FORM OF AGREEMENT
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(Cash or Government Securities or Fidelity Guarantee Policy) |
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| ARTICLES OF
AGREEMENT made at ....................... this ............. day of .........
Two thousand .................... between the President of India hereinafter called the
"Government" (which expression shall be deemed to include his successors and
assigns wherever the contex so admits or requires) of the one part; |
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| AND
........................ son of ........................ by occupation
.................... of .................. hereinafter called the Agent (which expression
shall include his heirs, executors, and administrators wherever the context so admits or
requires) of the other part; |
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OR |
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| AND
................................................................................. (Here insert the name of the institution) registered under .................. Act and having its registered office at ....................... hereinafter called "the Agent" (which expression shall be deemed to include its successors and assigns wherever the context so admits or requires) of the other part. |
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| WHEREAS THE
Goverment under their Small Savings Scheme issue various types of Savings Certificates for
sale to the investing Public, and provides various kinds of Savings Account for receiving
deposit from the public. |
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| AND WHEREAS
the Government of India are desirous of appointing authorised agents with a view to
improving collection in such Savings Certificates and such Savings Accounts (hereinafter
referred to as the "Securities") as the Government of India may by a
notification throw open to authorised agents for the aforesaid purpose. |
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| AND WHEREAS
the Agents has agreed to act as such authorised agent on the terms and conditions
hereinafter appearing. |
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| **AND
WHEREAS it is also one of such terms that the Agent should as security for the due
fulfilment of the said contract deposit with the Appointing Authoirty, Cash or Government
Securities of the aggregate purchase price of Rupees (Five thousand / two thosand / one
thousand / one hundred) or Fidelity Guarantee Policy of the value of
Rs....................... ** Not applicable to Banks, Co-operative Societies and Government servants appointed as internal agents who are exempted from furnishing security. |
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| AND WHEREAS
THE Agent has accordingly deposited with the appointing Authority Cash / Government
Securities duly transferred to the latter of the aggregate purchase price of Rupees (five
thousand / two thousand / one hundred) or Fidelity Guarantee Policy of the value of Rs.
............. particulars whereof are set out in the Schedule hereunder written.
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| Now it is
hereby agreed by and between the parties hereto as follows:- |
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| 1 | The Agent
is hereby appointed as Authorised Agent for effecting sales of six years National Savings
Certificate (VIII issue) and for obtaining deposits in one/two/three/five years Post
Office Time Deposits and such other Schemes of savings which are hereinafter collectively
referred to as "Securities", as may be introduced by the Governemnt and thrown
open for securing sales and deposits through the agents subject to as herein otherwise
provided, the agent shall be entitled to receive commission on certificates or deposits
(sold and procured by him) at the rates notified by the Governemnt from time to time in
the Official Gazette in respect of the securities which are subject matter of this
agreement. |
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| 2 | The Agent
shall sell the "Securities" referred to in clause (1) above in the State of
...... ..... .............. ................. ....................
.......................... ................ |
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| 3 | The Agent
shall on behalf of the Government receive from the investors moneys for investment in the
"Securites" and pass appropriate receipts for the same in the prescribed form,
from the printed receipt books, which the Government shall at their own cost supply to the
agent for the purpose. In no case shall the agent accept money for which he is not
able immediately to issue a proper valid receipt from the printed Receipt Books. |
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| 4 | The Agent
shall within the ten days from the receipt of the moneys as aforesaid deposit the same in
the Post Office(s), or such other offices as may be specified in this behalf by the
Government to which he may be attached for the purpose and pending such deposit, the Agent
shall hold the said moneys in trust for and on behalf of the Government. |
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| 5 | The Agent
shall obtain from the investors such documents or writing as may from time to time be
prescribed by the Government in regard to investment in such securities. |
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| `6 | The
Government shall through the Post Office(s) or other office(s) concerned issue and deliver
to the Agent the "Securities" in the name or names of such person or persons and
for such amounts as the investors shall have applied for. The Agent shall on
obtaining such "Securities" deliver the same to the investor or investors in
exchange for the original receipt or receipts that may have been passed to them duly
discharged by the investors. |
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| 7 | Subject as
herein otherwise provided the Agent shall be entitled to receive a commission at such rate
or rates as may be notified by the Governemnt from time to time in respect of
"Securities" investment in which is allowed through the Agent under the terms of
this Agreement. The commission shall be payable on production of the receipt(s) duly
discharged by the investor or investors to the Paying Authority appointed in this
