Dhanlaxmi Limited Corporate Office,

Request for Proposal

SOLUTION FOR END TO END RECONCILIATION OF VARIOUS PAYMENT CHANNELS (OPEX MODEL)

RFP No: AC/ RFP/2020-21/001

Prepared by

ALTERNATE CHANNELS DEPARTMENT LIMITED HEAD OFFICE, 2nd FLOOR, , THRISSUR - 680002

RFP – End to End Reconciliation of various Payment channels

RFP No. and date RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021

Brief Description of the Solution For End To End Reconciliation Of Various Payment RFP Channels (Opex Model) Chief Manager Alternate Channels Department Bank’s Address for Dhanlaxmi Bank Limited Communication Corporate Office, 2nd Floor, Punkunnam, Thrissur – 680002 e-mail for Submission of [email protected] Tender and Clarifications. Sreejesh Kumar R Sreekumar Nair Asst. Manager Asst. Manager Ph. +91 8356926733 Ph. +919539003186 [email protected] [email protected] Ani K Nair Contact Details Chief Manager Alternate Channels Department 2nd Floor, Corporate Office Dhanlaxmi Bank, Punkunnam, Thrissur, Kerala – 680002 Ph: +91 487 7107200 +91 9539003712 Date of Issue 07/05/2021 Last date of submission of 17/05/2021 any queries, clarifications Lastetc. Date of submission of 26/05/2021 RFP (Technical Bid) Bidder need to submit an EMD (Bank Guarantee of 10 months validity) with minimum 5% of the total cost quoted Earnest Money Deposit for the project (Anticipated Turn Over*) to participate in the (EMD) Reverse Auction, if the bidder is shortlisted in Technical round.

* Anticipated Turn Over = actual amount payable for the first full month multiplied by number of months in contract.

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DISCLAIMER

The information contained in this Request for Proposal (“RFP Document”) or information provided subsequently to bidder(s) or applicants whether verbally or in documentary form by or on behalf of Dhanlaxmi Bank Limited, is provided to the bidder(s) on the terms and conditions set out in this RFP document and all other terms and conditions subject to which such information is provided.

This RFP document is not an agreement and is neither an offer. The purpose of this RFP is to provide applicants who are qualified to submit the bids (“Bidders”) with information to assist them in formulation of their proposals (“Bids”). This RFP does not claim to contain all the information each Bidder may require. Each Bidder may conduct its own independent investigations and analysis and is free to check the accuracy, reliability and completeness of the information in this RFP. Bank makes no representation or warranty, express or implied, and shall incur no liability whatsoever under any law, statute, rules or regulations as to the accuracy, reliability or completeness of this RFP. Bank may in its absolute discretion, but without being under any obligation to do so, update, amend or supplement the information in this RFP.

The information contained in the RFP document is selective and is subject to update, expansion, revision and amendment. Dhanlaxmi Bank does not undertake to provide any Bidder with to any additional information or to update the information in this RFP or to correct any inaccuracies therein, which may become apparent. Dhanlaxmi Bank reserves the right of discretion to change, modify, add to or alters any or all of the provisions of this RFP and/or the bidding process, without assigning any reasons whatsoever. Such change will be intimated or made accessible to all Bidders. Any information contained in this document will be superseded by any later written information on the same subject made available/accessible to all recipients by Dhanlaxmi Bank.

Information provided in this RFP is on a wide range of matters, some of which may depend upon interpretation of law. The information given is not intended to be an exhaustive account of statutory requirements and should not be regarded as a complete or authoritative statement of law. Dhanlaxmi Bank does not own any responsibility for the accuracy or otherwise for any interpretation or opinion on law expressed herein. Further, Dhanlaxmi Bank also does not accept liability of any nature whether resulting from negligence or otherwise howsoever caused arising from reliance of any Bidder upon the statements contained in this RFP

Dhanlaxmi Bank reserves the right to reject any or all the responses to RFPs / Bids received in response to this RFP at any stage without assigning any reason whatsoever and without being liable for any loss/injury that Bidder might suffer due to such reason. The decision of Dhanlaxmi Bank shall be final, conclusive and binding an all the parties directly or indirectly connected with the bidding process.

It may be noted that notice regarding corrigenda, addendums, amendments, time-extensions, clarifications, response to bidders’ queries etc., if any to RFP, will not be published through any advertisement in newspapers or any other media. Prospective bidders shall regularly visit Bank’s website for any changes / development in relation to this RF

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Contents 1. Introduction ...... 5

2. Requirement ...... 5

3. Eligibility Criteria For Bidder ...... 6

4. Scope Of Work & Deliverables ...... 7

5. General Provisions: ...... 17

6. Confidentiality and Non-Disclosure ...... 19

7. Termination Of Contract ...... 20

8. Penalties ...... 21

9. Payment Terms...... 24

10. Instruction to Bidders ...... 24

11. Bidding Process ...... 25

12. Modification Of Bids & Contacting DLB ...... 25

13. Terms & Conditions Of The Bidding Firms ...... 26

14. Evaluation, Award Criteria & Instructions ...... 26

15. Execution of SLA/NDA ...... 28

16. Right to Audit and Due Diligence ...... 28

17. Fraud Prevention ...... 30

18. Patent Rights ...... 31

19. Submission Of Bid ...... 31

20. Authorised Signatory ...... 31

21. Clarifications Regarding RFP Document ...... 32

22. Annexures ...... 32

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1. Introduction Incorporated in November 1927, Dhanlaxmi Bank (here in after known as “DLB”) is headquartered at Thrissur in Kerala, It became a Scheduled in the year 1977. DLB is currently having 245 branches spread across . Bank has a network of more than 257 ATMs including cash recyclers.

Presently Bank’s team is performing the reconciliation of electronic payment transactions initiated through various channels like Debit cards, ATM, IMPS, Payment Gateways, UPI both as an issuer and acquirer using the reconciliation application software installed at Bank`s Datacenter.

The reconciliation of transactions and complaint redressal has critical implications for ensuring satisfactory customer services and meeting all the guidelines of the regulatory bodies. Therefore the Bank is planning to outsource this activity and is inviting Bids/ Proposals from experienced service providers with a proven track record in this domain.

“The Objective of this RFP is to enter into contract with selected Bidder to provide managed Services for providing "End to End Reconciliation of Debit, Prepaid card, Payment Gateway, e- commerce, ATM, BNA, UPI, IMPS Transactions in an Opex Model".

This invitation of Bids is open to all Service Providers who have presence in India and who fulfill the minimum qualification criteria and who fully comply with all the requirements of Scope of Work as mentioned in the bid document.

2. Requirement The purpose of this RFP is to invite bids from suitable vendors for Reconciliation activities pertaining to various channels. Engagement includes effective management of Reconciliation activities and its infrastructure as per the Scope of Work and Technical Specifications given in this document. Bidder must have previous experience/competency in similar kind of engagement.

The proposed solution of the bidder should be capable for implementation of transaction reconciliation, accounting and complaint acceptance, tracking & Redressal mechanism for the transactions being done through our ATM network/POS/BNA/ecommerce, by our Debit Cards, Prepaid Cards, (POS), e-payment gateway, mobile wallet, UPI, IMPS and other such delivery channels being deployed by the Bank from time to time. The solution should be capable of being integrated with Bank's CBS System, through flat files or through API. It should also be capable of being integrated with Bank's Corporate Data Warehouse, middleware solution and Bank's Call Centre system.

The bidder shall implement the solution along with the required hardware and software at Bank`s premises and will be required to provide experienced & skilled manpower for performing reconciliation of transactions and related jobs. The software to be deployed by the bidder should be efficient and capable to handle huge volumes of transactions so that the end to end reconciliation of all channels are completed within the defined timelines as per established rules and mandates of various interchange networks under ATM Sharing arrangement as well as per guidelines issued from time to time by the regulatory and statutory authorities.

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The Successful Bidder will set up requisite software, hardware and other applications at Bank's PR Site and DR Site to provide reconciliation, accounting and related services as per the Scope of Work mentioned in the RFP document. The Bidder will also deploy experienced and skilled resources along with team leaders to provide the services as per Scope of Work.

Bank is seeking solution initially for a period of 5 years, however, the same shall be renewable after completion of 5 years for a further period of at least 2 years on mutually agreed terms and conditions and costs if the Bank so desires.

Bank is presently issuing VISA & RuPay cards to its customers. The present peak day volume is of 1.5 transactions per day (including all channels) and expects to grow in next 5 years. The system should be scalable at bidders cost, to handle the future grown volume for next 5 years.

Expectations from the Bidder: Bidder to have experience and capability for implementing and successfully running Reconciliation & Accounting, Settlement, management & Redressal, Clearance and solutions for large volumes of ATMs/ PoS/ BNA/ Recycler devices as well as transactions related to ATM/ PoS/ CR/BNAs/ Debit Cards / E-Commerce / E - Wallets/ Micro ATMs / Card to Card Transfer/ Unified Payment Interface (UPI) of NPCI/ AEPS/ NFC/ Contactless Cards/ Payment Gateway/ Card Less ATM Transactions and other such mediums; taking place through Bank's existing ATM/ / Payment Infrastructure (or any other Switch/ Payment Infrastructure that Bank may acquire in future) as well as through NPCI/ VISA/ or other such standard interchanges/ clearance houses; without any constraints on the number of devices/ Transactions.

3. Eligibility Criteria For Bidder Documents need to be Sl. Eligibility submitted. The Bidder should be a Company/Firm registered under relevant statute in India under Companies Act Supporting documents with 1 1956 since last five years as on RFP submission date. GSTN number. The bidder should also be registered with GSTN. Bids under consortium arrangement are not allowed. The bidder should have a minimum turnover of Rs. 10 Copy of the audit Annual Reports 2 Crores in each year for last two audited Financial Years and /or certificate of the in relevant services and The Bidder should have made Chartered Accountant for last two net profit in each of the last financial years. financial Years.

3 The Bidder or its technology partner should have Undertaking to be given by the technical support centre in India Bidder Bidder or its technology partner should have its own transaction reconciliation software or OEM license to Copy of OEM Certificate and 4 use the same and should have capacity to process at Certificate from such Bank to be least 3 Lakh transactions per day and scalable to 6 lakh submitted. per day. The bidder should not be currently blacklisted by any 5 Self-Declaration certificate. Central/State Govt. dept. /Public Sector Unit. Document type: Public Page 6 of 55 RFP – End to End Reconciliation of various Payment channels

Documents need to be Sl. Eligibility submitted. The Bidder should submit certificates from at least two Scheduled commercial that the bidder is Certificate from the Banks to be 6 providing similar reconciliation services and the submitted solution is system driven and the services provided are satisfactory.

Note: All eligibility requirements mentioned above should be complied by the bidders as applicable and relevant support documents should be submitted for the fulfillment of eligibility criteria failing which the Bids may be summarily rejected. Non-compliance of any of the criteria can entail rejection of the offer. Copies of relevant documents / certificates should be submitted as proof in support of the claims made for each of the above-mentioned criteria and as and when DLB decides, originals / certified copies should be shown for verification purpose. DLB reserves the right to verify / evaluate the claims made by the Bidder independently. Any deliberate misrepresentation will entail rejection of the bid/proposal.

DLB’s right to accept or reject any bid or all bids

DLB 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 contract without assigning any reason, without thereby incurring any liability to the affected bidder or bidders or without any obligation to inform the affected bier or bidders about the grounds for DLBs action.

