PUNJAB NATIONAL BANK

REQUEST FOR PROPOSAL (RFP) FOR RATE APPROVAL

FOR

SUPPLY, INSTALLATION, TRAINING, COMMISSIONING,

AND MAINTENANCE OF NOTE SORTING MACHINES

(MODEL 8+1, 4+1, 3+1, 2+1 AND 1+1 POCKETS)

Government Business Division,

Rajendra Bhawan,
Rajendra Place,
New Delhi-110008

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 Punjab National Bank

Government Business Division

2 nd Floor, HO : Rajendra Bhawan
Rajendra Place, New Delhi 110008

INTERPRETATION : In construing these conditions, the

specifications, and Agreement, the following words shall have the
meaning herein assigned to them except where the subject or context
otherwise requires;

i. Bank, PNB means Punjab National Bank.

ii. RFP means this RFP document.

iii. Purchaser: The term shall denote P u n j a b N a ti o n a l Bank.

iv. Bidder the term shall mean (Name & address

of the Bidder) and their heirs, legal representatives, assigns and
successors.

v. Supply/ Work shall mean the work or works to be done under

this contract, as detailed in the Scope of Work.

vi. Recipient, Respondent and Bidder means Respondent to the

RFP document.

vii. OEMs means Original Equipment Manufacturers.

viii. Tender means RFP Response documents prepared b y the Bidder

and submitted to Punjab National Bank.

ix. Term of the Onsite Warranty / A M C shall reckon from the date of
successful installation

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 Page No.
1. Notice inviting RFP 1-2
2. DATA sheet .. 3-6
3. Introduction and instructions to the Bidders 7-19
4. Terms and conditions - ANNEXURE I 20-33
-Matrix for Stress Test 34-35
-Guidelines on Note Authentication and fitness parameters. 36-39
-Test Procedure 40-41
-Tender Offer 42-43
5. Pre-qualification criteria for bidder - ANNEXURE II 44-45
6. Technical Bid NSM 8 + 1 - ANNEXURE III A 46-48
7. Technical Bid NSM 4+ 1 - ANNEXURE III B 49-51
8. Technical Bid NSM 3 + 1 - ANNEXURE III C 52-54
9. Technical Bid NSM 2 + 1 - ANNEXURE III D 55-57
10. Technical Bid NSM 1 + 1 - ANNEXURE III E 58-60
11. Details of the Bidder - - ANNEXURE IV 61-62
12. Compliance Statement - ANNEXURE V 63
13. - Service Support Details - ANNEXURE VI 64
14. - Performance Statement - ANNEXURE VII 65
15. Manufacturers Authorization Form - ANNEXURE VIII 66
16. Letter of Authorization to Bid - ANNEXURE IX 67
ANNE
17.
ANNE Agreement Format - ANNEXURE X 68-69
18.
XURE Format of Bank Guarantee in lieu of EMD - ANNEXURE XI 70-72
19.
XURE Format of Bank Guarantee for Performance Guarantee ANNEXURE XII 73-76
20.
IV Format of Annual Maintenance Contract - ANNEXURE XIII . 77-79
21.
VI Format of Bank Guarantee for AMC ANNEXURE XIV 80
22. Format of Integrity Agreement to be executed between the Bank and the 81-87

bidder Annexure -X V
23. Commercial Indicative Price Bid ANNEXURRE XVI - A 88
24. Commercial Indicative Price Bid - ANNEXURRE XVI - B 89
25. Commercial Indicative Price Bid - ANNEXURRE XVI - C 90
26. Commercial Indicative Price Bid - ANNEXURRE XVI - D 91
27. Commercial Indicative Price Bid - ANNEXURRE XVI - E 92

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General Details :
1. RFP Reference No HO GBD/Tender/01/NSM-2015-16
2. Date of commencement of 06-06-2016
Bidding Process.

3. Last date and time for 27-06-2016 up to 1600 hrs

downloading of Bidding
Documents

4. Last date and time for receipt of 13-06-2016 up to 1700 hrs

queries

5. Pre Bid Meeting for bidders only 20-06-2016 from 1100 hrs at PNB HO,
2nd Floor, Conference Hall,
Government Business Division,
Rajendra Bhawan, Rajendra Place,
New Delhi-110008
6. Last date and time for Hash 27-06-2016 up to 1600 hrs
submission

7. Last date and time for online bid 28-06-2016 up to 1400 hrs
submission

8. Place of opening of Technical PNB HO, 2nd Floor, Conference Hall,

Bids Government Business Division,
Rajendra Bhawan, Rajendra Place,
New Delhi-110008

9. Address for communication PNB HO, 2nd Floor, Conference Hall,

Government Business Division,
Rajendra Bhawan,
Rajendra Place,
New Delhi-110008

10. Cost of RFP Rs.10,000/- (Non refundable) should be submitted

online only in favour of Punjab National Bank before
last date of bid submission in the following account:

IFSC Code : PUNB0152200

Bank & Branch : Punjab National Bank,
Rajendra Place, New Delhi -110 008

Account No. 1522002200000071 ( 16 digits)

Imprest account HO , Govt. Business Division

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11. Earnest Money Deposit (EMD) EMD as mentioned under Para 15 , Page 11 should be
submitted online before last date of bid submission or
in the form of Bank Guarantee (BG) in favour of Punjab
National Bank, GBD, HO: New Delhi. BG should be
valid for one year

IFSC Code : PUNB0152200

Bank & Branch : Punjab National Bank,
Rajendra Place, New Delhi -110 008

Account No. 1522002200000071 ( 16 digits)

Imprest account HO , Govt. Business Division

In case of unsuccessful bidder, EMD will be returned

after completion of the bid process (without interest).

12. Contact to Bidders
Interested Bidders are requested to send the e-mail to
hogbdcurch@pnb.co.in, rkkhichi@pnb.co.in and
prannath@pnb.co.in containing following information,
so that in case of any clarification same may be issued
to them. Name of company, contact person, mailing
address with Pin Code, Telephone No., Fax No., e-mail
address, Mobile No. etc.

Note:
1) Technical Bids will be opened online as well as in physical form but Commercial bid
will be opened online only; Bidders may view the details through their terminal using their e-
procurement [https://pnbindia.biz] registration login.

2) Vendors, who have not registered earlier with e-procurement site, would have to
register with our e-procurement site.

3) All the technical supporting documents should be given in physical form only.

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To,

The Chief Manager,

Government Business Division
PNB HO, 2nd Floor, Rajendra Bhawan,
Rajendra Place,
New Delhi-110008.

Sir,

Reg.: Our bid for SUPPLY, INSTALLATION, TRAINING, COMMISSIONING, AND

MAINTENANCE OF NOTE SORTING MACHINES (MODEL 8+1, 4+1, 3+1, 2+1 AND 1+1
POCKETS)

We submit our Bid Documents here with.

We understand that
You are not bound to accept the lowest or any bid received by you, and you may
reject all or any bid.

If our Bid for the above job is accepted, we undertake to enter into and execute at our
cost, when called upon by the purchaser to do so, a contract in the prescribed form. Till such
a formal contract is prepared and executed, this bid shall constitute a binding contract
between us and bank.
If our bid is accepted, we are responsible for the due performance of the contract.

You may accept or entrust the entire work to one Bidder or divide the work to more
than one bidder without assigning any reason or giving any explanation whatsoever.
Bidder means the vendor who is decided and declared so after examination of
commercial bids.
The names of shortlisted bidders after the completion of first stage (Technical Bid),
and the same of successful bidder(s) to whom the contract is finally awarded after the
completion of second stage (Commercial Bid), shall be displayed on the Notice Board of the
purchaser at Punjab National Bank, Head Office Government Business Division, 2nd Floor,
Rajendra Bhawan, New Delhi-110008

Dated at ____________this _______________ day of __________ 2016

Yours Sincerely
For ______________________

Signature: _______________
Name: ___________________

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 INSTRUCTIONS TO BIDDERS

1. INTRODUCTION
Punjab National Bank is one of the largest public sector banks with more than 6900
Branches/Offices geographically located all across India. The Bank is fully computerized and
networked in order to achieve the effective and efficient customer services and Back office
operations. Bank invites technically complete and commercially competitive proposals from
reputed manufactures/authorized representatives for Supply, Installation, Commissioning
and Maintenance of Note Sorting Machines, in its offices spread all across the country.

This invitation of Bids is open to all Original Equipment Manufacturers (OEMs) having
presence in India or their Authorized Representative in India, provided firms fulfill the
minimum qualification criteria as mentioned in bid document (Annexure-II). In case of
authorized representative a letter of authorization to this effect from OEM must be furnished.
Joint bid will not be accepted by Bank. One OEM/authorized distributor should not
quote same model/product. One OEM should be represented by one representative
only.

The estimated tentative requirement of items for the year will be as under:
I. Note Sorting Machines (8+1 pockets) 25
II. Note Sorting Machines (4+1 pockets) 125
III. Note Sorting Machines (3+1 pockets) 200
IV. Note Sorting Machines (2+1 pockets) 500
V. Note Sorting Machines (1+1 pockets) 1400

The above requirements are indicative and may vary as per actual needs.
In addition to the above requirements, the bank may at its discretion called upon the
selected bidder(s) to supply the machines to Banks subsidiaries and sponsored RRBs at
the same rate for which they would be required to enter into separate rate contract with
them.

GENERAL TERMS & CONDITIONS AND INSTRUCTIONS TO BIDDERS

This Request for proposal is for supply, installation, commissioning and
maintenance of following Note Sorting Machines as per the specification given in Technical
Specifications (1 to 5) attached, from the manufacturers / authorized dealers /distributors who
satisfy the Eligibility Criteria

(a) Note Sorting Machines (8+1 pockets), (b) Note Sorting Machines (4+1 pockets), (c)
Note Sorting Machines (3+1 pockets) (d) Note Sorting Machines (2+1 pockets), (e) Note
Sorting Machines (1+1 pockets)

This RFP is being issued for the requirements of Note Sorting Machines of various
Currency Chests/ Branches of the Punjab National Bank. The order for each type of
Machine may be split at the sole discretion of the Bank between L1, L2 and L3
bidders in the ratio of 50%, 30% and 20% respectively, provided L2 and L3 bidders match
the L1 price.
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In case the L2/L3 bidder does not / cannot match the prices with the L1 bidder, under the
RFP there shall be an option to make an offer to L4 bidder and so on and so forth for
matching the L1 price . In case only L2 bidder match the L1 price, the order shall be split in
the ratio of 60% and 40%. Further, if no other bidder matches the prices of L1 bidder, bank
may award 100% orders to L1bidder.

2. MINIMUM ELIGIBILITY CRITERIA:

AS PER ANNEXURE - II

3. AUTHORIZATION TO BID

If the Bidder is not the Original Equipment Manufacturer (OEM) but only an authorized
dealer/authorized distributor, it should have a valid authorization letter from the OEM to
deal/market the machine in India. (Either OEM or its one Authorized Dealer/Authorized
Distributor can only participate in the bid. If there are more than one dealers supplying
similar equipment of the same OEM, their bids will not be considered). One dealer cannot
bid on behalf of multiple suppliers.

The Bidder should enclose proof in support of all Eligibility Criteria while submitting the
Bid Proposals. The bidder applying for more than one category of machines need
to submit financials / proofs one time only. Bidders not meeting the eligibility criteria
and/or not submitting proof of the same will not be considered for further Technical
Evaluation and the Bid may be considered as technically non-responsive. Bank will not
entertain any correspondence on this issue and Banks decision will be final.

Bidders shall submit fully completed bids in respect of all relevant particulars with
complete details. Incomplete bids are liable to be rejected. Separate bid to be submitted for
each category of NSM.

4. SCOPE OF WORK :

i) The work is supply, installation, testing, commissioning , maintenance & up gradation

of Note Sorting Machines, as detailed elsewhere, in this RFP document, with comprehensive
all inclusive onsite warranty of 36 months and comprehensive maintenance for a further
period of 4 years. The machines are to be supplied to various branches/Currency Chests
of the Bank in various locations in India. The scope also includes supplying of
accessories as specified and training of Banks staff in operation of the machines.

ii) NSM offered should have minimum specification as under:

- Processing speed as mentioned in Technical Specification (Annexure III)

- Feeding capacity as mentioned in Technical Specification (Annexure III)
- Printer interface facility
- Fitness sorting issuable, non issuable, ATM fit notes etc. as per RBI specifications.
- 100% rejection / identification of suspected , counterfeit, damaged or unfit bank notes.
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- Currency adoption
- Easy and rapid upgradable software to comply with RBI norms regarding checking of
authenticity of notes.
- Approval GE tested / CE Mark
- Imaged based technology State of art user interface, simplified operation using self
explanatory language/simple
- Capturing series and serial number of notes by scanning images from both side i.e.
front and back.
- Elegant and robust design capable of functioning in dusty, heat and humid condition.
- NSMs to be so designed so as to prevent entering of rodent or such other objects into
machine.
- Sorting by first note recognition/orientation sorting.
- The bid shall be treated as technically disqualified for any of the following reasons:-

a) Machine not able to detect counterfeit note as suspect.

b) Machine fails to achieve minimum speed as stipulated in RFP.
c) Machine not having minimum Feeder / Hooper capacity.

5. COST OF BIDDING:

The Bidder shall bear all the costs associated with the preparation and submission of its bid
and Punjab National Bank, hereinafter referred to as the Bank will in no case be responsible
or liable for these costs, regardless of the conduct or outcome of the bidding process.

6. BIDDING DOCUMENT:

The Bidder is expected to examine all instructions, forms, terms and conditions and
technical specifications in the Bidding Documents. Failure to furnish all information required
by the Bidding Documents or submission of a bid not substantially responsive to the Bidding
Documents in every respect will be at the Bidders risk and may result in the rejection of its
bid. Bidder should strictly submit the bid as per RFP failing which the bid will be rejected as
non-responsive

7. AMENDMENT OF BIDDING DOCUMENTS

At any time prior to the deadline for submission of bids, the Bank may, for any reason,
modify the Bidding Documents through amendments at the sole discretion of the Bank.
Amendments if any, shall be placed on the website of the bank and the same shall be
binding on bidders. In order to provide prospective bidders a reasonable time to take the
amendments into account in preparing their bid, the Bank may, at its discretion, extend the
deadline for submission of bids.

8. CONTACTING THE BANK

Any effort by a bidder to influence the Bank in evaluation of the bid, bid comparison or
contract award decision may result in the rejection of the bid. Bank's decision will be final
and without prejudice and will be binding on all the parties
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9. BANKS RIGHT TO ACCEPT OR REJECT ANY BID OR ALLBIDS
The Bank reserves the right to accept or reject any bid and annul the bidding process or
even reject all bids at any time prior to award of the contract, without thereby incurring any
liability to the affected bidder or bidders or without any obligation to inform the affected
bidder or bidders about the grounds for the Banks action. The Bank reserves the right to
accept or reject any technology proposed by the bidder. The Bank reserves the right to
select more than one Bidder keeping in view its large requirements.

10. MODIFICATION AND WITHDRAWAL

Bids once submitted will be treated, as final and no further correspondence will be
entertained on this. No bid will allowed to be modified after the submission of bid. No bidder
shall be allowed to withdraw the bid, if bidder happens to be successful bidder.

In case of withdrawal / modification of bid, the EMD amount shall be forfeited.

11. REVELATION OF PRICES

The prices in any form or by any reasons should not be disclosed in the technical or other
parts of the bid except in the commercial bid. Failure to do so will make the bid liable to be
rejected.

12. TERMS AND CONDITIONS OF THE BIDDING FIRMS

The bidding firms are not allowed to impose their own terms and conditions to the bid and if
submitted will not be considered as forming part of their bids. Bidder has to strictly comply
with the terms and conditions mentioned in the RFP.

13. LOCAL CONDITIONS

The bidder must acquaint himself with the local conditions and factors, which may have any
effect on the performance of the contract and / or the cost.

14. CLARIFICATIONS OF BIDS

To assist in the examination, evaluation and comparison of bids the bank may, at its
discretion, ask the bidder for clarification. The response should be in writing and no change
in the price or substance of the bid shall be sought, offered or permitted.

15. BID EARNEST MONEY

Each Bid should be accompanied with EMD as per details appended below :-

Type of NSM Amt. of EMD

1+1 Rs.45 lakh
2+1 Rs.40 lakh
3+1 Rs.40 lakh
4+1 Rs.45 lakh
8+1 Rs.15 lakh

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In case a bidder intends to submit bids for 2 or more types of NSMs, EMD shall be
submitted separately for each category of NSMs. To quote, bidder submitting bids for NSM
1+1 and 2+1 shall have to submit EMD of Rs.85 lakh i.e. Rs.45 lakh + Rs.40 lakh and so on.

Amount of EMD may be deposited in online Mode or Bank Guarantee for a period of 1 year
from the last date of bid submission. Bids received without EMD shall be summarily rejected.
EMD of un-successful bidders will be returned without any interest on completion of rate
approval process whereas EMD of successful bidder to be retained till one year.
.
16. VALIDITY OF BID
Bid shall be valid for a period of six months which may be extended for further period of
three months at the sole discretion of the Bank.

17. VALIDITY PERIOD OF OFFER

The rates approved will be valid for a period of one year from the date of rate approval which
may be extended up to 2 years subject to annual review. The Bank, however, reserves the
right to call for fresh quotes from Bidders after one year, if considered necessary.

18. DEADLINE FOR SUBMISSION OF BIDS

Bids must be submitted not later than the specified date and time mentioned in the Bid
Document. If specified date of submission of bids being declared a holiday for the Bank, the
bids will be received up to the specified time in the next working day. The Bank may, at its
discretion, extend this deadline for submission of bids by amending the bid documents, in
which case all rights and obligations of the Bank and bidders, previously subject to the
deadline, will thereafter be subject to the deadline extended. All the correspondence/bid
should be addressed to Bank at the following address:

The Chief Manager

Punjab National Bank, Head Office
2nd Floor, Government Business
Division, Rajendra Bhawan,
Rajendra Place, New Delhi-110 008.

19. LATE BIDS

Any bid received by the Bank after the deadline for submission of bid will be rejected.

20. RELIABILITY

Since the equipment shall be installed at critical sites, the equipment so offered should be
robust and reliable.

