business,
and is expected to remain low at around 3% over the medium term.

The financial risk profile has remained weak because of a modest
networth and high TOLTNW ratio. As on March 31, 2016, net worth
is estimated at around INR71.6 million, and TOLTNW ratio at 13.43
times; the ratio is expected to remain at 12.0-13.0 times over
the medium term due to considerable reliance on external
borrowing, despite the absence of any debt-funded capex plans.
The debt comprises mainly of working capital borrowing. Interest
coverage ratio is estimated at 2.37 times for fiscal 2016, and is
expected to remain moderate in the range of 2.20-2.60 times over
the medium term. The financial risk profile is expected to remain
constrained over this period on account of low accretion to
reserves leading to continuation of a high TOLTNW ratio

Liquidity remains adequate, backed by moderate working capital
requirement with gross current assets estimated at 72 days as on
March 31, 2016, driven by low inventory and moderate debtors of
30 days and 38 days, respectively. Cash accrual is expected to
remain in the range of INR110-120 million over the medium term
against annual term debt obligation of around INR50 million.
Current ratio was weak at around 1 time as on March 31, 2016,
indicating high dependence on external borrowing.

MTPL was originally set up in 1978 by Mr. Jagmohan Mittal as a
partnership frim; it was reconstituted as a private limited
company in 1991. The company is currently managed by Mr. Gopal
Mittal, son of Mr. Jagmohan Mittal. It is an authorised dealer
for ALL (light, medium, and heavy commercial vehicles) in Haryana
and New Delhi. In addition, it is a dealer for JCB and EML
(trucks). MTPL started the logistics business in February 2011,
wherein it transports vehicles for manufactures such as Maruti
Suzuki India Ltd (rated 'CRISIL AAA/Stable/CRISIL A1+'), Mahindra
& Mahindra Ltd ('CRISIL AAA/Stable/CRISIL A1+'), and Toyota Motor
Corporation.


MOKA BUSINESS: CARE Hikes Rating on INR0.9cr LT Bank Loan to B+
---------------------------------------------------------------
CARE revises/reaffirms the rating assigned to the bank facilities
of Moka Business Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank facilities     0.09       CARE B+ Revised from
                                            CARE B

   Long term/Short-term Bank     8.30       CARE B+/CARE A4
   Facilities                               Long-term rating
                                            revised from CARE B
                                            and Short-Term Rating
                                            reaffirmed

Rating Rationale

The revision in the long-term rating of Moka Business Private
Limited takes into account continuous increase in Total Operating
Income (TOI) in last three financial years ended FY16 (FY refers
to the period from April 1 to March 31).

The ratings, however, continue to remain constrained on account
of its financial risk profile marked by thin profitability, weak
solvency position and stressed liquidity position. The ratings
are, further, continued to remain constrained on account of its
presence in the highly competitive and fragmented chemical
industry and direct linkage to cyclical nature of the
construction and furniture industry.

The ratings, however, favorably take into account the long
experience of the management in the business of chemical
industry coupled with established relations with renowned
customers and suppliers. The ratings, further, continue to
derive strength from continuous financial support provided by the
promoters to support its working capital operations. The ability
of the company to improve its scale of operation and
profitability with better management of working capital is the
key rating sensitivities.

Jaipur (Rajasthan) based MBPL was incorporated in the year 2011
by Mr. Mohit Maheshwari along with his wife, Mrs. Sarika
Maheshwari. MBPL is engaged in the business of trading of
chemicals like Fyrol AS 300 TB, Polyol HS 100, TDI, F/R EL-22,
MDI and Polyol etc. These chemicals find its application in
manufacturing of foam which is used in furniture, interiors,
construction, electronics, automotives, footwear and packaging,
etc. The company imports chemicals from Singapore, Germany and
Hongkong as well as procure from multinational companies having
offices in India. Further, MBPL sells its product to the
polyurethane foam manufacturers present all over India through
seven branch offices at Maharashtra, Uttar Pradesh, Rajasthan,
Uttrakhand, Chennai, Chandigarh and United Kingdom.

As per provisional results of FY16, MBPL has reported a total
operating income of INR57.23 crore (FY15: INR39.03 crore)
with a net profit of INR 0.20 crore (FY15: INR0.06 crore).


MULTAN COLLOIDS: ICRA Suspends 'B' Rating on INR5.65cr Bank Loan
----------------------------------------------------------------
ICRA has suspended its long-term rating of [ICRA]B assigned to
the INR5.65 crore bank facilities of Multan Colloids Private
limited. The suspension follows ICRA's inability to carry out a
rating surveillance in the absence of the requisite information
from the company.


MUNDRA INVESTMENTS: CARE Rates INR6.50cr LT Bank Loan at 'B'
------------------------------------------------------------
CARE assigns 'CARE B/CARE A4' ratings to the bank facilities of
Mundra Investments Pvt Ltd.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long Term Bank Facilities      6.50      CARE B Assigned

   Long Term/Short Term Bank      5.50      CARE B/CARE A4
   Facilities                               Assigned

Rating Rationale

The ratings assigned to the bank facilities of Mundra Investments
Pvt Ltd is constrained by its small scale of trading operations,
leveraged capital structure, susceptibility of profitability to
volatile raw material prices and competitive and fragmented
nature of industry with low entry barriers.

The ratings, however, derive strength from MIPL's experienced
promoters, favourable textile sector policies of both Central and
State government and stable demand outlook for poly-propylene
(PP) woven sacks.

MIPL's ability to increase its scale of operations and improve
profitability and capital structure would be the key rating
sensitivities. Any major debt-funded capex would also be a key
credit monitorable.

MIPL; incorporated in 1992 and promoted by Mr. Alok Mundra is
engaged in trading of cement, steel, asbestos cement (AC) sheets
and fibre-reinforced plastic (FRP) sheets.

In FY16 (refers to period from April 1 to March 31), MIPL also
set up a manufacturing facility of PP woven sacks at Sanjan
village of Valsad district in Gujarat which became operational in
Q1FY17. It has a total manufacturing capacity of 4,600 metric
tonnes per annum (MTPA).

As per provisional 11MFY16 results, MIPL reported total income of
INR11.24 crore with profit before tax of INR0.52 crore as against
total income of INR7.91 crore and profit after tax of INR0.54
crore as per FY15 audited results.


NECCO TOOLS: CRISIL Assigns 'B+' Rating to INR30MM Cash Loan
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to
the bank facilities of Necco Tools.

                        Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Working Capital
   Term Loan              26.5       CRISIL B+/Stable

   Term Loan              30.0       CRISIL B+/Stable

   Proposed Long Term
   Bank Loan Facility     11.0       CRISIL B+/Stable

   Cash Credit            30.0       CRISIL B+/Stable

   Letter of Credit          2.5     CRISIL A4

The ratings reflect a modest scale of operations, customer
concentration in revenue, and a below-average financial risk
profile because of a modest net worth. These rating weaknesses
are primarily offset by the extensive experience of its promoter.
Outlook: Stable

CRISIL believes NT will continue to benefit over the medium term
from the business experience of its promoter. The outlook may be
revised to 'Positive' in case of higher-than-expected growth in
revenue and profitability, leading to improvement in cash accrual
and liquidity. The outlook may be changed to 'Negative' in case
of deterioration in the financial risk profile due to a stretched
working capital cycle or lower-than-expected cash accrual.

