6.0

EARNEST MONEY:
  

6.1

The tender shall deposit in favour of the financial advisor & chief account officer (con), Eastern Railway, kolkata-700 001, the desire earnest money as given in para-3 of Instruction To Tenderer.
  

1) The tenderer shall be required to deposit Earnest Money with the tender for the due performance with the stipulation to keep the offer open till such date as specified in the tender, under the condition of tender. The Earnest Money shall be 2% of the estimated tender value as indicated in the tender notice. The Earnest Money shall be rounded to the nearest Rs.10/-. The Earnest Money shall be applicable for all modes of tenders.
  

2) The Earnest Money should be in cash or in any of the following forms:-

i) Deposit Receipts, pay order, Demand Drafts, These forms of Earnest Money could be either of the State Bank of India or of any of the nationalized Banks. No confirmatory advice from the Reserve Bank of India will be necessary.

ii) Deposit receipts executed by the scheduled banks ( other than the State Bank of India and the Nationalized Banks) approved the Reserve Bank of India for this purpose. The Railways will not, however, accept deposit receipt without getting in writing the concurrence of the Reserve Bank of India.
   

8.0

SALES TAX/WB VAT RULES-2005 CLEARANCE CERTIFICATE :
  

8.1

The tender should be accompanid by the upto-date sales Tax/WB VAT Rules – 2005 clearance certificate in form xxxvii issued by appropriate commercial Tax Officer in favour of the tenderar. No payment will be released to the contractor till the STCC is submitted and the contractor shall have no claim in this regard for non payment of work done in absence of such certificate.
  

12.0

SECURITY DEPOSIT :
  

12.1

Total amount of Security Deposit of the fulfillment of the contract will be as under :-
   

12.2

The Earnest Money deposit by the contractor with his tender will be retained by the Railway as part of security for the due and faithful fulfillment of the contract by the contractor. The balance to make up the security deposit, the rate for which are given below, may be deposited by the contractor in cash or may be recovered by percentage deduction from the Contractor’s "on account" bills. Provided also that in case of defaulting contractor the Railway may retain any amount due for payment to the contractor on the pending "on account bill" so that the amount so retained may not exceed 10% of the total value of the contract.
  

Unless otherwise specified in the special condition, if any, the Security Deposit/rate of recovery/mode of recovery shall be as under :-
  

(a)

Security deposit for each work should be 5% of the contract value.

(b)

The rate of recovery should be at the rate of 10% of the bill amount till the full security deposit is recovered.

(c)

Security deposit will be recovered only from the running bills of the contract and no other mode of collecting SD such as SD in the form of instruments like BG, FD, etc. shall be accepted towards Security Deposit.
   

Security Deposit shall be returned to the contractor after the physical completion of the work as certified by the Complement Authority. The Compliment Authority shall normally be the authority who is complement to sign the contract. If this competent Authority is of the rank lower than JA grade, then a JA grade officer (concerned with the work) should issue the certificate. The certificate, inter alia, should mentioned that the work has been completed in all respects and that all the contractual obligation have been fulfilled by the contractor and that there is no due from the contractor to Railways against the contract concerned. Before releasing the SD, an unconditional and unequivocal no claim certificate from the contractor concerned should be obtained.
  

Note:- No interest will be payable upon the Earnest money and security deposit or amount payable to the contractor under the contract, but Government Security Deposit in terms of sub clause (1) of this clause will be payable with interest accrued thereon. The practice of allowing Standing Earnest Money Deposit is dispensed with.
   

18.0

ISSUE OF MATERIALS FROM RAILWAY STORES :
  

18.1

Any material, which the contractor would normally have arranged for himself, is supplied by the Railway either at contractor’s request or suomoto in order to prevent any possible delay in the execution of the work likely to occur due to contractor’s inability to make adequate arrangement for supply thereof or otherwise.
   

Recovery of prices of such materials will be made from the next immediate ‘running’ or ‘on account’ bill of the contracting agency at the highest of the following rates:
  

i)

Book rates or last purchase or market rate whichever is higher

Plus 5% on account of initial freight , 2% on account of incidental charges & 12.5% towards departmental charges on the overall cost.

ii)

Accepted tender rate for such material under contract.
   

