BY RPAD SOUTHERN RAILWAY Office of the Chief Workshop Manager, Carriage & Wagon Works, Ayanavaram, Chennaiœ23. CW/PR/GL/565/WC/HK15-16/Vol.III Date: 22/07/2015 Letter of Acceptance M/s. M. Mahesh, No.28/13, Kailaya Street,1st Floor, Old Washermanpet, Chennai-600 021. Sub: Housekeeping of Carriage & Wagon Workshop, Ayanavaram, Chennai-23. Ref: 1.Tender Notice No: CW/PR/GL/565/WC/HK/OT-dated22/04/2015 2. Your offer No Nil dated 27/05/2015. ****** With reference to the tender under reference 1, your offer under reference- 2, for the work of —Housekeeping of Carriage & Wagon Workshop, Ayanavaram, Chennai-600 023 for a period of one year“ is accepted by the competent authority for a total value of Rs. 52,83,780/- (Rupees Fifty Two Lakhs, Eighty Three thousand,Seven Hundred and Eighty only) inclusive of all taxes subject to the following terms and conditions. 1. Agreement: The contractor has to execute an Agreement with the Railway Administration for the subject work. The same has to be typed in triplicate one being typed in the Non-Judicial stamp paper of value of Rs.100/- and additional copies in ordinary bond papers. 2. Security Deposit: The Security deposit of 5% of the contract value for this work is Rs.2,64,189/- (Rupees Two Lakhs, Sixty Four Thousand, One Hundred and Eighty Nine only). The deposited EMD amount for Rs. 1,10,442/- through Railway cash receipt No.006317 dated 08/06/2015 will be adjusted towards security deposit and the balance security deposit of Rs. 1,53,747/- (Rupees One Lakhs, Fifty three Thousand, Seven Hundred and Forty seven only) will be recovered from the running bills of the contract at the rate of 10% of the bill amount till the full security deposit is recovered . The Security Deposit shall be returned to the contractor only after passing the final bill based on ”No Claim Certificate‘ with the approval of the Competent Authority. The certificate, inter alia, should mention that the work has been completed in all respects and that all the contractual obligations have been fulfilled by the contractor and there is no due from the contractor to Railways against the contract concerned. Before releasing the SD, an unconditional and unequivocal no claim certificate from the contractor concern should be obtained. No interest will be payable upon the Earnest Money and Security Deposit or amounts payable to the Contractor under the contract. 3. Performance Guarantee: The performance guarantee of 5% of the contract value for this work is Rs.2,64,189/-. The contractor has to submit Performance guarantee for Rs.2,64,189/- (Rupees Two Lakhs, Sixty Four Thousand, One Hundred and Eighty Nine only). The procedure for submitting Performance Guarantee is outlined below:- a) The contractor shall have to submit a Performance Guarantee (PG) within 30 (thirty) days from the date of issue of Letter of Acceptance (LOA). Extension of time for submission of PG beyond 30 (thirty) days and up to 60 days from the date of issue of LOA may be given by the Authority who is competent to sign the contract Agreement. However, a penal interest of 15% per annum shall be charged for the delay beyond 30 (thirty) days, i.e. from 31st day after the date of issue of LOA. In case the contractor fails to submit the requisite PG even after 60 days from the date of issue of LOA, the contract shall be terminated duly forfeiting EMD and other dues, if any payable against that contract. The failed contractor shall be debarred from participating in re-tender for that work. b) The contractor shall submit a Performance Guarantee (PG) amounting to 5% of the contract value in any of the following forms:- (i) a deposit of Cash, (ii) Irrevocable Bank Guarantee, (iii) Government Securities including State Loan Bonds at 5 percent below the market value, (iv) Deposit Receipts, Pay Orders, Demand Drafts and Guarantee Bonds. These forms of Performance Guarantee could be either of the State Bank of India or of any of the Nationalized Banks, (v) Guarantee Bonds executed or Deposits Receipts tendered by all Scheduled Banks, (vi) a Deposit in the Post Office saving Bank, (vii) a Deposit in the National Savings Certificates, (viii) Twelve years National Defence Certificates, (ix) Ten years Defence Deposits, (x) National Defence Bonds, and (xi) Unit Trust Certificates at 5 percent below market value or at the face value whichever is less. Also FDR in favour of FA&CAO/S&W/PER (free from any encumbrance) may be accepted. The Performance Guarantee should be furnished by the Contractor after the Letter of Acceptance has been issued, but before signing of the agreement. The Agreement should normally be signed within 15 (fifteen) days after the issue of LOA and Performance Guarantee should also be submitted within this time limit. This guarantee shall be initially valid up to the stipulated date of completion