4. Scope Of Work & Deliverables

Bidders to confirm compliance to all the points in this Clause 4 “Scope Of Work” as well as "Detailed Scope of Work" at Annexure – 4 of this document. A Compliance Statement to be provided by the bidders on the Performa given at Annexure - 9.

The Broad Scope of work is as under:- The project is to be executed on an OPEX Model on per transaction basis. A Bidder submitting a Bid under this RFP must be capable of handling all activities related to Settlement, Reconciliation & Dispute Management of Transactions of various Network, Cash in ATMs/BNAs/CRs & Other payment Systems through an automated system only. The details of channels/Products/ networks which shall be covered under the Reconciliation system are as given below:

SL No Particulars SL No Particulars SL No Particulars BNA/ Cash Recycler 1 NFS 6 11 General Ledger (Interoperable) 2 VISA 7 RuPay 12 JCB 3 CASHNET 8 IMPS 13 DFS 4 POS 9 UPI 14 Payment Gateway Other similar products 5 ATM 10 BBPS 15 to be launched in near future.

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Note:

 Bank may add or remove any Network / Channel / Application / from the scope of the work at its own discretion i.e. bank does not guarantee transactions from all Networks / Channels / Applications / Payment Systems in reconciliation activity.  Scope of reconciliation includes all types of transactions, charges, Fees, GST, , etc. and System generated MIS to be provided.  Bidder has to conduct reconciliation of other network also which bank may join during the contract period

4.1. Solution Requirement (Hardware, Software & other infrastructure):

The solution to be provided should comply with Reserve /IBA/Govt. of India, NPCI and VISA guidelines. The system should include activities relating to Reconciliation & Dispute Management of Transactions of various Networks, Settlement process, Cash in ATMs/BNAs & Other Payment Systems (UPI /IMPS /PG).

 The project is to be executed on an OPEX Model on per transaction basis; where in the required reconciliation application software, hardware, database licenses, OS licenses or any other licenses required for the application and the manpower for reconciliation services is to be supplied by the bidder and to be sized adequately to meet the current and projected requirement.

 The reconciliation application software, hardware, database etc. should be deployed in the Bank`s primary (PR) and disaster recovery site (DR).

 The required hardware (Servers, SAN Storage, SAN switch, etc.), system software, database and any other middleware has to be supplied by the Bidder for primary (PR) and disaster recovery site (DR).

 The DR solution provided should have equivalent software & hardware as provided in DC (Prime site) at Bangalore. The solution should have a provision to periodically transfer/ synchronize data to DR Site (at Hyderabad) as per the RPO & RTO defined by the Bank. The Bidder should conduct DR Drill as directed by the bank. The DR site has to be kept updated with all patches and software up gradations. Whenever need arises bidder should be able to switch the operations to DR Site.

 The reconciliation of transactions and related jobs needs to be carried out from any of the Banks premise in Thrissur or from any other location decided by the Bank from time to time.

 The bidder shall deploy adequate number of skilled & experienced manpower to carry out reconciliation of transactions considering fallback / disaster management arrangements.

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 Bidder shall also deploy technically skilled & experienced manpower to manage the application, database and servers as per policy of the Bank.

 The Bidder has to specify the hardware specification including storage being offered in their technical bid including the rack space required and the power rating.

 The solution /application should provide 99.99% uptime and the bidder should ensure that appropriate high availability and disaster recovery systems/mechanisms are incorporated while sizing the solution both hardware and software.

 The Successful Bidder should have a fully established Business Continuity Plan in place and should have provision and capability to operate from Bank's Disaster Recovery (DR) Site in Hyderabad in case of need / exigency. Bidder has to design solution keeping in mind the Business continuity plan (BCP) & Service level agreement (SLA).

 Bidder has to supply, manage and maintain the database required for the solution. In all the cases the database Maintenance in line with application requirement and uptime requirement including installation has to be managed by bidder.

 The bidder should either own the software or hold license, with the right to customize the solution if required during the tenure of the contract. No additional cost for any form of customization to meet the scope will be paid by the Bank.

 In case the software is not owned by the bidder, the bidder needs to have back to back arrangement with respective OEM for implementation, maintenance and customization of the Transaction Reconciliation Software without any cost to the Bank.

 The bidder also needs to provide letter from OEM confirming that the software implementation, maintenance, necessary customization etc. will be carried out specifically for the Bank for the entire contract period. The copy of the ATS (Annual Technical Support) agreement between the bidder and the OEM should also be given to the Bank. The ATS agreement must be valid for the entire contract period.

 Any other third party tools / applications required to run, support, and maintain the application will also have to be provided by the bidder.

 All hardware, software, database and other third party tools used by the bidder for the solution / environment shall be properly licensed and with valid warranty/AMC /OEM support / ATS contract for the entire contract period.

 The bidder should not use any free tools or software for the solution without the concurrence from the Bank.

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 The bidder shall apply all relevant patches; upgrade the software, applications and related environment from time to time in order to ensure the Service Levels, performance and security are met.

 The bidder has to size the hardware to cover all current requirements and should have provision for future requirements of at least five years.

 Bank will provide space for hosting the solution and other infrastructure such as telephone line and electricity for carrying out the routine operations at any of the Banks premise in Thrissur or from any other location decided by the Bank from time to time.

 The Bank shall provide the Computers / Desktops with Operating system (as per Bank`s Policy) required for carrying out the routine reconciliation activity.

 The bidder to ensure security and confidentiality of the data or information obtained from the Bank and should comply with the IT security / IS policy of the Bank from time to time.

 The solution should ensure and comply with the data confidentiality requirement as per PA-DSS / PCI-DSS standards and any other regulatory guidelines on the same and the application/ solution must be PA-DSS certified.

 The software should be efficient enough to process the projected volume of transactions i.e. at least 3 Lakh transactions per day and scalable to 6 Lakh per day.

 The bidder should provide / develop all interfaces required for integrating the solution with Bank`s CBS, ATM Switch, CCMS, Web services, Active Directory, other packages provided by the networks, Dispute management system (ODR), Dispute Tracker and any other systems.

 The bidder should provide a portal to branches to register disputes about all digital transactions (like UPI/ IMPS/ AEPS/ / Payment Gateway/ ATM/ BNA/ RECYCLER etc.) The Bank staff should be able to fetch the data and register the disputes and view the resolutions and TAT.

 The system should be capable of interfacing with Bank's CRM & Call Center.

 The system / solution should be capable of integrating with the user authentication system of the bank and the user login should be authenticated through banks SSO system (Active Directory (AD) system / Single Sign On (SSO).

 All reconciliations should be done on T + 1 Calendar day as per the regulatory guidelines or as per the requirement of the bank. In future, if there is any change in the reconciliation process as per the regulatory guidelines or as per the requirement of the Bank then the same

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has to be carried out or to be implemented into the system by the vendor accordingly without any additional cost.

 The bidder will be required to follow-up with branches, Banks ATM Managed Service Provider NPCI, CASHNET, other Banks etc. for obtaining data files /settlement files/ CBR/ EJ/ JP/ CCTV/ DVR Footage or any other information required for reconciliation of ATMs, claim settlement and Network Reconciliation of Transaction. The bidder will be required to handle queries from branches on the reconciled and pending entries etc.

 The data received by the bidder shall be used for the sole purpose of reconciliation and same shall be in the custody of the Bank.

 It will be binding upon the bidder to install the solution and integrate it with related systems. In case of problem, the same has to be settled by the bidder with the concerned vendors.

 The selected bidder has to reconcile the transaction done through Cash Recycler/Cash Deposit machines connected to ATM Switch and NFS Network, EJ and its subsequent GL Heads of CBS (Four way) for all card associations.

 The system should be capable of Automated GL reconciliation and automated balancing of GLs.

 The bidder must have the provision to customize the solution if required during the tenure of the contract without any additional cost to the Bank.

 The successful Bidder has to impart necessary basic training to the employees of the bank to handle the system in case of need.

 Bank will share the CBS host file, switch file and network association file (if any) in the existing format. The selected bidder has to ensure to read and process such files.

 Bidder should take the back up of all the activities/data on Daily Basis. Bank may ask the required data any time and Bidder should be ready to provide the same. Bidder should be able to restore the backed up data as and when required by Bank within 24 hours of requirement failing which Bank may impose penalty.

 Bidder should be able to store online data up to 2 years in the system and store all the data beyond two years in back up hard drive or Backup tapes. Successful Bidder should be able to store all data along with all legacy data and migrated data into the system.

 Successful Bidder should have a well-defined data migration strategy and PERT - chart with definitive timelines for migration of data from the existing set-up of the Bank. The cost of migration if any would be borne by the Successful bidder. Document type: Public Page 11 of 55 RFP – End to End Reconciliation of various Payment channels

 Bank would be conducting UAT (User acceptance testing) of the solution to ensure the functionality of the entire solution and for any customization/ enhancements/ additions during the contract period. UAT setup has to be provided by bidder.

 Bidder should be ready to share the details of all the test cases in detail and the bidder should take sign-off from Bank before going live of product and customization.

 Its banks discretion to enable the module as per banks requirement. Although bidder has to provide all the modules envisaged in this RFP.

 If Bank is not satisfied with the product in UAT, bidder should be ready to change and customize the module as per Bank`s requirement and satisfaction.

 Bank will not customize its files structure i.e. CBS file, Switch file, EJ or Network file according to Bidder, instead Bidder has to customize its software.

 Software provided by the Bidder should be capable of customization and not to be hard coded.

 Bidder should be able to develop system for new products /modules within 30 days of requirement/intimation.

 Bidder should download all the raw files from different accessible Network which are necessary for reconciliation and the application should be able to read the raw files in given format. The Bidder should also provide a network repository for uploading the files (preferably ftps /sftp)

 Bidder should reconcile all the pool accounts of the Bank.

 Bidder should comply with the circulars/guidelines issued by RBI/ NPCI/ VISA/ other regulators from time to time and any customization / enhancement / development required to comply with such guidelines from the regulator should be provided to the Bank without any additional cost during the contract period. The Successful Bidder is responsible for customization of solution as per RBI, NPCI/VISA//any other regulatory body regulations at their own cost.

 The Successful Bidder will be responsible for any licenses/ utilities/ certifications required to run the solution at their own costs.

 Bidder should agree that any data pertaining to the reconciliation would be shared with RBI and NPCI from time to time, if required.

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 GST accounting: The solution should perform automated accounting of GST/TDS so as to enable the Bank to submit the relevant data/reports to the concerned authority.

 VISA & NPCI Charges: The solution should be capable of providing VISA and NPCI charges report based on the transactions.

4.2. Project Team :

 The Project team assigned should have experience in End to End Reconciliation of Debit Card, Prepaid Card, UPI, IMPS, AEPS, ATM/BNA/Recycler transactions.

 The selected Bidder shall nominate a Project Manager, who shall be having at least five years of experience in the Information Technology field, out of which he/she should have minimum three years of experience in multiple payment channel reconciliation related Projects.

 The selected Bidder should ensure that the members of Project team are actively involved in the conduct of the project throughout the period of the contract. All members proposed by the Bidder should be permanent employees on the rolls of the bidding organization. No part of the engagement shall be outsourced by the selected Bidder to any third party vendor.

