Bolts &

Plate to be
procured

**START OF TENDER DOCUMENT**

NORTH CENTRAL RAILWAY

HEADQUARTERS OFFICE
ALLAHABAD

OPEN TENDER No. 1420182019

E-TENDER DOCUMENT

FOR MANUFACTURE AND SUPPLY OF

Elastic Rail Clips-J

Tender Value ` 2,46,20,542/-

Earnest Money ` 12,31,030/-
Completion Period 06 months (As per schedule)
Time of submission of tender upto 15:00 IST on due date
Date & time of opening of tender on 19.03.2019 at 15:00 IST
Validity of offer 180 days

Signature Not
Verified
Digitally signed by
RAJENDRA PRASAD Page 1 of 77 (Tender No. 1420182019 for ERC-J)
VERMA
Date: 2019.02.25
11:28:06 IST for Dy.CE/TS/NCR/ALD
Reason: IREPS-CRIS
Location: New Delhi
 INDEX

Section Description Page No.

Instructions to Tenderers and General

Section –I 03 to 27
Conditions of Tender

Section –II IR Standard Conditions of Contract 28 to 53

Section –III Special Conditions of Contract 54 to 59

Section –IV Items Schedule & quantities 60

Section –V Notice Inviting Tender 61

Section –VI Annexure 62 to 77

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 SECTION-I
INSTRUCTIONS TO TENDERERS AND GENERAL CONDITIONS OF TENDER

1.0 GENERAL INSTRUCTIONS:

1.1 On behalf of the President of India, the Principal Chief Engineer, North
Central Railway, Allahabad, India (hereinafter referred to as the Purchaser),
invites electronic tenders for the supply as set forth in the Notice Inviting Tender
(NIT), ‘Techno Commercial Bid Details’ form and ‘Financial Rate Page for Supply’
form of the electronic tender uploaded on the Indian Railways E-Procurement
System website (www.ireps.gov.in), herein after referred to as IREPS website
The tenders are invited in terms of ‘IRS Conditions of Contract’, ‘Instructions to
Tenderers for Electronic Tenders’, ‘General Conditions of Tender and ‘Special
Conditions of Contract’ uploaded on the IREPS website, and other conditions
incorporated in the tender documents.
1.2 Electronic tender document consists of:
a. Latest version of IRS conditions of contract
b. Instructions to Tenderers and General Conditions of Tender
c. Special Conditions of Contract
d. NIT and Tender Document
e. ‘Techno Commercial Bid Details’ form, including attached documents, if any.
f. ‘Financial Rate Page for Supply’ form.

1.3 Registration of Vendors on IREPS website:

In order to participate in the electronic tenders, the vendors are required to
obtain Class-III Digital Signature Certificate with Company Name from any
Certifying Authority, licensed by Controller of Certifying authorities (CCA). The
vendors will also have to get themselves registered on IREPS website
(www.ireps.gov.in).North Central Railway shall not provide any assistance to the
vendor in this regard, and shall not be responsible for failure of the vendor to
submit their offer against any electronic tender on this account.
1.4 Offers received on the IREPS website (www.ireps.gov.in) will only be considered
against electronic tenders.
1.5 Manual offers delivered by post/fax or in person, or offers sent by e-mail etc
shall not be accepted against electronic tenders, even if such offers are
received in time. All such offers shall be considered as invalid offers and
shall be rejected summarily, without any consideration.
1.6 The digital signature of the tenderers on the E-tender form will be considered as
confirmation that the tenderers have read, understood and accepted all the
conditions laid down in the documents referred to in Para 1.2, unless special
deviation is quoted by the tenderers in the Technical deviation & Commercial
Deviation templates in ‘Techno-commercial Bid Details’ form.
1.7. All mandatory fields in pre-designed templates of ‘Techno Commercial Bid Details’
form and ‘Financial Rate Page for Supply’ form shall be filled in by the tenderer.
1.8. The stores offered should be in accordance with stipulated drawings and
specifications as given in the ‘Techno Commercial Bid Details’ form and ‘Financial
Rate Page for Supply’ form and attachments attached with the electronic tender.
1.9 The details of deviations, if any, from tender specification and other conditions
should be clearly indicated in the Technical Deviation and Commercial Deviation
templates provided on ‘Techno-commercial Offer’ form. Alternatively, the tenderer
can submit the details of deviations as per the format given in Annexure-K of
this document, by attaching the deviation statement in PDF format in the Attach
Documents template on ‘Techno-commercial Bid Details’ form. Tenderers may
note that conditions deviating from the tender conditions/
description/specifications may render the offer liable to be ignored.
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1.10 Tenderers are required to quote in the same rate unit (i.e. Number, set etc.) as
given in the tender schedule. Any deviation in this aspect shall render the offer
unresponsive and shall be summarily rejected.
1.11 Currency of Offer: The price should be quoted only in Indian Rupees. The
offers submitted in other currencies shall not be considered.
1.12 Validity of Offer: The offer shall be kept valid for acceptance for a minimum
period of 180 days from the date of opening of the tender. In case the tenderer
stipulates validity period of less than 180 days, the offer is liable to be
treated as unresponsive and ignored.
1.13 Tenderers are advised to confirm "Compliance to special tender condition/Checklist"
in the template Special Conditions/Checklist for Bidders on ‘Techno Commercial
Bid Details’ form by putting a tick mark in the check box provided against each
Special Condition/Checklist, and in case of a "No" must furnish reason for non-
compliance with that Special Condition/Checklist in the remark entry box provided
therein. Tenderers may note that non-compliance to the Special
Conditions/Checklist, without stating valid reasons in the relevant remark entry
box may render the offer liable to be ignored.
1.14 Should a tenderer have a relative employed in Gazetted capacity in the
Engineering Department of the North Central Railway, or in the case of a
partnership firm or company incorporated under the Indian Company Law should
a partner or a relative of the partner be employed in Gazetted capacity in
Engineering Department of North Central Railway, the authority inviting tenders
shall be informed of the fact by the tenderer at the time of submission of tenders,
failing which the tender may be rejected, or if such fact subsequently comes to
light the contract may be rescinded.
1.15 The tenderers must fill in the techno-commercial offer form (consisting of eligibility
criteria, terms & conditions, performance statement, deviation statement, check list &
special conditions etc.), financial offer form and scanned copy of following documents
should be uploaded along with E-Bid –
(i) Performance statement against Railways Orders for supply of same or similar
items. Correct status/supply position of pending orders if any should be invariably
indicated. Supporting documents are to be uploaded.
(ii) Supply/purchase orders including inspection certificate issued by RDSO/RITES
and Receipt Note to substantiate their past performance.
(iii) Details of Machinery and Plant, other equipments, testing facilities, quality
management/control systems and details of technical manpower available.
(iv) Letter of approval from RDSO/ Railways indicating current validity and approval
of their QAP by RDSO, wherever necessary.
(v) NSIC Certificate, if registered with NSIC.
(vi) Proof for having paid EMD or grounds in favour of exemption/waiver, details of
which has been submitted by the tenderer in payment detail page of E-Tender

1.16 Corrigendum: Purchaser reserves the right to issue corrigendum to the tender
document before the due date of opening of the tender and additional time if warranted,
may be given for such corrigendum. Tenderers are also advised to check the website for
the purpose of submitting their e-bids or revising their e-bids, whether any such
corrigendum to the tender has been issued or not.

2.0 QUALIFYING REQUIREMENTS OF TENDERERS:

2.1 Procurement of Items reserved to be procured from RDSO approved sources -
(a) The Railway reserves the right to procure bulk or entire quantity from the RDSO
approved sources for the tendered item.
(b) Railway may consider placement of developmental orders on the following vendors:
(i) Who are listed in RDSO vendor directory as “Vendors for Developmental orders”. Offers
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 from such firms shall be considered eligible for Developmental Orders up to 20% of net
procurable quantity. However, when there is no approved vendor for the tendered item in
the RDSO vendor list and all the vendors appear only in the List of RDSO vendors for
Developmental Order, in such cases, bulk or entire quantity orders will be placed on the
firms which appear in the List of RDSO vendors for Developmental Order.
(ii) Who are neither approved nor listed in RDSO vendor directory as “Vendors for
Developmental orders” but have submitted their offer in the tender. For consideration of
developmental orders, the tenderers must be able to demonstrate their capacity-cum-
capability to manufacture the tendered item. In such cases tenderer must submit their
credential details i.e Machinery and Plant {as per Schedule of Technical
Requirement(STR) issued by RDSO wherever applicable}, Testing Facilities, QAP,
Technical Manpower etc. as an attachment to their offer. Past performance reports of
same or similar items, or any other details as may be warranted as per the technical
specifications and Drawings. Offers from these firms may be considered for
developmental orders up to a maximum of 20% of the net procurable quantity about
whom Railway is prima facie satisfied that they are capable of executing the order and
only after confirmation of their capacities/capabilities by Source Approving Authority.
Failure to furnish and attach such requisite credential details as mentioned above
will make their offer liable to be ignored.
Note: Combined Total Quantity ordering in developmental category as mentioned in Para b(i)
and b(ii) above, shall not exceed 20% of the net procurable quantity.
(c) The approval status of the tenderer (s) will be reckoned as on the date of tender opening
and not thereafter. But in case of downgrading/removal/ suspension/ banning etc. after
opening of tender, such changes will be taken into account while considering the offers.
(d) The tenderer are required to enclose copied of RDSO approval along with their offer.
2.2 Procurement of materials from Micro & Small Enterprises (MSEs):
For items reserved from Micro & Small Enterprises (MSEs), the tenderer MSEs must
attach (in the template -Attach Documents on “Techno-Commercial Bid Details form, a
scanned copy in PDF format) their current & valid registration certificate for the
tendered item along with their offer, failing which the offer is liable to be ignored.
3.0 BENEFITS/PREFERENTIAL TREATMENT TO MICRO & SMALL ENTERPRISES
(MSEs):
(A)(i) Tender sets shall be provided free of cost to MSEs registered with agencies, as given
at Para (B) below, for the item tendered.
(ii) MSEs registered with the agencies, as given at Para (B) below, for the item
tendered will be exempted from payment of Earnest Money.
(iii) In tenders, participating MSEs, as given at Para (B) above, quoting a price within
price band of L-1 + 15% shall be allowed to supply a portion of the requirement
by bringing down their price to L-1 price in a situation where L-1 price is from
someone other than MSE and such MSEs can together be ordered up to 25%
value out of the total procurement quantity.
(iv) 20% out of 25% of above (over all 5%) of procurement will be from MSEs owned
by Scheduled Caste/ Scheduled tribe (SC/ST) Entrepreneurs. In the event of
failure of such MSEs to participate in the tender process or meet tender
requirements and L‐1 price, 5% sub target of procurement earmarked from MSEs
owned by Scheduled Caste/ Scheduled Tribe (SC/ST) Entrepreneurs be met from
other MSEs.
(v) Minimum 3% reservation for women owned MSEs within the above mentioned
25% reservation.
(vi) Traders and agents are not eligible to avail the benefits extended under the Public
Procurement Policy for MSEs.
(vii) An MSE shall be considered as that owned by SC/ST in following cases:
(a)In case of proprietary MSE, proprietor(s) shall be SC/ST.
(b)In case of partnership MSE, the SC/ST partners shall be holding at least 51% shares in
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 the unit.
(c) In case of Private Limited Companies, at least 51% share shall be held by SC/ST
promoters.
(viii) In case, the tenderers is a Micro or Small Enterprises (MSE), the tenderer shall also
furnish the following details in their offer:
i) The category of the tenderers:
a) Whether vendor is Micro Enterprise or
b) Whether vendor is Small Enterprise.
ii) Each of the above categories must further mention the sub‐classification whether the
tenderers is an enterprise‐
a) Owned by Scheduled Castes(SC)
b) Owned by Scheduled Tribes(ST)
c) Owned by other than the above two categories.
iii) Confirm the following:
a) Whether documentary proof of being registered with any of the specified agencies
indicated in B(I) below has been submitted with their offer.
b) Whether the terminal date of validity of the registration with the specified agencies has
been indicated in their offer.
(ix) In case, the tendered item is restricted for placement of bulk orders on approved
sources, then the criteria for placement of orders on MSEs under the Public
Procurement Policy for MSEs will additionally require that the MSE firms are one of the
valid approved sources for the tendered item.
(x) The tenderers who are large Scale vendors of Railway Units or who come under
consortia of MSEs (as vendors to Railway Units) formed by NSIC, are also required to
upload with their offers, the procurement and percentage of sub-contract to be made
from MSEs for goods to be supplied against this tender, and also furnish the details as in
para B(I) below for the portion sub-contracted to MSEs.
(B)(I) MSEs, who are interested in availing themselves of these benefits, will enclose with
their offer the proof of their being MSE registered with any of the agencies
mentioned in the notification of Ministry of MSME indicated below:-
(i) District Industries Centres
(ii) Khadi and Village Industries Commission
(iii) Khadi and Village Industries Board
(iv) Coir Board
(v) National Small Industries Corporation
(vi) Directorate of Handicraft and Handloom
(vii) Any other body specified by Ministry of MSME

(II) The MSEs must also indicate the terminal validity date of their registration.
Further, Declaration of UAM [Udyog Aadhar Memorandum] number on Central Public
Procurement Portal [CPPP] has been made mandatory in order to avail the benefits
available to MSEs as contained in Public Procurement policy 2012, hence , ALL MSEs
bidder should ensure the Declaration of UAM [Udyog Aadhar Memorandum] number on
Central Public Procurement Portal [CPPP] failing which such bidders will not be able to
enjoy the benefits as per Public Procurement policy for MSEs Order,2012 for tenders
invited electronically through CPPP.
(III) The registration certificate should also include information about the status in regard to their
category i.e. the ownership of MSE pertains to SC/ST/Other category clearly. Absence of
any such information in the registration certificate would be taken as MSE failing in the
category as “others”.

Failing B (I) & (II) above, such offers will be not liable for consideration of
benefits detailed in MSE notification of Government of India dated 23.03.2012.
3.1 STARTUP INDIA:
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 The startups are normally Micro and Small Enterprises which may not have a
track record. These may have technical capability to deliver the goods and
services as per prescribed technical & quality specifications, and may not be able
to meet the qualification criterion relating to prior experience-prior turnover.
Railway may relax condition of prior turnover and prior experience with respect to Micro and
Small Enterprises in all public procurements subject to meeting of quality and technical
specifications.
3.2 Public Procurement (Preference to make in India) Order 2017:
3.2.1 The provisions of Public Procurement (Preference to make in India) Order 2017 have
been issued by Ministry of Commerce and Industry Department of Industrial Policy and
Promotion dt. 15-06-2017 & Ministry of Railways (Railway Board) vide letter
No.2015/RS(G)/779/5 dt.03-08-2017.
3.2.2 Definitions : For the purpose of this Order, the definitions are as under:
i. ‘Local content’ means the amount of value added in India which shall, unless otherwise
prescribed in the special conditions, be the total value of the item procured (excluding
net domestic indirect taxes) minus the value of imported content in the item (including
all customs duties) as a proportion of the total value, in percent. Local content can be
increased through partnerships, cooperation with local companies, establishing
production units in India or Joint Ventures (JV) with Indian suppliers, increasing the
participation of local employees in services and training them.
ii. ‘Local Supplier’ means a supplier or service provider whose product or service offered
for procurement meets the minimum local content. The minimum local content shall be
50%.
iii. ‘Margin of purchase preference’ means the maximum extent to which the price quoted
by a local supplier may be above the L1 for the purpose of purchase preference which is
20%. However, it will be taken as per the status of the policy reckoned as on the date of
tender opening.
iv. 'L1' means the lowest tender or lowest bid of the lowest quotation received in a tender,
bidding process or other procurement solicitation as adjudged in the evaluation process
as per the tender or other procurement solicitation.
v. The local supplier at the time of tender bidding shall provide self-certification that the
item offered meets the minimum local content and shall give details of the locations(s) at
which the local value addition is made.
vi. In cases of procurement for a value in excess of Rs. 10 Crore, the local supplier shall be
required to provide a certificate from the statutory auditor or cost auditor of the company
(in the case of companies) or from a practicing cost accountant or practicing chartered
accountant (in respect of suppliers other than companies) giving the percentage of local
content.
vii. False declarations will be in breach of the Code of Integrity under Rule 175(1)(i)(h) of the
General Financial Rules issued by the Ministry of Finance for which a bidder or its
successors can be debarred for up to two years as per Rule (iii) of the General Financial
Rules along with such other actions as may be permissible under law.
viii. A supplier who has been debarred by any procuring entity for violation of this Order shall
not be eligible for preference under this Order for procurement by any other procuring
entity for the duration of the debarment. The debarment for such other procuring entities
shall take effect prospectively from the date on which it comes to the notice of other
procurement entities.
3.2.3 Purchase Preference Policy: Subject to the provisions of this Order and to any specific
instructions issued by the Railways/NCR or in pursuance of this Order, purchase
preference shall be given to local suppliers in all procurements undertaken by NC
Railway [NCR] in the manner specified hereunder:
a. In procurement of goods in respect of which the Railways/ NC Railway has
communicated that there is sufficient capacity and local competition, and where the
estimated value of procurement is Rs. 50 lakhs or less, only local suppliers shall be
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 eligible. If the estimated value of procurement of such goods is more than Rs. 50 lakhs,
the provisions of sub-paragraph b or c of 3.2.3, as the case may be, shall apply.
b. In the procurements of goods which are not covered by Sub Para 3.2.3.a above and
which are divisible in nature, the following procedure shall be followed :
i. Among all qualified bids, the lowest bid will be termed as L1. If L1 is from a local
supplier, the contract for full quantity will be awarded to L1.
ii. If L1 bid is not from a local supplier, 50% of the order quantity shall be awarded to L1.
Thereafter, the lowest bidder among the local suppliers, will be invited to match the L1
price for the remaining 50% quantity subject to the local supplier's quoted price falling
within the margin of purchase preference[ i.e. within the price band of L1 + 20%],
Contract for that quantity shall be awarded to such local supplier subject to matching the
L1price. In case such lowest eligible local supplier fails to match the L1 price or accepts
less than the offered quantity , the next higher local supplier within the margin of
purchase preference shall be invited to match the L1price for remaining quantity and so
on, and contract shall be awarded accordingly. In case some quantity is still left
uncovered on local suppliers, then such balance quantity may also be ordered on the L1
bidder.
c. In procurements of goods not covered by sub-paragraph 3.2.3.a and which are not
divisible, and in procurement of services where the bid is evaluated on price alone, the
following procedure shall be followed :
i. Among all qualified bids, the lowest bid will be termed as L1. If L1 is from a local
supplier, the contract will be awarded to L1.
ii. If L1 is not from a local supplier, the lowest bidder among the local suppliers, will be
invited to match the L1 price subject to local supplier's quoted price falling within the
margin of purchase preference, and the contract shall be awarded to such local supplier
subject to matching the L1price.
iii. In case such lowest eligible local supplier fails to match the L1 price the local supplier
with the next higher bid within the margin of purchase preference shall be invited to
match the L1price and so on, and contract shall be awarded accordingly. In case none of
the local suppliers within the margin of purchase preference matches the L1 price, then
the contract may be awarded to the L1 bidder.
3.2.4 The local supplier at the time of tender, bidding or solicitation shall be required to provide
self-certification that the item offered meets the minimum local content and shall give
details of the locations(s) at which the local value addition is made. Further an additional
field on Local Content has been created in IREPS system in the offer form for all types of
tenders. The field is mandatory for all bidders to fill before quoting rates in the tender.
Failing which such offer(s) will not be eligible for consideration of benefits as detailed in
Para 3.2.3 above under Public Procurement (Preference to Make in India), Order 2017.
3.2.5 Unless otherwise specified in tender schedule, tendered goods shall be treated as
divisible in nature.
3.2.6 The decision of NC railway /Railways regarding sufficient Local capacity and local
competition will be final and binding on all.
3.2.7 Railway may constitute committees with internal and external experts for independent
verification of self-declarations and auditor’s/accountant’s certificates on random basis
and/or in the case of complaints.
3.2.8 In cases of procurement for a value in excess of Rs. 10 crores, the local supplier shall be
required to upload a certificate from the statutory auditor or cost auditor of the company
(in the case of companies) or from a practicing cost accountant or practicing chartered
accountant (in respect of suppliers other than companies) giving the percentage of local
content.
3.2.9 All the relevant documents/information regarding claim for preferential treatment under
this policy must be uploaded along with offer by the tenderers. Post tender submission of
these information/documents shall not be considered. Further firms seeking these

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 considerations shall be completely responsible for the truthfulness and authenticity of
their claim for these benefits
3.2.10 Further it is directed that purchase preference consideration as detailed in Para 3.2.3
above is subject to merit & quality compliance & not as a matter of right.
3.2.11 PCE shall have full powers to take decisions on complaints relating to implementation of
this order (Preference to Make in India) Order 2017.Fee for filing a complaint under the
order shall be Rs. 10,000 per case.
3.2.12 False declarations will be in breach of the Code of Integrity under Rule 175(1)(i)(h) of the
General Financial Rules for which a bidder or its successors can be debarred for up to
two years as per Rule 151(iii) of the General Financial Rules along with such other
actions as may be permissible under law.
3.2.13 A supplier who has been debarred by any procuring entity for violation of this Order shall
not be eligible for preference under this Order for procurement by any other procuring
entity for the duration of the debarment. The debarment for such other procuring entities
shall take effect prospectively from the date on which it comes to the notice of other
procurement entities.
3.2.14 In tender where bulk procurement is to be made from approved vendors of
RDSO/DLW/CLW or any other agency or as specified in the eligibility criteria mentioned
in the tender documents, the above preferential treatment will be given to approved
vendor(s)/ vendor(s) suitable for bulk order(s) only.
3.2.15 Exemption of small purchases: Notwithstanding anything contained in paragraph 3.2.3
above, procurements where the estimated value to be procured is less than Rs. 5 lakhs
is exempted.

4.0 TENDER DOCUMENT COST:

Tenderers are not required to submit Tender Document Cost against electronic
tenders on IREPS.

5.0 EARNEST MONEY:

5.1 Tenderers are required to deposit Earnest Money online equivalent to the amount
mentioned in the tender document. EMD amount shall be 5% of the estimated value of
the tender rounded off to nearest higher Rs 10 (ten).
5.2 Tenderer not falling in the exempted categories mentioned in the subsequent Para 5.3
shall remit the Earnest Money online through Payment Gateway Facility available on the
IREPS website. Earnest money shall be accepted via online payment gateway as
available on IREPS portal. No other mode of submission of Earnest money is
acceptable.
5.3. Exemption from Submission of Earnest Money:
There shall be no exemption from submission of EMD for any tender or by any tenderer
except following:
(a) Tender cases of value upto Rs 1 (one) lakh.
(b) Micro and Small Enterprises (MSEs) registered for the tendered item.
(c) Other Railways and Government Departments.
(d) Indian Ordinance Factories.
(e) PSUs owned by Ministry of Railways and PSUs for the group of items that are
manufactured by them.
5.4 The tenderers falling under any of the above listed exempted categories and claiming
exemption will have to attach scanned copy of requisite document in PDF format in the
attach Documents template on ‘Techno Commercial Bid Details’ form and follow the
following steps to avail the exemption from submission of Earnest Money:
Tenderers shall search for the relevant tender using the links (a) quick search or (b)
advance search provided in their home page after logging into the system using their
valid Username, Password & Digital Signature.

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 On retrieving the tender details, they shall click on the Submit Payment Details icon
under Actions column to access the Submit Payment Details Page. The tenderers shall
then choose the appropriate exemption category available under Submit EMD link on the
Submit Payment details page. The tenderer shall thereafter digitally sign and submit the
details by clicking the Sign & Submit button available on the page.
5.5. Offers of Tenderers who claim exemption for EMD but do not attach relevant documents
in support of their claim, shall be treated as “Offers received without Earnest Money” and
will be summarily rejected.
5.6. The tenderers must note that if at any stage, it is found that any of the documents
submitted by them are forged/incorrect, their offer shall be rejected; and in case
purchase order has already been placed, the contract shall be liable to be rescinded
including any other penal and legal action as deemed fit by the purchaser.
5.7 Offers of tenderers who do not submit requisite Earnest Money, and are also not
exempted from submission of Earnest Money as per Para 5.3 above, will be summarily
rejected.
5.8 The purchaser reserves the right to forfeit the Earnest Money Deposit if the tenderer
withdraws or revises his offer within the validity period or fails to deposit Security Deposit
in terms of Para 6.0 of this document.
5.9 In exceptional cases, such as, case of Single Tender, PAC items, etc., Railway reserves
the right to exempt EMD from such vendors .
5.10 No interest shall be payable by the purchaser on the Earnest Money.