plus 60 days beyond that. In case, the time for co mpletion of work gets extended, the contractor shall get the validity of Performance Guarantee extended to cover such extended time for completion of work plus 60 days. c) The value of the Performance Guarantee submitted by the contractor will not change for variation up to 25%(either increase or decrease). In case during the course of execution, value of the contract increases by more than 25% of the original contract value, an additional Performance guarantee amount of 5%(five percent) for the excess value over the original contract value should be deposited by the contractor. d) The Performance Guarantee (PG) will be released after the physical completion of the work based on the —Completion Certificate —issued by the Competent Authority stating that the contractor has completed the work in all respects satisfactorily. The security deposit however, will be released only after the expiry of the maintenance period and after passing the final bill based on —No Claim Certificate from the contractor. e) Wherever the contract is rescinded, the security deposit will be forfeited and the Performance Guarantee will be encashed and the balance work will be got done independently without risk and cost of the failed contractor. The failed contractor will be debarred from participating in the tender for executing the balance work. If the failed contractor is a JV or a partnership firm, then every member / partner of such a firm will be debarred from participating in the tender for the balance work either in his/her individual capacity or as a partner of any other JV / partnership firm. f) The Engineer shall not make a claim under the Performance Guarantee except for amounts to which the President of India is entitled under the contract (not withstanding and / or without prejudice to any other provision in the contract agreement) in the event of : i.Failure by the contractor to extend the validity of the Performance Guarantee as described herein above, in which event the Engineer may claim the full amount of the Performance Guarantee. ii.Failure by the contractor to pay President of India any amount due, either as agreed by the contractor or determined under any of the clauses / conditions of the agreement, within 30 days of the service of notice to this effect by Engineer. iii.The contract being determined or rescinded under provision of the GCC the Performance Guarantee will be forfeited in full and will be absolutely at the disposal of the President of India. 4. Commencement of the work: The contractor shall commence the work within 15 days on receipt of Letter of Acceptance in writing to this effect from the Chief Workshop Manager, Carriage & Wagon Works, Ayanavaram, Chennai œ 23 and shall proceed with the same with due expedition and without delay. 5. Progress of work: The contractor shall maintain close co-ordination with the Representative of Chief Workshop Manager/Carriage & Wagon Works/Southern Railway/ Ayanavaram/Chennai-600 023 for the progress of the work according to the contract schedule, failing which the administration will be at liberty to take necessary action as per the General Conditions of Contract (GCC). 6. W orking Hours: The Contractor should apply and obtain necessary permit for the vehicle, staff and labour for entering/leaving the factory area. The working hours shall be between 07.30 hrs to 16.30 hrs from Monday to Saturday, except on Sundays and factory holidays unless and otherwise permission granted by the Deputy Chief Mechanical Engineer/ Carriage & Wagon Works.The Contractor should be responsible for the discipline of the men engaged by him inside the workshop area and ensure that the labourers employed by him are confined to their places of working and should not go around the workshop. The Contractor should ensure that the labourers are employed by him inside the factory should comply with instructions given by the security staff on duty. The Contractor should ensure that no unauthorized person works for him inside the workshop premises. 7. Permit: The contractor will at his own expense obtain such permits or parwana from whomsoever necessary for carrying out work or for any other purpose as may be necessary to enable him to perform his part of the contract. The President/Railway Administration will not under any circumstances be liable to obtain any permit or parwana whatsoever, for the contractor. 8. Completion Period: The completion period of the contract is 300 working days from the date of commencement of work. 9. Delivery Schedule: Contractor will be advised for carrying out the work as per the scope of work. The contractor shall strictly adhere to the programme framed by the Engineer or his representatives so as to complete the work within the time allotted to the contractor.