Bank of India Cyber Insurance Policy Tender

Prepared by: Global Insurance Brokers Private Ltd.

Bidders Invited: Only Public Sector Insurance Company

4/28/20

Glossary

“BOI” means M/S Bank of India

“GLOBAL” means M/S Global Insurance Brokers Pvt.

Ltd.

“RFQ” means Request for Quote

“Recipient”, “Respondent”, “Vendor”, “Agency” and “Bidder” means respondent to this RFQ document

Word “Selected Bidder” means the applicant who is declared successful after completion of the entre

process of evaluation as defined under this RFQ

Index

Sr. Contents

1 Bank’s Profile

2 Terms and Conditions for Cyber Insurance

3 Broker’s Profile

4 Bid Structure

5 Technical Bid

6 Commercial Bid

7 Submission of Bid

8 Selection of Bidder/ Insurer

9 Tender Schedule

10 Technical Bid Format

11 Commercial Bid Format

12 Annexure 1

13 Integrity Pact

Terms and Conditions for Cyber Insurance

Bank of India (BOI) is commercial bank with headquarters at Bandra Kurla complex, Mumbai. Founded in

1906, it has been government-owned since nationalization in 1969.

Bank of India has about 5200 branches / offices as on 31 March 2020, including 56 offices / offices

outside India, which includes three subsidiaries, one representative offices, and one joint venture. BOI

is a founder member of SWIFT (Society for Worldwide Inter Bank Financial Telecommunications), which

facilitates provision of cost-effective financial processing and communication services.

Name of

the Insured Bank of India, its Subsidiaries, Foreign Branches, RRBs, Representative Offices and JVs

Address BANK OF INDIA, STAR HOUSE 1, RISK MANAGEMENT DEPARTMENT, INFORMATION SECURITY CELL, 3RD FLOOR, C - 5, "G" Block, Bandra Kurla Complex, Bandra (East), Mumbai 400 051.

Business /

Occupation

Banking & Financial Services.

*Refer proposal form

Policy

Period 12 months from date to be agreed

Territory &

Jurisdiction Worldwide

Governing

Law India

Limit of

Indemnity

AOA:AOY

Rs. 100 Crore

Retention To Be Advised

Covers

/Extensions

COVERAGE

REMARKS – Please specify

Yes / No

MANDATORY COVERAGE REQUIRED

1 DATA LIABILITY

A Loss of Personal Information

B Loss of Corporate Information

C Outsourcing

D Network Security

2 ADMINISTRATIVE OBLIGATION

A Data Administrative Investigations

B Data Administration Fines and Penalties

3 REPUTATION AND RESPONSE COST

A Pro-active Forensic services

B Repair of the company's reputation

C Repair of the individual's reputation

Banks’ Profile

Terms and Conditions for Cyber Insurance

d Notification of Data Subject

e Monitoring

f Electronic Data

4 Multimedia Liability

5 Cyber/Privacy Extortion (E-Threat) including cover for money lost in transit

6 Network Interruption (E-Business Interruption)

7

Fund Transfer Fraud Endorsement (E-Theft) with DIC/DIL clause

8

Fraudulent Communication Cover (E-Communication) with DIC/DIL clause

9 Reward Expenses

10 Cyber Terrorism

11 Cover for liability arising from DOS/DDOS attack

12 PCI - DSS (Payment Card Industry - Data Security

Standards) cover

13 Social Engineering Fraud Cover

14 Conduct exclusion amended

15

Policy to cover any Professional Indemnity arising on

Bank due to Cyber-attack. This policy to act as primary

and non-contributory for PI claims arising from Cyber

breach.