6.0 SECURITY DEPOSIT:

6.1 There shall be no exemption from submission of Security Deposit (SD) for any tender
or by any tenderer except following:
a) The contract cases of value upto Rs 1 (one) lakh.
b) Other Railways and Government Departments.
c) Indian Ordinance Factories.
d) PSUs owned by Ministry of Railways and PSUs for the group of items that are
manufactured by them.
6.2 Security Deposit (SD) amount shall be 5% of the contract value rounded off to nearest
higher Rs 10 (ten).
6.3 Security Deposit (SD) shall remain valid for a period of 60 days, beyond the date of
completion of all contractual obligations.
6.4 The successful tenderer shall have to deposit SD within 14 days of issue of Letter of
Acceptance. No Extension of time for submission of SD shall be granted.
6.5 In the event of successful tender(s) failing to deposit/submit SD in acceptable form within
the prescribed period as aforesaid, the EMD\ submitted by such successful tenderer(s)
shall be automatically adjusted towards SD. In case where available EMD amount is less
than required SD and the successful tenderer does not deposit the balance SD amount
within stipulated time, then EMD shall be forfeited and case be dealt with as that of
withdrawal of offer by the tenderer as per extant instructions.
6.6 In case, the MSEs exempted from submission of EMD fail to submit SD in stipulated
time, damages shall be levied, for failure to act as per offer with regard to condition
relating to SD, equal to EMD amount, as would have been applicable if the offer was
from a non-MSE vendor. These damages shall be treated as recoveries outstanding
against the vendor and dealt with accordingly.
6.7 In case of severable contracts, failure by contractor to meet deliveries for any lot,
Railways may cancel the contract for defaulted part by forfeiting SD commensurate to
that lot.
6.8 Risk Purchase clause shall not be applicable wherever SD clause is applicable.
Wherever SD is not taken, risk purchase will be made as per extant guidelines.
6.9 In exceptional cases, such as, case of Single Tender, PAC items, etc., Railway reserves
the right to exempt SD from such vendors .
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6.10 The Security money can be deposited in any of the following forms:
6.10.1 Deposit receipts, Pay orders, Demand Drafts, Guarantee Bonds issued by Nationalized
or Scheduled Commercial Banks, Bonds of Indian Railway Finance Corporation and
KRCL Bonds, Government Securities and deposit receipts in the post office saving
banks. The Guarantee Bonds/Bank Guarantee should be submitted in the prescribed
form as per Annexure-A.
6.10.2 Payment of Security money in the form of pay order/demand draft shall be made in
favour of PFA, North Central Railway payable at Allahabad.
6.10.3 Tenderers submitting Security Money in the form of Bank Guarantee (BG) should ensure
the following, to avoid rejection/return of the BG:
1. The Bank Guarantee should be executed on non-judicial stamp paper of appropriate
value as applicable at the place where the bank guarantee is executed.
2. The non judicial stamp paper used for executing the Bank Guarantee should have been
purchased in the name of executants Bank.
3. The Bank Guarantee should be duly attested by notary public along with notaries stamps
of appropriate value affixed thereon.
4. Every page of Bank Guarantee should be signed by the authority executing it and the
Bank Guarantee should be duly numbered.
5. All corrections/alterations, if any, made in the Bank Guarantee should be duly attested by
the executants Bank and the notary public as well.
6. The Bank Guarantee should be in the prescribed format (Annexure-A) and completely in
the typed form.
6.11 The refund of security deposit becomes due when the contract is satisfactorily
completed in accordance with terms & conditions of the contract. Purchaser’s decision in
this regard shall be final and binding on the supplier.
6.12 No claim shall lie against the Purchaser in respect of interest on cash deposits or
Government Securities or depreciation thereof.
6.13 The Purchaser shall be entitled and it shall be lawful on his part to forfeit the said
security deposit in whole or in part in the event of any default, failure or neglect on the
part of the Contractor in the fulfillment or performance in all respects of the contract
under reference or any other contract with the Purchaser or any part thereof to the
satisfaction of the Purchaser and the Purchaser shall also be entitled to deduct from the
said deposits any loss or damage which the Purchaser may suffer or be put by reason of
or due to any act or other default, recoverable by the Purchaser from the Contractor in
respect of the contract under reference or any other contract and in either of the events
aforesaid to call upon the contractor to maintain the security deposit at its original limit by
making further deposits, provided further that the Purchaser shall be entitled to recover
any such claim from any sum then due or which at any time thereafter may become due
to the contractor under this or any other contracts with the Purchaser.

7.0 SUBMISSION OF OFFERS:

7.1 The tenderer should submit online offers on IREPS website (www.ireps.gov.in).
Tenderers can submit online electronic offers after filling the details in the
following pre-designed templates of module ‘E tender-Goods & Services’ on
IREPS website.
7.1.1 Submit Payment Details for EMD if applicable
7.1.2 Techno Commercial Bid Details (Bid Process page)
1. General [GEN.]
2. Terms and Conditions (T&C)
2. Eligibility Criteria (ELIGIBILITY)
3. Compliance statement [COMPLIANCE]
4. DEVIATION (Commercial Deviation & Technical Deviation)
5. Performance Statement [PERFORM.]
6. Attach Documents (DOCS.)
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 7. Responsiveness [RESPONSIVE]
9. Financial Offer (Fin. Offer)
10. Submit
Tenderers may note that the IREPS software is continuously being upgraded and
the forms referred above may be subject to changes. Tenderers are advised to
keep themselves updated with the latest changes, by referring to the latest
versions of user manuals available on the website, and by taking note of the
messages sent by the IREPS administrator from time to time. Tenderers should
also make themselves fully acquainted with all the available templates/forms,
before they submit their offer. No claim shall be entertained from a tenderer, on
account of non-familiarity with the any of the templates and forms available on
the IREPS website.
7.1.3 The electronic offers shall be digitally signed by the tenderer. Every online
tender submitted duly signed with a valid Digital Signature Certificate and
received before closing date & time of tender shall be acknowledged by the
system and HTML receipt will be generated indicating tender ID as well as date
and time of receipt of the tender.
7.1.4 Electronic offer once digitally signed and submitted for one or all the
item/items cannot be accessed or revised later and shall remain fully secured
confidentially stored into time locked E-tender box in an encrypted form till the
due date and time of opening.
7.1.5 Revised bids: Vendors can submit a revised commercial offer (“Financial Rate
Page for Supply’’ form) anytime before the stipulated closing date and time and in
such case the last revised offer submitted at a later time and date shall be
considered as the offer, superseding all the previously submitted offers for that
item/items of the tender.
7.1.6 The tenders are uploaded in IREPS website well in advance of closing time to
give sufficient time to the vendors to participate in the tender. Vendors are
advised in their own interest to submit their offers well in advance before the
tender closing time. North Central Railway shall not be responsible for non-
participation of vendors due to any technical problems such as network
connectivity etc. on the tender opening day.

8.0 TAXES AND DUTIES:

8.1 The items which are not under the purview of GST act and are still governed by
Excise duty, Sales Tax /VAT etc., the payment of duties and taxes will be done
as per terms and conditions mentioned in Annexure-N.
8.1.1 Goods & Service Tax (GST)
(i) The bidders should ensure that they are GST compliant and their quoted tax
structure/rates are as per GST law.
(ii) The bidders are required to indicate the rate of GST applicable for the tendered item in
their bids separately in the rate page provided in the IREPS System.
(iii) The bidders while submitting their bids shall give the following declaration:“We agree to
pass on such additional set off / input tax credit as may become available in future under
the GST provisions in respect of all the inputs used in the manufacture of the tendered
item on the date of supply, by way of reduction in price and advise the purchaser
accordingly.”
(iv) The suppliers while submitting their bills for payment shall give the following declaration:
“We hereby declare that additional set off / input tax credit to the tune of Rs. _______has
accrued and accordingly the same is being passed on to the purchaser and to that effect
the payable amount may be adjusted.”
(v) The purchaser will not reimburse any GST paid by the supplier due to mis-classification.

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(vi) Any statutory variation in the form of revision of rate of GST applicable for the tendered
item or introduction of any new tax on the tendered item will be on the account of the
purchaser during the original contractual delivery period.
(vii) In case the successful tenderer is not liable to be registered under
CGST/IGST/UTGST/SGST Act, the railway shall deduct the applicable GST from
his/their bills under reverse charge mechanism (RCM) and deposit the same to the
concerned tax authority.
(viii) Firms shall submit the invoice/bill clearly indicating the appropriate HSN and applicable
GST rate thereon duly supported with documentary evidence.
8.2 Special Conditions of GST:
1. Purchaser may incorporate HSN number in the tender document. However, it shall be
the responsibility of the bidders to quote correct HSN number and corresponding GST
rate.
2. The offer shall be evaluated based on the GST rate as quoted by each bidder and same
will be used for determining the inter se ranking. While submitting offer, it shall be the
responsibility of the bidder to ensure that they quote correct GST rate and HSN number.
3. Purchaser shall not be responsible for any misclassification of HSN number or incorrect
GST rate if quoted by the bidder.
4. Wherever the successful bidder invoices the goods at GST rate or HSN number which is
different from that incorporated in purchase order; payment shall be made as per GST
rate which is lower of the GST rate incorporated in the purchase order or billed.
5. Vendor is informed that she/he would be required to adjust her/his basic price to the
extent required by higher tax billed as per invoice to match the all inclusive price as
mentioned in the purchase order.
6. Any amendment to GST rate or HSN number in the contract shall be as per the
contractual conditions and statutory amendments in the quoted GST rate and HSN
number, under SVC.

9.0 OPENING OF ELECTRONIC TENDERS:

9.1 The tender shall normally be opened on the stipulated closing date and time. In case
the closing date falls on a holiday or due to any unavoidable reasons, the tender
could not be opened on the stipulated closing date, then the tender shall be
opened on the next working day. However, no revision or modification of the offer
shall be allowed after the closing date and time, even if there is any delay in the
tender opening.
9.2 Immediately after the opening of tender, financial and Techno-commercial
tabulation statements are generated by the IREPS module. Vendors who have
submitted valid offers, will be able to access the tabulation statements and bids,
immediately after tender opening, by logging into the IREPS website.

10.0 EVALUATION OF OFFERS:

10.1 The commercial offer details shall be submitted by vendors using ‘Financial Rate
Page for Supply’ form having separate entry box for each element of rate. The
vendors must fill in basic rate and other rate components such as GST,
unconditional discount on basic rate, if any, packing charges on basic rate,
forwarding charges, freight charges, other charges, if any, in the boxes provided
in the ‘Financial Rate Page for Supply’ form.
To facilitate evaluation and comparison, all inclusive rate will be worked out by system
comprising of the basic rate, packing /forwarding charges, insurance and other
charges, if any, freight charges upto destination and the applicable taxes. All inclusive
cost comprising of the basic rate, packing charges, forwarding charges, insurance (if
any) freight charges up to destination, any other charges as quoted and applicable
taxes shall be reckoned for inter‐se ranking of offers.
The all-inclusive rate per unit shall be calculated automatically considering all
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 the elements of rate components, as filled by vendor before submitting the offer,
and will be displayed before vendor submits his digitally signed electronic
offers. Tenderers can edit any or all rate entries before submission and before
digitally signing their electronic offers. Tenderers are therefore advised to check,
and revise any or all the entries in the rate page before the same is digitally
signed and submitted.
All offers will be evaluated after taking into account the all-inclusive destination
rate per unit, which will also be displayed to the vendor before submission of his
electronic offer.
10.2 Tenderers should quote financial terms and conditions in the nominated fields of
‘Financial Rate Page for Supply’ form only. Any financial terms and conditions
mentioned in the fields other than the nominated fields will be ignored and will
not be considered for purpose of evaluation of offer to determine the inter-se
ranking of the offer. Tenderers are advised not to quote any terms and conditions
having financial bearing in any other template of ‘Techno Commercial Bid Details’
form except the ‘Financial Rate Page for Supply’ form. Tenderers are advised not to
mention any terms and conditions having financial implications in the Remarks field
of the ‘Financial Rate Page for Supply’ form, as these will not be considered for
evaluation of the offer. Similarly, any financial terms and conditions enclosed as
attachments or received through post will be ignored and not considered for
purpose of evaluation of offer to determine the inter-se ranking of the offers.
However, Railways at their own discretion may avail the benefit of such
conditions while placing purchase order, if the offer is considered for placement
of order.
Nothing extra shall be payable over and above the all inclusive rate shown in the
financial offer, except on account of Price Variation clause, and Statutory
Variation, if applicable. Digital Signature of the tenderer on the E-tender form
shall be construed as confirmation that the tenderer has read and accepted this
condition.
10.3 The tenderers shall quote specific freight charges in the relevant field of financial
rate page. Ambiguous remarks like ‘freight extra at actual’, ‘freight shall be
charged extra’, ‘Railway freight shall be charged extra’ etc., mentioned in the
‘PVC and remarks’ field or elsewhere in the electronic offer or
attachments shall not be considered for evaluation, and may render the
offer liable to be ignored. However, freight charges shall not be payable if the
offer is considered.
10.4 Conditional discounts, such as, discounts linked with order quantity, early payment,
delivery location, etc., will not be considered for the purpose of determining inter‐se
ranking of the offers. That is, the rates quoted without any attached conditions shall only
be considered for the evaluation purpose. Purchaser however, reserves the right to
consider any of the discounts offered for acceptance if otherwise firm’s offer is found to
be acceptable.
10.5 The tenders will be evaluated by the Purchaser on free delivery to destination
basis, to ascertain the best and lowest acceptable tender, as specified in the
specifications and tender documents.
10.6 Wherever more than one consignee/items are involved, unless specified otherwise
in the tender document, the inter-se ranking of the tenderer would be made for
each item and/or each consignee separately.
10.7 The inter-se ranking shall be determined by considering the taxes & duties
applicable on the date of tender opening and the inter-se ranking arrived at in
such manner shall be taken as final.
In case of reduction in taxes and duties, the taxes and duties will be paid as
per rate thereof prevailing on the date of supply.
Statutory variation in taxes and duties shall be allowed only where the
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 tenderers have specifically sought such statutory variation in their offer(s).
10.8 Claim for any tax or duty not stipulated in the quotation will not be admitted at
any stage on any ground whatsoever.

11.0 ACCEPTANCE OF TENDER:

The purchaser may accept a tender for a part or whole of the quantity offered,
reject any tender without assigning any reason and may not accept the lowest or
any tender.

12.0 DELIVERY SCHEDULE:

12.1 Tenderers are required to take a note of delivery period and delivery schedule given in
below. Delivery period will start from the date of issue of Advance Acceptance/Letter of
Acceptance.
12.2 Supply Schedule:
Supply upto the end of 03 months from issue of PO- 40%.
Supply upto the end of 06 months from issue of PO- 100%.
The tenderer have to supply the total ordered quantity as per above schedule within the
above specified delivery period of part supplies, otherwise Railway shall recover from
the Contractor as agreed Liquidated Damages and not by way of penalty, a sum
equivalent to 1/2% (half percent) of the price of the store(including elements of taxes,
duties, freight, etc.) per week or part of the week during which delivery is accepted and
the upper limit for recovery of LD in supply contracts is 10% (ten percent) of the value of
contract irrespective of delays, unless otherwise provided, specifically in the contract
which the contractor has failed to deliver within the period fixed for delivery in the
contract or as extended for each week or part of a week during which the delivery of
such stores may be in arrears where delivery thereof is accepted after expiry of the
aforesaid period.
12.3 Any offer with longer delivery period or not agreeing with the delivery schedule
specified in the tender, will be summarily rejected.
12.4 The purchase order shall be treated as completed if the deliveries are short/excess up to
5 percent of the total value of the contract or Rs. 8,00,000/- whichever is less subject to
total value of receipt not exceeding normal purchase power of competent authority.
Payment shall be made without issue of formal amendments to the purchase order.

13.0 DELIVERY TERMS:

13.1 The purchaser will prefer free delivery by road at consignee’s end.
13.2 Tenderers are required to clearly indicate the freight charges in the relevant field in
the ‘Financial Rate Page for Supply’ form. The freight charges to be paid shall in
no case exceed the freight charges quoted by the tenderer in the relevant field in
the ‘Financial Rate Page for Supply’ form.
13.3 In case an offer is submitted on ‘FOR-Station of dispatch’ basis, ‘FOR- Ex-Works’
basis or ‘FOR- Ex-Godown basis’ and ‘Nil’ freight charges are quoted by the tenderer in
the relevant field on the ‘Financial Rate Page for Supply’ form, the supplier shall
agree to dispatch the stores by rail/road on free delivery to consignee. No freight
charges shall be payable in such cases.
13.4 The purchaser will not pay separately for transit insurance and supplier will be
responsible till the entire stores contracted for are received by the consignee in
good condition at destination.

14.0 LIQUIDATED DAMAGES:

14.1 In case of failure on the part of the supplier to arrange supplies as per the delivery
schedule/installments fixed in advance, save delays attributable to purchaser, the
purchaser reserves the right to levy liquidated damages which shall be levied as per

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 Para 702 (a) of IRS Conditions of contract for delayed quantity which have remained
unsupplied for that period.
14.2 Railway shall recover from the Contractor as agreed Liquidated Damages and not by
way of penalty, a sum equivalent to 1/2% (half percent) of the price of the store(including
elements of taxes, duties, freight, etc.) per week or part of the week during which
delivery is accepted and the upper limit for recovery of LD in supply contracts is 10%
(ten percent) of the value of contract irrespective of delays, unless otherwise provided,
specifically in the contract which the contractor has failed to deliver within the period
fixed for delivery in the contract or as extended for each week or part of a week during
which the delivery of such stores may be in arrears where delivery thereof is accepted
after expiry of the aforesaid period.

15.0 RISK PURCHASE:

15.1 Para 0502 and Para 0702 of IRS Conditions of Contract in respect of Risk purchase
are modified as under.
a. Risk purchase clause is deleted for all orders where levy of Security Deposit @ 10%
has been made compulsory, and Security Deposit has been submitted by the firm.
Whenever such contracts are rescinded, Security Deposit shall be forfeited.
b. In cases as covered under Para (a) above, the quantities unsupplied may be
procured separately without risk and cost of the original firm/supplier.
c. Adverse performance of such firms shall be recorded and shall be intimated to the
approving authority and shall also be taken into account in future tender cases on
merit.
d. Such cases which are not covered under Para (a) above, Risk Purchase provisions
shall continue for them as per IRS conditions of contract.
e. Time for making Risk Purchase: Whereas this will be governed by the relevant
clauses of IRS Conditions of Contract, such Risk Purchase shall be made within 9
months (instead of 6 months) from the date of breach of Contract.
15.2 Recovery of General Damages in case of failure & termination:
If the contractor fails to deliver the Stores or any installment thereof within the period
fixed for such delivery in the contract or as extended or at any time repudiates the contract
before expiry of such period, purchaser would be entitled for action as per clause 0702 of IRS
conditions of contract.
However where risk purchase as per clause 0702(b) could not be resorted to, due to any
reason, the purchaser would be entitled to claim from the contractor general damages &
cancel the contract with levy of general damages.
The Purchaser shall be entitled to recover from the Contractor as compensation to the
Railway, a sum to extent of 10% of the cancelled value of the contract in individual cases
by i m p o s i n g G D @ 1 0 % o f outstanding value of contract. Further to the extent
SD has been taken {say of value 'A' (which is less than 10% value of contract), in such
cases, the GD will be leviable only for the dif f er ence am ount i.e. G D leviable
(say 'B') will be equal to 10% of outstanding value of contract minus the value of SD
submitted (A). In such cases, SD amount 'A' shall be forfeited and the 'GD' amount 'B' shall
be recovered from the firm.

16.0 INSPECTION:
16.1 The inspection of stores at manufacturer’s premises before dispatch will be
conducted by an agency nominated by the purchaser viz. RITES or RDSO or
Inspecting official of NCR. Final inspection of stores will be done by the
consignee on receipt at destination.
16.2 Tenderers are required to confirm acceptance of the Inspection Clause
mentioned in the tender document, and non-acceptance of the same may
render the offer liable to be ignored.
16.3 In case the firm fails to offer the material for inspection against inspection call issued
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 to the inspecting agency or if the material have to be re-inspected due to rejection of
the material at firms premises by the inspecting agency or due to non-dispatch of
material within validity of Inspection Certificate, then the charges as per terms and
conditions of pre-inspected agency will be paid by the supplier to the inspection
agency.
16.4 Whenever stage inspection is involved (as per specification) the same will be
incorporated in the inspection clause of the contract. Since stage inspection is covered
under IRS condition, the inspection authority will be paid the stage inspection charges
subject to same being incorporated in the purchase order and only on documentary
evidence of having conducted the stage inspection.
16.5 Material to be pre-inspected by RDSO or RITES at Railway's option, or as stated in this
Tender Enquiry. Tenderers are requested to quote accordingly. At a later date any
request for change in inspection clause will not be considered.
In case the firm fails to offer the material for inspection against inspection call issued to
the inspecting agency or if the material have to be re-inspected due to rejection of the
material at firms premises by the inspecting agency or due to non dispatch of material
within validity of Inspection Certificate, then 50% of the inspection charges applicable for
the offered quantity subject to maximum of Rs. 5,000/- and actual cost of the test
charges incurred will be paid by the supplier to the inspecting agency.
16.6 Traders/ authorized agents are required to offer material for inspection at manufacturer’s
premises only.

17.0 DESPATCH OF STORES:

17.1 The supplier shall book the consignment by rail / road as per the mode of transport
preferred by the consignee. Finished material shall be dispatched to SSE(Track
Depot)Allahabad (Subedarganj), Jhansi & Agra Cantt as mentioned in Section-IV.
17.2 In case of delivery of consignment by rail, the supplier shall book the consignment to the
consignee as “freight pre-paid” and obtain a Clear Railway Receipt.
17.3 The contractor will be responsible for obtaining the Clear Railway Receipt/s from the
carrier railway and any incidental expenses that may be required to obtain such Clear
Railway Receipt/s from the carrier railway in the form of posting additional staff on the
contractors siding etc. to supervise loading etc., will be to the contractors account.
17.4 In case of delivery of consignment by road, the following conditions shall apply:
i) Transportation of finished material up to the consignee end shall be arranged by the
supplier. Unloading of the material shall however be done by the consignee.
ii) Transit risk will be on supplier’s account;

18.0 PAYMENT TERMS:

18.1 The payment at the accepted rate towards supply of material will be made by the PFA,
North Central Railway, Allahabad after passing of the bills by Dy. Chief Engineer/TS(HQ),
2nd Floor, Block- Bhagirathi, GM Building, N.C.Railway, Subedarganj, Allahabad-211015.
18.2 In case of delivery of consignment by rail, payment at 95% of accepted rate with taxes
and duties as applicable shall be made towards the inspected and passed goods. The
claim for payment shall be supported by (i) Invoice indicating goods, quantity, unit price,
Goods & Services Tax, and Total Price etc. (ii) Inspection Certificate marked for
payment, (iii) Proof of dispatch (Clear Railway Receipt), (iv) Indemnity Bond as per
Annexure-B. Balance 5% payment shall be made on submission of (i) Certificate for
Receipt of consignment in good condition by the consignee duly verified by the
Controlling Officer of the consignee where the consignee is not a Gazetted Officer and (ii)
Special Indemnity Bond as per Annexure-C.
18.3 In case of delivery of consignment by road, payment shall be made at 100% of contract
rate after receipt of material by consignee. The claim for payment shall be supported by
the Inspection Certificate marked for payment and certificate for receipt of consignment in

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 good condition by the consignee duly verified by the Controlling Officer of the consignee
where the consignee is not a Gazetted Officer.
18.4 Input tax credit calculation/declaration sheet as per GST norms is also required to submit
during payment claim by the firm.
18.5 Tenderers are advised to accept the standard payment terms incorporated
in the tender, as deviation from the same shall render the offer liable to be
ignored.
18.6 ELECTRONIC FUND TRANSFER: To facilitate speedy payment to Suppliers/firms, North
Central Railway has introduced National Electronic Fund Transfer (NEFT) scheme
through State Bank of India, Main Branch, Allahabad-211001. As the above payment
mode is mandatory the suppliers are advised to furnish their bankers details in the NEFT
mandate form which is enclosed as Annexure-E in this booklet. If the Bank data are not
furnished by the firms, their payment will not be made through EFT system .In case of
non-payment through NEFT or where NEFT facility is not available payment will be
released through cheque.
18.7 Mode of payment through Letter of Credit (LC)
North Central Railway has introduced an additional mode of payment through Letter of
Credit (LC) for all tenders invited for supplies (including all service and maintenance
contracts) having estimated value of Rs 10 lakhs and above. The bidder, at the time of
bidding itself, shall exercise an option, in favour of taking payment due against the said
tender, through LC arrangement. The option so exercised, shall be an integral part of the
bidder's offer.
In case the bidder opts for payment through LC, the instructions for tenderers for LC mode
of payment would be as per para 18.7.1 below-
18.7.1 Scheme of Letter of Credit for Domestic Supplies (including all service and maintenance
contracts) tenders would be as under:
a. All Tenders invited by North Central Railway, having estimated value of Rs 10 lakhs and
above, shall have an option for the supplier/contractor to take payment from Railways
through a letter of credit (LC) arrangement.
b. The LC will be a sight LC.
c. The bidder, at the time of bidding itself, shall exercise an option, in favour of taking
payment due against the said tender, through LC arrangement. The option so exercised,
shall be an integral part of the bidder's offer.
d. Option once exercised shall be final and no change shall be permitted, thereafter, during
execution of contract.
e. The incidental cost @ 0.15% of LC value, towards issue of LC and operation thereof shall
be borne by the supplier/contractor and shall be recovered from their bills.
f. State Bank of India through its branches shall be the Banker for Railways for opening
domestic letters of credit for ensuing year. The arrangement would cover all such
contracts finalized against tender issued during the said period and shall extend till final
execution of these contracts.
g. The schedule of payment liability arising in the contract shall be established by the
Railways based on the prescribed delivery schedule/stages of supply.
h. The acceptable, agreed upon document for payments to be released under the LC so
opened, shall be a Document of Authorization.
i. The supplier/ contractor shall submit their bills for completed supply to the bill processing
authority mentioned in supply/ contract agreement to issue Document of Authorization to
enable supplier/ contractor to claim the authorized amount from their Banker.
j. Accounts Officer responsible for passing the claim will issue the Document of
Authorization.
k. The supplier/ contractor shall take print out of the Document of Authorization available on
IREPS portal and present his claim to his banker (advising bank) for necessary payments
as per LC terms and condition. The claim shall comprise LC Document of Authorization,
Bill of Exchange and Invoice.
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l. The bank shall also recover any amount as may be advised by railway against the
contractor/ supplier.
m. The Contractor/Vendor shall indemnify and save harmless the Railway from and against
all losses, claims and demands of every nature and description brought or recovered
against the Railways by reason of any act or omission of the Contractor/Vendor, his
agents or employees, in relation to the Letter of Credit (LC). All sums payable/borne by
Railways on this account shall be considered as reasonable compensation and paid by
Contractor/Vendor.

