/raid1/www/Hosts/bankrupt/TCRAP

/raid1/www/Hosts/bankrupt/TCRAP_Public/221229.mbx T R O U B L E D C O M P A N Y R E P O R T E R A S I A P A C I F I C Thursday, December 29, 2022, Vol. 25, No. 254 Headlines A U S T R A L I A E-MOTOR GROUP: First Creditors' Meeting Set for Jan. 6 E.A.H. RINGWOOD: Second Creditors' Meeting Set for Jan. 17 MOSSKARA HOLDINGS: Second Creditors' Meeting Set for Jan. 5 RAIKOT GROUP: First Creditors' Meeting Set for Jan. 5 REQUIRE.NET.AU PTY: Second Creditors' Meeting Set for Jan. 4 C H I N A COUNTRY GARDEN: Gets HK$5.06-Billion Interest-Free Loan WM MOTOR: Court Freezes USD10.7MM of Assets in Second Court Ruling I N D I A AKSHAR ELECINFRA: CRISIL Withdraws B+ Debt Rating on LT/ST Loans BALSON POLYPLAST: CRISIL Withdraws B+ Rating on INR14.25cr Loan BHARGAVA MOTORS: CRISIL Assigns B+ Rating to INR17.0cr Loan BHATI ASSOCIATES: CARE Keeps C Debt Ratings in Not Cooperating BISWAPITA COLD: CARE Keeps B- Debt Rating in Not Cooperating C P SPONGE: CRISIL Lowers Rating on INR25cr Cash Loan to D ESHAN YARNS: CARE Keeps B- Debt Rating in Not Cooperating ISHANIKA HOTELS: CARE Keeps D Debt Rating in Not Cooperating JAIN HYDRAULICS: CARE Keeps D Debt Rating in Not Cooperating KINGS INFRA: CRISIL Assigns B+ Rating to INR10cr Cash Loan MONSOON BOUNTY: CRISIL Assigns B+ Rating to INR3.5cr LT Loan MUNISH FORGE: CARE Withdraws B+ Rating on Long Term Bank Loan NITYARAV CERAMIC: CRISIL Lowers LT/ST Debt Rating to D PRESIDENCY EXPORTS: CRISIL Lowers Rating on INR13cr Loan to D PUNE BUILDTECH: CARE Keeps D Debt Rating in Not Cooperating RANA ENGINEERING: CARE Lowers Rating on INR8cr LT Loan to B- RCS STEEL: CARE Keeps B- Debt Rating in Not Cooperating Category SAI SUDHA: CARE Lowers Rating on INR11cr LT Loan to B SINGH DIAMONDS: CRISIL Withdraws B Rating on INR12cr LT Loan SINGLACHERRA TEA: CARE Keeps C Debt Rating in Not Cooperating SUDHARSAN EXPORTS: CARE Keeps B+ Debt Rating in Not Cooperating SUMATI INDUSTRIES: CARE Lowers Rating on INR0.69cr LT Loan to B+ VANI CONSTRUCTIONS: CRISIL Reaffirms B+ Rating on INR5cr Loan VARDHMAN INDUSTRIAL: CARE Lowers Rating on INR12cr Loan to D I N D O N E S I A GARUDA INDONESIA: Aims to Restart Share Trading After Bond Issue J A P A N KRAKEN: To Stop Operations in Japan P A K I S T A N PAKISTAN: Head Towards Bankruptcy Due to Spending Spree S I N G A P O R E DELTA OFFSHORE: Court to Hear Judicial Management Bid on Jan. 5 EZION OFFSHORE: First Creditors' Meeting Set for Jan. 19 MODERN ACCESS: First Creditors' Meeting Set for Jan. 19 NOVENA GLOBAL: Nelson Loh Arrested After 2 Years on the Run TECHNOBUILT CONSTRUCTION: Court Enters Wind-Up Order VISIONAIRS IN ART: Court Enters Wind-Up Order [*] SINGAPORE: More Applying for Personal Bankruptcy Protection - - - - - ================= A U S T R A L I A ================= E-MOTOR GROUP: First Creditors' Meeting Set for Jan. 6 ------------------------------------------------------ A first meeting of the creditors in the proceedings of E-Motor Group Pty. Ltd. will be held on Jan. 6, 2023, at 11:00 a.m. virtually by video conference. Daniel Peter Juratowitch and Sam Kaso of Cor Cordis were appointed as administrators of the company on Dec. 22, 2022. E.A.H. RINGWOOD: Second Creditors' Meeting Set for Jan. 17 ---------------------------------------------------------- A second meeting of creditors in the proceedings of E.A.H. Ringwood Pty Ltd been set for Jan. 17, 2023 at 10:30 a.m. at the offices of PKF Melbourne at Level 13, 440 Collins Street in Melbourne. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Jan. 16, 2023 at 4:00 p.m. Paul A. Allen and Jason G. Stone of PKF Melbourne were appointed as administrators of the company on Dec. 1, 2022. MOSSKARA HOLDINGS: Second Creditors' Meeting Set for Jan. 5 ----------------------------------------------------------- A second meeting of creditors in the proceedings of Mosskara Holdings Pty Ltd has been set for Jan. 5, 2023 at 11:00 a.m. at the offices of Hall Chadwick at Level 11, Allendale Square, 77 St Georges Terrace in Perth. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Jan. 4, 2023 at 5:00 p.m. Cameron Shaw and Richard Albarran of Hall Chadwick were appointed as administrators of the company on Nov. 29, 2022. RAIKOT GROUP: First Creditors' Meeting Set for Jan. 5 ----------------------------------------------------- A first meeting of the creditors in the proceedings of The Raikot Group Pty Ltd will be held on Jan. 5, 2023, at 10:00 a.m. on a virtual Meeting via Teleconference. S R Sellahewa and S G Reid of Rodgers Reidy were appointed as administrators of the company on Dec. 21, 2022. REQUIRE.NET.AU PTY: Second Creditors' Meeting Set for Jan. 4 ------------------------------------------------------------ A second meeting of creditors in the proceedings of Require.Net.Au Pty Ltd and Virtech.Com.Au Pty Ltd has been set for Jan. 4, 2023 at 3:00 p.m. Via Zoom teleconference facilities. The purpose of the meeting is (1) to receive the report by the Administrator about the business, property, affairs and financial circumstances of the Company; and (2) for the creditors of the Company to resolve whether the Company will execute a deed of company arrangement, the administration should end, or the Company be wound up. Creditors wishing to attend are advised proofs and proxies should be submitted to the Administrator by Jan. 3, 2023 at 4:00 p.m. Mitchell Ball and David Hurst of Mackay Goodwin were appointed as administrators of the company on Nov. 25, 2022. ========= C H I N A ========= COUNTRY GARDEN: Gets HK$5.06-Billion Interest-Free Loan ------------------------------------------------------- The Standard reports that Country Garden will receive an interest-free and unsecured loan of HK$5.06 billion from its co-chairwoman and executive director Yang Huiyan for the company's operation and development. Earlier this month, Yang gained HK$5.06 billion by selling 237 million shares of her stake in the property management unit Country Garden Services at HK$21.33 apiece, offering a 10.9 percent discount on the closing price of the previous trading day. Country Garden Holdings Company Limited is an investment holding company principally engaged in the sales of properties. The Company operates its business through five segments: Property Development segment, Construction Fitting and Decoration segment, Property Investment segment, Property Management segment and Hotel Operation segment. The Company's subsidiaries include Wuhan Country Garden Lianfa Investment Co., Ltd, Jurong Country Garden Property Development Co., Ltd and Chuzhou Country Garden Property Development Co., Ltd. As reported in the Troubled Company Reporter-Asia Pacific in September 2022, S&P Global Ratings lowered its long-term issuer credit rating on Country Garden to 'BB' from 'BB+'. The negative outlook on Country Garden reflects the risk that the company's liquidity buffer and leverage could further deteriorate due to weaker sales and a high amount of construction expenditure. WM MOTOR: Court Freezes USD10.7MM of Assets in Second Court Ruling ------------------------------------------------------------------ Yicai Global reports that a Chinese court has ruled that CNY75 million (USD10.7 million) of WM Motor's assets be frozen as the Chinese new energy start-up looks set to lose another lawsuit, just after being found guilty of infringing trade secrets. According to the report, the latest case has been brought against WM Motor by Anji-Ceva Logistics, the logistics arm of auto manufacturer SAIC Motor, but no details of the nature of the lawsuit have been released. This follows another ruling when WM Motor was ordered by a court in Shanghai to pay rival Zhejiang Geely Holding Group CNY7 million (USD1 million) in compensation for copyright infringement, the report relates. This included CNY5 million in economic losses and CNY2 million in expenses. The court also ruled that WM Motor must stop using the five auto parts drawings that belong to Geely on its EX5 car. These lawsuits are putting great pressure on the Shanghai-based electric car startup, which once ranked second in the country in the number of EV deliveries. But since 2019, the company has started to fall behind the competition. In the first eleven months, deliveries from China's leading EV makers, Nio, Xpeng, Li Auto, Hozon Auto and Leap Motor all topped 100,000 autos, while WM Motor's shipments shrank 24.7 percent year on year to 29,437 units, Yicai Global discloses citing the China Passenger Car Association. As of the end of 2021, WM Motor had racked up losses of CNY20 billion (USD2.8 billion). That year, the firm delivered 44,200 vehicles, lagging behind Nio, Xpeng and Li Auto. ========= I N D I A ========= AKSHAR ELECINFRA: CRISIL Withdraws B+ Debt Rating on LT/ST Loans ---------------------------------------------------------------- Due to inadequate information, CRISIL Ratings, in line with SEBI guidelines, had migrated the rating of Akshar Elecinfra Private Limited (AEPL) to 'CRISIL B+/Stable/CRISIL A4/Issuer Not Cooperating'. CRISIL Ratings has withdrawn its rating on bank facility of AEPL following a request from the company and on receipt of a 'no dues certificate' from the banker. Consequently, CRISIL Ratings is migrating the ratings on bank facilities of AEPL from 'CRISIL B+/Stable/CRISIL A4/Issuer Not Cooperating to 'CRISIL B+/Stable/CRISIL A4'. The rating action is in line with CRISIL Ratings' policy on withdrawal of bank loan ratings. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL B+/Stable (Migrated from 'CRISIL B+/Stable ISSUER NOT COOPERATING'; Rating Withdrawn) Short Term Rating - CRISIL A4 (Migrated from 'CRISIL A4 ISSUER NOT COOPERATING'; Rating Withdrawn) Established in January 2009 and promoted by Mr Niral Dave and Ms Deval Dave, AEPL provides electrical installation services, and lays down transmission lines, panels, and switchyards for thermal and solar power plants. It also provides related consulting, designing, relay testing, and services pertaining to electrical balance of power to industrial and corporate clients. Its registered office is in Vadodara, Gujarat. BALSON POLYPLAST: CRISIL Withdraws B+ Rating on INR14.25cr Loan --------------------------------------------------------------- CRISIL Ratings has withdrawn its ratings on the bank facilities of Balson Polyplast Private Limited (BPPL) on the request of the company and receipt of a 'no objection certificate' from its bank. The rating action is in line with CRISIL Ratings' policy on withdrawal of its ratings on bank loans. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Bank Guarantee 8 CRISIL A4 Issuer Not Cooperating (Withdrawn) Cash Credit 14.25 CRISIL B+/Stable/Issuer Not Cooperating (Withdrawn) Term Loan 6 CRISIL B+/Stable/Issuer Not Cooperating (Withdrawn) CRISIL Ratings has been consistently following up with BPPL for obtaining information through letters and emails dated April 20, 2022 and June 08, 2022, among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of BPPL. This restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on BPPL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the rating on bank facilities of BPPL continues to be 'CRISIL B+/Stable/CRISIL A4 Issuer Not Cooperating'. Incorporated in 1999, BPPL implements irrigation systems, such as drip systems, mini sprinklers, sprinklers and landscape and garden accessories, and has capacity of 17,000 hectares per annum. BPPL is promoted by the Baldha and Dobariya families, who have experience of more than 30 years in trading in and implementing irrigation systems in Gujarat. BHARGAVA MOTORS: CRISIL Assigns B+ Rating to INR17.0cr Loan ----------------------------------------------------------- CRISIL Ratings has assigned its 'CRISIL B+/Stable/CRISIL A4' rating to the bank loan facilities of Bhargava Motors LLP (BML). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Bank Guarantee 6.5 CRISIL A4 (Assigned) Cash Credit 17.0 CRISIL B+/Stable (Assigned) The rating reflects BML's exposure to intense competition in the automobile dealership industry, working capital intensive operations and weak financial risk profile. These weaknesses are partially offset by the extensive industry experience of the promoters. Analytical approach: To arrive at the rating, CRISIL Ratings has combined the business and financial risk profiles of Bhargava Motors and Bhargava Motors LLP as the entities, together referred to as Bhargava Motors Group, are in the same line of business and have common management. The business operations of Bhargava Motors are expected to move to Bhargava Motors LLP by end of fiscal 2023. Key rating drivers and detailed description Weaknesses: * Exposure to intense competition: The group faces competition from other dealers of M&M as well as from dealers of other automakers. The principal supplier faces competition from other four-wheeler manufacturers, including Maruti Suzuki India Ltd, Renault India Pvt Ltd, Tata Motors Ltd and Ford India Pvt Ltd. Intense competition has compelled automakers to cut costs, including commissions to dealers. * Working capital intensive operations: The business operations of the group are working capital intensive with GCA days of 176 days, as on March 31, 2022, driven by debtor days of 111 days and inventory days of 31 days. The operations would continue to remain working capital intensive in nature and GCA days are expected to be around 135-155 days over the medium term. * Weak financial risk profile: Financial risk profile of the group is marked by modest networth of INR11.78 crores as at March 31,2022, which is expected to improve to ~Rs 15 crores by March 31, 2023. The group also has high leverage as reflected in TOL/TNW ratio of 4.3 times and gearing of 3.33 times as on March 31, 2022, the TOL/TNW ratio and gearing are expected to be around 3.4-3.5 times and around 2.5 times as on March 31, 2023 with improvement in capital base and declining term debt. The debt protection metrics are modest with interest cover of 1.39 times in FY22 which is expected to improve to around 1.7 times in FY23. NCAAD has also been at modest levels and was 0.03 time in FY22 and it is expected to be around 0.06 time in FY23. Strength: * Extensive industry experience of the promoters: The promoters have an experience of over 3 decades in automotive dealership industry and have healthy business connections for more than 6 decades now, this has given them a strong understanding of the dynamics of the market and enabled them to establish healthy relationships with suppliers and customers. Liquidity: Poor Average Bank limit utilisation has been ~99% for last 12 months ending Oct'22. The group has repayment obligations of Rs. 5.6 crore in fiscal 2023, against expected cash accruals of over Rs. 2 crore. This includes prepayments of ~Rs. 3 crore made in fiscal 2023 supported by capital infusion by promoters and cash and bank balances. Net cash accruals in fiscal 2024 and fiscal 2025 are expected to be modest at INR2-3 crore per fiscal but will be sufficient to meet yearly debt repayment obligations of ~Rs 2.0 crores. Cash and bank balance was INR2.5 crore and current ratio was moderate at 1.37 times as on March 31, 2022. Outlook: Stable CRISIL Ratings believes the group will continue to benefit over the medium term from its longstanding relationships with its customers and extensive experience of the management to mitigate the inherent risk in trading business. Rating sensitivity factors Upward factors: * Improvement in liquidity profile of the group with improved cushion of net cash accruals over repayment obligations to more than 1.2 times. * Improvement in the working capital cycle. Downward factors: * Further deterioration in liquidity profile of the group with with net cash accruals falling below Rs.2 crore * Substantial increase in working capital requirements resulting in deterioration of financial risk profile and liquidity. BML was incorporated in 2021, which is taking over the operations of Bhargava Motors. BML is an authorised automotive dealer of vehicles of Mahindra and Mahindra's . BML operates through 3 branches in Noida, Delhi and Haryana. All branch offices are owned & managed by Mr. Vishnu Bhargava & Mrs. Usha Bhargava. Bhargava Motors was established in 1960 which was owned by Mr. Brij Mohan Bhargava, father of Mr. Vishnu Bhargava & Mrs. Usha Bhargava. In 1985, the operations were taken over by Mr. Vishnu Bhargava. BHATI ASSOCIATES: CARE Keeps C Debt Ratings in Not Cooperating -------------------------------------------------------------- CARE Ratings said the ratings for the bank facilities of Bhati Associates Private Limited (BAPL) continue to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.00 CARE C; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Long Term/Short 10.00 CARE C; Stable/CARE A4; Term Bank ISSUER NOT COOPERATING; Facilities Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 30, 2021, placed the rating(s) of BAPL under the 'issuer non-cooperating' category as BAPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. BAPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 16, 2022, August 26, 2022, September 5, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Delhi based Bhati Associates Private Limited (BAPL) was established in year 1996 as a proprietorship firm by Mr Harish Bhati, which was later converted to a private limited company in January, 2004. The company is managed by Mr Harish Chaudhary and Mr Satish Chaudhary. The company is engaged in civil construction works such as construction of roads, buildings, flyovers and others for government entities like Public Works Department, Uttar Pradesh Avas Vikas Parishad and others. In order to get the business, company has to participate in tenders and bids floated by government entities. BISWAPITA COLD: CARE Keeps B- Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of Biswapita Cold Storage Private Limited (BCSPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 6.31 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 28, 2021, placed the rating(s) of BCSPL under the 'issuer non-cooperating' category as BCSPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. BCSPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 14, 2022, August 24, 2022, September 3, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Biswapita Cold Storage Pvt Ltd (BCSPL) was incorporated in 2008 to set up a cold storage facility with a storage capacity of 13,500 Metric Tonnes in Paschim Medinipore, West Bengal. Since its inception, the company has been engaged in the business of providing cold storage facility primarily for potatoes to farmers. Besides providing cold storage facility, the company also provides interest bearing advances to farmers for their agricultural activities against the receipts of potato stored. Seikh Khalilur Rahaman (aged about 73 years), possesses over four decades of experience in the cold storage industry and looks after the overall management of the company. Seikh Tamijuddin Khan (aged about 61 years) has also more than three decades of experience in the same line of business. They are further supported by other two directors namely, Seikh Jiyayur Rahaman Khan (aged about 38 years) and Mr. Seikh Iktiyararuddin Khan (aged about 32 years), along with a team of experienced professionals. C P SPONGE: CRISIL Lowers Rating on INR25cr Cash Loan to D ---------------------------------------------------------- CRISIL Ratings has downgraded the rating on the bank facilities of C P Sponge Iron Private Limited (CPSIPL) to 'CRISIL D Issuer Not Cooperating' from 'CRISIL B-/Stable Issuer Not Cooperating'. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 25 CRISIL D (ISSUER NOT COOPERATING; Downgraded from 'CRISIL B-/Stable ISSUER NOT COOPERATING') CRISIL Ratings has been consistently following up with CPSIPL for obtaining information through letters and emails dated September 16, 2022 and November 15, 2022 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non-co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward-looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings has failed to receive any information on either the financial performance or strategic intent of CPSIPL, which restricts CRISIL Ratings's ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes information available on CPSIPL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, CRISIL Ratings has downgraded the rating on the bank facilities of CPSIPL to 'CRISIL D Issuer Not Cooperating' from 'CRISIL B-/Stable Issuer Not Cooperating' as there have been overdrawals in the cash credit facilities over the past one year. CPSIPL, which was set up in 2002, manufactures sponge iron. Its facility at Durgapur, West Bengal, has an installed capacity of 60,000 metric tonnes per annum (MTPA). ESHAN YARNS: CARE Keeps B- Debt Rating in Not Cooperating --------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Eshan Yarns Private Limited (EYPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated October 06, 2021, placed the rating(s) of EYPL under the 'issuer non-cooperating' category as EYPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. EYPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 22, 2022, September 1, 2022, September 11, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Eshan Yarns Private Limited (EYPL) is promoted by Mr. Sanjeev Makkar and Mrs. Shweta Makkar with the operations of the company starting in April-2017 only. The company was earlier engaged in the trading of yarns & knitted fabrics till March, 2019. However, in April 2019, the company had changed its nature of operations to manufacturing of polyester fabrics. ISHANIKA HOTELS: CARE Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of Ishanika Hotels Private Limited (IHPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 12.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated October 1, 2021, placed the rating(s) of IHPL under the 'issuer non-cooperating' category as IHPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. IHPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 17, 2022, August 27, 2022, September 6, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Lucknow based, Ishanika Hotels Private Limited (IHPL) was incorporated as a private limited company in April, 2017. The company is currently being promoted by Mr. Arun Kumar Singh and Mrs. Roli Singh. The hotel comprises of total 50 rooms, along with 2 banquet halls, 2 conference rooms, 1 restaurant. The company has entered into marketing arrangements with online tours and travels portals like Go Ibibo, Make My Trip, and also has tie-ups with local tourist guides for potential customers. JAIN HYDRAULICS: CARE Keeps D Debt Rating in Not Cooperating ------------------------------------------------------------ CARE Ratings said the rating for the bank facilities of Jain Hydraulics Private Limited (JHPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 10.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated October 1, 2021, placed the rating(s) of JHPL under the 'issuer non-cooperating' category as JHPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. JHPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 17, 2022, August 27, 2022, September 06, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Delhi based, Jain Hydraulics Private Limited (JHPL) was incorporated in May 1981 by Mr. Ajay Kumar Jain and his family members. The company is currently managed by Mr. Ajay Kumar Jain, Mr. Ajay Jain and Mr. Ankit Jain. The company is engaged in the manufacturing of recycling equipments used for recycling of metal, bio medical waste and solid waste. The product portfolio of the of the company comprises scrap baling presses, shredders & crushers, box balers & shearers paper shredders, slag crushers & finer etc. The company has its manufacturing unit located in Manesar, Gurgaon. Further, the company has its separate trading unit in Delhi. The company has entered into new business of manpower consulting. JHP provides the skilled and technical employees to the different government departments. The company attains the contracts through tendering and bidding and provides the employees on its on pay rolls. KINGS INFRA: CRISIL Assigns B+ Rating to INR10cr Cash Loan ---------------------------------------------------------- CRISIL Ratings has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities and debt instruments of Kings Infra Ventures Limited (KIVL). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 10 CRISIL B+/Stable (Assigned) Foreign Bill Discounting 10 CRISIL A4 (Assigned) Proposed Long Term Bank Loan Facility 1.7 CRISIL B+/Stable (Assigned) The rating reflects KIVL's small scale of operations exposed to intense competition and working capital intensive nature of operations. These weaknesses are partially offset by its extensive industry experience of the promoters and moderate financial risk profile. Key Rating Drivers & Detailed Description Weakness * Small scale of operations exposed to intense competition: Despite its long track record, KIVL's scale of operations remained moderate marked by the operating revenue of Rs. 39.81 crore in fiscal 2022 and Rs. 25.34 crore in H1FY23. High fragmentation in the aquaculture and seafood industry continue to constrain the scalability. However, the company's recent foray into retail business coupled with healthy demand for seafood products in the domestic and export markets is expected to scale up its business, going forward. * Working capital intensive operations: The nature of the business requires significant investment in working capital, marked by high levels of inventory holding. This mainly includes stock of shrimps and other seafood in various life stages. Gross current assets were at 267.8-457.4 days over the three fiscals ended March 31, 2022, reflecting the working capital intensity of operations. Strengths * Extensive industry experience of the promoters: The promoters have an experience of over four decades in aquaculture farming. This has given them an understanding of the dynamics of the market and enabled them to establish relationships with suppliers and customers. Since 2017, the company diversified its business activity into sea food processing. * Moderate financial profile: KIVL's capital structure has been at comfortable level due to its moderate reliance on external funds yielding gearing of 0.8 time and total outside liabilities to adjusted tangible net worth (TOL/ANW) of 0.9 time for year ending on March 31, 2022. KIVL's debt protection measures have also been moderate marked by the interest coverage and net cash accrual to total debt (NCATD) ratios at 3.15 times and 0.14 time respectively for fiscal 2022. Liquidity Stretched Bank limit utilization is high at around 90 percent for the past twelve months ended October 22. Projected cash accruals are at Rs. 4-5 crore against scheduled annual repayment obligation of Rs. 4-2 crore over the medium term. Current ratio is healthy at 2.01 times on March 31, 2022. The promoters are likely to continue their support in the form of equity and unsecured loans to meet its working capital requirements and repayment obligations. Outlook Stable CRISIL Ratings believe KIVL will continue to benefit from the extensive experience of its promoters and its established track record. Rating Sensitivity factors Upward factors * Sustained improvement in revenue by 20% while sustaining its margins, leading to net cash accruals above Rs. 5 crore. * Improvement in liquidity position marked by bank limit utilization below 90% and adequate cushion available for debt servicing. Downward factors * Decline in scale of operations leading to fall in revenue by 10% and/or profitability margin to below 10%, hence leading to net cash accrual lower than INR3 crore. * Large debt-funded capital expenditure and/or a substantial increase in its working capital requirements thus weakening its liquidity and financial profile. KIVL was incorporated in 1987, it is located in Tuticorin, Tamil Nadu The company is engaged aquaculture farming, seafood processing, international trade of marine products, aquaculture consultancy, food related infrastructure development and domestic marketing and supply of retail packed marine products. MONSOON BOUNTY: CRISIL Assigns B+ Rating to INR3.5cr LT Loan ------------------------------------------------------------ CRISIL Ratings has assigned its 'CRISIL B+/Stable/CRISIL A4' ratings to the bank facilities of Monsoon Bounty Foods Manufacturing Private Limited (MBFMPL). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Loan 3.5 CRISIL B+/Stable (Assigned) Packing Credit 11.6 CRISIL A4 (Assigned) Proposed Long Term Bank Loan Facility 1.5 CRISIL B+/Stable (Assigned) Secured Overdraft Facility 0.4 CRISIL A4 (Assigned) Working Capital Term Loan 3 CRISIL B+/Stable (Assigned) The ratings reflect the company's large working capital requirement, average financial profile and modest scale of operations & volatile operating margin exposed to raw material price fluctuation. These weaknesses are partially offset by the extensive experience of the promoters in the frozen seafood business. Key Rating Drivers & Detailed Description Weaknesses: * Large working capital requirement: Gross current assets (GCAs) were sizeable at 130 days as on March 31, 2022, on account of large inventory of around 119 days. The GCAs are expected at 140-148 days over the medium term. * Average financial profile: The company's financial risk profile is marked by a leveraged capital structure. Gearing and TOL/TNW have been over 3 and 4.21 times respectively as on 31st March 2022. The company's debt protection metrics have been average with interest coverage of 1.74 times in FY2022. The company's financial risk profile is expected to remain at similar levels over the medium term. Net-worth remained modest at INR5.46 crore in fiscal 2022 but is estimated to improve over the medium term supported by equity infusion and steady accretion to reserves. * Modest scale of operations, and volatile operating margin exposed to raw material price fluctuation: Intense competition in the frozen seafood industry constraints scalability, as reflected in modest revenue of INR40.09 crore in fiscal 2022. Moreover, availability of seafood varies, depending on climatic and aquatic changes, leading to fluctuations in price. Margin has remained in the range of 6.46% in