16

Insured definition amended to include consultant, sub-

contractor and any third party authorized by Insured by

written contract

17 Definition of Computer system amended to include

third party service providers/cloud hosting services

and bring your own device

18 Un-authorized or unlawfully collected data Exclusion to

be Deleted

19 No Exclusion for Data Risk

20 No Exclusion for Securities claims

21 Criminal Act Exclusion deleted

22 Loss of personal information to be amended

23 No Exclusion for Intentional Act

24 Insurer’s Consent to be amended

25 Third Party definition to be amended

26 Electronic Data Incident

DESIRED COVERAGE

27 Auto Acquisition of subsidiaries – 25%

28 Extended Reporting Period - 90 Days and 50% of annual premium for 365 days

29

Emergency Cost includes costs incurred during the first 72 Hours

30 Control Group Clause

31 Additional Insured Cover wherever required by written

contract

32 Waiver of Subrogation wherever required by written

contract

33 Non-Cancellation clause

34 Psychological Support Expenses

35 Telephone Phreaking Endorsement

36 Network Interruption (E-Business interruption) to

include all Network Loss arising from a Security Failure or

a System Failure of a Computer System of an

Outsource Service Provider

37 Coverage for Cleanup Costs

38 Forensic services amended

39 Monitoring costs amended to cover costs of customer

Credits

40 Definition of Damages amended to include punitive or

exemplary damages, Civil fines and penalties where

insurable by law

41 Multimedia activities to be amended to include written

Media

42 Trading loss exclusion to be amended to include third

party losses

43 Newsworthy event amended to include material

interruption or Extortion threat

44

Data Notification amended to include call center

expenses and ID theft remediation expenses

45 Cancellation provision by the policy-holder -

Amended wording should read as “This policy

may be cancelled by the Named Insured by giving

written notice to the Underwriters through the

entity listed for Administrative Notice in the

Declarations stating when the cancellation will be

effective. If this policy is cancelled in accordance

with the above, the earned premium will be

computed pro-rata; but the premium will be

deemed fully earned if any Claim, or any

circumstance that could reasonably be the basis

for a Claim or loss, is reported to the Underwriters

on or before the date of cancellation. Payment or

tender of unearned premium is not a condition of

cancellation.”

46 Policy to include any provisions towards any onus and

responsibility following new changes in Data Privacy

Regulations in any jurisdiction including but not limited

to EU Data Privacy Legislations

47 Retention is amended to delete highest retention

clause

48 Retroactive Date – As per expiring policy

ADDITIONAL COVERAGE REQUIRED

49 Network Security Amended

• Kindly indicate all Sub - limit clearly in your quotes, in the absence of which full limits

coverage shall be presumed.

• Kindly indicate any inability to grant any coverage listed above, in the absence of which

coverage shall be presumed to be granted.

• For competitive advantages, we encourage you to grant any coverage not mentioned above,

optional extensions as per form shall be assumed to be granted.

• Please clearly state the form you shall be using and kindly attach the same with your quote.

GLOBAL is an IRDAI licensed “Composite Insurance” broker with Head Office in Mumbai. GLOBAL, with its offices spread over thirteen locations in India and supported with staff strength in excess of 450 professionals makes us one of the largest insurance and reinsurance broking, Risks management & Claims services companies in India. GLOBAL was established in 1973 with reinsurance expertise since 1978 and having 40 plus years of rich legacy in insurance and reinsurance domain. GLOBAL is involved in many of the large insurance & reinsurance placements for Airlines, Energy, Power, Infrastructure & Construction, IT & Communication, and Hospitality Sectors.

The Bid structure will be divided into two sections:

1. Technical Bid

2. Commercial Bid

The Public Sector General Insurance Company who are interested to participate in the tender should

provide to BOI the following:

Declaration for Technical Bid – The Technical Bid should be submitted on the insurance company’s letter

head with name, designation, company’s seal and authorized signatory’s signature. (Attached Technical

Bid Format)

BOI and GLOBAL will evaluate the terms and conditions submitted by insurers and the best insurers will

be selected for opening the Commercial bid.

Broker’s Profile

Bid Structure

Technical Bid

The parameters for selection of insurers for Technical Bid is as below:

Technical Bid Parameters Weightage

Coverage

Mandatory Coverage 46

Desired Coverage 12

Additional Coverage 2

60

The Public Sector General Insurance Company who are interested to participate in the tender should

provide to BOI the following:

Declaration for Commercial Bid – The Commercial Bid should be submitted on the insurance

company’s letter head with name, designation, company’s seal and authorized signatory’s signature.

(Attached Commercial Bid Format)

The parameters for selection of insurers for Commercial Bid is as below:

Commercial Bid Weightage

Premium Quoted 30

Deductible 10

40

The prospective bidders meeting the Bank’s requirement may submit their e-Tenders (Two Cover System) online at www.mstcecommerce.com/eprochome/boi. To facilitate the prospective Bidders, detailed process and instructions to participate in MSTC e-Tender portal are provided in Annexure 1.

The opening of Bid will be done at BOI’s premise on the mentioned date at the address mentioned in Tender

schedule.

The selection process will be as follow:

1. The Technical Bid will be opened first. The bidder who has given the best cover will be eligible for

Commercial Bid.

2. The bidder who qualifies in Technical Bid will be considered for opening of Commercial Bid.

3. BOI will award the insurance company who quotes the least with the best coverage.

Selection of Bidder/ Insurer

Commercial Bid

Submission of Bid

Detailed tender documents consisting of Technical Bid and Commercial Bid are available online at www.mstcecommerce.com/eprochome/boi and in the ‘Tender’ section on Bank's website at www.bankofindia.co.in.

Name of the company Bank of India

RFQ Reference No. No.:BOI/BKC/1/20-21/ET/1

Date of commencement of sale of Bid document /Date of Starting of e-Tender for submission of on line Technical Bid and indicative price Bid at www.mstcecommerce.com/eprochome/boi

Date : 28th April 2020

Date till pre-bid queries to be sent only through email, to: Security.Information@bankofindia.co.in

Date: 29th April 2020 by 6.00 pm (Please mention e-tender ref. no. in the email subject)

Reply to Pre-Bid queries will be sent through email only

Date: 30th April 2020 by 6.00 p.m. on that day.