Fright between Railway source of supply and the Railway store/depot shall be to the contractor’s account.
  

If prevailing market rates are not available, the recovery rates may be worked out by escalating the last purchase rate @10% escalation per annum.
   

30.0

RESCINDING OF CONTRACT :
  

30.1

1. Determination of contract owing to default of contractor –(1) if the contractor should ……
  

(i)

Becomes bankrupt or insolvent, or

(ii)

Make an arrangement with of assignment in favour of his creditors, or agree to carry out the contract under a Committee of Inspection of his creditors, or

(iii)

Being a Company or Corporation, go into liquidation (other than a voluntary liquidation for the purpose of amalgamation or reconstruction), or

(iv)

Have an execution levied on his goods or property on the works, or

(v)

Assign the contract or any part thereof otherwise than as provided in clause 7 of these conditions or 

(vi)

Abandon the contract, or

(vii)

Persistently disregard the instructions of the engineer, or contravene any provision of the contract, or

(viii)

Fail to adhere to the agreed programme of work by a margin of 10% of the stipulated period, or

(ix)

Fail to remove materials from the site or to pull down and replace work after receiving from the Engineer notice to the effect that the said materials or works have been condemned or rejected under Clause 25 and 27 of these conditions, or

(x)

Fail to take steps to employ competent or additional staff and labour as required under Clause 26 of the condition, or

(xi)

Fail to afford the Engineer’s or Engineer’s representative proper facilities for inspecting the work or any part thereof as required under Clause (28) of the condition, or

(xii)

Promise, offer or give any bribe, commission, gift or advantage either himself or through his partner, agent or servant to any officer or employee of the Railway or to any person on his or on their behalf in relation to the execution of this or any other contract with this Railway,

(xiii)

(A) At any time after the tender relating to the contract has been signed and submitted by the contractor, being a partnership firm admit as one of its partners or employ under it or being an incorporated company elect or nominate or allow to act as one of its directors or employ under it in any capacity whatsoever any retired engineer of the gazetted rank or any other retired gazeted officer working before his retirement, whether in the executive or administrative capacity, or whether holding any pensionable post or not, in the Engineering Department of the Railways for the time being owned and administered by the President of India before the expiry of two years from the date of retirement from the said service of such Engineer or Officer unless such Engineer or Officer has obtained permission from the President of India or any officer dully authorized by him in this behalf to become a partner or a director or to take employment under the contractor, as the case may be, or
  

(B) Fail to give at the time of submitting the said under :-

(a)

The correct information as to the date of retirement of such retired engineer or retired officer from the said service, or as to whether any such retired engineer or retired officer was under the employment of the contractor at the time of submitting the said tender, or

(b)

The correct information as to such engineers or officers obtaining permission to take employment under the contractor or

(c)

Being a partnership firm, the correct as to, whether any of its partners was such a retired engineer or a retired officer, or

(d)

Being an incorporated company, correct information as to whether any of its directors was such a retired engineer or a retired officer, or

(e)

Being such a retired engineer or retired officer suppress and not disclose at the time of submitting the said tender the fact of his being such a retired engineer or a retired officer or make at the time of submitting the said tender a wrong statement in relation to his obtaining permission to take the contract or if the contractor be a partnership firm or an incorporated company to be partner or director of such firm or company as the case may be or to seek employment under the contractor, and after expiry of 48 hours notice, a final termination notice (Proforma as Annexure V) should be issued.
  

Then and in any of the said clause, the engineer on behalf of the Railway may serve the contractor with a notice (Proforma at Annexure iii) in writing to that effect and if the contractor does not within seven days after the delivery to him to such notice proceed to make good his default in so far as the same is capable of being made good and carry on the work or comply with such directions as aforesaid to the entire satisfaction of the Engineer, the Railway shall be entitled after giving 48 hours notice (Proforma at Annexure iv) in writing under the hand of the Engineer to rescind the contract as a whole or in part of parts (as may be specified in such notice).
  