the FY 2022, it will be expected to maintain 6-7l% in the over medium term Strengths: * Extensive experience of the promoters: The promoters have experience of over 10 years in the frozen seafood industry. This has given them an understanding of market dynamics and enabled established relationships with suppliers and customers. The firm derives its revenue from export, primarily to Japan, Korea, and other middle east countries. Which will continue to support the business. Liquidity: Stretched Bank limit utilization was moderate at 55% on average for the 12 months through October 2022. Cash accrual expected to be over INR2 crores which are sufficient against term debt obligation of INR1.6 crores over medium term. Current ratios is low at 1 time as of March 31, 2022 Net Cash accrual of Rs.1.00 crores was inadequate in FY2022 to meet out the debt obligation of Rs.1.60 crores. The promoters extended support through unsecured loans to meet working capital requirement and debt obligation. Outlook: Stable CRISIL Ratings believes MBFMPL will continue to benefit from the extensive experience of its promoter, and established relationships with clients. Rating Sensitivity Factors Upward factor * Increase in revenue and stable operating margin of more than 7%, * Improvement in the working capital cycle * Improvement in liquidity profile Downward factors * Decline in scale of operations and fall in Earnings before interest, tax, depreciation and amortization margin to less than 4.00%. resulting in lower net cash accrual * Weakening of capital structure * Deterioration in working capital cycle Incorporated in 2013, MBFMPL commenced operations in fiscal 2021. The company process and export fish, shrimps, crustaceans and among others. It has a processing unit in Chennai- Tamil Nadu and is promoted by Mr. Sunil Ravindran and Ms. P. V. Viji. MUNISH FORGE: CARE Withdraws B+ Rating on Long Term Bank Loan ------------------------------------------------------------- CARE Ratings Ltd. has downgraded the rating and withdrawn the outstanding rating of 'CARE B+; Stable/CARE A4; ISSUER NOT COOPERATING' assigned to the bank facilities of Munish Forge Private Limited (MFPL) with immediate effect. The ratings continue to remain constrained by declining scale of operations, weak profitability margins, elongated operating cycle, exposure to raw material price volatilities and cyclical nature of the industries. The ratings, however, continue to take comfort from experienced and resourceful promoters with long track record of operations, diversified product portfolio and revenue stream, significant number of approvals and certifications in place-enhanced market position and moderate capital structure. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank - Rating continues to remain Facilities under ISSUER NOT COOPERATING category and Revised to CARE B+; Stable; ISSUER NOT COOPERATING and Withdrawn Short Term Bank - Rating continues to remain Facilities under ISSUER NOT COOPERATING category; Reaffirmed at CARE A4; ISSUER NOT COOPERATING and Withdrawn The above action has been taken at the request of MFPL and 'No Objection Email' received from the bank that has extended the facilities rated by CARE Ratings Ltd. Detailed description of the key rating drivers Key Rating Weaknesses * Declining scale of operations: The scale of operations of the company stood modest as marked by total operating income and gross cash accruals of INR79.95 crore and INR4.07 crore, respectively, during FY21. The 31% decline in sales is mainly due to Covid induced lockdown leading to lower execution of orders by the company and the delay in opening of foreign market. Furthermore, the tangible net worth also remained modest at INR35.51 crore as on March 31, 2021. The modest scale limits the company's financial flexibility in times of stress and deprives it from scale benefits. * Weak profitability margins: The profitability margins of the company remained weak with PBILDT margin of 9.64% (PY:8.52%) and PAT margin of 0.21% (PY: 1.55%) respectively in FY21. The major deterioration was on account of proportionate decrease in the revenue of the company along with increase in power and fuel cost and interest cost of the company. * Elongated operating cycle: The working capital cycle of the company has deteriorated from 172 days as on March 31, 2020 to 223 days as on March 31, 2021. The increase in working capital cycle is due to higher average inventory period. The inventory holding has increased due to disruption in the supply chain, as the company is mainly into export market and due to covid there has been delay in getting the vessel for export. However gradually the situation is improving and there has been some improvement in the supply chain. The company has different payment terms for different product clients with company offering a credit period ranging from 2 months to 4 months for coupler segment and 45 days to 2 months to its oil and gas customers. The average collection days stood at ~102 days (PY: ~87 days). On the raw material procurement side, the company only procures raw material from the domestic market where the payment terms range from one week to ~3 months leading to average creditor days of ~102 days, as on March 31, 2021 (PY: ~72 days). As a result, the operations are working capital intensive and hence the company has high working capital requirements. * Exposure to raw material price volatilities: The operations of the company are raw material intensive in nature with the raw material cost constituting ~56% of the income in FY21 period. With global steel prices highly volatile in nature and susceptible to speculative trading, the margins of MFPL are exposed to raw material fluctuation risk. Given large variety of products being manufactured for different types of customers, which necessitates large inventory holding, the margins are exposed to any adverse movement in the raw material prices. MFPL generally enters into back-to-back contracts for raw material procurement to mitigate the price fluctuation risk. Also the pricing for each contract is based on current prices, which reduces the raw material pricing risk to large extent. Presently the company has order of around INR45cr to be executed over the next 3 to 4 months. * Cyclical nature of the industries: The scaffold industry is primarily dependent upon the demand of real estate and construction sector. The real estate industry is cyclical in nature and has direct linkage with the general macroeconomic scenario like the disposable income available with individuals, prevailing interest rate scenario, etc. Any adverse movement in the macro economic factors may affect the real estate industry which in turn would impact the demand for MFPL's product. Furthermore, the flanges manufactured by MFPL find application in oil & gas, petroleum and chemical industry. The demand for the same is considered cyclical as it depends upon the capital expenditure plan of major players of the end use industry. Furthermore, the life of flanges is relatively long. Thus, the industry has low replacement market demand. Key Rating Strengths * Experienced and resourceful promoters with long track record of operations: MFPL is promoted by Mr. Davinder Bhasin (Managing Director), who has a rich experience of around four decades in the industry and Mr. Vishal Anand (Director) having an industry experience of more than two decades. Both the directors are involved in the overall business operations of the company and are ably supported by a team of professionals who are highly experienced in their respective domains. * Diversified product portfolio and revenue stream: MFPL caters to the needs of various industries including Oil & Gas, Petroleum, Chemical and Real Estate. The company is engaged in the manufacturing of flanges which is used for piping (joining of two pipes) in Oil & Gas, Petroleum and Chemical Industry. Also, the company manufactures scaffolding items like couplers of several sizes by both pressing and forging as per the requirement of the customers and scaffolding systems such as M-Lock system, M-stage system, steel battens, M-Lock cup etc. The company is also engaged in defence equipment manufacturing including bomb-shells and tank chains. Since the revenue concentration is spread over several product portfolios, the concentration risk is low. Furthermore, the products are sold through traders and dealers in export market with which company has long outstanding relationships and also directly to a well-established client base from industries such as oil & gas, petroleum, real-estate, defence etc. having high end use, resulting in revenues from diversified clientele. * Significant number of approvals and certifications in place - enhanced market position: MFPL's products find application in oil, gas, boiler, pressure vessel, petroleum, real-estate and defence industry. The flanges are a critical component which requires holding huge pressure during the flow of water, oil, gas or other chemicals. Thus it becomes imperative to have many international quality certifications to control the overall quality of flanges to be able to sell in developed countries. After the successful audit or assessment of the plant facility and capability, the customers or end users enlist the name of the company in their approved list of supplier from where they will procure in the future. The approvals and certifications are the major entry barriers for other players to enter into the approved market. * Moderate capital structure: The capital structure of the company stood moderate as marked by overall gearing of 1.33x in FY21 as against 1.45x in FY20 on account of relatively low reliance on external borrowings against the declining net worth. Further, the coverage indicators marked by interest coverage and total debt to GCA remained moderate in FY21 at 2.12x (PY:2.31x) and 11.65x (PY: 9.12x) respectively due to slight decline in the profitability of the company and comparatively low reliance on external borrowings against the declining net worth of the company. Liquidity: Adequate Adequate liquidity characterized by modest cash balance of INR3.49 crore as on March 31, 2021. The current ratio and quick ratios of the company stood moderate at 1.45x and 0.69x respectively, as on March 31, 2021 (PY:1.28x and 0.52x, respectively). Munish Forge Private Limited (MFPL) is a private limited company incorporated in July 1986 by Mr. Davinder Bhasin (Managing Director). It is engaged in the manufacturing of flanges, scaffolding items and defence equipment at its manufacturing facility in Ludhiana and Punjab. The company has both forging and machining facilities at its manufacturing plant and caters to Oil & Gas sector (flanges), real-estate & construction sector (scaffolding) and defence sector (bomb shells and tank chains). The company is majorly into exports. MFPL exports its products to countries like United States of America (USA), Canada, United Kingdom and Gulf countries. The main raw materials of the company are Billets, Strips, Coils, etc., which are procured from the domestic markets. The operations of the company are ISO 9001:2008 certified. NITYARAV CERAMIC: CRISIL Lowers LT/ST Debt Rating to D ------------------------------------------------------ CRISIL Ratings has downgraded the ratings on the bank facilities of Nityarav Ceramic LLP to CRISIL D/CRISIL D from CRISIL B+/Stable/CRISIL A4. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Long Term Rating - CRISIL D (Downgraded from 'CRISIL B+/Stable') Short Term Rating - CRISIL D (Downgraded from 'CRISIL A4') The rating reflects delay by NCL in servicing the equated monthly instalments (of its term loan) in the past few months owing to weak liquidity. The ratings also factors in firms small scale of operations amid intense competition, subdued debt protection metrics, and large working capital requirement. These weaknesses are partially offset by the extensive experience of the partners in the ceramic tiles industry and moderate capital structure. Analytical Approach Unsecured loans of INR1 crore as on March 31, 2022 have been treated as debt. Key Rating Drivers & Detailed Description Weakness: * Modest scale of operations amid intense competition: Scale of operations of the firm continue to remain modest, at about INR19 crore in fiscal 2022. Modest scale and presence of a large number of players in the industry limits the firm's bargaining power with customers and suppliers. Further, as the firm out grows its nascent stage of business, revenue and operating margin are expected to moderate * Large working capital requirement: Gross current assets (GCAs) are at 257 days as on March 31, 2022, driven by sizeable receivables and large inventory of 120 days and 150 days, respectively. Operations are likely to remain working capital intensive as the firm gives extensive credit for repeat orders and moderate inventory maintenance. Strengths: * Extensive industry experience of the partners: The partners' experience of more than 15 years in the ceramic tiles business, and their healthy relationships with dealers and suppliers will continue to support the business. CRISIL Ratings believe that the firm will benefit extensively from the experience of the partners to stabilize its business operations. * Moderate debt protection matrices: Interest coverage and net cash accrual to adjusted debt were moderate at 2.59 times and 0.18 times, respectively, as on March 31, 2022. It is expected to improve over the medium term in the absence of large, debt funded capital expenditure and repayment of debt. Liquidity: Poor Bank limit utilisation is high at around 96 percent for the past twelve months ended August 2022. Cash accruals are expected to be over INR1.68 crore which are tight against term debt obligation of about INR1.50 crore over the medium term. In addition, it will act as cushion to the stretched working capital cycle and aid the overall liquidity of the firm. Current ratio is moderate at 0.97 times on March 31, 2022. Rating Sensitivity factors Upward factors * Track record of timely servicing of debt and absence of any irregularity, for at least 3 months * Significant improvement in liquidity. NCL was established in Morbi, Gujarat, in 2018 and started commercial operations in March 2019. The firm manufactures digitally printed glazed wall tiles. It is promoted by Mr Mahesh Rangpariya and his family members. PRESIDENCY EXPORTS: CRISIL Lowers Rating on INR13cr Loan to D ------------------------------------------------------------- CRISIL Ratings has downgraded the rating on the bank facilities of Presidency Exports and Industries Limited (PEIL) to 'CRISIL D Issuer Not Cooperating' from 'CRISIL B-/Stable Issuer Not Cooperating' Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Cash Credit 13 CRISIL D (ISSUER NOT COOPERATING; Downgraded from 'CRISIL B-/Stable ISSUER NOT COOPERATING') Term Loan 4 CRISIL D (Issuer Not COOPERATING; Downgraded from 'CRISIL B-/Stable ISSUER NOT COOPERATING') CRISIL Ratings has been consistently following up with PEIL for obtaining information through letters and emails dated August 29, 2022 and October 15, 2022 among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non-co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward-looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings has failed to receive any information on either the financial performance or strategic intent of PEIL, which restricts CRISIL Ratings's ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes information available on PEIL is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, CRISIL Ratings has downgraded the rating on the bank facilities of PEIL to 'CRISIL D Issuer Not Cooperating' from 'CRISIL B-/Stable Issuer Not Cooperating' as there have been delay in the repayments of the term loans. Incorporated in 1919 and based in Kolkata, PEIL provides warehousing and is engaged in the lease rental business. PUNE BUILDTECH: CARE Keeps D Debt Rating in Not Cooperating ----------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Pune Buildtech Private Limited (PBPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 286.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 27, 2021, placed the rating(s) of PBPL under the 'issuer non-cooperating' category as PBPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. PBPL continues to be noncooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 13, 2022, August 23, 2022, September 2, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). PBPL (formerly known as Dynamix Balwa's Resorts Pvt. Ltd.) is a wholly-owned subsidiary of Marine Drive Hospitality & Realty Pvt. Ltd. (MDHRPL), formerly known as DB Hospitality Pvt. Ltd. MDHRPL is a private limited company incorporated with an object of setting up chain of hotels across the country under five star deluxe, five star, four star categories and construction of real estate buildings. MDHRPL has been promoted by DB Group, a diversified business group in India with interests in real estate and hospitality and currently operates two hotel properties. PBPL is developing a project 'DB Solitaire' with both residential and commercial use near Pune Airport. PBPL had initial plans to develop a residential project but to tap in the demand for the commercial space; PBPL is developing the project as a mix use - residential and commercial. Due to this change, the total saleable area potential of the project has reduced to 5.76 lsf from 6.1 lsf envisaged earlier. The project building consists of one tower having two wings – one residential and other commercial of 18 floors each. Total number of units for sale is 380. RANA ENGINEERING: CARE Lowers Rating on INR8cr LT Loan to B- ------------------------------------------------------------ CARE Ratings has revised the ratings on certain bank facilities of Rana Engineering Company (REC), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 8.00 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE B; Stable Short Term Bank 7.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated November 15, 2021, placed the rating(s) of REC under the 'issuer non-cooperating' category as REC had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. REC continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated October 1, 2022, October 11, 2022, October 21, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The rating assigned to the bank facilities of REC have been revised on account of non-availability of requisite information. Rana Engineering Co. (REC) was established as a partnership firm in 1978, by Rana family of Kolkata for carrying out different types of contract work (mainly civil construction projects) for government parties. REC undertakes civil constructions in the segments like construction & development of roads and bridges in the state of West Bengal. REC has an order book position of INR36.61 crore as on May 28, 2018. RCS STEEL: CARE Keeps B- Debt Rating in Not Cooperating Category ---------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Rcs Steel & Auto Private Limited (RSAPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 3.98 CARE B-; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 29, 2021, placed the rating(s) of RSAPL under the 'issuer non-cooperating' category as RSAPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. RSAPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 15, 2022, August 25, 2022, September 4, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). RSAPL was incorporated in 2010 by Mr Ramesh Chandra Sharma along with his family member, Mr Kunal Sharma with an objective to set up a project at Gurgaon (Haryana) for setting up steel coil processing plant which finds its application primarily in the automotive sector. The company commenced its operations from January 2013 and mainly undertakes job work pertaining to process of Hot-Rolled (HR) steel coils which includes pickling, slitting as well as cutting of HR coils. RSPL mainly caters to automotive components manufacturing units located in the region through its sole manufacturing unit located at Gurgaon (Haryana). SAI SUDHA: CARE Lowers Rating on INR11cr LT Loan to B ----------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Sai