Last Date and Time of online e-tender for the submission of Technical Bid and Commercial / Price Bid.

Date: 8th May 2020 by 10.00 am. on that day.

Address for submission of bid The Technical Bid and the Commercial Bid shall have to be submitted online at www.mstcecommerce.com/eprochome/boi will be opened electronically on specified date and time as given in the e-Tender and same can be checked in your login using link “Technical CST” and “Price CST”.

Mode of Tender e-Procurement System (Online Part I - Technical Bid and Part II - Price Bid through www.mstcecommerce.com/eprochome/boi Important Instructions for E-procurement as per Annexure 1.

All entries in the tender should be entered in online Technical & Commercial Formats without any ambiguity.

Date and Time of opening of Technical Bids Date: 8th May 2020 at 11.30 a.m. on that day.

Date and time of opening of Commercial Bids Date: 8th May 2020 at 4.00 p.m. on that day

Tender Schedule

Following documents (as per the format given in the tender document) are to be submitted:

1. Technical Bid - Scan copy to be uploaded on MSTC website

2. Financial / Commercial / Price Bid – Field shall be available in the online tender

3. Integrity pact – Scan copy to be uploaded on MSTC website

Apart from what is responded under E-tender on MSTC website for this RFQ, the bidder who desires to participate in bid shall also upload scanned (PDF) signed copies of the supporting documents which are stated specifically under this RFQ.

Date:

Chief Information Security Officer

Bank of India,

Head office, Information Security Cell, RMD

Star House 1, 3rd Floor, East Wing, C-5, G Block, Bandra Kurla Complex, Bandra East. Mumbai - 400051

Technical Bid

Dear Sir

This refers to the RFQ floated on April 28, 2020 for Cyber Insurance policy of M/S Bank of India. We

hereby agree by all terms and conditions of the proposal mentioned in the document. The quote

submitted are approved by the Competent Authority of our company.

Name of

the Insured

Bank of India, its Subsidiaries, Foreign Branches, RRBs, Representative Offices and JVs

Address BANK OF INDIA, STAR HOUSE C - 5, "G" Block, Bandra Kurla Complex, Bandra (East), Mumbai 400 051.

Business /

Occupation

Refer proposal form

Policy

Period

12 months from date to be agreed

Territory &

Jurisdiction

Worldwide

Governing

Law

India

Limit of

Indemnity

AOA:AOY

Rs. 100 Crores

Retention To be Advised

Covers

/Extensions

COVERAGE REMARKS –

Yes/No

Technical Bid Format

MANDATORY COVERAGE REQUIRED

1 DATA LIABILITY

A Loss of Personal Information

B Loss of Corporate Information

C Outsourcing

D Network Security

2 ADMINISTRATIVE OBLIGATION

A Data Administrative Investigations

B Data Administration Fines and Penalties

3 REPUTATION AND RESPONSE COST

A Pro-active Forensic services

B Repair of the company's reputation

C Repair of the individual's reputation

d Notification of Data Subject

e Monitoring

f Electronic Data

4 Multimedia Liability

5 Cyber/Privacy Extortion (E-Threat) including cover for money lost in transit

6 Network Interruption (E-Business Interruption)

7

Fund Transfer Fraud Endorsement (E-Theft) with DIC/DIL clause

8 Fraudulent Communication Cover (E-Communication) with DIC/DIL clause

9 Reward Expenses

10 Cyber Terrorism

11 Cover for liability arising from DOS/DDOS attack

12 PCI - DSS (Payment Card Industry - Data Security

Standards) cover

13 Social Engineering Fraud Cover

14 Conduct exclusion amended

15

Policy to cover any Professional Indemnity arising on

Bank due to Cyber-attack. This policy to act as primary

and non-contributory for PI claims arising from Cyber

breach.