behalf. Save as aforesaid the Agent shall not be entitled to any other commission,
remuneration or payment whatsoever for the work done under these present conditions not
withsanding any costs, charges or expenses the Agent may incur for the purpose. No
commission shall in any event be payable to the agent on investment of :- |
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| Provident
Fund money, funds of Cooperative Societies including Co-operative Banks,
Compensation money paid to displaced persons in the form of any "securities"
cash securities already pledged to Government Official by contractors and other persons,
court funds, trust funds, funds in the Control of Government Officials or local or
statutory authorities, investments required to be made in these "Securities"
under any enactment or by an express order of the Government or such other investments as
from time to time may be notified by the Government in this behalf. |
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| 7a | In the
event of death of the agent , the amount due and payable to him as commission in terms of
this agreement, shall be payable to his nominee (s) specified by him in the schedule 'b'
here is under. |
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| 8 | The Agent
hereby undertakes to carry out such directions and instructions as may from time to time
be issued by the Government or persons duly authorised by the Government and comply
with all rules and regulations pertaining to the issue of the "Securities" from
time to time and orders and regualtions issued by the Governement together with any
modification(s) or additions thereof and to keep himself/itself acquainted with the
aforesaid rules, orders, and regulations, and in particulars undertake:- |
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| (a) | to follow
all instructions printed on the cover of the official Receipt Books issued by the
Government; |
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| (b) | never under
any circumstances to exceed the amounts upto which a receipt form is valid for an
investment or investments and not to make any alteration in the matter printed on the
receipt forms and counterfoils; |
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| (c) | to
ascertain from the investor before accepting any moneys that the "Securities"
for which he applies will if issued, not render his total holding of such securities of
all types in excess of the limit laid down in the rules governing such securities for the
time being in force: |
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| (d) | to
forthwith refund to the Government any commission that may have been paid in respect of
such securities as may have been sold to the investor or investors in excess of the limits
of holding laid down in the said rules for investment by investor or investors, or
otherwise received by him/it in excess of any amounts due to him/it; |
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| (e) | to keep the
certificate(s) of Authority; and Receipt Books issued to him/ it with care and in
case of loss immediately report the same to the Appointing/ Issuing Authority and the Post
Office(s) or other Office(s) to which he / it is attached; |
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| (f) | in case of
loss of any Receipt Books not to claim any commission on sales of the securities recorded
therein; |
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| (g) | in produce
the Receipt Book(s) to the paying Authority for the purposes of checking or payment of
commission as herein provided and claim commission within four months from the date of
receipt of money for investment in the "Securities" failing which such
commission shall be forefeited; |
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| (h) | Notwithstanding
the provisions of sub-clause (g) above, to produce the Receipt Book(s) to the checking
authority for the purpose of checking whenever demanded by the said authority. |
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| (i) | to deliver
the "Securities" (purchased by the Agent on behalf of the investors) to the
investors without undue delay and in any case within thirty days of the date of receipt of
the money failing which the Agent shall forefeit the commission earned on the business
transacted in such securities and if the same may have been paid will forthwith refund it
to the Government. |
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| (j) | to carry
out this Agreement faithfully and diligently and to the best of his ability to promote the
said scheme; and |
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| (k) | not to
assign or otherwise transfer the benefit of this Agreement or part thereof to a third
party. |
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| 9. | Subject to
the provision for earlier termination hereinafter contained, the period of the agency
shall be initially for three years from the date given in the preamble to this agreement
and thereafter the agency may be renewed to the option of the Government for further
period not exceeding three years at a time. |
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| 10. | The Agency
shall be liable to be terminated by the Government without notice if the work or conduct
of the Agent is adversely commented upon by the supervising authorities or if he/ it is,
in the opinion of the Government which shall be final and binding, guilty of breach of any
provision of this agreement, or if he/it becomes insolvent, or the agent-organisation runs
into liquidation or if it is discovered that a part or the whole of the business was
secured by the agent with the help or connivance of an official of the Posts and
Telegraphs Department, or the national Savings Organisation or an official of the State
Government Small Savings Department or Collectors or Tahsildars or an official of the
State Bank of India or its subsidiary Banks in India or an official of the Nationalised
Bank. The commission earned on such business shall also be liable to forfeiture and
if the commission on such business has already been paid, the agent must forthwith refund
it to the Government. |
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| 11 | This
Agreement may be terminated by either party by giving three months notice to the other.