NT was established in 1981 by Mr. K Nelson. Based in Chennai, the
company manufactures sheet metal components, mainly products such
as press tools, gauges, and automobile components. These products
are used in automobile and electrical industries.


PANASIAN IMPEX: ICRA Reaffirms B+ Rating on INR20cr Loan
--------------------------------------------------------
ICRA has reaffirmed the long term rating of [ICRA]B+ assigned to
the INR5.00 crore untied limits of Panasian Impex Private
Limited. ICRA has also reaffirmed the short term rating of
[ICRA]A4 assigned to the INR44.50 crore fund based and non-fund
based facilities of PIPL.

                         Amount
   Facilities          (INR crore)     Ratings
   ----------          -----------     -------
   Fund Based Limit-
   Untied limits            5.00       [ICRA]B+ reaffirmed

   Fund Based Limits-
   Pre shipment Credit     20.00       [ICRA]A4 reaffirmed

   Fund Based Limits-
   Post shipment Credit    20.00       [ICRA]A4 reaffirmed

   Non-Fund Based Limits-
   Letter of Credit         2.00       [ICRA]A4 reaffirmed

   Non-Fund Based Limits-
   Bank Guarantee           1.00       [ICRA]A4 reaffirmed

   Non-Fund Based Limits-
   Forward Contract         1.14       [ICRA]A4 reaffirmed

   Non-Fund Based Limits-
   Untied limits            0.36       [ICRA]A4 reaffirmed

The reaffirmation of the ratings takes into account weak
financial profile of the company characterized by low
profitability and a leveraged capital structure, leading to
depressed level of coverage indicators. The ratings also take
into account the vulnerability of the company's scale of
operations as well as profitability to adverse changes in
government policies towards export of cotton and minimum support
price (MSP), which is revised from time to time. The ratings are
also constrained by low entry barriers in the highly fragmented
cotton-trading business, leading to intense competition and
pressure on the margins. ICRA also notes that the margins of PIPL
remain susceptible to fluctuation in cotton prices, which in turn
is subject to seasonality and crop harvest. The rating also
factors in the company's high dependence on exports to
Bangladesh, which accounted for a major portion of the total
export sales during FY2016.

The ratings, however, derive comfort from the long experience of
the promoters in the textile and cotton-trading business, and
favourable location of PIPL's plant, which provides easy access
to raw materials at low landed cost.

Going forward, the ability of the company to efficiently manage
its working capital and increase revenues and margins will remain
the key rating sensitivity from the credit perspective.

Panasian Impex Private Limited was incorporated in September 2008
and is managed by Mr. Santosh Kumar Goenka and Mr. Shyamal
Bhattacharjee, who have extensive experience in the textile and
cotton-trading business. The company is primarily involved in
export of raw cotton. PIPL has a ginning and pressing factory
located in Malkapur, Maharashtra and became operational in
December 2009. The unit has an installed capacity of 42 double-
roller gins and an annual ginning and pressing capacity of 50,000
bales.

Recent Results
During FY2016, the company reported a net profit of INR0.17 crore
(provisional) on an operating income (OI) of INR115.35 crore
(provisional) as compared to a net loss of INR0.58 crore on an
operating income of INR107.06 crore during FY2015.


PATWARI ELECTRICALS: CARE Assigns B+ Rating to INR11cr LT Loan
--------------------------------------------------------------
CARE assigns 'CARE B+' and 'CARE A4' ratings to the bank
facilities of Patwari Electricals Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities       11       CARE B+ Assigned
   Short-term Bank Facilities      19       CARE A4 Assigned

Rating Rationale

The ratings assigned to the bank facilities of Patwari
Electricals Private Limited are constrained by modest scale of
operation, fluctuating profit margin and highly leveraged capital
structure and stressed debt coverage indicators. The ratings are
further constrained by working capital intensive nature of
operation, stretched liquidity position, customer concentration
risk and presence in highly fragmented industry coupled with
tender driven nature of operation.

The above constraints are partially offset by strengths derived
from the experience of promoters and healthy order book position.

The ability of the company to increase its scale of operations
with timely completion of order in hand and improve its profit
margin and capital structure along with improvement in liquidity
position with efficient management of the working capital
requirement are the key rating sensitivities.

Incorporated in 2011 by Mr. Ajinkya Patwari and Mr. Sanjay
Patwari, Patwari Electricals Private Limited is engaged in the
business of electrical engineering procurement and construction
(EPC) work for Maharashtra State Electricity Distribution Company
Limited (MSEDCL) rated 'CARE A+ (SO)'. Earlier the promoters
carried out same business under a proprietorship firm M/s.
Patwari Electricals since 2000 and as on March 31, 2015, the
entire business was transferred to PEPL at a consideration of
INR1.21 crore as per the business transfer agreement dated April
01, 2015.

During FY16 (provisional), PEPL posted a total income of INR65.61
crore (vis-a-vis INR44.01 in FY15) and PAT of INR 1.46 crore
(vis-a-vis INR2.47 crore in FY15), respectively. Moreover, PEPL
has an unexecuted order book position of INR184.50 crore which is
likely to be executed by FY18.


QUADROS MOTORS: ICRA Assigns 'B' Rating to INR14cr Cash Loan
------------------------------------------------------------
ICRA has assigned a long-term rating of [ICRA]B to the INR14.00-
crore fund-based working capital limit of Quadros Motors Pvt.
Ltd.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Fund-based Limit-
   Cash Credit             14.00        [ICRA]B; assigned

The assigned rating factors in Quadros Motors Pvt. Ltd's.
stretched liquidity position as reflected in the sizable amount
of outstanding statutory dues which has resulted in an elevated
TOL/TNW of 4.9x as on March 31, 2016. The rating is further
constrained by the company's high working capital intensive
nature of operations as a result of high inventory holding in the
business leading to near to full utilization of working capital
limits. Further, ICRA also takes note of the company's leveraged
capital structure as reflected by a gearing of 2 times due to
high dependence on external borrowing. The rating also remains
constrained on account of the stiff competition from other
dealers of competitor OEM's in the area of operations as well as
growing presence of relatively new OEM's.

The rating, however, favorably factors in the extensive
experience of promoters of over a decade in the automobile
dealership business and a relatively large catchment area for
QMPL's outlets in the Goa region.

ICRA expects QMPL's revenues to grow at a healthy rate with the
expected diversification in four wheeler segment and the
increasing contribution from other revenue streams such as
service income and sale of spare parts in FY2017. Going forward,
proper maintenance of liquidity profile, especially, by reducing
its inventory holding will enable the company to meet timely
payment of its statutory dues which will be critical and hence
the key rating sensitivities. Conversely, any build up of
inventory will result in further stretch in liquidity profile or
an incremental capital expenditure towards upcoming showrooms
will deteriorate the capital structure of the company which could
have a negative impact on the key credit metrics.

Incorporated in 2005, Quadros Motors Private Limited is an
authorised dealer of Suzuki Motors India Private Limited (Suzuki)
for its two-wheelers segment for the entire South Goa region. The
company is promoted by Mr. Evencio Quadros and Mr. Ramchandra
Shirodkar, who have more than a decade's experience in the auto
industry. QMPL is a '3S' (Sales, Spares and Services) dealer.
Since February 2015, the company has become an authorised dealer
of Mahindra Two-Wheelers Limited for entire Goa region, based on
the '3S' model. QMPL is part of the 'Quadros' Group, which,
through its group companies, is associated with other automobile
industry-related businesses, including dealerships of automobile
companies like Yamaha, Piaggio, dealerships for batteries,
lubricants and operating a petrol pump.