Sudha Motors Private Limited (SSMPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.00 CARE B; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE B+; Stable Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 27, 2021, placed the rating(s) of SSMPL under the 'issuer non-cooperating' category as SSMPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. SSMPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 13, 2022, August 23, 2022, September 02, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of SSMPL have been revised on account of non-availability of requisite information. SSMPL, incorporated in 2012, is promoted by Odisha-based Mr. Suvendu Mohanty. The company is an authorized dealer for sale of Medium and Heavy commercial vehicles (M&HCV) as well as services and sale of spares of Tata Motors Limited (TML) in four districts of Odisha namely Cuttack, Jajpur, Kendrapara and Jagatsinghpur. SSMPL is a closely-held company with the directors representing the promoter's family. The day-to-day affairs of the company are looked after by Mr Suvendu Mohanty, duly supported by his brother Mr. Bimalendu Mohanty. SINGH DIAMONDS: CRISIL Withdraws B Rating on INR12cr LT Loan ------------------------------------------------------------ CRISIL Ratings has withdrawn its ratings on the bank facilities of Singh Diamonds (SD) on the request of the company and receipt of a no objection certificate from its bank. The rating action is in line with CRISIL Ratings' policy on withdrawal of its ratings on bank loans. Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Foreign Bill 3 CRISIL B/Stable/Issuer Not Discounting Cooperating (Withdrawn) Packing Credit 5 CRISIL B/Stable/Issuer Not Cooperating (Withdrawn) Proposed Long Term 12 CRISIL B/Stable/Issuer Not Bank Loan Facility Cooperating (Withdrawn) CRISIL Ratings has been consistently following up with SD for obtaining information through letters and emails dated April 20, 2022 and June 28, 2022, among others, apart from telephonic communication. However, the issuer has remained non cooperative. 'The investors, lenders and all other market participants should exercise due caution with reference to the rating assigned/reviewed with the suffix 'ISSUER NOT COOPERATING' as the rating is arrived at without any management interaction and is based on best available or limited or dated information on the company. Such non co-operation by a rated entity may be a result of deterioration in its credit risk profile. These ratings with 'ISSUER NOT COOPERATING' suffix lack a forward looking component.' Detailed Rationale Despite repeated attempts to engage with the management, CRISIL Ratings failed to receive any information on either the financial performance or strategic intent of SD. This restricts CRISIL Ratings' ability to take a forward looking view on the entity's credit quality. CRISIL Ratings believes that rating action on SD is consistent with 'Assessing Information Adequacy Risk'. Based on the last available information, the rating on bank facilities of SD continues to be 'CRISIL B/Stable Issuer Not Cooperating'. SD, based in Mumbai, was established in 1986 as a sole proprietorship concern by Mr Kawaljit Singh. The firm processes and exports cut and polished diamonds. Mr Kawaljit Singh and his son, Mr Karan Singh, manage operations. SINGLACHERRA TEA: CARE Keeps C Debt Rating in Not Cooperating ------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Singlacherra Tea Company Private Limited (STCPL) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.56 CARE C; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 27, 2021, placed the rating(s) of STCPL under the 'issuer non-cooperating' category as STCPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. STCPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 13, 2022, August 23, 2022, September 02, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). STCPL was incorporated in April 1962 for cultivation of tea at its tea garden at Karimganj (Assam). The aggregate area available for cultivation is 800 hectares. STCPL has been developing the available aggregate area for cultivation at aggregate project cost of INR1839 lakh, being financed at a debt equity ratio of 1.69:1. The present area under cultivation is only 336.70 hectares and the company is developing the balance 463.3 hectares of unutilized land at its garden. Along with tea plantation, the company also proposes to grow rubber and bamboo plants (to derive the benefits of rubber-tea intercropping) in the proposed cultivable land within the tea estate. SUDHARSAN EXPORTS: CARE Keeps B+ Debt Rating in Not Cooperating --------------------------------------------------------------- CARE Ratings said the rating for the bank facilities of Sudharsan Exports (SE) continues to remain in the 'Issuer Not Cooperating' category. Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 11.16 CARE B+; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated October 13, 2021, placed the rating(s) of SE under the 'issuer non-cooperating' category as SE had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. SE continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 29, 2022, September 08, 2022, September 18, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). Tamilnadu based, Sudharsan Exports (SE), was established in the year 1997 as a proprietorship concern by Mr. S Kandasamy. The firm is engaged in manufacturing of 100% Cotton Grey Cloth. The firm purchases Cotton, Yarn, Chemical from M/s. B. T. Patil, Erode Annai Spinning Private Limited, Chennai Textile Chemicals Private Limited, etc., The firm has its customer base located at Chennai, Jetpur, Fatehpur, Tirupur. SUMATI INDUSTRIES: CARE Lowers Rating on INR0.69cr LT Loan to B+ ---------------------------------------------------------------- CARE Ratings has revised the ratings on certain bank facilities of Shri Sumati Industries Private Limited (SSIPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 0.69 CARE B+; Stable; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE BB-; Stable Long Term/Short 7.70 CARE B+; Stable/CARE A4; Term Bank ISSUER NOT COOPERATING; Facilities Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE Bb-; Stable/CARE A4 Short Term Bank 2.00 CARE A4; ISSUER NOT Facilities COOPERATING; Rating continues to remain under ISSUER NOT COOPERATING category Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated September 27, 2021, placed the rating(s) of SSIPL under the 'issuer non-cooperating' category as SSIPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. SSIPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated August 13, 2022, August 23, 2022, September 2, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings assigned to the bank facilities of SSIPL have been revised on account of non-availability of requisite information. Indore-based Shri Sumati Oil Industries Private Limited (SOIPL) was incorporated in April 2004 with a purpose to engage in diversified business ranging from manufacturing and export of organic products to sorting and clearing of agricultural products on job work basis. The company has changed its name to Shri Sumati Industries Private Limited (SSIPL) from July 19, 2022. Further, the company is also engaged in trading cum clearing member on NCDEX and MCX as well as sub broker on NSE and BSE. During FY18, SOIPL commenced manufacturing of organic soyabean and organic soyabean meals with an installed capacity of 50 tons per day as on March 31, 2020. It exports organic products which include soyabean, soyabean meal, wheat, rice, corn, groundnuts and so on majorly to USA and Canada. VANI CONSTRUCTIONS: CRISIL Reaffirms B+ Rating on INR5cr Loan ------------------------------------------------------------- CRISIL Ratings has reaffirmed its 'CRISIL B+/Stable/CRISIL A4' ratings on the bank facilities of Vani Constructions (VC). Amount Facilities (INR Crore) Ratings ---------- ----------- ------- Bank Guarantee 7 CRISIL A4 (Reaffirmed) Cash Credit 5 CRISIL B+/Stable (Reaffirmed) Proposed Long Term Bank Loan Facility 1 CRISIL B+/Stable (Reaffirmed) The ratings continue to reflect the firm's modest scale of operations, high customer concentration and stretched liquidity. These weaknesses are partially offset by the extensive experience of the partners in the construction industry and the firm's comfortable capital structure. Key rating drivers and detailed description Weaknesses: * Modest scale of operations: Revenue declined to INR5.59 crore in fiscal 2022 due to decline in orders from major customers. While orders have improved in the current fiscal, revenue is expected to remain moderate at INR8-10 crore. * High customer concentration in revenue: The firm earns around 80% of its revenue from L&T Ltd, leading to substantial customer concentration risk. Furthermore, the firm has received lesser number of orders in fiscal 2022, leading to lower revenue. However, improvement in revenue is expected in the ongoing fiscal with revenue touching INR2.65 crore till August 2022 against nil revenue during the same period in the previous fiscal. Strengths: * Extensive industry experience of the partners: The partners, Mr P Mallikaarjun Rao, Mr P Sriharsha, Ms P Prasanthi and Ms P Satyavani, have experience of more than 25 years in the construction industry, which has helped the firm establish strong relationships with customers and suppliers. * Moderate capital structure: Capital structure was comfortable, as indicated by gearing of less than 1 time as on March 31, 2022. The financial risk profile should remain healthy in the absence of any major debt-funded capital expenditure (capex) over the medium term. Debt protection metrics are expected to remain satisfactory with expected interest coverage ratio of 2-3 times in the ongoing fiscal. Liquidity: Stretched Bank limit utilisation was low at 56.96% on average for the 13 months ended September 30, 2022. Cash accrual is expected to be minimal at less than INR0.5 crore, against no term debt obligation for the firm. Outlook Stable CRISIL Ratings believes VC will continue to benefit, over