Retailer Outlet Agreement

Retailer Outlet Agreement

THIS AGREEMENT stands effective from the day You access or transact on the RO Portal which is deemed acceptance of the Terms mentioned below wherein your relationship with us will be governed by these Terms. You, being either an individual or company or a proprietor or a partnership concern represented by You or through its authorised signatory or proprietor or partner (as the case may be),(hereinafter referred to as “Retailer” or “RO” which expression shall unless repugnant to the context or contrary to the meaning shall include all its permitted assigns and successors) tend to get into an agreement with MILLENNIA GETWAY FINTECH PVT LTD, a company incorporated under the provisions of the Companies Act,

2013 having its registered/ corporate office at New Delhi (hereinafter referred to as the “Company”, which expression shall unless repugnant to the  context  or  contrary  to  the  meaning  shall  include  all  its  permitted  assigns  and  successors).

“Retailer”  and  “Company”  are  hereinafter  collectively  referred  to  as  “Parties”  and  separately  as “Party”.

WHEREAS:

A.  The RO wishes to become a retailer of Company for providing electronic prepaid products and  services,  banking  services  of  banks,  being  offered  by  Company  as  Business. Correspondent (“BC”) of banks from time to time.

B.  The  Company  wishes  to  appoint  the  RO  as  a  point-of-sale  retailer  for  electronically distributing the prepaid products/specified services of bank and/or specified services of banks through the Terminal Equipment (“TE”) / RO Portal or through internet as per agreed terms and conditions.

C.  The RO can order prepaid products or services or can carry out specified banking services of banks  using the TE supplied by the Company or through RO Portal or through  internet  or mobile in order to instantly download the same if sufficient balance  of the RO is available with the Company.

D.  The Parties accordingly wish to record the basis of their agreement and their respective rights and obligations as under.

NOW  THEREFORE,  IN  CONSIDERATION  OF  THE  RECITALS  SET  FORTH  ABOVE, THE  PARTIES’  MUTUAL  OBLIGATIONS  HEREUNDER,  AND  OTHER  GOOD  AND VALUABLE CONSIDERATION, THE PARTIES HEREBY AGREE AS FOLLOWS:

1.  DEFINITIONS 

In  this  Agreement,  except  where  the  context  otherwise  requires,  capitalized  words  and expressions shall have the meanings set out in this section:

a.  “Applicable  Law(s)”  includes  all  statutes,  rules,  regulations,  directives,  judicial pronouncements  an  administrative  guideline  that  may  be  in  force  in  India  including  the Payment and Settlement Systems Act 2007 and regulations thereto, Information Technology act, 2000(“IT ACT”)and includes Reserve bank of India (“RBI”) regulation including but not limited to RBI’s regulation on Domestic Money Transfer(“DMT”) guidelines as amended from time to time, Unique identification Authority of India (“UIDAI”) guidelines or  National  Payments  Corporation  of  India  (“NPCI”) procedural guidelines are for AEPS (“AEPS PROCEDURAL GUIDELINES”) and Aadhar pay, AADHAR(Target delivery of Financial and Other Subsidiaries, Benefits and Services) Act, 2016, and other allied acts and all  statutory  rules  framed  thereunder,  PMLA  and  related  rules,  Procedural  Guidelines  for Bharat Bill Payments System (“BBPS”) and/or service levels prescribed therein and any other legislation or regulation, rule relevant to the business of the Company as amended or modifies from time to time; Act, 2000 (“IT Act”) and includes Reserve Bank of India (“RBI”) Regulations including but not  limited  to  RBI’S  Regulations  on  Domestic  Money  Transfer  (“DMT”)  guidelines  as amended from time to time, Unique Identification Authority Of India (“UIDAI”) Guidelines as amended from time to time, Unique Identification Act, 2000 (“IT Act”) and includes Reserve Bank of India (“RBI”) Regulations including but not  limited  to  RBI’S  Regulations  on  Domestic  Money  Transfer  (“DMT”)  guidelines  as Procedural  Guidelines  for  AEPS (“AEPS  Procedural  Guidelines”)  and  Aadhaar  Pay,  Aadhaar  (Targeted  Delivery  of

b.  “Aadhaar Enabled Payments System (AEPS)”  means a payment service offered by NPCI which allows online interoperable financial transactions at Micro ATM/ tablet device or kiosk using the Aadhaar authentication to merchants, in accordance with Applicable Laws;

c.  “Aadhaar  Pay”  means  a  payment  system  offered  by  NPCI  enabling  Customers  to  pay for goods  and  services  purchased/  availed  by  them  through  biometric authentication  to merchants, in accordance with Applicable Laws;

d.  “Banks”  shall  mean  any  bank  which  is  represented  by  Company  as  their  “Business Correspondent”. It is also clarified that a RO shall not sell services or act as RO of any other BC or Bank.

e.  “Banking  Transactions”  means  availing  of  the  Services  as  more  specifically  defined  in Annexure 1;

f.  “Business Correspondent”  shall  mean  Company  engaged  by  YES  Bank  for  carrying  out banking/financial services as defined by RBI from time to time;

g.  “Commission” shall  mean the fee paid by the Company to the RO for the Services rendered herein which is subject to tax deduction at source;

h.  “Customer (s)” shall mean any applicant availing the Services of Bank through RO;

i.  “Customer Application Form (CAF)” means the application filled by the Customer (either electronically or physically) with the help of RO;

j.  “Government Authority” shall mean RBI, IRDAI, NPCI, Bharat Bill Payment Central Unit (BBPCU), UIDAI or any ministry, department, board, or any governmental instrumentality directly  or  indirectly  under  control  of  any  central,  provincial  or  local  government,  and includes any judicial bodies such as court, tribunal, or judicial or quasi-judicial body having jurisdiction;

k.  “Intellectual  Property  Rights  (IPR)”  means  all  intellectual  property  rights  and  includes without limitation copyrights, patents, trademarks, service marks, trade logos, database rights, rights  in  names,  characters,  artwork, trade  names  and rights  to extract data, registered and unregistered designs, trade secrets, applications for any of the foregoing and all other similar rights recognized as intellectual property rights;

l.  “Micro ATM or M-ATM” means a point of sales devices connected to banking network via General Packet Radio Service (GPRS) and capable to process online interoperable Banking Transactions;