Recent Results
The company has recorded a profit after tax of INR1.58 crore on
an operating income of INR31.30 crore for the year ending
March 31, 2016 (provisional).


RAJA MOTORS: CRISIL Reaffirms B+ Rating on INR60MM Cash Loan
------------------------------------------------------------
CRISIL's rating on the long-term bank facilities of Raja Motors
continues to reflect a below average financial risk profile, a
modest scale of operations, and exposure to intense competition
in the automobile dealership market. These weaknesses are
partially offset by a strong track record in the market for
vehicles of Hyundai Motor India Ltd (HMIL; rated 'CRISIL A1+').

                        Amount
   Facilities          (INR Mln)    Ratings
   ----------          ---------    -------
   Cash Credit             60       CRISIL B+/Stable (Reaffirmed)

   Overdraft Facility      20       CRISIL B+/Stable (Reaffirmed)

   Proposed Long Term
   Bank Loan Facility       6.3     CRISIL B+/Stable (Reaffirmed)

Outlook: Stable

CRISIL believes RMB will continue to benefit over the medium term
from its established position in the automobile dealership market
in Bhatinda, Punjab. The outlook may be revised to 'Positive' if
significant and sustainable improvement in revenue and cash
accrual lead to a stronger networth and interest coverage ratio.
The outlook may be revised to 'Negative' if a decline in scale of
operations and profitability margins, or any large debt-funded
capital expenditure (capex) weakens the financial risk profile.

Update
Operating income is estimated at around INR619.2 million for
fiscal 2016 against INR454.9 million in fiscal 2015. Operating
income is expected to grow by 5-10% over the medium term driven
by the launch of new models by HMIL; however, growth will remain
moderate as there are no plans to open new showrooms or
workshops. Operating margin is estimated to have been low at
around 3.29% in fiscal 2016 owing to the trading nature of
business, and is expected to remain in the range of 3.00-3.20%
over the medium term.

Financial risk profile is below average because of a modest
networth, weak debt protection metrics, and high total outside
liabilities to tangible networth (TOLTNW) ratio. The TOLTNW ratio
is estimated at around 2.54 times as on March 31, 2016, and is
expected to be in the range of 2.7-3.0 times over the medium
term, due to considerable reliance on external borrowing, despite
the absence of any debt-funded capex plans. Interest coverage
ratio, estimated at 1.34 times for fiscal 2016, is expected to
remain moderate at 1.41-1.44 times over the medium term.

Liquidity is adequate, backed by moderate working capital
requirement; gross current assets are estimated at around 92 days
as on March 31, 2016, driven by moderate inventory and low
debtors of 55 days and 16 days, respectively, leading to moderate
bank limit utilization at around 86% over the 16 months ended
March 31, 2016. However, on account of incremental working
capital requirement, utilization is expected to remain high over
the medium term. Annual cash accrual is expected to remain in the
range of INR6.3-6.7 million over this period, against term-debt
obligation of INR3.67 million annually.

Current ratio was weak at around 1 time as on March 31, 2016,
indicating high dependence on external borrowing.

RMB is a partnership firm set up in 2008 by Mr. Om Prakash Makkar
and his son Mr. Rajesh Kumar Makkar. It is the sole authorised
dealer for HMIL's passenger cars in Bhatinda.


RAJARATHNAM CONSTRUCTION: CRISIL Rates INR469.7MM Loan at B+
------------------------------------------------------------
CRISIL has assigned its 'CRISIL B+/Stable/CRISIL A4' rating to
the bank facilities of Rajarathnam Construction Private Limited.

                        Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Working Capital
   Term Loan               85.3      CRISIL B+/Stable
   Overdraft Facility      45.0      CRISIL A4
   Term Loan              469.7      CRISIL B+/Stable

The rating reflects RCPL's exposure to risks related to
completion and saleability of its on-going projects and its
susceptibility to risks inherent in the real estate industry. The
rating also factors in the below average financial risk profile
marked by high gearing and weak debt protection metrics. These
rating weaknesses are partially offset by the experience of
RCPL's promoters in the real estate development business and
their proven project execution capabilities.
Outlook: Stable

CRISIL believes that RCPL will benefit over the medium term from
its promoters' extensive experience in the residential real
estate development. The outlook may be revised to 'Positive' if
the company completes its projects earlier than expected or in
case of more-than-expected sales realizations from ongoing
projects, leading to larger-than-expected cash flows. Conversely,
the outlook may be revised to 'Negative' if there are any delays
in the execution of the project or in the receipt of advances
from customers, or if the company undertakes a large, debt-funded
project, impacting its financial risk profile.

RCPL was set up in 1992 as a proprietorship concern in Chennai
(Tamil Nadu). It was reconstituted as a private limited company
under its current name, in 2000. The company develops residential
real estate and its operations are managed by the managing
director Mr. Antony Rathinam.


RAYAT & BAHRA: ICRA Suspends 'D' Rating on INR55.25cr Bank Loan
---------------------------------------------------------------
ICRA has suspended the long-term rating of [ICRA]D assigned
earlier to the INR55.25 crore fund-based bank facilities,
INR10.00 crore non-fund based bank facilities and INR12.75 crore
proposed bank facilities of Rayat & Bahra Group of Institutes: An
Educational and Charitable Society.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Fund based bank
   facilities              55.25        [ICRA]D Rating suspended

   Non-fund based
   bank facilities         10.00        [ICRA]D Rating suspended

   Proposed bank
   facilities              12.75        [ICRA]D Rating suspended

The suspension follows ICRA's inability to carry out a rating
surveillance on account of lack of cooperation from the society.

Operational since 2005, RBGI is a part of Punjab based Rayat-
Bahra Group. RBGI currently operates 12 colleges through its 2
campuses located at Mohali and Hoshiarpur. While the Mohali
campus became operational in 2005, the Hoshiarpur campus came
into existence in 2008. The society through these 2 campuses
offers various courses like engineering and technology, pharmacy,
law, nursing, management and senior secondary education courses.
Student strength for the society for AY15-16 was estimated at
10,800 students (~7,000 in Mohali campus and ~3,800 in Hoshiarpur
campuses).

Recent results
As per provisional estimates, RBGI reported a net surplus of
INR11 crore on revenue receipts of INR68.5 crore in FY15 as
against a net surplus of INR11 crore on an operating income of
INR68.4 crore in FY14. Latest financials are not available.


RAYAT EDUCATIONAL: ICRA Suspends D Rating on INR20cr Bank Loan
--------------------------------------------------------------
ICRA has suspended the long term rating of [ICRA]D assigned
earlier to the INR20 crore fund based bank facilities of
Rayat Educational and Research Trust.  The suspension follows
ICRA's inability to carry out a rating surveillance on account of
lack of cooperation from the society.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Fund based bank
   facilities              20.00        ICRA D Rating suspended

Operational since 2001, RERT operates 7 colleges in its campus
located at Ropar and offers various degree and diploma courses
like engineering and technology, management and pharmacy.
Additionally the trust also runs the sole K-12 school in the
Rayat-Bahra group portfolio (operating K-12 in the school as well
as senior secondary classes in school wing of its Engineering
Institute). RERT's student strength for AY14-15 was ~7,700
students.

Recent results
As per provisional estimates, RERT reported a net surplus of
INR3.20 crore on revenue receipts of INR33.87 crore in FY15 as
against a net surplus of INR4.86 crore on an operating income of
INR33.29 crore in FY14. Latest financials are not available.