19.0 PROCEDURE FOR SUBMISSION OF BILLS :

19.1 Payment will be made to the Contractor on submission of bill accompanied with the
prescribed documents mentioned in the contract. Suppliers are requested in their own
interest to observe the following instructions to avoid delay in payment of their bills for
materials supplied -
(i) Receipt note sent to the supplier in token of receipt of the material should be attached
with the bill to be prepared in ink on prescribed form and submitted in duplicate to the
PFA, Stores Accounts Branch, North Central Railway, Allahabad.
(ii) Where the condition of advance payment on proof of dispatch is accepted and
specified in the purchase Order the suppliers will submit advance payment bill (in
duplicate) supported with challan, inspection certificate, proof of dispatch/delivery,
etc. as per terms of the contract to the PFA/Stores account Branch, North Central
Railway, Allahabad endorsing a copy of the forwarding letter to the PCE as well as to the
Consignee. The bills for balance payment should be submitted in the manner as
indicated at (i) above for payment.
19.2 For materials supplied against orders placed for direct dispatch to the consignee on this
Railway on non-stock basis, the supplying firm will prepare their 100%payment bills in
duplicate, in ink on prescribed forms and submit the same as under.
19.3 One copy of the bill marked, “ORIGINAL” with all dispatch documents as per terms of
contract directly to the consignee.
19.4 Another copy of bill marked “DUPLICATE NOT FOR PAYMENT” to the Controlling Officer
of the consignee mentioned in the Purchase Order.
19.5 Where the condition of advance payment on proof of dispatch is accepted and specified
in the direct dispatch Order, the suppliers will submit advance payment will (in duplicate)
along with the documents above to the accounts officer of the consignee indicated in
contract. ORIGINAL copy of the balance payment bill should be sent to the consignee
and “DUPLICATE NOT FOR PAYMENT’ copy to the controlling officer of the consignee
as specified in such Supply order. The supplier is also required to furnish the following
certificate on their bill for advance payment. “We have personally examined and verified
and do hereby certify that stores in respect of which payment if being claimed have been
actually dispatched under RR/PWB no …………….dt………………and further these
goods are the exact materials as indicated in challan No..……………dt…………..and
covered by inspection certificate no……………..……………….dt………………We also
certify that the above referred challan, RR/PWB and inspection certificate have been
sent to consignee by Reg. Post/Speed post on …………..We shall hold ourselves
personally responsible for correctness of this statement.”
19.6 The firm should submit their bills only for the supplies made by them during the scheduled
delivery period or as extended from time to time. For supplies made after expiry of
scheduled delivery period, firms should first obtain necessary extension of delivery
period from the competent authority before submission of their bills.
19.7 In case the bill is submitted to PFA supported by amendment to purchase order
extending delivery period reserving Railway right to impose liquidated damages, the
payment of bill would be released deducting full liquidated damages (LD) @ 2% of the
value of delayed stores for delay of every one month or part thereof In such cases, firm’s
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 would be required to approach PCE for determination of final amount of liquidated
damages after completion of the contract.
19.8 Following Points may also be observed by the suppliers while submitting the bills for
payment:-
a. The suppliers must submit the bills as per the prescribed format along with the GST
certificates.
b. The firms are advised that bills for payment should only be submitted for the amounts
permitted on the Purchase Orders and in case further amounts are claimed, an
amendment should be obtained from the Purchaser before bills are submitted.
c. In cases where Price Variation Clause (PVC) is part of the contract, a working sheet
along with documents in support of the PVC must be submitted at the time of claiming
payment.
d. Following declarations will be required from the firm (supplier) while claiming payment:
i. “It is certified that the GST % at which has been charged for the item billed for herein is
as per relevant sections of CGST/SGST/IGST Acts and is legally leviable. If, however, it
is found later that the rate at which the GST tariff rate has been charged is not correct,
we indemnify the North Central Railway, Allahabad-211015 against any loss on this
account.”
ii. “It is certified that no refund of GST already reimbursed to me/us on the order/contract
has been obtained by me/us during the quarter. And that in respect of refund/increase of
refund of GST obtained on this order/contract will be passed on to the purchaser.”
iii. No additional duty setoffs on the goods supplied have accrued under the GST Act or any
future scheme which may be introduced while submitting the present bill.
iv. Any additional Input Tax Credit benefit, if become available to supplier, the same shall
be passed on to purchaser without any undue delay.
OR
It is declared that additional input tax credit to the tune of ---------------has accrued and
accordingly the same is being passed onto the purchaser and to that effect the payable
amount may be adjusted.
e. The nomenclature of the material supplied shown in the bills should be strictly in
accordance with description given in the purchase Order.
f. Wherever PVC is applicable, basis of PVC may be given, with relevant documents.
g. Copy of Amendment letter issued by Engineering Department, if any be enclosed.
h. Transport Receipt/Challan for freight charges should be enclosed along with the bills.
i. In case of submission of bills for 95% advance Payment, Receipted Delivery Challan
duly signed and stamped by Gazetted Officer of the consignee/Clear Railway Receipt,
Original Inspection Certificate.
j. In case of submission of bills for balance 5% payment or claim if 100% payment, Receipt
Note be enclosed along with the bills:-
k. All other relevant documents as per Contract provisions

20.0 DRAWINGS AND SPECIFICATIONS:

20.1 Unless Drawings and Specifications as mentioned in the tender schedule/enquiry/offer
form are provided with the tender documents or made available on Railway’s website for
downloading by the tenderers, these may be obtained in the manner shown below:
(i) Specification/STR/Drawing of RDSO/ICF/DLW/CLW/CORE etc may be obtained from
the concerned authorities who have issued these, on payment.
(ii) Drawings and Specifications framed by Railways may be obtained on payment, from the
office of the purchaser i.e. Principal Chief Engineer.
20.2 MODIFICATION TO DESIGN AND SPECIFICATIONS:
20.2.1 In case purchaser at any stage, during the currency of the contract, decides to make minor
modifications to the design of goods, the supplier shall modify the manufacturing process
etc. accordingly. The cost of such modifications will be negotiated and mutually settled and

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 will be paid by the purchaser. Suitable extension to the delivery period shall also be
granted on account of time lost in making the switch over to the modified design.
20.2.2 The tenderer shall quote the rate for the material conforming to the specification with latest
amendment issued to the vendors by RDSO upto 30 days prior to date of tender opening.
In case date of opening is postponed due to some reason, initial date of opening shall be
considered for this purpose.

21.0 PRICE VARIATION CLAUSE:

21.1 Unless otherwise specified in Tender Schedule, Tenderers are advised to
quote firm prices only. Offers of Tenderers quoting with PVC in such cases shall
be summarily rejected.
21.2 However, wherever considered desirable by the purchaser, a Price Variation Clause may be
incorporated in the Tender Schedule itself. In all such cases, where PVC formula and PVC
base date/base rate has been incorporated in tender, the Tenderers are advised to
submit their offers as per the PVC formula and Base Date/Base Rate incorporated
in the tender document and offers received with fixed prices or with a different Price
Variation formula or different base date/base rate shall be summarily rejected.

22.0 ARBITRATION CLAUSE: It may please be noted that there is amendment in IRS
conditions of contract Para 2900. Latest IRS conditions may be referred to.

23.0 CARTEL FORMATION:

(a) Wherever all or most of the approved firms quote equal rates and cartel formation is
suspected, Railways reserve the right to place order on one or more firms with exclusion of
the rest without assigning any reasons whatsoever.
(b) Firms are expected to quote for a quantity not less than 50% of tendered quantity. This
however will be without any prejudice to Railway’s right to distribute the tendered quantity
& place order on one or more firms. However, firms may quote for part quantity even below
50% of tendered quantity as per their manufacturing capacity.
(c) The firms who quote in cartel be warned that their names are likely to be deleted from list
of approved sources.
(d) Whenever tender is floated with purchase restriction from sources approved by nominated
authorities and there exist a suspected cartel situation by approved sources or the rates
available from approved source/sources are adjudged unreasonably high, despite fair efforts
as permissible, the purchaser reserves the right to place orders on firm outside the approved
vendors list, without any restrictions.

24.0 OPTION CLAUSE:

24.1 Unless otherwise specified in the tender document, the purchaser shall be entitled
to vary the order quantity by (+/-) 30% anytime within the delivery period
(including extended delivery period). The increase in quantity with respect to the
tender quantity can be done even at the time of ordering and the tenderer shall
be bound to accept the quantity so ordered on the basis of his original offer. As
per extant instruction, operation of the option clause can be made any time within
contractual delivery period giving reasonable time to the firm to supply the enhanced
quantity. It may be noted that for invocation of the option clause, validity of the contract
will be considered upto the contractual delivery period even though the supplies have been
completed in advance.
24.2 In case of Delivery Period is extended in the contract with (+) 30% option clause either for
full ordered quantity or a part quantity which remained unsupplied on the date of expiry
of the original Delivery Period, then during the extended Delivery Period also, quantity
variations can be made on the total ordered quantities.

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24.3 Tenderers may please note that option clause is mandatory for Contracts valuing above
Rs. 75 lakhs and where item is of continuing nature. However Railway reserves the
right to put the option clause in the lower value contracts also.
24.4 Approval of Competent Authority for procurement of quantity under +30% option clause
must be taken at the tender accepting stage itself, value of tender being determined on the
entire quantity being procured, including the +30% option quantity.
24.5 Option clause may be operated only where there is clear demand for additional quantities
and benefits accrue to railways in terms of existing contractual rates being
reasonable/lower than newly opened tendered rates if available.
24.6 While exercising option clause on firm/firms, it must be ensured that the performance of
the firm. Firms on whom option is proposed to be exercised is satisfactory in the present
contract vis-a vis the firm/firms on whom also the orders have been placed in the same
tender for the same item.
24.7 For operation of the (-) 30% option clause, consequent to decrease in the prices in
subsequent contracts, reasonable notice will be served by giving reasonable opportunity
to the contractor to unconditionally agree to accept such lower rates for the quantity
unsupplied on the date of reduction/decrease of the prices or the (- ) 30% quantity,
whichever is less. Where the contractor does not unconditionally agree to accept such
lower rate, no further consent from the contractor is necessary for exercise of (-) 30%
quantity option clause.

25.0 SPLITTING OF TENDERED QUANTITY (If mentioned in Section-IV):

25.1. Case of no prior decision to split the order-
(A) Normally full order shall be placed on L-1 firm. However, if it is discovered that the
quantity to be ordered is more than what L-1 alone is capable of supplying and there
was no prior decision to split the quantities, then the quantity being finally ordered will be
distributed among the other tenderers in a manner that will be fair, transparent and
equitable. The manner of splitting will take specific note of the following parameters-
(i) Past Performance of tenderers
(ii) Capacity of tenderers
(iii) Delivery requirements in the tender
(iv) Quantity under procurement
(v) Vital/safety nature of the items
(B) In the absence of any differentiation on the above parameters, the manner of splitting will
be based on the stipulation given in para 25.2.1 below.
25.2 Case of pre-decided split ordering –
25.2.1 Wherever pre-decided split ordering is mentioned in the tender document in advance to
have more than one source of supply on account of delivery requirement in tender, past
performance and capability of bidders, quantity under procurement and vital/safety nature
of items, provision 25.2.1(a) to para 25.4 shall be applicable.
(a) The purchaser reserves the right to distribute the procurable quantity on one or more
than one of the eligible tenderers. Zone of consideration of such eligible tenderers will
be the right of the Purchaser. The zone of consideration will be a dynamic mix of inter-se
position of firms, supply performance of the firms, quantity being procured, criticality of
and lead time of supply of the item, number of established suppliers, their capacity etc.
(b) Whenever such splitting of the procurable quantity is made, the quantity distribution will
depend (in an inverse manner) upon the differential of rates quoted by the tenderers
(other aspects i.e. adequate capacity- cum-capability, satisfactory past performance of
the tenderers, outstanding orders load for the Railway making the procurement, quoted
delivery schedule vis-a-vis the delivery schedule incorporated in the tender enquiry etc
being same/similar) in the manner detailed in the table below:

Price Difference Between L1 And L2 Quantity distribution ratio between L-1and L-2
Upto 3% 60:40
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 More than 3% and upto 5% 65:35
More than 5% At least 65% on the L-1 tenderer. For the
quantity to be ordered on the L-2 tenderer, the
Purchaser shall decide.

In the phrase ‘differential rates quoted by the tenderers’, the quoted rate would mean
(i) When no price negotiation has been called for, the original rates as obtained at the time
of tender opening. However the rate of the highest eligible tenderer within the zone of
consideration has to be per se reasonable.
(ii) When price negotiation has been called for, the reference L-1 rate for assessment of ratio
will be the original rate of L-1 firm (suitable for bulk quantity)- say firm “A” - as obtained at
the time of tender opening.
(iii) If splitting of quantity is required to be done by ordering on tenderers higher than the
L2 tenderer, then the quantity distribution proportion amongst the tenderers will be
decided by transparent/logical/equity based extrapolation of the model as indicated in the
above Para.
25.2.2 However, in exceptional circumstances Railway reserve the right not to split the order
quantity in cases of pre decided splitting
25.3 For cases where the Rlys/PUs had entered the into ToT/JV agreements the following
shall be applicable.
“As the Rly has entered into TOT/JV agreement with .no. of .firms, they reserve the right
to place orders on all such TOT/JV agreement partners. However for ratio/proportion of
quantity distribution among such agreement partners, conditions as detailed in Para
25.2.1(b) shall apply with the exception that the aspect of ‘per-se reasonability’ will not be
applicable.”
25.4 In the cases of inadequate capacity-cum-capability, dissatisfactory past performance large
quantity of outstanding orders (liquidation of which will take very long time) etc, the
Purchaser shall have the right to distribute the procurable quantity amongst tenderers
with due consideration to these constraints and in such a manner that would ensure
timely supply of materials in requisite quantity to meet the needs of operation,
maintenance, safety etc of the Railways, regardless of inter-se ranking of the tenderers
and in a fair and transparent manner with due conformity to the Principles of Natural
Justice and Equity.
25.5. There will be no purchase preference for products of central public sector enterprises
except for preferential purchase policies framed for specific sectors separately.

26.0 REJECTION OF MATERIAL AT DESTINATION:

26.1 Irrespective of the inspection carried out by the nominated inspection authority and
passing of the inspected store in supplier’s premises prior to dispatch, the consignee
shall have the right to verify the quality of each consignment at his end.To ensure proper
quality of material, quality check will be conducted and samples will be collected at
consignee end as per Railway Board letter No. 2001/TK-II/22/7/2/Genl. Policy/Vol.-I
dated 26.03.2010.

26.2 In case the sample picked up from the consignee end fails, action shall be taken as per
Railway Board’s letter No.-2001/TK-II/22/7/2(Gen. Policy), Vol.-I dated 14.8.02 duly
amended vide letter of even no. dated 30.9.03. The amended penalty clause shall be as
under:
“In case the second sample fails, beside not making any payment for entire material
passed and supplied against the particular Inspection certificate, a penalty equal to 10%
of the cost at the material against the particular certificate or Rs. 1(one) lakh, whichever
is less will be imposed. Payment will not be released for defective material irrespective
of the fact whether the material has been used or not. The firm will be at liberty to take
away the rejected material on recovery of the payment already made and affecting the
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 recovery of Penalty. The part material belonging to the rejection lot, if used in track, shall
be removed from the track and replaced with the good material supplied by the same
supplier against any other inspection certificate or any other supplier for the safety of
track. The cost of replacement of such rejected material will be on supplier’s account”.
The supplier will remove the rejected store within 15 days after due notice in writing. The
defective goods shall be lifted by the supplier and matching replacement arranged at his
cost within a maximum period of 4 weeks from the date of such notice sent by the
consignee. In case of non-replacement within stipulated period; the landed cost and
penalty @ Rs. 1,000/- per day, irrespective of quantity, will be charged for not lifting the
rejected material within 4 weeks of notice. Besides imposing penalty as above,
necessary punitive action as per extant policy will be initiated by RDSO.

27.0 MARKING OF STORE:

Contractor/Manufacturer must inscribe/engrave/ screen-print/emboss
vendor’s name/identification marks as well as month and year of manufacture
on item supplied to North Central Railway. The location of these identification
should be such that they do not affect the functional utility and structural
stability of the components/materials, and also do not get obliterated on wear
and tear. For very small items where marking on individual item is not
possible, the vendor will arrange to print vendor’s name/identification marks as
well as month and year of manufacture on standard packing, after obtaining
specific approval from the purchaser in each case. The decision of the
purchaser on whether such approval is to be granted or not shall be final and
binding.
28.0 LOCAL CONDITIONS:
It will be imperative on each Tenderer to fully acquaint himself of all the local conditions
and factors, which would have any effect on the performance of the contract and cost of
the goods. The purchaser shall not entertain any request for clarifications from the
Tenderer regarding such local conditions. No request for the change of price, or time
schedule for delivery of stores shall be entertained after the offer is accepted.
29.0 PACKING:
The item will have to undergo arduous transportation before reaching the destination.
The conditions given in para 1800 of IRS Conditions of contract shall govern the packing
of the material.

30.0 DEDUCTIONS:
Payment as in Clause-18 above shall be subject to deduction of any amounts for which
the contractor is liable under the contract against this tender or any other contract in
respect of which the President of India is the purchaser.
31.0 PENALTY FOR RESILATION FROM OFFER:
31.1 If firms resiles from its offer within the validity period for the 1st time, amount equivalent
to Earnest Money will be recovered from the other contracts of the firm within the same
Railway or / other Railways.
31.2 (a) For the 2nd time, if the same firm resiles from its offer within validity period, the
concerned firm will be de-listed for 03 years by the approving agency.
(b) For the items bulk procurement of which is not reserved from approved sources, if
the firm resiles from the offer for 2nd time, amount equivalent to two times of Earnest
Money will be recovered.

32.0 FORCE MAJEURE CONDITION:

32.1 In the event of any unforeseen event directly interfering with the supply of stores arising
during the currency of the contract; such as war, insurrection, restraint imposed by the
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 Government, act of legislature or other authority, explosion, accident, strike, riot, lockout,
acts of public enemy, act of God, sabotage; the supplier shall, within a week from the
commencement thereof, notify the same in writing to the purchaser with reasonable
evidence thereof. If the force majeure conditions mentioned above be in force for a
period of 90 days or more at any time, the purchaser shall have the option to terminate
the contract on expiry of 90 days or more at any time of commencement of such force
majeure by giving 14 days notice to the supplier in writing. In case of such termination,
no damage shall be claimed by either party against the other save and except those
which had accrued under any other clause of the agreement prior to such termination.
32.2 Non-performance of the supplier as per the delivery schedule even due to force majeure
conditions may be considered a valid reason for debarring him from orders against
future supplies.
33.0 NEW IMPOST:
Any statutory levy or new impost/duties as a result of revision of any orders of the
Government shall be is purchaser’s account. However any revision/change of existing
statutory levy should be agreed to both parties.
34.0 DENIAL CLAUSE:
Supplier will not be entitled to any benefit of statutory variations in taxes announced after
expiry of the original Delivery Period.
35.0 COURT JURISDICTION:
For any disputed related to contract or inspection/action by RDSO in pursuance of
“General Guidelines for Vendor Approval”, the court jurisdiction would be the HQrs of the
Zonal Railway i.e. Allahabad, where the contract agreement has been signed.
36.0 ELECTRONIC REVERSE AUCTION:
36.1 General guidelines
(a) Two Packet Single Stage system of tendering is to be followed for e.R.A. for
tenders valuing above Rs.10 Crore.
(b) Developmental orders shall be limited to 20% of the net procurable quantity.
Developmental orders shall be placed as per extant guidelines.
(c) MSME criteria of considering offers from MSEs quoting within L-1 + 15% for 20%
of NPQ is to be followed for all Goods and Services tenders.
(b) Make in India Preference order is to be followed for all Goods, Services tenders
wherever applicable as per guidelines.
36.2 Technical Bid and Initial Price Offer:
(a) The bid evaluation criteria shall be item wise, consignee wise or overall tender
value wise.
(b) Bidder shall be simultaneously required to electronically submit a Technical &
Commercial Bid and Initial Price Offer.
(c) Offers found eligible for bulk order shall be categorized as Qualified for Bulk
Order for the purpose of RA and offers found eligible for Developmental order
shall be categorized as Qualified for Development Order for the purpose of RA.
(d) No deviation to specified essential Technical & Commercial conditions shall be
permitted to the vendors in the electronic bid form. Offers not complying with
essential technical & Commercial requirements of the tender shall be declared as
Ineligible for award of contract.
(e) Technical & Commercial evaluation of bids shall be done by the purchaser as per
extant guidelines, delegation and the estimated value of tender.
(f) Initial Price Offer of only those bidders categorized as Qualified for
Developmental Order or Qualified for Bulk Order, shall be opened and tabulated
by system separately, category wise. Extant instructions for electronic tabulation
shall apply for tabulation of initial Price Offers.
(g) Financial Bids in single currency/parameter only shall be allowed.
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 (h) Date and time for start of e-RA shall be communicated to qualified tenderers by
the purchaser after evaluation of the Technical Bids
36.3 Financial Bid:
Financial Bid shall comprise of Final Price Offer obtained through Reverse Auction.
Following conditions and procedure shall be followed in selection of bidders for conduct
of Reverse Auction -
(a) Selection of vendors for Reverse Auction for Bulk Ordering in Stores tenders:
Number of tenderers
Number of Tenderers to be
qualified for Award of Remarks
selected for Reverse Auction
contract/ Bulk Order
If the number of tenderers qualified for Bulk
Order/Award of Contract is less than 3, RA shall
<3 NIL
not be done and tender may be decided on the
basis of Initial Price Offers.
The bid disallowed from participating in Reverse
Auction shall be the highest bidder(s) in the
3 to 6 3 tabulation of Initial Price Offer.
In case the highest bidders quote the same rate,
50% of Vendors Qualified for the Initial Price Offer received last, as per time
Bulk Order/award of contract log of IREPS, shall be removed first, on the
More than 6 principle of last in first out, by IREPS system
(rounded off to next higher
integer) itself.
Note:
i. All bids found Qualified for Developmental order shall participate in Reverse Auction for
developmental order.
ii. MSE Criteria: All MSEs (Micro & Small Enterprises) found Qualified for Bulk
Order/Award of Contract but could not be selected for Reverse Auction as per criteria
stipulated in Para 36.3 Above, but are within the range of 15% of lowest Initial Price Bid
shall be permitted to participate in the Reverse Auction, irrespective of their inter-se
ranking on the basis of Initial Price Bid. Such MSEs shall be over and above the number
of vendors selected for Reverse Auction, as per Para 36.3 above. Lowest initial price bid
shall mean lowest initial price bid of vendor qualified for bulk order.
iii. Make in India criteria: All bidders eligible for benefits under Public Procurement
(Preference to Make in India) Order-2017, found Qualified for Bulk Order/Award of
Contract and are within the specified range of price preference of lowest Initial Price Bid
shall be permitted to participate in the Reverse Auction, irrespective of their inter-se
ranking on the basis of Initial Price Bid. Such bidders shall be over and above the
number of vendors selected for Reverse Auction, as per Para 36.3 above.
(b) During Reverse Auction process, bidders shall not be allowed to bid a rate higher than
the lowest Initial Price Offer.
36.4 Reverse Auction among bids categorized as Qualified for Developmental Order and
Qualified for Bulk Order shall be conducted concurrently on IREPS. Bidders shall only be
able to see the auction screens relevant to them for each category. Purchaser shall be
permitted to see all the auction screens for both categories on line.
36.5 Procedure for Conduct and Reporting of R.A
i. The tendering authority shall solicit bids through an invitation to the electronic
Reverse Auction to be published or communicated in accordance with the
provisions similar to e- procurement.
ii. The Purchaser shall fix the following, on case to case basis, depending upon the
nature of item and complexity of case on hand. These shall be indicated in the
tender for e-RA itself.
a. Initial e-RA period: This shall be the initial time interval for e-RA. e-RA shall
be open for this duration.
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 b. Auto extension period: In case any offer is received in the time period equal
to auto extension period before close of initial e-RA period, the e-RA shall be
extended for time equal to auto extension period from the time of last bid.
There shall be no upper limit on number of auto extensions. When no offer is
received in the last auto extension period, e-RA shall close.
c. Minimum decrement in percentage of value of the last successful bid.
iii. Bidders will not be allowed to withdraw their last offer.
iv. After submission of initial Price Bid, tenderers will not be allowed to revise the
taxes and other levies.
v. During auction period, identities of the participating tenderers will be kept hidden.
vi. Minimum admissible bid value will be last bid value minus minimum decrement
as specified by the purchaser before starting of reverse auction. Starting point for
reverse auction shall be the lowest initial Price Bid of the tenderer eligible for
award of contract.
vii. After close of the RA, tabulation of last (minimum) bids received from all the
tenderers will be generated and made visible to Railways and participating
tenderers.
viii. Railway users can also view the bidding history in chronological order.
ix. L-1 will be defined as the lowest bid obtained after the closure of R.A. session.
36.6 After obtaining the final bids of the Reverse Auction, tenders shall be finalized as per
existing policy (including price preference to MSEs and Make in India Order, 2017,
wherever applicable) and procedures based on the eligibility and quantity distribution
criteria, as pre-defined in the tender document. All the relevant policies of Government of
India at the relevant time shall be applicable.