m.  “Promotional  Materials”  includes  training  materials,  sales  kits,  banners,  brochures, information leaflets, advertisement  materials, user guides, products training materials, other literature  containing  products  specifications,  all  other  merchandising  materials,  software provided/licensed  by  Company  or  any  derivatives  or  improvisations  thereof  provided  by Company in relation to the Services;

n.  “RBI  Regulations”  shall  include  all  regulations,  guidelines,  directions,  circulars  or instructions issued by RBI and includes any amendments or modifications to the same from time to time;

o.  “Retailer Portal” or “RO Portal” shall mean a portal provided by the Company wherein the RO can transact and conduct transactions under this Agreement;

p.  “RO” shall mean such  ‘Retail Outlet’ or  merchant  establishment, which has been  identified and appointed by Company to promote, distribute and market retail sale of the Services apart from  discharging  other  duties  and  responsibilities  undertaken  by  them  including  cash collection, allocation of transaction limits and services support including assist in repair and replacement of biometric scanners t for and on behalf of Company as per Company business and rules/guidelines specified by Company and is willing or has entered into an arrangement with RMU to retail Company services. 

q.  “Training Module”  means  the  online  as  well  as  offline  training  module  to  be  mandatorily and successfully completed by RO which shall be designed in vernacular language wherever possible;

r.  “TE” or “Terminal Equipment” shall  refer to electronic hardware devices  that are capable of  accepting  the  input  of  data  and  communicating  such  data  to  various  remote  computer networks and interchanging information. Computer system with prescribed configuration and licensed  Operating  Software  (OS)  shall  refer  to  electronic  hardware  devices  capable  of receiving data, its process and communicating output data through internet having login ID and password to be provided by Bank for banking services.

2.  INTERPRETATION

In  this  Agreement,  unless  specified  otherwise:  (a)  “include”  means  “including  without limitation”; (b) singular includes plural, and vice versa; (c) reference to one gender  includes

the other; (d) any Schedules or Annexures to this Agreement shall form part and parcel of this Agreement and shall be read and construed in accordance with the terms and conditions of the Agreement;  (e)  reference  to  a  statute  or  a  statutory  provision  include  its  amendments, modifications,  re-enactments  and  consolidations;  (f)  the  Parties  have  negotiated  this Agreement in good faith and have jointly drafted the Agreement and accordingly, the rule of construction that an agreement should be interpreted against the Party responsible for drafting it will not apply to this Agreement and (g) in the event of any conflict between the terms in the main body of this Agreement and the Annexures to this Agreement, the terms in the main body of  this  Agreement  will  prevail to  the  extent  such terms are incapable  of  harmonious construction.

3.  SCOPE OF SERVICES

3.1.  Company hereby appoints RO for the purposes  of marketing, promoting and distribution of following  services  and  performing  such  other  services  in  the  Territory,  as  specified  by

Company from time to time (“Services”): 

a.  Identifying potential customers/prospects to avail the Services;

b.  Creating awareness about savings and other products as may be prescribed by Company from time to time;

c.  Processing and submission of Customer applications to Company;

d.  Create awareness about other third-party products including insurance, mutual funds, loans, pension products including Atal Pension Yojana, Pradhan Mantri Jeevan Jyoti Bima Yojana and government schemes as may be permitted under Applicable Laws;

e.  Receive, deliver and facilitate remittances/ other payment instruments;

f.  To perform all activities relating to the marketing promotion and distribution of Services;

g.  To facilitate various Banking Transaction(s) including-

i.  identification of account holders and fitment of activities;  

ii.  facilitate opening of bank accounts of the Customers;

iii.  facilitation  of cash deposit and cash withdrawal from the accounts by the Customers  or on behalf of the Customers as per the approved procedure; and

iv.  facilitation of cash drop or cash management services through collection of funds and deposits to  entities/businesses  as  per  the  approved  procedures  and  arrangements  provided  in accordance with Applicable Laws;

h.  Facilitate  Banking  Transactions  through  AEPS  or  Aadhaar  Pay  or  bill  payments  through Bharat Bill Payment Systems, or any other modes of payments as may be authorized by the Company to be performed by RO and in accordance with Applicable Laws; and

i.  Any  other  service  that  may  be  instructed  by  the  Company  to  RO  in  writing  (whether  in electronic form or otherwise), which the Company is permitted to perform from time to time as per Applicable Laws.

However, the Services mentioned above are not exhaustive. The Company may revise it from time to time.

3.2.  RO shall work in coordination with the Company or any designated body as the case may be from time to time.

3.3.  This Agreement neither confers any exclusive right to RO to market Services nor gives any territorial right to RO in the area allocated to RO to deliver the Services.

4.  ROLES AND RESPONSIBILITIES OF RO    

4.1.  RO shall be diligent and honest in provision of Services and in representing the Company and hereby  represents  that  it  will  not  introduce  any  products/process  without  the  prior  written approval of Company;

4.2.  RO shall represent the Company only for the purposes of opening of bank accounts and at the point of customer’s interface;

4.3.  RO  shall  not  engage  in  the  business  of  providing  same  or  similar  services  to  any  person/ entity to that of the Services without the prior written consent of the Company;

4.4.  RO  represents  that  it  is  eligible  under  Applicable  Laws  to  be  appointed  as  a  RO  and represents  that  in  provision  of  Services,  RO  itself  and  will  ensure  that  RO  will  be  in compliance with this Agreement and any further instructions or guidelines or policies issued by Company from time to time.

4.5.  RO while providing the Services will comply with the Applicable Laws as may be applicable, including BBPS standards, AEPS Procedural Guidelines and other procedural guidelines and inter-operability  standards  and  service  levels  as  prescribed  under  Applicable  Laws  and resolution of grievances as per the service levels prescribed by the Government Authority;

4.6.  RO  shall  maintain  adequate  and  independent  manpower  and other  infrastructure  to deliver Service (a) Laptop/desktop with adaptor- Dual Core, free from computer virus or computer containments,  malware,  viruses,  black  boxes,  trapdoors  etc.;  (b)  power  back  up;  (c)  smart phone;  (d)  printer,  scanner  and  photocopier;  or  (e)  biometric  authentication  device  for  the purpose of this Agreement is compliant in accordance with Applicable Laws including UIDAI and  NPCI  specifications  or  any  other  hardware  or  software  as  may  be  required  by  the Company.