RUDHRAYAN POLYESTERS: CRISIL Ups Rating on INR49MM Loan to 'B'
--------------------------------------------------------------
CRISIL has upgraded its rating to 'CRISIL B/Stable' from 'CRISIL
D' on the long term rating of Rudhrayan Polyesters.

                        Amount
   Facilities          (INR Mln)     Ratings
   ----------          ---------     -------
   Cash Credit             49        CRISIL B/Stable (Upgraded
                                     from 'CRISIL D')

   Term Loan               12.5      CRISIL B/Stable (Upgraded
                                     from 'CRISIL D')

The upgrade follows improvement in RP's liquidity leading to
timely debt-servicing over the last three months ended July 2015-
16.

The firm also has an average financial risk profile marked by
modest net worth and average debt protection metrics, and its
profitability is susceptible to volatility in polyester yarn
prices. However, it benefits from extensive industry experience
of its promoters.
Outlook: Stable

CRISIL believes that RP will continue to benefit over the medium
term from its promoters' extensive industry experience. The
outlook may be revised to 'Positive' if RP achieves significant
profitability, increases its scale of operations substantially,
and witnesses improvement in its financial risk profile.
Conversely, the outlook may be revised to 'Negative' if RP's
financial risk profile weakens because of decline in sales or any
large debt-funded capital expenditure.

RP, set up in 2010 as a partnership firm, undertakes texturising
and twisting of polyester partially oriented yarn. It
manufactures texturised and twisted yarn in the denier range of
70-90.


SAMHI HOTELS: Ind-Ra Withdraws 'IND BB' Long-Term Issuer Rating
---------------------------------------------------------------
India Ratings and Research (Ind-Ra) has withdrawn SAMHI Hotels
(Gurgaon) Pvt Ltd's 'IND BB(suspended)' Long-Term Issuer Rating.
The agency has also withdrawn the 'IND BB(suspended)' rating on
the company's INR1,100 million long-term loans.

The ratings have been withdrawn due to lack of adequate
information. Ind-Ra will no longer provide ratings or analytical
coverage for the company.

Ind-Ra suspended SAMHI Hotels (Gurgaon)'s ratings on Feb. 8,
2016.


SHREE INFRA: ICRA Lowers Rating on INR30cr LT Loan to B+
--------------------------------------------------------
ICRA has revised the long-term rating from [ICRA]BB- to [ICRA]B+
for the INR30.00-crore fund-based facility of Shree Infra.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Long-term Fund-         30.00        Downgraded to [ICRA]B+
   Based-Cash Credit                    from [ICRA]BB-(Stable)

The rating revision takes into account zero booking and no
advance inflow from customers in phase II of the project, thereby
resulting in funding risk. While the management planned to fund
17% of the project cost from advances from customers, phase II of
the project has not received any booking till date, despite 50%
of the construction work of phase II being completed. The project
completion will largely rely on the management's ability to
infuse funds and meet the funding gap caused on account of weak
sales velocity. The sales risk is further accentuated due to
competition from other ongoing and upcoming projects in the area
where the project is being executed and the ongoing slowdown in
the real estate market. The rating is also constrained by
exposure to execution risk, since completion is scheduled for
March 2017 and a significant portion (50%) of work is impending.
ICRA also notes that due to limited cushion between project
completion and commencement of loan repayment, the project is
exposed to refinancing risk.

The rating, however, favorably factors in the extensive
experience of the promoters in the Surat real estate industry
through associate concerns. Also, as all the requisite approvals
are in place, the project exposure to regulatory/approval risks
is low.

The cash flows will remain stretched in FY2017 owing to high loan
repayment. With 7% of the inventory remaining unsold in phase I
and no bookings in phase II at present, the firm's ability to
improve the pace of bookings and advance inflow will remain
critical for timely completion of phase II as well as servicing
of debt, which is scheduled to commence from May 2017.

Shree Infra was established in December 2006 as a partnership
firm and develops residential projects in Surat, Gujarat.
'Riverview Heights' is the first real estate project of the firm
comprising 18 towers and one club house. Phase I (comprising five
towers) of the project has been successfully completed and phase
II comprising five towers with a total of 167 nos. 3BHK, 4 BHK
and 5 BHK flats, commenced in Feb 2015. The firm also has other
group concerns involved in real estate development in Surat.

Recent Results:
SI reported a net loss of INR0.26 crore on an operating income of
INR1.97 crore in FY2016.


SHRI BALAJI: ICRA Suspends 'D' Rating on INR8.21cr Term Loan
------------------------------------------------------------
ICRA has suspended the long term rating of [ICRA]D assigned
earlier to the INR10.21 crore fund-based bank facilities and
INR1.79 crore proposed bank facilities of Shri Balaji Literary
and Charitable Society.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Fund based bank
   facilities: CC/OD       2.00         [ICRA]D Rating suspended

   Fund based bank
   facilities: Term
   Loan                    8.21         [ICRA]D Rating suspended

   Proposed bank
   facilities              1.79         [ICRA]D Rating suspended

The suspension follows ICRA's inability to carry out a rating
surveillance on account of lack of cooperation from the society.

Operational since 2009, Shri Balaji Literary and Charitable
Society (SBLC) is a part of Punjab based Rayat-Bahra Group. The
group caters to over 30,000 students across more than 30 colleges
and two Private Universities. SBLCS has set up five colleges,
Bahra Faculty of Engineering, Bahra Faculty of Management, Bahra
Polytechnic College, Bahra Institute of Pharmacy and Bahra
College of Law, which offer degree and diploma courses in streams
such as engineering, management, pharmacy and law. All the
colleges are located in a single campus in Patiala (Punjab) and
the degree colleges are affiliated to Punjab Technical
University, Jalandhar.

Recent results
SBLCS reported a net surplus of INR1.00 crore on revenue receipts
of INR9.84 crore in FY15 as against a net surplus of INR1.40
crore on revenue receipts of INR11.22 crore in FY14. Latest
financials are not available.


SRI TOORSA: ICRA Reaffirms 'B' Rating on INR7.12cr Term Loan
------------------------------------------------------------
ICRA has re-affirmed the long term rating of [ICRA]B assigned to
the INR7.12 crore term loans and INR1.50 crore cash credit
facilities of Sri Toorsa Plantations Private Limited. ICRA has
also re-affirmed the short term rating of [ICRA]A4 to the INR0.15
crore short term non fund based limits of STPPL (which is a sub
limit of the cash credit facility). The LC/Buyer's Credit
facility of INR0.52 crore (which is a sub limit of the term
loans) had been rated on both the long term and short term scale
and the ratings for the same has been reaffirmed at
[ICRA]B/[ICRA]A4.

                         Amount
   Facilities          (INR crore)    Ratings
   ----------          -----------    -------
   Cash Credit             1.50       [ICRA]B Reaffirmed
   Term Loans              7.12       [ICRA]B Reaffirmed
   Non Fund Based          0.15       [ICRA]A4 Reaffirmed
   LC/Buyer's Credit       0.52       [ICRA]B/[ICRA]A4 Reaffirmed

Rating Rationale

The reaffirmation of the ratings takes into account STPPL's low
productivity of the tea gardens with an average yield of around
1213 kg/hectare (HA) during FY2016, coupled with the fixed cost-
intensive nature of the company's operations that exerts pressure
on its operating profits. The ratings also take into
consideration STPPL's weak financial profile, characterized by
net losses, low cash accruals and reducing tangible net worth in
FY2016 which are likely to exert pressure on the debt-servicing
ability of the company, given the significant debt-funded capital
expenditure incurred by the company in the past. ICRA notes that
continuous support from the directors in the form of equity
infusion/unsecured loans would be required to meet the debt-
servicing requirement of the company.