 During the assignment, the substitution of key staff identified for the assignment will not be allowed unless such substitution becomes unavoidable to overcome the undue delay or that such changes are critical to meet the obligation. In such circumstances, the Bidder can do so only with the concurrence of the Bank by providing other staff of same level of qualifications and expertise. However, the Bank reserves the right to insist the selected Bidder to replace any team member with another (with the qualifications and expertise as required by the Bank) during the course of assignment.

4.3. Project Plan :

 The Bank shall place order to the selected Bidder for " End to End Reconciliation of Debit, Prepaid card, Payment Gateway, e-commerce, ATM, BNA, UPI, IMPS Transactions in an Opex Model”. The selected Bidder shall depute its officials at Alternate Channels Department, Corporate Office - Thrissur within 10 days from the date of acceptance of the Order and to arrange for the kick off meeting. During the said meeting the selected Bidder has to give a brief technical overview / presentation regarding the technical methodology being adopted by them and submit a detailed PERT chart with core team members list.

 The project plan should indicate the milestones and time frame of completion of the different activities of the project. The selected Bidder is required to give details of the project management methodology, monitoring standards and methodology along with the

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quantum of resources to be deployed for the project, qualifications, experience of personnel deployed, team members list, etc.

4.4. Delivery, Implementation and Commissioning :

 The delivery, installation and implementation of the software solution have to be completed within a period of six months from the acceptance date of order.

 In the event of any change / modification in the locations where the end to end reconciliation software solution (OPEX MODEL) for transactions is to be implemented, the selected bidder in such cases shall deliver, install and implement at the modified locations at no extra cost to the Bank.

 The implementation will be deemed as incomplete if any component of the end to end reconciliation software solution (OPEX MODEL) for transactions as per scope is not delivered or is delivered but not installed and / or not operational or not acceptable to the Bank after UAT / acceptance testing /examination. In such an event, the implementation will be termed as incomplete and end to end reconciliation software solution (OPEX MODEL) for transactions will not be accepted. Successful bidder shall be responsible for PA-DSS/PCI-DSS certification/compliance of solution installed at Bank location within 5 months of acceptance of order, at bidder's cost.

 If the selected Bidder fails to deliver and or install the end to end reconciliation software solution (OPEX MODEL) for transactions as per order within the stipulated time schedule, the same shall be treated as a breach of contract. In such a case, the Bank may invoke the Bank Guarantee (EMD) without any notice to the Bidder.

 Any licenses, if required for the offered solution, need to be provided by the successful Bidder at no extra cost to the Bank. The successful Bidder is solely responsible for any legal obligation related to licenses for solution proposed as implemented by the Bidder. Failure to obtain required license from the competent authority will not be considered as Force Majeure.

 Implementation of the end to end reconciliation software solution (OPEX MODEL) for transactions as per order will be deemed as complete only when the same is accepted by the Bank in accordance with the Terms & Conditions of this Tender.

4.5. Execution of Agreement :

 Within one month from the date of acceptance of the Order, the selected Bidder shall sign a stamped "Agreement" with the Bank as per the format provided by the Bank. Failure to execute the Agreement makes the EMD liable for forfeiture at the discretion of the Bank and also rejection of the selected Bidder.

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 The Agreement shall include all terms, conditions and specifications of RFP and also the Bill of Material and Price, as agreed finally after Bid evaluation and negotiation. The Agreement shall be executed in English language in one original, the Bank receiving the duly signed Original and the selected Bidder receiving the photocopy. The Agreement shall be valid till all contractual obligations are fulfilled.

 Bank reserves the right to select the next ranked Bidder, if the selected Bidder not accepting the LOI/Purchase Order or withdraws his proposal after selection or at the time of finalization of the contract or disqualified on detection of wrong or misleading information in the offer.

4.6. UpTime :

 The bidder shall guarantee monthly uptime of 99.99% of functioning of Software solution for the end to end reconciliation software solution (OPEX MODEL) during the period of the Contract.

 If the uptime is below the guaranteed uptime of 99.99% (monthly basis) the Bank shall deduct a penalty of 1% of annual contract value for that particular month and if the uptime is less than 98% the Bank shall deduct a penalty of 2% of annual contract value for that particular month . However, if the uptime is less than 96%, the Bank shall have the full right to terminate the contract with a notice period of three months and payment during the period will be provided only after the successful migration to the new system. Such termination shall not affect the rights of bank under this agreement.

4.7. Subcontracting :

The vendor shall not subcontract or permit anyone other than its personnel to perform any of the work, service or other performance required of the vendor under the contract without the prior written consent of the Bank.

4.8. Human Resource Requirement :

The Bidder by executing the agreement shall be deemed to have unconditionally agreed as under:

 The Bidder shall provide a contingent of well trained personnel and extend necessary mentoring and operational support to the intermediary network of agents, etc. as part of the solution/service.

 The Bidder shall confirm that every person deployed by them on the project has been vetted through a third-party background check prior to their engagement. The Bidder shall manage the activities of its personnel or others engaged in the project, etc. and shall be accountable for all the personnel deployed/engaged in the project.

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 In case the performance of the Bidder / their agent/employees engaged in the project is not satisfactory or is detrimental to the interests of the Bank, The Bidder shall have to replace the said person within the time limits stipulated by the Bank. Where the Bidder fails to comply with the Bank's request, the Bank may replace the said person or their agents/employees on its own.

 No right to employment in the Bank shall accrue or arise to the employees or agents of the Bidder, by virtue of engagement of employees, agents, etc. of the Bidder for any assignment under this project. It is further clarified that the arrangement herein with the Bidder is a contract for service.

 The Bidder shall exercise due diligence and only engage persons having established identity, integrity, requisite qualifications and skills and deployment experience for all activities.

4.9. Roles & Responsibility of Bidder during the contract period

The Bidder shall own the responsibility to demonstrate that the Services provided meets all the technical requirements as envisaged in the scope of the RFP.

The Bidder shall provide all the required drivers/software, to ensure the intent of Specification completeness, Operability, Maintainability and upgradability of the project / contract. The Bidder shall provide all the required Software for customizing and testing the system without any further charge, expense and costing to Bank.

All tools, tackles, testing instruments etc., as required during all Operations, shall be provided by the Selected Bidder at no extra cost to the Bank for completing the scope of work as per this RFP.

Only licensed copies of the software / tools shall be supplied and used and all software supplied shall be of latest version with latest patch levels.

The selected bidder shall be fully responsible for supply, installation, migration, commissioning and maintenance of the solution including testing.

The Services should be carried out strictly in accordance with the terms and conditions stipulated in the contract agreement.

The selected bidder shall ensure that the Services are carried out in accordance with best industry guidelines and standards applicable.

The Bidder shall be responsible for any discrepancies, errors and omissions or other information submitted by him irrespective of whether these have been approved, reviewed or otherwise accepted by the bank or not. The Bidder shall take all corrective measures arising out of

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The Bidder shall carry out the Services as per accepted time schedules. The Bidder is liable for penalties levied by Bank for any deviation in this regard.

The selected Bidder shall take all steps to ensure safety of their and the bank's personnel during execution of the contract and also be liable for any consequences due to omission or act of the selected bidder or their sub-bidders. The selected bidder shall also ensure cleanliness of the site (work area) during execution of the contract.

The selected bidder shall always take prior permission of the premises in-charge of the Bank before starting any work. The selected bidder shall supply identity cards to all their employees scheduled to work in the bank's premises and formally submit request letter to the bank's official for permitting access.

The selected bidder shall abide by the Security rules & Procedures of the Bank. Any requirement of working after office-hours and on holidays of the bank shall be foreseen and a request in writing shall be made to the Bank in advance and obtain permission from the Bank.

In case of any damage of Bank's property during execution of the work is attributable to the Bidder, Bidder has to replace the damaged property at his own cost.

In case the Bank decide not to renew the contract or to terminate the contract as per clause mentioned in RFP, the bidder has to provide complete migration support to incoming vendor without any additional cost to Bank. Bidder has to handover all the data to Bank or vendor decided by Bank.

5. General Provisions: Successful Bidder shall pay to its employees/personnel, who are engaged for providing the Services to the Bank, all wages, salaries, allowances etc in accordance with the terms of Contract of their employment / various Laws / Statutes / Acts applicable locally or otherwise and the Bank shall not be liable in this regard either to Successful Bidder or to its personnel in any manner whatsoever. Further, Successful Bidder shall also maintain all records in this regard as required by the relevant laws including, the Minimum Wages Act, the Payment of Wages Act and the Contract Labour (Regulation & Abolition) Act or any other State Level/Central Act/Law that is applicable and shall comply with all the statutory provisions as prescribed under relevant rules and statutes for the time being in force.

Successful Bidder will undertake to indemnify the Bank and keep the Bank and its officers/employees/Directors fully indemnified and harmless from and against all the consequences of any of its actions and/or its sub-contractors, representatives, employees leading to breach of any of the provisions of Law faced, suffered or incurred by the Bank.

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 Similarly, in the event of any claims being made on the Bank, on account of any breach or non-compliance of any applicable law, unauthorized act, fraud, deed or thing done or omitted to be done or undertaking made or deficiency in service by Successful Bidder, its employees, officers, agents, Successful Bidder undertakes to pay on first demand made by the Bank of any amount on this account without any demur, contest, protest whatsoever within 7 working days of the demand being made. The Bank may at its discretion settle any or all claims made on it and recover the amount so paid from Successful Bidder and /or make deductions from the amount payable by the Bank to Successful Bidder.

 Neither the contract which will be entered by the Bank with the successful bidder nor any action taken by the Successful Bidder shall constitute as between the Parties as partnership, association, joint venture or other common enterprise. The relationship between Successful Bidder and the Bank hereunder is on Principal-to-Principal basis. Successful Bidder is to ensure that no nexus, either direct or indirect, shall be established between its personnel and the Bank which may lead to any presumption or conclusion to the effect that the personnel may be treated as the employees of the Bank.

 That the Bank, its representatives, its Regulators including RBI or persons authorized by the Regulator, its internal/ external/ other Auditors, shall, whenever required/called for, have access to i) All books, records, information of the Successful Bidder; ii) Any documents, records of transactions and other necessary information processed/ stored by, given to the Successful Bidder; and iii) Any document/information given by the Bank to the Successful Bidder and / or relevant to the outsourced activities available with the Successful Bidder pertaining to the services provided under this Agreement by the Successful Bidder. Bank shall provide a reasonable prior notice before such audit and the cost of the audit shall be borne by the bank.

 The access shall also extend to the books, records, information held by/available with any person/firm agent/company engaged by Successful Bidder or any documents records of transactions and other necessary information given/stored or processed provided by the Bank, to Successful Bidder and in turn provided by Successful Bidder to another agency, in order to render the required Services to the Bank.

 Successful Bidder shall ensure preservation of documents and data in accordance with legal/regulatory obligation of the Bank. The Bidder has to preserve full data during the Contract period and subsequently to be migrated as per Bank's direction.

 That due diligence/KYC/physical verification of employees of the company/their subcontractor will be done and proper record of the same will be maintained.

 That adequate step will be taken to build strong safeguards to avoid the comingling of information/documents records and assets of the Bank with other organizations for whom Successful Bidder undertakes similar services.

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 That the Successful Bidder will ensure to get its security, practices and control process audited on a regular basis and disclose security breaches, if any, to the Bank. The copy of such audit report including the steps taken to address the issues raised by the auditors to be provided to the Bank.