37. ARBITRATION CLAUSE: It may please be noted that there is amendment in Indian
Railway Standard Condition [IRS condition] of contract Para 2900. Latest IRS conditions
as per Railway Board letter No. 2018/TF/Civil/Arbitration Policy dated 12.12.2018 may
be referred to.

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 SECTION-II

IR STANDARD CONDITIONS OF CONTRACT

TABLE OF CONTENTS
Clause

0100 Definitions and interpretation

0200 Parties
0300 Quotation of Rates by Contractors
0400 Contract
0500 Security Deposit
0600 Delivery
0700 Time for and date of delivery; the Essence of the Contract
0800 Extension of Time for Delivery
0900 Examination of Drawing, Specifications and Patterns
1000 Mistakes in Drawing
1100 Samples
1200 Risk of Loss or Damage to Government or Purchaser’s Property
1300 Inspection by Inspecting Officer
1400 Charges for Work Necessary for Completion of the Contract
1500 Responsibility of the Contractor for Executing the Contract
1600 Use of Raw Materials secured with Government Assistance
1700 Indemnity
1800 Packing
1900 Notification of Delivery
2000 Progress Reports
2100 Freight
2101 Octroi
2200 Removal of Rejected Stores
2300 System of Payment
2400 Withholding and lien in respect of sums claimed
2500 Corrupt Practices
2600 Insolvency and Breach of Contract
2700 Laws governing the Contract
2800 Headings
2900 Arbitration
3100 Inspection and Rejection
3200 Warranty / Guarantee
3300 Book Examination Clause
3400 Inspection at the Fag End of the Delivery Period
3500 Priority of Instructions to Tenderers
3600 Purpose of Contract and Parties to the Contract
3700 Delivery
3800 Increase or Decrease of Quantities
3900 Maintenance and Replacement of Stocks
4000 Reporting Progress of Contract
4100 Priority of Special Conditions

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 GOVERNMENT OF INDIA (BHARAT SARKAR)
MINISTRY OF RAILWAYS (RAIL MANTRALAYA)
(RAILWAY BOARD)
INDIAN RAILWAY STANDARD CONDITIONS OF CONTRACT
(Vide Para 417 of the Indian Railway Code for the Stores Department)

0100. Definitions and Interpretation.

E-Tender means Tender document duly uploaded on Railways Authorised Website
‘ireps.gov.in’.

0101. In the Contract, unless the context otherwise requires;

0102. "Acceptance of Tender" means the letter of memorandum communicating to the

Contractor the acceptance of his tender and includes an advance acceptance of his
tender;

0103. "Consignee" means where the stores are required by the acceptance of tender to be
despatched by rail, road, air or steamer, the person specified in the Acceptance of
Tender to whom they are to be delivered at the destination; Where the Stores are
required by the acceptance of tender to be delivered to a person as an interim consignee
for the purpose of despatch to another person, such other persons; and in any other
case the person to whom the stores are required by the acceptance of tender to be
delivered in the manner therein specified.

0104. "Contract" means and includes the invitation to tender, instructions to tenderers,
acceptance of tender, Standard Conditions of Contract, Special Conditions of Contract,
particulars and the other conditions specified in the acceptance of tender and includes a
repeat order which has been accepted or acted upon by the contractor and a formal
agreement if executed;

0105. The "Contractor" means the person, firm or company with whom the order for the supply
is placed and shall be deemed to include the contractor's successors (approved by the
Purchaser), representatives, heirs, executors and administrators as the case may be,
unless excluded by the terms of the contract.

0106. "The Sub-contractor" means the person, firm or company from whom the Contractor may
obtain any material or fittings to be used in the supply or manufacture of the stores;

0107. "Drawing" means the drawing or drawings specified in or annexed to the Schedule or
Specifications.

0108. "Government" means the Central Government or a State Government, as the case may
be;

0109. "The Inspecting Officer” means the person specified in the contract for the purpose of
Inspection of stores or work under the contract and includes his authorised
representative;

0110. "Material" means anything used in the manufacture or fabrication of the stores.

0111. "Particulars" include-

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 (a) Specifications
(b) Drawings
(c) Pattern bearing the seal and signature of the Inspecting Officer (hereinafter
called the sealed pattern) which shall include also a certified copy thereof sealed
by the Purchaser for the guidance of the Inspecting Officer;
(d) Sample sealed by the Purchaser for guidance of the Inspecting Officer
(hereinafter called the certified sample) which shall include a certified copy
thereof sealed by the Purchaser for the guidance of the Inspecting Officer;
(e) Trade pattern, that is to say, a pattern, stores conforming to which are obtainable
in the open market and which denotes a standard of the Indian Standard Institute
or other standardising authority or a general standard of the industry :
(f) “ Proprietary mark "or “ brand “means the mark or brand of a product which is
owned by an industrial firm ;
(g) any other details governing the construction, manufacture or supply of stores as
may be prescribed by the contract ;

0112. "Purchase Officer" means the officer signing the acceptance of tender and includes any
officer who has authority to execute the relevant contract on behalf of the Purchaser.

0113. "The Purchaser" means the President of India in the case of stores ordered for the
Indian Government Railways and includes his successors and assignees.

0114. "Signed" includes stamped, except in the case of an acceptance of tender or any
amendment thereof.

0115. "Site" means the place specified in the contract at which any work is required to be
executed by the contractor under the contract or any other place approved by the
Purchaser for the purpose;.

0116. "Stores" means the goods specified in the contract which the contractor has agreed to
supply under the contract;

0117. "Supply Order" means an order for supply of stores and includes an order for
performance of service ;

0118. "Test" means such test as is prescribed by the particulars or considered necessary by
the Inspecting Officer whether performed or made by the Inspecting Officer or any
agency acting under the direction of the Inspecting officer;

0119. "Unit" and "Quantity" means the unit and quantity specified in the contract;

0120. “Writing” or “Written” includes matter either in whole or in part, in manuscript, type-
written, lithographed, cyclostyled, photographed or printed under or over signature or
seal, as the case may be;

0121. The delivery of the stores shall be deemed to take place on delivery of the stores in
accordance with the terms of the contract, after approval by the Inspecting Officer if so
provided in the contract to -
(a) the consignee at his premises ; or
(b) where so provided the interim consignee at his premises , or

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 (c)a carrier or other person named in the contract for the purpose of transmission to
the consignee, or
(d) The consignee at the destination station in case of contract stipulating for
delivery of stores at destination station.
0122. Words in the singular include the plural and vice versa

0123. Words importing the masculine gender shall be taken to include the feminine gender
and words importing persons shall include any company or association or body of
individuals, whether incorporated or not;

0124. The heading of these conditions shall not affect the interpretation or construction thereof;

0125. Terms and expression not herein defined shall have the meanings assigned to them in
the Indian Sale of Goods Act, 1930 (as amended), or the Indian Contract Act, 1872
(as amended) or the General Clauses Act, 1897 (as amended), as the case may be.

0200. Parties- he parties to the contract are the Contractor and the Purchaser, as defined in
Clauses 0105 and 0113.

0201. Authority of person signing the Contract on behalf of the Contractor-A person
signing the tender or any other document in respect of the Contract on behalf of the
Contractor without disclosing his authority to do so shall be deemed to warrant that he
has authority to bind the Contractor. If it is discovered at any time that the person so
signing has no authority to do so, the Purchaser may, without prejudice to any other right
or remedy of the Purchaser, cancel the contract and make or authorize the making of a
purchase of the stores at the risk and cost of such person and hold such person liable to
the Purchaser for all costs and damages arising from the cancellation of the contract
including any loss which the Purchaser may sustain on account of such purchase. The
provisions of Clause 0700 shall apply to every such purchase as far as applicable.

0202. Address of the Contractor and notices and communications on behalf of the Purchaser:-

(a) For all purposes of the contract, including arbitration there under, the address of
the Contractor mentioned in the tender shall be the address to which all
communications addressed to the Contractor shall be sent, unless the Contractor
has notified change by a separate letter containing no other communication and
sent by registered post acknowledgement due to the Purchaser. The Contractor
shall be solely responsible for the consequence of an omission to notify a change
of address in the manner aforesaid.

(b) Any communication or notice on behalf of the Purchaser in relation to the

contract may be issued to the Contractor by the Purchase Officer and all such
communications and notices may be served on the Contractor either by
registered posts or under certificate of posting or by ordinary post or by hand
delivery at the option of such officer.

0300. Quotations of rates by Contractors

(a) The price quoted by the Contractor shall not be higher than the controlled price fixed by
law for the stores or where there is no controlled price, it shall not exceed the prices or
contravenes the norms for fixation of prices laid down by Government or where no such
prices or norms have been fixed by the Government, it shall not exceed the price

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 appearing in any agreement relating to price regulation by any industry in consultation
with the Government.
In any case, save for special reasons stated in the tender, the price quoted shall not be
higher than the lowest price charged by the Contractor for stores of the same nature,
class or description to a private purchaser, domestic or foreign as well as Purchaser
Governments.
(b) If the price quoted is higher than the controlled price or where there is no controlled
price, the price usually charged by the Contractor from a private Purchaser, domestic or
foreign, as well as Purchaser Government for the stores of the same nature, class or
description the Contractor will specifically mention this fact in his tender giving reasons
for quoting higher price(s). If he fails to do so or makes any mis-statement, it shall be
lawful for the Purchaser,
(i) to revise the price at any stage so as to bring it in conformity with the Sub-
clause (a) above or
(ii) to terminate the contract and forfeit the Security Deposit.

0400. Contract.

0401. This contract is for the supply of the stores of the description, specifications and
drawings, and in the quantities set forth in the contract on the date or dates specified
therein. Unless otherwise specified, the stores shall be entirely brand new and of the
best quality and workmanship to the satisfaction of the Inspecting Officer. The stores
shall further be in all respects acceptable to the Inspecting Officer.

0402. Any variation or amendment of the contract shall not be binding on the Purchaser unless
and until the same is duly endorsed on the contract incorporated in a formal instrument
or in exchange of letters and signed by the parties.

INDIAN RAILWAY STANDARD CONDITIONS OF CONTRACT

0500: SECURITY DEPOSIT:

Please note the following Conditions of IRS Conditions of Contract:

0501: Unless otherwise agreed between the Purchaser and the contractor, the contractor shall,
within 14 days of written notice of acceptance of the tender has been posted to the
contractor, deposit with the Railway concerned (in cash or the equivalent in Government
Securities or approved Banker's Guarantee Bond) a sum equal to 10 per cent of the total
value of the stores detailed in the contract for which, the tender has been accepted,
subject to upper ceiling of Rs. 50 Lakhs.

SAFETY ITEMS: The Security Deposit (SD)/Performance Guarantee shall be taken

from all firms for contracts for all Safety Items placed against Advertised Tenders and
Global Tenders subject to following exemptions:
(a) Vendors registered with NSIC upto the monetary limit of their registration for the
items ordered Tenderers seeking waiver of Security Deposit on this ground shall
have to submit requisite documentary evidence.

OTHER THAN SAFETY ITEMS: The Security Deposit (SD) shall be taken from all firms
for contracts for items other than safety items placed against Advertised Tenders and
Global Tenders subject to following exemptions:

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 (a) Vendors registered with NSIC upto the monetary limit of their registration for the
items ordered.
(b) Vendors registered with Railways upto the monetary limit of their registration for the
items ordered/trade groups for items ordered or vendors on approved list of
RDSO/PUs/CORE/Railways etc. for those specific items for which they are on
approved list or other Railways, Govt. Departments on their specific request and on
merits of the case as considered by tender committee.
(c) Tenderers seeking waiver of Security Deposit on this ground shall have to submit
requisite documentary evidence.

The usual security deposit, shall, however be taken in case the contracts are placed on
unregistered/unapproved firms or for items for which a particular firm is not
registered/approved.

Security Deposit should remain valid for a minimum period of 60 days beyond the date
of completion of all the contractual obligations of the supplier.

0502: If the contractor, having been called upon by the Purchase to furnish security fails to
make and to maintain a security deposit within the specified period, it shall be lawful for
the Purchaser: -

(a) to recover from the Contractor the amount of such security deposit by deducting the
amount from the pending bills of the contractor under the contract or any other contract
with the purchaser or the Government or any person contracting through the Purchaser
or otherwise however, or

(b) to cancel the contract or any part thereof and to purchase or authorize the purchase of
the stores at the risk and cost of the contractor and in that event the provisions of
Clauses 0702 shall apply as far as applicable.

0503. No claim shall lie against the Purchaser in respect of interest on cash deposits or
Government Securities or depreciation thereof.

0504. The Purchaser shall be entitled and it shall be lawful on his part to forfeit the said
security deposit in whole or in part in the event of any default, failure or neglect on the
part of the Contractor in the fulfillment or performance in all respects of the contract
under reference or any other contract with the Purchaser or any part thereof to the
satisfaction of the Purchaser and the Purchaser shall also be entitled to deduct from the
said deposits any loss or damage which the Purchaser may suffer or be put by reason of
or due to any act or other default, recoverable by the Purchaser from the Contractor in
respect of the contract under reference or any other contract and in either of the events
aforesaid to call upon the contractor to maintain the security deposits at its original limit
by making further deposit, provided further that the Purchaser shall be entitled to recover
any such claim from any sum then due or which at any time thereafter may become due
to the Contractor under this or any other contracts with the Purchaser.

0600. Delivery.
0601. The Contractor shall as may be required by the Purchaser either deliver free or F.O.R or
C.I.F at the place/places detailed in the contract, the quantities of the stores detailed
therein and the stores shall be delivered or despatched not later than the date specified
in the contract. The delivery, will not be deemed to be complete until and unless the
stores are inspected and accepted by the Inspecting Officer as provided in the contract.

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0602. The Purchaser shall not be liable to render assistance to the Contractor in securing or to
arrange for or provide transport to the Contractor unless it is so specifically stated in the
contract, notwithstanding that transport of the stores, is controlled by or under the orders
of the Government.

0603. Notwithstanding any inspection and approval by the Inspecting Officer on the
Contractor's premises, property in the stores shall not pass on to the Purchaser until the
stores have been received, inspected and accepted by the consignee.

0604. No stores shall be deliverable to the consignee's depots on Sundays and public holidays
without the written permission of the consignee.

0700. Time for and Date of Delivery; the Essence of the Contract-
The time for and the date specified in the contract or as extended for the delivery of
the stores shall be deemed to be of the essence of the contract and delivery must be
completed not later than the date(s) so specified or extended.

0701. Progressing of Deliveries- The Contractor shall allow reasonable facilities and free
access to his works and records to the Inspecting Officer, Progress Officer or such other
Officer as may be nominated by the Purchaser for the purpose of ascertaining the
progress of the deliveries under the contract.

0702. Failure and Termination:- If the Contractor fails to deliver the stores or any instalment
thereof within the period fixed for such delivery in the contract or as extended or at any
time repudiates the contract before the expiry of such period the Purchaser may without
prejudice to his other rights:-
(a) recover from the Contractor as agreed liquidated damages and not by way of penalty a
sum equivalent to 2 per cent of the price of any stores (including elements of taxes,
duties, freight, etc.) which the Contractor has failed to deliver within the period fixed for
delivery in the contract or as extended for each month or part of a month during which
the delivery of such stores may be in arrears where delivery thereof is accepted after
expiry of the aforesaid period, or
(b) 1. Risk Purchase clause is deleted for all orders for safety items, as levy of 10% Security
deposit has been made compulsory in all such order/(except in case of vendors
registered with NSIC upto the monetary limit of their registration for the items ordered).
In case of failure of contract, Security Deposit shall be forfeited. Such failure shall be
recorded & will be considered by Railways on merit in future cases.
2. In respect of orders for materials other than safety items where 10% security deposit has
been taken from firms, Risk Purchase clause is deleted and in case of default by such
firms, the Security Deposit shall be forfeited.
3. In such cases as covered under (1) and (2) above, the quantities unsupplied shall be
procured independently without risk and cost of the original firm/supplier.
4. Adverse performance of such firms will be recorded and intimated to the approving
authority & also to be taken into account in future tender cases on merit.
5. Such cases which are not covered under Para (1) & (2) above. Risk Purchase provisions
shall continue for them as per existing guideline as given below.
(c) The Purchaser reserves the right to purchase or authorise the purchase of the stores not
so delivered or others of a similar description (where stores exactly complying with
particulars are not in the opinion of the Purchaser, which shall be final, readily
procurable) at the risk and cost of the Contractor.

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 It shall, however, be in the discretion of the purchaser to collect or not, Security Deposit
from the firm/firm’s on whom the contract is placed at the risk and expense of the
defaulted firm.
(d) Where action is taken under Sub-clause (c) above, the Contractor shall be liable for any
loss which the Purchaser may sustain on that account provided the purchase or if there
is an agreement to purchase or such agreement is made, in case of failure to deliver the
stores within the period fixed for such delivery in the contract or as extended within six
months from the date of such failure and in case of repudiation of the contract before the
expiry of the aforesaid period of delivery, with six months from the date of cancellation of
the contract. The Contractor shall not be entitled to any gain on such purchase and the
manner and method of such purchase shall be in the entire discretion of the Purchaser.
It shall not be necessary for the Purchaser to serve a notice of such purchase on the
Contractor.
Note : In respect of the stores which are not easily available in the market and where
procurement difficulties are experienced the period for making risk purchase shall
be nine months instead of six months provided above.
0703. Consequence of Rejection- If on the stores being rejected by the Inspecting Officer or
Interim Consignee or Consignee at the destination, the Contractor fails to make
satisfactory supplies within the stipulated period of delivery, the Purchaser shall be at
liberty to: -
(i) require the Contractor to replace the rejected stores forthwith but in any event not later
than a period of 21 days from the date of rejection and the Contractor shall bear all cost
of such replacement including freight, if any, on such replacing and replaced stores but
without being entitled to any extra payment on that or any other account, or
(ii) purchase or authorize the purchase of quantity of the stores rejected or others of a
similar description (when stores exactly complying with particulars are not in the opinion
of the Purchaser, which shall be final, readily available) without notice to the Contractor
at his risk and cost and without affecting the Contractor's liability as regards the supply of
any further installment due under the contract, or
(iii) cancel the contract and purchase or authorize the purchase of the stores or others of a
similar description (when stores exactly complying with particulars are not, in the opinion
of the Purchaser, which shall be final, readily available) at the risk and cost of the
Contractor. In the event of action being taken under Sub-clause (ii) above or under this
Sub-clause, the provision of Clause 0702 above will apply as far as applicable.
(iv) where under the contract the price payable is fixed F.O.R despatching station, the
Contractor shall, if the stores are rejected at destination by the consignee, be liable, in
addition to his other liabilities, including refund of price recoverable in respect of the
stores so rejected, to reimburse to the Purchaser the freight and all other expenses
incurred by the Purchaser in this regard.
0800. Extension of Time for Delivery-
If such failure as aforesaid shall have arisen from any cause which the Purchaser may
admit as reasonable ground for extension of time, the Purchaser shall allow such
additional time as he considers to be justified by the circumstance of the case, and shall
forgo the whole or such part, as he may consider reasonable, of his claim for such loss
or damage as aforesaid. Any failure or delay on the part of sub-contractor, though their
employment may have been sanctioned under Condition 1500 hereof, shall not be
admitted as a reasonable ground for any extension of time or for exempting the
Contractor from liability for any such loss or damage as aforesaid.

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0900. Examination of Drawing, Specifications and Patterns-
When tenders are called for in accordance with a drawing, specification or sealed
pattern the Contractor's tenders to supply in accordance with such drawing,
specifications or sealed pattern shall, be deemed to be an admission on his part that he
has fully acquainted himself with the details thereof and, in no circumstances, will any
claim on his part which may arise on account of his insufficient examination of the said
drawing, specification or scaled pattern , be considered.
1000. Mistakes in Drawing.
The Contractor shall be responsible for and shall pay for any alterations for the works
due to any discrepancies, errors or omissions in the drawings or other particulars
supplied by him whether such drawings or particulars have been approved by the
Purchaser or not provided that such discrepancies, errors or omissions be not due to
inaccurate information or particulars furnished to the Contractor on behalf of the
Purchaser. If any dimension figure upon a drawing or plan differ from those obtained by
scaling the drawing or plan, the dimensions as figured upon the drawing or plan shall be
taken as correct.
1100. Samples:
1101. Advance Sample- Where an advance sample is required to be approved under the
terms of the contract, the Contractor shall submit the sample free of cost to the
Inspecting Officer within the time specified in the acceptance of tender. If the Contractor
is unable to do so, he must apply immediately to the Office issuing the acceptance of
tender for extension of time stating the reasons for the delay. If the Purchaser is
satisfied that a reasonable ground for an extension of time exists, he may allow such
additional time as he considers to be justified (and his decision shall be final) with or
without alteration in the delivery period stipulated in the acceptance of tender and on
such conditions as he deems fit. In the event of the failure of the Contractor to deliver
the advance sample by the date specified in the acceptance of tender or any other date
to which the time may be extended as aforesaid by the Purchaser or of the rejection of
the sample, the Purchaser shall be entitled to cancel the contract and, if so desired,
purchase or authorize the purchase of the stores at the risk and cost of the Contractor, in
which case the provisions of Clause 0700 shall apply as far as applicable.

1102. Unless otherwise provided in the contract, all samples required for test shall be supplied
by the Contractor free of cost. Where sample, which is supplied free, is rejected after
examination and test, the same or whatever remains of the sample, after examination
and test will be returned to the Contractor at his request and cost within three months of
the date of such rejection at public tariff rate at Owner's risk.

1103. Marking- Samples submitted shall be clearly labelled with the Contractor's name and
address and the acceptance of tender number.

1104. If the Contractor submits a sample whether with, before or after the tender, the same
shall not govern the standard of supply except when it has been specifically stated so in
the acceptance of tender.

1105. Where under the contract, the Contractor is required to submit an advance sample, any
expenses incurred by the Contractor on or in connection with the production of stores in
bulk, before the sample has been approved unconditionally, shall be borne by the
Contractor and he shall not claim any compensation in the event of such sample being
found unacceptable by the Inspecting Officer.