The ratings also take into consideration the risks associated
with tea being an agricultural commodity, which depends on
favorable agro-climatic conditions. Presence of both the gardens
in Dooars region further aggravates such concentration risks for
the company. Moreover, the domestic tea prices are impacted, to
some extent, by international prices and hence the demand-supply
situation in the global tea market, in ICRA's opinion, would
continue to have a bearing on the profitability of Indian
players, including STPPL.

The reaffirmation of the ratings continues to derive comfort from
the long experience of the management in the tea industry and
favorable long-term outlook for the domestic bulk tea industry.
Going forward, STPPL's ability to increase the productivity of
the estates along with its ability to pass on the higher labour
cost would be critical determinants of its credit risk profile.

Sri Toorsa Plantations Private Limited is a special purpose
vehicle incorporated in February, 2015, by Malnady Tea Estate
Private Limited (owning ~51% of the shares) and Tirupati Assets
Private Limited (owning ~49% of the shares) for procuring two of
the tea estates auctioned by West Bengal Tea Development
Corporation Limited (WBTDCL) under the policy to rejuvenate the
tea gardens and protect the interest of the workers. The company
has two tea estates - Mohua Tea Estate and Hilla Tea Estate,
located in Dooars region of West Bengal, with total cultivable
area of 413 hectares. The company is proposed to have a capacity
to manufacture around 4-5 lakh kg of green tea per annum.

Recent Results
Sri Toorsa Plantations Private Limited reported net losses of
INR0.21 crore during FY2016 (as per provisional results) on an
operating income of INR7.03 crore (as per provisional results) as
compared to net losses of INR1.73 crore on an operating income of
INR0.05 crore during FY2015.


SYNCO INDUSTRIES: ICRA Assigns C+ Rating to INR8.50cr Cash Loan
---------------------------------------------------------------
ICRA has assigned its long-term rating of [ICRA]C+ and short-term
rating of [ICRA]A4 to the INR10.00 crore bank limits of Synco
Industries Limited.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Cash Credit              8.50        [ICRA]C+ (assigned)
   Bank Guarantee           1.50        [ICRA]A4 (assigned)

ICRA's assigned ratings take into account the continuous decline
in the operating income of the company from INR70.52 crore in
FY2014 to 50.43 crore in FY2015 on account of poor crops in the
last two seasons, which affected the supply of mustard and
groundnut. While assigning the ratings, ICRA also factors in the
low profitability, high gearing ratio of 15.59 times as on March
31, 2015 and weak coverage indicators with interest coverage of
0.34 time in FY2015.The ratings are also constrained by the
intense competition due to the fragmented nature of the edible
oil industry and easy availability of substitutes with different
varieties of edible oil present in the market. The ratings also
consider the modest scale of operations of the firm, exposure of
its profitability to agro-climatic risks causing volatility in
raw material prices, and the vulnerability of realisations to
global edible oil price movements.

The ratings, however, favorably factor in the long and
established track record of the promoters in the edible oil and
engineering goods industry with the promoters also involved in
the automobile dealership business.

Going forward, the company's ability to scale up in a profitable
manner and effectively manage its working capital requirements
will be the key rating sensitivities.

Incorporated in 1982, Synco Industries Limited was originally
incorporated as a private limited company 'Synco Textiles Private
Limited' - for dyeing and chemical manufacturing activities. In
1992 it was reconstituted into a public limited company as Synco
Textiles Limited. However, with discontinuation of the dyes and
the chemical manufacturing business and commencement of the oil
extraction business in 1995, the name was changed to Synco
Industries Limited and at present the company is involved in
processing mustard seeds and groundnut oil and selling of oil and
oiled cake with an installed plant capacity of 75,000 metric
tonnes per annum located in Sheoganj district Sirohi, Rajasthan.
The company also manufactures (i) Abrasive impact blasting (ii)
peening machine (iii) pollution control equipments (iv) metal
spray paint booth and (v) climate control systems. Along with
this, the company also trades in abrasive blasting media, thermal
spray wires and powder imported from Germany and China used for
surface finish in metals.

Recent Results
As per the audited financials of FY2015, SIL reported a net loss
of INR0.82 crore on an operating income of INR50.43 crore as
against a net profit of INR0.26 crore on an operating income of
INR70.52 crore in the previous year.


TRIKOOT IRON: ICRA Suspends 'D' Rating on INR31.79cr Loan
---------------------------------------------------------
ICRA has suspended the long term rating of [ICRA]D assigned to
the INR31.79 crore fund based limits of M/s Trikoot Iron & Steel
Castings Limited. ICRA has also suspended the short term rating
of [ICRA]D assigned to the INR6.00 crore non fund based limits of
M/s Trikoot Iron & Steel Castings Limited. The suspension follows
ICRA's inability to carry out a rating surveillance in the
absence of the requisite information from the company.


VAIDYA INDUSTRIES: CARE Reaffirms B+ Rating on INR13.88cr LT Loan
-----------------------------------------------------------------
CARE reaffirms the rating assigned to the bank facilities of
Vaidya Industries.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long term Bank Facilities     13.88      CARE B+ Reaffirmed

Rating Rationale

The rating assigned to the bank facilities of Vaidya Industries
continues to remain constrained by its small scale of operations,
leveraged capital structure and moderate debt coverage indicators
and working capital intensive nature of operations. The rating is
further constrained by presence of the entity in the highly
fragmented industry with intense competition, stalled real estate
projects and proprietorship nature of its constitution. The
reaffirmation of the rating takes into account the decline in
operating income and elongation of operating cycle albeit
improvement in profitability and capital structure during FY16
(refers to the period April 1 to March 31).

The above weaknesses continue to be offset by experience of
proprietor along with long track record of entity and established
clientele and moderate profit margins.

The ability of the entity to increase its scale of operations
along with improving its profitability and capital structure and
efficiently managing its working capital requirement is the key
rating sensitivity.

Established in the year 1995, VIS is engaged in the manufacturing
and trading of wooden and steel furniture. The manufacturing
facility of the entity is located at Nagpur (Maharashtra). The
entity procures raw material from local suppliers and sell its
products to Government agencies in Maharashtra. The major
customers of the entity include Government agencies, viz,
Education office, Gadchiroli, The Commissioner of Travel
Development, Nashik, The Committee of Social Welfare, Pune
and DTE Primary, Pune. The entity is also engaged in trading
activity in order to meet the urgent requirements of govt.
agencies. VIS purchases the traded goods from its group concern
i.e. Vaidya V & I Infrastructure Pvt. Ltd. and sells it to the
govt. agencies.

The entity was engaged in real estate business. However,
currently there are no ongoing projects. In past, the entity has
completed four residential real estate projects. The projects are
not fully completed and the entity has stopped the construction
work.

During FY16 (provisional) (refers to the period April 1 to
March 31), VIS earned a PAT of INR1.67 crore on a total income of
INR41.07 crore as against a PAT of INR1.48 crore on a total
income of INR43.54 crore for FY15.