2) Right of Railway after rescission of contract owing to default of Contractor – in the event of any or several of the courses, referred to in sub-clause (1) of this clause, being adopted:-
  

(a)

The contractor shall have no claim to compensation for any loss sustained by him by reason of his having purchased or procured any materials or entered into any commitments or made any advances on account of or with a view to the execution of the works or the performance of the contract and contractor shall not be entitled to recover or be paid any sum for any work there to for actually performed under the contract unless and until he Engineer shall have certified the performance of such work and the value payable in respect thereof and the contractor shall only be entitled to be paid the value so certified.
  

(b)

The Engineer or the Engineer’s representative shall be entitled to take possession of any materials, tools, implements, machinery & buildings on the work or on the property on which these are being or out to have been executed and to retain and employ the same in the further execution of the works of any part thereof until the completion of the works without the contractor being entitled to any compensation for the use and employment thereof or for wear and tear pr destruction thereof.
   

(c)

The Engineer shall as soon as may be practicable after removal of the contractor fix and determined ex-parte or by or after reference to the parties or after such investigation or enquiries as he may consider fit to make or institute and shall certify what amount (if any) had at the time of rescission of the contract been reasonably earned by or would reasonably accrue to the contractor in respect of the work then actually done by him under the contract and what was the value of any unused, or partially used materials, any constructional plant and any temporary works upon the site.
   

The legitimate amount due to the contractor after making necessary deduction and certify by the Engineer should be released expeditiously.
  

44.0

EXECUTION OF NON-SCHEDULED ITEMS OR VARIATION OF QUANTITIES OF THE SCHEDULES BEYOND 25% :
  

For the variation of quantities beyond +25% of the agreemental value the rates will as follow :
  

44.1

For the first 15% increase in the value beyond 25% of the agreemental value, the rate will be reduce by 2% in the incremental value of the agreement.
   

44.2

For next 10% increase in the value, rate will be further reduce by 2% (i.e. total 4%) for the further incremental value of the agreement.
  

44.3

For increase beyond +50% of agreemental value (if any) can be done only in exceptional cases after negotiating fresh rates.
  

44.1,44.2 & 44.3 will be binding to the tenderer

44.4

However, the Railway reserved the right to execute value of work over agreemental value in best and most economical manner as may consider fit, by other agency.
  

44.5

No claim whatsoever will be entertained in this matter and decision of railway under clause.
  

44.6

If it is considered necessary that the item of works included in Schedule would not cover all works involved in the execution of the work, additional item of work which are considered necessary and unit price of such item shall be given separately along with Explanatory Notes.
 

44.7

If during the execution of the works the contractor is called upon to carry out any new item of work not included in accepted Schedule and subsequent addition /alteration if any, it should not be executed before a rate has been agreed to by the Railway in the manner as indicated in the General Condition of Contract.
  

44.8

The quantities quoted in the Schedule are not firm and may be varied at the time of awarding of the Contract.
  

8.0

WORKS PERFORMANCE GUARANTEE :
  

8.1

The procedure for obtaining performance guarantee is outline below :-
  

(a)

The successful bidder should give a Performance Guarantee in the form of an irrevocable bank guarantee amounting to 5% of the contract value.

(b)

The Performance Guarantee should be furnished by the successful contractor after the letter of acceptance has been issued, but before signing of the agreement and should be valid up to expiry of the maintenance period. The agreement should normally be signed within 15 (fifteen) days after the issue of LOA and Performance Guarantee should also be submitted within this time limit.

(c)

Performance Guarantee hall be released after satisfactory completion of the work and maintenance period is over. The procedure for releasing should be same as for Security Deposit. 

(d)

Wherever the contract are rescinded, the security deposit should be forfeited and the Performance Guarantee hall be encashed and the balance work should be got done separately.

(e)

The balance work shall be got done independently without risk and cost of the original contractor.

(f)

The original contractor shall be debarred from participating in the tender for executing the balance work. If the failed contractor is a JV or a partnership firm, then every number/partner of such a firm would be debarred from participating in the tender for the balance work either in his/her individual capacity or as a partner of any other JV/partnership firm.
  

3.0

EARNEST MONEY :
  

3.1

Earnest Money against this tender is Rs.1,55,780.00 (Rupees one lakh fifty five thousand seven hundred eighty )only. The Earnest Money is to be submitted as per details given in clause 6 of General Condition of Tender.
  

3.2

Validity of Earnest Money to be at least up to the validity of the offer.