the medium term, from the partners' extensive industry experience Rating sensitivity factors Upward factors: * Revenue of more than INR25 crore and stable operating margin * Improvement in the liquidity profile of the firm Downward factors: * Moderation in revenue or operating margin, leading to net loss * Substantial capital withdrawal, leading to deterioration in liquidity Set up in 2014, VC is a partnership concern between Mr P. Mallikaarjun Rao, Mr P. Sriharsha, Ms P. Prasanthi and Ms P. Satyavani. The firm is engaged in commercial blasting and painting process. It has its manufacturing facility in Vishakapatnam, Andhra Pradesh. VARDHMAN INDUSTRIAL: CARE Lowers Rating on INR12cr Loan to D ------------------------------------------------------------ CARE Ratings has revised the ratings on certain bank facilities of Vardhman Industrial Steel Private Limited (VISPL), as: Amount Facilities (INR crore) Ratings ---------- ----------- ------- Long Term Bank 12.00 CARE D; ISSUER NOT COOPERATING Facilities Rating continues to remain under ISSUER NOT COOPERATING category and Revised from CARE B-; Stable Detailed Rationale & Key Rating Drivers CARE Ratings Ltd. had, vide its press release dated November 1, 2021, placed the rating(s) of VISPL under the 'issuer non-cooperating' category as VISPL had failed to provide information for monitoring of the rating and had not paid the surveillance fees for the rating exercise as agreed to in its Rating Agreement. VISPL continues to be non-cooperative despite repeated requests for submission of information through e-mails, phone calls and a letter/email dated September 17, 2022, September 27, 2022, October 7, 2022 and December 15, 2022. In line with the extant SEBI guidelines, CARE Ratings Ltd. has reviewed the rating on the basis of the best available information which however, in CARE Ratings Ltd.'s opinion is not sufficient to arrive at a fair rating. Users of this rating (including investors, lenders and the public at large) are hence requested to exercise caution while using the above rating(s). The ratings have been revised on account of non-availability of requisite information. The ratings also take into consideration the admission of the company for corporate insolvency resolution process as recognized from publicly available information i.e. NCLT order. Incorporated in 2011, Vardhman Industrial Steel Private Limited (VIPL) is promoted by Mr Sushil Jain and his wife Ms Anju Jain. During the year 2011, VIPL took over the business operations two proprietorship firms i.e. Vardhman Loha & Traders (Proprietor - Mr Sushil Jain) and Vardhman Industrial Steel Sales (Proprietor – Ms Anju Jain) engaged in the trading of iron and steel products. VIPL is engaged in the trading of iron and steel products such as angles, channels, rounds, beams, plates, flats and tubes. VIPL operates through its outlet located in Bahadurgarh, Haryana. ================= I N D O N E S I A ================= GARUDA INDONESIA: Aims to Restart Share Trading After Bond Issue ---------------------------------------------------------------- Nikkei Asia reports thats Garuda Indonesia hopes to resume trading in its shares after issuing around $80 million in Islamic bonds this week, the CEO of the country's flagship airline said on Dec. 27. The Indonesia Stock Exchange suspended trading in the state airline's stock in June last year, after the company defaulted on coupon payments for a $500 million Islamic bond, or sukuk, Nikkei Asia says. Garuda's troubles were long in the making, but worsened as the COVID-19 pandemic hammered the industry, bringing air travel and tourism to a virtual standstill. Garuda shares last traded at 222 rupiah, far below the issue's IPO price when the airline went public in 2011 at 750 rupiah per share, the report notes. According to Nikkei Asia, the new Islamic bond issue, which CEO Irfan Setiaputra said is a requirement for lifting the share trading freeze, is scheduled to take place Dec. 28. "We hope that [the prerequisite to lifting the suspension] can be completed in the next few days and that it can be lifted before the end of this year," Nikkei Asia quotes Setiaputra as saying at a briefing for investors. In September 2019, before the pandemic, Garuda flew to about two dozen countries, in addition to operating domestic routes. However, like other airlines worldwide, the company was hit hard by the pandemic, which drastically reduced air travel. In June, Garuda received approval from more than two-thirds of its creditors for a make-or-break restructuring proposal that staved off bankruptcy for the airline, which has been flying since 1949. Among the steps Garuda has touted to revive its fortunes, the CEO mentioned that it will focus on operating as a full-service carrier as well as domestic routes, Nikkei Asia relays. For international routes, he said the company will concentrate on those that are highly profitable. "Garuda's future business model will prioritize three things to become a simpler, more profitable company, and focus on full service," Setiaputra said. About Garuda Indonesia Headquartered in Jakarta, Indonesia, government-owned airline PT Garuda Indonesia -- http://www.garuda-indonesia.com/-- currently has a fleet of about 77 aircraft offering service to some 27 domestic and 33 international destinations. Under its Citilink brand, it serves 10 other domestic routes. Garuda also ships about 200,000 tons of cargo a month and operates a computerized tracking system. As reported in the Troubled Company Reporter-Asia Pacific on Dec. 14, 2021, Bloomberg News said the airline entered a court-supervised debt restructuring process after a Jakarta court on Dec. 9, 2021, accepted a debt petition filed against it. Garuda and its creditors have 45 days to complete negotiations, which can be extended to 270 days. Garuda finalized a restructuring proposal in November 2021 and is in discussion with creditors and lessors to reduce its liabilities to US$3.7 billion, from US$9.8 billion, Kartika Wirjoatmodjo, a deputy at Indonesia's state-owned enterprises ministry, told a parliamentary hearing. ========= J A P A N ========= KRAKEN: To Stop Operations in Japan ----------------------------------- Reuters reports that U.S.-based crypto exchange Kraken said on Dec. 28 it would cease its operations in Japan next month, citing the current market conditions in the country and a weak crypto market globally. Reuters relates that Kraken will deregister from the Financial Services Agency (JFSA) as of Jan. 31, by which time clients would have to withdraw their fiat and crypto holdings, it said in a statement. According to Reuters, Kraken said it is fully funded to ensure that all affected clients could withdraw their assets in a timely manner. Last month, Kraken said it would reduce its workforce by 30%, or about 1,100 employees, as tough market conditions had crippled demand for digital assets. Bitcoin, the pre-eminent cryptocurrency, has lost 60% of its value this year, while the wider crypto market has shrunk by $1.4 trillion, squashed by the collapse of Sam Bankman-Fried's FTX empire, Celsius and supposed 'stablecoins' terraUSD and Luna, the report notes. =============== P A K I S T A N =============== PAKISTAN: Head Towards Bankruptcy Due to Spending Spree ------------------------------------------------------- The Print, citing the Financial Post, reports that with the economy in shambles and people in dire straits, bankruptcy stares Pakistan in the face as it is hit by useless spending. All is not well with the employees of Pakistani Missions in foreign countries, as payment of salaries has been pending for the past four months, The Print relays. Despite letters elaborating their hardship to the Foreign Ministry, nothing has been forthcoming so far. Funds to the tune of USD5 million are yet to be released. No solution is in sight, even as the matter was taken to the Finance Ministry. The reason is shortage of foreign exchange. Similarly, the Balochistan government has communicated its inability to pay salaries for January 2022 in the event of the Centre not releasing the province's share under the National Finance Commission Award (NFC), The Print relays. Out of PKR131 billion that Balochistan was supposed to obtain from the federal resources under the NFC Award from July to November this year, only PKR101 billion has been given. The Print relates that the same was the case with Gilgit-Baltistan, Khyber Pakhtunkhwa and Pakistan-occupied Kashmir (PoK). However, Pakistan's commitment to contribute USD3,000 to the total of USD75,000, earmarked by the Pakistan Mission in Ankara, Turkey, was hardly marred by the concerns of fund crunch. This was because the conference, slated for the second week of December 2022, was themed around Kashmir. This apart, about USD41,500 was allocated for spending towards organizing Kashmir Black Day on October 27 this year across its foreign missions, according to the Financial Post. About Pakistan Pakistan is a country located in South Asia. It has a coastline along the Arabia Sea and the Gulf of Oman and is bordered by Afghanistan, China, India, and Iran. Pakistan's capital is Islamabad. As reported in the Troubled Company Reporter-Asia Pacific on Dec. 27, 2022, S&P Global Ratings lowered its long-term sovereign credit rating on Pakistan to 'CCC+' from 'B-', and the short-term rating to 'C' from 'B'. The outlook on the long-term rating is stable. S&P also lowered its long-term issue rating on Pakistan's senior unsecured notes to 'CCC+' from 'B-'. The TCR-AP reported in October 2022, Fitch Ratings has downgraded Pakistan's Long-Term Foreign-Currency Issuer Default Rating (IDR) to 'CCC+' from 'B-'. Fitch typically does not assign Outlooks to sovereigns with a rating of 'CCC+' or below. ================= S I N G A P O R E ================= DELTA OFFSHORE: Court to Hear Judicial Management Bid on Jan. 5 --------------------------------------------------------------- A petition to place the operations of Delta Offshore Energy Pte Ltd under Judicial Management will be heard before the High Court of Singapore on Jan. 5, 2023, at 2:30 p.m. The