VSN LABORATORIES: CARE Assigns B+ Rating to INR6.50cr LT Loan
-------------------------------------------------------------
CARE assigns 'CARE B+' rating to the bank facilities of VSN
Laboratories Private Limited.
                                Amount
   Facilities                (INR crore)    Ratings
   ----------                -----------    -------
   Long-term Bank Facilities      6.50      CARE B+ Assigned

Rating Rationale

The rating assigned to the bank facilities of VSN Laboratories
Private Limited is constrained by the nascent stage of
operations, fluctuation in the raw material prices with highly
regulated nature of the pharmaceutical industry and presence in
highly fragmented and competitive bulk drug industry.

The rating, however, derives strength from the vast experience of
the promoters in the pharmaceutical industry.

Going forward, the ability of the company to improve its scale of
operations with efficient management of working capital
requirements will be the key rating sensitivities.

VSN was incorporated on June 1, 2009, promoted by Mr. V.
Nageswara Rao along with his wife Mrs. V. Padmavathi for the
manufacturing of Active Pharmaceutical Ingredients (APIs). The
company was originally registered as Lucid Life Sciences Private
Limited and subsequently the name of the company was changed to
current nomenclature i.e. VSN on December 18, 2009. The company
started with its trial runs in the month of February 2016;
however, the commercial production was commenced on May 2, 2016,
with total installed capacity of 240 kilograms per annum at its
manufacturing unit located in Krishna District of Andhra Pradesh.
The facility of VSN was established as per Current Good
Manufacturing Practices (cGMP) standards of Food and Drug
Administration (FDA) of India. VSN is engaged in the
manufacturing of APIs with drugs portfolio like pantaprazole,
triazole alcohol, and omeprazole, besides others. These are used
for the treatment of gastroesophageal reflux diseases, seasonal
allergies, nausea, cholesterol, hypertension, etc.

The company sources raw materials required for manufacturing of
APIs from vendors based in Hyderabad and Mumbai. VSN is supplying
APIs to variety of domestic formulators. VSN also has on site
well-equipped Research and Development (R&D) Centre which is
continuously involved in process development, trouble shooting
and process optimization of the drugs.

In 2MFY16 (refers to the period of Feb.1 to March 31), the
company reported a total operating income of INR0.50 crore and
net loss of INR0.58 crore.


YASH PAL: ICRA Reaffirms B+ Rating on INR19.50cr Term Loan
----------------------------------------------------------
ICRA has reaffirmed the long-term rating on the INR19.50-crore
bank facilities of Yash Pal & Sons HUF at [ICRA]B+.

                         Amount
   Facilities          (INR crore)      Ratings
   ----------          -----------      -------
   Term Loans              19.50        [ICRA]B+ reaffirmed

The rating reaffirmation takes into account the moderate
improvement in the operating metrics of the hotel on the back of
tie-ups with various corporate and a consequent rise in the
occupancy. Nevertheless, given the intense competition from other
hotels in the vicinity as well as a general slowdown in the
hospitality sector, the RevPAR remains subdued. This, coupled
with high employee costs, has led to net losses, which have
eroded the entity's net worth, apart from resulting in weak debt
coverage indicators. ICRA notes that while YPS' term loan
repayments have been rescheduled, in the absence of a significant
ramp up in operating and financial metrics, YPS will continue to
be dependent on external funding support to meet its debt-
servicing obligations. The rating continues to favourably factor
in YPS' association with the Carlson Rezidor Hotel Group, which
is an established global hospitality brand, as well as the
continued and timely financial support from the promoters.

Going forward YPS' ability to improve its operating metrics,
generate adequate cash flows and continue to receive timely
support from the promoters in case of requirement will be the key
rating sensitivities.

YPS was formed in 1997 by Mr. Yashpal Arora, who is also the
Karta of the entity. The other members of the HUF include Mr.
Arora's wife and two sons. YPS has been carrying out real estate
development for more than a decade and forayed into its first
hospitality venture and started construction of a hotel in 2010.
The hotel is branded 'Park Inn by Radisson' and is managed by the
Carlson Rezidor Hotel Group, which owns the Park Inn brand. The
hotel is located near Manesar, Haryana, an industrial hub, with a
total of 98 rooms divided into three categories - Superior Rooms
(76 rooms), Deluxe Rooms (16 rooms) and Executive suites (6
rooms). The hotel commenced operations in January 2014.

Recent Results
YPS earned an operating income (OI) of INR6.2 crore in FY2016
with a net loss of INR4.1 crore as compared to an OI of INR4.4
crore in FY2015 with a net loss of INR6.1 crore.



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


TAKATA CORP: Shortlists Daicel, KKR, Ningbo in Rescue Search
------------------------------------------------------------
Reuters reports that Takata Corp has shortlisted six or seven
companies, including a competitor and private-equity funds, as
potential financial investors to bail out the Japanese car-parts
maker, people involved in the process said.

Japanese chemical maker Daicel Corp, China's Ningbo Joyson
Electronic Corp -- the parent of Michigan-based air-bag maker Key
Safety Systems -- and global funds KKR & Co and Bain Capital LP
are among the groups presenting detailed turnaround plans to
Takata, eight people familiar with the process, including two
directly involved, told Reuters.

Reuters says the shortlisting is a sign of progress in protracted
efforts to restructure Takata, whose faulty air bags are linked
to the deaths of at least 14 people and have sparked the biggest
auto recalls ever. As many as 30 had showed initial interest as
of June in rescuing the company.

According to Reuters, Takata needs a financial backer to help
overhaul its business and carry ballooning costs as its stock
price has crumbled almost 90% since early 2014 and it faces
potentially billions of dollars of liabilities over the sometimes
deadly defects in its air-bag inflators.

Takata and its steering committee, advised by investment bank
Lazard Ltd, hope to narrow the list to about two final bidders by
mid-September and choose a financial "sponsor" in October after
consulting with Takata's car maker customers, several sources
said, Reuters relays.

It was not clear who the other potential bidders are, or what
precise plans any of the suitors have for Takata's operations or
assets.

The sources declined to be named because the process is private,
Reuters notes.

According to Reuters, Takata has not faced a reckoning as its
air-bag liabilities remain unresolved. And many Japanese car
makers depend on the supplier, one of the three dominant global
makers of safety air bags, to keep supplying the recalls and
provide competition.

"Keeping Takata alive is important for automakers to maintain
their bargaining power," Reuters quotes SBI Securities auto
analyst Koji Endo as saying. Some investors might find its non-
inflator businesses attractive, given its depressed share price,
he added.

Recalls of Takata air bags began in 2008, when inflators in the
bags began exploding with excessive force, spewing sometimes
lethal shrapnel into passenger compartments, Reuters states.

Reuters relates that more than 100 million vehicles worldwide
have been slated for recall to replace Takata inflators, which in
addition to the deaths, are linked to more than 150 injuries -
mostly in the United States and involving Honda Motor Co
vehicles.

Reuters says car makers have borne most of the recall costs so
far, but if Takata were found to be solely responsible for the
fault, it could face a bill of more than $10 billion, based on a
rough calculation that each replacement kit costs around $100. It
also faces U.S. lawsuits.

The October deadline for finding a backer was unrealistic due to
uncertainties over its growing liabilities given expanding
recalls and lawsuits, some of the sources said, Reuters relays.

A big challenge in the Takata rescue will be reaching consensus
among the supplier's more than 10 automaker customers over a
restructuring plan, as they are likely to have different ideas of
how important it is to keep Takata afloat, SBI analyst Endo, as
cited by Reuters, said.