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21. BID CURRENCY AND PRICES:

The offer must be in Indian Rupees only and the price shall be firm and binding without
any escalation whatsoever. However, AMC charges shall be quoted exclusive of Service
Tax. Service tax on AMC will be paid separately at the prevailing rate on half yearly basis in
advance, during the period of AMC.

VAT, Service Tax, octroi will be payable actual on production of documentary evidence of
payment, wherever applicable.

The bidder should clearly provide the goods/ cost component on which VAT will be
applicable and the service component on which Service Tax will be applicable. Both VAT
and Service tax will not be payable for the same amount/ component

Price is not subject to fluctuation of the rupee against foreign currencies or for any
other reason(s). The price shall remain firm throughout the period of this contract.

Price quoted shall remain firm for acceptance during the validity period stated in the
General Information and Instructions to Bidders.

Escalation in price / Fall Clause

No escalation is permitted for a period of two years. If the selected Bidder reduces its price
or sells or offers to sell the rate contracted goods under similar items and conditions as in
the rate contract, at a price lower than the rate contracted price to any person or
organization during the currency of the rate contract, the rate contract price will be
automatically reduced for all subsequent supplies under the rate contract, with effect from
the date from which such offer or sale was made to the outsider and the rate contract will
be stand amended accordingly.

22. SERVICE NETWORK:

Latest details regarding the service centres throughout the country should be furnished, as
per Annexure VI, along with the technical bid in terms of:

Status of bidders office, whether own or franchisee, etc.

No. of persons/engineers working at the office.
No. of systems, sites being handled at present by the office
Names of contact persons, addresses and telephone nos.

Bidder should have service centres at all major locations across the country covering all the
branches/currency chests of the bank. At least one service centre should be located in each
State. In case, bidder is not having service centre at any place which can cover Circle
Offices of the bank, they have to submit an undertaking that they will open service centre at
that centre within 30 days of award of contract.

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If the Bidder is not the manufacturer or producer, the Bidder should produce a
certificate as per the format (Manufacturers Authorization form Annexure VIII) that they
have been duly authorized by the goods' manufacturer or producer to supply the goods and
assuring full guarantee and onsite warranty obligations. If proposals are submitted through
the business partners or authorized distributors etc., a separate "LETTER OF
AUTHORISATION TO BID" on behalf of the main bidder/s should be enclosed along with
the technical bid. Proposals received without the authorization letter/s will summarily be
rejected. However, the bidder should confirm that they have a national presence to extend
support for the systems supplied and also submit a list of such service support centers.

23. LANGUAGE OF BID

The bids prepared by the bidder and all correspondence and document relating to the bids
exchanged by the bidder and Bank, shall be written in English.

24. AUTHORITY TO SUBMIT BIDS:

a) Only authorized O f f i c i a l of the firm or organization should sign the BID. The
letter should also indicate the complete name and designation of the designated
Official. Necessary Board resolution, authority and Power of Attorney, wherever
applicable, shall be enclosed. In case the principal bidders authorize their business
partners or authorized distributors to bid on their behalf, a separate authorization
letter as per format (Letter of Authorization to bid) enclosed, along with a
commitment to fulfill the terms of tender should be submitted. The certified photocopy of
Board Resolutions, Authority, Power of Attorney having authority to authorize the person
to submit Bid documents on behalf of the company shall be enclosed.

b) One firm or organization cannot quote on behalf of multiple OEMs. Similarly one OEM
cannot authorize more than one dealer / distributor. Such cases, if found shall not be
considered. The Indian Agent on behalf of the OEM of foreign origin can bid in a tender but
not both for the same model/product.

25. SUBMISSION OF BIDS

The bidders shall duly complete the formats of Technical Bid and Commercial Bid and the
same will be submitted online through our e-Procurement System using their Digital
Signature (both signing & encryption) at website https://pnbindia.biz. The bid Submitted by
the bidder using Digital Certificate is binding on the bidder to the contract.

Bidders are required to also submit the attested true copies of technical supporting
documents in physical form duly in sealed cover on or before date and time of bid
submission. In case of any variation between physical bid and on-line bid, the
contents in the on-line bid shall be valid and acceptable.

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26. DOCUMENTS TO BE SUBMITTED WITH BIDS :

Documents required in Technical Bid :

S.No. Title Document Remarks

i. Bid Document To be signed by the authorized signatory duly
supported by copy of necessary Board resolution and
Power of Attorney, wherever applicable. Letter of
authorization to bid to be submitted as per Annexure IX
by OEM.

ii. Cost of Bid Rs.10,000/- (Rupees Ten Thousands only) towards the
Document cost of bid document, downloaded from website to be
deposited in banks account (IFSC Code :
PUNB0152200, Bank & Branch : Punjab National
Bank, Rajendra Place, New Delhi -110 008 ; Account
No. 1522002200000071 ( 16 digits) ; Imprest account
HO , Govt. Business Division)

iii. EMD Irrevocable Bank Guarantee in respect of EMD (as per

details appended at Para 15 Page No.11) or amount to
be deposited in banks account as per details above.

iv. Eligibility Criteria Supporting documents in respect of Eligibility criteria

(Annexure II) as mentioned in the bid documents (Bidders applying
for more than one category of machines need to
submit one set of supporting documents like financials /
proofs etc.).

Any other document indicating the features of the

product such as user manual, technical specifications
sheets etc.

v. Service Network List of service stations located on Pan India basis

Annexure-VI.

Bidder should have service centres at all major

locations across the country covering all the
branches/currency chests of the bank. At least one
service centre should be located in each State.

In case, bidder is not having service centre at any

place which can cover Circle Offices of the bank,
they have to submit an undertaking that they will
open service centre at that centre within 30 days of
award of contract
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 vi. Financial Audited B/s and Profit & Loss account for the last FY
Statements i.e. 2012-13; 2013-14 and 2014-15 to be submitted.
vii. Installation base of Proof of purchase order / execution order to be
NSMs submitted to satisfy minimum eligibility criteria as
mentioned in Annexure II.

Bidders should quote for only time tested make and

model which is in use in India for the last one year (for
which proof shall be furnished).
viii. Authorization letter/ Pre-qualification Criteria Annexure II
Undertaking Technical Specification Annexure III
Bidder information Annexure IV
Compliance Statement Annexure V
Performance Statement Annexure VII
Manufacturer Authorization Form Annexure VIII
Incomplete bid due to any reason is liable to be rejected.

27. BIDDING PROCESS (TWO STAGES)

The response to the present tender will be submitted in two parts:

Technical bid Online and in Sealed cover

Commercial bid -----Online through banks e-procurement system

The bidders will have to submit the technical bid in banks e-procurement system as well as
in hard copy with copy of confirmation mail of online submission of bid and commercial bids
in only online form through banks e-procurement system.

i. TECHNICAL BID
The bidder will have to submit the technical supporting document in sealed envelopes, duly
super scribing RFP for supply, installation, training, commissioning, and maintenance of
Note sorting machines (model 8+1, 4+1, 3+1, 2+1 and 1+1 pockets).Technical supporting
document will also contain all the documents (including Annexure) as per RFP document. All
the Annexure should be duly signed and sealed.

TECHNICAL SUPPORTING DOCUMENTS will NOT contain any pricing or commercial

information at all. Technical supporting documents with any commercial information will be
rejected.

In the first stage, only TECHNICAL BIDs will be opened and evaluated. Only those bidders
satisfying the technical requirements as determined by the Bank and accepting the terms
and conditions of this document shall be short-listed for next stage of evaluation.

The bid shall contain no interlineations, erasures or over writing except as necessary to
correct errors made by the Bidder, in which case such corrections shall be duly confirmed
under signature/initials of the person(s) signing the bid.

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ii. COMMERCIAL BID

In the second stage, the COMMERCIAL BID of only those bidders, whose technical bids are
short listed, will be opened on Banks e-procurement portal only.
Commercial bids should be submitted in online form only through banks e-
procurement system and signed using Digital Certificate by the Bidder so as to bind
the bidder to the contract.

28. BID OPENING AND PRELIMINARY SCRUTINY:

The technical bid will be opened on 30-06-2016 at 1100 hrs, at Punjab National Bank,
Govt. Business Division, 2nd Floor, Rajendra Bhawan, Rajendra Place, New Delhi
110008 in the presence of intending bidders or their Representatives who may be deputed
to remain present at the time of bid opening. Only one Authorized Representative will
be allowed to witness the bid opening upon submitting the authorization letter
issued by the Bidder Company as well as Identity Card. The price bids of the
technically responsive bidders whose machines are found acceptable will be opened in
the presence of the bid opening committee and the date of opening of commercial
bids will be informed to the technically responsive bidders.

No offer can be modified or withdrawn by a Bidder after submission of Bid/s.

If any of the Bidders or all the Bidders, who submitted Bids are not present during
the specified date and time of opening, the Bank will proceed further with opening
of the Bids in their absence.

The Bank will scrutinize the Bid/s received to determine whether they are
complete in all respects as per the requirement of RFP and subsequent clarifications,
whether technical specifications as required to evaluate the offer has been submitted,
whether the documents have been properly signed and whether items are offered as per
this RFP requirements. Eligibility Criteria, Technical Bid submitted by the Bidder will be
evaluated based on the terms and conditions of the RFP and subsequent clarifications, if
any.

The Bank may reject any proposal not containing all the requirements called for in various
Annexures. Technical Bid must contain required/ relevant information on all the items
including optional items, if any, without fail.

Bank has the right not to entertain any correspondence on any matter relating to this RFP
like Technical responsiveness/ non-responsiveness of the Bidders etc. Banks decision will
be final in this matter.

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 29. EVALUATION AND AWARD CRITERIA

i) The bids received within the due date and time only will be considered for
evaluation.

ii) The Technical bids shall be opened and the qualifications of the bidders will be
evaluated to ensure meeting the minimum Eligibility criteria.

iii) Technical bids of the bidders who satisfy the prequalification criteria will be
evaluated for compliance of other terms and conditions and also compliance of the
machine/model offered to the technical specifications. The bidders, whose Technical bids
are found to be in order in all respects, will be advised to give a demonstration of the model
of the Note Sorting Machine offered to explain the various features listed in the
Technical Bid.

iv) The bidder has to make available the machine for conducting these tests for
which no payment will be made. These tests shall be conducted at New Delhi at a specified
Place by the Bank at a specified time in the presence of bidders representative, Banks
officials and Consultants if any appointed for conducting the tests.

v) The bidder shall handover the NSM offered to be tested in a standard

condition. Once the NSM has been handed over for test, the representative of the bidder
shall not be allowed to touch the machines in any manner over the entire period of
testing.

vi) The testing is likely to be continued for minimum 30 hours of operating time
spread over 6 days.

30. TESTING OF MACHINES

i. The detailed procedure for conducting these tests is given hereunder. Based on the
test results, the bank will shortlist machines which are considered to be suitable.

Technical bids of the bidders who satisfy the prequalification criteria & found in order in
all respects, will be advised to give a demonstration of the model of the Note
Sorting Machine offered to explain the various features listed in the Technical Bid.
The machine will be subject to the following tests:

Speed test to check the machines speed;

Authenticity check with reference to the features of genuine notes as
disclosed by the RBI to sort suspect notes;
Fitness sorting with reference to the fitness parameters laid down by RBI;
Consistency test to check the consistency of the machines performance;
Stress test to check the suitability of the machine to work continuously for long
hours.
17
 The bid shall be treated as technically disqualified for any of the following reasons.

Machine not able to detect counterfeit note as suspect

Machine fails to achieve minimum speed as stipulated in RFP
Machine not having minimum Feeder / Hooper capacity.

On the basis of performance of the machines, technical evaluation of NSMs shall be done
as per following matrix which shall be of 50 marks. Bidders shall have to secure
minimum 80% marks in Stress Test of Note Sorting Machines based on Annexure given
below. Those bidders who secure minimum 80% marks in Stress Tests of Note Sorting
Machines shall be finally considered successful in the Technical Bid and will be
considered eligible for Commercial Bidding. No weight age above cut off marks scored in
stress test shall be given in reverse auction.

ii. The decision of the Bank regarding suitability of a machine shall be final and binding on
the bidder.

iii. The price bids of only the successfully qualified bidders whose Technical bids and
machines are found acceptable will be opened subsequently on the date that will be
conveyed to them.

iv. Bank will select L1, L2 and L3 bidder based on their performance, price and availability of
service location.

31. Procedure for finalizing L1/L2/L3 Vendor:

a) REVERSE AUCTION: Bank may hold Reverse Auction in the event of 2 or more
bidders are technically eligible for each model. In case only one bidder qualifies technically,
Bank may opt for re-tendering. Procedure for reverse auction is available on e-Procurement
website of the bank.

b) The L1, L2 and L3 will be determined on the basis of the lowest price (Cost of
machine + AMC charges for 4 years (cost to the bank)). L2 and L3 bidders will have to
match L1 price. The orders may be split at the sole discretion of the Bank between L1, L2
and L3 in the ratio of 50%, 30% and 20% respectively. In case the L2/L3 bidder does
not / cannot match the prices with the L1 bidder, under the RFP there shall be an option to
make an offer to L4 bidder and so on and so forth for matching the L1 price. In case only L2
bidder matches the L1 price, the order shall be split in the ratio of 60% and 40%. Further, if
no other bidder matches the prices of L1 bidder, bank may award 100% orders to L1bidder.

32. VERIFICATION OF REFERENCE INSTALLATIONS

Bank may, if it deems necessary, ask for presentations of the bidder or site visits of their
facilities to asses and satisfy itself on manufacturing/supply chain and support capabilities of
the bidders.

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33. CANCELLATION OF BID/ BIDDING PROCESS

Bank reserves the right to accept or reject any bid and annul the bidding process and reject
all bids at any time prior to award of contract, without thereby incurring any liability to the
affected bidder or bidders or any obligation to inform the affected bidder or bidders of the
ground for its action.

34. LIMITATION OF LIABILITY

Vendors aggregate liability under the contract shall be limited to a maximum of the contract
value. This limit shall not apply to third party claims for

a. IP Infringement indemnity

b. Bodily injury (including Death) and damage to real property and tangible property
caused by vendor/s gross negligence. For the purpose for the section, contract value
at any given point of time, means the aggregate value of the purchase orders placed
by bank on the vendor that gave rise to claim, under this tender. Vendor shall not be
liable for any indirect, consequential, incidental or special damages under the
agreement/ purchase order.

35. USE OF CONTRACT DOCUMENTS AND INFORMATION

The supplier shall not, without the Banks prior written consent, make use of any document
or information provided by Supplier in Bid document or otherwise except for purposes of
performing contract.

36. PREDISPATCH INSPECTION

Bank will conduct the pre-dispatch inspection at least once during the rate contract. Bank
shall also be free to carry out such inspection as and when required by the Bank. The bidder
shall make all necessary arrangement for this purpose. Bank will also conduct the random
acceptance testing of select Note sorting Machines etc. to ascertain their configuration and
quality. Bank will bear the expenses incurred for pre-dispatch inspection viz.travel, boarding
and lodging etc.

37. DELAYS IN THE SUPPLIERS PERFORMANCE

Delivery of the goods and performance of the Services shall be made by the supplier in
accordance with the time schedule specified by Bank. Any delay in performing the obligation
by the supplier will result in imposition of liquidated damages and/or termination of rate
contract for default.

19
 ANNEXURE-I

TERMS AND CONDITIONS

1. SIGNING OF CONTRACT

The successful bidder(s) shall be required to enter into a Service Level Agreement, (SLA),
with Bank, within 15 days of the award of the tender or within such extended period as may
be permitted by the bank on the basis of the Tender Document, the Tender of the successful
bidder, the letter of acceptance and such other terms and conditions as may be determined
by the Bank to be necessary for the due performance of the work in accordance with the Bid
and the acceptance thereof, with terms and conditions shall be contained in a Memorandum
of Understanding to be signed at the time of execution of the Form of Contract.

2. SIGNING OF INTEGRITY PACT :

The bidder should undertake for signing of the Integrity Pact as per the Performa (Annexure-
XV) provided by the bank to the bidder as per CVC guidelines at the time of bid submission.
Integrity Pact can be signed by authorized signatory of the company.

3. Performance Bank Guarantee

The selected Bidder will be required to submit to the Bank a Performance Bank Guarantee
for 10% of the Invoice amount (Invoice Price of the number of machines proposed to be
purchased from the supplier excluding the AMC charges) for onsite warranty period,
along with the unconditional letter of acceptance within 15 days of the date of approval
letter issued by the Bank. If the supplier fails to submit the Bank Guarantee (as per Banks
format in Annexure -III) along with the unconditional letter of acceptance within the stipulated
period, the Bank r e s e r v e s the right to invoke the Bank Guarantee for the Earnest
Money Deposit based on the communication received from the Bank and cancel the
purchase contract. On satisfactory completion of the onsite warranty period and
submission of Bank Guarantee for AMC, this performance guarantee shall be discharged
and returned to the bidder.

4. ACCEPTANCE TEST

The system is subject to an Acceptance test. Vendor has to arrange one Engineer at the site
at the date and time mentioned by the Bank to assist in the acceptance test.

5. TAXES :

The Rates/Prices are inclusive of all charges, Taxes, Statuary levies etc. except Sales
Tax/VAT/ Service Tax, Octroi/Entry Tax which will be paid on actual basis. No other charges
will be paid by the bank for delivery/installation of NSMs.

20
6. PAYMENT

i) The Bank will not pay any advance for supply of the machines. All payments will be
through e-payment mode only. The bills and invoices shall be prepared by the
supplier and submitted to The Branch Manager of the Currency Chest /branch concerned .

ii) Terms of Payment : 80% of the value of machine on delivery, installation and
successful commissioning of machine as per terms and conditions and remaining 20% of the
amount shall be released immediately on submission of Performance Bank Guarantee
equivalent to 10% of the cost (Basic Price of the number of machines proposed to be
purchased from the supplier by the bank) valid till onsite warranty period. The same shall
be released after onsite warranty on submission of performance bank guarantee of 10% of
the cost of machine for the period of AMC.

iii) Various parameters, set out by the Bank and duly committed by the supplier while
participating in the bid process, shall be demonstrated after installation at each of the
location. If the machine does not stand the test, the order stands automatically
cancelled and the supplier shall not be entitled for any payment and the machines shall be
taken back at the cost, risk etc. of the supplier. Further in such an event the
EMD/Performance Guarantee deposited by the bidder shall be forfeited/invoked .

iv) The machines of category 8+1 & 4+1 shall once again undergo a stress test after
installation by the supplier for 5 hours each day for a period of 6 working days at the
branch/Currency Chest. for other category of machines i.e. 3+1, 2+1 & 1+1 the stress test
shall be conducted for 5 hours each day for a period of 3 working days. At the time of
delivery Branch Manager will certify that the machine is running satisfactorily. The
bidder shall be required to furnish certificates from the manufacturer besides his own
certification as stated in clause ( v) below. The machine shall be deemed to
have been delivered, installed, commissioned and handed over to the specified
currency chest / non-currency chest branch only after these three certifications.
The payment would not be released if the machine fails to perform satisfactorily for a
period of 6 working days/3 working days, as applicable, from the date of installation and
until such time it is rectified / replaced to the satisfaction of the Bank.

v) The Supplier shall furnish a certificate from the manufacturer that the
machines are new, based on proven and established technology and are as per the
Bank Requirement and Technical Specifications mentioned in the bidding document,
free from defective material and workmanship and suitable for Indian conditions. In addition
to the Manufacturers certificate, the above shall also be certified by the supplier.

vi) Invoice amount will be paid by the Bank as per terms stated in RFP subject to
compliance of the following:

a) Satisfactory installation and commissioning of the machine and

accessories as per the parameters mentioned in the Technical bid, general terms
and conditions of the tender.

21
 b) Production of the following documents pertaining to the delivery &
installation of the machine and accessories in original.

Original (Bidder's) Invoice showing Contract No, Goods description,

quantity, unit price, total amount, Serial Nos. of the Equipment/s etc. (sum
total should be given).
Certificate as mentioned in Clause iv
Installation Certificate
Commissioning Certificate

c) Compliance with regard to training of Banks staff as stipulated in Clause 15

(Annexure I).

d) Execution of separate Annual Maintenance Contract as per the format

attached (Annexure - IV).

vii) In the event of any breach of terms and conditions and/ or failure to service the
machine(s) by the supplier as per the terms and conditions, Bank shall have the right to
invoke the Performance Bank Guarantee.

viii) Applicable Tax deduction at source (TDS), if any, as per l a w i n f o r c e , will be

deducted at the time of releasing the payments. The payments will be released only
through NEFT / RTGS and the Selected Bidder has to provide necessary Bank Details
like Account No., Banks Name with Branch, IFSC Code etc.

7. SYSTEM UP TIME

Bidder has to guarantee minimum uptime of 97% quarterly during services period [both
Warranty and AMC]. For calculation purpose of up time, Bank will consider working hours as
specified by the Bank. For this purpose total elapsed time between receiving the break down
message (over telephone or otherwise) and making the system functional or providing
standby machine, will be treated as down time.

8. Obtaining statutory forms etc.

Requisite road permit forms, will be the sole responsibility of the bidder. However, Bank will
sign the forms as per the requirement from the bidder.

9. Assignments:

The Vendor shall not assign to anyone, in whole or in part, its obligations to perform under
the contract, except with the Purchasers prior written consent.

22
10. INSTALLATION

i) The supplier shall arrange at its cost for the transportation and delivery of the machines
and accessories to the Banks Branches/Currency Chests situated at various locations
in India and shall install and commission them at site and conduct such stress tests as
per the requirement of the Bank, as mentioned in this document.

ii) Installation and commissioning of the machine to the satisfaction of the Bank is the
responsibility of the Bidder.

iii) Any damage to existing structure, fixtures or fittings of t h e b a n k during the

installation shall be made good by the supplier at his own cost.

11. WARRANTY
i) Warranty will cover each and every part of the machine except consumables.
ii) The machines shall be under supplier's comprehensive all inclusive onsite warranty
for a period of 3 (Three) years from the date of satisfactory installation and
commissioning. During this period, the supplier shall ensure that the machines shall at all
time be kept in efficient and satisfactory running condition up to 97% uptime by
undertaking appropriate preventive maintenance at monthly intervals by monitoring the
performance of the machines.

iii) During the onsite warranty period the supplier shall, at his own cost, replace
any defective parts, regardless to cost factor involved, rectify/remove any defects
in material components, workmanship and functioning that may occur under normal use
and provide consumables (I.e. Belts, Roller, Wheel etc., including spares) free of cost to the
Bank.

iv) Any malfunctioning or breakdown of the machine or shortfall in its

performance will be intimated to the supplier by the Bank and supplier shall attend to the
fault and rectify the same on the same working day.

v) Services of the personnel whose contact details are impound in writing to Govt.
Business Division, HO will only be utilized. Engaging services of any third party
(including supplier's subsidiaries, associates, sister concerns etc) by the supplier for
providing maintenance support will not be accepted. The Engineers/technicians of the
Supplier alone shall carry out monthly preventive check-up and maintenance.

vi) The company should have sufficient number of factory trained service
engineers, service support centres and adequate stock of spares and consumables
at various locations in India to attend to the maintenance and preventive check-up of the
machines within the stipulated time period.

vii) The spares and accessories should be available at all service centers notified to
GBD, HO.
23
12. PENALTY

i) If the machine cannot be made serviceable either by repair or by

replacement and put back the system into regular operation within 2 working days in
metros, 3 working days in urban, 5 working days in semi-urban & rural and 10 working
days in island branches, on account of any breakdown due to machine
failures/repairs/settings, a similar stand-by machine in good working condition shall be
provided at the cost of the bidder failing which a penalty at the rate of Rs.1,000/-
(Rupees One thousand only) per day for the first 10 days and Rs.5000/- (Rupees Five
Thousand only) per day beyond 10 days for all categories of NSMs will be imposed
and deducted from any payment due to the bidder or from the EDM or by invoking
the Performance Guarantee.

ii) If the preventive maintenance is not attended, as stipulated under clause 11 (i)
above, proportionate charges, based on the AMC amount for first year after the onsite
warranty period of 3 years quoted by the supplier, will be deducted from any payment due
to the bidder or from the EDM or by invoking the Performance Guarantee.

13. ANNUAL MAINTENANCE CONTRACT (AMC)

i) The suppliers shall quote their rates for Annual Maintenance Contract (AMC) for four
years after the expiry of the onsite warranty period of three years. The AMC will cover the
entire machine parts and accessories, inclusive of the spares.

ii) The suppliers shall sign a separate Annual Maintenance Contract with the Bank (before
the expiry of onsite warranty period), in the format attached (Annexure IV), for a period of 4
years for satisfactory comprehensive maintenance of the machines and shall provide a
Bank Guarantee equivalent to 10% of the total cost of machines valid for a period of
51 months (i.e. AMC period of 48 months + 3 months grace period beyond the date of
completion of all contractual obligation). Thereafter, BG shall be returned after expiry of
the above period. The performance guarantee of AMC to be submitted six months before
expiry of onsite warranty period.

iii) AMC shall be renewed automatically without any written agreement being executed on
expiry

iv) The AMC charges shall be payable by the Bank on half yearly basis in advance
subject to Tax Deduction at Sources(TDS) as per law in force.

v) During the AMC period, the supplier shall provide all services including quarterly
preventive checks and attending to complaints, repairing/replacing parts, providing
stand-by machines etc as required during Onsite warranty period.

24
vi) During the AMC period the supplier shall, at his own cost, replace any
defective parts, regardless to cost factor involved, rectify/remove any defects in
material components, workmanship and functioning that may occur under normal use and
provide consumables (I.e. Belts, Roller, Wheel etc., including spares) free of cost to the
Bank.

vii) During AMC period, failure to attend to the complaints on the same working day
or preventive maintenance will attract the same penalty as specified for the Onsite
warranty period.

14. DEDUCTION FROM PURCHASE PRICE

The Supplier shall reimburse the Bank all costs, charges, damages or expenses which
the Bank may have paid or suffered and to the extent to which the Supplier is obliged and
responsible under this Contract to do so, within 30 days upon written request of the Bank
failing which such costs, charges, damages or expenses including statutory payments,
if any, shall be deducted by the Bank from any money due or becoming due to the Supplier
under this contract or any other Contract or may be recovered by encashment of Bank
Guarantees or by arbitration/action of law or otherwise from the Supplier.

15. TRAINING

The supplier shall associate the site staff during the testing of the machine/s. The Supplier
shall also train the staff in the proper operation and trouble identifying, troubleshooting and
routine maintenance at each and every location. On successful installation &
Commissioning of the machine, training for two days shall be provided through trained
Service Engineer.

16. INSURANCE AND RISKS

The insurance shall be for an amount equal to 110% of the CIF value of the goods
delivered at the respective branches covering all risks (fire, burglary, SRCC, natural
calamities such as earth quake, flood etc.) till commissioning of the machine at the
location. The cost of insurance shall be borne by the bidder.

17. ENFORCEABILITY
The decision of the Bank in arriving at the conclusion of breach of conditions and/or default
of supplier will be accepted by the supplier without any demur and the Bank will be at liberty
to enforce these conditions/rights.

18. ASSIGNMENT
The whole of the works (separately for each type of Note Sorting Machines)
included in the contract shall be executed by the bidder and shall not directly or indirectly
transfer, assign or sublet the contract or any part, share or interest therein without written
consent of the Bank.
25
19. INDEMNITY

The bidder assumes responsibility for and shall indemnify and keep the Bank harmless from
all liabilities, claims, costs, expenses, taxes and assessments including penalties, punitive
damages, attorney's fees and court costs which are or may be required to be paid by
reasons of any breach of the bidder's obligation under these general conditions or for which
the bidder has assumed responsibilities under the purchase contract including those
imposed under any contract, local or national law or laws, or in respect to all salaries, wages
or other compensation to all persons employed by the bidder or bidders in connection with
the performance of any system covered by the purchase contract. The bidder shall execute,
deliver such other further instruments to comply with all the requirements of such laws and
regulations as may be necessary there under to conform and effectuate the purchase
contract and to protect the Bank during the tenure of purchase order.

If there is any dispute with regard to any patent, trade mark, registered design,
copyrights and/ or intellectual property rights, the bidder shall be liable for settling such
disputes with third party and paying any license fee, royalty and/ or compensation thereon.
Bank will not be liable to pay any such fee, royalty and/or compensation thereon.

In the event of any third party raising claim or bringing action against the Bank
including but not limited to action for injunction in connection with any rights affecting the
machine supplied by the bidder covered under the purchase contract or the use thereof, the
bidder agrees and undertakes to defend and / or to assist the Bank in defending at the
bidder's cost against such third party's claim and / or actions and against any law suits of
any kind initiated against the Bank.

The supplier indemnifies to protect and save Bank against all claims, losses, costs,
damages, expenses, action suits and other proceeding resulting from infringement of any
patent, trademarks, copyrights etc, or such other statutory infringements in respect of all
Note Sorting Machines supplied to the Bank.

20. FORCE MAJEURE

The Bidder shall not be liable for forfeiture of its performance security, liquidated damages
or termination for default, if and to the extent that its delay in performance or other failure
to perform its obligations under the contract is the result of an event of force Majeure. For
purposes of this Clause, "Force Majeure" means an event beyond the control of the Bidder
and not involving the Bidder's fault or negligence and not foreseeable. Such events may
include, but are not limited to, Acts of God or of public enemy, acts of Government of India
in their sovereign capacity, acts of war, and acts of the Bank accident either by fires, floods,
strikes, lock-outs and freight embargoes.

If a Force Majeure situation arises, the Bidder shall promptly notify the Bank in writing
of such conditions and the cause thereof immediately. Unless otherwise directed by the
Bank in writing, the Bidder shall continue to perform its obligations under the Contract as
far as it is reasonably practical, and shall seek all reasonable alternative means for
performance not prevented by the Force Majeure event.

26
In such a case, the time for performance shall be extended by a period(s) not less than the
duration of such delay. If the duration of delay continues beyond a period of three months,
the Bank and the Bidder shall hold consultations with each other in an endeavor to find a
solution to the problem. Notwithstanding the above, the decision of the Bank shall be final
and binding on the Bidder.

21. UPGRADATION

The supplier confirms that the machine is adaptable to any new series of currency notes
that may be issued by the Reserve Bank of India from time to time with revised security
features. The supplier further undertakes to upgrade the features and software of
machine from time to time with the onsite warranty period of 3 years and AMC period
of 4 years, at no extra cost, to facilitate proper sorting of currency notes and detection of
forged/counterfeit notes including any new currency notes that may be issued or any
new security features that may be introduced by the Reserve Bank of India.

22. INSPECTION

The Bank reserves the right to get the machines and accessories inspected by its own
technical personnel and / or by any other organization / persons engaged for the purpose
and the supplier shall have no objection and shall cooperate and provide necessary
details/information required for such inspection.

23. SETTLEMENT OF DISPUTES

i) Should any dispute or difference of any kind whatsoever arise between the
purchaser and the supplier in connection with or arising out of the contract, the
parties shall make every effort to resolve amicably such disputes or difference by mutual
consultation.

ii) If after 30 days the parties fail to resolve their disputes or difference by such mutual
consultation, then either the purchaser or the supplier may give notice to the other party of
its intention to commence arbitration, as hereinafter provided, as to the matter in
dispute. No arbitration in respect of this matter may be commenced unless such notice is
given.

iii) Any dispute or difference in respect of which a notice of intention to

commence arbitration has been given in accordance with this clause shall be settled in
accordance with the Arbitration and Conciliation Act, 1996.

iv) Arbitration proceedings shall be held at the place of the Head Quarters of the Bank
at New Delhi and the language of the arbitration proceedings and that of all
documents and communications between the parties shall be English.

27
v) In the event of a dispute or difference of any nature whatsoever between Bank and
the Bidder during the course of the assignment arising as a result of this proposal, the
same will be settled through the process of arbitration conducted by a sole Arbitrator
appointed by the Bank. Arbitration will be carried out at Bank's office that placed the
order. The provisions of Arbitration and Conciliation Act 1996 shall apply to the
Arbitration proceeding.

vi) Notwithstanding any reference to arbitration herein,

a) the parties shall continue to perform their respective obligation under the contract
unless they otherwise agree; and
b) the purchaser shall pay the supplier any monies due to the supplier unless the
dispute is relating to such payment.

24. WAIVER

Non-enforcement by either party of any of the provisions of this Contract shall not construe
or constitute as a waiver of the provision itself or any subsequent breach thereof. The
validity of the Contract shall not be affected, should one or more of its stipulations be or
become legally invalid and such stipulation is severable from and not fundamental to the
obligations of either party to this Contract. In such a case, the parties shall negotiate in
good faith to replace the invalid clause by an agreed stipulation which is in accordance
with the applicable Indian Law and which shall be as close as possible to the partys original
indent.

25. STATUTORY AND OTHER REGULATIONS

The Supplier shall comply with all the statutory obligations of the Government of India /
State Governments and local authorities applicable and the Bank shall not be liable for any
action under the statutes applicable due to non-compliance of statutory obligations by the
Supplier.

26. APPLICABLE LAW

The Contract shall be interpreted in accordance with the laws of India. Any dispute arising
out of this contract will be under the jurisdiction of Courts of Law in the place of the Head
Quarters of the Bank i.e at New Delhi.

27. JURISDICTION

Notwithstanding anything contained herein above, in case of any dispute, claim and legal
action arising out of this RFP, the parties shall be subject to the jurisdiction of Courts of Law
in the place of the Head Quarter (New Delhi) of the Bank only

28
28. LIABILITY OF THE SUCCESSFUL BIDDER

Bank shall hold the Successful Bidder, its Successors, Assignees and Administrators fully
liable against loss or liability, claims, actions or proceedings, arising out of non- fulfillment of
any obligations under the Contract and such liability of the Successful Bidder will be
restricted to the actual amount of the Contract.

Successful Bidder shall be the principal employer of the employees, agents,

contractors, subcontractors etc. engaged by Successful Bidder and shall be vicariously
liable for all the acts, deeds or things done by its employees, agents, contractors, sub-
contractors etc., whether the same is within the scope of power or outside the scope of
power, vested or instructions issued by the Bank under the Contract to be issued for this
tender.

However, the Successful Bidder would be given an opportunity to be heard by the

Bank prior to making of a decision in respect of such loss or damage.

29. NEGLIGENCE

In connection with the work the provisions of General Terms, if the Successful Bidder
neglects to execute the work with due diligence or expedition or refuses or neglects to
comply with any reasonable notice given to him in writing calling upon him to make good
the failure, neglect or contravention complained of, within such times as may be deemed
reasonable and in default, the Bank shall have the right to cancel the Contract holding
the Successful bidder liable for the damages that the Bank may sustain in this behalf.
Thereafter, the Bank is to be compensated to make good the failure at the risk and cost of
the Successful Bidder.

30. DOCUMENTS:

The supplier shall supply the undernoted documents

.
a) Electrical schematic drawings indicating consumption points.

b) Two sets of operation and maintenance instructions/ manuals/ catalogues and two
sets of descriptive literature giving, Control / safety circuit diagrams with various set
parameters duly marked, wherever applicable shall be supplied along with the machine.

31. TRANSFER OF OWNERSHIP

The Bidders shall inform the Bank in case of Transfer of Ownership of the Company.

29
OTHER TERMS & CONDITIONS

i) During the technical evaluation, Bank reserves the right for seeking
clarifications / additional information /details from the responsive bidders. However,
clarification/information from the bidders without the Bank seeking for the same during the
process will not be entertained.

ii) The bidder shall agree that until a formal agreement on stamp paper is prepared
and signed with the Bank, this RFP shall constitute a binding contract between the
bidder and the Bank.

iii) The Bank reserves the right to check each machine, before delivery to the
specified locations, through an independent Agency for compliance of stipulated
parameters.

iv) The applicable TDS will be deducted from the bill, before releasing the
payment.

v) The Technical Bid submitted in response to this tender and

written clarifications submitted consequent to pre-bid meetings, if any, till the date of
acceptance of bid shall form part of the contract document. The successful bidder, on
acceptance of his bid by the Bank, shall, within 15 days from the date of intimation of
acceptance, sign an Agreement with the Bank on required stamp paper in the format
available as per Annexure I in the tender document.

vi) Canvassing in connection with tenders is strictly prohibited.

vii) Bank reserves the right to cancel this invitation to offer in part or full and also
the entire procurement process at any stage without assigning any reason. No claims
whatsoever shall be entertained on this account.

viii) All the pages of tender document shall be sealed (stamped) and signed
by Authorized signatory as token of having read the entire tender document and
understood the instructions, terms & conditions etc. No changes whatsoever be
permitted in the tender document and the bid submitted by the bidder shall be strictly as per
Banks format.

ix) The Bidder shall indemnify, protect and save the Bank against all claims,
losses, damages, costs, expenses, action suits and other proceedings, resulting from
infringement of any patent, trademarks, copyrights etc. by the Bidder. The Bidder shall
always remain liable to the Bank for any losses suffered by the Bank due to any technical
error and negligence or fault on the part of the Bidder and the Bidder also indemnifies the
Bank for the same in respect of the hardware and software supplied by him by executing an
instrument to the effect on a Non-Judicial stamp paper that Bank may sustain on account of
violation of patent, trademarks etc. by the Bidders.

30
32. Governing Law and Disputes:
All disputes or differences whatsoever arising between the parties out of or in relation to the
construction, meaning and operation or effect of these Tender Documents or breach thereof
shall be settled amicably. If, however, the parties are not able to solve them amicably, the
same shall be settled by arbitration in accordance with the applicable Indian Laws, and the
award made in pursuance thereof shall be binding on the parties. The Arbitrator/Arbitrators
shall give a reasoned award. Any appeal will be subject to the exclusive jurisdiction of courts
at Union Territory of Delhi.

The Bidder shall continue work under the contract during the arbitration proceedings unless
otherwise directed in writing by the Bank or unless the matter is such that the work cannot
possibly be continued until the decision of the arbitrator or the umpire, as the case may be,
is obtained. The venue of the arbitration shall be Union Territory of Delhi.

33. PATENT RIGHTS

The supplier shall indemnify the Bank against all third party claims of infringement of patent,
trademark or industrial design rights arising from use of the Goods, or any part thereof in
India.
i. The supplier shall, at their own expense, defend and indemnify the Bank against all third
party claims or infringement of intellectual Property Right, including Patent, trademark,
copyright, trade secret or industrial design rights arising from use of the products or any part
thereof in India or abroad.
ii. The supplier shall expeditiously extinguish any such claims and shall have full rights to
defend it there from. If the Bank is required to pay compensation to a third party resulting
from such infringement, the supplier shall be fully responsible for, including all expenses and
court and legal fees.
iii. The Bank will give notice to the Supplier of any such claim without delay, provide
reasonable assistance to the Supplier in disposing of the claim, and shall at no time admit to
any liability for or express any intent to settle the claim.

34. DELIVERY, LIQUIDATED DAMAGES

i) On acceptance of bid, the Bank shall issue a Letter of Approval to the

successful bidder. The Bidder shall give an unconditional letter of acceptance of offer
provide Performance Guarantee and enter into Service Level Agreement with the Bank
as per the format (enclosed as Annexure - I) within 15 days of the date of letter of intent
failing which the Bank reserves the right to invoke the Bank Guarantee for the
Earnest Money Deposit and cancel the purchase contract. Firm purchase order will
be placed by the Bank, only after the successful bidder signs the Agreement.

ii) Time is the essence of this contract. The supply of all the machines and all
accessories such as printer etc shall be completed within the stipulated period of 6 weeks
(NSM 3 + 1 p o c k e t / 2+1 pocket/1+1 pocket) and 8 weeks (NSM 4+1 pocket/8+1
pocket) from the date of order.

31
iii) In case the supplier fails to supply the machine/accessories within the above delivery
period, the Bank shall be at liberty to cancel the order for the undelivered
machines.
iv) If the supplier fails to deliver the machines as above and in s u c h e v e n t u a l i t y ,
EMD shall be forfeited or the Performance Bank Guarantee shall be
i n v o k e d . The supplier shall continue to carry out all his obligations under this contract,
including onsite warranty and AMC, in respect of the machines that may have already been
supplied and commissioned before cancellation.
v) The Bank, at its sole discretion, may decide to accept the delayed supply of any
machine(s), penalty @ 1% of cost of the machine will be charged per week or part thereof,
subject to a maximum of 10% of the cost of the machine for each machine which is
delayed.
vi) The machines shall be installed and commissioned within five working days of
delivery at Branch/Currency Chest. Various parameters set out by the Bank and duly
committed by the supplier, while participating in the bid process, shall be
demonstrated after installation at each of the location. In case the machine does not
function properly during the installation / demonstration, the same shall be immediately
replaced with a new machine.
vii) The decision of the Bank in regard to cancellation of the Purchase Order, levy of
liquidated damages and forfeiting the EMD/invoking Performance Guarantee shall be final.

In case of delivery of machines in the States where Road Permit is required for
transportation of goods, it is the responsibility of supplier to procure the same by making
all arrangements required well in advance. However, Bank will provide any letter, if
required by the bidders for getting the permits. The Bank shall not be responsible for any
delay on this account. However, the Bank may consider, in exceptional circumstances and
purely at its sole discretion, granting additional time for completion of supply, if it is
satisfied that the delay was on account of delay in issuing road permits by the concerned
authorities and not on account of any delay or lapse on the part of the supplier. No
correspondence shall be entertained from the bidders.

35. TERMINATION OF CONTRACT:

i) The Bank at its option without prejudice to its rights under the Contract, is entitled
to terminate the Contract at any time by giving 30 days written notice to the Contractor in
the following circumstance:

a) in case the Bidder does not comply with any of his obligations/undertakings
under this Contract.
b) if the design, specifications, functions or performance of the machines supplied
by the Bidder do not conform to the approved technical specifications and other
requirements specified in this contract or agreed to by the bidder.
c) if the Bidder refrains from implementing any of the instructions received from the Bank
within the stipulation of this Contract.
d) in case of any breach of the terms and conditions of this contract by the supplier.

32
ii) If the Supplier becomes bankrupt or insolvent or causes or suffers any losses,
receiver to be appointed for its business or any assets thereof, compounded with its
Creditors, or being a corporation, commence to be wound up for the purpose of
amalgamation or reconstruction, or carry on its business under a Receiver for the benefit
of its Creditors, the Bank shall be at liberty to terminate the contract forthwith upon coming
to know of the happening of any such event as aforesaid by notice in writing to the Supplier
or to the Receiver or Liquidator or to any person in whom the Contact may become vested
or give such Receiver Liquidator or any other person the option of carrying out the
contract subject to his providing guarantee for the amount specified by the bank.

In the event of such termination, the Performance Guarantee submitted by the

supplier and the Bank Guarantee for AMC shall stand forfeited and the Bank shall have the
right to terminate bidder ship and deny any future empanelment.

36. NOTIFICATION OF AWARD

Prior to expiration of the period of Bid validity, the Bank will notify the successful
Bidders in writing or by e-mail that their Bids have been accepted.

Upon notification of award to successful bidders, Bank will notify each

unsuccessful Bidder and will discharge their Bid security. After selection of the Bidders,
the Bank will follow its internal procedure for necessary approvals and thereafter
proceed with placing of letter of approval or otherwise to the Bidders

Yours Sincerely

For ______________________

Signature: _______________

Name: ___________________

33
 MATRIX FOR STRESS TEST OF NOTE SORTING MACHINE
S.No Parameter Maximum Mark
Mark Awarded
1. Authentication and counting parameters:
i) Whether Machine has separate user selectable 01
modes for Authentication while counting & Fitness
sorting.
ii) Whether Machine indicates the reason for reject 02
note while counting & authentication.
iii) To rerun the notes sorted as ATM Fit / Fit and 03
check for consistency. Variation should be less
than 5%.
iv) Whether machine has feature of capturing dual 04
image (front & back image simultaneously).

2. Sorting Parameters ( Whether parameter can be set

as per user choice):
i) Soiling 01
ii) Limpness 01
iii) Dog Ears 01
iv) Tears 01
v) Holes 01
vi) Stains 01
vii) Graffiti 01
viii) Crumples 01
ix) Decolouration 01
x) Folds 01
xi) Repairs 01
(If NSM fails to sort in any parameter above then no
mark will be awarded for that particular parameter )
3. Sorting of
i) Mutilated Notes 02
ii) Imperfect Notes 01
iii) Mismatched Notes 01
iv) Pre-2005 series of Bank Notes 01
v) Sorting of scribbled notes 01
4. Fitness Sorting Processes:
i) Sorting of Banknotes ATM Fit/Fit/Unfit etc. 01
ii) No. Of user selectable Sorting modes available 01
iii) Whether First note recognition features available 01
iv) Whether machine sorts out the other denomination 01
note in Sorting Machines
v) Sorting of Banknotes on soilage level 01
vi) Whether machine rejects tape note to the other 01
pocket in ATM / Fit mode
34
 vii) Whether machine rejects non-oriented & non 01
faced notes to other pocket in fit mode
viii) Whether machine sorts out non-issuable notes in 01
all the Sorting modes Silver thread series (
independent of first note recognition )
ix) Jam & recovery 01
x) Programmable to allow setting and changing limits 01
and tolerance for each of parameters of Sorting
Process and Parameters

5. i) Whether Ashoka Pillar Series Notes is rejected by 01

the machine,
ii) Banknotes of Rs.500 denomination of Mahatma 01
Gandhi (M.G.) Series 1996 / 2000 etc. Go to
soiled note pocket automatically.
iii) Whether notes SHORT in LENGTH/BREADTH 01
were detected and went to reject pocket.
iv) Whether notes with THICKNESS were detected 01
and went to reject pocket
v) Whether notes with MISSING PARTS were 01
detected and went to reject pocket.
6. No of times machines broke down during
continuous running
i) Up to 3 times 03
ii) More than 3 to 6 times 02
iii) More than 6 times to 10 times 01
For more than 10 times zero marks to be given
7. Speed Test (no of notes per hour)
8+1 4+1 3+1 2+1 1+1
>33000- >28000- >23000- >21000- >18000- 01
34000 29000 24000 22000 19000
>34000- >29000- >24000- >22000- >19000- 02
35000 30000 25000 23000 20000
>35000- >30000- >25000- >23000- >20000- 03
36000 31000 26000 46000 21000
>36000- >31000- >26000- >24000- >21000- 04
37000 32000 27000 25000 22000
>37000 >32000 >27000 >25000 >22000 05

35
 Guidelines on Note Authentication and Fitness Sorting Parameters
( Ref: DCM(R&D)No.G-26/18.00.14/2009-10 dated May 11, 2010 from RBI)

1. Introduction

A fit note is a note that is genuine, sufficiently clean to allow its denomination to be readily
ascertained and thus suitable for recycling. An unfit note is a note that is not
suitable for recycling because of its physical condition or belongs to a series that has been
phased out by Reserve Bank of India. All the fitness parameters laid down in this document
are to be evaluated individually. A note must pass all the fitness parameters to be
considered fit for recycling.

These parameters provide the minimum standards for cash handling machines used by
banks (hereinafter called, the machines). Notes can only be recycled / reissued if they are
evaluated as genuine and fit according to these parameters. Authenticity check is a
prerequisite for fitness sorting. Fitness sorting can be done only in case of genuine notes.
The machines shall be able to identify and separate suspected counterfeits and notes
which are unfit for circulation in terms of these standards in a reliable and consistent
fashion.

The Reserve Bank of India phases out certain series (issue) of notes from circulation from
time to time. These notes, though considered legal tender unless otherwise specified, are
unfit for recycling. As and when the Reserve Bank of India decides to phase out a specific
series (issue) of a specific denomination of notes, the machines shall sort all the phased out
notes as unfit, irrespective of their physical condition.

2. Applicability

These parameters are applicable to machines operated by banks, either directly by their
staff or indirectly by their agents. These machines can be of any of the following:

(i) machines which check the authenticity and fitness of notes, i.e. note processing
machines / note sorting machines, and

(ii) machines which check only the authenticity of notes, i.e. note authentication machines.
All these machines shall classify the individual notes as either genuine or suspect.

3. Authenticity Check

The machines shall perform authenticity check with reference to the features of
genuine notes as disclosed by the Reserve Bank of India from time to time. Any note
which is not found to be having all the features of a genuine note shall be classified by the
machine as suspect.

36
 4. Fitness Sorting
As a part of fitness sorting, notes with any visual or physical defects are to be sorted
as unfit as per the criteria set out in Table 1.

Table 1 : Sorting Criteria

Sl. No. Feature
1 Soiling
2 Limpness
3 Dog-ears
4 Tears
5 Holes
6 Stains
7 Graffiti
8 Crumples
9 Decolouration
10 Folds
11 Repair
Criteria
General distribution of dirt across the entire note
Structural deterioration resulting in a marked lack
of stiffness
Corner folds
Lengthwise and crosswise cuts
Holes of a specific diameter
Localized concentration of dirt
Deliberate graphic alteration of the note
Multiple random folds
Lack of ink on part or whole of the note, e.g. a
washed note
Folds reducing the length or width of the note
Note repaired using adhesive tape/ paper/ glue

(i) Soiling
Soiling refers to the general distribution of dirt across the entire note or in some patterns. It
is a measure of the loss of reflectivity from the unprinted areas due to dirt, ageing
(yellowing), wear and extraneous markings and includes decolouration due to ageing,
excessive folding wear and other wearing. Soiling increases the optical density and
decreases the reflectance of the notes.

Notes exceeding the soiling levels set out in Table 2 shall be sorted as unfit. Both the
obverse and the reverse of the note shall be checked for soiling

Table 2 : Soiling Levels

S. No. Denomination Maximum Minimum Filters
Density Reflectance
difference
i) Rs.5 0.07 85% Yellow
ii) Rs.10 0.07 85% Yellow
iii) Rs.20 0.06 87% Yellow
iv) Rs.50 0.06 87% Yellow
v) Rs.100 0.05 90% Cyan
vi) Rs.500 0.04 93% Cyan
vii) Rs.1000 0.03 95% Cyan

37
(ii) Limpness

Limpness relates to structural deterioration or wear resulting in a marked lack of

stiffness in the note paper. Notes with a very low stiffness shall be sorted as unfit. Notes
with very low stiffness of paper, i.e. with paper which is worn out in circulation or
mechanically mutilated shall be sorted out as unfit. Detectors for paper quality shall be
adapted to the same level as for soiling.

(iii) Dog-Ears

Notes with dog-ears with an area of more than 130 mm and a minimum length of the
smaller edge greater than 10 mm shall be sorted as unfit. Chipped notes shall also be
sorted as unfit.

(iv) Tears
Notes exhibiting at least one tear at the edge shall be classified as those having tears.
Notes with tears larger than those indicated in Table 3 shall be sorted as unfit.
S. No. Direction Width Length
1. Vertical 4 mm 8 mm
2. Horizontal 4 mm 15 mm
3. Diagonal* 4 mm 18 mm

* Measured by drawing a straight line from the peak of the tear to the edge of the note
where the tear begins (rectangular projection), rather than measuring the length of the tear
itself

(v) Holes
This refers to notes with at least one visible hole. Notes with holes with area exceeding 10
mm shall be sorted as unfit .

(vi) Stains
Stains are visible markings which are not part of the feature of a note. Notes shall be
detected as unfit if localized - i.e. with limited extension stain can be recognized on its
surface. In case the total area covered by stains exceeds 500 mm, the note shall
be sorted as unfit. A note with a single stain covering an area of more than 200 mm
shall be sorted as unfit. Both the obverse and the reverse of the note shall be checked for
stains.
(vii) Graffiti
Graffiti refers to deliberate graphic alteration of the note with for example, figures or letters.
Fitness sorting criteria in case of graffiti shall be the same as those for stains. Both the
obverse and the reverse of the note shall be checked for graffiti.

(viii) Crumples/ Folds

Crumpled / folded notes shall be sorted as unfit if the folds result in reduction of the original
note in length or width greater than 5 mm.

38
(ix) Decolouration

Notes affected by decolouration shall be sorted as unfit if the ink is partially or wholly
missing from its surface. Both the obverse and the reverse of the note shall be checked for
decolouration.

(x) Repair

A repaired note is created by joining parts of the same note together, for example, by using
extraneous matter such as tape, paper or glue. Notes with the following types of repairs
shall be sorted as unfit:

Repairs covering an area greater than 100 mm; or

Thickness of the extraneous matter 50 m or more; or
Width of the extraneous matter 10 mm or more; or
Length of the extraneous matter 10 mm or more.

5. Mutilated, Imperfect and Mismatched Notes

A mutilated note is note, of which a portion is missing or which is composed of more

than two pieces. An imperfect note is a note, which is wholly or partially, obliterated, shrunk,
washed, altered or indecipherable but does not include a mutilated note. A mismatched
note is a note, which has been formed by joining a half note of any one note to a half
note of another note. Such notes shall be classified as unfit

39
 TEST PROCEDURES

Machine shall not be disturbed/ tampered during the testing. No mechanic / Service
personnel shall be allowed to touch the machine once it has been handed over to the
Bank for technical testing.

Authenticity check
The machines shall check authenticity of notes with reference to the features of genuine
notes as disclosed by the Reserve Bank of India from time to time.

Test procedure: A known number of suspect notes, which do not have one or more
of the features of genuine notes and which are otherwise in good condition, shall be
mixed with about 2000 notes fit for circulation and shall be processed. The machine
should detect all the suspect notes.The test should be repeated with at least two other
denominations.

Speed Test:
Test procedure: A known number (N), not less than 2000, of used bank notes of a particular
denomination containing fit, soiled and reject notes shall be used for testing. The time
taken in seconds (T) to process the notes will be noted and speed will be calculated using
the formula, Speed (S) in notes per hour = 3600N/T. The test should be repeated with at
least two other denominations. The average speed of all denominations shall be taken as
the speed of the machine.

Consistency test
The test is carried out to check the consistency of the machines performance. The
notes used for speed test may be used for this test also.

Test procedure: A known number of suspect notes, which do not have one or more
of the features of genuine notes and which are otherwise in good condition, shall be
mixed with about 2000 notes fit for circulation and shall be processed. The machine should
detect all the suspect notes.

Stage 1: The notes are processed through the machine and the number of notes in each
output stacker (A, B, C etc) shall be noted and kept aside stacker-wise. If the number of
notes in any stacker is less than 100, additional notes shall be processed so that there are
at least 100 notes in any stacker.

Stage 2: The notes removed from stacker A are then processed through the
machine and the total number of notes in all other output stackers (excluding A) shall
be noted and expressed as a per cent of the number processed.

Stage 3: Test in stage 2 is repeated and result noted.

Stage 4: The notes removed from stacker B in Stage 1 are then processed through the
machine and the total number of notes in all other output stackers (excluding B) shall be
noted and expressed as a per cent of the number processed.
40
Stage 5: Test in stage 4 is repeated and result noted.

The procedure is repeated with notes removed from all other stackers in stage 1 and with
other denominations.

The percentages calculated as above in all the stages shall not be more than 5%.

Fitness sorting
An unfit note is a note that is not suitable for recycling because of its physical condition or
belongs to a series that has been phased out by Reserve Bank of India. A note must pass
all the fitness parameters laid down by RBI to be considered fit for recycling. Notes with
any visual or physical defects are to be sorted as unfit as per the criteria set out in Table 1
of the RBI guidelines.

Test procedure: For each of the parameter to be checked, at least 10 notes should be
selected in such a way that 5 notes have the defect within the permissible limit and 5
notes have the defect more than the permissible limit. For e.g., to check for holes, 5
notes should have a hole less than 10 mm2 and 5 notes should have holes more than 10
mm2. These selected notes should have no other defect except the defect in the parameter
to be tested. These selected notes should then be mixed with at least 500 other notes and
processed. The machine should correctly sort the 5 notes with defect more than the
permissible limit as unfit.

The test should be repeated for other parameters.

Stress Test

This test is conducted to check the suitability of the machine to work continuously for
long hours. The test shall be conducted under conditions similar to those that are available
in normal branches and currency chests.

Test procedure: The machine should be put to work continuously for 6 hours daily for 5
consecutive days. The machine may be given rest for 10 minutes after each hour of
working. During each hour, the machine should work continuously. Details of stoppages or
breakdown, if any, (number of occasions, time, time taken to restart, nature of break down
etc) and other defects or abnormal behavior etc noticed during the test should be carefully
recorded

Yours Faithfully
Signature of Authorized Signatory
Name of Signatory:
Designation:
Seal of Company

41
The Chief Manager,
Government Business Division,
Punjab National Bank,2nd Floor,
Rajendra Bhawan, HO :
Rajendra Place,New Delhi.

Dear Sir,
On Companys Letter Head)

Reg : TENDER OFFER

We have read and examined the tender document for / Note Sorting Machines. We hereby
bid for the execution of the work specified by the Bank within the time to be specified at the
rates to be finalized in this bidding process, in accordance with the Technical
Specifications, and instructions in writing referred to in the General Rules and
Instructions, and in all respects and in accordance with, such conditions so far as applicable
for the following types of Note Sorting Machines:
i. Note Sorting Machine (8+1 pockets) ii. Note Sorting Machine (4+1 pockets) iii. Note
Sorting Machine (3+1 pockets) iv Note Sorting Machine (2+1 pockets) v. Note Sorting
Machine (1+1 pockets)

We agree to keep the bid open for 1 year from the date of letter of intent and not to make
any modifications in its terms and conditions.

A sum of Rs.10,000/- (Rupees Ten Thousand only) h a s be e n c re d ite d t o PNB

a c c o un t to wa rd s c o s t of B id d o c um en t s .

We enclose, as Earnest Money Deposit, the following *Online/ *Bank

Guarantees issued by ............................................................................. (Name of the
issuing Bank):

i. BG No. dated.. for Rs.15 lakh for

Note Sorting Machine (8+1 pockets)
ii. BG No. dated.. for Rs.45 lakh for
Note Sorting Machine (4+1 pockets)
iii. BG No. dated.. for Rs.40 lakh for
Note Sorting Machine (3+1 pockets
Iv BG No. dated.for Rs.40 lakh for
Note Sorting Machine (2+1 pockets)
iv. BG No. dated.. for Rs.45 lakh for
Note Sorting Machine (1+1 pockets)
OR
EMD amount has been deposited in PNB account .

NOTE : EMD amount to be deposited for each bid separately. However, bid document cost
of Rs.10,000/- (fixed) to be paid irrespective of number of bids.

42
In the event of our withdrawing, or unilaterally modifying, this offer during the period of
Tender validity or failure to accept Letter of Intent (LOI) within 15 days of its issue, or
failure to furnish Performance Guarantee or to sign the agreement when called upon to
do so, we agree that the Bank shall without prejudice to any other right or remedy, be at
liberty to forfeit the said Earnest Money absolutely/ invoke the bank guarantee.

We hereby declare that we shall treat the tender documents, drawings and other records
connected with the work as secret/confidential documents and shall not communicate
information/derived there from to any persons other than a person to whom we are
authorized to communicate the same or use the information in any manner prejudicial to
the safety of the State / the Bank.

We undertake that, in competing for (and, if the award is made to us, in executing) the
above contract, we will strictly observe the laws against fraud and corruption in force
in India namely Prevention of Corruption Act 1988.

Commissions or gratuities, if any paid or to be paid by us to agents relating to this Bid,

and contract execution if we are awarded the contract, are listed below:

Name and address of agent Amount & Currency Purpose of commission or gratuity
(If none, state none)

We are aware that bid will be evaluated separately for each type of Note Sorting
Machines (NSM), i.e. Note Sorting Machines 8+1 pocket; 4+1 pockets; 3+1 pockets; 2+1
pockets and 1+1 pockets and that the Bank may place the purchase order with
successful bidder for a particular type of NSM.

We fully understand that you are not bound to accept the bid merely for the reason that the
same is the lowest.

Shri. , authorized representative of the Company, is

the person authorized to negotiate commercial, technical terms & conditions &
sign on behalf of the firm any Agreement, Bills & receipts for this work

We agree that until a formal agreement on requisite value stamp paper is prepared and
signed, this tender with your written acceptance thereof shall constitute a binding contract
between us.

Dated:
Signature of Contactor/Bidder/Bidder
Witness, name & address
Full Postal Address including Pin Code No. (i) (ii) Telephone No. &
Mobile No.

43
 ANNEXURE-II
Pre-Qualification for bidders supplying & maintaining of Note Sorting Machines &
Peripherals:

S.N Pre-Qualification Criteria Compliance Document required

o. (Yes/No)
1 The bidder should be a registered company in Certificate of
India under Companies Act 1956 and amended Incorporation
Companies Act 2013.
2 The bidder should have at least three years Copy of PO order &
experience in supplying Note Sorting Machines Certificate from the
to Public Sector Banks / Scheduled Commercial organization required
Banks in India /Reserve Bank of India (RBI) as
on 31.03.2016.
3 The bidder should have supplied minimum Copy of Purchase Order
500 Note Sorting Machines obtained by the
(1+1/2+1/3+1/4+1/8+1) during the last company and execution
t h r e e Financial Years i.e. 1.4.2013 to order to be submitted for
31.3.2016) to Public Sector Banks / Scheduled the last three Financial
Commercial Banks in India / Reserve Bank of Years i.e 01.04.2013 to
India (RBI). The minimum eligibility for 31.03.2016.
submission of bid for a particular machine shall
be as under:-
Category No. of NSMs supplied
during last three FYs
1+1 500
2+1 200
3+1 100
4+1 100
8+1 50
While ascertaining the eligibility, the
number of machines supplied by OEM
and/or through its authorized
dealer/distributor to Public Sector
Bank/Scheduled Commercial Banks/RBI
shall be taken into consideration. Make &
Model of NSM offered to be time tested
and put in use for atleast one year in
Public Sector Banks.
4 The bidder should be a profit making Balance Sheet & Profit and
company/firm (Profit before Tax) in two loss Account of three FYs
financial years out of last three financial years i.e. FY 2012-13; FY 2013-
ending on 31.03.2015 i.e. FY 2012-13 ; FY 14 and FY 2014-15. As
regard NW as on
2013-14 and FY 2014-15) and the net worth
31.3.2016, CA certificate
should be positive as on 31.03.2015 & to be submitted.
31.3.2016.
44
S.N Pre-Qualification Criteria Compliance Document required
o. (Yes/No)
5 The bidder submitting the bid should be a A certificate from
Registered Company/Firm having minimum t o Chartered Accountant
t a l t urn over for the last Three FY from the (Companys Statutory
sale of Note Sorting Machines as under: Auditor) who has signed
the audited balance
Type of Machine Turnover (Rs. in sheet of the Company /
crores) Firm confirming turnover
8+1 Rs.20 of NSMs should be
4+1 Rs.15 attached. If Co / firm
3+1 Rs.10 not dealing now with
2+1 Rs.8 that CA who has signed
1+1 Rs.4 Balance Sheet of earlier
year, the present
The turnover should be cumulative for Chartered Accountant
bidders applying for two or more category of /Companys Statutory
machines e.g bidder applying for Auditor can sign the
8 + 1 / 4 + 1 / 3 + 1 c ategory of machines should certificate.
have turnover of Rs.45 crore
(Rs.20+Rs15+Rs.10 Crores) and so on for the
last Three FY.

6 If the Bidder is not the Original Equipment Submit valid

Manufacturer (OEM) but only an authorized authorization letter from
dealer/distributor, it should have a valid the OEM
authorization letter from the OEM to
deal/market the machine in India. (Either OEM
or its one Authorized Dealer/Distributor can
only participate in the bid. If there are more
than one dealers supplying similar equipment of
the same OEM, their bids will not be
considered). One dealer/distributor cannot bid
on behalf of multiple suppliers.

Yours faithfully,

Signature of Authorized Signatory

Name of Signatory:
Designation:
Seal of Company

45
 Annexure III- A
TECHNICAL SPECIFICATIONS (1)

NOTE SORTING MACHINE 8+1 POCKETS

The machines shall perform authenticity check with reference to the features of genuine
notes as disclosed by the Reserve Bank of India from time to time. Any note which is not
found to be having all the features of a genuine note shall be classified by the machine as
suspect.

Notes can only be recycled / reissued if they are evaluated as genuine and fit according to
the parameters laid down by RBI (see Guidelines on Note Authentication and
Fitness Sorting Parameters attached). Authenticity check is a prerequisite for fitness
sorting. Fitness sorting can be done only in case of genuine notes. The machines shall be
able to identify and separate suspected counterfeits and notes which are unfit for
circulation in terms of these standards in a reliable and consistent fashion.

A fit note is a note that is genuine, sufficiently clean to allow its denomination to be readily
ascertained and thus suitable for recycling. An unfit note is a note that is not
suitable for recycling because of its physical condition or belongs to a series that has been
phased out by Reserve Bank of India. All the fitness parameters laid down by RBI are to be
evaluated individually. A note must pass all the fitness parameters to be considered fit for
recycling.

The bidder should provide the information as per table below as to whether or not their Note
Sorting Machines as per bid conform to these points ((Tolerance level as per RBI norms). If
any of the criteria is not satisfied by the NSMs as per Bidders Assessment or Banks
Assessment, it will not be considered for further evaluation.

Sl. Details Bidders Banks

No. assessment assessment
Yes /No Yes / No
1 Model number of machine
2 Ergonomic design, sturdy, capable of working
in
3 dusty,
Number hot
ofand humidwith
Stackers conditions in India
capacity- Eight or more
4 Number of Reject Stackers with capacity - One or
5 more
Minimum Processing Speed 33000
Notes/hour. Machine programmable for diverse
sorting parameter
6 Feeding Capacity - Minimum 8 00 Notes
with Assisted Feed mechanism
7 Machine should work on any orientation of the notes

46
8 First Note recognition

9 Denomination sorting

10 Orientation sorting

11 Facing sorting

12 Machine must detect and sort suspect/counterfeit

13 Notes
Fitness sorting: The machines shall perform the
following fitness sorting functions as per criteria and
standards laid
down in RBI Guidelines on Note Authentication
and
A SoilingParameters:
Fitness Sorting
B Limpness
C Dog-Ears
D Tears
E Holes
F Stains
G Graffiti
H Crumples/Folds
I Decolouration
J Repair
K Mutilated, Imperfect and Mismatched Notes

14 Batching Arrangement
15 Capability of up gradation of software as per RBI
directive
16 The technology must be image based.
17 User interface machine should have attached
printer,
display with function, menu keys, external display
for count of notes at no extra cost.
18 Printer interface facility must be provided free of cost

19 Onsite warranty (3 years, unconditional)

47
20 Machine should have LCD graphic mode Digital display
of information with value / Nos. of Notes

21 GENERATION OF REPORTS

The NSMs should be capable to provide the following

information as per banks requirement. :

a) Denomination wise no. of bank notes

processed/sorted on daily/monthly basis.
b) NSM should be capable/or upgradable for
recording and keeping series & S. No. of notes
processed comprising of front and back side, through
machine , series sorting facility and detection of RBI
declared fake series automatically.
c) Details of users of the NSM
d) Machine to generate various types of reports such
as balance report/customer report/operator report/variance
report/reject report/jam recovery report/supervisory report.

Remarks of Bidder

1 Details of EMD:

BG No..Date Amount................
Issue Bank

OR

EMD Amount credited to bank account on

2 Power supply requirements and consumption

3 Voltage stabilizer - inbuilt or external? (at no extra

cost).

48
 Annexure III- B

TECHNICAL SPECIFICATIONS (2)

NOTE SORTING MACHINE 4+1 POCKETS

The machines shall perform authenticity check with reference to the features of genuine
notes as disclosed by the Reserve Bank of India from time to time. Any note which is not
found to be having all the features of a genuine note shall be classified by the machine as
suspect.

Notes can only be recycled / reissued if they are evaluated as genuine and fit according to
the parameters laid down by RBI (see Guidelines on Note Authentication and
Fitness Sorting Parameters attached). Authenticity check is a prerequisite for fitness
sorting. Fitness sorting can be done only in case of genuine notes. The machines shall be
able to identify and separate suspected counterfeits and notes which are unfit for
circulation in terms of these standards in a reliable and consistent fashion.

A fit note is a note that is genuine, sufficiently clean to allow its denomination to be readily
ascertained and thus suitable for recycling. An unfit note is a note that is not
suitable for recycling because of its physical condition or belongs to a series that has been
phased out by Reserve Bank of India. All the fitness parameters laid down by RBI are to be
evaluated individually. A note must pass all the fitness parameters to be considered fit for
recycling.

The bidder should provide the information as per table below as to whether or not their Note
Sorting Machines as per bid conform to these points ((Tolerance level
as per RBI norms). If any of the criteria is not satisfied by the NSMs as per Bidders
Assessment or Banks Assessment, it will not be considered for further evaluation.

Sl. Details Bidders Banks

No. assessment assessment
Yes /No Yes / No
1 Model number of machine
2 Ergonomic design, sturdy, capable of working in
dusty, hot and humid conditions in India
3 Number of Stackers with capacity- Four or more
4 Number of Reject Stackers with capacity - One or more
5 Minimum Processing Speed 28000 Notes/hour.
Machine programmable for diverse sorting parameter

6 Feeding Capacity - Minimum 8 00 Notes with

Assisted Feed mechanism
7 Machine should work on any orientation of the notes

49
8 First Note recognition

9 Denomination sorting

10 Orientation sorting

11 Facing sorting

12 Machine must detect and sort suspect/counterfiet Notes

13 Fitness sorting: The machines shall perform the following
fitness sorting functions as per criteria and standards laid
down in RBI Guidelines on Note Authentication and
Fitness Sorting Parameters:

A Soiling
B Limpness
C Dog-Ears
D Tears
E Holes
F Stains
G Graffiti
H Crumples/Folds
I Decolouration
J Repair
K Mutilated, Imperfect and Mismatched Notes

14 Batching Arrangement
15 Capability of up gradation of software as per RBI directive

16 The technology must be image based.

17 User interface machine should have attached printer,
display with function, menu keys, external display for
count of notes at no extra cost.
18 Printer interface facility must be provided free of cost

19 Onsite warranty (3 years, unconditional)

20 Machine should have LCD graphic mode Digital display
of information with value / Nos. of Notes

50
21 GENERATION OF REPORTS

The NSMs should be capable to provide the following

information as per banks requirement. :

a) Denomination wise no. of bank notes

processed/sorted on daily/monthly basis.
b) NSM should be capable/or upgradable for
recording and keeping series & S. No. of notes
processed comprising of front and back side, through
machine , series sorting facility and detection of RBI
declared fake series automatically.
c) Details of users of the NSM
d) Machine to generate various types of reports such
as balance report/customer report/operator report/variance
report/reject report/jam recovery report/supervisory report.

Remarks of Bidder

1 Details of EMD:

BG No..Date Amount................
Issue Bank

OR

EMD Amount credited to bank account on

2 Power supply requirements and consumption

3 Voltage stabilizer - inbuilt or external? (at no extra

cost).

51
 Annexure III- C

TECHNICAL SPECIFICATIONS (3)

NOTE SORTING MACHINE ( 3+1 POCKETS)

The machines shall perform authenticity check with reference to the features of genuine
notes as disclosed by the Reserve Bank of India from time to time. Any note which is not
found to be having all the features of a genuine note shall be classified by the machine as
suspect.

Notes can only be recycled / reissued if they are evaluated as genuine and fit according to
the parameters laid down by RBI (see Guidelines on Note Authentication and
Fitness Sorting Parameters attached). Authenticity check is a prerequisite for fitness sorting.
Fitness sorting can be done only in case of genuine notes. The machines shall be able to
identify and separate suspected counterfeits and notes which are unfit for circulation in
terms of these standards in a reliable and consistent fashion.

A fit note is a note that is genuine, sufficiently clean to allow its denomination to be readily
ascertained and thus suitable for recycling. An unfit note is a note that is not suitable
for recycling because of its physical condition or belongs to a series that has been phased
out by Reserve Bank of India. All the fitness parameters laid down by RBI are to be
evaluated individually. A note must pass all the fitness parameters to be considered fit for
recycling.

The bidder should provide the information as per table below as to whether or not their Note
Sorting Machines as per bid conform to these points ((Tolerance level
as per RBI norms). If any of the criteria is not satisfied by the NSMs as per Bidders
Assessment or Banks Assessment, it will not be considered for further evaluation.

Sl. Details Bidders Banks

No. assessment assessment
Yes /No Yes / No
1 Model number of machine
2 Ergonomic design, sturdy, capable of working in
dusty, hot and humid conditions in India
3 Number of Stackers with capacity- Two or more
4 Number of Reject Stackers with capacity - One or more
5 Minimum Processing Speed 23000 Notes/hour.
Machine programmable for diverse sorting parameter

6 Feeding Capacity - Minimum 500 Notes with

Assisted Feed mechanism
7 Machine should work on any orientation of the notes

52
8 First Note recognition

9 Denomination sorting

10 Orientation sorting

11 Facing sorting

12 Machine must detect and sort suspect/counterfiet Notes

13 Fitness sorting: The machines shall perform the following
fitness sorting functions as per criteria and standards laid
down in RBI Guidelines on Note Authentication and
Fitness Sorting Parameters:

A Soiling
B Limpness
C Dog-Ears
D Tears
E Holes
F Stains
G Graffiti
H Crumples/Folds
I Decolouration
J Repair
K Mutilated, Imperfect and Mismatched Notes

14 Batching Arrangement
15 Capability of up gradation of software as per RBI directive

16 The technology must be image based.

17 User interface machine should have attached printer,
display with function, menu keys, external display for
count of notes at no extra cost.

18 Printer interface facility must be provided free of cost

19 Onsite warranty (3 years, unconditional)

20 Machine should have LCD graphic mode Digital display
of information with value / Nos. of Notes

53
21 GENERATION OF REPORTS

The NSMs should be capable to provide the following

information as per banks requirement. :

a) Denomination wise no. of bank notes

processed/sorted on daily/monthly basis.
b) NSM should be capable/or upgradable for
recording and keeping series & S. No. of notes
processed comprising of front and back side, through
machine , series sorting facility and detection of RBI
declared fake series automatically.
c) Details of users of the NSM
d) Machine to generate various types of reports such
as balance report/customer report/operator report/variance
report/reject report/jam recovery report/supervisory report.

Remarks of Bidder

1 Details of EMD:

BG No..Date Amount................
Issue Bank

OR

EMD Amount credited to bank account on

2 Power supply requirements and consumption

3 Voltage stabilizer - inbuilt or external? (at no extra

cost).

54
 Annexure III- D

TECHNICAL SPECIFICATIONS (4)

NOTE SORTING MACHINE (2+1 POCKETS)

The machines shall perform authenticity check with reference to the features of genuine
notes as disclosed by the Reserve Bank of India from time to time. Any note which is not
found to be having all the features of a genuine note shall be classified by the machine as
suspect.

Notes can only be recycled / reissued if they are evaluated as genuine and fit according to
the parameters laid down by RBI (see Guidelines on Note Authentication and
Fitness Sorting Parameters attached). Authenticity check is a prerequisite for fitness sorting.
Fitness sorting can be done only in case of genuine notes. The machines shall be able to
identify and separate suspected counterfeits and notes which are unfit for circulation in
terms of these standards in a reliable and consistent fashion.

A fit note is a note that is genuine, sufficiently clean to allow its denomination to be readily
ascertained and thus suitable for recycling. An unfit note is a note that is not suitable
for recycling because of its physical condition or belongs to a series that has been phased
out by Reserve Bank of India. All the fitness parameters laid down by RBI are to be
evaluated individually. A note must pass all the fitness parameters to be considered fit for
recycling.

The bidder should provide the information as per table below as to whether or not their Note
Sorting Machines as per bid conform to these points ((Tolerance level
as per RBI norms). If any of the criteria is not satisfied by the NSMs as per Bidders
Assessment or Banks Assessment, it will not be considered for further evaluation.

Sl. Details Bidders Banks

No. assessment assessment
Yes /No Yes / No
1 Model number of machine
2 Ergonomic design, sturdy, capable of working in
dusty, hot and humid conditions in India
3 Number of Stackers with capacity- Two or more
4 Number of Reject Stackers with capacity - One or more
5 Minimum Processing Speed 21000 Notes/hour.
Machine programmable for diverse sorting parameter

6 Feeding Capacity - Minimum 500 Notes with

Assisted Feed mechanism
7 Machine should work on any orientation of the notes

55
9 Denomination sorting

10 Orientation sorting

11 Facing sorting

12 Machine must detect and sort suspect/counterfeit Notes

13 Fitness sorting: The machines shall perform the following
fitness sorting functions as per criteria and standards laid
down in RBI Guidelines on Note Authentication and
Fitness Sorting Parameters:

A Soiling
B Limpness
C Dog-Ears
D Tears
E Holes
F Stains
G Graffiti
H Crumples/Folds
I Decolouration
J Repair
K Mutilated, Imperfect and Mismatched Notes

14 Batching Arrangement
15 Capability of up gradation of software as per RBI directive

16 The technology must be image based.

17 User interface machine should have attached printer,
display with function, menu keys, external display for
count of notes at no extra cost.

18 Printer interface facility must be provided free of cost

19 Onsite warranty (3 years, unconditional)

20 Machine should have LCD graphic mode Digital display
of information with value / Nos. of Notes

56
21 GENERATION OF REPORTS

The NSMs should be capable to provide the following

information as per banks requirement. :

a) Denomination wise no. of bank notes

processed/sorted on daily/monthly basis.
b) NSM should be capable/or upgradable for
recording and keeping series & S. No. of notes
processed comprising of front and back side, through
machine , series sorting facility and detection of RBI
declared fake series automatically.
c) Details of users of the NSM
d) Machine to generate various types of reports such
as balance report/customer report/operator report/variance
report/reject report/jam recovery report/supervisory report.

Remarks of Bidder

1 Details of EMD:

BG No..Date Amount................
Issue Bank

OR

EMD Amount credited to bank account on

2 Power supply requirements and consumption

3 Voltage stabilizer - inbuilt or external? (at no extra

cost).

57
 Annexure III- E

TECHNICAL SPECIFICATIONS (5)

NOTE SORTING MACHINE (1+1 POCKETS)

The machines shall perform authenticity check with reference to the features of genuine
notes as disclosed by the Reserve Bank of India from time to time. Any note which is not
found to be having all the features of a genuine note shall be classified by the machine as
suspect.

Notes can only be recycled / reissued if they are evaluated as genuine and fit according to
the parameters laid down by RBI (see Guidelines on Note Authentication and
Fitness Sorting Parameters attached). Authenticity check is a prerequisite for fitness sorting.
Fitness sorting can be done only in case of genuine notes. The machines shall be able to
identify and separate suspected counterfeits and notes which are unfit for circulation in
terms of these standards in a reliable and consistent fashion.

A fit note is a note that is genuine, sufficiently clean to allow its denomination to be readily
ascertained and thus suitable for recycling. An unfit note is a note that is not suitable
for recycling because of its physical condition or belongs to a series that has been phased
out by Reserve Bank of India. All the fitness parameters laid down by RBI are to be
evaluated individually. A note must pass all the fitness parameters to be considered fit for
recycling.

The bidder should provide the information as per table below as to whether or not their Note
Sorting Machines as per bid conform to these points ((Tolerance level
as per RBI norms). If any of the criteria is not satisfied by the NSMs as per Bidders
Assessment or Banks Assessment, it will not be considered for further evaluation.

Sl. Details Bidders Banks

No. assessment assessment
Yes /No Yes / No
1 Model number of machine
2 Ergonomic design, sturdy, capable of working in
dusty, hot and humid conditions in India
3 Number of Stackers with capacity- One or more
4 Number of Reject Stackers with capacity - One or more
5 Minimum Processing Speed 18000 Notes/hour.
Machine programmable for diverse sorting parameter

6 Feeding Capacity - Minimum 400 Notes with

Assisted Feed mechanism
7 Machine should work on any orientation of the notes

8 First Note recognition

58
9 Denomination sorting

10 Orientation sorting

11 Facing sorting

12 Machine must detect and sort suspect/counterfeit Notes

13 Fitness sorting: The machines shall perform the following
fitness sorting functions as per criteria and standards laid
down in RBI Guidelines on Note Authentication and
Fitness Sorting Parameters:

A Soiling
B Limpness
C Dog-Ears
D Tears
E Holes
F Stains
G Graffiti
H Crumples/Folds
I Decolouration
J Repair
K Mutilated, Imperfect and Mismatched Notes

14 Batching Arrangement
15 Capability of up gradation of software as per RBI directive

16 The technology must be image based.

17 User interface machine should have attached printer,
display with function, menu keys, external display for
count of notes at no extra cost.

18 Printer interface facility must be provided free of cost

19 Onsite warranty (3 years, unconditional)

20 Machine should have LCD graphic mode Digital display
of information with value / Nos. of Notes

59
21 GENERATION OF REPORTS

The NSMs should be capable to provide the following

information as per banks requirement. :

a) Denomination wise no. of bank notes

processed/sorted on daily/monthly basis.
b) NSM should be capable/or upgradable for
recording and keeping series & S. No. of notes
processed comprising of front and back side, through
machine , series sorting facility and detection of RBI
declared fake series automatically.
c) Details of users of the NSM
d) Machine to generate various types of reports such
as balance report/customer report/operator report/variance
report/reject report/jam recovery report/supervisory report.

Remarks of Bidder

1 Details of EMD:

BG No..Date Amount................
Issue Bank

OR

EMD Amount credited to bank account on

2 Power supply requirements and consumption

3 Voltage stabilizer - inbuilt or external? (at no extra

cost).

60
 Annexure IV
BIDDER INFORMATION

1. Name of the Company

2. Constitution of the Company
(Proprietorship / Partnership / Pvt. Ltd. / Public Ltd. and year of
establishment)
3. Annual Turnover: (2012-13,2013-14& 2014-15) on account of type of
NSMs for which bid is submitted.
(Please enclose audited balance sheets and Profit and Loss
4. Statementmanufactured:
Machines of the Company for the above
(Indigenously or3imported)
years)
5. Local Address of Factory, where Machines are
manufactured, with details of facilities available
6. In case of imported machines, name and Address of
Principal Suppliers (Details of arrangement to be submitted)
7. Whether the machine has been installed in RBI and if yes,
the details
8. Complete details of service network in India viz.
Branches/offices, Number of personnel engaged and their cell phone
Number.
9. Sales Tax Number / PAN / TAN Service Tax Registration
No.: (Enclose photocopies)
10. Details of similar supply made during last 3 Financial years ending
31.03.2015.
( Give name of Bank, quantity supplied, period of supply, Model.
Enclose copies of satisfactory installation
certificates.)
11. Details of the factory trained qualified engineers with Degree
/ Diploma :
12. Undertaking as below:
13. Empanelment with any other Bank (Pl. specify):

14. Have your Company and/or Associates have :

undertaken any work for Punjab National Bank or its
subsidiaries(Pl. specify with details)

15. Have you ever been disqualified/de-paneled/blacklisted or

levied penalty by Punjab National Bank or any other Bank in India for
non-fulfillment of contractual obligations in any of the last five accounting
years. If yes, please provide details in brief.

16. Have you ever been put on a holiday list or banned by any
Public Sector Unit, if yes, please provide details

61
17. Bidder to enter into pact by execution of agreement as per Annexure XV
(Integrity Pact). In case of Non execution of the same, bids are liable to be
rejected. The pact shall be applicable to all stages of RFP.

I/W e confirm that to the best of my / our knowledge the information provided above is correct
and I/we understand that any concealment of facts will lead to my/our disqualification at any
stage by the Bank. We confirm to execute integrity pact as per prescribed format.

Date: SIGNATURE OF BIDDER

Place : Authorized Signatory (With Seal)

(All details are mandatory. Wherever the space is insufficient, separate sheet may be used
to furnish the details).

62
 ANNEXURE-V

COMPLIANCE STATEMENT

DECLARATION

All Terms and Conditions including scope of work except technical

specifications

We here by undertake and agree to abide by all the terms and conditions stipulated by
the Bank in this RFP including all addendum, corrigendum etc .Any deviation may
result in disqualification of bids.

Signature:

Seal of company

63
 ANNEXURE-VI

SERVICE SUPPORT DETAILS

Sr. Location Status No. of Volume

No. Address Office Fax Name of Maintenance of min.
Telephone No. of Office Engineers stock of
Number contact working spares
Person days & available
with hours at all the
contact times
number

Toll free No. for call logging: ______________________________

E-mail Id for logging the case:_____________________________
Details required for lodging the complaint:____________________

Signature and Seal of Bidder

64
 ANNEXURE-VII

PROFORMA FOR PERFORMANCE STATEMENT

(FOR A PERIOD OF LAST 3 YEARS)

NAME OF BID

NAME OF FIRM

Order Order Description Value Date of Remark Performance

Placed by No. and of Completion (reason of equipment
(Full and Quantity of Order for late (Attach
Address of Date ordered delivery) certificate
Purchaser) Equipment As per Actual from
contract customer)

Signature and Seal of Bidder

65
 Annexure VIII

MANUFACTURERS AUTHORISATION FORM

No Dated

The Chief Manager, Punjab National Bank, GBD, 2nd Floor,

HO : Rajendra Place, New Delhi.

Dear Sir,

Sub: Invitation to bid for rate approval for supply, installation, commissioning and
Maintenance of Note Sorting Machines (8+1 pocket), . Note Sorting
Machines (4+1 pocket), Note Sorting Machines (3+1 pocket). , Note Sorting
Machines (2+1 pocket), Note Sorting Machines (1+1 pocket) (strikeout
whichever is not applicable) for Currency Chests / Branches all over India

We ................................ who are established and reputable manufacturers of

Note Sorting Machines having manufacturing facility at ................ and ...... do
hereby authorize M/s. ..................... (Name and Address of Agents) to submit a bid,
and sign the contract with you for the goods manufactured by us against the
above tender.

We hereby extend our full guarantee and onsite warranty as per Clauses of
Contract for the goods and services offered for supply by the above firm
against this tender.

Yours faithfully,

(NAME)
(Name of manufacturers)

Note: This letter of authority should be on the letterhead of the manufacturer

and should be signed by a person competent and having the power of attorney to
bind the manufacturer. It should be included by the Bidder in its bid

66
 Annexure IX

LETTER OF AUTHORISATION TO BID

No Dated
The Chief Manager,
Punjab National Bank, GBD, 2nd Floor,
HO : Rajendra Place, New Delhi.

Dear Sir,

Sub: Letter of Authorization to bid for Supply, installation, commissioning and

maintenance of . Note Sorting Machines (8+1 pocket), . Note Sorting
Machines (4+1 pocket), Note Sorting Machines (3+1 pocket), Note Sorting Machines
(2+1 pocket), . Note Sorting Machines (1+1 pocket & supply (strike out
which ever is not applicable) for Currency Chests & Branches all over India.

We M/s ................................ (Name and address of the principal) hereby authorize

M/s. ..................... (Name and Address of Agents), our Business
Partner/Authorized Distributors to submit a bid, and sign the contract on behalf of us
for all the systems/goods required by the bank as called for vide the banks request
for proposal reference no

We hereby extend our full guarantee and onsite warranty as per Clauses of Contract
for the goods and services offered for supply by the above firm against this tender.

Yours faithfully,

(NAME)
(Name of principal bidder on whose behalf the proposal is submitted)

Note: This letter of authority should be on the letterhead of the principal on

whose behalf the proposal is submitted and should be signed by a person
competent and having the power of attorney to bind the principal. It should be
included by the Bidder in its bid.

67
 Annexure X

AGREEMENT FORMAT

This agreement made the day of the month of in the year

2016 at between Punjab National Bank a body Corporate constituted under
Banking Companies (Acquisition and Transfer of undertakings Act) 1970 h
aving its Head Office at
7 , B h i k a i j i C a ma P l a c e , H e a d O f f i c e N e w D e l h i represented by
its duly constituted attorney Sri..., (name and designation),
hereinafter referred to as the "BANK", which expression shall unless repugnant to
the context mean and include its successors and assignees , o n t h e
o n e p a r t a n d

(Name of the Supplier), a company registered under Companies Act, 1956/ a firm
registered under Partnership Act 1932 having its registered office at
. represented by its (director) Sri hereinafter
referred to as the SUPPLIER on the other part;

WHEREAS the Bank having agreed to purchase about .. Heavy Duty

Note Sorting Machines and Note Sorting Machines (strike out whichever is
not applicable) (Make/ Model with 8+1 pockets /4+1 pockets/3+1 pockets/2 + 1
pockets / 1+1 pockets (strike out whichever is not applicable), hereinafter called the
'Machines from the Supplier who agrees to supply, install, impart training,
commissioning, connecting to banks network and maintain the machines, as per
the model and the specifications and the terms and conditions contained in the
RFP & finalized between the Supplier & the Bank.

NOW THIS AGREEMENT WITNESSETH as follows:

1. In this agreement words and expression shall have the same meanings as are
respectively assigned to them in the contract hereinafter referred to.

2. The following documents not being inconsistent with these presents shall be
deemed to form and be read and construed as part of this agreement viz;

2.1. The RFP document with all Annexures and Price Bids
2.2. The Tender, Letter of Acceptance, Letters from & to the Supplier, if any,
leading to and prior to acceptance letter.
2.3. Technical Specifications, Special Conditions, Questionnaire, tender
drawings if any, etc.
2.4. Minutes of pre-bid meeting, if any.
2.5. The details submitted in technical bid, design, and such other
documents.

68
In consideration of the payments to be made by the Bank to the Supplier, the
Supplier hereby convenants and agrees with the Bank to complete the works in
conformity with and subject to all terms and conditions/rules as mentioned in the
General Conditions as also in the aforesaid documents which shall form part of this
agreement.

In witness whereof the parties hereto have hereunto set their respective hands
on the date & place first above written.

Signed, sealed and delivered by the said Supplier

to .. (name of PNB) in the presence of:

Signature of Supplier (with seal)

Signature of Authorized representative of PNB / Accepting Authority. Witness

(Signature, Name & Address ):

1).

2).

69
 ANNEXURE-XI

Format of Bank Guarantee In Lieu Of Earnest Money Deposit

(To be submitted on non judicial stamp paper of appropriate value purchased in

the name of the issuing Bank)

The Chief Manager,

Punjab National Bank,
GBD, 2nd Floor, HO : Rajendra Place,
New Delhi.

This deed of guarantee made o n this day of two thousand _ _ _ _ _ _

at by (Name of Banker) having its registered office at
(place) and one of its local offices at (hereinafter referred to as the Surety), in
favour of Punjab National Bank , a Body Corporate constituted under the
Banking Companies(Acquisition & Transfer of Undertakings) Act, 1970,
having its Head Office at 7 Bhikaiji cama Place, New Delhi 110607, INDIA
(hereinafter referred to as PNB).

WHEREAS (Tenderer name herein after referred to as Tenderer ) a

Company / firm registered under _ _ and having its registered office at _ is
bound to deposit with P N B by way of earnest money o f Rs
lakh (Rupees) towards NSM (8+1 pockets) / (4+1
pockets) / (3+1)NSM (2+1 pockets) / NSM (1+1 pockets) (as the case may be) in
connection with its bid for supply, installation, commissioning, testing and
Maintenance of .. Note Sorting Machines (8+1 pockets) and
.. Note Sorting Machines (4+1 pockets), Note Sorting Machines
(2+1 pockets) and N o t e s o r t i n g m a c h i n e ( 3 + 1 ) Note Sorting
Machines (1+1 pockets) (strike out whichever is not applicable) at PNBs
Offices/branches located all over India and the specifications and terms and
conditions enclosed therein.

WHEREAS the Tenderer as per terms & conditions of the Tender has agreed to
furnish a Bank Guarantee valid up to .(date, 12 months from last date of
Submission of Bids) in lieu of deposit of earnest money in cash.

NOW THIS WITNESSETH AS UNDER:

1. That the Surety in consideration of the afore said hereby undertakes to

guarantee payment on demand without demur to P N B the said amount
of Rs. /- (Rupees only) within one week from the
date of receipt of the demand from PNB

70
2. This guarantee shall not be affected by any infirmity or irregularity on the part of
the Tenderer or by the dissolution or any change in the constitution of PNB, the
Tenderer or the Surety.

3. P N B shall be entitled to make any claim under this guarantee if the

Supplier after submitting his bid, rescinds his offer or modifies the terms and
conditions thereof in a manner not acceptable to P N B or expresses his
unwillingness to accept the order after P N B has decided to place order with
the Supplier for the supply of the H e a v y D u t y / Note Sorting Machines. PNBs
decision in this regard shall be final and binding.

4. The Surety shall not and cannot revoke this guarantee during its currency except
with previous consent of PNB in writing.

5. Notwithstanding anything contained in the foregoing, the Suretys liability under

the guarantee is restricted to Rs.../- (Rupees . only).

6. This guarantee shall remain in force and effective up to 00.00.20, (12

months from last date of Submission of Bids) plus one month maintenance period
and shall expire and become ineffective on intimation thereof being given to the
Surety by PNB in which event this guarantee shall stand discharged.

7. The Surety will make the payment pursuant to the demand notice issued by
PNB, notwithstanding any dispute that may exist or arise between the Supplier
and PNB or any other person.

8. Any forbearance, act or omission on the part of PNB in enforcing any of the
conditions of the said tender or showing of any indulgence by PNB to the T
e n d e r e r shall not discharge the Surety in any way and the obligations of the
Surety under this guarantee shall be discharged only on the intimation thereof
being given to the Surety by PNB.

9. Notwithstanding anything contained herein before, our liability under this

guarantee is restricted to Rs. ../- (Rupees . only) and
this guarantee would be valid up to (00.00.20., (12 months from last date of
Submission of Bids) and we shall be discharged from all liabilities hereunder
unless a written claim for payment under this guarantee is lodged on us within
one month from the date of expiry of guarantee i.e. on or before 00.00.20..,
(12 months from last date of Submission of Bids) irrespective of whether or not the
original guarantee is returned to us.

71
10. The Surety has the powers to issue this guarantee under its
Memorandum and Articles of Association and the person executing this deed
has the necessary powers to do so under the Power of Attorney or otherwise
granted to him by the Surety.

SIGNED AND DELIVERED

For and on behalf of above named Surety Bank. (Bankers Name and
Seal) Branch Manager (Bankers seal)

AUTHORIZED SIGNATORY Name:

Designation:
BO:

72
 ANNEXURE-XII

Format of Bank Guarantee for Performance Guarantee

(To be submitted on Non-judicial stamp paper of appropriate value purchased in the

name of the issuing bank)

No. Date _

The Incumbent Incharge,

Punjab National Bank,

Dear Sir,

In consideration of your agreeing to accept the security deposit of Rs...lakhs to

be furnished to you by Messrs _ (hereinafter referred to as the Supplier) in terms
of their contract with you for supply, installation, testing, commissioning of .
Note Sorting Machines (8+1 pockets), . Note Sorting Machines (4+1 pockets),
., , Note Sorting Machines (2+1 pockets), (3+1) pocket ..
Note Sorting Machines (1+1 pockets) (strikeout whichever is not applicable) for
PNB's Branches/Currency Chests at locations to be specified by PNB as per their
Tender No. dated and General conditions of Contract and other
tender documents relating thereto subject to the conditions and alterations mutually
agreed upon set forth or referred to in your Order/Contract No. _ dated
in the form of bank guarantee from us in the manner hereinafter contained, we -
(Name of the bank) do hereby covenant and agree with you as follows:

1. We undertake to indemnify you and keep you indemnified from time to

time to the extent of Rs. . lakhs against any loss or damage caused to or
suffered by or that may be caused to or suffered by you by reason of any breach
or breaches on the part of the Supplier of any of the terms and conditions contained in
the said Contract and in the event of the Suppl i er making any default or default in
carrying out any of the work under the said Contract or otherwise in the
observance and performance of any of the terms and conditions relating thereto in
accordance with the true indent and meaning thereof, we shall forthwith on
demand pay to you such sum or sums not exceeding in total the said sum of Rs.
.(amount) as may be demanded / claimed by you as losses and/or damages,
costs, charges or expenses by reason of such default on the part of the Supplier.

73
2. Notwithstanding anything to the contrary, your decision as to whether
the Supplier has made any such default or defaults and the amount or amounts to
which you are entitled to reasons thereof will be binding on us and we shall not be
entitled to ask you to establish your claim or claims under this Guarantee but will pay
the same forthwith on your demand without any protest or demur.

3. This guarantee shall continue and hold good until it is released by you on the
request of the S u p p l i e r after expiry of period of the said Contract and after the
Supplier had discharged all his obligations under the said Contract and
produced a certificate of due completion of the work under the said contract
and submitted a No Demand Certificate, provided always that this guarantee shall in no
event remain in force after (date, 42 months from date of installation and
commissioning of the machines) without prejudice to your claim or claims arisen
and demanded from or otherwise notified to us in writing before the expiry of six
months from the said date which will be enforceable against us
notwithstanding that the same is or are enforced after the said date.

4. Should it be necessary to extend this guarantee on account of any reason

whatsoever, we undertake to extend the period of this Guarantee on your request
till such time as may be required by you. If you dont hear from us on such
extension within 10 days of your demand, then it can be presumed that we
have extended accordingly a n d y our decision in this respect shall be final and
binding on us.

5. You will have the fullest liberty without affecting this guarantee from time to
time to vary any of the terms and conditions of the said contract or extend the time of
performance of the Contractor or to postpone for any time or from time to time any of
your rights or powers against the Contractor and either to enforce or forbear to enforce
any of the terms and conditions of the said Contract and we shall not be released from
our liability under this guarantee by the exercise of your liberty with reference
to matters aforesaid or by reason of any time being given to the Contractor or any
other forbearance, act or omission on your part or any indulgence given by you to the
Supplier or by any variation or modification of the said contract or any other act, matter
or things whatsoever, which under the law relating to sureties would but for
the provisions hereof have the effect of so releasing us from our liability
hereunder provided always that nothing herein contained will enlarge our liability
hereunder beyond R s . .. as aforesaid.

6. This guarantee shall not in any way be affected by your taking or varying
or giving up any securities f u r n i s h e d b y the S u p p l i e r or any other person,
firm or company on its behalf or by the winding up, dissolution, insolvency or death
as the case may be, of the Supplier.

74
7. In order to give full effect to the guarantee herein contained you shall be
entitled to act as if we were your principal debtors in respect of all your claims
against the Contractor hereby guaranteed by us as aforesaid and we hereby
expressly waive all our rights of surety-ship and other rights, if any, which are in any
way inconsistent with any of the provisions of this guarantee.

8. Subject to the limit of our liability as aforesaid, this guarantee will cover
all your claim or claims against the Supplier from time to time arising out of or in
relation to the said contract and in respect of which your claim in writing is lodged on
us before expiry of six months from the date of expiry of this guarantee.

9. Any notice by way of demand or otherwise hereunder may be sent by special

courier, telex, fax or registered post to our local address as aforesaid and if sent
by post, it shall be deemed to have been given when the same has been posted.

10. This guarantee and the powers and provisions herein contained are in
addition to and not by way of limitation of or substitution for any other guarantee or
guarantees heretofore given to you by us (whether jointly with others or alone) and
now existing un- cancelled and that this guarantee is not intended to and shall not
revoke or limit such guarantee or guarantees.

11. This guarantee shall not be affected by any change in the constitution of the
Supplier or us nor shall it be affected by any change in your constitution or by any
amalgamation or absorption thereof or therewith but will ensure to the benefit of
and be available to and enforceable by the absorbing or amalgamated company or
concern.

12. Any forbearance, act or omission on the part of PNB in enforcing any of the
conditions of the said tender or showing of any indulgence by PNB to the Supplier
shall not discharge us in any way and our obligations of the Surety under this
guarantee shall be discharged only on the intimation thereof being given to u s by
the bank..

13. This guarantee is irrevocable during the period of its currency and shall not be
revoked without your previous consent in writing from the bank..

14. W e further agree and undertake to pay you without demur the amount
demanded by you in writing notwithstanding any difference or dispute or
controversy that may exist or arise between you and the Supplier or any other
person.

75
15. Notwithstanding anything contained herein before, our liability under this
guarantee is restricted to Rs. ..(Amount) and this guarantee would be
valid up to ..(date, 42 months from date of installation and commissioning of
machines) and we shall be discharged from all liabilities hereunder unless a
written claim for payment under this guarantee is lodged on us within one
month from the date of expiry of guarantee i.e. on or before (date..) irrespective
of whether or not the original guarantee is returned to us..

16. We have powers to issue this guarantee in your favour under the
Memorandum and Articles of Association of our Bank or otherwise and the
signatories / executants of these presents has full powers to execute this
Guarantee under the Power of Attorney granted to him by us.

SIGNED AND DELIVERED

(For & on behalf of the above named Bank) For & on behalf of (Bankers
Name & Seal)

BRANCH MANAGER (Bankers Seal) Address

AUTHORIZED SIGNATORY Name:-

Designation
BO:

Place:

Date: ___

76
 ANNEXURE - XIII

Format of Annual Maintenance Contract

This Annual Maintenance Contract is executed on (date) between

.. (Name and address of the Supplier) a company registered under
Companies Act 1956/ a firm, having its registered office at (hereinafter
called, the Supplier / Vendor ) represented by its (Managing Director / Authorized
signatory), Mr. .

And

PUNJAB NATIONAL BANK, a body corporate constituted under Banking Companies

(Acquisition and Transfer of undertakings Act) 1970 (hereinafter called PNB) having
its Head Office at 7, Bhikaiji Cama Place, New Delhi represented by its duly
constituted attorney Mr., General/ Deputy/Asst. General Manager.

PNB has purchased Nos. Note Sorting Machines (8+1 pockets),

Nos. Note Sorting Machines (4+1 pockets), Note Sorting
Machines (3+1 pockets), Nos. Note Sorting Machines (2+1 pockets), .
Nos.; Note Sorting Machines (1+1 pockets) (strike out whichever is not applicable)
from the Supplier as per the Agreement dated, for its use at its various
Branches / Currency Chests. In the said Agreement the Supplier has agreed for
an inbuilt onsite warranty for a period of three years from the date of satisfactory
installation & Commissioning. The Supplier has also agreed to sign an Annual
Maintenance Contract (AMC) for a period of 4 years after the expiry of the onsite
warranty period. Clause No 13 of Terms and Conditions of the tender which is part of
the Agreement dated. may be referred to for complete details and may be
treated as part of this Agreement.

Accordingly, the Supplier agrees to undertake the said work of annual

maintenance of the machines for a period of three years after the expiry of three
years onsite warranty period on the following terms and conditions : -

1. The AMC period for the various machines shall be as given in the
Annexure attached.

2. The Supplier shall ensure that the machines are kept in efficient running / working
condition at all times by arranging appropriate preventive maintenance of the
machines at quarterly intervals. .

3. In case of any defect, malfunctioning or breakdown of the machines (2) or

shortfall in its performance, PNB shall inform / make complaint to the Supplier by
phone/telex/fax/letter about the same. The complaints in respect of t h e machines
located at each of the place may be preferred to the address given in the
Annexure.

77
4. If the machine cannot be made serviceable either by repair or by replacement
and put back into regular operation within 2 working days in metros, 3 working days in
urban area, 5 working days in semi-urban & rural and 10 working days in island
branches/offices, on account of any breakdown due to machine
failures/repairs/settings, a similar stand-by machine in good working condition shall
be provided at the cost of the Supplier failing which a penalty at the rate of
Rs.1,000/- (Rupees one thousand only) per day for the first 10 days and
Rs.5,000/- (Rupees Five Thousand only) per day beyond 10 days for
NSM as well as for the NSM will be imposed and deducted from any payment due to
the Supplier or from the Security Deposit or by revoking the Performance Guarantee.

5. If the preventive maintenance is not attended to, as stipulated under clause

above, proportionate charges, based on the AMC amount quoted by the Supplier,
will be deducted from any payment due to the Supplier or from the Security Deposit
or by encashing the Performance Guarantee.

6. The Supplier shall bear the transportation and all other costs in this regard
for shifting repairing and replacing the machines.

7. The AMC charges shall be Rs. .. for each machine for each year
excluding the Service Tax. The Service Tax on AMC is payable separately as per
norms prevailing at the time of invoicing. The AMC charges are inclusive of all
taxes and shall be firm and not subject to any escalation whatsoever on any
account. The charges are payable by PNB on half yearly basis i n a d v a n c e after
deduction of tax at source (TDS) as per relevant provisions of Finance Act from time
to time.

8. The bills and invoices for AMC charges shall be prepared by the Supplier
and submitted to the respective branch / office of PNB, duly certified for the
satisfactory working of the machine.

9. For attending to the complaints or preventive maintenance, the Engineers of

the Supplier only will have to be deputed and the Supplier shall not engage any
other local mechanics or other companies.

10. During the validity of the AMC the Supplier shall ensure the replacement of
any spare, consumables, components and parts free of cost.

78
11. The Supplier shall not claim any other overheads, traveling expenses,
boarding, lodging expenses etc., for engineers/workmen.

12. PNB is entitled to cancel this agreement without assigning any reasons by
giving 30 days written notice to the corporate office of the Supplier.

13. In case of any dispute the courts at New Delhi only will have jurisdictions.

14. This AMC Contract shall be valid for F o u r years from the date of expiry of
three Years onsite warranty as shown in the Annexure. AMC agreement shall not
require renewal during the validity period unless the same is cancelled by the bank.

15. To ensure due fulfillment of these terms and conditions, the Supplier has
furnished an irrevocable Bank Guarantee bearing No.datedfor an
amount of Rs. issued by . Bank. This Bank Guarantee shall be
returned duly discharged on satisfactory completion of the AMC period.

IN W ITNESS W HEREOF, THE PARTIES HERETO HAVE SET THEIR HANDS AND
SEAL TO THESE PRESENTS ON THE DAY, MONTH & YEAR FIRST ABOVE
WRITTEN.

Signed in (place) on ----------- Signed in (place) on ---------

For and on behalf of (Name of the Supplier) For and on behalf of Bank

79
 ANNEXURE - XIV

Format of Bank Guarantee for AMC

(To be submitted on Non-judicial stamp paper of appropriate value purchased in the

Name of the issuing bank)

We Bank, having its registered office at

taking into consideration:

That M/s. _
address _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ ( hereinafter called the Supplier) has
received from PNB at site address hereinafter called
the Buyer, an order for p r o v i d i n g Annual Maintenance Services for its N o t e
Sorting Machines.

That the Buyer requires from the Supplier a bank guarantee for a sum of

Indian Rupees (in words) as a security for the due fulfillment by the Supplier for
their contractual obligations in this respect: Declares:

We hereby irrevocably and unconditionally undertake to pay to the B uyer on

first written demand an amount to the extent of Indian Rupees_ (in
words) if such demand is made on us on or before .

This guarantee will remain valid up to and including _ date (end of

period).

Notwithstanding anything contained herein before, our liability under this guarantee is
restricted to Rs. (Rupees _ _ only) and i n v o c a t i o n i f a n y s h o u l d r e a
c h u s o n o r b e f o r e _ _ _ _ _ _ _ _ _ _ _ irrespective of whether or not the original
guarantee is returned to us.

Place : _ Date : _

80
 ANNEXURE XV

INTEGRITY PACT

To,
Chief Manager, GSAD,
Punjab National Bank,

New Delhi

Subject: Submission of Tender for the work

Dear Sir,

I/We acknowledge that Punjab National Bank is committed to follow the principle of
transparency equity and competitiveness as enumerated in the Integrity Agreement
enclosed with the tender/bid document.

I/We agree that the Notice Inviting Tender (NIT) is an invitation to offer made on the
condition that I/We will sign the enclosed integrity Agreement, which is an integral part
of tender documents, failing which I/We will stand disqualified from the tendering
process. I/We acknowledge that THE MAKING OF THE BID SHALL BE REGARDED
AS AN UNCONDITIONAL AND ABSOLUTE ACCEPTANCE of this condition of the NIT.

I/We confirm acceptance and compliance with the Integrity Agreement in letter and spirit
and further agree that execution of the said Integrity Agreement shall be separate and
distinct from the main contract, which will come into existence when tender/bid is finally
accepted by Punjab National Bank. I/We acknowledge and accept the duration of the
Integrity Agreement, which shall be in the line with Article 6 of the enclosed Integrity
Agreement.

I/We acknowledge that in the event of my/our failure to sign and accept the Integrity
Agreement, while submitting the tender/bid, Punjab National Bank shall have
unqualified, absolute and unfettered right to disqualify the tenderer/bidder and reject the
tender/bid is accordance with terms and conditions of the tender/bid.

Yours faithfully

(Duly authorized signatory of the Bidder)

To be signed by the bidder and same signatory competent / authorized to sign the
relevant contract on behalf of Punjab National Bank.

81
INTEGRITY AGREEMENT

This Integrity Agreement is made at ............... on this ...........day of ........... 20....

BETWEEN

Punjab National Bank is a Bank constituted under The Banking Companies (Acquisition
& Transfer of Under-takings) Act 1970, having its Head Office at 7, Bhikhaiji Cama
Place, New Delhi 110 607 and inter-alia a Branch Office/ Circle Office at ____________
(Hereinafter referred as the Principal/Owner, which expression shall unless repugnant
to the meaning or context hereof include its successors and assigns)

AND

............................................................................................................. (Na me and

Address of the Individual/firm/Company)
through.................................................................... Details of duly authorized signatory)
(Hereinafter referred to as the Bidder/Contractor and which expression shall unless
repugnant to the meaning or context here of include its successors and permitted
assigns)

Preamble

WHEREAS the Principal / Owner has floated the Tender for (..Name of
Work..) (hereinafter referred to as Tender/Bid) and intends to award,
under laid down organizational procedure, contract for
hereinafter referred to as the Contract.

AND WHEREAS the Principal/Owner values full compliance with all relevant laws of the
land, rules, regulations, economic use of resources and of fairness/transparency in its
relation with its Bidder(s) and Contractor(s). AND WHEREAS to meet the purpose
aforesaid both the parties have agreed to enter into this Integrity Agreement (hereinafter
referred to as Integrity Pact or Pact), the terms and conditions of which shall also be
read as integral part and parcel of the Tender/Bid documents and Contract between the
parties.

NOW, THEREFORE, in consideration of mutual covenants contained in this Pact, the

parties hereby agree as follows and this Pact witnesses as under:

Article 1: Commitment of the Principal/Owner

1) The Principal/Owner commits itself to take all measures necessary to prevent
corruption and to observe the following principles:

(a) No employee of the Principal/Owner, personally or through any of his/her family

members, will in connection with the Tender, or the execution of the Contract, demand,
take a promise for or accept, for self or third person, any material or immaterial benefit
which the person is not legally entitled to.

82
(b) The Principal/Owner will, during the Tender process, treat all Bidder(s) with
equity and reason. The Principal/Owner will, in particular, before and during the Tender
process, provide to all Bidder(s) the same information and will not provide to any
Bidder(s) confidential / additional information through which the Bidder(s) could obtain
an advantage in relation to the Tender process or the Contract execution.

(c) The Principal/Owner shall Endeavour to exclude from the Tender process any
person, whose conduct in the past has been of biased nature.

2) If any information comes to the notice of the Principal/owner on the conduct of

any of its employees which is a criminal offence under the Indian Penal code
(IPC)/Prevention of Corruption Act, 1988 (PC Act) or is in violation of the principles
herein mentioned or if there be a substantive suspicion in this regard, the
Principal/Owner will inform the Chief Vigilance Officer and in addition can also initiate
disciplinary actions as per its internal laid down policies and procedures.

Article 2: Commitment of the Bidder(s)/Contractor(s)

1) It is required that each Bidder/Contractor (including their respective officers,

employees and agents) adhere to the highest ethical standards, and forthwith report the
Principal/Owner about all suspected fraudulent act or corruption or Coercion or
Collusion of any person connected with the tender process which it has knowledge or
becomes aware any time, during the tendering process and throughout the negotiation
or award of a contract.

2) The Bidder/Contractor commits himself/itself to take all measures necessary to

prevent corruption. He/it commits himself/itself to observe the following principles during
his/its participation in the Tender process and during execution of the Contract:

a) The Bidder/Contractor shall not, directly or through any other person or firm,
offer, promise or give to any of the Principal/Owners employees involved in the Tender
process or execution of the Contract or to any third person any material or other benefit
which he/she is not legally entitled to, in order to obtain in exchange any advantage of
any kind whatsoever during the Tender process or during the execution of the Contract.

b) The Bidder/Contractor shall not enter with other Bidder(s) into any undisclosed
agreement or understanding, whether formal or informal. This applies in particular to
prices, specifications, certifications, subsidiary contracts, submission or non-submission
of bids or any other actions to restrict competitiveness or to cartelize in the bidding
process.

c) The Bidder/Contractor will not commit any offence under the relevant IPC/PC
Act. Further the Bidder/Contract will not use improperly, (for the purpose of competition
or personal gain), or pass on to others, any information or documents provided by the
Principal/Owner as part of the business relationship, regarding plans, technical
proposals and business details, including information contained or transmitted
Electronically.

83
d) The Bidder/Contractor of foreign origin shall disclose the names and addresses
of agents/ representatives in India, if any. Similarly Bidder/Contractor of Indian
Nationality shall disclose names and addresses of foreign agents/representatives, if
any. Either the Indian agent on behalf of the foreign principal or the foreign principal
directly could bid in a tender but not both. Further, in cases where an agent participate
in a tender on behalf of one manufacturer, he shall not be allowed to quote on behalf of
another manufacturer along with the first manufacturer in a subsequent/parallel tender
for the same item.

e) The Bidder/Contractor will, when presenting his/its bid, disclose any and all
payments he/it has made, is committed to or intends to make to agents, brokers or any
other intermediaries in connection with the award of the Contract.

3) The Bidder/Contractor will not instigate third persons to commit offences outlined
above or be an accessory to such offences.

4) The Bidder/Contractor will not, directly or through any other person or firm
indulge in fraudulent practice means a willful misrepresentation or omission of facts or
submission of fake/forged documents in order to induce public official to act in reliance
thereof, with the purpose of obtaining unjust advantage by or causing damage to
justified interest of others and/or to influence the procurement process to the detriment
to the interests of Principal/Owner.

5) The Bidder/Contractor will not, directly or through any other person or firm use
Coercive Practices against principal/owner and/or other bidder(s)/contractor(s). Coercie
practices mean the act of obtaining something, compelling an action or influencing a
decision through intimidation, threat or the use of force directly or indirectly, where
potential or actual injury may befall upon a person, his/ her reputation or property to
influence their participation in the tendering process.

Article 3: Consequences of Breach

Without prejudice to any rights that may be available to the Principal/Owner under law
or the Contract or its established policies and laid down procedures, the
Principal/Owner shall have the following rights in case of breach of this Integrity Pact by
the Bidder(s)/Contractor(s) and the Bidder/ Contractor accepts and undertakes to
respect and uphold the Principal/Owners absolute right:

1) If the Bidder/Contractor, either before award or during execution of Contract has

committed a transgression through a violation of Article 2 above or in any other form,
such as to put his reliability or credibility in question, the Principal/Owner at its
discretion, is entitled to disqualify the Bidder/Contractor from the Tender process or
terminate/determine the Contract, if already executed or exclude the Bidder/Contractor
from future contract award processes after giving 14 days notice to the contractor. The
imposition and duration of the exclusion will be determined by the severity of
transgression and determined by the Principal/Owner. Such exclusion may be forever or
for a limited period as decided by the Principal/Owner.

84
2) Forfeiture of EMD/Performance Guarantee/Security Deposit: If the
Principal/Owner has disqualified the Bidder(s) from the Tender process prior to the
award of the Contract or terminated/determined the Contract or has accrued the right to
terminate/determine the Contract according to Article 3(1), the Principal/Owner apart
from exercising any legal rights that may have accrued to the Principal/Owner, may in
its considered opinion forfeit the entire amount of Earnest Money Deposit, Performance
Guarantee and Security Deposit of the Bidder/Contractor.

3) Criminal Liability: If any act/omission or conduct of a Bidder or contractor conduct

of a Bidder or Contractor, or of an employee or a representative or an associate of a
Bidder or Contractor which constitutes corruption within the meaning of IPC/PC Act
brought to the notice of the Principal/Owner, or if the Principal/ Owner has substantive
suspicion in this regard, the Principal/Owner shall be at liberty to inform the same to law
enforcing agencies for further investigation.

Article 4: Previous Transgression

1) The Bidder declares that no previous transgressions occurred in the last 5 years
with any other Company in any country confirming to the anticorruption approach or with
Central Government or State Government or any other Central/State Public Sector
Enterprises in India that could justify his exclusion from the Tender process.

2) If the Bidder makes incorrect statement on this subject, he can be disqualified

from the Tender process or the contract, if already awarded, can be terminated for such
reason. Principal/owner will be entitled to exclude the contractor from future
tender/contract award processes for a period not exceeding three years.

3) Without prejudice to any other legal rights or remedies available to the principal
under the relevant clauses of the tender document.

Article 5: Equal Treatment of all Bidders/Contractors/Subcontractors

1) The Bidder(s)/Contractor(s) undertake(s) to demand from all subcontractors a

commitment in conformity with this Integrity Pact. The Bidder/Contractor shall be
responsible for any violation(s) of the principles laid down in this agreement/Pact by any
of its Subcontractors/ sub-vendors.

2) The Principal/Owner will enter into Pacts on identical terms as this one with all
Bidders and Contractors.

3) The Principal/Owner will disqualify Bidders, who do not submit, the duly signed
Pact between the Principal/Owner and the bidder, along with the Tender or violate its
provisions at any stage of the Tender process, from the Tender process.

85
Article 6- Duration of the Pact

This Pact begins when both the parties have legally signed it. It expires for the
Contractor/ Vendor 12 months after the completion of work under the contract or till the
continuation of defect liability period, till the Contract has been awarded. If any claim is
made/lodged during the time, the same shall be binding and continue to be valid despite
the lapse of this Pacts as specified above, unless it is discharged/ determined by the
Competent Authority, Punjab National Bank.

Article 7-Independent External Monitor (IEM)

1) The Principal/Owner has appointed competent and credible Independent

External Monitor(s) (IEM) for this Pact in consultation with the Central Vigilance
Commission. The task of the Monitor is to review independently and objectively,
whether and to what extent the parties comply with the obligations under this Pact.

2) The IEM is not subject to instructions by the representatives of the parties and
performs his functions neutrally and independently. He reports to MD& CEO, Punjab
National Bank.

3) The Bidder/Contractor accepts that the IEM has the right to access, without
restriction, to all Project documentation of the Principal/Owner including that provided by
the Contractor. The Contractor will also grant the IEM, upon his request and
demonstration of a valid interest, unrestricted and unconditional access to his or any of
his Sub-Contractors project documentation. The IEM is under contractual obligation to
treat the information and documents of the Bidder(s)/Contractor(s)/Subcontractor(s) with
confidentiality.

4) In case of tenders having estimated value exceeding Rs 60 lakhs, the

Principal/Owner will provide to the IEM sufficient information about all the meetings
among the parties related to the Project and shall keep the IEM apprised of all the
developments in the Tender Process.

5) As soon as the IEM notices, or believes to notice, a violation of this Pact, he will
so inform the Management of the Principal/Owner and request the Management to
discontinue or take corrective action, or to take other relevant action. The IEM can in
this regard submit non-binding recommendations. However, beyond this, the IEM has
no right to demand from the parties that they act in a specific manner, and/or refrain
from action or tolerate action.

6) The IEM shall submit a written report to the MD & CEO, of the Principal/Owner
within 6 to 8 weeks from the date of reference or intimation to him by the
Principal/Owner and, should the occasion arise, submit proposals for correcting
problematic situations.

7) The word IEM would include both singular and plural.

86
8) IEMs will not use or pass on any information or document provided to it regarding
plans, technical proposals and business details for the purpose of competition or
personal gains etc.

Article 8- Other Provisions

This Pact is subject to Indian Law, place of performance and jurisdiction is place where
office of the Principal/Owner, who has floated the Tender, is located.

2) Changes and supplements need to be made in writing.

3) If the Contractor is a partnership or a consortium, this Pact must be signed by all

the partners or consortium members. In case of a Company, the Pact must be signed
by a representative duly authorized by board resolution.

4) Should one or several provisions of this Pact turn out to be invalid; the remainder
of this Pact remains valid. In this case, the parties will strive to come to an agreement to
their original intensions.

5) It is agreed term and condition that any dispute or difference arising between the
parties with regard to the terms of this Integrity Agreement / Pact, any action taken by
the Owner/Principal in accordance with this Integrity Agreement/ Pact or interpretation
thereof shall not be subject to arbitration.

Article 9- LEGAL AND PRIOR RIGHTS

All rights and remedies of the parties hereto shall be in addition to all the other legal
rights and remedies belonging to such parties under the Contract and/or law and the
same shall be deemed to be cumulative and not alternative to such legal rights and
remedies aforesaid. For the sake of brevity, both the Parties agree that this Integrity
Pact will have precedence over the Tender/Contact documents with regard any of the
provisions covered under this Integrity Pact. IN WITNESS WHEREOF the parties have
signed and executed this Integrity Pact at the place and date first above mentioned in
the presence of following witnesses:

............................................................... (For and on behalf of Principal/Owner)

................................................................. (For and on behalf of Bidder/Contractor)

WITNESSES:

1. .............................................. (signature, name and address)

2. ............................................... (signature, name and address)

Place:

Dated :

87
 ANNEXURE XVI - A

COMMERCIAL OFFER

NSM :8+1 POCKET

PRICE BID 1

UNIT RATE FOR SUPPLY, INSTALLATION, COMMISSIONING AND

MAINTENANCE OF NOTE SORTING MACHINE (8+1 POCKET)

Type of Machine (Model / Brand name): ----------------------------------------------- Model No.

& Make (Brand Name)

Sr PRODUCT NAME PRICE (Rs)

No
1. Basic Price of machine per unit including installation &
commissioning, & training charges and all statutory
levies / taxes/insurance for transit delivery upto location
including excise duty/custom duty but excluding CST,
VAT,Octroi/Entry tax, which shall be paid on actual
basis.
2. AMC for 4 years (Comprehensive charge for 4 year
excluding Service Tax/VAT ) Service Tax on AMC is
payable separately as per norms prevailing at the time
of invoicing.

3 Grand Total (Sl. No. 1+Sl. No. 2)

The Bidder should pay VAT, Service Tax through PNB, wherever applicable.

88
 ANNEXURE XVI - B

COMMERCIAL OFFER

PRICE BID 2

NSM : 4+1 POCKET

UNIT RATE FOR SUPPLY, INSTALLATION, COMMISSIONING AND

MAINTENANCE OF NOTE SORTING MACHINE (4+1 POCKET)

Type of Machine (Model / Brand name): ----------------------------------------------- Model No.

& Make (Brand Name)

Sr PRODUCT NAME PRICE (Rs)

No
1. Basic Price of machine per unit including installation &
commissioning, & training charges and all statutory levies
/ taxes/insurance for transit delivery upto location
including excise duty/custom duty but excluding CST,
VAT,Octroi/Entry tax, which shall be paid on actual
basis.

2. AMC for 4 years (Comprehensive charge for 4

year
3 excluding
Grand Service
Total (Sl. No.Tax/VAT
1+Sl. No.) 2)Service Tax on AMC is
payable separately as per norms prevailing at the time
of invoicing.

The Bidder should pay VAT, Service Tax through PNB, wherever applicable.

89
 ANNEXURE XVI - C

COMMERCIAL OFFER

PRICE BID 3

NSM : 3+1 POCKET

UNIT RATE FOR SUPPLY, INSTALLATION, COMMISSIONING AND

MAINTENANCE OF NOTE SORTING MACHINE (3+1 POCKET)

Type of Machine (Model / Brand name): ----------------------------------------------- Model No.

& Make (Brand Name)

Sr PRODUCT NAME PRICE (Rs)

No
1. Basic Price of machine per unit including installation &
commissioning, & training charges and all statutory
levies / taxes/insurance for transit delivery upto location
including excise duty/custom duty but excluding CST,
VAT,Octroi/Entry tax, which shall be paid on actual
basis.

2. AMC for 4 years (Comprehensive charge for 4 year

excluding Service Tax/VAT ) Service Tax on AMC is
3 payableTotal
Grand separately
(Sl. No. as perNo.
1+Sl. norms
2) prevailing at the time
of invoicing.

The Bidder should pay VAT, Service Tax through PNB, wherever applicable.

90
 ANNEXURE XVI - D

COMMERCIAL OFFER

PRICE BID 4

NSM : 2+1 POCKET

UNIT RATE FOR SUPPLY, INSTALLATION, COMMISSIONING AND

MAINTENANCE OF NOTE SORTING MACHINE (2+1 POCKET)

Type of Machine (Model / Brand name): ----------------------------------------------- Model No.

& Make (Brand Name)

Sr PRODUCT NAME PRICE (Rs)

No
1. Basic Price of machine per unit including installation &
commissioning, & training charges and all statutory
levies / taxes/insurance for transit delivery upto location
including excise duty/custom duty but excluding CST,
VAT,Octroi/Entry tax, which shall be paid on actual
basis.
2. AMC for 4 years (Comprehensive charge for 4
year
3 excluding
Grand Service
Total (Sl. No.Tax/VAT
1+Sl. No.) 2)
Service Tax on AMC is
payable separately as per norms prevailing at the time
of invoicing.

The Bidder should pay VAT, Service Tax through PNB, wherever applicable.

91
 ANNEXURE XVI - E

COMMERCIAL OFFER

PRICE BID 5

NSM : 1+1 POCKET

UNIT RATE FOR SUPPLY, INSTALLATION, COMMISSIONING AND

MAINTENANCE OF NOTE SORTING MACHINE (1+1 POCKET)

Type of Machine (Model / Brand name): ----------------------------------------------- Model No.

& Make (Brand Name)

Sr PRODUCT NAME PRICE (Rs)

No
1. Basic Price of machine per unit including installation &
commissioning, & training charges and all statutory
levies / taxes/insurance for transit delivery upto location
including excise duty/custom duty but excluding CST,
VAT,Octroi/Entry tax, which shall be paid on actual
basis.
2. AMC for 4 years (Comprehensive charge for 4
year
3 excluding
Grand TotalService
(Sl. No.Tax/VAT
1+Sl. No.) 2)Service Tax on AMC is
payable separately as per norms prevailing at the time
of invoicing.

The Bidder should pay VAT, Service Tax through PNB, wherever applicable.

92