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1106. The rejection of the sample by the Inspecting Authority or Inspecting Officer shall be final
and binding on the Contractor.

1107. Where the contract does not require any advance sample to be approved, the Contractor
may before proceeding with bulk manufacture or delivery of the stores, if he so desires,
submit to the Inspecting Officer for inspection a sample of the stores in which case a
quantity not less than one per cent of the total quantity to be supplied unless otherwise
authorized by the Inspecting Officer shall be submitted. The Contractor shall not,
however, be entitled to be shown any consideration or give any extension of time or
claim to be exonerated from completing the delivery within the stipulated period only on
the ground of delay in the approval of any such sample.

1108. If, under the contract supplies are governed by a sealed pattern the Contractor shall be
bound to examine such pattern before preparing a sample or manufacturing the stores in
bulk as the case may be.

1109. Loan of Samples- If a certified sample is lent to the Contractor, it will bear a label
containing inter alia variations known to the Inspecting Officer between the said sample
and the stores desired. If the Contractor finds any further variation between the certified
sample and the particulars of specifications mentioned in the contract he shall at once
refer the matter to the Inspecting Officer and the Contractors shall also give intimation of
such discrepancy to the Purchase Officer. The Contractor shall follow the instructions of
the Inspecting Officer as to what sample of particulars should guide the production of
stores and the decision of the Inspecting Officer in the matter shall be final and binding
on the Contractor.

1110. The Contractor shall not detach the said label from the certified sample and if for any
reasons the said label gets detached the Contractor shall at once return the certified
sample to the Inspecting Officer for attaching a fresh label.

1200. Risk of Loss or Damage to Government or Purchaser's Property.

1201. All the property of the Government or Purchaser loaned whether with or without deposit
on terms and conditions to be separately agreed upon in respect of each particular
contract to the Contractor in connection with the contract shall remain the property of the
Government or the Purchaser, as the case may be. The Contractor shall use such
property for the purpose of the execution of the contract and for no other purpose
whatsoever.

1202. All such property shall be deemed to be in good condition when received by the
Contractor unless he shall have within twenty-four hours of the receipt thereof notified
the Purchase Officer to the contract. If the Contractor fails to notify any defect in the
condition or quality of such property he shall be deemed to have lost the right to do so at
any subsequent stage.

1203. The Contractor shall return all such property and shall be responsible for the full value
thereof to be assessed by the Purchaser whose decision shall be final and binding on
the Contractor. The Contractor shall be liable for loss or damage to such property from
whatever cause happening while such property is in the possession of or under the
control of the Contractor, his servants, workmen, or agents.

1204. Where such property is insured by the Contractor against loss or fire at the request of
the Government or Purchaser such insurance shall be deemed to be effected by way of
additional Precaution and shall not prejudice the liability of the Contractor as aforesaid.

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1300. Inspection by Inspecting Officer.
1301. (a) When inspection during manufacture or before delivery or despatch is required, notice
in writing shall be sent by the Contractor to the Inspecting Officer when the stores or
material to be supplied are ready for inspection and test, and no stores shall be
delivered or despatched until the Inspecting Officer has certified in writing that such
stores have been inspected and approved by him.
(b) In cases where the Inspecting Authority specified in the contract requires on behalf of
the Purchaser that inspection of the raw materials to be used and /or stage inspection
during the manufacturing process of the component/stores, etc. is also to be done,
notice in writing shall be sent by the Contractor to the Inspecting Officer to visit his
premises/works to test the raw materials and/or conduct necessary inspection during the
manufacturing process of the component / stores, etc. as deemed essential.

1302. Marking of Stores- The Contractor shall, if so required, at his own expense, mark all the
approved stores with a recognized Government or Purchaser's mark. The stores which
cannot be so marked shall, if so required by the Inspecting Officer, be packed at his own
expense in suitable packages or cases, each of which shall be sealed and marked with
such mark.

The Inspecting Officer shall also have power to mark the rejected stores with a rejection
mark so that they may be easily identified, if resubmitted for inspection.

1303. Facilities for test and Examination- The Contractor shall, at his own expense afford to
the Inspecting Officer all reasonable facilities as may be necessary for satisfying himself,
that the stores are being and/or have been manufactured in accordance with the
particulars. The Inspecting Officer shall have full and free access at any time during the
execution of the contract to the Contractor's work for the purpose aforesaid, and he may
require the Contractor to make arrangements for inspection of the stores or any part
thereof or any material at his premises or at any other place specified by the Inspecting
Officer and if the Contractor has been permitted to employ the services of a Sub-
Contractor, he shall in his contract with the Sub-Contractor, reserve to the Inspecting
Officer a similar right.

1304. Cost of Test- The Contractor shall provide, without any extra charge, all materials, tools,
labour and assistance of every kind which the Inspecting Officer may demand of him for
any test and examination, other than special or independent test, which he shall require
to make on the Contractor's Premises and the Contractor shall bear and pay all costs
attendant thereon. If the Contractor fails to comply with the conditions aforesaid, the
Inspecting Officer shall, in his sole judgement, be entitled to remove for test and
examination all or any of the stores manufactured by the Contractor to any premises
other than his (Contractor's) and in all such cases the Contractor shall bear the cost of
transport and/or carrying out such tests elsewhere. A certificate in writing of the
Inspecting Officer, that the Contractor has failed to provide the facilities and the means,
for test examination shall be final.

1305. Delivery of Stores for Test- The Contractor shall also provide and deliver for test, free
of charge, at such place other than his premises as the Inspecting Officer may specify,
such material or stores as he may require.

1306. Liability for Costs of Special or Independent Test- In the events of rejection of stores
or any part thereof by the Inspecting Officer in the consequence of the sample which is
removed to the laboratory or other places of test, being found on test not in conformity
with the Contract and in the event of the failure of the Contractor for any reason to
deliver the stores passed on test within the stipulated period, the Contractor shall, on
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 demand pay to the Purchaser all costs incurred in the inspection and/or test. Cost of
test shall be assessed at the rate charged by the laboratory to private persons for similar
work.

1307. Method of Testing- The Inspecting Officer shall have the right to put all the stores or
materials forming part of the same or any part thereof to such tests as he may think fit
and proper. The Contractor shall not be entitled to object on any ground whatsoever to
the method of testing adopted by the Inspecting Officer.

1308. Stores Expended in Test- Unless otherwise provided for in the contract if the test
proves satisfactory and the stores or any instalment thereof is accepted, the quantity of
the stores or materials expended in the test will be deemed to have been taken delivery
of by the Purchaser and be paid for as such.

1309. Powers of Inspecting Officer- The Inspecting Officer shall have the power :-
(i) before any stores or part thereof are submitted for inspection to certify that they
can not be in accordance with the contract owing to the adoption of any
unsatisfactory method of manufacture.
(ii) to reject any stores submitted as not being in accordance with the particulars.
(iii) to reject the whole of the installment tendered for inspection, if after inspection of
such portion thereof as "he may in his discretion think fit, he is satisfied that the
same is unsatisfactory.
(iv) the Inspecting Officer's decision as regards the rejection shall be final and binding
on the Contractor.

1400. Charges for Work Necessary for Completion of the Contract-

The Contractor shall pay all charges for handling, stamping, painting, marking, protecting
or preserving patent rights, drawings, templates, models and gauges and for all such
measures as the Purchaser or the Inspecting Officer may deem necessary for the proper
completion of the contract, though special provision therefore may not be made in the
specification of drawings.

1500. Responsibility of the Contractor for Executing the Contract.

1501. Risk in the Stores- The Contractor shall perform the contract in all respects in
accordance with the terms and conditions thereof. The stores and every constituent part
thereof, whether in the possession or control of the Contractor, his agents or servants or
a carrier, or in the joint possession of the Contractor, his agents or servants and the
Purchaser, his agents or servants, shall remain in every respect at the risk of the
Contractor, until their actual delivery to the consignee at the stipulated place or
destination or, where so provided in the acceptance of tender, until their delivery to a
person specified in the contract as interim consignee for the purpose of despatch to the
consignee. The Contractor shall be responsible for all loss, destruction, damage or
deterioration of or to the stores from any cause whatsoever while the stores after
approval by the Inspecting Officer are awaiting despatch or delivery or are in the course
of transit from the Contractor to the consignee or, as the case may be, interim
consignee. The Contractor shall alone be entitled and responsible to make claims
against a Railway Administration or other carrier in respect of non-delivery, short
delivery, mis-delivery, loss, destruction, damage or deterioration of the goods entrusted
to such carrier by the Contractor for transmission to the consignee or the interim
consignee as the case may be.

1502. Consignee’s Right of Rejection – Notwithstanding any approval which the Inspecting
Officer may have given in respect of the stores or any materials or other particulars or
the work or workmanship involved in the performance of the contract (whether with or
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 without any test carried out by the Contractor or the Inspecting Officer or under the
direction of the Inspecting Officer) and not with standing delivery of the stores where so
provided to the interim consignee, it shall be lawful for the consignee, on behalf of the
Purchaser, to reject the stores or any part, portion or consignment thereof within a
reasonable time after actual delivery thereof to him at the place or destination specified
in the contract if such stores or part, portion or consignment thereof is not in all respects
in conformity with the terms and conditions of the contract whether on account of any
loss, deterioration or damage before despatch or delivery or during transit or otherwise
howsoever.

Note- In respect of materials pre-inspected at the firm's premises the consignee will issue
rejection advice within 90 days from the date of receipt.

1503. Provided that where, under the terms of the contract the stores are required to be
delivered to an interim consignee for the purpose of despatch to the consignee, the
stores shall be at the Purchaser's risk after their delivery to the interim consignee, but
nevertheless it shall be lawful for the consignee on behalf of the Purchaser to reject the
stores or any part, portion of consignment thereof upon their actual delivery to him at the
destination if they are not in all respects in conformity with the terms and conditions of
contract except where they have been damaged or have deteriorated in the course of
transit or otherwise after their delivery to the interim consignee.

1504. The provisions contained in Clause 2200 relating to the removal of stores rejected by the
Inspecting Officer shall mutatis mutandis apply to stores rejected by the consignee as
herein provided.

Note- In respect of stores inspected during manufacture or before delivery or despatch

at contractor's premises the consignee will issue communication of rejection within 90
days from the date of actual delivery thereof.

1505. Subletting and Assignment- The Contractor shall not, save with the previous consent
in writing of the Purchaser, sublet, transfer or assign the contract or any part thereof or
interest therein or benefit or advantage thereof any manner whatsoever.

In the event of the Contractor's subletting or assigning this contract or any part thereof
without such permission, the Purchaser shall be entitled to cancel the contract and to
purchase the stores elsewhere on the Contractor's account and risk and the Contractor
shall be liable for any loss or damage which the Purchaser may sustain in consequence
or arising out of such purpose.

1506. Changes in a Firm :-

(a) Where the Contractor is a partnership firm, a new partner shall not be introduced in
the firm except with the previous consent in writing of the Purchaser, which may be
granted only upon execution of a written undertaking by the new partner to perform the
contract and accept all liabilities incurred by the firm under the contract prior to the date
of such undertaking.

(b) On the death or retirement of any partner of the Contractor firm before complete
performance of the contract, the Purchaser may, at his option, cancel the contract and in
such case the Contractor shall have no claim whatsoever to compensation against the
Purchaser.

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 (c) If the contract is not determined as provided in Sub-clause (b) above notwithstanding
the retirement of a partner from the firm he shall continue to be liable under the contract
for acts of the firm until a copy of the public notice given by him under Section 32 of the
Partnership Act, has been sent by him to the Purchaser by registered post
acknowledgement due.

(d) Consequence of breach - Should a partner in the Contractor firm commit a breach
of Sub-clause 1505 above or the Contractor should commit a breach of the conditions
1506(a) of this Sub-clause, it shall be lawful for the Purchaser to cancel the contract and
purchase or authorize the purchase of the stores at the risk and cost of the Contractor
and in that event the provisions of Clauses 0600 and 0700 as far as applicable shall
apply.

(e) The decision of the Purchaser as to any matter or thing concerning or arising out of
this sub-clause or on any question whether the Contractor or any partner of the
Contractor firm has committed a breach of any of the conditions in this sub-clause
contained shall be final and binding on the Contractor.

1507. Assistance to the Contractor:-

(a) The Contractor shall be solely responsible to procure any material or obtain any
import or other licence or permit required for the fulfilment of the contract and the grant
by the Purchaser or any other authority of a quota certificate or permit required under
any law for distribution or acquisition of iron and steel or any other commodity or any
other form of assistance in the procurement of the material aforesaid or any attempt to
render assistance in the matter aforesaid, or shall not be construed as a representation
on the part of the Purchaser that the material covered by such licence or permit or quota
certificate is available or constitute any promise, undertaking or assurance on the part of
the Purchaser regarding the procurement of the same or effect any variation in the rights
and liabilities of the parties under the contract. But, if by reason of any such assistance
as aforesaid, the Contractor obtains any materials at less than their market price or the
cost of production of the stores is lowered the price of the stores payable under the
contract shall be reduced proportionately, and the extent of such reduction shall be
determined by the Purchaser whose decision shall be final and binding on the
Contractor.
(b) Every effort made by the Purchaser to supply, or give assistance in the procurement
of materials, whether from the Government stock or by purchase under a permit or
release order issued by or on behalf of or under authority from Government or by any
officer empowered in that behalf by law or under other arrangements made by the
Purchaser shall be deemed to be subject to the condition that it will be performed with
due regard to the other demands and only if it is found practicable to do so within the
stipulated time and the decision of the Purchaser whether it was practicable to supply or
give assistance as aforesaid or not shall be final and binding on the Contractor.
1600. Use of Raw Materials secured with Government Assistance.

1601. (a) Where any raw material is procured for the execution of a contract with the assistance
of the Government rendered in the form of permit, or licence or quota
certificate/essentiality certificate or release order issued by or on behalf of or under the
authority of the Government or by an officer empowered in that behalf, or
(b) where the raw material is issued to the Contractor from Government stock, or
(c) where advance payments are made to the Contractor to enable him to purchase
the raw material, or
(d) Where raw material is arranged by the Government, the Contractor :-

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 (i) shall hold such material as trustee for the Government,
(ii) Shall use such material economically and solely for the purpose of the
contract.
(iii) shall not dispose of the same without the previous permission in
writing of the Purchaser, and
(iv) shall render due account of such material and return to the
Government at such place as the purchser may direct all surplus or
unserviceable material that may be left after the completion of the contract or its
termination for any reason whatsoever.
On returning such material, the Contractor shall be entitled to such price therefor
as the Purchaser may fix, having regard to the condition of such material.

1602. Where the contract is terminated due to any default on the part of the Contractor, the
Contractor shall pay all transport charges incurred for returning any material up to such
destination as may be determined by the Purchaser and the decision of the Purchaser in
that behalf shall be final and binding on the Contractor.

1603. If the Contractor commits breach of any of the conditions in this clause specified, he
shall, without prejudice to any other liability, penal or otherwise, be liable to account to
the Government for all moneys, advantages or profits accruing from or which, in the
usual course, would have accrued to him by reason of such breach.

1604. Where the stores manufactured or fabricated by the Contractor out of the material
arranged or procured by or on behalf of the Government are rejected, the Contractor
shall, without prejudice to any other right or remedy of the Government, pay to the
Government, on demand, the cost price or market value of all such materials whichever
is greater.

1700. Indemnity.
1701. The Contractor shall at all times indemnify the Purchaser against all claims which may be
made in respect of the stores for infringement of any right protected by patent,
registration of designs or trade mark. Provided always that in the event of any claim in
respect of alleged breach of letters patent, registered designs or trade mark being made
against the Purchaser, the Purchaser shall notify the Contractor of the same and the
Contractor shall, at his own expense, either settle any such dispute or conduct any
litigation that may arise there from.

1702. The Contractor shall not be liable for payment of any royalty, licence fee or other
expenses in respect of or for making use of patents or designs with respect to which he
is according to the terms of the contract, to be treated as an agent of the Government for
the purpose of making use of patent or trade mark for fulfilment of the contract.

1800. Packing:
1801. The Contractor shall pack at his own cost the stores sufficiently and properly for transit
by rail/road, air and/or sea as provided in the contract so as to ensure their being free
from loss or damage on arrival at their destination.

1802. Unless otherwise, provided in the contract all containers (including packing cases, boxes,
tins, drums and wrappings) in which the stores are supplied by the contractor, shall be
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 considered as non-returnable and their cost as having been included in the contract
price.

1803. If the contract provides that the containers shall be returnable, they must be
marked “ Returnable ” and they will be returned to the Contractor as per terms of the
contract.

1804. If the contract provides that returnable containers shall be separately charged, they shall
be invoiced by the Contractor at the price specified in acceptance of tender. In such
cases, the Contractor shall give full credit for the invoiced amount if the containers are
returned to the Contractor. Return of containers shall be made within a reasonable time
and in the event of any dispute or difference arising as to whether the containers were
so returned, the decision of the Purchaser thereon shall be final and binding and the
Purchaser may, in his discretion award, such compensations as may in his opinion be
proper for any undue delay in returning the containers.

1805. Each bale or package delivered under the contract shall be marked by the Contract or at
his own expense. Such marking shall be distinct (all previous irrelevant marking being
carefully obliterated) and shall clearly indicate the description and quantity of the stores,
the name and address of the Consignee, the gross weight of the package and the name
of the Contractor with a distinctive number or mark sufficient for the purpose of
identification. All markings shall be carried out with such material as may be found
satisfactory by the Inspecting Officer as regards quickness of drying, fastness and
indelibility.

1806. The Inspecting Officer may reject the stores if the stores are not packed/or marked as
aforesaid and in case where the packing materials are separately prescribed, if such
materials are not in accordance with the terms of the contract. Such rejection of the
stores by the Inspecting Officer shall be final and binding on the Contractor.

1807. Each bale or package shall contain a packing note specifying the name and address of
the Contractor, the number and date of the acceptance of tender or supply order and the
designation of the Purchase Officer issuing the supply order, the description of the
stores and the quantity contained in such bale or package.

1900. Notification of Delivery.

Notification of delivery or despatch in regard to each and every instalment shall be made
to the consignee and to the indentor immediately on despatch or delivery. The
Contractor shall further supply to the consignee, or the interim consignee, as the case
may be, a packing account Quoting number of the acceptance of tender and/or supply or
repeat and date of despatch of the stores. All packages, containers, bundles and loose
materials part of each and every instalment shall be fully described in the packing
account and full details of the contents of the packages and quantity of materials shall be
given to enable the consignee to check the stores on arrival at destination. The Railway
Receipt/Consignment Note or Bill of Lading, if any, shall be forwarded to the consignee
by registered post immediately on the despatch of stores. The Contractor shall bear and
reimburse to the Purchaser demurrage charges, if any, paid by reason of delay on the
part of the Contractor in forwarding the Railway Receipt, Consignment Note or Bill of
Lading.

2000. Progress Reports.

2001. The Contractor shall from time-to-time, render such reports concerning the progress of
the contract and/or supply of the stores in such form as may be required by the
Purchaser.
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2002. The submission, receipt and acceptance of such reports shall not prejudice the rights of
the Purchaser under the contract, nor shall operate as an estoppel against Purchaser
merely by reason of the fact that he has not taken notice of/or subjected to test any
information contained in such report.

2100. Freight:
The stores shall be despatched at public tariff rates. In the case of F.O.R station of
despatch contract, the stores shall be booked by the most economical route or most
economical tariff available at the time of despatch as the case may be. Failure to do so
will render the Contractor liable for any avoidable expenditure caused to the Purchaser.
Where alternative routes exist, the Purchaser shall, if called upon to do so, indicate the
most economical route available, or name the authority whose advice in the matter shall
be taken and acted upon. If any advice of any such authority is sought, his decision or
advice in the matter shall be final and binding on the Contractor,

2200. Removal of Rejected Stores:

2201. On rejection of all stores submitted for inspection at a place other than the premises of
the Contractor, such stores shall be removed by the Contractor at his own cost subject
as hereinafter stipulated, within 21 days of the date of intimation of such rejection. If the
concerned communication is addressed and posted to the Contractor at the address
mentioned in the contract, it will be deemed to have been served on him at the time
when such communication would be in the course of ordinary post reach the Contractor.
Provided that the Inspecting Officer may call upon the Contractor to remove dangerous,
infected or perishable stores within 48 hours of the receipt of such communication and
the decision of the Inspecting Officer in this behalf shall be final in all respects. Provided
further that where the price or part thereof has been paid, the consignee is entitled
without prejudice to his other rights to retain the rejected stores till the price paid for such
stores is refunded by the Contractor save that such retention shall not in any
circumstances be deemed to be acceptance of the stores or waiver of rejection thereon.

2202. All rejected stores shall in any event and circumstances remain and always be at the risk
of the Contractor immediately on such rejection. If such stores are not removed by the
Contractor within the periods aforementioned, the Inspection Officer may remove the
rejected stores and either return the same to the contractor at his risk and cost by such
mode of transport as the Purchaser or Inspecting Officer may decide, or dispose of such
stores at the Contractor's risk and on his account and retain such portion of the
proceeds, if any from such disposal as may necessary to recover any expense incurred
in connection with such disposals (or any price refundable as a consequence of such
rejection). The Purchaser shall, in addition, be entitled to recover from the Contractor
ground rent/demurrage charges on the rejected stores after the expiry of the time limit
mentioned above.

2203. The stores that have been despatched by rail and rejected after arrival at destination may
be taken back by the Contractor either at the station where they were rejected or at the
station from which they were sent, after refunding the price paid for such stores and
other charges refundable as a consequence of such rejection. If the contract placed for
delivery F.O.R station of despatch, the Contractor shall pay the carriage charges on the
rejected consignment at public tariff rates from the station of despatch to the station
where they are rejected. If the Contractor elects to take back the goods at the station
from which they were despatched, the goods shall in addition, be booked back to him
freight to pay at public tariff rates and at owner's risk. The Contractor shall be liable to
reimburse packing and incidental costs and charges incurred in such return or rejected
stores in addition to other charges refundable as a consequence of rejection. The goods
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 shall remain the property of the Contractor unless and until accepted by the Purchaser,
after inspection.

2300. System of Payment.

2301. Unless otherwise agreed upon between the parties, payment for delivery of the stores
will be made on submission of bills in the prescribed form which may be obtained from
the Purchase Officer in accordance with the instructions given in the Acceptance of
Tender, by a cheque or demand draft on a branch of the Reserve Bank of India or State
Bank of India transacting government business as may be decided by the Purchaser.

2302. Payment for the stores or for each consignment thereof will be made to the Contractor
on submission of bills accompanied by required document in accordance with the
following procedure in contracts where such a facility to the Contractor has specifically
been agreed to by the Purchaser: -

(a) 95% payments for the stores or each consignment thereof will be made to the firms
against proof of inspection and despatch. The original railway receipt should be sent
to the Accounts Officer responsible for payment along with 95% bill advising the
particulars of despatch to the consignee. The Accounts Officer after passing the 95
% bill should pass on the original railway receipt to the consignee for taking delivery
of the consignment. It should, however, be ensured that there is no delay in the
Accounts Office transmitting the original railway receipt to the consignee.

(b) The balance of 5% shall be paid on receipt of the stores or each consignment
thereof in accordance with the terms of the contract in good condition by the
consignee, with a certificate to that effect endorsed on the copy of the Inspection
Note by the Consignee which shall accompany the bill submitted by the Contractor.

(c) In the case of F.O.B. & C. & F. contract 95 per cent of the price will be paid on
presentation of shipping documents and inspection certificate and the remaining 5
per cent on receipt of the stores in accordance with the terms of the contract in good
condition by the Consignee, and on producing the certificate of such receipt
endorsed on one copy of the Inspection Note by the Consignee, or alternatively at
the Contractor's option, the full value of the stores will be paid after inspection, on
receipt of the consignment in accordance with the terms of the contract in good
condition by the Consignee and on producing a certificate of such receipt endorsed
on one copy of the Inspection Note.

2303. In all other contracts or in contracts where the Inspecting Officer also acts as the interim
consignee or where inspection is carried on by the Consignee himself at destination and
in all cases of local delivery full payment shall be made on submission of " Final 100
percent bill " supported by the Inspection Certificates and consignee's receipt as
aforesaid to the Accounts Officer concerned.
Note-
(1) The system of 95 percent and 5 percent payment is not applicable to claims
amounting to Rs.1000/- or below. In such cases only a single bill for value should
be submitted.

(2) In the case of Running Contracts, the system of payment will be similar to the above
except that payment would be 98 per cent and 2 per cent instead of 95 per cent and
5 per cent specified above.

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2400. Withholding and lien in respect of sums claimed.