4.7.  RO  shall  provide  necessary  system  access  to  Company  for  providing  the  Services  and  all Services  shall  be  provided  solely  through  Company’s  Software/portal  or  will  be  recorded therein and no offline transactions will be carried out by the RO. Company may require the RO to obtain biometric devices, if need be, which RO agrees to obtain at its own cost as and when requested by the Company. It will be responsibility of the Company to ensure that the connectivity  of  the  above  mentioned  equipment  should  be  strong  and  meet  bandwidth requirements for smooth facilitation of Services. RO shall be responsible for the maintenance and repair of all equipment in their custody.

4.8.  The books of accounts, requisite records, registers, additional records which may be required to be maintained under GST requirements etc., shall at all times be maintained and preserve by RO as may be prescribed by Company and provided under Applicable Laws. RO agrees to submit  all necessary document(s), paper(s), proof(s), information  and agreement as may be required by Company from time to time.

4.9.  RO  shall  not  offer  the Services  at  a  price  higher  than  the  maximum  price  or  value  of the Service as stipulated by the Company.

4.10.  RO shall ensure that the CAF is complete in all respects as per the applicable provisions of Know Your Customer (KYC) norms/ Anti-Money Laundering (AML) standards/combating of Financing of Terrorism (CFT)/ obligation of company under PMLA. Company may reject any incomplete  forms  or  where  the  documents  do  not  match  the  information  provided  by  the customer RO will ensure that (a) Customer’s recent photograph is affixed  on the CAF; (b) Customer’s  photograph  on  the  CAF  is  to  be  tallied  with  the  photograph  on  the  proof  of identity  (c) in  case  e-KYC  authentication cannot  be  performed  or  in  case  Customers  give another  officially  valid  documents  for  opening the bank  account, RO  will collect  certified copy of the officially valid documents from the Customer, which will then be originally seen and verified as per RBI Regulations by an authorized officer of the Company in accordance with  RBI  Regulations.;  and  (d)  details  on  the  CAF  tally  with  the  details  on  the  proof  of identity documents submitted by the Customer.

4.11.  RO shall ensure, in case of failed/returned/rejected/cancelled Banking Transactions, that the amount equivalent to the Banking Transactions Value is credited back to the concerned user or Customer’s account, immediately. RO shall maintain proper records and provide receipts to the  Company  and  promptly  provide  complete  details  of  such  returns/refunds  as  and  when called for by the Company or Governmental Authority.

4.12.  RO shall furnish instant confirmation of payments made/success of Banking Transaction via a payment receipt/confirmation message to the Customers. The receipt could be in physical or electronic form (SMS/ email etc.) as per Applicable Laws and a digital copy of the receipts must be shared with the Company on a daily basis for all the transaction in one day.

4.13.  RO undertakes that it shall not share the login credential provided to it by the Company to perform Services herein. Any breach of the aforesaid will entitle the Company to terminate this Agreement in addition to forfeiting the security deposit or any payments due to the RO, other than taking legal actions against the RO. 

4.14.  RO shall maintain updated records of Customer’s initiated Banking Transactions.

4.15.  RO shall take all care and caution in entering the Customer’s details for Banking Transactions in the TE/ RO Portal. RO shall be solely responsible to resolve issues arising out of incorrect details and the Company would not have any liability in such cases.

4.16.  RO Agents employed by or acting under the authority of the RO shall not be deemed to be employees  of  the  Company  and  the  RO  assumes  full  responsibility  for  their  actions, supervision  and  control  including  all  matters  and  Applicable  Laws  in  relation  to  their employment or engagement. 

4.17.  RO  shall  manage  and  handle  cash  to  ensure  adequate  cash  positions  is  maintained  by  to ensure  Service  delivery  to  Customers.  RO  will  ensure  that  all  the  terms,  conditions  and obligations in this Agreement as are applicable to RO will also apply to RO Agents mutatis mutandis.

4.18.  RO shall ensure that the Customers are intimated in writing about the terms and conditions of the  Services,  customer  grievance  redressal  mechanism,  forfeiture  policy  and  such  other policies, as mandated by RBI.

4.19.  RO  shall  ensure the  availability of  Services for  sufficient  hours  on  any working  days.  RO shall not deny Services authorized by Company to the Customers, without any reason beyond its control. In the event of any non-adherence to this Clause, Company will have the right to take  appropriate  action  against  the  RO  at  its  sole  discretion  including  but  not  limited  to termination of this Agreement.

4.20.  RO shall make sure that transaction is carried out in supervised environment and shall ensure that the Customer is using his/her fingerprint for  authentication and nothing is morphed on his/her finger nor using a silicon finger. RO shall ensure that the Customer is not using any wax coating, or using fingerprint imprint of any other person using any other device or by any method whatsoever. RO shall ensure that after each transaction should immediately wipe the fingerprint reader sensor.

4.21.  RO  shall  enter  into  transactions  only  in  Indian  Rupees,  unless  otherwise  permitted  by  the Company in writing in advance.

4.22.  RO shall ensure that the biometric put by the Customer is not forced or coerced by another person to put his/her biometric or biometric of other person. 

4.23.  In relation to AEPS transactions, the RO shall execute a request/instruction received from the Customer unless: (a) the funds available in the account of the Customer are not adequate or funds  are not properly applicable/available to comply with such request/instruction; (b) the request is incomplete or it is not issued in the agreed form; (c) the RO has reason to believe that the  request  is issued  to carry out  an unlawful or  illegal transaction;  or  (d) the  request cannot be executed under the Applicable Laws.

4.24.  RO  shall  not  charge  any  wrongful  amount  to  the  Customer  or  discriminate  against  the Customers in any way for using TE/ RO Portal.

5.  ROLES AND RESPONSIBILITIES OF THE COMPANY

5.1.  Company shall undertake and perform the following specific operations, duties and functions:

a.  give RO all support necessary for the  delivery of Services and supply such information as requested by RO for carrying out RO’s duties and obligations under this Agreement;

b.  provide Training Module and Promotional Materials to RO;

c.  monitor and supervise ROs and introduce them to the members of public;

d.  attend to queries, grievances and disputes emanating from Customers in relation to Services;

e.  ensure compliance with RBI Regulations and other statutory and regulatory bodies;

f.  notify RO of any changes in the prevailing RBI Regulations and pertaining to RO and both Parties shall work together to identify the impact of such changes;

5.2.  Company reserves the right to offer/continue to offer and/or discontinue offering the Services through the ROs at any time for any reason(s) as may be deemed fit by Company, from time to time by intimating the ROs of any such act.

5.3.  Company shall convey guidelines about (i) the applicable provisions of Know Your Customer (KYC)  norms/  Anti-Money  Laundering  (AML)  standards/combating  of  Financing  of Terrorism (CFT)/ obligation of company under PMLA stand complied with all times along with the consequent liabilities for any kind of non-compliance of such guidelines.

 5.4.  Company has a right to recover from the RO any amount due or as may accrue due to default on the  RO  including amount  erroneously credited  into the  account of  the  RO without  any consent.

6.  DISPENSATION OF SPECIFIED BANKING SERVICES

6.1 Company shall have exclusivity at the RO for banking services. RO shall source and provide services of the bank authorized by Company only.

6.2 RO must  have  a  reasonably  good  computer  system  with  licensed  software  and  adequate antivirus software to run the Company’s prescribed program. The cost and maintenance of computer  system  and  software  shall  be  borne  by  RO.  Any breakdown in  hardware  and software  should  be  promptly  informed  to  Company.  RO shall be  provided  necessary guidelines and support besides training to start business effectively.

6.3 RO shall maintain secrecy of transaction carried by its customers according to Fair Practice Code of Indian Bank’s Association (IBA). It will not resort to harassment and intimidation for lending and collection of dues from borrowers of its customers, relatives, or their friends.

6.4 RO  shall  issue  receipts of transactions to  customers  generated through system.  If manual receipts are issued, the responsibility of such shall be of RO and non-compliance will result in termination of RO Agreement at the sole discretion of Company.

6.5 RO shall, without fail, deposit any or all money received from the customers or end users in the authorized bank within 24 hours of the receipt of such money by him and duly receipted as above. Any breach of this obligation shall constitute a material breach of this Agreement on his part. In case of illiterate customers, the RO shall follow guideline of IBA, RBI or the Bank issued from time to time.

7.  REPRESENTATIONS

7.1.  RO represents and warrants that RO does not have any criminal proceeding pending against it and further represents, warrants and declares that RO is not involved in any criminal offence or otherwise, is  not a  party to  or  subject  to,  any  bye-law,  law, dispute,  injunction  or order which  would  be  contravened  or  breached  or  which  may  have  a  material  adverse  effect  or impede in any manner the performance of the terms herein. 

7.2.  RO agrees that the Company has full right to monitor and assess the performance of Services provided  by  the  RO  under  this  Agreement  and  wherever  the  Company  discovers  any deficiency or non-performance of the Services by RO, the Company shall instruct the RO, in writing,  regarding  the  same  and  RO  agrees  to  rectify  the  deficiencies  or  to  ensure  the compliance of the instructions of the Company.

8.  PROVISION OF TERMINAL EQUIPMENT/ RO PORTAL AND SOFTWARE

8.1.  The Company will grant access to the RO to an RO portal to undertake transactions herein. Any non-compliance by RO will entitle the Company to suspend access to the RO portal.

8.2.  The Company agrees to supply, install, integrate and commission a Terminal Equipment (TE) with  requisite  software  at  the  RO/  RO  Portal  or  through  Internet  or  mobile  phone  that  is capable of communication with the servers or network of the Company. This is required for acceptance of orders of stock of prepaid products or services, electronic delivery of stock and dispensing  electronic  prepaid  products  or  services  or  downloading  or  printing  PINs  for purchase  by  end-users  of  prepaid  products  or  services  for  facilitating  specified  banking transactions by electronic dispensing of Services to the end users. The TE shall be available both  under  rental and  purchase  options for  the RO. In the  event  RO  obtains  the  TE  under rental model, it shall be required to return the TE on termination or request by the Company. The Company reserves the right to confiscate the TE is RO is in breach of this agreement. The purchase price or rent of the TE shall be as per specified in Annexure 2.

8.3.  The  TE/  RO Portal  or  Internet or  Mobile Phone  shall  be operated at the  RO’s  cost and RO shall purchase or lease the TE from the Company. Company does not provide any warranty or guarantee in the TE and is provided  on AS IS basis. Company may  levy software charges from RO as per circulars or notifications issued from time to time. 

8.4.   RO shall have and retain ownership to the TE purchased by the Company. It is understood that TE provided to the RO on lease shall remain the property of the Company. 

8.5.  The login credentials provided to the RO for transacting on RO Portal or through TE shall be kept confidential at all times and shall not be shared with anyone failing  which, Company shall  have  the  right  to  terminate  this  Agreement  without  incurring  any  liability  and confiscating the security deposit and TE.

8.6.  It is agreed that Company shall be entitled to restrict or suspend ROs access to the RO Portal in case of Customer complaint, fraud or suspicious transactions.

8.7.  The RO is not permitted to transfer or shift the TE from one place to another place without the prior written approval of the Company.

8.8.  Ownership and copyright to any software program associated with TE shall vest solely with the Company. The RO shall be responsible and held liable for any unauthorized copying or modifications thereto.

9.  MINIMUM BALANCE AND TRADING ACCOUNT

9.1.  RO shall ensure that it has adequate balance i.e. earnest money deposit with Company and cash for facilitating Services and  will be responsible for financial settlement between  itself and  Company. This balance will  be used  for the  purpose  of depositing  the  funds  from  the Customers  for  deposit  in  and  withdrawal  out  of  their  savings  account  and  payment  for insurance  premium  or  fees/commissions  for  any  other  third-party  product  sold  by  the Company and for the provision of Services. This arrangement will be on pre-paid model and RO shall ensure that the balance maintained by RO with the Company is at least the amount specified by the Company to RO in writing (electronically or otherwise on the portal) so that Services  to  the  Customers  are  not  interrupted  in  any  scenario  and  such  balance  shall  be reviewed by both the Parties during the subsistence of this Agreement. RO shall at all times ensure that this amount should never go below a threshold amount as may be specified by the Company from time to time to RO in writing which will be a trigger for RO to relinquish the amount to bring it to the specified threshold.

9.2.  RO  shall  deposit an interest free  refundable  security  deposit  amounting  to INR [•]  with  the Company for due performance of the Agreement and to secure the Company against any loss or damage caused to the Company on account of breach of this Agreement by the RO. The security  deposit  shall  be  refundable  by  the  Company  to  RO  on  the  termination  of  this Agreement after adjustments of any dues payable by the RO as mentioned herein. In case of forfeiture, the RO shall immediately credit the amount debited from the Security Deposit to ensure  that  the  Security  Deposit  is  never  short  of  the  required  amount.  RO  shall  provide additional interest free security deposit, as and when, intimated by the Company, in view of the business requirements and transactions between the Parties within a period of thirty (30) working  days  of  written  intimation  by  the  Company  to  the  RO.  RO  will  be  required  to replenish the interest free security deposit from time to time for the said business purpose and provision of Services failing which, the Company may terminate this Agreement. 

9.3.  The Company shall be entitled to set off/deduct, forfeit or recover from the trading amount deposited by the RO for the loss caused due to fraud, failure, non-compliance or Customers claim within six (6) months of report of such incident. This clause will survive the termination of this Agreement.

10.  MIS SERVICES

RO  shall  maintain  and  furnish  to  the  Company,  the  services  and  functions  relating  to management  information  systems  of  the  Services  provided  by  RO  (“MIS  Services”) including the number of transactions done each day, type of services offered to the Customers and the amount received or deposited, if any. There shall be reconciliation  of management information  systems  on  30th day  of  each  month  wherein  Company’s  record  will  take precedence  in  the  event  of  a  conflict  between  the  management  information  systems maintained by Company and RO.

11.  COMMERCIAL AND PAYMENT TERMS

11.1.  In consideration of the Services, a Commission as determined by Company and as mentioned in Annexure 2 shall be payable by the Company to the RO. RO will not directly or indirectly charge the Customers any fee for Services rendered by RO on behalf of the Company other than the Service Charge levied by the Company for such services.

11.2.  It is mutually agreed that all expenses incurred by either party for rendering of said Services shall be to the account of that party only. No costs, payments and expenses (including any expenses incurred for entering into this arrangement) shall be borne by the Company unless specifically mentioned in this Agreement or mutually agreed by Parties in writing. RO shall deposit non-refundable enrolment fee specified by the Company for the Services, marketing and other technology support services to be rendered on behalf of the Company.

11.3.  RO  will  raise  complete  invoice  in compliance with Applicable Laws (“Invoice”).  Company will  make  the  payment  within  thirty  (30)  working  days  post receipt  of  the  invoice  by  the Company. The invoice will be raised by RO to the Company from time to time  on mutually agreed terms. 

11.4.  RO  shall  be  liable  for  compliance  and  payment  of  all  Taxes  or  any  other  charges  for  the provision  of  Services.  Company  shall  deduct  TDS,  or  any  other  applicable  Taxes  as  per Applicable Laws from the payments due to RO by the Company.

11.5.  RO agrees to comply with all the requirements mandated under the GST laws, including filing valid tax returns relating to its transactions with Company. In case any credit, refund or other benefit under GST is denied to Company or is delayed due to non-compliance by the RO or due to non-furnishing or furnishing of incorrect or incomplete documents by the RO with the Government or Company, RO agrees to indemnify, defend and hold harmless Company and reimburse Company for the loss including any loss in tax, interest, penalty, reasonable costs or expenses  of any  nature, whether  accrued,  contingent  or  otherwise;  including  reasonable attorneys’ fees and costs.

11.6.  Company shall at the time of making payments to the RO, be entitled to set-off, deduct, adjust any amount due and payable to the Company by the RO under this Agreement or under any obligation due towards RO under any other agreement or arrangement.

11.7.  Notwithstanding anything contained in this Agreement, in case, any claim of input tax credit of  GST  is  not  made  available  to  the  Company  due  to  any  non-compliance  of  GST  Act including  as  amended  from  time  to  time,  by  RO,  Company  shall  have  the  right  to  set off/adjust/reduce the amount of GST credit which is not available or which is so denied by an appropriate Government Authority, against any payment of the amount due to RO along with interest, penalty or any other cost charged to the Company. It is agreed by Parties that such withholding/setting-off of payments for the aforesaid reason by Company shall not be breach of its obligations under this Agreement. RO shall not claim any interest or other charges from Company for withholding/setting-off the payments for the above reason. 

12.  CUSTOMER GRIEVANCES

12.1.  Company  will  ensure  that  all  queries  or  grievances  of  the  Customers  in  relation  to  the Services are  duly  addressed  and  ensure that  RO  take adequate steps/measures for the  said purpose  including  educating  general  public  and  Customers  adequately  on  the  Services  or features or interest rates or applicable bank charges and grievance redressal. RO undertakes to extend full co-operation to Company to redress the Customer grievances. If RO has reasons to believe  that  Customer  is  making  false  demands  or  claims,  RO  should  immediately  notify Company. RO shall not directly enter into any settlement with the Customer and route any grievance received by it to the Company.

12.2.  RO shall promote and educate Customers and prospective Customers with respect to: (a) the Service; (b) all  new product  features,  promotional schemes  and other  enhancements  to the Service; and (c) business, brands and goodwill including prominent display at RO Premises of Promotional Materials and participation in sales promotion exercises and schemes undertaken by the Company from time to time. RO shall ensure that all Services or products reach to the Customer in perfect appearance and usable condition. 

12.3.  In the event of any dispute arising between the RO and a customer or prospective end-us the  RO  shall  forthwith  inform  Company  and  provide  Company  with  details  of  the circumstance  of the  dispute and  shall  not  institute proceedings in  respect  of it  without  the prior written consent of Company. If any legal proceeding is instituted by any Customer, RO shall immediately intimate the same to Company and provide all documents and information to enable Company to take appropriate action. Company shall not be liable for any dispute arising  between  RO  and  any  other  entity  or  any  disputes  arising  in  connection  thereof   including any civil or  criminal  action initiated by any Customer  against RO for its acts or omissions. Company will not  make any representation to Customers or otherwise give any warranties  other  than  those  contained  in  the  standard  terms  and  conditions  laid  down  by Company

13.  PROMOTIONAL MATERIAL

RO shall ensure that Promotional Material are prominently displayed in the premises at which the Services are offered to Customers. RO are required to display a signage in local language (vernacular) indicating their status as RO along with the name of the Bank, contact details and Banking Ombudsman of that area. RO shall for the purposes of creating market awareness, keep sufficient number of Professional Materials in its possession and provide the same to prospective Customers. Promotional Materials shall be supplied by the Company to RO. RO shall  use  all  reasonable  efforts  to  return  the  Promotional  Materials  lying  with  the  RO  to Company  on  the  termination  of  this  Agreement.  RO  is  advised  to  inform  Company  for additional stock well in advance to ensure availability at all times.

14.  PERFORMANCE TARGETS

RO  acknowledges  that  continuity  of  Services,  and  quality  of  Services  are  essence  of  this Agreement. No temporary or permanent suspension of Services are permitted unless in case of Force Majeure Event. Company shall specify the service levels in relation to the Services in  discussion  with  RO  from  time  to  time  in  writing.  Notwithstanding  anything  contained elsewhere in the Agreement, such service levels shall form part of this Agreement and shall be strictly adhered to by the RO. RO agrees to use its best efforts to meet performance targets advised by Company from time to time and agreeable by RO. Company will be entitled to continuously  and  regularly  monitor  and  assess  the  Services  performed  by  RO  so  that necessary coercive actions can be taken immediately by the Company. In the event, the RO fails to adhere to the same, the Company will be entitled to take appropriate action against the RO including but not limited to termination of the  Agreement and levy penalty in terms of Clause 19 of this Agreement.

15.  INFORMATION

15.1.  On entering into this Agreement, the RO shall provide Company such information which may assist Company to influence the conduct of its business, immediately on becoming aware of

the same. The RO shall also pass on any information that it may become aware of, which is

likely to affect the provision of the Services.

15.2.  RO  shall  submit  reports  and  other  information  related  to  the  business  and  Services  in  the format and timeframe as intimated by Company from time to time.

15.3.  RO shall, as agreed by Parties, provide an estimate of the volume of orders to be placed with Company for the ensuing month, item wise, but such estimate shall not be binding on either Party and the RO shall furnish an analysis of business carried out by it to the Company.

16.  VERIFICATION OF IDENTITY OF CUSTOMERS

16.1.  RO hereby undertakes that it has read and understood the RBI Regulations (other regulatory body  wherever  applicable)  and/or  as  informed  by  the  Company  with  respect  to  the  KYC guidelines  in  relation  to  the  Customers  at  the  time  of  activating  the  Services  for  the Customers.  RO  shall  comply  with  the  applicable  provisions  of  KYC  norms/  Anti-Money

Laundering  (AML)  standards/Combating  of  Financing  of  Terrorism  (CFT)/  Obligation  of banks under PMLA and RBI Regulations and any amendments thereto at all times. RO shall be responsible to exchange any soiled or torn currency notes submitted by Customers so as to not  cause  any  inconvenience  to  the  Customers.  Further,  Company  will  in  no  event whatsoever, be responsible for any counterfeit or fake currency notes submitted by Customers to the RO.

16.2.  RO shall also comply with requirements of the Company with respect to, inter-alia, filing of CAF, procurement of identification and/or address proofs, photographs of present Customers and for new Customers for the purpose of verification of the Customers prior to giving any Customer connectivity to the Services. RO undertakes to keep the Customer Registration and KYC  related  documents  in  its  safe  custody  and  to  provide  to  Company  as  per  the instruction(s)  of  the  Company  issued  from  time  to  time.  In  case  of  failure  of  duties  and obligations,  hereunder,  shall  constitute  a  material  breach  of  its  obligation  under  this Agreement.

17.  RELATIONSHIP

This Agreement is being entered on a Principal-to-Agent basis and RO shall act as an agent of Company within the limits of authority hereby conferred under this Agreement to RO by the Company. This Agreement does not create employer-employee relationship between the RO and the Company. This Agreement is being entered into on arms-length basis and RO is not related party of the Company under the Applicable Laws.

18.  INDEMNITY

18.1.  The  RO  shall indemnify the  Company  against  all  claims,  actions,  proceedings, demands, liabilities of damages made or levied against Company by any third party or Customer or end user  arising  out  of  relating  to  discharge  of  its  obligations  by  the  RO.  This  indemnity specifically covers and includes any claim or loss suffered or damages imposed on Company arising out of any alleged or proven misappropriation of funds obtained by RO in the course of any transaction of Services offered or carried out pursuant to this Agreement.

18.2.  Notwithstanding  anything  contained  in  this  Agreement,  Company  or  its  affiliates  or subsidiaries shall not be liable to the RO for any incidental, indirect, consequential or special or punitive damages  of any  kind  or of loss of revenue  or business opportunities or loss of profits arising out of or related to any performance under or breach of this Agreement.

18.3.  This clause and any other indemnities provided by the RO in this Agreement elsewhere shall survive the termination of this Agreement.

19.  PENALTIES

19.1.  The Company reserves the right, at its sole and absolute discretion, to disconnect or suspend this arrangement to the RO without explanation and without notice, should the RO not fulfil any of his obligations herein or should the Company suspect that the RO is not acting in good faith or should any fraudulent activity be suspected  or  for any reason  whatsoever. The RO shall be  liable  for  any  amount due  or  those that  have  become  payable  prior to the  date of suspension/disconnection.

19.2.  The  Company  has  the  right  to  forfeit  the  security  deposit  of  the  RO  along  with  unused Trading Balance  in case the RO neither has done any transactions using the  TE/RO Portal during  the  last  thirty (30)  days  nor  has  returned the  TE  in good  working condition  to the Company.

19.3.  Subject to the terms of this Agreement, the amount of security deposit shall be returned to the RO upon termination of this Agreement only on fulfilment of all the obligations by the RO a stipulated herein.

19.4.  The Company reserves the right to offset any payment due to it from the security deposit if any, payable to the RO and shall also be entitled to appropriate, without prejudice, any such payment  to  any  other  liability,  which,  at  its  own  discretion  it  deems,  the  RO  owes  to  the Company.

20.  INTELLECTUAL PROPERTY

Any and all trademarks, trade names, logos, service marks, trade dress or other proprietary indicia of Company (collectively the “Company Marks”) are and shall remain the exclusive property of Company. RO has no rights in and to the Company Marks and may not utilize the Company  Marks  for  any  purpose  without  the  prior  written  consent  of  Company.  Any unauthorized  use  or  misuse  of  the Company Marks shall  constitute  an infringement  of  the Company’s rights in and to the Company Marks and shall constitute a material breach of this Agreement. Either Party hereby grants to the other Party a non-exclusive, royalty-free, limited license to use, display and reproduce the Company Marks of other party solely in connection with  purpose  of  the  Agreement.  Each  Party  shall  prominently  display,  on  the  Website  or Mobile App or any other media in offline or online marketing materials if so requested by other  party. Any  usage  shall be in  compliance  with  such approval and  policies  as  may be notified from time to time.

21.  TERM AND TERMINATION

21.1.  This  Agreement  shall  remain  valid  and  operative  for  a  period  of  [•]  years  from  the  date  of acceptance of this Agreement, unless sooner terminated as provided herein. 

21.2.  RO  may  terminate  this  Agreement  by  a  prior  notice  of  sixty  (60)  working  days  to  the Company, provided  that the  Company  may terminate  this Agreement,  for convenience, by giving seven (7) working days prior notice to RO without assigning any reasons there of. 

21.3.  Company  reserves  the  right  to  terminate  the  Agreement  forthwith  anytime  during  the subsistence  of the  Agreement  in case  the RO does  not  comply with any  of  its obligations under  this  Agreement.  Company  may  terminate  this  Agreement  by  notice  in  writing  (the“Termination Notice”) to RO if the RO (a) commits a material breach of its obligations under this  Agreement  and has  failed  to  remedy such breach, if  the breach is  capable  of remedy, within seven (7) days of being specifically required in writing to do by Company. In such an event,  the  Agreement  shall  stand  terminated  at  the  end  of  such  notice;  (b)  makes  an assignment for the benefit of creditors generally; (c) RO is subjected to any decision, ruling,judgment,  order,  law,  regulation,  decree  or  other  intervention  of  a  regulatory  authority  or government which prevents or materially affects its continued involvement in its business in relation to this Agreement; or (d) undergoes liquidation, insolvency, voluntary or involuntary winding up, except winding up in the course of an amalgamation or merger.

21.4.  Company shall have the right to suspend operation of this Agreement without prior notice by sending an email to this effect to RO in case of any of the following circumstances: (a) when ‘fraud, forgery, scam, infringement of intellectual property of the Company in which direct or indirect involvement of RO either reported or suspected; or (b) in case of defamation of the Company.

21.5.  Upon termination of this Agreement for any reason whatsoever:

a.  All transactional amounts shall be transferred by RO to the account of Company no later than within forty-eight (48) hours of termination;

b.  RO shall for all requisite purposes cease to represent Company in any manner whatsoever and shall immediately cease to use of the Intellectual Properties of Company and shall return to Company,  in  good  condition,  all  Promotional  Materials  and  Confidential  Information  post retaining  the  copy thereof as  per the  Applicable  Laws.  In case  of failure by  RO  to return unused Promotional Materials, Company shall deduct the value of such materials or any other material lying with RO from the security deposit or any such amount due and payable by the Company to RO;

c.  RO shall immediately cease to access and use the TE/RO Portal shared for the purpose of this

Agreement;

d.  RO shall immediately discontinue the provision of Services. However, RO will complete the

Services pending completion prior to termination;

e.  RO’s rights under the Agreement shall cease and no payment whatsoever shall be due to the

RO for loss of goodwill, anticipated profits and any other claims or losses in respect of such

termination. RO hereby waives any claim to receive any compensation as a consequence of

termination of this Agreement; and

f.  RO  shall  not  be  entitled  to  claim  from  Company  any  compensation  for  costs  or  expenses incurred  by it  in  either  the  setting up  or  promotion  of its business or  for any  other  matter relating to its appointment as the RO.

22.  CONFIDENTIALITY

22.1.  Each  Party  agrees  that  any  disclosure  and/or  return  of  information  by  a  party  under  this Agreement shall maintain the confidentiality of protecting and preventing any unauthorized disclosure, copying, use, distribution or transfer of possession of any such information. All right,  title  and  interest  in  and  to  the  Disclosing  Party’s  Confidential  Information  and  all Intellectual  Property  Rights  therein  shall  remain  with  the  Disclosing  Party. The  Receiving Party will not use any Confidential Information for any purpose other than to carry out the activities  contemplated  under  this  Agreement.  Each  Party  agrees  to  use  commercially reasonable efforts and have measures in place to protect Confidential Information of the other Party, and in any event, to take precautions no less stringent as those taken to protect its own Confidential Information of a similar nature, which shall always be of at least a reasonable standard.

22.2.  The restrictions set forth in this Clause will not apply to any information that: (a) was known by the Receiving Party without obligation of confidentiality prior to disclose thereof by the Disclosing Party; (b) was in or entered the public domain through no fault of the Receiving Party; (c) is disclosed to the Receiving Party by a third party legally entitled to make such disclosure without violation of any obligation of confidentiality; (d) is required to be disclosed by  Applicable  Laws  or  regulations  (but  in  such  event,  only  to  the  extent  required  to  be disclosed,  and  provided  that  the Disclosing Party is given a reasonable opportunity,  where legally permissible, to seek a protective order in respect of such Confidential Information; (e) is  independently  developed  by  the  Receiving  Party  without  reference  to  any  Confidential Information of the Disclosing Party; or (f) is authorized for disclosure to a third party at the direction of the Disclosing Party, provided that the foregoing exception shall only apply to the third party specified by the Disclosing Party for that particular disclosure.

22.3.  This Clause will survive the termination of this Agreement.

23.  ETHICS AND CODE OF CONDUCT

23.1.  RO  shall  provide  all  possible  assistance  to  each  other  in  order  to  investigate  any  possible instances of unethical behaviour or business conduct violations by an employee or agent of the other Party. Either Party will disclose forthwith any breach of these provisions that comes to their knowledge to allow for timely action in their prevention and detection.

23.2.  RO will adopt appropriate processes to prevent offering any illegal gratification in the form of bribes  or  kickbacks in  the  course of  all dealings with the  Company  and  undertakes not  to accept  any  gift,  commission  or  any  sort  of  gratification  from  any  person  dealing  with  the Company.  In  case  of  any  such  offerings,  RO  shall  immediately  report  the  same  to  the Company. Any instances of such violations will entitle the Company to take all appropriate actions or remedies under Applicable Laws or steps to terminate the Agreement.

23.3.  RO  shall  ensure  that  Services  are  performed  with  personal  integrity,  privacy  and  personal rights of every individual.

24.  REVIEW AND AUDIT

24.1.  During the subsistence of this Agreement on such frequency and manner as may be decided by  the  Company  or  on  RBI’s  instruction  or  persons  authorized  by  RBI  or  any  other Government Authority or statutory or regulatory authority will have the right to access, audit, inspect, investigate and make copies or extracts of and will have  unrestricted access to  the premises,  to  all  financial  statements,  systems  and  processes  and  records  pertaining  to  the provision of the Services by the RO. 

24.2.  RO will extend co-operation for and during such inspection and/or audit and keep Company duly informed and appraised of such inspections and/or audits.

24.3.  In case it is revealed that RO has misrepresented, indulged in unethical practices, fraud or has in any way breached the terms of this Agreement, in addition other remedies available to the Company,  the  Company  will  be  entitled  to  all  or  any  of  the  following:  (a)  to recover  the overcharged  amount;  (b)  to suspend/stop  all the  outstanding/future payments to  RO; (c) to terminate  this Agreement  forthwith  without any  notice;  and (d)  to levy  penalties to  RO  in accordance to its internal policy.

25.  DATA PROTECTION

25.1.  RO shall comply with all Data Protection Legislation and such compliance shall include, but not be limited to, maintaining a valid and up to date registration or notification under the Data Protection  Legislation.  “Data  Protection  Legislation”  means  the  legislation  and  regulations relating to the protection of Personal Data and processing, storage, usage, collection and/or application  of  Personal  Data  or  privacy  of  an  individual  including  without  limitation  The Information Technology Act, 2000 (as amended from time to time) including the Information Technology (Reasonable  Security Practices  and Procedures  and Sensitive  Personal Data  or Information) Rules, 2011 (“Privacy Rules”), all other banking industry guidelines or codes of conduct  and  any  other  applicable  rules  framed  thereunder.  “Personal  Data”  shall  have  the meaning as ascribed to  the  term  ‘Sensitive Personal Data  or nformation’  under  the Privacy Rules (as amended from time to time).

25.2.  The Company hereby instructs RO to take such steps in the processing of Personal Data on behalf of the Company as are reasonably necessary for performance of its obligations under this Agreement.

25.3.  RO shall not process or transfer any Personal Data outside India without the prior consent of the Company.

25.4.  RO  shall  at  all  times  have  appropriate  technical  and  organizational  measures  in  place acceptable  to  the  Company:  (a)  to  prevent  unauthorised  or  unlawful  processing  of  any Personal Data; and  (b)  to protect  any Personal Data against  accidental  loss, destruction or damage.

26.  SECURITY AND CONTROL PROCESSES

26.1.  RO  hereby  agrees  to  have  reasonable  security  practices,  control  processes  and  checks  in respect of the work executed at RO’s premises on a regular basis to the extent decided by the Company.

26.2.  RO  shall  monitor  on  regular  basis  and  disclose  any  breaches  in  the  security  practices/ processes and controls to Company.

27.  MISCELLANEOUS

27.1.  All notices and other communications will be in writing and the same shall be deemed to be served,  if  given  personally  delivered  or  sent  by  registered  mail  details  whereof  are  first mentioned above in the Agreement and in case of RO, at the address mentioned in Company records.

27.2.  Neither  Party  can  assign  or  otherwise  transfer,  dispose  or  part  with  any  of  its  rights  or obligations hereunder to any person without the prior written consent of the other Party.

27.3.  Except as  provided  herein no  Party  shall  be  liable  to  the other  for non-performance  of  its obligations  under  this  Agreement  if  such  failure  is  caused  due  to  a  Force  Majeure  Event. Force  Majeure  Event  mean  circumstances  beyond  the  control  of  either  party  which  shall include (but shall not be limited to) acts of God, Civil or military authority, acts of the public enemy, war, riots, civil disturbances, insurrections, accidents, explosions, fires, earthquakes, floods,  transportation  embargoes,  epidemics,  acts  of  government,  its  agencies  or  officers. However, if as a consequence of such cause, performance by a party under this Agreement shall be prevented for a period longer than three (3) months, then the other party shall have the right to terminate this Agreement. The terms of termination under this condition will be with no liabilities or penalties.

27.4.  The Company can amend or alter all or any of the terms and conditions of this Agreement and such amended terms and conditions will be binding  on the RO as per intimation in respect thereto. This Agreement together with any instructions or directions or mandates in writing or by way of email or letter sent by the Company to RO from time to time, constitutes entire Agreement  between  the  Company  and  the  RO  and  supersedes  prior  Agreement  entered between the Parties.

27.5.  The failure of either Party to require the performance of any terms of this Agreement or the waiver  by either  Party of  any  breach  of  this Agreement,  will  neither  prevent a  subsequent enforcement of such terms nor be deemed a waiver of any subsequent breach.  

27.6.  The provisions of this Agreement which expressly or by implication are intended to survive its termination or expiry will survive and continue to bind both Parties. If any provision of this Agreement is held to be invalid, in whole or in part, such provision (or relevant part, as  the case  may  be)  shall  be  deemed  not  to  form  part  of  this  Agreement.  In  any  event,  the enforceability of the remainder of this Agreement will not be affected.  

27.7.  This Agreement shall be governed by and construed in accordance with laws of India. The courts  of  competent  jurisdiction  in  Rajasthan  shall  have  jurisdiction  to  entertain  any proceedings for dispute resolution.