 Successful Bidder will ensure to have effective business continuity and disaster recovery plan. Successful Bidder shall develop and establish a robust framework for documenting, maintaining and periodic testing of business continuity and recovery procedures and shall maintain a record of the same.

 The Successful Bidder will conform to the laws, rules and regulations as stipulated by the Central/State Govt/RBI/ and/or any regulatory authority in regard to employment of agents/associates/employees etc. including the Minimum Wages Act.

 For smooth completion of project the Bidder should identify and provide one or two of its representatives at Thrissur as a single point of contact for the Bank.

 Project implementation team should be conversant with local rules and conditions to resolve the issues, if any.

 Documentation and manual: One copy (Both Hard and soft) of the user manual of the end to end reconciliation software solution (OPEX MODEL) for transactions shall be supplied during implementation of software solution.

Once purchase order is accepted by the Bidder, no amendments or modifications of order and no waiver of any of the terms or conditions thereof shall be valid or binding unless made in writing.

Once agreement is executed with the Bidder, no amendments or modifications of Agreement and no waiver of any of the terms or conditions hereof shall be valid or binding unless made in writing.

6. Confidentiality and Non-Disclosure The Bidder shall take all necessary precautions to ensure that all confidential information is treated as confidential and not disclosed or used other than for the purpose of project execution. Bidder shall suitably defend, indemnify Bank for any loss/damage suffered by Bank on account of and to the extent of any disclosure of the confidential information.

The bidder shall not, without the written consent of DLB, disclose the contract or any provision thereof, any specification, or information furnished by or on behalf of DLB in connection therewith, to any person(s). The bidder shall not, without the prior written consent of DLB, make use of any document or information except for purposes of performing this agreement.

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7. Termination Of Contract

The Bank reserves its right to cancel the entire / unexecuted part of the Purchase Order at any time by issuing notice of 90 days to the Service Provider by assigning appropriate reasons and recover expenditure incurred by the Bank in addition to recovery of liquidated damages in terms of the contract. Bank’s decision in this regard is final and following are some of the reasons /conditions for invoking contract termination:

 Delay in start of Services for a period of 30 days from the date of acceptance of Purchase Order.  The selected Bidder commits a breach of any of the terms and conditions of the bid.  The Bidder goes in to liquidation voluntarily or otherwise.  Non satisfactory performance of the Solution / Project in terms of affecting the Core Systems of the Bank or the Core Business of the Bank and the functioning of the Branches/Offices of the Bank.  If found blacklisted by any Govt. Department / PSU / other Banks / CERT-In , during the course of contracted period.  If deductions on account of liquidated damages exceeds more than 5% of the total value of Audit/monitoring charges.  In case of a data breach or security breach through the solution or through the resources deployed by the bidder  Bidder not complying with the prescribed guidelines issued by the regulator in terms of TAT, data security, operation standard etc.  The solution not able to comply with the data confidentiality requirement as per the regulatory guidelines / standards and not obtain /produce PA-DSS / PCI-DSS certificates for the solution deployed.

Bank shall serve the notice of termination to the Bidder at least 90 days prior, of its intention to terminate services.

After the award of the contract, if the selected Bidder does not perform satisfactorily or delays execution of the contract, the Bank reserves the right to get the balance contract executed by another party of its by giving one months’ notice for the same. In this event, the selected Bidder is bound to make good the additional expenditure, which the Bank may have to incur for the execution of the balance of the order /contract. Such additional expenditure shall be incurred by the bank within reasonable limits & at comparable price prevailing in the market. This clause is also applicable, if for any reason, the contract is cancelled.

In connection with the work or contravenes the provisions of General Terms, if the selected Bidder neglects to execute the work with due diligence or expedition or refuses or neglects to comply with any reasonable order given to him in writing by the Bank, in such eventuality, the Bank may after giving notice in writing to the selected Bidder calling upon him to make good the failure, neglect or contravention complained of, within such time as may be deemed reasonable and in default of the said notice, the Bank shall have the right to cancel the Contract holding the selected Bidder liable for the damages that the Bank may sustain in this behalf. Thereafter, the Bank may make Document type: Public Page 20 of 55 RFP – End to End Reconciliation of various Payment channels good the failure at the risk and cost of the selected Bidder.

In addition to the cancellation of purchase order, the Bank reserves its right to invoke the Bank Guarantee (EMD) given by the Bidder towards non- performance/non-compliance of the terms and conditions of the contract, to appropriate towards damages.

Bank may not renew the contract after expiry of the same. Bank may decide to terminate the contract as per clause mentioned in RFP. In such case bidder has to provide complete migration support to incoming vendor without any additional cost to Bank. Bidder has to handover all the data to Bank or vendor decided by Bank.

8. Penalties

Penalties / Liquidated Damages

The bidder should provide uninterrupted services, ensuring timely implementation of the solution and maintenance of the Reconciliation and other related Services as per the requirements of this RFP. The Bank also has the right to invoke the Bank Guarantee (EMD) in case the bidder is not able to ensure the deliverables as per the specifications within defined timelines or to meet the service levels as specified in this RFP. Penalties on delay will be applicable when the delay is not attributable to the Bank.

If the bidder fails to meet the specified implementation/ completion schedule of the solution within a period of six months from the date of acceptance of order, the Bank shall have the option to accept or reject the Reconciliation Software Solution supplied and implemented by the bidder after the expiry of 6 months from the effective date. In case of acceptance of the delayed supply or implementation as mentioned above, the bidder shall be liable to pay Liquidated damages at the rates specified below, for each completed week of delay or part thereof, on the Anticipated Annual Turnover value of the Reconciliation Software Solution.

Liquidate Damages rate per week or part thereof. Delay Period 0 .05% on the Anticipated Annual Turn Over Value * For each week of delay

* Anticipated Annual Turn Over = actual amount payable for the first full month multiplied by 12.

The Successful Bidder is to reconcile all the transactions on T+1 calendar day (where T is the transaction day) and proactively identify the failed transactions and resolution of such failed transactions and resolve the complaints of the customer as per the TAT defined in the RBI circular “RBI/2019-20/67 DPSS.CO.PD No.629/02.01.014/2019-20 - Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions using authorised Payment Systems” dated September 20, 2019 for each payment channel or whatever timelines subsequently defined by the Bank / Regulator. Similarly all Settlement & Pooling Accounts are to be reconciled within T +1 calendar day or whatever timelines defined by the Bank.

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In case of delay in reconciliation beyond the TAT days mentioned above, penalty will be imposed on the Successful Bidder for the un-reconciled accounts due to reasons attributable to the Successful Bidder as decided by the Bank, as under.

ATM/Recycler Accounts

Period of 4 calendar days from the date of transaction: NIL Beyond 4 calendar days, penalty would be chargeable on proportionate basis date of transaction as under:

Period of delay Amount of penalty chargeable from the date of transaction 5 days to 15 Days Number of ATMs un-reconciled X 5 days to number of days since un reconciled X Rs.20/- Between 15 Days to one month Number of ATMs un-reconciled X Between 15 days to one month number of days since un reconciled X Rs. 30/ - Beyond One month Number of ATMs un-reconciled X number of days since un reconciled X Rs. 50/ -

Network / Settlement Accounts:

For UPI / IMPS / Payment Gateway Sl. No. Period Penalty Amount (Per Settlement A/c) 1 3rd Day to 4th Day Rs. 5000/- per day 2 5th Day to 7 Days Rs. 7,500/- per day 3 Beyond 7 Days Rs.10,000/- per day For Other Network / Settlement Accounts Sl. No. Period Penalty Amount (Per Settlement A/c) 1 5th Day to 10 Days Rs. 5000/- per day 2 10th Day to 15 Days Rs. 7,500/- per day 3 Beyond 15 Days Rs.10,000/- per day

The penalty would be calculated as on the 1st week of every subsequent month

The penalty on account of the above clause would be over and above the penalty/compensation on account of the following clauses

 As per the RBI circular “RBI/2019-20/67 DPSS.CO.PD No.629/02.01.014/2019-20 - Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions using authorised Payment Systems” dated September 20, 2019, the reconciliation system should proactively identify the failed transactions and credit the disputed amount to the customer for such failed transactions and resolve the complaints of the customer as per the TAT defined for each transaction type. In case the failed transactions are not identified and resolved within the time prescribed by RBI, compensation of Rs.100/- per day of delay irrespective of the amount of transaction is to be paid to the customer without any claim from the customer. The Successful Bidder will have to comply with the instructions/guidelines of RBI and any penalty/compensation levied by Document type: Public Page 22 of 55 RFP – End to End Reconciliation of various Payment channels

RBI or any other regulatory authority from time to time in this regard will be borne by the Successful Bidder due to the reasons attributable to the Successful Bidder as decided by the Bank. The Successful Bidder will have to comply with all regulations, present and future as prescribed by the Regulatory authorities.

 The Service Provider will also be liable to bear the actual loss on account of wrongful/excess credits or wrong/ delayed reporting in reconciliation activities undertaken by the Successful Bidder due to reasons attributable to the Successful Bidder as decided by the Bank.

• Besides the Penalty any loss of transaction amount borne by the Bank would be recovered from the bidder under following circumstances:-

a) Failure of settlement of claims lodged within the stipulated time frame. b) Non re-presentment of successful transaction to other Banks' within stipulated time c) Erroneous / wrong re-presentment of failed transaction. d) Losses on account of Shortages borne by the Bank will be recovered in the event of:- i. Non-reporting of shortages found in reconciliation of ATM transactions within 5 days. ii. Non-reporting of differences /shortages upon ledger balancing of ATM accounts within 5 days. iii. Non-reporting of error and differences in the CBR submitted by the ATM vendor within 2 working days of receipt of the CBR.

e) Any amount identified by the Bank as fraud due to the lack of proper reconciliation system at any point of time during the contract period which is not reported by the bidder will be recovered from the bidder. f) The bidder will so be liable to bear the actual loss on account of wrongful/excess credits or wrong/delayed reporting in reconciliation/dispute process activities undertaken by the bidder due to the reasons attributable to the bidder. l) Penalty / Claim Amount as per the BO advisory or by any regulatory body due to failure of selected bidder to comply as per the scope. m) Penalty on account of RBI directives/Network regulations due to failure of selected bidder to comply as per the scope.

The penalty/compensation payable to the cardholders as per RBI directives present and future, for delayed settlement of failed ATM transactions has to be borne by the bidder. The penalty payable to NFS/VISA/CASHNET for delayed processing of credit adjustment in case of Acquirer transactions has to be borne by the bidder. In addition to the above existing guidelines of RBI / Network the penalty payable due to modification/introduction of new guidelines by RBI/existing network/new network which the bank may join, will be to the account of the bidder.

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The penalty would be calculated and will be recovered from the billing amount payable to the bidder.

The bidder will be responsible for the activities done by the manpower deployed. In case any wrong credits are done, or wrong are accepted, or the chargebacks / re- presentment done in the networks are in wrong code due to which they are rejected and if any of the activities even other than the one specified above result in financial loss to the Bank, then the same will be recovered from the bidder.

The selected bidder should provide Read Only access facility to their Database

9. Payment Terms.

Payment shall be made monthly in arrears. The selected Bidder shall submit invoice and other documents and reports necessary as per the terms duly authenticating on each document for releasing the payment for the respective service. On receiving each payment, the Bidder shall submit a receipt for the payment received including TDS. The payment shall be paid after deducting applicable penalty amount if any.