Provided, however, the Government shall be at liberty to terminate the agency at any time
without notice and without assigning any reason for the same. The agency shall
automatically stand terminated if the Government of India announces by Notifications, the
abolition of the Agency Systems. |
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| 12 | The stamp
duty on this Agreement shall be payable by the Government. |
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| 13 | On
termination of the Agreement, however occasioned, the Agent shall forthwith deliver to the
Government all moneys and papers including the Certificate(s) of authority, used,
partially used and unused Receipt Books, documents and Securities which may have come to
his possession or custody under the terms of the Agreement. |
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| 14 | The Agent
hereby agrees to well and sufficiently protect and keep harmless and indemnify the
Government against all manners of embezzlement, misappropriation or misapplication of
moneys and the "Securities" which may from time to time during the continuance
to this Agreement come into his/its possession or control or in to the possession or
control of the branches or individuals appointed as authorised workers at his/its request
and belonging either to the Government or to the investor or investors and also against
the carrying away, loss, destruction or otherwise of any writing,evidence, books or papers
belonging to the Government or to any of the investors without directions and authority
of the Government or person or persons duly authorised by the Government and against
all costs, charges and expenses in relation thereto. The Agent shall also indemnify
fully the Government against all losses or claims that may arise on account of his/its
defaults and the defaults of any of the agent-organisation's branches or of individuals
appointed as authorised workers at the agent-organisation's request and any amounts
received by him/it or the authorised workers of an agent organisation appointed at its
request and which are not legally due to him/it and authorised workers and the Government
shall be fully indemnified against all such losses or damages as aforesaid at any time. |
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| 15 | The said
amount of security of Rupees two thousand/ one thousand/ one hundred or a Fidelity
Guarantee Policy of the value of Rupees five thousand / two thousand/ one
thousand / one hundred deposited as aforesaid shall be retained by Government as security
for due fulfilment and faithful performance by the Agent of all and singular the several
convenants herein contained on his/ its part to be observed, with full power to the said
Appointing Authority for and on behalf of the Government in case the Agent shall fail to
perform, fulfil, keep and observe all or any of the said convenants, conditions, or
agreements on his/its part herein-before contained to encash the said security or any part
thereof and appropriate the amount proceeds of the security or any part of such proceeds
towards the satisfaction of the amount of all or any damages, penalities and other sums
which the said Agent may have become liable to pay hereunder. |
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| 16 | The
Appointing Authority, the Issuing Authority, the Paying Authority and the Checking
Authority shall be such authorities as may be appointed from time to time by the State
Governments in the matter. |
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| 17 | The Agent
shall pay all such sums as shall be due to the Government within the time hereinbefore
specified. If the Agent fails to pay such sums as shall be due to the Government
from time to time within the specified period then and in such event all sums due to the
Government (as to which the decision ....... shall be final) shall at the option of
the Government be recoverable in the same manner as an arrear of land revenue. |
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| IN WITNESS
WHEREOF the parties hereto have set their respective hands hereinto the day, month and
year first here in above written. |
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| SCHEDULE`A' referred to above, Give details of the Securities signed and delivered by | ||
| In the presence of | ||
| * (1) ............................................................................... | ||
| * (2)
............................................................................... |
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| Signed and delivered by: | ||
| ** (1) ............................................................................... | ||
| ** (2) ............................................................................... | ||
for and on behalf of ............................................................................... in the presence of |
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| (1) ............................................................................... | ||
| (2) ............................................................................... | ||
*** The common seal of ....................... |
SEAL |
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........................................................was |
............................................................................... |
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SIGNATURE: |
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| hereunto affixed pursuant to a resolution of the Board of Director of |
............................................................................... |
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| passed on the ............................................................................... | ||
| DAY of
....................... 2000 |
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| In the presence of | ||
Signature |
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| ............................................. Name | ||
| ............................................ (Designation) | ||
| who in token hereof have hereunto signed their names | (Designation) | |
| Signed and delivered by the ............... .......... .... ............... ................... ........... ....... | ||
| for and on behalf of the President of India in the presence of ............................. ............. ............................. | ||
| ____________________________________________________________________________________ |
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| *Applicable to individuals only | ||
| **Applicable to registered institutions other than Scheduled Banks | ||
| ***Applicable to Scheduled Banks only. | ||