* The issuer did not co-operate; based on best available information.
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
Rating Rationale
Acuite has downgraded its long-term rating to 'ACUITE D' (read as ACUITE D) from 'ACUITE C' (read as ACUITE C)on the Rs 5.00 Cr. bank facilities of Jagannath Plastipacks Limited (JPL), on account of information risk.
The rating continues to be flagged as “Issuer Not-Cooperating” and is based on the best available information.
Rationale for Downgrade
The rating downgraded is based on the feedback from lender wherein the lender highlighted past delays and default in servicing of debt by Jagannath Polypacks Limited, Jagannath Polymers Limited and Jagannath Plastipacks Limited (together referred as Jagannath Group). The bank has consequently issued sale notice and initiated recovery proceedings under SARFAESI Act (Section 13(4)), taking possession of the mortgaged immovable property of Jagannath Polypacks Limited & Jagannath Polymers Limited. Further, Jagannath Plastipacks Limited in the capacity of a guarantor, failed to pay the due of the principal and interest.
About the Company
Jagannath Plastipacks Limited (JPL) was established in the year of 1984 by Mr. Manoj Kumar Subudhi and Mr. Saroj Kumar Subidhi. The company is engaged in manufacturing Polypropylene and HDPE woven sacks and bags. The manufacturing facility is located in Cuttack, district of Orissa.
About the Group
Jagannath Polypacks Limited (JPL) was established in the year of 2007 by Mr. Manoj Kumar Subudhi and Mr. Saroj Kumar Subidhi. The company is engaged in manufacturing Polypropylene and HDPE woven sacks and bags.The manufacturing facility is located in Cuttack, district of Orissa.
Jagannath Polymers Limited (JPL) was established in the year 1996 by Mr. Manoj Kumar Subudhi and Mr. Saroj Kumar Subudhi. The company is engaged in manufacturing Polypropylene and HDPE woven sacks and bags. The manufacturing facility is located in Cuttack, Orissa.
Unsupported Rating
Not Applicable
Non-cooperation by the issuer/borrower:
Acuité has been requesting for data, information and undertakings from the rated entity for conducting surveillance & review of the rating. However, the issuer/borrower failed to submit such information before the due date.
Acuité believes that information risk is a critical component in such ratings, and non-cooperation by the issuer along with unwillingness to provide information could be a sign of potential deterioration in its overall credit quality.
This rating is, therefore, being flagged as “Issuer not-cooperating”, in line with prevailing SEBI regulations and Acuité’s policies
Limitation regarding information availability
Rating Sensitivity
Potential triggers (individual or collective) for an upward rating action:
"No information provided by the issuer / available for Acuite to comment upon."
Potential triggers (individual or collective) for a downward rating action:
Not Applicable
Liquidity Position
"No information provided by the issuer / available for Acuite to comment upon."
* The issuer did not co-operate; based on best available information.
Lender’s Name
ISIN
Facilities
Listing Status
Regulated By
Date Of Issuance
Coupon Rate
Maturity Date
Quantum (Rs. Cr.)
Complexity Level
Rating
Canara Bank
Not avl. / Not appl.
Cash Credit
Unlisted
RBI
Not avl. / Not appl.
Not avl. / Not appl.
Not avl. / Not appl.
5.00
Simple
ACUITE D | Downgraded | Issuer not co-operating* ( from ACUITE C )
* The issuer did not co-operate; based on best available information.
Note:- For activities or ratings of instruments falling under the purview of Financial Sector Regulators other than SEBI, the grievance / dispute redressal mechanisms and investor protection mechanisms provided by SEBI shall not be available.
*Annexure 2 - List of Entities (applicable for Consolidation or Parent / Group / Govt. Support)