The payments will be released through NEFT / RGTS and the Selected Bidder has to provide necessary Bank Details like Account No. , Bank's Name with Branch, IFSC Code etc. Two copies of Bidder’s invoice showing contract number, Services description, quantity, unit price and total amount shall need to be submitted.

 DLB reserves the rights to dispute/deduct payment/withhold payments/further payment due to the Successful Bidder under the Contract, if the Successful Bidder has not performed or rendered the Services in accordance with the provisions of the Contract which DLB at its sole discretion adjudge.

 Successful Bidder shall permit DLB to hold or deduct the amount from invoices, for non- performance or part performance or failure to discharge obligations under the Contract.

 It is clarified that the any payments of the charges made to and received by authorized Successful Bidder personnel shall be considered as a full discharge of DLB’s obligations for payment under the Agreement.

 First payment shall be made after execution of the Contract, NDA and SLA.

10. Instruction to Bidders

 The Bidder shall bear all the costs associated with the preparation and submission of their bid.  Bidder should submit the bid strictly as per RFP failing which bid will be rejected as non- compliant.

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 At any time prior to submission of bids, DLB may, for any reason, modify the Bidding Documents through amendments at the sole discretion of DLB. In order to provide prospective Bidders a reasonable time to take the amendment if any, into account in preparing their bid, DLB may, at its discretion, extend the deadline for submission of bids.  DLB reserves the right to cancel the RFP process any time before or after the submission of Bids without assigning any reasons. DLB will not be liable to reimburse the costs incurred by the Bidders towards Bid preparation.

 Bid shall remain valid for 3 months from last date of submission of bid prescribed by DLB.

11. Bidding Process A two stage bidding process will be followed. The response to the present tender will be submitted in two parts:

a) Technical bid b) Commercial bid (Shall need to submit after the technical round if bidder is shortlisted).

Technical Bid shall contain all the supporting documents regarding eligibility criteria, scope of work, Technical aspects, Compliance statement, Terms & Conditions etc. mentioned in the RFP. Only those bidders whose Bid is compliant with all the terms & conditions of RFP document shall be short-listed for commercial stage and Reverse Auction.

Reverse Auction and Earnest Money Deposit

After Technical stage, technically qualified Bidders may be intimated for the submission of Commercial bid and participation of Reverse Auction. DLB will open the commercial offer of all the technically qualified Bidders before the reverse auction process to arrive at the opening price (indicative price bid) for the Reverse Auction. Bidder’s presence may be invited to open the Commercial offer. However, there would be no compulsion on the part of DLB to accept these prices as Bench Mark for determining the Start Bid price. DLB will decide the method and time of Reverse Auction. The time of the Reverse auction will not be changed / postponed for any bidder’s convenience. To participate in the reverse auction, Bidder has to submit a Bank Guarantee with 10 months validity as the EMD. The value of EMD shall be minimum of 5% of submitted commercial value of the Bid. The successful bidder may get their Bank guarantee released after successful delivery/starting of the services/materials and if the bidder fails deliver the services/materials, DLB will have the rights to invoke the Bank Guarantee and claim the Bank Guarantee if any delay of services or other contract terms violations. Other bidders who are not selected shall get their respective EMD Bank guarantee released.

12. Modification Of Bids & Contacting DLB

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

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 Any effort by a bidder to influence DLB in evaluation of the bid, bid comparison or contract award decision may result in the rejection of the bidders bid. DLB decision will be final and without prejudice and will be binding on all parties.  No Bidder shall contact DLB or any of its staff members on any matter relating to its Bid, once after technical evaluation is over.

13. Terms & 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. The bidders are advised to clearly specify the deviations, in case terms and conditions of the contract applicable to this invitation of tender are not acceptable to them.

14. Evaluation, Award Criteria & Instructions The Technical Bid should necessarily contain all Technical details and other terms and condition of RFP. Bidder’s proposal should conform to the contents and format of the RFP. Proposals not conforming to the specifications may be rejected summarily. Any incomplete or ambiguous terms/conditions will disqualify the offer.

The Technical Bid / Scope of the Work submitted by the Bidder will be evaluated based on the terms and conditions of the RFP. Detailed technical evaluation will include scrutiny of company profile, technical and functional information of proposed software/service solution, system demonstration of proposed solution, reference calls & site visits and the compliance submitted by the bidder on the Scope of Work (Clause 4) and the Detailed Scope of Work (Annexure 4).

1. To meet DLB's requirements, as spelt out in this Bid Document, the selected Bidder must have the requisite experience and expertise in providing the required services, technical and domain expertise on the subject and the financial ability that would be required to successfully set-up the required infrastructure and provide the services sought by DLB.

2. A screening committee constituted by DLB for the purpose of selection of the successful Bidder, would evaluate Bids.

3. The proposals will be evaluated in stages. In the first stage, i.e. Technical Evaluation of the Bidders will be done. In the second stage commercial bids would be evaluated and reverse auction will be conducted for the technically qualified bidders in this stage.

4. The Technical Bid should necessarily contain all Technical details and other terms and conditions of RFP. Bidder’s proposal should conform to the contents and format of the technical bid. Proposals not conforming to the specifications may be rejected summarily. Any incomplete or ambiguous terms/conditions will disqualify the offer.

5. The Technical Bid submitted by the Bidder will be evaluated based on the terms and conditions of the RFP. Detailed technical evaluation will include scrutiny of company profile, technical and functional information of proposed software/service/solution/system demonstration of proposed solution, reference calls and site visits.

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6. Each Bidder acknowledges and accepts that DLB may, in its absolute discretion, apply whatever criteria it deems appropriate in the selection of vendor/bidder, not limited to those selection criteria set out in this RFP document.

7. The Bidders shall be short listed after the evaluation of their Technical Bids and will be informed. Only the short listed bidders will be permitted to participate further in the process.

8. DLB reserves the right to modify / amend the evaluation process at any time during the Bid process, without assigning any reason, whatsoever, and without any requirement of intimating the Bidders of any such change. At any time during the process of Bid evaluation, DLB may seek specific clarifications from any or all Bidders.

9. DLB reserves the right to modify the total quantities subject to a variation of ± 20% on either side of the projected requirements. The Bidder shall not and hereby waive any or all objections that it might have at the relevant point of time.

10. DLB reserves the right to accept or reject in part or full any or all the Bids without assigning any reason whatsoever. Any decision of DLB in this regard shall be final, conclusive and binding on the Bidder.

11. DLB reserves the right to re-issue / re-commence the entire bid process in case of any anomaly, irregularity or discrepancy in regard thereof. Any decision of DLB in this regard shall be final, conclusive and binding on the Bidder.

12. Modification to the RFP Document, amendments, time-extension, clarification etc. if any, will be made available as an addendum on DLB’s website and / or emailed to the prospective Bidders.

13. All notices regarding corrigenda, addenda, amendments, time-extension, clarification, response to bidders’ queries etc., if any to this RFP, will not be published through any advertisement in newspapers or any other mass media. Prospective bidders shall regularly visit DLB’s website to get themselves updated on changes / development in relation to this RFP.

14. Successful Bidder would sign the Contract/SLA and other forms specified in RFP Document with Dhanlaxmi Bank at Thrissur only, to protect any shared sensitive information / data.

15. The Bidder shall bear all costs and expenses for the execution, stamp duty and submission of the contract and agreements. DLB shall not be responsible or liable for reimbursing/compensating these costs and expenses.

16. To complete the work at the site within stipulated timeframe, Bidder’s employees/workmen may have to visit the site multiple times, at no extra cost to DLB.

17. Quotations contained in the Bids shall remain valid for three months from the date of submission of the Bid in response to the RFP.

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18. Prices quoted should be EXCLUSIVE of all applicable taxes and applicable taxes would be deducted at source, if any, as per prevailing rates.

19. The price (“Bid Price”) quoted by the Bidder cannot be altered or changed due to escalation on account of any variation in taxes, levies, and cost of material.

20. DLB will not be obliged to meet and have discussions with any Bidder and/ or to entertain any representations in this regard.

21. During the period of evaluation, Bidders may be asked to provide more details and explanations about information they have provided in the proposals. Bidders should respond to such requests within the time frame indicated in the letter/e-mail seeking the explanation.

22. DLB’s decision in respect to evaluation methodology and short-listing Bidders will be final and no claims whatsoever in this respect will be entertained.

23. The Bids received and accepted will be evaluated by DLB to ascertain the best and lowest bid in the interest of DLB. However, DLB does not bind itself to accept any Bid, lowest or otherwise, and reserves the right to reject any or all bids at any point of time prior to the order without assigning any reasons whatsoever.

24. Apart from the above, the company profile, past experience and performance track record of the Bidder in the area of the assignment, methodology to be adopted to carry out the assignment, delivery schedule, service support, price, etc. shall be some of the important criteria in selecting the bidder.

25. The Bids will be evaluated both on the Technical and Commercial merits and DLB’s decision in this regard shall be binding, final and conclusive.

15. Execution of SLA/NDA

The bidder and bank should execute (a) Service Level Agreement, which would include all the service and terms and conditions of the services to be extended as detailed herein and as may be prescribed by the Bank and (b)Non-disclosure Agreement. The bidder should execute the SLA and NDA within one month from the date of acceptance of the purchase order.

16. Right to Audit and Due Diligence

Bidder shall allow DLB or its authorized representatives to conduct, due diligence of the out sourced vendors on a yearly basis. DLB or its authorized representatives shall have the right to inspect and audit the books, records and information of the Service Provider at any point of time after giving a prior written intimation of 7 days and shall also state the day and time of such inspection and specifying the Bank officials who shall undertake such inspection for the services under this Agreement.

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The Bank may, at its discretion, audit the software, books and services of the Bidder by its external / internal / RBI / auditors. The Service Provider will facilitate the same without any demur. The vendor shall, whenever required, furnish all relevant information, records, and data to inspecting officials of Bank and the external / internal / RBI / auditors. The Bank reserves the right to call for any relevant material information/report. Bank will provide the information in advance to the service provider for the same.

The Bidder should get the activities and or functions audited from time to time as per the requirements of the Bank, VISA, NPCI, or any other statutory body, where ever applicable. Cost of such audit should be borne by the Bidder throughout the period of agreement.

The Bidder agrees that the Bank has the right to conduct audits (System Audit & Accounts Audit) on the service provider whether by its internal or external auditors or by agents appointed to act on its behalf and to obtain copies of any audit or review reports and findings made on the service provider in conjunction with the services performed for the Bank.

The Service Provider will allow the Reserve Bank of India or persons authorized by it to access the bank’s documents, records of transactions and other necessary information given to, stored or processed by the service provider within a reasonable time and as also recognize the right of the Reserve Bank to clause an inspection to be made of a service provider of the bank and its books and accounts by one or more of its officers or employees or other persons.

Confidentiality of Bank’‘s customer’‘s information should be maintained even after the contract expires or gets terminated.

Information System Audit

The Bank shall have right to audit of the complete solution proposed by the bidder, and also inspection by the regulators of the country. The Bank shall also have the right to conduct source code audit by third party auditor. The IS Audit, including VA and PT should be conducted before go live of the solution through CERT-In empanelled auditor.