16

Insured definition amended to include consultant, sub-

contractor and any third party authorized by Insured by

written contract

17 Definition of Computer system amended to include

third party service providers/cloud hosting services and

bring your own device

18 Un-authorized or unlawfully collected data Exclusion to

be Deleted

19 No Exclusion for Data Risk

20 No Exclusion for Securities claims

21 Criminal Act Exclusion deleted

22 Loss of personal information amended

23 No Exclusion for Intentional Act

24 Insurer’s Consent to be amended

25 Third Party definition to be amended

26 Electronic Data Incident

DESIRED COVERAGE

27 Auto Acquisition of subsidiaries – 25%

28 Extended Reporting Period - 90 Days and 50% of annual premium for 365 days

29 Emergency Cost includes costs incurred during the

first 72 Hours

30 Control Group Clause

31 Additional Insured Cover wherever required by written

contract

32 Waiver of Subrogation wherever required by written

contract

33 Non-Cancellation clause

34 Psychological Support Expenses

35 Telephone Phreaking Endorsement

36 Network Interruption (E-Business interruption) to

include all Network Loss arising from a Security Failure or

a System Failure of a Computer System of an

Outsource Service Provider

37 Coverage for Cleanup Costs

38 Forensic services amended

39 Monitoring costs amended to cover costs of customer

Credits

40 Definition of Damages amended to include punitive

or exemplary damages, Civil fines and penalties

where insurable by law

41 Multimedia activities to be amended to include written

Media

42 Trading loss exclusion to be amended to include

third party losses

43 Newsworthy event amended to include material

interruption or Extortion threat

44

Data Notification amended to include call center

expenses and ID theft remediation expenses

45 Cancellation provision by the policy-holder -

Amended wording should read as “This policy

may be cancelled by the Named Insured by giving

written notice to the Underwriters through the

entity listed for Administrative Notice in the

Declarations stating when the cancellation will be

effective. If this policy is cancelled in accordance

with the above, the earned premium will be

computed pro-rata; but the premium will be

deemed fully earned if any Claim, or any

circumstance that could reasonably be the basis

for a Claim or loss, is reported to the Underwriters

on or before the date of cancellation. Payment or

tender of unearned premium is not a condition of

cancellation.”

46

Policy to include any provisions towards any onus and

responsibility following new changes in Data Privacy

Regulations in any jurisdiction including but not limited

to EU Data Privacy Legislations

47

Retention is amended to delete highest retention

clause

48 Retroactive Date – As per expiring policy

ADDITIONAL COVERAGE REQUIRED

49 Network Security Amended

• Kindly indicate all sub-limit clearly in your quotes, in the absence of which full limits coverage

shall be presumed.

• Kindly indicate any inability to grant any coverage listed above, in the absence of

which coverage shall be presumed to be granted.

• For competitive advantages, we encourage you to grant any coverage not mentioned above,

optional extensions as per form shall be assumed to be granted.

• Please clearly state the form you shall be using and kindly attach the same with your quote.

Date:

Chief Information Security Officer

Bank of India,

Head office, Information Security Cell, RMD

Star House 1, 3rd Floor, East Wing, C-5, G Block, Bandra Kurla Complex, Bandra East. Mumbai - 400051

Commercial Bid

(No price is to be quoted in the sheet as similar field shall be available in the online tender)

Dear Sir

This refers to the RFQ floated on April 28, 2020 for Cyber Insurance policy of M/S Bank of India. We hereby

agree by all terms and conditions of the proposal mentioned in the document. The premiums quoted are

approved by the Competent Authority of our company.

Options

Description of

Risk

Limit of

Liability

Deductible In Rs

Premium In Rs

GST

Total

Premium

Payable

1 Cyber Insurance

Rs. 100

Crores

INDIA -

ROW –

NETWORK

INTERRUPTION

WAITING

HOURS -

Commercial Bid Format

Annexure 1

Important Instructions for E-procurement Bidders are requested to read the terms & conditions of this tender before submitting online tender.

Process of E-tender:

1 A) Registration: The process involves vendor’s registration with MSTC e-procurement portal. Only after registration, the vendor(s) can submit his/their bids electronically. Electronic Bidding for submission of Technical Bid as well as Price/Commercial Bid will be done over the internet. The Vendor should possess Class III signing type digital certificate. Vendors are to make their own arrangement for bidding from a P.C. connected with Internet. MSTC is not responsible for making such arrangement. (Bids will not be recorded without Digital Signature). SPECIAL NOTE: THE TECHNICAL BID AND THE COMMERCIAL BID HAS TO BE SUBMITTED ON-LINE AT www.mstcecommerce.com/eprochome/boi 1) Vendors are required to register themselves online with www.mstcecommerce.com→ e-Procurement →PSU/Govt Depts..→Select BOI’s Logo->Register as Vendor -- Filling up details and creating own user id and password→ Submit. 2) Vendors will receive a system generated mail confirming their registration on email id which has been provided during submission of registration form. In case of any clarification, please contact MSTC (before the scheduled time of the e- tender). Contact person (MSTC Ltd): Centralized helpdesk for vendors:033-22901004 Helpdesk at MSTC Mumbai for vendors :022-22870471/22886266/022-22885567 1. Ms. Archana Juneja, Asst. Mgr. Mobile no.-9990673698 Email id-archana@mstcindia.co.in 2. Ms. Rupali Pandey, Asst. Mgr. Mobile no.-9485704037 Email id-rpandey@mstcindia.co.in Contact person (Bank of India): Shri Sanjay L Save, Sr. Manager - 022-66684986 / 7738083303 Email: Security.Information@bankofindia.co.in

B) System Requirement: i) Windows 7 or above Operating System ii) IE-7 and above Internet browser. iii)latest version of java (32 bit windows offline)