Some potential sponsors want Takata's automaker customers to
forgive a hefty portion of the recall costs or take a stake in
the company, several sources said, according to Reuters.

And some would-be investors want to put Takata through bankruptcy
to wipe out some of its liabilities, they said. Takata's banks,
too, may face pressure to forgive debts, one source said, adds
Reuters.

As reported in the Troubled Company Reporter-Asia Pacific on
April 14, 2016, Nikkei Asian Review said that Takata Corp, mired
in a deepening air bag scandal, hopes to select a sponsor by
August to pursue restructuring under new management.  A third-
party committee of outside attorneys and others had briefed
automakers and banks on the plan by April 19, Nikkei said.
Takata hopes to select a sponsor by the end of August and draw up
fresh rehabilitation plans. It likely will accept a management
team from the sponsor.

As previously reported by the Troubled Company Reporter, citing
The Wall Street Journal, Takata hired investment bankers to seek
a cash infusion and negotiate with auto makers over the
ballooning costs it faces for rupture-prone air bags linked to 11
deaths and more than 100 injuries world-wide.

Takata tapped Lazard to help craft a restructuring plan to help
it deal with what are expected to be billions of dollars in
liabilities stemming from the faulty air bags, a steering
committee for the Japanese company said on May 25, confirming an
earlier report from the Journal.

The steering committee, made up of business, financial and legal
experts in Japan, retained Lazard within the past month, the
report said, citing people familiar with the matter.  Lazard's
work soliciting an investor and conversations with auto makers
remains in early stages, the report added.

Japan-based Takata Corporation (TYO:7312) --
http://www.takata.com/en/--develops, manufactures and sells
safety products for automobiles.  The Company offers seatbelts,
airbags, steering wheels, child seats and trim parts. The Company
has subsidiaries located in Japan, the United States, Brazil,
Germany, Thailand, Philippines, Romania, Singapore, Korea, China
and other countries.



=================
S I N G A P O R E
=================


SWIBER HOLDINGS: Vallianz Rejects Payment Request
-------------------------------------------------
Maritime Executive reports that Vallianz Holdings, which provides
support vessels for the oil industry, said on August 31 it had
refused a request from the judicial managers of shareholder
Swiber Holdings to pay around SGD63.5 million in outstanding
dues.

The report relates that Vallianz, in a statement, said Swiber,
which owns around 25% of Vallianz, owed it a similar amount and
that should be taken into account.

Oilfield services group Swiber applied last month to place itself
under judicial management, rather than liquidation, as it faced
hundreds of millions of dollars in debt and a decline in orders.
The company announced that as of August 25, the total sum of
claims received by the Group is approximately SGD197 million.

It is Singapore's biggest corporate casualty of the slump in oil
prices, says Maritime Executive.

According to Maritime Executive, Vallianz said it owed Swiber
about SGD67.3 million in trade and other payables as of June 30
and was also owed about SGD65.9 million in trade and other
receivables by Swiber.

On August 14, Vallianz reported an operating profit of SGD6.0
million for the three months ended June 30 despite the
challenging industry conditions, Maritime Executive discloses.
Vallianz and its joint venture partner Rawabi Holding Company
intend to leverage the group's established market reputation in
the Middle East to capitalize on the continued spending on oil
and gas production activities by national oil companies in this
region, the report notes.

                            About Swiber

Swiber Holdings Limited (SGX:BGK) -- http://www.swiber.com/-- is
a Singapore-based investment holding company. The Company,
through its subsidiaries, is engaged in offshore marine
engineering; vessel owning and chartering, and provision of
corporate services. The Company is an integrated offshore
construction and support services provider for shallow water oil
and gas field development. It offers a range of engineering,
procurement, installation and construction (EPIC) services,
complemented by its in-house marine support and engineering
capabilities, to support the offshore field development and
production activities of its clientele base across the Asia
Pacific, Middle East, Latin America and West Africa regions. It
operates approximately 10 construction vessels. The Company's
subsidiaries include Swiber Offshore Construction Pte. Ltd.,
Swiber Offshore Marine Pte. Ltd., Swiber Corporate Pte. Ltd.,
Resolute Offshore Pte. Ltd. and Swiber Capital Pte. Ltd.

As reported in the Troubled Company Reporter-Asia Pacific on
Aug. 2, 2016, Reuters said Swiber Holdings Ltd has applied to
place itself under judicial management instead of liquidation.
According to Reuters, Swiber shocked markets earlier this month
by filing for liquidation, as it faced hundreds of millions of
dollars in debt and a decline in orders, becoming the largest
local company to fall victim to the slump in oil prices.

Bob Yap Cheng Ghee, Tay Puay Cheng and Ong Pang Thye of KPMG
Services Pte Ltd. have been appointed as the joint and several
interim judicial managers of Swiber Holdings Limited and Swiber
Offshore Construction.


TWO OCEANS: High Court Approves Wind Up Petition
------------------------------------------------
The Straits Times reports that one of Singapore's oldest film
production houses has been given the go-ahead to wind up after
the High Court overruled objections of 32 creditors who are owed
SGD609,000.

Mr. Koh Say Chong, part-owner of Two Oceans Film Company, was
supported by three creditors who were owed a further SGD1.2
million when he applied to wind up the business, The Straits
Times says.

According to the report, Mr. Koh said the decision "was not taken
lightly, nor was it done without regard for the other creditors".

The Straits Times relates that Justice Choo Han Teck, in judgment
grounds released on August 29, said the opposing creditors had
not substantiated their allegations that the application was made
in "bad faith".

They had claimed Mr. Koh "orchestrated" the move because he was
the company's creditor, director and shareholder.

"Even if there is merit in the opposing creditors' bare
assertions . . . the liquidator appointed upon a winding-up order
will be obliged to look into the proof of debts and make the
appropriate assessment of the amounts the company is liable for,"
wrote Justice Choo, The Straits Times relays.

He added that the objecting creditors had not provided any viable
alternatives to the winding up.

The Straits Times says Mr. Koh, represented by lawyer Johnny
Cheo, claimed he had not drawn his full remuneration of about
SGD70,000 from the company since late last year to help it
through financial difficulties.

Thirty of the opposing creditors were represented by lawyers
Ron Soh -- ronalvinsoh@sslawcorp.com -- and Aditya Naidu from
Samuel Seow Law while Ms Annsley Wong --
AnnsleyWong@cliffordlaw.sg -- from Clifford Law and Mr. Nicholas
Tay from Farallon Law acted for two others, the report discloses.
They had urged the court to reject or stay the winding- up
application on various grounds.

Two Oceans Film Company, which started in 1998 and deals in
advertising and video production, is owned by Mr. Koh and his
wife Geraldine Ng. The couple are the two directors of the
company, and also the sole directors and shareholders of another
company, Salt Film, which is owed SGD1.194 million by Two Oceans,
the report notes.

Two Oceans owes SGD2.08 million in total based on creditors'
claims. It counts big companies such as Marigold and McDonald's
among its clients. In 1999, it won the top prize in the annual
Asian Advertising Awards in Hong Kong.

"We have been in this business for more than two decades," Mr.
Koh told The Straits Times. "In this time, the company has
contributed a great deal to the industry. We were the ones who
first challenged and debunked the long-held notion that home-
grown television commercial film directors could never be on a
par with those from overseas.

"We produced work that was recognised by the industry in the
Asia-Pacific region. Most of the established commercial film
directors today were supported and developed by us and came
through our ranks.