Bank will be conducting VAPT (Vulnerability Assessment and Penetration Testing) and /or IS Audit of the solution before go live of the solution. Bidder has to close the observations made by Auditors for the proposed solution which include application, Operating System (OS), Database etc. Bank will be conducting VAPT and /or IS Audit of the solution on regular intervals also. The bidder should resolve all security gaps identified in the audits within reasonable time frame as provided by the Bank and also should continuously monitor the release of application patches and expeditiously apply the same without any cost to the Bank.

The bidder shall adhere to all regulatory and legal requirements of the country (existing and future). The bidder shall also comply with the advisories, recommendations, directions and

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The solution should be connected with Bank's host (such as- CBS etc.) with Straight through Processing (STP) if required.

The solution should be deployed with multi-tier architecture, i.e. web server, application server, and database servers and should be placed in different security zones.

Assurance from bidder/ application providers/ OEMs that the application /solution/environment is free from embedded malicious/ fraudulent code should be provided. The bidders shall submit security certificate of proposed solutions from application providers/ OEM.

The bidder shall ensure that secure coding practices is implemented for application. The software/ application development practices should address the vulnerabilities based on best practices such as Open Web Application Security Project (OWASP) proactively.

The bidder shall ensure that sensitive information is stored in database in encrypted format with latest encryption standard/ algorithm.

The bidder shall ensure that the communication between end user and solution proposed should be encrypted end-to-end to ensure confidentiality and integrity of user's data.

The development, test and production environments should be properly segregated.

All the IT components proposed under the RFP (such as- operating system, application software, database, middleware etc.) should be periodically patched for all types of patches, such as - security patches, system patches etc. Emergency patches should also be applied immediately as per regulatory and other agencies directions etc.

Data security and confidentiality: Successful bidder to ensure no unwarranted, illegal, and fraudulent misuse of data shared by the Bank and Bidder to categorically indemnify the Bank against any losses that the Bank may suffer on account of any such fraudulent and illegal act by the company or its employees.

17. Fraud Prevention

Fraud, if any, committed / attempted by the service provider or its resources as part of this engagement shall be brought to the notice of Bank’s vigilance department at central office then and there and the same will be dealt with as per the Bank’s policy on fraud prevention control.

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18. Patent Rights

 The bidder shall indemnify the purchaser 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.  The bidder shall, at their own expense, defend and indemnify DLB 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/services or any part thereof in India or abroad.  The bidder shall expeditiously extinguish any such claims and shall have full rights to defend itself there from. If DLB is required to pay compensation to a third party resulting from such infringement, the bidder shall be fully responsible therefore, including all expenses and court and legal fees.

19. Submission Of Bid

The bid should contain following:

1. Technical Bid. 2. Commercial Bid. ( In sealed envelope after the Technical round)

Technical Bid shall be submitted in Soft Copies and Commercial Bid shall be submitted in a sealed cover.

Address for Communication:

Chief Manager – Alternate Channels Dhanlaxmi Bank Limited 2nd Floor, Corporate Office, Punkunnam, Thrissur, Kerala – 680002

20. Authorised Signatory The selected bidder shall indicate the authorized signatories who can discuss and correspond with the Bank, with regard to the obligations under the contract.

Requisite power of attorney/ board resolution authorizing the signatories of the bid to respond to this RFP must be submitted along with the bid. The selected bidder shall submit at the time of signing the contract, a certified copy of the extract of the resolution of its board, authenticated by bank secretary, authorizing an official or officials of the bank or a power of attorney copy to discuss or sign agreements/ contracts with the bank. The bidder shall furnish proof of signature identification for above purposes as required by the Bank.

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21. Clarifications Regarding RFP Document

Before bidding, the bidders are requested to carefully examine the RFP Document and the terms and conditions specified therein. In case the bidders require any clarification on this RFP, the query may be sent to e-mail addresses: [email protected]

22. Annexures

Annexure – 1 List of documents to be submitted for the Bid Annexure – 2 Acceptance of Terms and Conditions. Annexure – 3 Eligibility Declaration Format. Annexure – 4 Detailed Scope of Work Annexure – 5 Commercial offer. Annexure – 6 Format for commercial offer Annexure – 7 Non Blacklist Declaration Format Annexure – 8 Track Record of Past Experience of Bidder in similar engagement Annexure - 9 Compliance Statement

. .

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Annexure – 1

List of documents to be submitted for the Bid. Below are the list of documents needed to be sent (except commercial bid) as scanned/softcopy and originals and hardcopy may be presented after technical selection. Please restrict the maximum email size to 5 Mb and if your RFP response is more than 5 Mb, You may send as multiple emails.

Technical Bid.

1. Acceptance of Terms and Conditions. (Annexure-2) 2. Eligibility Declaration Format. Supporting documents and evidence listed in ‘Eligibility Criteria for Bidder/OEM’ for each criteria (Annexure-3). 3. Compliance on Scope Of work (Annexure-4). 4. Non Blacklist Declaration Format as (Annexure-7). 5. Track Record of Past Experience of Bidder in similar engagement (Annexure-8) 6. Compliance Statement (Annexure-9).

Commercial Bid

Bidder has to submit the commercial bid with pricing in given format if the bidder is shortlisted as per (Annexure-5 and Annexure-6).

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Annexure - 2 Acceptance of Terms and Conditions. (Letter to the bank on the bidder’s letterhead)

To

Chief Manager – Alternate Channels Dhanlaxmi Bank Limited 2nd Floor, Corporate Office, Punkunnam, Thrissur, Kerala – 680 002

Dear Sir,

SUB: SOLUTION FOR END TO END RECONCILIATION OF VARIOUS PAYMENT CHANNELS (OPEX MODEL) Ref: RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021

With reference to the above RFP, having examined and understood the instructions, terms, conditions, annexure and amendments forming part of the RFP, we hereby enclose our offer for the supply of the items/equipment/solutions as detailed in your above referred RFP.

We further confirm that the offer is in conformity with the terms/conditions as mentioned in the RFP and all required information /annexure is enclosed. Also we conform that all information/details enclosed are true and fully aware that if anything is found false/wrong in later stage, it will invite penalties/legal action by Dhanlaxmi Bank.

We also confirm that the offer shall remain valid for three months from the date of the offer.

We also agree that you are not bound to accept the lowest or any bid received and you may reject all or any bid without assigning any reason or giving any explanation whatsoever.

Authorized Signatory Name Designation Office Seal

Place: Date:

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Annexure - 3 Eligibility Declaration Format

Bidder need to be filled in below table

Sl. Eligibility Criteria Remarks < to be filled by bidder>

Complied (Yes / No) / (Yes Complied Proof submitted (Yes / No) / (Yes submitted Proof The Bidder should be a Company/Firm Year of Incorporation - registered under relevant statute in India GSTN Number - under Companies Act 1956 since last 1 five years as on RFP submission date. Registered Office City– The bidder should also be registered Registered Office Address - with GSTN. Bids under consortium arrangement are not allowed.

The bidder should have a minimum Annual Turnover turnover of Rs. 10 Crores in each year 2018-19 - for last two audited Financial Years in 2 2019-20 - relevant services and The Bidder should have made net profit in each of the last financial years. Net Profit 2019-20 -

The Bidder or its technology partner Documentary Proof including list of 3 should have technical support centre in Offices and Address India

Bidder or its technology partner should have its own transaction reconciliation software or OEM license to use the same Copy of order and/or certificate of 4 and should have capacity to process at completion of the work. least 2 Lakh transactions per day and scalable to 5 lakh per day. The bidder should not have been blacklisted by Government, any govt. 5 department, PSU or any Bank (Self- Self-certification as per Annexure-5 declaration. Template available in Annexure- 5).

The application proposed by the Bidder Copy of the certificate which is having 6 should be PA-DSS certified. validity to be submitted

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Annexure - 4 Detailed Scope of Work (SOW)

Bidder need to provide details and confirm SOW

Hardware / Software Specifications

Hardware / Software Specifications Sl No Particulars Details to be provided by Bidder Detailed solution and hardware 1 architecture for PR and DR site 2 Database and version 3 Operating system details 4 No of servers at PR site 5 No of servers at DR site 6 Storage and Backup Hardware Specifications in details 7 (Make, Model, Form factor, power rating etc.) Data replication strategy between 8 PR and DR site Data encryption used for Data at 8 rest and in transmit

Reconciliation Method:

The Successful Bidder should manage the reconciliation work with the appropriate software and experienced/skilled manpower for the related jobs. The software should be efficient enough to handle huge volumes of transactions which can complete the reconciliation process within time bound schedule as per established rules and mandates of various interchange networks with which the bank has arrangements, with tracking capabilities of each event for each transaction to avoid duplication of the same activity at any level up to the closure of the transaction.

Bidder should Process all the Raw files received from different Network and Prepare settlement for all the network like NFS, Cashnet, VISA, RuPay , Mobile Banking, Internet Banking, Prepaid cards, IMPS, UPI (Unified payment Interface), DFS (Discover ), ICD (Interoperable cash Deposit), AEPS (Aadhar Enable payment system), Aadhar Pay, BBPS (Bharat Billpay system), Payment Gateway, JCB etc.. Reconciliation of ONUS and Acquirer transactions should be done on four-way. Bidder should reconcile all the pool accounts, general account and other accounts of the Bank.

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) Upload of data files from Bank's CBS /Switch/ EJ Data / Transaction Log Files (TLF)/ Data Files as received from ATM Sharing Networks like NFS/VISA/CASHNET etc. in the Reconciliation 1 system Server and carry out the process of reconciliation of all entries by generating reports of matched, unmatched, failed, reversal, partial reversal, suspect transactions, manual entries, ATM wise etc.

Reconciliation of ATM transactions such as Onus , Acquirer and Issuer transactions with tie-up Banks/Networks like /VISA/ NFS/ RuPay / 2 CASHNET/ Payment Gateway/payment through debit card etc. on daily basis based on Host, Switch, EJ/ JP Log, Admin Data etc. Check to alert and stop double time processing of the 3 same file. System should have flexibility to accept all types of file formats provided by different networks like VISA / 4 NFS/ RUPAY / CASHNET. Toggling into multiple file formats types should be available. 5 Network (Tie up reconciliation) 6 EJ reconciliation 7 Suspense reconciliation 8 Settlement reports 9 Unreconciled reports 10 Fraud monitoring reports 11 Outstanding entries 12 LORO TTUM All file uploading and processing to reconciliation 13 system to be automated without manual intervention. Replenishment claims checking with switch dispense 14 and branch dispense with EJ CBR issued against Cash load 15 Generation of reports printable format Dashboard and report showing overall amount of transaction, fees & GST of Issuer & Acquirer wise 16 ATM Withdrawal/ POS/ e-Commerce transactions, IMPS,UPI, Payment Gateway etc. and its total transactions Count.