C)System Settings: Go to Internet Explorer 1. Click on Tools => Internet Options =>Security => Disable protected Mode If enabled- i.e, Remove the tick from the tick box mentioning “Enable Protected Mode”. Other Settings: 2. Tools => Internet Options => General => Click On Settings under “browsing history/ Delete Browsing History” => Temporary Internet Files => Activate “Every time I Visit the Webpage Enable ALL active X controls and disable ‘use pop up blocker’ under Tools→ Internet Options→ custom level ( or else run IE settings from the page www.mstcecommerce.com once)

2 The Technical Bid and the Commercial Bid shall have to be submitted online at www.mstcecommerce.com/eprochome/boi. Tenders will be opened electronically on specified date and time as given in the Tender and same can be checked in your login using link “Technical CST” and “Commercial CST”

3 All entries in the tender should be entered in online Technical & Commercial Formats without any ambiguity.

4 Transaction fees is non-refundable. A vendor will not have the access to online e-tender without making the payment towards transaction fee. NOTE Bidders are advised to remit the transaction fee well in advance before the closing time of the event, so as to give themselves sufficient time to submit the bid.

5 Information about tenders /corrigendum uploaded shall be sent by email only during the Process till finalization of tender. Hence the vendors are required to ensure that their corporate email I.D. provided is valid and updated at the time of registration of vendor with MSTC. Vendors are also requested to ensure validity of their DSC (Digital Signature Certificate).

6 E-tender cannot be accessed after the due date and time mentioned in Invitation to Bid.

7 Bidding in e-tender : a) Vendor(s) need to submit necessary Transaction fees to be eligible to bid online in the e-tender. Transaction fees is nonrefundable. b) The process involves Electronic Bidding for submission of Technical and Commercial/Price Bid. c) The vendor(s) who have submitted transaction fee can only submit their Technical Bid and Commercial Bid through internet in MSTC website www.mstcecommerce.com → e-procurement →PSU/Govt. depts→ Login under BOI as vendor→My menu→ Auc Floor Mgr→ live events →Select the event as required

d) The vendor should allow running JAVA application. This exercise has to be done immediately after opening of Bid floor. Then they have to fill up Common Terms /Commercial specification and save the same. After that click on the Technical bid. If this application is not running, vendor will not be able to save/submit his Technical bid. e) After filling responses in the Technical Bid, vendor should click ‘save’ for recording their Technical bid. Once the same is done, the Commercial / price Bid link becomes active and the same has to filled up and then vendor should click on “save” to record their Commercial bid/ Price Bid. Once both the Technical bid & Commercial bid have been saved, the vendor can click on the “Final submission” button to register their bid f) Vendors are instructed to use Attach Doc button to upload documents. Multiple documents can be uploaded. g) In all cases, vendor should use their own ID and Password along with Digital Signature at the time of submission of their bid. h) During the entire e-tender process, the vendors will remain completely anonymous to one another and also to everybody else. i) The e-tender floor shall remain open from the pre-announced date & time and for as much duration as mentioned above. j) All electronic bids submitted during the e-tender process shall be legally binding on the vendor. Any bid will be considered as the valid bid offered by that vendor and acceptance of the same by the Buyer will form a binding contract between Buyer and the Vendor for execution. k) It is mandatory that all the bids are submitted with digital signature certificate otherwise the same will not be accepted by the system. l) Buyer reserves the right to cancel or reject or accept or withdraw or extend the tender in full or part as the case may be without assigning any reason thereof. m) No deviation of the terms and conditions of the tender document is acceptable. n) Submission of bid in the e-tender floor by any vendor confirms his acceptance of terms & conditions for the tender.

8 Any order resulting from this tender shall be governed by the terms and conditions mentioned therein.

9 No deviation to the technical and commercial terms & conditions are allowed.

10 The tender inviting authority has the right to cancel this e-tender or extend the due date of receipt of bid(s) without assigning any reason thereof.

11 Vendors are requested to read the vendor guide and see the video in the page www.mstcecommerce.com/eprochome/boi to familiarize them with the system before bidding.

Format

(The Bidders are required to sign and stamp before submitting.)