2401. Whenever any claim or claims for payment of a sum of money arises out of or under the
contract against the Contractor, the Purchaser shall be entitled to withhold and also have
a lien to retain such sum or sums in whole or in part from the security, if any, deposited
by the Contractor and for the purpose aforesaid, the Purchaser shall be entitled to
withhold the said cash security deposit or the security, if any, furnished as the case may
be and also have a lien over the same pending finalisation or adjudication of any such
claim. In the event of the security being insufficient to cover the claimed amount or
amounts or if no security has been taken from the Contractor, the Purchaser shall be
entitled to withhold and have lien to retain to the extent of the such claimed amount or
amounts referred to supra, from any sum or sums found payable or which at any time-
thereafter may become payable to the Contractor under the same contract or any other
contract with the Purchaser or the Government pending finalisation or adjudication of
any such claim.

It is an agreed term of the contract that the sum of money or moneys so withheld or
retained under the lien referred to above, by the Purchaser will be kept withheld or
retained as such by the Purchaser till the claim arising out of or under the contract is
determined by the Arbitrator (if the contract is governed by the arbitration clause) or by
the competent court as prescribed under clause 2703 hereinafter provided, as the case
may be, and that the Contractor will have no claim for interest or damages whatsoever
on any account in respect of such withholding or retention under the lien referred to
supra and duly notified as' such to the Contractor.

2402. For the purpose of Clause 2401, where the Contract or is a partnership firm or a limited
company, the Purchaser shall be entitled to withhold and also have a lien to retain
towards such claimed amount or amounts in whole or in part from any sum found
payable to any partner/limited company, as the case may be, whether in his individual
capacity or otherwise.

2403. Lien in respect of Claims in other Contracts-

(a) Any sum of money due and payable to the Contractor (including the security
deposit returnable to him) under the contract may withhold or retain by way of lien by the
Purchaser or Government against any claim of the Purchaser or Government in respect
of payment of a sum of money arising out of or under any other contract made by the
Contractor with the Purchaser or Government.

(b) It is an agreed term of the contract that the sum of money so withheld or retained
under this clause by the Purchaser or Government will be kept withheld or retained as
such by the Purchaser or Government till his claim arising out of the same contract or
any other contract is either mutually settled or determined by the arbitrator, if the
contract is governed by the arbitration clause or by the competent court under Clause
2703 hereinafter provided, as the case may be, and that the Contractor shall have no
claim for interest or damages whatsoever on this account or on any other ground in
respect of any sum of money withheld or retained under this clause and duly notified as
such to the Contractor.

2500. Corrupt Practices.

2501. The Contractor shall not offer or give or agree to give to any person in the employment of
the Purchaser or working under the orders of the Purchaser any gift or consideration of
any kind as an inducement or reward for doing or forbearing to do or for having done or
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 forborne to do any act in relation to the obtaining or execution of the contract or any
other contract with the Purchaser or Government or for showing any favour or for
bearing to show disfavour to any person in relation to the contract or any other contract
with the Purchaser or Government. Any breach of the aforesaid condition by the
Contractor, or any one employed by him or acting on his behalf (whether with or without
the knowledge of the Contractor) or the commission of any offence by the Contractor or
by any one employed by him or acting on his behalf under IX of the Indian Penal Code,
1860 or the Prevention of Corruption Act, 1947 or any other act enacted for the
prevention of corruption by public servants shall entitle the Purchaser to cancel the
contract and all or any other contracts with the Contractor and to recover from the
Contractor the amount of any loss arising from such cancellation in accordance with the
provisions of Clauses 0600 and 0700.

2502. Any dispute or difference in respect of either the interpretation effect or application or the
above condition or of the amount recoverable there under by the Purchaser from the
Contractor, shall be decided by the Purchaser, whose decision there on shall be final
and binding on the Contractor.

2600. Insolvency and Breach of Contract.

2601. The Purchaser may at any time, by notice in writing summarily determine the contract
without compensation to the Contractor in any of the following events, that is to say

(a) if the Contractor being an individual or if a firm, any partner thereof, shall at any time, be
adjudged insolvent or shall have a receiving order or order for administration of his
estate made against him or shall take any proceeding for composition under any
Insolvency Act for the time being in force or make any conveyance or assignment of his
effects or enter into any assignment or composition with his creditors or suspend
payment or if the firm be dissolved under the Partnership Act, or

(b) if the Contractor being a company is wound up voluntarily or by the order of a Court or a
Receiver, Liquidator or Manager on behalf of the Debenture-holders is appointed or
circumstances shall have arisen which entitle the Court or Debenture holders to appoint
a Receiver, Liquidator or Manager, or

(c) if the Contractor commits any breach of the contract not herein specifically provided for.

Provided always that such determination shall not prejudice any right of action or remedy
which shall have accrued or shall accrue there after to the Purchaser and provided also
the Contractor shall be liable to pay to the Purchaser for any extra expenditure he is
thereby put to and Contractor shall, under no circumstances, be entitled to any given on
re-purchase.

2700. Laws governing the Contract.

2701. This contract shall be governed by the Laws of India for the time being in force.

2702. Irrespective of the place of delivery, the place of performance or place of payment under
the contract, the contract shall he deemed to have been made at the place from which
the acceptance of tender has been issued.

2703. Jurisdiction of courts- This Courts of the place from where the acceptance of tender
has been issued shall alone have jurisdiction to decide any dispute arising out of or in
respect of the contract.
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2704. Marking of stores- The marking of the stores must comply with the requirements of the
laws relating to merchandise marks for the time being in force in India.

2705. Compliance with provisions of Contract Labour (Regulation and Abolition) Act,
1970 :-

(1) The Contractor shall comply with the provisions of the Contract Labour (Regulation
and Abolition) Act, 1970 and the Contractor Labour (Regulation and Abolition)
Central Rules, 1971, as modified from time-to-time, wherever applicable and shall
also indemnify the Purchaser from and against any claims under the aforesaid Act
and the Rules.

(2) The Contractor shall obtain a valid license under the aforesaid Act as modified from
time-to-time before the commencement of the contract and continue to have a valid
license until the completion of the contract. Any failure to fulfill this requirement shall
attract the penal provisions of the contract arising out of the resultant non-execution
of the contract.

(3) The Contractor shall pay to labour employed by him directly or through Sub-
Contractors the wages as per provisions of the aforesaid Act and the Rules wherever
applicable. The Contractor, shall, notwithstanding the provisions of the contract to
the contrary, cause to be paid the wages to labour indirectly engaged on the contract
including any engaged by his Sub-Contractors in connection with the said contract,
as if the labour had been immediately employed by him.

(4) In respect of all labour directly or indirectly employed in the contract for performance
of the Contractor's part of the contract, the Contractor shall comply with or cause to
be complied with the provisions of the aforesaid Act and the Rules wherever
applicable.

(5) In every case in which, by virtue of the provisions of the aforesaid Act or the Rules,
the, Purchaser is obliged to pay any amount of wages to a workman employed by
the Contractor or his Sub-Contractor in execution of the contract or to incur any
expenditure in providing welfare and health amenities required to be provided under
the aforesaid Act and the Rules or to incur any expenditure on account of the
contingent liability of the Purchaser due to the Contractor's failure to fulfill his
statutory obligations under the aforesaid Act or the Rules the Purchaser will recover
from the Contractor, the amount of wages so paid or the amount of expenditure so
incurred, and without prejudice to the rights of the Purchaser under Section 20, Sub-
section (2) and Section 21, Sub-section (4) of the aforesaid Act, the Purchaser shall
be at liberty to recover such amount or part thereof by deducting it from the security
deposit and/or from any sum due by the Purchaser to the Contractor whether under
the contract or otherwise. The Purchaser shall not be bound to contest any claim
made against it under Sub-section(i) of Section 20 and Sub-section (4) of Section 21
of the aforesaid Act except on the written request of the Contractor and upon his
giving to the Purchaser for security for all costs for which the Purchaser might
become liable in contesting such claim. The decision of the Purchaser regarding the
amount actually recoverable from the Contractor as stated above, shall be final and
binding on the Contractor.

2800. Headings.
The headings of conditions here to shall not affect the construction thereof.

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 2900. Arbitration.
(a) (i) In the event of any question, dispute or difference arising under these conditions or any
special conditions of contract, or in connection with this contract [except as to any
matters the decision of which is specially provided for by these or the special conditions,
i.e., excepted matters (non-arbitrable)] the same shall be referred to the sole arbitration
of an Arbitrator in terms of the Arbitration an Conciliation Act, 1996 as amended by
Arbitration and Conciliation (Amendment) Act, 2015. Arbitrator shall be a person
possessing qualifications laid down in para 2900 (a) (ii) and shall be appointed by the
General Manager in the case of contractors entered into by the Zonal Railways and
Production Units; by any Member of the Railway Board/ Director General (Railway
Stores), in the case of contracts entered into by the Railway Board and by the Head of
Organization in respect of contracts entered into by the other Organization under the
Ministry of Railways.
(a) (ii) Qualification for appointment as Sole Arbitrator:
(a) Retire Railway officer not below SAG level 3 years after his date of retirement.
(b) Age of Arbitrator at the time of appointment shall not exceed 70 years.
(a) (iii) An Arbitrator may be appointed notwithstanding the total no. of arbitration cases in which
he has been appointed in the past. Retired Railway officer being appointed as arbitrator,
however, will not be one of those who had an opportunity to deal with the matters to
which the contract relates or who in the course of their duties as railway servant have
expressed views on all or any of the matters under dispute or difference.
(a) (iv) The award of the arbitrator shall be final and binding on the parties to this contract
(b) In the event of the arbitrator dying, neglecting or refusing to act or resigning or being
unable to act for any reason, or his award being set aside by the court for any reason, it
shall be lawful for the authority appointing the arbitrator to appoint another arbitrator in
place of the outgoing arbitrator in the manner aforesaid.
(c) It is further a term of this contract that no person other than the person appointed by the
authority as aforesaid should act as arbitrator and that if for any reason that is not
possible, the matter is not to be referred to ‘arbitration at all.
(d) The arbitrator may from time-to-time with the consent of all the parties to the contract
enlarge the time for making the award.. Deleted
(e)(i) The cost of arbitration shall be borne by the concerned parties in terms of section 31 (A)
of Arbitration and Conciliation Act, 1996 as amended by Arbitration and Conciliation
(Amendment) Act 2015. The cost shall inter-alia include fee of the Arbitrator, as per the
rates fixed by Railway Board from time to time. Further, the fee payable to the Arbitrator
would be governed by instructions issued on the subject by Railway Board from time to
time irrespective of the fact whether the Arbitrator is appointed by the Railway
administration under this clause or by any court of law unless specifically directed by
Hon’ble court otherwise on the matter.
(e)(ii) Arbitrator shall be entitled to 50 percent extra fee, if award is made within 6 months in
terms of provisions contained in section 29(A) (2) of the Arbitration and Conciliation Act,
1996 as amended by Arbitration and Conciliation (Amendment) Act, 2015.
Besides above, Arbitrator shall also be entitled for this extra fee, in cases, where Fast
Track Procedure in terms of section 29 (B) of the Arbitration and Conciliation Act, 1996
as amended by Arbitration and Conciliation (amendment) Act, 2015, is followed.
(f) Subject as aforesaid, the Arbitration and Conciliation Act, 1996 as amended by
Arbitration and Conciliation (Amendment) Act, 2015 and the rules there under and any
statutory modifications thereof for the time being in force shall be deemed to apply to the
arbitration proceedings under this clause.
(g) The venue of arbitration shall be the place from which the acceptance note is issued or
such other place as the arbitrator at his discretion may determine in terms of section 20
of the Arbitration and Conciliation Act, 1996 as amended by Arbitration and Conciliation
(Amendment) Act, 2015.

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(h) In this clause the authority, to appoint the arbitrator includes, if there be no such
authority, the officer who is for the time being discharging the functions of that authority,
whether in addition to other functions or otherwise.
(i) It is further a term of this contract that where the arbital award is for the payment of
money, no interest shall be payable on whole or any part of the money for any period till
the date on which the award is made in terms of Section 31 (7) (a) of the Arbitration and
Conciliation Act, 1996 as amended by Arbitration and Conciliation (Amendment) Act,
2015.

3000. Fall Clause. Deleted

3100. Inspection & Rejection:

Where under a contract the price payable is fixed on F.O.R. station of despatch basis,
the Contractor shall, if the consignee rejects the stores at destination be liable in addition
to his other liabilities, to reimburse to the Purchaser the freight paid by the Purchaser.

3101. Notification of Result of inspection.- Unless otherwise provided in the specification of

schedule, the examination of the stores will be made as soon as practicable after the
same have been submitted for inspection and the result of the examination will be
notified to the Contractor.

3102. Inspection Notes.--On the stores being found acceptable by the inspecting Officer he
shall furnish the Contractor with necessary copies of Inspection Notes duly completed,
for being attached to the Contractor's bill in support thereof.

3200. Warranty/Guarantee-

3201. The Contractor/Seller hereby covenants that it is a condition of the contract that all
goods/stores/articles furnished to the Purchaser under this contract shall be of the
highest grade free of all defects and faults and of the best materials, quality,
manufacture and workmanship throughout and consistent with the established and
generally accepted standards for materials of the type ordered and in full conformity with
the contract specification, drawing or sample, if any and shall, if operable, operate
properly.

3202. The Contractor also guarantees that the said goods/stores/articles would continue to
conform to the description and quality as aforesaid, for a period of 30 months after their
delivery or 24 months from the date of placement in service whichever shall be sooner,
and this warranty shall survive notwithstanding the fact that the goods/stores/articles
may have been inspected, accepted and payment thereof made by the Purchaser.

3203. If during the aforesaid period, the said goods/stores/articles be discovered not to conform
to the description and quality aforesaid or have deteriorated, otherwise that by fair wear
and tear the decision of the Purchaser in that behalf being final and conclusive that the
Purchaser will be entitled to reject the said goods/stores/articles or such portions thereof
as may be discovered not to conform to the said description and quality. On such
rejection, the goods/stores/articles will be at the Seller's risk. If the Contractor/Seller so
desires, the rejected goods may be taken over by him or his agents for disposal such
manner as he may deem fit within a period of 3 months from the date of such rejection.
At the expiry of the period, no claim whatsoever shall lie against the Purchaser in
respect of the said goods/stores/articles, which may be disposed of by the Purchaser in
such manner as he thinks fit. Without prejudice to the generality of the foregoing, all the
provisions in the Indian Railways Standard Conditions of Contract relating to the

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 ‘rejection of stores' and ‘failure' and 'termination' add and Clause 3100-02 above shall
apply.

3204. The Contractor/Seller shall, if required, replace the goods or such portion there of as
have been rejected by the Purchaser, free of cost, at the ultimate destination, or at the
option of the Purchaser, the Contractor/Seller shall pay to the Purchaser, the value
thereof at the contract price and such other expenditure and damage as may arise by
reason of the breach of the conditions herein before specified. Nothing herein contained
shall prejudice any other right of the Purchaser in that behalf under this contract or -
otherwise.

3300. Book Examination Clause-The Government reserves the right for 'Book
Examination' as follows: -
(i) The Contractor shall whenever called upon and requiring to produce or cause to be
produced for examination by any Government Officer duly authorised in that behalf, any
cost or other account book of account, voucher, receipt, letter, memorandum, paper or
writing or any copy of or extract from any such document and also furnish information
any way relating to such transaction and procedure before the duly authorised
Government Officer returns verified in such manner as may be required relating in any
way to the execution of this contract or relevant for verifying or ascertaining the cost of
execution of this contract (the decision of such Government Officer on the question of
relevancy of any document, information of return being final and binding on the parties).

The obligation imposed by this clause is without prejudice to the obligation of the
contractor under any statute, rules or orders shall be binding on the Contractor.

(ii) The Contractor shall, if the authorised Government Officer so requires (whether before
or after the prices have been finally fixed), afford facilities to the Government Officer
concerned to visit the Contractors works for the purpose of examining the processes of
manufacture and estimating or ascertaining the cost of production of the articles. If any
portion of the work be entrusted or carried out by a sub-contractor or any of its
subsidiary or allied firm or company, the authorised Government Officer shall have
power to examine all the relevant books of such sub-contractor or any subsidiary or
allied firm or company shall be open to his inspection as mentioned in clause (i).

(iii) If on such examination, it is established that the contracted price is in excess of the
actual cost plus reasonable margin of profit, the Purchaser shall have the right to reduce
the price and determine the amount to a reasonable level.

(iv) Where a contract provides for book examination clause, the Contractor or its agency is
bound to allow examination of its books within a period of 60 days from the date the
notice is received by the Contractor, or its agencies calling for the production of
documents as under clause (i) above. In the event of Contractor's or his agency's failure
to do so, the contract price would be reduced and determined according to the best
judgement of the Purchaser which would be final and binding on the Contractor and his
agencies.

3400. Inspection at the Fag End of the Delivery Period-

In cases where only a portion of the stores ordered is tendered for inspection at the Fag
end of the delivery period and also in cases where inspection is not completed in respect
of the portion of the stores tendered for inspection during the delivery period, the
Purchaser reserves the right to cancel the balance quantity not tendered for inspection
within the delivery period fixed in the contractor the risk and expense of the Contractor
without any further reference to him. If the stores tendered for inspection during or at the
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 fag end of the delivery period are not found acceptable after carrying out the inspection,
the purchaser is entitled to cancel the contract in respect of the same at the risk and
expense of the contractor. If, however, the stores tendered for inspection are found
acceptable, the Purchaser may grant an extension of the delivery period subject to the
following conditions: -

(a) The Purchaser has the right to recover from the contractor under the provision of clause
0702 (a) of I.R.S. Conditions of Contract liquidated damages on the stores which the
Contractor has failed to deliver within the period fixed for delivery.
(b) That no increase in price on account of any statutory increase in or fresh imposition of
Customs Duty, Excise Duty, Sales Tax on account of Foreign Exchange variation or on
account of any other tax or duty leviable in respect of stores specified in the contract
which takes place after the date of the delivery period stipulated in the contract shall be
admissible on such of the said stores as are delivered after the date of the delivery
stipulated in the contract.
(c) That not with standing any stipulation in the contract for increase in price on any other
ground no such increase which takes place after the date of the delivery stipulated in the
contract shall be admissible on such of the said stores as are delivered after the expiry
of the delivery period stipulated in the contract.

(d) But nevertheless, the Purchaser shall be entitled to the benefit fit of any decrease in
price on account of reduction in or remission of Custom Duty, Sales Tax or on account of
Foreign Exchange variation or on account of any other Tax or Duty or on other ground
as stipulated in the price variation, clause which takes place after the expiry of the date
of delivery period stipulated in the contract.

3401. The Contractor shall not despatch the Stores till such time as an extension in terms of
para 3400 (a) to (d) above is granted by the Purchaser and accepted by the Contractor.
If the stores are despatched by the Contractor before an extension letter as aforesaid is
issued by the Purchaser and the same are accepted by the Consignee, the acceptance
of the stores shall be deemed to be subject to the conditions (a) to (d) mentioned in the
paragraph 3400 above.

3402. In case where the entire quantity has not been tendered for inspection with in the delivery
period stipulated in the contract and the Purchaser chooses to grant an extension of the
delivery period the same would be subject to conditions (a) to (d) mentioned in the
paragraph 3400 above.

3500. SPECIAL CONDITIONS:- (Vide Para 417-S)

These (special) conditions wherever they differ from the Invitation to Tender and
Instruction to Tenderers over ride the latter.

In addition to Standard Conditions of Contract, the following special conditions shall

apply to (Running) Contract: -

3600. Purpose of Contract and Parties to the Contract.

3601. The parties to the contract, which shall be deemed to be a "Running Contract" and which
is intended for the supply of the stores of the descriptions and approximately in the
quantities set forth in the contract during the period specified therein, shall be the
Contractor of the one part and the authorities named in the contract hereinafter called
the Purchaser (which expression shall, where the context so admits or implies, be

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 deemed to include his successors and assigns) of the other part. The quantities shown
in the said Contract, are only approximate, and cannot be guaranteed.

3602. The Purchaser may authorise any officer (who shall hereinafter be called Direct
Demanding Officer) at any time during the period of the contract, to place orders direct
on the Contractor.

3603. Any variation of this contract shall not be binding on the Purchaser unless or until same
is endorsed on the contract or incorporated in a formal instrument in exchange of letters
and signed by the parties.

3700. Delivery.

3701. The Contractor shall as may be required by the Purchaser either deliver free or f.o.r or
c.i.f. at the place or places specified in the contract such quantifies of the stores detailed
in the said contract as may be ordered direct from the Contractor from time-to-time by
the Purchaser or by the Direct Demanding Officer. The Contractor shall deliver or
despatch the full quantity of the stores so ordered with in the period specified in the said
contract.

3800. Increase or Decrease of Quantities : (Refer “Instruction to Tenderers”)

3900. Maintenance and Replacement of Stocks.

3901. To meet casual demands, the Contractor shall maintain at all time in stock (until 75per
cent of the requirements have been drawn), at the place (s) specified in the contract, the
quantity /quantities mentioned therein. All demands should be complied with
immediately they are received by the Contractor or within the period, if any, stipulated in
individual orders. As soon as the Contractor is called upon to effect supplies, he shall
take action to replenish the guaranteed stocks until such time as 75 percent of the total
approximate requirement has been drawn and such replenishment shall be completed
with the period specified in the contract, after the receipt by the Contractor of casual
demands. Due notice will be given to the Contractor by the Direct Demanding Officers
or by the Purchaser, if any additional quantities over and above 75 per cent of the total
approximate requirements are required and Contractor shall then arrange stocks
accordingly.

3902. The period for replenishment of stocks will be allowed only if the material is not in stock.
If the material is in stock, this Provision will be in operative even though the guaranteed
stock quantity may have been supplied against the contract.

4000. Reporting Progress of Contract.

The Contractor shall, three calendar months before the termination of the contract or at
such intervals as may be specified in the contract, submit a report to the Purchaser
stating the total quantity of stores delivered or despatched under the contract.

4100. Special conditions and Instruction to tenderers where ever they differ from IR Standard
Conditions of contract will override the latter.

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 SECTION-III

SPECIAL CONDITION OF CONTRACT

ELASTIC RAIL CLIP

The following special conditions shall apply to the contract. Where these conditions differ
from the IR Standard Conditions of Contract, these Special Conditions shall over-ride the
IR Standard Conditions of Contract.

1.0 REQUIREMENTS OF TENDERERS:

1.1 QUALIFYING REQUIREMENTS:

1.1.1 The tendered store is a vital track component and is classified as a safety item. In order
to ensure proper quality standards and assurance of timely supply, bulk procurement of
this store is reserved from suppliers approved by the RDSO for items of store as per
Section-IV. If no RDSO approved vendor participated in the tender then qualifying
criteria will be dealt as per clause- 2 of Section-I.
1.1.2 Purchaser may consider placement of developmental orders for small quantities for
development of additional sources if capacity of existing suppliers is considered
inadequate to meet the requirements and it helps Railways in getting reasonable price.
Only such tenderers, which have potential of supplying quality product, shall be
considered for developmental orders. For this purpose, the Tenderer shall provide
satisfactory documentary evidence acceptable to the Purchaser to show his technical,
financial and organisational resources. For this purpose, information as per proforma in
Annexure-G of Section-VI should be submitted.

1.2 OTHER REQUIREMENTS:

1.2.1 The supplier / Tenderer should submit a performance statement as in Annexure-I, giving
a list of major supplies of similar works made in the last three years giving details of the
Purchasers’ name and address, order no. and date and the quantity supplied and
whether the supply was completed within the delivery schedule. The information being
given by the Tenderer in the Performance Statement is of utmost importance and,
therefore, Tenderer should furnish the correct information. Performance
statement/certificate submitted by the Tenderer shall be issued by a responsible officer
of purchaser Railway and copies of purchase orders obtained/executed by the Tenderer
shall be enclosed with the offer. If it is found at any stage that the information furnished
in the statement is incorrect or suppressed, the offer will liable to be rejected and
consequences thereof, if found later, will be on tenderer’s account.

1.2.2 Status of the Tenderer shall be reckoned as on the date of opening unless there is a
case of downgrading / de-listing / suspension / black listing etc.

1.2.3 Purchaser’s decision with regard to placing orders for bulk procurement only on RDSO
approved suppliers as per policy of Railway shall not be called in question and the
tenderer shall have no claim against the Purchaser in this regard.

2.0 RAW MATERIAL:

2.1 Spring Steel rounds shall be procured from RDSO approved manufacturers only.

2.1 Responsibility for procurement of raw materials required for the manufacture of goods
shall rest entirely with the supplier.
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2.2 Test Certificates for the used raw materials should be submitted to Inspecting Officer
before these materials are used for the manufacture. The manufacture of product shall
be allowed only after inspection of raw material by inspecting authority. It shall be the
responsibility of the firm to get the raw material inspected before its use for production of
clip.