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) Transaction integrity check between transaction 17 authorized and transaction settled specifically with different amount cleared against amount authorized. System should generate exception reports like: 1 Switch Outstanding, CBS Outstanding, Tie-up Bank 18 Outstanding, VISA/NFS/CASHNET Outstanding. Utility wise outstanding etc. for bill payments and other add-on facilities through ATMs. Successful bidder should be responsible for follow-up 19 with vendors/branches for EJ, images, c3r reports for reconciliation, for handling disputes etc.. All outstanding entries to be adjusted as per 20 NPCI/VISA/CASHNET/RBI guidelines. Reconciliation of Sundry and Suspense Account entries 21 and Handling queries from branches on the reconciled and pending entries etc. Reconciliation of TIP Charges and debiting to the 22 accounts. Tip and surcharge First Presentment, Reconciliation of Bank' settlement accounts with the settlement accounts maintained with different Banks 23 for different ATM Sharing arrangement/ Interchanges like NPCI, VISA, CASHNET etc. Reconciliation for all existing and new products on tie 24 up present & future Raising all chargeback's for resolution of disputes, rising & settling debit/ credit adjustments cases etc, 25 Reporting as per Rules and Mandates of different ATM Sharing Arrangements / Networks 26 Chargeback 27 Deferred Chargeback Making 1st presentments, 2nd presentments etc. 28 making, receiving and presenting arbitration cases etc. 29 Re-presentment 30 Credit adjustment 31 Debit adjustment 32 Pre arbitration 33 Arbitration 34 Settlement 35 Compliance to various guidelines 36 Refunds 37 Debit chargeback

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) 38 Good faith request Process electronic journal pulled from ATMs as 39 integral components of reconciliation. Computation of load/ unload amount and cross tallying 40 with Switch files. Verification of overages / shortages at the time of load / 41 unload with ATM wise segregation. Update and Reconcile c3r report from cash 42 management services agencies with Bank Records. Cross verification of actual cash loaded and logical 43 cash loaded by comparing ATM cash counters with admin transactions. Exceptional report generation for difference in the 44 above with ageing Interface to upload daily ATM wise cash balance into 45 the system. System based computation of ATM balances at EOD 46 balance and reconciliation with individual ATM Gls. Exceptional report generation for difference in the 47 above with ageing Generation of customized MIS as per bank's 48 requirement. Automated GL reconciliation and balancing of related 49 GLs. Proactive identification of failed transactions both 50 Acquiring and Onus, proactive credit adjustment and tallying the ATMs Manage customer compliant from Branches, customer 51 care, CCMS, website, UDIR etc.

The system should be compatible with the ODR facility / guideline issued by RBI and should configure and 52 integrate the same with Bank`s applications and NPCI applications. 53 Chargeback letter from branches and customer GL balancing and reconciliation should be system 54 driven not manual. 55 Update record with branch GL entries 56 Checking update of CBR 57 Adjustment entries to nodal /feeder branches 58 Providing entries to reconciliation team 59 Daily adjustment report to Higher management

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) All Debit card, POS and Online transaction 60 reconciliation End to End Reconciliation of UPI/IMPS/AEPS 61 Transactions and Dispute management: The system should be capable of Three way 62 reconciliation of UPI/ IMPS/ AEPS based on Switch Data, CBS Data, and NPCI Data. All issuer, acquirer and merchant- acquirer (UPI) 63 transaction reconciliation Reports of Reconciled and Unreconciled to be 64 provided. End to End dispute management to be handled as per 65 NPCI Guidelines. System must match all approved & declined transactions (which includes Pay, Collect, IPO and 66 other Mandate & Merchant transactions), reconcile all entries and provide exceptions. Recon sheet to be provided should contain total number of transaction, transaction with unknown status, 67 transaction that is failed, and timeout along with response codes. System should generate report with settlement for 68 UPI/IMPS/ AEPS and verify with settlement provided by NPCI. The system should have capability to auto upload data 69 without manual intervention. The system should be able to do cycle wise reconciliation and the turnaround time for 70 reconciliation of any transaction shall be T +1 day or as per the NPCI or as required by bank. System should provide online portal for all the matched, unmatched transaction. The portal should 71 take RRN (reference number) as input and provide output transaction details as decided by bank. Reconciliation of GL Accounts for each settlement 72 cycle and Provide system generated balancing reports of GLs. Customized MIS to be provided as per Bank's 73 requirement. Provide a portal to branches to register disputes about 74 transactions. 75 All Pool accounts and General accounts reconciliation

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) Generation of Issuer, acquirer and merchant-acquirer 76 (UPI) reports End to End Reconciliation of Payment Gateway with or without Aggregators Transactions and Dispute Resolution : The system should be capable of reconciliation based 77 on Aggregator Data, CBS Data, Switch Data. 78 Reports of Reconciled and unreconciled to be provided. 79 End to End Dispute Management to be handled. System must match all approved & decline 80 transactions, reconcile all entries and provide exceptions. Successful bidder should be responsible for follow-up 81 with Aggregators for transaction data / reports for reconciliation and for handling disputes. Reconciliation of GL Accounts for aggregator wise and 82 Provide system generated balancing reports of GLs. Accounting, Reconciliation & Reports Creation of Interface/Reports for auto-debiting/ 83 crediting cardholders account through up loadable data files Generation of Unreconciled entries Age wise and 84 Amount Wise 85 Generation of Pending Unreconciled entries age wise Generation of ―In Network not in CBS report and 86 TTUM‖ for Issuer and Acquirer both Generation of In CBS not in Network report and 87 TTUM‖ for Issuer and acquirer Both 88 Generation of Fraud monitoring Reports Generation of reports for High transaction value and 89 Number 90 Generation of Transaction Reports End to end dispute resolution as per NPCI/VISA/RBI 91 Guidelines. Provide a portal to branches to register disputes about 92 transactions System should have capability for interfacing with 93 CRM of bank (including call centre). Generation of Reports on customer raising disputes 94 frequently (more than once in 1 Months) Generation of reports of customer raising Frequent 95 chargeback (four times in a month) Document type: Public Page 41 of 55 RFP – End to End Reconciliation of various Payment channels

Bidder Sl No Particulars Confirmation Remarks (Yes/No) 96 Generation of Potential chargeback reports. 97 Generation of Credit adjustment reports. 98 Generation of Debit adjustment reports. 99 Generation of Pre-arbitration Report 100 Generation of Arbitration Report Generation of all the dispute for VISA, NPCI, Cashnet 101 files Generation of TTUM files for all the ONUS disputes 102 received System should have capability to Generate TTUM files 103 uploadable in bank CBS as per the Bank format 104 Generation of not settled transaction reports Fees / Charges Calculation. The system should calculate fees at various levels of 105 transactions charged by other banks/NPCI/VISA/CASHNET etc.. The application should be capable of Parameter driven system to generate appropriate fee codes for every 106 outgoing/ incoming/ dispute transactions according to the VISA / NPCI /RuPay / CASHNET specifications. Computation of Fee for issuer transaction from 107 Network Provider Computation of Fee for Acquirer transaction from 108 Network Provide 109 Computation of Fee payable to Other Bank 110 Computation of Fees receivable from other Bank Computation Of Fee for Non-financial transaction such 111 as Mini statement, balance Inquiry, Pin change 112 Generation of tax Reports 113 Generation of Interchange reports 114 Generation of Switching fees reports Generation of Reports for VISA for various charges 115 and fees levied by them Generation of reports for fees levied by all Network 116 provider such as NFS, RuPay , UPI, AePS, BBP, Aadhar Pay, Master Card, visa etc.. System should aids in analysis of Fees at the 117 transaction level, Card Type level, Network Level, Device Type Level

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) System should be capable of uploading and analyzing 118 of invoices raised by NPCI/ VISA fee charged apart from incoming and outgoing files. System should compare interchange fees calculated at transactional level are compared with the VISA/ NFS/ 119 NPCI/ RuPay / CASHNET incoming settlement summary. The system should give code wise fee charged and 120 income generated System should compare interchange fees calculated at 121 transactional level are compared with the VISA/RuPay /NFS Incoming settlement summary. System should provide a clear view of the inflow & outflow of interchange fees and should be able to 122 highlight the reasons for deviation and impact on the fees. System should aid in optimum payment of interchange 123 fees The system should generate reports to analyze billing 124 processed through the VISA Integrated Billing System, RuPay Billing system. Generation of all other fee reports required by Bank for 125 Top Management and audit Purpose Generation of income and expenditure report weekly, 126 monthly, quarterly and yearly Accounting of Charges debited to our Nostro Account - 127 / IDBI charges charged by VISA, NPCI, CASHNET and applicable GST (Expenditure). Accounting Transaction Fees, Interchange Fees paid to 128 other foreign banks as per VISA /NPCI daily settlement reports (Expenditure). Accounting of Issuer Interchange received from other 129 Banks (Income). 130 Accounting of Markup / Excess debits to customer 131 Preparation of closing related reports. Provision to provide extensive financial reporting at 132 specific levels, including GL & Bank Account. Apart from above reports bidder has to provide all the 133 reports as per the requirement of the bank from time to time. The solution should provide End to End dispute 134 resolution as per NPCI/ VISA/ RBI Guidelines. Document type: Public Page 43 of 55 RFP – End to End Reconciliation of various Payment channels

Bidder Sl No Particulars Confirmation Remarks (Yes/No) 135 Management of claims received with TAT 136 Updating of status of claims 137 Sending of Mails to customer care about claim status. 138 Generation of Chargeback file for all the networks. 139 Generation of Re-presentment file for all the network 140 Generation of Pre-arbitration file for all the Network Generation of Pre-arbitration Rejection file for all the 141 network 142 Generation of compliance Reports for all the network Compliance of Retrieval request and chargeback 143 procedure 144 Chargeback letter and exhibit form to be generated 145 Multiple dispute chargeback letters. 146 Management of customer dispute letter and forms Good faith request acceptance and forwarding Bank`s 147 request Generation of credit adjustment and Debit adjustment 148 reports Management of all the other Kind of disputes and 149 Requirement received from Network providers and card schemes 150 Reports for duplicate entry for single claim 151 Validation of transaction from database 152 Location/Terminal details as required by the Bank Tracking of Dispensed amount and claimed amount, 153 customer wise and branch wise 154 Dispute management of Tie up and Third Party 155 Unique reference number to all disputes Handling of All the Banking Ombudsman cases, Bank’s Internal Ombudsman cases, Consumer forum 156 cases and RTI queries and investigation agencies queries. Providing relevant data sought by investigating 157 agencies MIS for all the disputes weekly, monthly ,Quarterly 158 and yearly Adjustment update for IMPS and UPI transactions at 159 NPCI portal. System should have capability to store and Retrieve all 160 the documents received from different network and branches

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) System should have capability to retrieve all the details 161 related to the disputes as and when required by Bank. Bidder should have different Dispute Management 162 system to keep History of all the disputes and Management of Dispute. should have capability to flag all the entries which 163 were earlier unreconciled and now reconciled System should have capability to manage all the 164 Dispute arise for POS, Payment gateway, E-commerce, UPI, IMPS, BBPS, ATM /CDM transactions. 165 GST related transactions GST figure reconciliation. Handling queries from branches on the unreconciled 166 and pending entries. 167 Handling of queries/calls on pending claims. Reconciliation of all the Bills payable account for all 168 the network i.e. NFS, VISA, RuPay , NPCI etc. Shadow Balance maintenance in Data base which 169 should always tally with Bank CBS balance. Generation of tallied report and difference statement 170 for Zeroing entry in CBS Accounting of suspense debtors, ―Cash in ATM‖ and 171 Network Checking of ATM withdrawal, reversal, Bank advices 172 posted in CBS Generation of files to upload in CBS for debiting and 173 crediting the customer account as well as Vendor account and ATM account Generation of Switch outstanding, Branch outstanding, 174 Network outstanding 175 Force reconciliation by relaxing some parameters Inbuilt reconciliation rule table to reconcile all the 176 transaction. Update and reconcile third party i.e NFS,VISA, RuPay 177 and all the Network entries Generation of Vendor wise sheet to recover the amount 178 from vendor 179 Age wise break up of all Suspense entries Shadow balance maintenance in system which should 180 always match with CBS balance Interface for uploading Cash Balance Report (CBR) 181 received from the branches/outsourced vendors.

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) Software should be able to store/retrieve Cash Balance 182 Report along with Switch, CBS and EJ data and reconcile the same with the Bank records. The system should be capable to decrypt the error 183 codes from switch and from the EJ of various ATM / CDM OEM. System based computation of ATM cash dispense and 184 Cash Recycler deposit/dispense between EODs 185 Maintain ATM wise account in the system 186 Record all the transaction taken place in ATM Record all the Manual debit and credit taken place in 187 ATM Verification of Overage and shortage at the time of 188 Load unload ATM wise and age wise segregation of load and unload 189 for Nodal branches Maintenance and Generation for Cash Balance Report, 190 C3R Cross verification of actual cash loaded and Logical 191 cash loaded Reconciliation of cash management services and 192 agencies 193 Exception report generation for differences Record for excess and shortage and TTUM generation 194 for the same. Breakup of sundry account which is maintaining excess 195 cash balance 196 Breakup of suspense account maintain shortage The system should be capable to process EJ, Switch 197 file, CBS file and Network file to perform 4 way reconciliation. The system should be capable to generate all the 198 unreconcile entries of ATM and to reconcile the same. System should generate report like CBS outstanding, 199 Switch outstanding, Tie up outstanding System should have capability to generate ATM 200 reconciliation report automatically. System should have capability to recognize all the 201 transaction posted in GL and take it to GL reconciliation automatically.

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) System to upload CBS and C3R report in system to 202 perform GL reconciliation System should have intelligence to compute EOD 203 balance on the basis of EJ, CBS and Switch. Contacting branches where ATM is tallied by branch 204 for dispute Management. 205 Recovery of Disputed amount. System should have capability to handle Acquirer and 206 Onus claim lodge for Particular ATM General Receiving and recording of claims applications from 207 cardholders / branches other Banks/Call centers and disposing them off as per procedure. Facilitating reply to cardholders queries on pending 208 claims, placing periodical MIS reports on claims settled as per formats defined by the Bank The software used must be compatible to the electronic journal pulled from ATMs of Wincor (AGS) / OKI/ 209 NCR / Diebold etc. deployed by ATM Managed Service providers. MIS Reports must meet both specified and need based 210 present and / or future requirements of the Bank The Successful Bidder shall deploy adequate resources to meet Bank's reconciliation and complaint resolution 211 requirement within the turnaround period stipulated by Bank/ RBI/ VISA /RUPAY /NFS/ Any other regulatory authority. There would be a Project Leader in the team who would heads the local team of resources deployed at 212 Bank. He / She should have an experience of at least 5 years in Reconciliation and related processes Successful Bidder will also maintain record of entries debited to Suspense account and adjustment thereof an 213 provide outstanding suspense entries and issue reminders periodically as desired by the Bank

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Bidder Sl No Particulars Confirmation Remarks (Yes/No)

Successful Bidder will reconcile on daily basis reports of ATMs where there is difference in cash Debit/Credit as per ATM account (using CBS & Switch Data) vis- avis bills appearing in ATM counters as per EJ/ JP 214 logs. Automated letters/ emails/SMS alerts to be generated to the branches showing cash differences with instructions to pass rectification (adjustment) vouchers. Report showing compliance by the branch will also be provided with dates of adjustment.

The Successful Bidder to modify its solution in accordance with the changes in the Accounting 215 Systems of the Bank from time to time without any additional cost to the Bank. Capable to modify and incorporate changes in new 216 procedure and accounting standards Keep follow up with different Sharing Networks for 217 issues related thereto till resolution. Capable to changes and modify the accounting 218 procedure according to NFS, VISA, RuPay and all other Network Reconciliation of all incoming and outgoing transaction 219 with regards to NFS VISA, RuPay and all other network Automated Vouching system for NFS, VISA, 220 CASHNET, RuPay and all the other network and products. Generation of inflated transaction such as Petrol, 221 Railways, Tip and surcharge Generation of Files to debit and credit customer 222 account as per Bank`s CBS Specification Generation of Scheme incentive files to credit customer 223 account Tracking and report generation of Various fees and 224 penalty levied by NFS, VISA, RuPay and all other Network and products. Preparation of monthly reports for VISA, RuPay 225 (GOC) 226 ATM performance report Daily, weekly, monthly and Quarterly reports for Bills 227 payable, suspense and sundry account age wise Quarterly Operating certificates for VISA, Master card 228 and RuPay

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) 229 Monthly RBI reports as required by Bank 230 Monthly ATM deploying reports 231 Generate Periodical reports as per requirement Age wise report for claim received, Claim settled and 232 claim rejected Exception report for Cash loading, EOD and ATM 233 balancing Daily GL balancing reports for Issuer and acquirer, 234 Issuer Chargeback and Acquirer Chargeback Daily, monthly, quarterly reports for Chargeback, 235 Representment, Credit adjustment. 236 Foreign transaction report according to FEMA. 237 Age wise reports according to bank Requirement Age wise daily reports of branches and Vendors who 238 are not submitting EJ, CBR Monthly report of all the disputes received and 239 resolved Network wise Age wise of all the ATM where reconciliation has not been done. 240 Age wise pending Debit and Credit adjustment cases All other reports bases on requirement of RBI, VISA, 241 RUPAY and other Apex bodies 242 Tip surcharge difference reports 243 Average cash dispensed report Onus / Acquirer Location wise, Terminal wise , Institutional total 244 transaction report Suspense totals by interface for cut off difference, 245 adjustment processing System should generate Fraud Monitoring reports 246 bases on Daily transaction processing System should be capable of Generate frequent 247 Chargeback report System should be able to Generate High value 248 transaction System should be able to generate alert for Issuer 249 transaction if reported more than usual in numbers Track high value Foreign transaction without MECI5 250 code Track details of customer performing more transaction 251 at night specifically at switching time. 252 Track more transactions from a single card number 253 Track all the ATMs generating a particular error in EJ.

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Bidder Sl No Particulars Confirmation Remarks (Yes/No) System should have Capability to generate reports for 254 Filing necessary reports /data to VISA /NPCI Interface with the Bank’s fraud and Risk Management Systems and should be configurable, scalable and 255 customizable to support the Bank’s FRM solution if required The system should be capable to perform all activities 256 once the Migration to 8-digit BIN is completed by the Bank Bidder should download all the raw files from different 257 network and CBS. The application should read all raw files accordingly and should process the files. Application should match all the success transactions 258 with CBS transactions. Application should generate report of all matched 259 transactions and unmatched transactions. 260 Reconciliation of all pool accounts Application should identify the reverse and auto revere 261 transactions from CBS. Penalty shall be imposed by the Bank for any deviation 262 / shortfall in the deliverables / SOW as per the Penalty section in the RFP

263 CRA reconciliation for tallying ATM vault.

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Annexure –5

Covering letter for Commercial offer

(To be submitted after, if the bidder is shortlisted after technical round. This Covering letter should be on the letter head of Bidder and should be signed by an Authorized Signatory with Name and Seal of the Company)

Reference No:

Date:

To Chief Manager – Alternate Channels Dhanlaxmi Bank Limited 2nd Floor, Corporate Office, Punkunnam, Thrissur, Kerala – 680002

Dear Sir,

SUB: SOLUTION FOR END TO END RECONCILIATION OF VARIOUS PAYMENT CHANNELS (OPEX MODEL) Ref: RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021

We thank you for providing us an opportunity to participate in the subject RFP. Please find our commercial offer as per Annexure-6 Bill of Material for the subject RFP along with this covering letter.

We confirm to the terms & conditions stipulated in the RFP document, subsequent Amendments, if any and reply to the Pre-Bid Queries. We also confirm that we are agreeable to the payment schedule mentioned in the subject RFP.

Date

Signature with seal

Name :

Designation:

Document type: Public Page 51 of 55 RFP – End to End Reconciliation of various Payment channels

Annexure –6

FORMAT FOR COMMERCIAL OFFER

(This should be on the letter head of Bidder and should be signed by an Authorized Signatory with Name and Seal of the Company)

Cost Total Cost Number of Cost of expected for SL NO Item Details estimated Reconciliation for reconciliation of transactions for one transaction transactions for one month * one month Cost for End to End Reconciliation Activity per Transaction. (Up to the Logical 1 1,50,000 Closure of the Transactions including Resolution of disputes if any).

*No. of Transactions mentioned is indicative only for arriving L 1 vendor.

All prices quoted shall be based on the services, specification, terms and conditions specified by DLB in the RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021.

All prices are exclusive of taxes.

Date

Signature with seal

Name :

Designation:

Document type: Public Page 52 of 55 RFP – End to End Reconciliation of various Payment channels

Annexure 7 Non Blacklist Declaration Format

(On Bidders’ letter head)

Date:

To

Chief Manager – Alternate Channels Dhanlaxmi Bank Limited 2nd Floor, Corporate Office, Punkunnam, Thrissur, Kerala – 680002

Dear Sir,

Sub: Non Blacklist Declaration by

Ref: RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021

We having our registered office at are an established and reputed company, do hereby declare and confirm that we and our proposed product OEM are not currently blacklisted by any Central/State Govt. or any Bank.

Name:

Designation:

Note: This letter of authority should be on the letterhead of the Bidder and should be signed by a person competent and having the power of attorney to bind the Bidder. It should be included by the bidder in its bid.

Document type: Public Page 53 of 55 RFP – End to End Reconciliation of various Payment channels

Annexure 8 Track Record of Past Experience of Bidder in similar engagement

(On Bidders’ letter head)

SUB: SOLUTION FOR END TO END RECONCILIATION OF VARIOUS PAYMENT CHANNELS (OPEX MODEL) Ref: RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021

Name of the Service Provider ……………………………………….

Name of the Client where subject Contact Contact SL No Address services has been Person`s name Number provided

(Enclose necessary documentary proof)

Date

Signature with seal

Name:

Designation:

Document type: Public Page 54 of 55 RFP – End to End Reconciliation of various Payment channels

Annexure - 9

Compliance Statement

(On Bidders’ letter head)

SUB: SOLUTION FOR END TO END RECONCILIATION OF VARIOUS PAYMENT CHANNELS (OPEX MODEL) Ref: RFP No: AC/ RFP/2020-21/001 Dated - 07/05/2021

DECLARATION

We understand that any deviations mentioned elsewhere in the bid will not be considered and evaluated by the Bank. We also agree that the Bank reserves its right to reject the bid, if the bid is not submitted in proper format as per subject RFP.

Particulars Description Compliance Remarks / Deviations (Yes /No) Terms and Conditions We hereby undertake and agree to abide by all the terms and conditions including all ANNEXUREs, corrigendum(s) etc. stipulated by the Bank in this RFP. (Any deviation may result in disqualification of bids) Scope of Work We certify that the Systems/ services offered by us for the tender confirms to all the Scope of Work stipulated in the RFP under clause 4 and Annexure – 4 “Detailed Scope of Work”

Date

Signature with seal

Name:

Designation:

Document type: Public Page 55 of 55