INTEGRITY PACT

Independent External Monitors (IEM) Bank of India has empanelled Independent External Monitors (IEMs) for implementation of Integrity Pact (IP) in respect of procurements as per directives received from the Central Vigilance Commission (CVC). The details are as under:-

1 2

Dr. Joginder Paul Sharma, IAS (Retd.) Ex-Principal Secretary. Govt. of UP D-266, Sector-47,Noida, UP Mobile: 9650999444 E-mail: sharmajp1@gmail.com

Shri Ashwani Kumar Ex-CMD, Dena Bank Flat No. 101, 1st Floor Plot No. F.P. No.81, Ruby Bandra West Ruby CHSL, 29th Road, Near Duruoella Convent High School Mobile: 9920262626 E-mail: ashwani_ashwani1@yahoo.co.in

This pre-bid contract agreement (hereinafter called the Integrity Pact) is made on ______ day of the month

of 2020,

Between on one hand,

Bank of India, a body Corporate constituted under Banking Companies (Acquisition and Transfer of

Undertaking) Act, 1970 having its Head Office at C-5, G Block BKC, Bandra Kurla Complex, Bandra East,

Mumbai, Maharashtra 100054 (hereinafter referred to as “The Bank or the BUYER” which expression shall

include its successors and assigns) AND

M/s ______________________________________________ a Company registered under Companies Act

1956 having its registeredOffice at …………………………………………………..India, (hereinafter referred to as the BIDDER which expression shall include its successors and assigns).Whereas the BUYER proposes to procure and the BIDDER is willing to offer/has offered the stores/equipment, and

Both parties undertake to avoid all forms of corruption by following a system that is fair, transparent, and

free from any influence of prejudiced dealings prior to, during, and subsequent to the currency of the

contract to be entered into with a view to:

Enabling the BUYER to obtain the said stores/equipment in a competitive price in conformity with the

defined specifications by avoiding the high cost and distortionary impact of corruption on public

procurement and Enabling BIDDERS to abstain from bribing or indulging in any corrupt practice in order to

secure the contract by providing assurance to them that their competitors will also abstain from bribing and

other corrupt practices and the BUYER will commit to prevent corruption, in any form, by its officials, by

following transparent procedures.

The parties hereto hereby agree to enter into this Integrity Pact and agree as follows:

1. Commitments of the BUYER

1.1 The BUYER undertakes that no official of the BUYER, connected directly, or indirectly to the contract, will demand, take a promise for or accept, directly, or through intermediaries, any bribe, consideration, gift,

reward, favour or any material or immaterial benefit or advantage form the BIDDER, either for themselves,

or for any person, organization or third party related to the contract in exchange for an advantage in the

bidding process, bid evaluation, contracting or implementation process related to the contract

1.2 The BUYER will, during the pre-contract stage, treat all BIDDERS alike, and will provide to all BIDDERS the same information and will not provide any such information to any particular BIDDER which could afford

a particular advantage to that particular BIDDER in comparison to other BIDDERS.

1.3 All the officials of the BUYER will report to the appropriate Government office any attempt or

completed breaches of the above commitments as well as any substantial suspicion of such a breach.

1.4 In case any such preceding misconduct on the part of such officials is reported by the BIDDER to the

BUYER with full and verifiable facts and the same is prima facie found to be correct by the BUYER, necessary

disciplinary proceedings, or any other action as deemed fit, may be initiated by the BUYER and such a person

shall be debarred from further dealings related to the contract process. In such a case while an enquiry is

being conducted by the BUYER, the proceedings under the contract would not be stalled.

2. Commitments of BIDDERS

The BIDDER commits itself to take all measures necessary to prevent corrupt practices, unfair means and

illegal activities during any stage of its bid or during any pre-contract or post-contract stage in order to secure

the contract or in furtherance to secure it and in particular commit itself to the following:-

2.1 The BIDDER will not offer directly, or through intermediaries, any bribe, gift, consideration, reward,

favour, any material or immaterial benefit or other advantage, commission, fees, brokerage or inducement

to any official of the BUYER connected directly or indirectly with the bidding process, or to any person,

organization or third party related to the contract in exchange for any advantage in the bidding, evaluation,

contracting and implementation of the contract.

2.2 The BIDDER further undertakes that it has not given, offered or promised to give directly or indirectly,

any bribe, gift, consideration, reward, favour, any material or immaterial benefit or other advantage,

commission, fees, brokerage or inducement to any official of the BUYER or otherwise in procuring the

contract or forbearing to do or having done any act in relation to the obtaining or execution of the contract

or any other contract with the Bank for showing or forbearing to show favour or disfavor to any person in

relation to the contract or any other contract with the Bank.

2.3 BIDDERs shall disclose the name and address of agents and representatives and Indian BIDDERS shall

disclose their foreign principals or associates.

2.4 BIDDERs shall disclose the payments to be made by them to agents/brokers, or any other

intermediary, in connection with this bid/contract.

2.5 The BIDDER further confirms and declares to the BUYER that the BIDDER is the original manufacturer/integrator/ authorized government sponsored export entity of the defense stores and has not

engaged any individual or firm or company, whether Indian or foreign, to intercede of facilitate or in any way

to recommend to the BUYER or any of its functionaries, whether officially or unofficially to the award of the

contract to the BIDDER, nor has any amount been paid to any such individual, firm or company in respect of any such intercession, facilitation or recommendation.