"So too did many producers and production house owners who are
now our competitors, as did quite a few of the creditors who grew
their businesses over the past two decades on the back of the
business we created."

He added there was much "sadness and reluctance" in having to
face the reality of a business that had ceased to be viable, The
Straits Times relates.

"We have put in all the personal resources available to us,
including sums borrowed from family and friends, in order to
allow the company every possible chance to survive and fought
desperately against this outcome until it was clearly no longer
tenable to continue.

"Now that the judgment has been given to wind up the company, we
hope to have an opportunity to start again, rebuild a livelihood
and aim over time to discharge our commitments."



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


HANJIN SHIPPING: Upsets Global Trade After Filing Receivership
--------------------------------------------------------------
Costas Paris and Erica E. Phillips at The Wall Street Journal
report that Hanjin Shipping Co., one of the world's largest
shipping lines, stopped taking new cargo and U.S. ports began
turning away its ships after it filed for bankruptcy protection
on August 31.

The Journal says the move, coming at a critical time for U.S.
retailers stocking up for the holidays, roiled global trade and
caused U.S. shippers to brace for steep rate increases on routes
to and from Asia.

Hanjin, a major container carrier and the world's seventh-largest
shipping line by capacity, moves manufactured products and
consumer goods from electronics to clothing, furniture and toys
destined for Amazon.com Inc. and other retailers. Asia-based
freight brokers estimate about 25,000 containers are crossing the
Pacific each day on Hanjin ships, the Journal notes.

The Journal relates that the repercussions of Hanjin's filing in
Seoul were nearly instantaneous. Three of its ships that were
scheduled to berth at the ports of Los Angeles and Long Beach,
Calif., drifted off the coast on August 31, their contents --
bound for retail shelves, factories and warehouses -- marooned
indefinitely. Uncertainty about Hanjin's future raised concerns
that its ships could be subject to seizure by creditors, clogging
the ports.

Meanwhile, port terminals from New York to Georgia to California
said they would turn away outbound containers destined for Hanjin
ships, sending U.S. exporters scrambling to rebook, truck, reload
and repack their cargo into other carriers' containers, the
Journal reports.

Shippers and truckers fretted about rising costs and shrinking
capacity.

"There's going to be exorbitant costs," the Journal quotes
Peter Schneider, vice president of T.G.S. Transportation Inc. in
California, as saying. "Everything is unraveling." His company
has about $6,000 to $7,000 in outstanding bills to Hanjin, which
he will likely write off, but other trucking companies could be
harder hit. Smaller companies that "had all their eggs in one
basket with Hanjin - they may go under," he said.

The Journal says Nina Luu, a California-based importer of towels,
bathrobes and other home textiles, said that as Hanjin's
financial troubles came to light, other ocean carriers have been
announcing rate surcharges. "It is crazy today, pricing is pretty
bad," she said. But long term, she is more concerned about
capacity.

According to the Journal, the filing with the Seoul Central
District Court came just a day after the company's creditors cut
off a lifeline, as financial assistance of more than
KRW1 trillion ($896 million) failed to keep it afloat. It is the
latest domino to fall as shipping companies world-wide grapple
with overcapacity amid a slump in global trade. Hanjin accounts
for 3.1% of global container capacity, the Journal discloses
citing maritime data provider Alphaliner.

The Journal relates that the company said the South Korean court
will soon determine whether Hanjin, the country's largest
container operator by capacity, should be liquidated or given a
chance to survive after restructuring.

Hanjin's receivership, which is a form of creditor protection,
comes as shipping companies world-wide have been hurt by years of
weakening demand - particularly from China - as global trade has
slowed, says the Journal.  Some companies have been forced to
sell vessels at a discount while a handful of smaller operators
have gone bankrupt, the Journal notes.

State-run Korea Development Bank, the company's main creditor, on
August 31 withdrew its support, saying a funding plan by Hanjin's
parent group wasn't sufficient to tackle the shipper's debt,
which stood at $5.5 billion at the end of June, the Journal
discloses.

Hanjin -- a unit of the conglomerate that controls Korean Air
Lines Co. -- has faced an acute credit crunch after posting a
loss each year from 2011 to 2014 amid depressed freight rates.
It has been under a creditor-led debt restructuring program since
May, the Journal notes.

According to the report, The Korean government said it wants
Hanjin's domestic rival, Hyundai Merchant Marine Co., to buy
healthy assets from the troubled company. It rejected the idea of
a merger.

The Journal relates that a Hyundai Merchant spokesman said the
company would discuss the matter with the government and Korea
Development Bank. The state-run bank is also Hyundai Merchant's
main creditor. Hyundai Merchant, the country's second-largest
shipping company, is on a recovery track under a creditor-led
debt restructuring program.

Government officials said Hanjin's receivership also could lead
to the company's exclusion from a global shipping alliance,
reducing its chances of survival, the report relays.

Hanjin is part of The Alliance, a six-member group that was
formed in May to rival the dominance of global giants Maersk Line
and Mediterranean Shipping Co. Hanjin said its relations with the
alliance would end if the company ended up in bankruptcy, the
Journal adds.


LOTTE GROUP: Founder's Son Summoned Over Alleged Embezzlement
-------------------------------------------------------------
The Korea Times reports that the elder son of Lotte Group founder
Shin Kyuk-ho was summoned by prosecutors on September 1 as they
resumed an investigation into the embattled retail giant after
one of its senior executives was found dead in an apparent
suicide last week.

Shin Dong-joo appeared before the Seoul Central District
Prosecutors' Office as a suspect on charges of embezzling some
tens of billions of won from the group's major affiliates,
according to The Korea Times.

The report says prosecutors suspect he received the money as a
stipend by just being listed as a board member of the companies,
although Shin is claiming that he actually played a role in
managing the affiliates.

He is the second member of the owner family to be summoned after
Shin Young-ja, his elder sister, says The Korea Times.

She was detained and indicted in July over suspicions that she
pocketed some KRW3.5 billion ($3.1 million) in kickbacks from
local companies, in return for business favors related to Lotte's
duty-free and department stores, according to the report.

The Korea Times relates that prosecutors also summoned her on
Sept. 1 to verify separate allegations that the group's founder
dodged some hundreds of billions of won in taxes in the process
of donating a combined 6.2-percent stake in Lotte Holdings, held
in borrowed names, to his third wife, her daughter and Young-ja
in 2006.  Lotte Holdings is Lotte's de facto holding firm based
in Tokyo, the report notes.

The Korea Times says the prosecution has been investigating Lotte
Group since early June over alleged slush funds, embezzlement and
other irregularities.

Lotte, which has sprawling businesses in both South Korea and
Japan, has been gripped by a series of scandals since last year,
including a bitter feud between Shin Dong-bin, the incumbent
Lotte chairman, and his older brother for managerial control, The
Korea Times recalls.

The Korea Times relates that Dong-joo has consistently claimed
the Lotte Group founder handpicked him as the successor, but
Dong-bin insisted that his father was unable to make reasonable
judgments due to mental health problems. The prolonged family
feud virtually came to an end after the founder's second son and
incumbent chief won shareholder support in March to tighten his
grip on the group.

On August 31, a Seoul court designated a nonprofit subsidiary of
a local firm as legal guardian of the founder, saying he lacks
the ability to make business decisions due to illness and old
age, adds The Korea Times.



                             *********

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 2016.  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 202-362-8552.



                 *** End of Transmission ***