2.3 No general restrictions is placed upon the origin of plant or materials; but before ordering
for the same, the Contractor shall submit for the approval of the Engineering/Inspecting
Officer the sources of supply together with the names of makers and suppliers thereof.
Spring steel Rounds shall be offered for inspection before manufacture of clips. Only raw
material inspected and passed by the agency of Purchaser shall be used for
manufacture of clips.0

2.1 ERC vender while placing the order for raw material on an approved supplier, will
interalia quote thereon the relevant details of the ERC’s PO (purchase order) e.g.-PO
no./date/Railway etc, against which it is procuring the raw material.

2.2 The raw material supplier in turn shall also mention the aforesaid details of PO on
concerned invoice(s) as well as on test certificates (s) accompanying the raw material
supplies. Combined invoice shall not be issued against two/more POs. Simultaneously
with dispatch or raw material, it shall also email the scanned copy of invoices /test
certificates to PO issuing authority. Therefore, henceforth, the POs being issued by
Zonal Railways/PSUs/Pvt. Parties should invariably contain the e-mail address of issuing
authority.

If the invoice of raw material caters to only part-quantity of a particular PO, then each
part-supply will be accompanied by its original invoice & original test certificate.
However, from 2nd part supply onwards, apart from PO details, the invoices shall also
contain the details of invoice(s) of all the previous part-supplies made against that
particular PO.

(in case, same Firm is ERC manufacturer as well as the manufacture/supplier of raw
material and both units are in the same factory/premises, then a transfer letter form raw
material division to ERC division bearing full details of raw material (similar to invoice
details) including PO details etc, alongwith test certificate will be issued.)

2.3 Raw material shall be inspected & passed by Railway’s AIE before permitting its use for
ERC. At the time of inspection of raw material, both invoices (original as well as
duplicate) & original test certificate shall be presented by ERC manufacturer duly self-
authenticated to the AIE(I/C issuing authority), who will match the same with PO, raw
material receipt register and with the email of invoice(s) received from raw material
supplier. Each raw material bar should be stamped & colour coded at encs in
accordance with clause-10 of IRS T-31. The bars should be supplied in boudles tied with
binding wires and also with packing strips (18-33 mm width) at minimum three locations
having manufacturer’s seal, name/logo/code. In addition, a metal tag shall also be
provided with each bundle bearing the details of firm (code, name etc), PO no., heat no.,
date, grade, size and length.
(a) The raw material register shall be checked for continuity and if new register has been
made, both shall be endorsed by inspecting official. The AIE may also keep a photo
copy of the relevant pages of above register for Railway’s record.
(b) The AIE may check any other relevant record/process and keep a photocopy for
office record if considered necessary.
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2.4 After completion of inspection/testing of raw material, the AIE will make endorsement to
this effect on the front side of relevant Invoice (s) (both original as well as duplicate), as
prescribed in QAP, as under:
“Out of --------- MT quantity/balance quantity indicated on invoice---- MT quantity
inspected & passed for manufacture of ERC-MK-III against--------- Railway’s P.O. no. ----
-------dtd----------- Balance quantity is ----------MT”

2.5 At the time of inspection of ERC lot(s), the ERC manufacturer will present before the I/C
issuing authority (AIE) the original invoice(s), original test certificate(s) & metal tags of
raw material lots earlier inspected/passed pertaining to the offered ERC lot(s). After
inspecting the ERC lot(s), AIE will endorse the ERC’S I/C(s) details on front side of
original invoice(s) & original test certificate(s) and forward original test certificate and one
of the original invoice (out of two) along with I/C to PO issuing authority.

2.6 ERC manufacturer shall maintain the detailed record of receipt, consumption & stock of
raw material for all POs of ERC placed on it from Zonal Railway /PSUs/private suppliers
etc in a single machine numbered register. This register shall be filled un continuity, no
column/row should be left blank, no over writing/pasting in the register shall be permitted
ERC manufacture shall produce this register as and when required by RDSDO or the
Railway authorities for verification of receipt, utilization & stock of raw material.

2.7 If any ERC manufacture is found to be using raw material (spring steel) from unapproved
source, RDSO will take necessary action against it in accordance with “Vendor Approval
Guidelines” and Zonal Railway will initiate action for midterm cancellation/termination of
contract on this ground.

The ERC manufacturer shall ensure strict compliance of these instructions failing which
the raw material shall be rejected and the cost incurred if any, shall be borned by ERC
manufacturer. No claim on this account shall be admissible whatsoever the case may
be.

2.8 Case where ERC’s P.O. has been cancelled fully/partially by Zonal Railways.
In case a PO is cancelled partially or fully by Railway and the ERC manufacturer wants
to use the left-over raw material already received against cancelled PO towards a fresh
PO, then it will have to get the original invoice transferred from the PO cancelling
Railway to the effect that “The original Invoice NO. ---------------- dated --- issued by M/s--
----- (raw material firm) for----------- (quantity ) of spring steel bars was furnished to this
Railway by M/s-------- (ERC firm) against this Railway’s PO no.- dated ------. The said
PO has been cancelled/partially cancelled after receiving supply of –Nos. ERCs. The
aforesaid original invoice and original test certificate is enclosed herewith for further
accountal at you end.
The railway which has issued the subsequent PO will account for the aforesaid balance
quantity of raw material after physical verification.

2.9 However, any cancellation from organizations, other than Zonal Railway, in similar
manner for the raw material would not be accepted against Railway’s PO.

3.0 TESTING AND INSPECTION:

3.1 RDSO APPROVED FIRMS: Inspection of goods offered against the ordered quantity
shall be carried out by the Railway.

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3.2 NEW FIRMS: Inspection to Zonal Railways would be transferred after initial inspection of
20,000 nos. by RDSO.

3.3 The Contractor will be required to install and operate all the necessary testing equipment
for testing the Elastic Rail Clips stipulated in the IRS specifications for Elastic Rail Clips.
The testing equipment for the same must be available at the factory site. In addition the
Contractor shall arrange at this own cost for any further tests on materials as may be
indicated by the Engineer/Inspecting Officer, being carried out at recognized Material
Testing Centres and/or Institutions during the progress of manufacture of the Elastic Rail
clips even though Test Certificates for such material are available.

3.4 Decarburization test as stipulated in IRS Specification for Elastic Rail Clips shall be
carried out only in accordance with IRS specification T-31-1992 & for ERC-J
(Provisional) Revised-1994, with latest amendment.
*
3.5 Application and deflection tests shall be carried out in accordance with the gauge, as per
suppliers’ drawing approved by RDSO.

3.6 The Inspecting Authority will carry out necessary inspections and tests during and after
manufacture of the Elastic Rail clips. Necessary office accommodation for him at the
factory will have to be made available by the Contractor free of cost.

3.7 Necessary transport facilities to and from the nearest Railway Station convenient to the
Inspecting Staff and rest house accommodation for the purpose of inspection of Elastic
Rail Clips should be provided free of cost to the inspecting staff by the manufacturer.

3.8 Adequate notice in writing, generally not less than one week, shall be sent by the
supplier to the nominated inspecting officer for conducting the inspection of goods. Only
goods pre-inspected and passed by the nominated inspecting officer will be despatched
to the consignee.

3.9 No payment shall be made for the ERCs used for various tests by inspection authority.

3.10 RDSO’s Inspection & Consequent actions: Supplier being a Firm/Vendor approved
by RDSO, Shall abide by all the provisions of “General Guidelines For Vendor
Development” of RDSO and its latest amendment, corrigendum etc. as published on
RDSO’s website under the link “vendor interface”.

4.0 PRICE VARIATION CLAUSE:

P1 = [(P0 /100)x{10+(27.48xA1/A0)+(12.72xB1/B0)+(24.80xC1/C0)+(17xL1/L0)+(8xF1/F0)}]
Where,
P1= Escalated/de-escalated basic unit rate.
P0= Accepted Basic unit rate
A1= Wholesale price index for "Inputs in to Steel Making” as prevalent at the time of 10 days
prior to call of inspection of ERCs (finished goods) as per Economic Advisor, Ministry of
Industry website http:// eaindustry.nic.in as per series 2011-12.
A0= Wholesale Price Index for "Inputs in to Steel Making” as prevalent during the month just
preceding the month in which tender was opened, as per Economic Advisor, Ministry of
Industry website http:// eaindustry.nic.in as per series 2011-12
B1= Wholesale price index for "Metallic Iron” as prevalent at the time of 10 days prior to call
of inspection of ERCs (finished goods) as per Economic Advisor, Ministry of Industry
website http:// eaindustry.nic.in as per series 2011-12.

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B0= Wholesale price index for "Metallic Iron” as prevalent during the month just preceding
the month in which tender was opened, as per Economic Advisor, Ministry of Industry
website http:// eaindustry.nic.in as per series 2011-12.
C1= Wholesale price index for ”Mild Steel - Semi Finished Steel ” as prevalent at the time of
10 days prior to call of inspection of ERCs (finished goods) as per Economic Advisor,
Ministry of Industry website http:// eaindustry.nic.in as per series 2011-12.
C0= Wholesale price index for ”Mild Steel - Semi Finished Steel ” as prevalent during the
month just preceding the month in which tender was opened, as per Economic Advisor,
Ministry of Industry website http:// eaindustry.nic.in as per series 2011-12.
F1= Wholesale Price Index for “Fuel & Power” as prevalent at the time of 10 days prior to call
of inspection of ERCs (finished goods) as per Economic Advisor, Ministry of Industry
website http:// eaindustry.nic.in as per series 2011-12.
F0= Wholesale Price Index for “Fuel & Power” as prevalent during the month just preceding
the month in which tender was opened, as per Economic Advisor, Ministry of Industry
website http:// eaindustry.nic.in as per series 2011-12.
L1= All India consumer Price Index for Industrial workers as prevalent at the time of 10 days
prior to call of inspection of ERCs (finished goods) as per Labour Bureau, Ministry of
Labour website http:// labourbureau.nic.in.
Lo= All India Consumer Price Index for Industrial workers as prevalent during the month just
preceding the month in which tender was opened, as per Labour Bureau, Ministry of
Labour website http:// labourbureau.nic.in.

Any offer with different PVC formula or quoting different base month or linkage with
different indices or fixed rate etc. as compared to the PVC formula provided in the
tender, will be summarily rejected.

4.2 Input Tax Credit:

Input Tax Credit as available on the date of tender opening is to be taken into account
and passed on the Purchaser while quoting the prices.

In the event of any additional Input Tax Credit benefit, if become available to the supplier
or Input Tax Credit is being available for more items than those already covered, the
same shall be passed on to the purchaser without any undue delay. The firm should
advise the purchaser about the addition benefits accrued or any variation thereof,
through a letter containing the following certificate:

“We hereby declare that set off/input tax credit to the tune of Rs……….. has accrued
due to implementation of GST and accordingly the same is being passed on to the
purchaser and to that effect the payable amount may be adjusted”.

5.0 GUARANTEE:
5.1 The Contractor guarantees that the stores which he supplies shall be manufactured fully
in accordance with the specifications. In all cases, the Contractor guarantees that its
design shall strictly follow the “as made” detailed drawing with such modifications as are
notified in respect of each type.
5.2 The Contractor further guarantees that the stores shall be free from defects in materials
and workmanship provided that the Contractor’s liability in this respect shall be limited to
arrange the necessary replacement of the defective supplies free of any charge only to
the extent that such replacements are attributable to or arise from faulty workmanship or
material or in the manufacture of the stores. All replacements shall be made free of cost
at destination. If the Contractor so desires, the replaced stores can be taken over by
him for disposal as he deems fit, within a period three months from the date of receipt of

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 replacement of stores. At the expiry of this period, no claim whatsoever shall lie on the
Purchaser.
5.3 The guarantee herein contained shall not apply to any material which shall have been
repaired or altered by the Purchaser, or on his behalf in any way so as to affect its
strength, performance or reliability or any defect to any part due to misuse, negligence or
accident.
5.4 The guarantee herein contained shall expire in respect of each item of stores on the
expiry of 18 months from the date of its delivery or 12 months from the date of its placing
in service whichever is earlier, except in respect of defects notified to the Contractor
prior to the expiry of such date.

5.5 All replacements that the Purchaser shall call upon the Contractor to deliver this
guarantee shall be delivered by the Contractor promptly and satisfactorily.

5.6 Any approval or acceptance by the Purchaser of the stores or of the materials
incorporated therein shall not in any way limit the Contractor’s liability hereunder.

5.7 The decision of the Purchaser in regard to Contractor’s liability under this guarantee
shall be final land conclusive.

6.0 DELIVERY:
6.1 The quantity on order shall be supplied as per delivery schedule given below from the
date of issue of Advance Acceptance/Letter of Acceptance,
6.2 Any offer with longer delivery period or not agreeing with the delivery schedule specified
as per below, will be summarily rejected.
6.3 Supply Schedule:
Supply upto the end of 03 months from issue of PO- 40%.
Supply upto the end of 06 months from issue of PO- 100%.
The tenderer have to supply the total ordered quantity as per above schedule within the
above specified delivery period of part supplies, otherwise Railway shall recover from
the Contractor as agreed Liquidated Damages and not by way of penalty, a sum
equivalent to 1/2% (half percent) of the price of the store(including elements of taxes,
duties, freight, etc.) per week or part of the week during which delivery is accepted and
the upper limit for recovery of LD in supply contracts is 10% (ten percent) of the value of
contract irrespective of delays, unless otherwise provided, specifically in the contract
which the contractor has failed to deliver within the period fixed for delivery in the
contract or as extended for each week or part of a week during which the delivery of
such stores may be in arrears where delivery thereof is accepted after expiry of the
aforesaid period.

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 SECTION-IV

ITEMS SCHEDULE & QUANTITIES

S Approx. tender Earnest Completion

Description of items Quantity tendered
N value (`) Money(`) period
Supply of Elastic Rail Clips(ERC-
J) with higher toe load for Fish
Plated Joints/Insulated Glued
Joints on PSC sleepers to RDSO
3,55,634 Nos.
Drg. No. T-8258 with latest
1 (ALD-237105, 2,46,50,542/-/- 12,31,030/- 06 Months
alterations conforming to IRS
AGC-118529)
specification for Elastic Rail
Clips-J (Provisional) Revised -
1994 with latest amendments if
any.

Note:-
1. The tenderer shall quote the rate for the material conforming to the specification with
latest amendment issued by RDSO upto 30 days prior to date of tender opening. In case
date of opening is postponed due to some reason, initial date of opening shall be
considered for this purpose.

2. Supply schedule:
Supply upto the end of 03 months from issue of PO- 40%.
Supply upto the end of 06 months from issue of PO- 100%.
The tenderer have to supply the total ordered quantity as per above schedule within the
above specified delivery period of part supplies, otherwise Railway shall recover from
the Contractor as agreed Liquidated Damages and not by way of penalty, a sum
equivalent to 1/2% (half percent) of the price of the store(including elements of taxes,
duties, freight, etc.) per week or part of the week during which delivery is accepted and
the upper limit for recovery of LD in supply contracts is 10% (ten percent) of the value of
contract irrespective of delays, unless otherwise provided, specifically in the contract
which the contractor has failed to deliver within the period fixed for delivery in the
contract or as extended for each week or part of a week during which the delivery of
such stores may be in arrears where delivery thereof is accepted after expiry of the
aforesaid period.

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 SECTION-V
Notice Inviting Tender

NORTH CENTRAL RAILWAY

E-Procurement Tender Notice No. 211-S/TS/Tender Notice/07/2018, dated 15.02.2019.

On behalf of the President of India, Principal Chief Engineer, North Central Railway, Allahabad invites the
following E-Procurement Tenders:
S Earnest Date of
Tender No. Brief Description Quantity
N Money (`) opening
1 1120182019 10mm thick Composite GRSP to Drg. No. T-8528. 83,264 No. 2,12,160/- 13.03.2019
2 1220182019 Fan Shaped Switches to Drg. No. T-4219. 291 set 21,49,180/- 13.03.2019
3 1320182019 SGCI Insert to Drg. No. T-381. 96000 Nos. 4,79,470/- 13.03.2019
4 1420182019 ERC-J clip to Drg. No. T-8258. 3,55,634 No. 12,31,030/- 19.03.2019
5 1520182019 CMS Crossings to Drg. No. T-5693. 06 No. 1,37,850/- 19.03.2019
6 1620182019 1 M long Combination Fish plate to Drg. No. T-8533 to T-8536 53 set 77,610/- 19.03.2019

Note :-
1. The complete information alongwith tender document of above E-Procurement Tender are available in website on
https://ireps.gov.in. upto 15.00 hrs. on the due date of tender opening.
2. Bids other than in the form of E-Bids shall not be accepted against above Tenders. For this purpose, venders are
required to get themselves registered with IREPS website along with class III Digital signature certificates issued by
CCA under IT Act-2000.
3. Rates entered into Financial Rate page and duly signed digitally shall only be considered. Rates and any other financial
entity in any other form/letter head if attached by vendor shall be straight way ignored and shall not be considered.
4. Documents being attached should be signed by the tenderer on its body.
5. This tender notice have also been uploaded in “www.ncr.indianrailways.gov.in”.
6. Store listed Items 1 to 6 are reserved for RDSO approved/developmental order/Shortlisted firms.
7. As per Railway Board’s letter No. 2018/Trans Cell/Store Procurement dated 02.01.2019, bidders will have to make
payment towards earnest money against such tenders through online payment modes like net banking, debit/ credit
cards etc. available on IREPS portal.
8. In case of any difficulty helpdesk available on the website of IREPS may be approached.

Dy. Chief Engineer/T.S.

N.C.Railway, Allahabad

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 SECTION-VI

ANNEXURES

TABLE OF CONTENTS

Annexure

A Proforma for Security Deposit Bank Guarantee.

B Proforma for Indemnity Bond.

C Proforma for Special Indemnity Bond.

D Proforma regarding workload & annual production capacity of tenderer.

E Proforma for Electronic Fund Transfer.

F Proforma for Monthly Progress Report

G Proforma for Unapproved Firm

H Proforma for Bank Guarantee for free supply of Rails.

I Proforma for performance statement.

J Proforma for MSEs Registered firms.

K Proforma statement of deviations

L Proforma for authority from manufacturers

M Proforma of bank guarantee for contract performance guarantee bond

N Terms and conditions of Excise duty, Sales Tax/VAT etc.

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 Annexure-A
REVISED MODEL FORM OF BANK GUARANTEE BOND
(Bank guarantee should be pledged in favour of PFA/N.C.Railway/Allahabad)
In consideration of the President of India (herein after called “the Government”) having agreed to
exempt _______________________ (herein after called “the said Contractor(s)” from the demand, under
the terms and conditions of an Agreement dated ________ made between ___________________ and
____________________ for _________ (herein after called “the said Agreement” ), of Earnest Money
/Security Deposit for the due fulfillment by the said Contractor(s) of the terms and conditions contained
in the said Agreement, on production of a bank Guarantee for Rs. ______________ (Rupees
____________only) We, ____________________ (hereinafter referred to as “the Bank”) at the request of
(indicate the name of the bank)
____________ (contractor(s))
do hereby undertake to pay to the Government an amount not exceeding Rs. __________ against any
loss or damage caused to or suffered or would be caused to or suffered by the Government by reason of
any breach by the said Contractor(s) of any of the terms or conditions contained in the said Agreement.
2. We _____________________ do hereby undertake to pay the amounts due and payable under
(indicate the name of the bank)
this guarantee without any demur, merely on a demand from the
Government stating that the amount/claimed is due by way of loss or damage caused to or would be
caused to or suffered by the Government by reason of breach by the said contractor(s) of any of the
terms or conditions contained in the said Agreement or by reason of the contractor(s) failure to perform
the said Agreement. Any such demand made on the bank shall be conclusive as regards the amount due
and payable by the Bank under this guarantee. However, our liability under this guarantee shall be
restricted to an amount not exceeding Rs. __________.
3. We under-take to pay to the Government any money so demanded notwithstanding any dispute
or disputes raised by the contractor(s)/supplier(s) in any suite or proceeding pending before any court or
Tribunal relating thereto our liability under this present being absolute and unequivocal.
The payment so made by us under this bond shall be a valid discharge of our liability for payment
there under and the contractor(s)/supplier(s) shall have no claim against us for making such payment.
4. We _____________________ further agree that the guarantee herein contained shall remain in
(indicate the name of the bank)
full
force and effect during the period that would be taken for the performance of the said Agreement and that
it shall continue to be enforceable till all the dues of the Government under or by virtue of the said
Agreement have been fully paid and its claims satisfied or discharged or till
________________office/Department) Ministry of ____________ certifies that the terms and conditions
of the said Agreement have been fully and properly carried out by the said Contractor(s) and accordingly
discharges this guarantee. Unless a demand or claim under this guarantee is made on us in writing on or
before the ___________ we shall be discharged from all liability under this guarantee thereafter.
5. We _____________________ further agree with the government that the Government shall have
(indicate the name of the bank)
the
fullest liberty without our consent and without affecting in any manner our obligations hereunder to vary
any of the terms and conditions of the said Agreement or to extend time of performance by the said
contractor(s) from time to time or to postpone for any time or from time to time any of the powers
exercisable by the Government against the ‘said’ Contractor(s) and to forbear or enforce any of the terms
and conditions relating to the said agreement and we shall not be relieved from our liability by reason of
any such variation, or extension being granted to the said Contractor(s) or for any forbearance, act or
omission on the part of the Government or any indulgence by the Government to the said Contractor(s) or
any such matter or thing whatsoever which under the law relating to sureties would, but for this provision,
have effect of so relieving us.
6. This guarantee will not be discharged due to the change in the constitution of the Bank or the
Contractor(s)/Supplier(s).
7. We _____________________ lastly undertake not to revoke this guarantee during its currency
(indicate the name of the bank)
except
with the previous consent of the Government in writing.

Dated the ______________ day of _____________20

For ___________________
(indicate the name of bank)

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 ANNEXURE-B
INDEMNITY BOND
The President of India
Through
The Principal Chief Engineer
North Central Railway

1. Under the formal orders/contract specified in schedule. I/We have agreed to supply goods / stores to the President of
India (hereafter called The Purchaser) at the time and place and in the manner detailed therein.
2. Government have through the Dy.Chief Engineer/Track Supply, North Central Railway agree to accommodate me/us
in cases in which he thinks fit by making 95% advance payment of the value of goods / stores which have been
passed by the inspection staff and dispatch from our siding in respect of which the Railway staff have issued only a
Railway Receipt with remarks ‘said to contain’ or ‘loading not witnesses by the Railway staff.’
3. In consideration of such payment I/We am/are prepared expressly to accept certain liabilities as hereinafter set out,
but such liabilities shall not affect the passing of the property in the goods / stores concerned to the President of India.
Now I /We hereby agree, declare and undertake as follows:
I. Notwithstanding the terms hereinafter contained all goods / stores in respect of which such advance
payments shall be made as from the date of passing and become the sole property of the President of India
out of this provision is without prejudice to my /our liability to indemnify the President of India against loss or
damage to any such goods / stores as hereinafter mentioned.
II. The quantity loaded in my/our siding is correct as [per the challan that will be submitted by me/.us to the
consignee direct and that if any discrepancy is noticed on receipt of goods / stores, at the destination, the
cost of the quantity in deficit will be realized from my/our 5% bills.
III. All the goods / stores loaded by me/ us in my /our private or public siding have been passed by the Inspector
and that no broken or un passed goods / stores have not conforming to the specification/drawings
mentioned in the formal order/contract shall have been despatched them and in such case, I/We shall be
liable for the entire loss and damage that North Central Railway may sustain due to the despatch of such un
passed goods / stores and I/We undertake to indemnify the Railway against all such loss and damage and
shall replace at my/our costs any of such un passed goods / stores as may be despatched by me/us as
aforesaid.
IV. In case of any discrepancy being noticed where the Railway incur loss financially. I/We agree to the amount
of such loss being recovered by North Central Railway from me/our 5% Bill.
V. Provided always that notwithstanding anything contained in the formal orders/contract, the President of India
will be fully entitled to realize all due against me/us from money payable to me/us under orders/contracts
specified in the Schedule of other contracts between myself/ourselves and President of India without
prejudice to the right of the President of India to recover the said dues by any other lawful means,
VI Save as hereby expressly provided, varied or modified the terms of the orders/contracts specified in the
schedule shall remain in full force and effect.
THE SCHEDULE
Witness:

Name: ______________________ Signature: ____________

Address: ____________________ Address: _____________

____________________________

____________________________

Dated: _____________________

# Accepted

for and on behalf of the President of India # Acceptance on behalf of the President of
India should be by an officer authorized under
Article 299 of the Constitution

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 ANNEXURE-C
SPECIAL INDEMNITY BOND
1. This Indenture made at______________this____ ________Day of _______________of ____________in the year
two thousand_________________between____ _________ Companies Act having its office
at_____________________
Hereinafter called “The supplier” (which expression shall include its accessory on one part and the President of India hereinafter
called “The Purchaser” (which expression shall include his successors and assigns) on the other part.
2. WHEREAS the supplier had agreed with the Purchaser to manufacture and supply to the Railway Administration of the
Purchaser_________________________ of ______________________________pursuant to and in terms of a contract evidenced
by the CE/NCR on behalf of President of India.
3. AND WHEREAS pursuant to the said contract, the supplier commenced despatches of the goods on _____________ completed
despatch by_______________
4. AND WHEREAS UNDER clause 2300 (a) and (b) of the Indian Railway Standard conditions of the Contract for the supply of
__________________________ payment for the delivery of stores was/is to be made as follows:
This is:
95% of the prices of each consignment was/is to be paid on proof of despatch of stores to the consignee from a Railway
Station in India after inspection and the balance of 5% of the prices was/is to be paid on receipt of the consignment in goods
condition by the consignee.
5. AND WHEREAS the supplier submitted one of his bills being bill No._________Rs._______________ in respect of stores
dispatched by him through Railway Wagon No.________________ booking under R.R. No.__________________to the consignee
thereof namely the ______________.
6. AND WHEREAS 95% of the said bills has already been paid by the ______________________Railway to the supplier.
7. AND WHEREAS the said consignee in respect of the said stores has report to the ________________ Railway that the stores
dispatched through the said wagon have not been received by him.
8. AND WHEREAS the supplier has requested the Purchaser through Railway Administration to make the payment of the remaining
5% of the said bill, as according to him he has already dispatched the goods in good condition.
9. AND WHEREAS the Purchaser has agreed to pay the amount of Rs.__________(in Words) ____________________being
the 5% of the said Bill No._______________________upon the supplier agreeing to execute and indemnity bond in the manner
hereafter provided, which the supplier has agreed to do.
10. NOT THIS INDENTURE/WITNESSETH the pursuant to the said agreement and in consideration of promises the supplier hereby
covenants with the Purchaser that the supplier will at all times hereinafter well and sufficiently indemnify and keep indemnified the
Purchaser, the successors and assigns from and against such loss and costs charges and expenses, whatsoever that may be
caused and incurred by the said Railway Administration on account of the short or non-receipt of the said stores said to have been
dispatched by the said Wagon No.___________under the said R.R. No. ___________to the said consignee or on account of the
said goods if delivered in whole or in part of being according to the specification and requirements of the said contract and in the
event of such short on non-delivery or delivery of the goods in whole or in part being not in accordance with the specifications and
requirements of the contract the supplier shall pay to the purchaser on intimation to the amount as may be equal to the price of the
said goods so short received or not being according to the specifications or requirements as aforesaid and also all other loss that
the Purchaser may incur or suffer on account thereof the decision of___________________Railway as to the exact amount of such
loss including the price of the goods delivered or of the goods but not in accordance with the specifications or requirement of the
said contract as aforesaid being final and binding on the Contract together with all cost, charges and expenses that the Purchaser
may incur for the recovery of the said amount and loss.
11. AND IT IS HEREBY agreed between the parties hereto that the Purchaser shall be entitled to recover or adjust the amount payable
as aforesaid out of or from the moneys if any, payable to the supplier in respect of the said Contract or any other contracts
subsisting between the supplier and the Purchaser.
IN WITNESS WHEREOF the contractor has put his seal and the President of India has caused Shri________to put his hand this day and year
first above written. The Seal of_____________________________________
_______________________________________________________________
Pursuant to a resolution dated ______________passed by the Board of Directors of the said company in presence of:
Shri_____________________________
Shri______________________________
Signed for and on behalf of the President of India by
Shri_____________________
In the presence of:
Shri______________________
Shri______________________

Dy. CHIEF ENGINEER/TS/HQ

NORTH CENTRAL RAILWAY
FOR AND ON BEHALF OF THE PRESIDENT OF INDIA

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 ANNEXURE-D

INFORMATION REGARDING WORKLOAD ON TENDERER

Tender Notice No. :

Name of the firm/Vendor :

P-way item :

Any other
S.N. Item Details relevant Remarks
information
Monthly Production
capacity of vendors
1 as certified and
circulated by
RDSO.
Contract Balance Date of
Reference quantity completion

a)

2 Orders on hand
b)

c)

Tender
Quantity
Notice Status
tendered
Details
Details of tenders
already participated a)
3 for same
component (Yet to
b)
be finalized)

c)

It is certified that the above information is true to the best of my knowledge till date and
no information is suppressed. Railway is free to take action in case above information is found
to be otherwise.

Signature of Tenderer with Seal

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 ANNEXURE-E

NATIONAL ELECTRONIC FUND TRANSFER APPLICATION FORM

(To be filled by the Applicant in Block letters)

Details of Beneficiary

1. Centre(City Code) :

2. IFSC Code (Bank Branch specific No.) :

3. Name of Bank :

4. Branch Code :

5. Beneficiary (Firm)Name :

6. Account No. (in 11 to 17 digits) :

7. Type of Account :

8. MICR Code :

The above details are required to be certified by concern branch of bank.

Authorized Signatory
(Seal)

Verification by Bank

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 ANNEXURE-F
MONTHLY PROGRESS REPORT

Name of the firm:

Qty. Inspected Qty. Despatched

S Qty. Upto During Cumulative Upto During Cumulative
Description
N ordered last the last the
month month month month
1 Supply of Elastic Rail Clips(ERC-J) with higher
toe load for Fish Plated Joints/Insulated Glued
Joints on PSC sleepers to RDSO Drg. No. T-
8258 with latest alterations conforming to IRS
specification for Elastic Rail Clips-J
(Provisional) Revised -1994 with latest
amendments if any.

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 ANNEXURE-G

INFORMATION TO BE FURNISHED BY THE UNAPPROVED FIRMS

TO BE FILLED IN COMPULSORILY. NO COLUMNS TO BE LEFT BLANK

1. Name of the firm:

2. Location of the existing works / Proposed location of new works intended to be

set up:

3. Postal Address of the Tender:

4. Telephone Nos. i)Office:

ii) Works:
5. Telex/Fax Nos.:

6. Nearest Goods Booking Station:

7. Monthly Production Capacity:

8. Technical know-how Expertise available:

(List of experts with their Bio-data)

9. Infrastructure facilities available; give details:

10. Past experience with details of agreements:

Nature and quantum of work done and
Certificates of the satisfactory performance
(Attach separate sheet, if required).

11. Last three years turn over

(Attached a statement duly signed by
the tenderer and certified by the
Chartered Accountant).

12. Write up on how the firm proposes to:

set up the Manufacturing facilities
for this item.

13. Industrial Classification of the firm:

Particulars of registration, if any with
State Govt. or with the Development
Wing of the DGS&D, or the Ministry of
Commerce & Industry etc. giving registered/
Licenced or assessed capacity, if any(Attach
True copy of the certificate duly attested).
Enclosures:
1.
2.
3.
4.

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 ANNEXURE-H

BANK GUARANTEE PROFORMA FOR FREE SUPPLY OF RAILS

To,

The President of India,

Acting through
PFA
North Central Railway
Allahabad.

1. Whereas M/s ……………………………………………………………………(hereinafter called “the contractor”)

have agreed to fabricate and supply to the President of India (hereinafter referred to as “the Purchaser”) an
order for---------------------------------------------------------------- as per the terms and conditions of order no.--------
----------------- (hereinafter called “the said order”).

2. And whereas according to the terms and conditions of the said order, the rails will be supplied free of cost to
the supplier subject to their furnishing a Standing Bank Guarantee for Rs. -----------------
--------------------------------in a form and from a Bank acceptable to the Purchaser.

3. And whereas the contractor has approached his Bank to give the above said Bank Guarantee on their
behalf in favour of the Purchaser for an amount of Rs.------------------
(Rupees ) which the Purchaser has agreed to accept.

4. Now in consideration of Purchaser having agreed to supply rails free of cost, the Bank hereby irrevocably
undertake and guarantee to pay to PFA, North Central Railway, Allahabad at such place or places as may
be determined by the Purchaser, forthwith on demand and without any demur, any sum up to a maximum of
Rs. (Rupees ), in case the contractor makes default in the
performances, observance or discharge of the terms and conditions contained in the said order.

5. The decision of the Purchaser whether any default has occurred or has been committed by the contractor in
the performance, observance or discharge of the terms and conditions of the said order shall be conclusive
and binding on us.

6. The Purchaser shall be at liberty without our knowledge or consent from time to time to grant or allow
extension of time or give indulgence to the contractor or to modify the terms and conditions of the said order
with the contractor without affecting or impairing the guarantee or our liability hereunder.

7. This guarantee is a continuing one and will not be revoked except with the prior written consent of the
Purchaser.

8. The guarantee shall not be affected by any change in the constitution of the Bank or of the supplier.

9. No claim under this guarantee shall be entertained by us unless the same has been preferred in writing by
the Purchaser before the expiry of the guarantee. The Bank Guarantee will be valid up to -------------------but
will be extended further as and when required by the Purchaser.
Authorised Signatory
For -----------------------Bank

SEAL OF BANK

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 ANNEXURE-I

PERFORMANCE STATEMENT

TO BE FILLED IN COMPULSORILY: NO COLUMN TO BE LEFT BLANK

1. Name of Tenderer:
2. Postal Address and Telephone / Fax nos. of Tenderer:
3. Location of Factory:
4. Industrial Classification of the factory (SSI/MSI/SSI)
(Attach true copy of the certificate duly attested)
5. Nearest Goods Booking Station:
6. STATUS: If approved/provisionally approved by RDSO/Railway,
(Please attach attested copy of RDSO approval for the tendered store valid on the date
of opening of tender.)
7. Monthly Production Capacity: Quantity in Nos.

8. Details of Similar Supplies Completed in Last Three Years:

Original delivery period

Actual date of
as per P.O. / Contract
Order Order Value completion of
Date of Date of Reasons for
SN placed No. & Qty. of supply of
start as completion delay if any
by date order ordered
per as per P.O./
quantity
contract contract
1 2 3 4 5 6 7 8 9

(Please attach original or attested copy of statement duly issued by the consignee giving details
of Inspection Certificate with No. & date, Quantity supplied against each Contracts / Purchase
Orders placed by Railways.)

9. Details of P.O. /Contracts against which supply is still to be completed: -

Quantity yet to be Likely date of

P.O. / Contract Ordered
SN Purchaser Railway supplied against the supply of the
No. and date quantity
P.O. / Contract balance quantity
1 2 3 4 5 6

Note:
1) The particulars as required in the above proforma has to be necessarily filled up
correctly and with complete details as asked for
2) The information being given by the tenderer in the Performance Statement is of utmost
importance to judge the workload and, therefore, tenderer should furnish the correct
information.

We hereby certify that the information given above is correct and authenticated.

Signature and Seal of the Tenderer

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 Annexure-J

PROFORMA FOR MSEs REGISTERED FIRMS

Please complete the format given below and attach along with the offer in E-procurement
system (Do not send manually).

Status / Category of Tendering firm:-………………………………………………………

1.0 Whether the firm is registered with any of the following :-
(Please indicate Yes/No as applicable)
a) District Industries Centre
b) Khadi and Village Industries Commission
c) Khadi and Village Industries Board
d) Coir Board
e) National Small Industries Corporation
f) Directorate of Handicraft and Handloom
g) Any other body specified by Ministry of MSME
(Firm to indicate the name of specified body)
1.1 Reference number of the Registration Certificate against (1.0)
1.2 Terminal validity date of Registration Certificate against (1.0)
1.3 Copy of Registration Certificate submitted (Yes/No)
2.0 Category of the tendering firm (Please indicate here)
2.1 Micro/Small Enterprises
2.2 Enterprises owned by Schedule Cast/Schedule Tribes/Others

Conditions to be incorporated in tenders for large scale Enterprises/Consortia of MSEs

All Large Scale Enterprises and Consortia of MSEs formed by NSIC must indicate value of SI
contracts extended to Registered MSEs duly indicating the category to which MSE belongs to
SC/ST/Others in connection with performance of the contract against this tender.

3.0 Details of Sub Contracts out sourced to MSEs :-

3.1 If the tendering firm belongs to a category other than Value (in Rs.)
Registered Micro and Small Enterprises i.e. Large Scale
Enterprises or a Consortia of MSEs formed by NSIC,
mention the valve of sub-contracts extended/to be extended
by the tenderer to Registered Micro and Small Enterprises
in connection with performance of the contract against this
tender (in Rupees)
3.2 Documents as proof (3.1) to be submitted Details of documents
submitted are listed
below:-
(i)
(ii)

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 Annexure-K

PROFORMA STATEMENT OF DEVIATIONS

(1) The following are the particulars of deviations from the requirement of the tender
specification-

REMARKS
CLAUSE DEVIATION
(Including-justification)

(2) The following are the particulars of deviations from the requirement of the Instructions to
Tenderers. Indian Railway Standard Conditions of contract and special Conditions of
Contract-
REMARKS
CLAUSE DEVIATION
(Including-justification)

Note: where there is no deviation, the statement should be returned duly signed with an
endorsement indicating 'No Deviations’.

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 Annexure-L

PROFORMA FOR AUTHORITY FROM MANUFACTURERS

No................................................................ DATED.........................

TO.
THE PRESIDENT OF INDIA,
Acting through the PCE,
North Central Railway
Allahabad- 211015

Dear Sir,

Subject:- N.C.Rly. Tender No..................................................

We ..............................an established and reputed manufacturer

of.............................having factories at......................do hereby authorize
M/s..................... .................. (Name and address of Agents) to represent us, to bid,
negotiate and conclude the contract on our behalf with you against Tender
No......................................
No company/firm or individual other than M/s...............................are authorized to
represent us in regard to this business against this Specific tender.

Yours faithfully,

(NAME)…………………………
For & on behalf of M/s. ..............
(Name of Manufacturers)

Note: This letter of authority should be on the Letter-Head of the manufacturing concern
and should be signed by a competent person authorized to sign on behalf of the
manufacturer.

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 Annexure-M
PROFORMA OF BANK GUARANTEE FOR CONTRACT PERFORMANCE GUARANTEE BOND
Ref........................... DATED.........................................

Bank Guarantee No......................... . .....................

TO,
THE PRESIDENT OF INDIA,
Acting through Principal Financial Advisor,
North Central Railway,
Allahabad- 211015.
1. Against contract concluded by the advance acceptance of the tender
No.....................................dated............. covering supply of ..................................(hereinafter called the said
contract) entered into between the President of India and ................................ (hereinafter Called the
'contractor'), this is to certify that at the request of the contractor We ..........................................( Bank) are
holding in trust in favour of the president of India, the amount of ......................Write the sum here in words)
to indemnity and keep indemnified the president of India (Govt. of India.) against any loss or damage that
may be caused to or suffered by the president of India(Govt. of India) by reason of any breach by the
contractor or any of the terms and conditions of the said contract and/or the performance thereof. We
agree that the decision of the president of India (Govt. of India), whether any breach of any of the terms
and conditions of the said contract an/or in the performance thereof has been committed by the contractor
and the amount of loss or damage that has been caused or suffered by the President of India (Govt. of
India) shall be final and binding on us and the amount of the said loss or damage shall be paid by us
forthwith on demand and without demur to the President of India (Govt. of India).
2. We.......................(Bank) further agree that the guarantee herein contained shall remain in full force and
effect during the period that would be taken for satisfactory performance and fulfillment in all respects of
the said contract by the Contractor i.e., till..........................(viz. the date up to 3 months after the date of
the last dispatch/delivery of the goods ordered) hereinafter called the 'said date' and that if any claim
accrues or arises against us............(Bank) by virtue of this guarantee before the said date, the same shall
be enforceable against us.........................................(Bank) notwithstanding the fact that the same is
enforced within six months after the said date, provided that notice of any such claim has been given to
us....................(Bank) by the President of India (Govt. of India) before the said date. Payment under this
letter of guarantee shall be made promptly upon receipt of notice to that effect from the President of India
(Govt. of India).
3. It is fully understood that this guarantee is effective from the date of the said contract and that
we.......................(Bank) undertake not to revoke this guarantee during its currency without the consent in
writing of the President of India (Govt. of India).
4. We undertake to pay to the Government any money so demanded notwithstanding any dispute or
disputes raised by the Contractor in any suit or proceedings pending before any, court or tribunal relating
thereto, our liability under this present being absolute and unequivocal.
The payments so made by us under this bond shall be a valid discharge of our liability for payment there
under and the Contractor shall have no claim against us for making such payment.
5. We..................(Bank) further agree that the President of India (Govt. of India) shall have the fullest liberty,
without affecting in any manner our obligations hereunder to vary any of the terms and conditions of the
said contract or to extend time of performance by the Contractor from time to time or to postpone for any
time or from time to time any of the powers exercise able by the President of India (Govt. of India) against
the said contract and to forbear or enforce any of the terms and conditions relating to the said contract
and we ...........(Bank) shall not be released from our liability under this guarantee by reason of any such
variation or extension being granted to the said Contractor or for any for-bearance and/or omission on the
part of the President of India or any indulgence by the President of India to the said Contractor or by any
other matter or thing what-so-ever, which under the law relating to sureties, would, but for this provision
have the effect of so releasing us from our liability under this guarantee.
6. This guarantee will not be discharged due to the change in the constitution of the Bank or contractor.
Date........................... Signature..................................
Place........................... Printed-Name….......................
Witness…..................... Designation
..............................
( Bank’s common Seal )
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 Annexure-N
EXCISE DUTY/SALES TAX/VAT etc.
(This clause is applicable only for the items which are still under the purview of Excise
duty/Sales Tax/VAT etc.)
1.0 If purchaser is required to reimburse the Excise Duty separately, tenderers shall
clearly indicate the specific percentage of Excise Duty that shall be applicable in the
relevant field of ‘Financial Rate Page for Supply’ form.
1.1 Excise duty options-
a. If reimbursement of Excise Duty is intended as extra over the quoted prices, the
tenderers must use the drop down menu in the ‘Financial Rate Page for Supply’ form
and select ‘Maximum Applicable’ option in the Excise Duty Type field on the ‘Financial Rate
page’, and also quote the maximum percentage of Excise Duty that may be claimed in
the E.D. Maximum Applicable (%) field. Alternatively, in case specific amount of
Excise Duty is applicable per unit, the tenderer may quote specific Excise Duty by
choosing the ‘Specific ED Maximum Applicable’ option.
In such cases, the offers shall be evaluated on the basis of maximum rate of ED
applicable, as quoted by the tenderer in the relevant field, on the date of tender
opening. However, ED will be reimbursed at actual (on production of documentary
evidence of payment of ED) and within the upper ceiling of the maximum ED rate
considered for evaluation purpose.
N.B.: If any concession on Excise duty is available to the tenderer at the time of
submitting offers, which may be reduced or withdrawn, and the tenderers wish that
actual ED at the time of supply should be reimbursed, then they should clearly quote
with maximum percentage of statutory ED that can become applicable. Similarly, if the
excise duty rate may increase due to increase in turnover, the tenderer shall indicate
the maximum rate of excise duty which may become applicable.
b. If quoted rate is inclusive of ED, the tenderers must use the drop down menu and
select ‘Inclusive’ option in the Excise Duty Type field on the ‘Financial Rate Page for
Supply’ form. Alternatively, in case specific amount of Excise Duty is applicable per
unit, the tenderer may choose the ‘Specific ED Inclusive’ option. In such cases, the
tenderer shall also mention the percentage or amount of Excise Duty that has been
included in the quoted rate in the ‘Remarks’ field on the ‘Financial Rate Page for Supply’
form, and If it is not done so, then, the offer will be taken as inclusive of ED at the
highest rate of ED applicable for the item. Nothing extra shall be payable in such
cases on account of Excise Duty, except on account of Statutory Variation, wherever
permissible as per contract conditions. However, in case a lower rate of Excise Duty
becomes applicable at the time of supply, the purchaser shall be entitled to recover from
the supplier the difference in amount on account of such reduction in Excise Duty.
If a tenderer chooses to quote price inclusive of excise duty, it will be presumed
that the excise duty so included is firm unless he has clearly indicated the rate of
excise duty and quantum of excise duty included in his price and also sought
adjustment on account of statutory variation in excise duty.
c. In case the tenderer selects ‘Nil’ or ‘Not applicable’ option in the Excise Duty Type field,
nothing extra shall be payable by the purchaser on account of Excise Duty.
1.2 The tenderers should indicate in their offer whether they are registered with Excise
authorities for availing CENVAT or not. If they are availing CENVAT, they should
take into account the entire credit on inputs available under CENVAT Scheme while
quoting the price and furnish a declaration to this effect along with a confirmation that
any further benefit available in future on account of CENVAT will be passed on to the
purchaser.
1.3 No claim on account of statutory variation will be accepted unless the tenderer has
clearly indicated the rate of excise duty in his offer, and has also sought adjustment
on account of statutory variation in excise duty. Statutory variation in Excise duty
will be admissible within the original delivery period only, subject to statutory
variation clause being a part of the Contract, and subject to production of
documentary evidence and Govt. Notifications.
1.4 PAYMENT OF ED AND EXCISE DUTY- MODVAT RULES.
a) The purchaser will not be responsible for payment of taxes and duties paid by the supplier
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 under misapprehensions of law or misclassification and in such cases even if the suppliers bill
contain an element of tax or duty which is not payable by the purchaser, such payment would
be disallowed.
b) The claim for ED on each bill should be supported by the following certificates.
i) The rate of ED is advalorem. The ED at present legally leviable in this case is Rs i.e ----on Rs
-----being the unit value of the Stores assessed by the concerned authority of the Excise
department.
ii) Certified that the ED charged on this bill is not more than that legally leviable and payable
under the provision of the relevant act or rules made there under.
c) Certified that the amount of Rs claimed as ED in this bill is in accordance with the provision of
the rules in all respects and the same has been actually paid to the excise authorities in
respect of the stores covered by the bills.
d) Quarterly certificate to the effect that no refund of ED already reimbursed against this contract
has been obtained during the quarter ending. In the event of any such refund being
obtained by the seller, the same should be passed on to the purchaser.
e) MODVAT CERTIFICATE: - The tenderers will have to give the following certificates in their
offer:-
“We hereby declare that in quoting the above price, we have taken into effect, the full effect of
the duty set-off on 'Central excise and counter veiling duties' available under the existing
MODVAT scheme. We further agree to pass on such additional duties and set off as may
become available in future in respect of all the inputs used for the manufacture of the final
product, on the date of the supply under MODVAT scheme, by way of reduction in price and
advise the purchaser accordingly.”
1.5 North Central Railway will not reimburse any Excise duty paid by the supplier due to
misclassification.
2.0 Sales Tax/VAT : this clause is applicable only for the items which are still under
the purview of sales tax/VAT
2.1 If reimbursement of Sales tax/VAT is intended as extra over the quoted prices, the
tenderers must use the drop down menu in the relevant field and select CST Extra, LST
Extra or VAT Extra options in the Sales Tax field on the ‘Financial Rate Page for
Supply’ form, and also quote the percentage of Sales Tax/VAT that is required to be
reimbursed by the purchaser. In the absence of any such stipulation, no claim on
account of Sales Tax/VAT will be entertained after the opening of tender.
2.2 While quoting the rates, tenderer shall pass on (by way of reduction in prices) the set
off/input tax credit that would become available to them by switching over to the
system of VAT from the existing system of Sales Tax, duly stating the quantum of
such credit per unit of the item quoted for, which has been availed and passed on to
the purchaser in the rates submitted.
2.3 The tenderers while submitting the tenders shall give the following declaration.“We
agree to pass on such additional set off/input tax credit as may become available in
future under the VAT scheme in respect of all the inputs used in the manufacture of
the final product on the date of supply, by way of reduction in price and advise the
purchaser accordingly.”
2.4 The suppliers while claiming the payment for the supplies made will furnish the
following certificate to the paying authorities;“We hereby declare that additional set
offs/input tax credit to the tune of Rs.----- has accrued and accordingly the same is
being passed on to the purchaser and to that effect the payable amount may be
adjusted.” This certificate shall be furnished even for contracts where CST is payable.
2.5 Provincial or inter-state central sales tax where leviable and intended to be claimed
from purchaser should be separately indicated along with the quoted price. As per
Taxation Laws (Amendment) Act, 2007 amending the CST act, 1956, Form-D for
concessional sales tax for Government purchases is not being issued w.e.f. 01.04.07.
2.6 No claim on account of statutory increase in Sales Tax/VAT will be accepted unless the
tenderer has clearly indicated the rate of Sales Tax/VAT in his offer, and has also
sought adjustment on account of statutory variation in Sales Tax/VAT. Statutory
variation in Sales Tax/VAT will be admissible within the original delivery period only,
subject to indication of the same in the Contract, and subject to production of
documentary evidence and Govt. Notifications.
**END OF TENDER DOCUMENT**
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