2.6 The BIDDER either while presenting the bid or during the pre-contract negotiations or before signing the contract, shall disclose any payments he has made, is committed to or intends to make to officials of the

BUYER or their family members, agents, brokers or any intermediaries in connection with the contract and

the details of services agreed upon for such payments.

2.7 The BIDDER will not collude with other parties interested in the contract to impair the transparency,

fairness and progress of the bidding process, bid evaluation contracting and implementation of the contract.

2.8 The BIDDER will not accept any advantage in exchange for any corrupt practice, unfair means and

illegal activities.

2.9 The BIDDER shall not use improperly, for purposes of competition or personal gain or pass on to others, any information provided by the BUYER as part of the business relationship, regarding plans, technical

proposals and business details including information contained in any electronic data carrier. The BIDDER also

undertakes to exercise due and adequate care lest any such information is divulged.

2.10 The BIDDER commits to refrain from giving any complaint directly or through any other manner

without supporting it with full and verifiable facts.

2.11 The BIDDER shall not instigate or cause to instigate any third person to instigate any of the actions

mentioned above.

2.12 If the BIDDER or any employee of the BIDDER or any person acting on behalf of the BIDDER, either

directly or indirectly, is a relative of any of the officers of the BUYER, or alternatively, if any relative of any officer of the BUYER has financial interest/stake in the BIDDERS firm, the same shall be disclosed by the

BIDDER at the time of filing of tender.

The term „relative‟ for this purpose would be as defined in section 6 of the Companies Act, 1956.

2.13 The BIDDER shall not lend to or borrow any money from or enter into any monetary dealings or

transactions directly or indirectly with any employee of the BUYER.

3. PREVIOUS TRANSGRESSION

3.1 The BIDDER declares that no previous transgression occurred in the last three years immediately

before signing of this Integrity Pact with any other company in any country in respect of any corrupt

practices envisaged hereunder or with any Public Sector Enterprise in India or any Government department

in India that could justify BIDDER‟s exclusion from the tender process.

3.2 The BIDDER agrees that if it makes incorrect statement on this subject, BIDDER shall be disqualified

from the tender process or the contract, if already awarded, can be terminated for such reason.

4. EARNEST MONEY (SECURITY MONEY)

4.1 While submitting commercial bid, the BIDDER shall deposit an amount (to be specified in the RFP) as

Earnest money/Security deposit, with BUYER through any of the following instruments:

4.1.1 Bank draft in favour of Bank Of India issued by a Public Sector/Private Sector/Scheduled Commercial

Bank in India other than Bank of India

4.1.2 A confirmed guarantee by any Indian Nationalized bank, promising payment of the guaranteed sum

on demand within three working days without any demur whatsoever and without seeking any reasons

whatsoever. The demand for payment by the BUYER shall be treated as conclusive proof of payment.

4.1.3 Any other mode through any other instrument (to be specified in the RFP).

4.2 The Earnest money/Security deposit shall be valid unto a period of one years or the complete

conclusion of the contractual obligations to the complete satisfaction of both the BIDDER and the BUYER,

including warranty period, whichever is later.

4.3 In case of the successful BIDDER a clause would also be incorporated in the Article pertaining to

Performance Bond in the Purchase Contract that the provisions for Sanctions for Violation shall lie applicable

for forfeiture of Performance Bond in case of a decision by the BUYER to forfeit the same without assigning

any reason for imposing sanction for violation of this Pact.

4.4 No interest shall be payable by the BUYER to the BIDDER on Earnest money/Security deposit for the

period of its currency

5. SANCTIONS FOR VIOLIATIONS

5.1 Any breach of the aforesaid provisions by the BIDDER or any one employed by it or acting on its behalf (whether with or without the knowledge of the BIDDER) shall entitle the BUYER to take all or any one of the

following actions, wherever required:

5.1.1 To immediately call of the pre-contract negotiations without assigning any reason or giving any compensation to the BIDDER. However, the proceedings with the other BIDDER(s) would continue.

5.1.2 The Earnest Money Deposit, (in pre-contract stage) and/or Security Deposit Performance Bond (after

the contract is signed) shall stand forfeited, either fully or partially, as decided by the BUYER and the BUYER shall not be required to assign any reason therefore.

5.1.3 To immediately cancel the contract, if already signed, without giving any compensation to the

BIDDER.

5.1.4 To recover all sums already paid by the BUYER and in case of an Indian BIDDER with interest thereon

at 2% higher than the prevailing Prime Lending rate of State Bank of India, while in case of a BIDDER from a

country other than India, with interest thereon at 2% higher than the LIBOR.

If any outstanding payment is due to the BIDDER from the BUYER in connection with any other contract of

any other stores, such outstanding payment could also be utilized to recover the aforesaid sum and interest.

5.1.5 To encash the advance bank guarantee and performance bond warranty bond, if furnished by the BIDDER, in order to recover the payments, already made by the BUYER, along with interest.