application to place the company under Judicial Management was filed on Dec. 13, 2022. Patrick Bance and Jason Aleksander Kardachi of Kroll Pte. Limited have been nominated as the Judicial Manager. EZION OFFSHORE: First Creditors' Meeting Set for Jan. 19 -------------------------------------------------------- A first meeting of the creditors in the proceedings of Ezion Offshore Logistics Hub Pte Ltd will be held on Jan. 19, 2023. Messrs. Tan Wei Cheong and Lim Loo Khoon on Dec. 22, 2022, were appointed as provisional liquidators of the company. MODERN ACCESS: First Creditors' Meeting Set for Jan. 19 ------------------------------------------------------- A first meeting of the creditors in the proceedings of Modern Access Services Singapore Pte Ltd will be held on Jan. 19, 2023. Messrs. Tan Wei Cheong and Lim Loo Khoon on Dec. 22, 2022, were appointed as provisional liquidators of the company. NOVENA GLOBAL: Nelson Loh Arrested After 2 Years on the Run ----------------------------------------------------------- The Business Times reports that Nelson Loh, co-founder of Novena Global Healthcare Group (NGHG), and his employee Michael Wong have been arrested and charged, the police said on Dec. 26. BT relates that the two men, both 43 and Singapore citizens, were charged in court on Dec. 26. Loh had been a director at NGHG and its related companies, while Wong, also known as Wong Soon Yuh, was an employee of the group who worked closely with him. Both Loh and Wong are being remanded at the Police Cantonment Complex. The next mention of their cases is on Dec. 30, BT says. They left Singapore in early September 2020 and had been wanted by the police for the last two years. Within days of their departure, the police received a report that signatures of accounting firm Ernst & Young (EY) had been forged on some of NGHG's financial statements, BT relates. A warrant of arrest and an Interpol Red Notice were later issued against each of them. According to Interpol's website, the notice requests law enforcement units worldwide to locate and provisionally arrest a person pending extradition, surrender or other legal action. BT relates that the police said: "With the cooperation and assistance of our foreign counterparts in the People's Republic of China, the two men returned to Singapore on Dec 24 and were arrested by the Commercial Affairs Department (CAD) on the same day." Both men, who are facing two counts of forgery offences each, allegedly forged financial statements of NGHG in 2019, and used them to obtain bank loans amounting to SGD18 million. BT, citing charge sheets, notes that around July 2019, Loh allegedly affixed EY's electronic signature on NGHG's financial statements for its 2018 financial year with the intention of using these documents to cheat Standard Chartered Bank into disbursing loans to the company. He allegedly did this again around October 2019, this time to cheat Maybank Singapore. On both occasions, Wong allegedly submitted these documents to Standard Chartered Bank and Maybank Singapore, thus cheating the banks of disbursing loans of SGD15 million and SGD3 million respectively to Novena Global Healthcare, a subsidiary of NGHG. If convicted, they can be jailed for up to 10 years, and fined. Further investigations are ongoing, the report states. BT relates that David Chew, director of CAD, said China's Ministry of Public Security helped to bring the two men back to Singapore. He added: "The police will do whatever is necessary and legally permissible to detain and repatriate individuals hiding overseas, to face justice in Singapore. We will work with Interpol and our wide network of overseas law enforcement partners to locate persons who commit crimes in Singapore and attempt to evade justice by fleeing abroad." NGHG was set up by Loh and his cousin Terence Loh. Several other companies, including Novena Global Healthcare, linked to the two were earlier reported to be facing enforcement action from the Accounting and Corporate Regulatory Authority for failing to file annual returns, BT relays. According to BT, the cousins first made headlines in 2020 for their GBP280 million (SGD457 million) takeover bid for English Premier League club Newcastle United. The bid was made under the Bellagraph Nova Group (BN Group), which they founded with Chinese entrepreneur Evangeline Shen in July 2020. In October 2020, after news of the alleged forgery broke, the two cousins legally separated their business interests. Under the separation agreement, Nelson Loh will have to transfer all the shares he owns in three corporate entities – NGHG and all its subsidiaries, Singapore-registered Dorr Global Healthcare International and Singapore-registered Rock Star Advisors – to Terence Loh for SGD1. Nelson Loh will also resign as director of these three entities. Terence Loh will transfer all the shares he owns in Singapore-registered BN Group to Nelson Loh for SGD1 and resign as its director. About Novena Global Singapore-based Novena Global Healthcare Pte. Ltd. provides management consultancy services to the health care organizations. As reported in the Troubled Company Reporter-Asia Pacific on Dec. 14, 2020, Singapore's High Court on Dec. 11, 2020, granted an application from DBS Bank to wind up Novena Global Healthcare Group (NGPL). Meanwhile, its subsidiary Novu Fasthetics (NOVU) said in a statement on Dec. 11 that operations will continue as usual, and that several parties have expressed interest in acquiring part or all of NOVU's businesses, according to The Business Times. RSM, which has been appointed the liquidator, confirmed that the winding up order granted by the court relates only to NGPL and not other entities or subsidiaries. TECHNOBUILT CONSTRUCTION: Court Enters Wind-Up Order ---------------------------------------------------- The High Court of Singapore entered an order on Dec. 16, 2022, to wind up the operations of Technobuilt Construction & Engineering Pte. Ltd. Housing & Development Board filed the petition against the company. The company's liquidators are: Goh Yeow Kiang Victor Khor Boon Hong Baker Tilly TFW LLP 600 North Bridge Road #05-01 Parkview Square Singapore 188778 VISIONAIRS IN ART: Court Enters Wind-Up Order --------------------------------------------- The High Court of Singapore entered an order on Dec. 16, 2022, to wind up the operations of Visionairs In Art Pte. Ltd. MHCR Digital Limited filed the petition against the company. The company's liquidators are: Cameron Lindsay Duncan David Dong-Won Kim c/o KordaMentha Pte Ltd 16 Collyer Quay #30-01 Singapore 049318 [*] SINGAPORE: More Applying for Personal Bankruptcy Protection --------------------------------------------------------------- Channel News Asia reports that more people in Singapore are applying for bankruptcy protection, with the number of applications up to this November already exceeding last year's total. The total of 3,380 people who have applied for bankruptcy protection so far this year, is more than each of the past two pandemic-stricken years. However, the number remains below the level observed in 2019, before the onset of the pandemic, CNA relates. Once bankruptcy protection is granted, any legal action against the bankrupt may not proceed. Their debts are also frozen and cannot accumulate. However, monthly repayments determined by an Official Assignee or private trustee, must still be made by the bankrupt individual. CNA says the Official Assignee is a public servant and an officer of the Court, while a private trustee is nominated by the applicant creditor or debtor and approved by the Court. Both serve the same functions in administering the estate of the bankrupt. The growing number of bankrupts in Singapore is due to a confluence of many factors, according to analysts. According to CNA, Professor Lawrence Loh, director of the Centre for Governance & Sustainability at the National University of Singapore Business School, noted the world is just emerging from the COVID-19 pandemic, so there is the "cumulative effect of the slowdown and many of the support measures ending". "At the same time, the bigger problem is actually on the global front, where there are some indications of slowdown, including even inflation that leads to interest rate rises, so all this collectively adds to the challenges," he said. The bulk of the bankruptcy applications are made up of small and medium-sized business owners, according to Mr Anand George, partner at IRB Law. His law firm handles about 50 bankruptcy cases at any one time. He said that certain businesses, like those in the food and beverage (F&B) industry, were severely impacted by the pandemic, but as there was a moratorium in place, no bankruptcy applications could be taken out, CAN relays. "I think some businesses tried to refinance the loans, or they would have attempted to stave off bankruptcy during that period," said Mr. George. "But they already had a business model that was unsustainable. So then what happened was after the moratorium was lifted, there was an increase in bankruptcy applications." According to the report, data from the Ministry of Law also showed that people are now having a more difficult time paying off their existing debt. Fewer than 1,000 people have been discharged from bankruptcy so far this year, which means the debt has been fully paid or that creditors have accepted the offer of a settlement, CNA discloses. Mr. George said that factors deciding whether or not a bankrupt is discharged include the individual's employment status and the state of his personal financial circumstances. "I think what is also equally relevant, is the size of debt that we are talking about at the time in which that individual was made bankrupt. Of course if the debts are larger, it takes a longer time before a bankruptcy discharge order is given," he said. ********* 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. Marites O. Claro, Joy A. Agravante, Rousel Elaine T. Fernandez, Julie Anne L. Toledo, Ivy B. Magdadaro and Peter A. Chapman, Editors. Copyright 2022. 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. *** End of Transmission ***