5.1.6 To cancel all or any other contracts with the BIDDER. The BIDDER shall be liable to pay compensation

for any loss or damage to the BUYER resulting from such cancellation/ rescessation and the buyer shall be

entitled to deduct the amount so payable from the money(s) due to the BIDDER.

5.1.7 To debar the BIDDER form participating in future bidding processes of the Bank for a minimum period of five years, which may be further extended at the discretion of the BUYER.

5.1.8 To recover all sums paid in violation of this Pact by BIDDER(s) to any middle men or agent or broker with a view to securing the contract.

5.1.9 Forfeiture of Performance Bond in case of a decision by the BUYER to forfeit the same without assigning any reason for imposing sanction for violation of this Pact.

5.1.10 The BUYER will be entitled to take all or any of the actions mentioned at Para a) (i) to (x) of this Pact

also on the commission by the BIDDER or anyone employed by it or acting on its behalf (whether with or

without the knowledge of the BIDDER), of an offense as defined in Chapter IX of the Indian Penal code 1860

or Prevention of Corruption Act 1988 or any other statute enacted for prevention of corruption.

5.1.11 The decision of the BUYER to the effect that a breach of the provisions of this act have been

committed by the BIDDER shall be final and conclusive on the BIDDER. However the BIDDER can approach

the Independent Monitor(s) appointed for the purpose of this Act.

6. FALL CLAUSE

The BIDDER undertakes that it has not supplied/is not supplying similar product/system or sub-systems at a

price lower than that offered in the present bid in respect of any other Ministry/Department of the

Government of India or PSU and if it is found at any stage that similar products/systems or sub-systems was

supplied by the BIDDER to any other Ministry/Department of the Government of India or PSU at a lower price

then that very price, with due allowance for elapsed time, will be applicable to the present case and the

difference in the cost would be refunded to the BUYER by the BIDDER if the contract has already been concluded.

7. INDEPENDENT MONITORS

7.1. The BUYER has appointed Independent Monitors (hereinafter referred to as Monitors) for this Pact

in consultation with the Central Vigilance Commission (Names and addresses of the Monitors to be given).

7.2. The task of the Monitors shall be to review independently and objectively whether and to what extent

the parties comply with the obligations under this Pact.

7.3 The Monitors shall not be subject to instructions by the representatives of the parties and perform

their functions neutrally and independently.

7.4 Both the parties accept that the Monitors have the right to access all the documents relating to the

project procurement including minutes of meetings.

7.5. As soon as the Monitor notices, or has reason to believe, a violation of this Pact, he will so inform the Authority designated by the BUYER.

7.6 The BIDDER(s) accepts that the Monitor has the right to access without restriction all project

documentation of the BUYER including that provided by the BIDDER. The BIDDER will also grant the Monitor,

upon his request and demonstration of a valid interest, unrestricted and unconditional access to his project

documentation. The same id applicable to subcontractors. The Monitor shall be under contractual obligation

to treat the information and documents of the BIDDER/Sub-contractor(s) with confidentiality.

7.7. The BUYER will provide to the Monitor sufficient information about all meetings among the parties

related to the Project provided such meetings could have an impact on the contractual relations between the

parties. The parties will offer to the Monitor the option to participate in such meetings.

7.8. The Monitor will submit a report to the designated Authority of the BUYER/Secretary in the

department within 8 to 10 weeks from the date of reference or intimation to him by the BUYER or BIDDER

and, should the occasion arise, submit proposals for correcting problematic situations.

8. FACILITATION OF INVESTIGATION

In case of any allegation of violation of any provision of this Pact, or payment of commission, the BUYER or

its agencies shall be entitled to examine all the documents including the books of accounts of the BIDDER

and the BIDDER shall provide necessary information and documents in English and shall all possible help for

the purpose of such examination.

9. LAW AND PLACE OF JURISDICTION This Pact is subject to Indian law. The place of performance and jurisdiction is the seat of the BUYER.

10. OTHER Legal Actions- The actions stipulated in this Integrity Pact are without any prejudice to any other legal action that may follow in accordance with the provisions of the extant law in force relating to any

civil or criminal proceedings.

11. VALIDITY

11.1 The validity of this Integrity Pact shall be from the date of its signing and extend up to five years or the

complete execution of the contract to the satisfaction of both the BUYER and the BIDDER/Seller, including

warranty period, whichever is later. In case BIDDER is unsuccessful, this Integrity Pact shall expire six months from the date of the signing of the contract.

11.2 Should one or several provisions of this Pact turn out to be invalid, the reminder of this Pact shall

remain valid. In this case the parties will strive to come to an agreement to their original intentions.

This Integrity Pact is signed on

By:

ON BEHALF OF THE BUYER ON BEHALF OF THE BIDDER

Name of the Official Name of the Official

Designation Designation

Bank of India M/s

Signature of Witness 1 Signature of Witness 2 Name: Name:

Address: Address: