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(A GOVERNMENT OF INDIA ENTERPRISE)

Southern Regional Office Tel: 25222842, 25231584,25272998

Leelavathi Bldng. 2^nd floor, Fax : 91-44-25220091

69, Armenian Street, Chennai -600 001. mail:mstcsro@mstcindia.com

Website:www.mstcindia.com ; http://www.mstcauction.com/

SPECIAL TERMS AND CONDITIONS OF TENDER

1.0 INSPECTION OF LOT / TENDER CLOSING DATE :

For inspection of materials, the Seller / Company Name, Date of Commencement of Inspection, Name of Contact Official with contact details are as mentioned in the cover page of the Tender Form. The tender closing date is also as mentioned in the cover page of the Tender Form.

2.0 PAYMENT OF EMD/SD .

2.1 Rate of EMD/SD for sellers under PSUs : An EMD equivalent to 5% (or as indicated in the cover page whichever is higher) of the total quoted value of each lot must be submitted through DD/PO drawn on any nationalized/scheduled bank in favour of "MSTC LIMITED" payable at CHENNAI. In case of successful tenderer, this will be converted into security deposit and refunded on satisfactory completion of the contract. For the units under Co-operative Sugar Mills, the EMD will be converted into security deposit and adjusted with the sale value.

2.2 Rate of EMD/SD for sellers under the Ministry of Defence/Ordnance Factory Board : An EMD equivalent to 20% of the total quoted Value of each lot must be paid through DD/PO on any nationalized/scheduled bank in favour of 'MSTC LIMITED", payable at CHENNAI. In case of successful tenderer, the said amount of EMD will be adjusted with the remaining sale value.

3.0 PAYMENT OF SALE VALUE ALONG WITH TAXES AND DUTIES

3.1 For sellers under PSUs : Within 15 calendar days form the date of issue of sale order/acceptance letter by MSTC (excluding the date of issue) must be paid in the manner stated in the sale order/acceptance letter.

3.2 For sellers under the Ministry Of Defence/Ordnance Factory Board : Within 10 calendar days from the date of issue of sale order (excluding date of issue). (Note : Payment of sales tax, TCS,surcharge and educational cess for Units under the Ministry of Defence (except units under the Ordnance Factory Board), Sales Tax and surcharge to be paid separately through DD favouring MSTC LIMITED, payable at CHENNAI, and the amount towards TCS, surcharge and educational cess also to be paid separately through DD favouring UNITED BANK OF INDIA, Payable at CHENNAI).

3.3 DEFAULT IN PAYMENT : In case of default in payment of the balance Sale Value along with applicable taxes and duties within the prescribed time limits, the due payment may be made together with late payment charges @ 1% per week or part thereof calculated on the remaining Sale Value for a minimum period of two weeks. However, this shall not confer any right to the Tenderer to make any Late Payment of Balance Sale Value or applicable Taxes & Duties and, MSTC/Seller reserves the right not to accept the payment of the Balance Sale Value with or without the additional charges after the expiry of the due payment time as mentioned above. If the last date of payment happens to be the closed Holiday for MSTC/Bank, the payment will be allowed on the next day without late payment charge.

4.0 DELIVERY ORDER

On receipt of balance payment towards sale value along with taxes and duties by MSTC, delivery order will be issued indicating the delivery period as under :

4.1 For PSUs and other than Defence Units : The period of delivery will be 30 calendar days counted from the date of issue of sale order/acceptance letter (excluding the date of issue)

4.2 For Units under Ministry of Defence :

For Units under the Ministry of Defence, the delivery period will be 30 calender days from the date of issue of delivery order by MSTC (excluding the date of issue

5.0 DEFAULT IN TAKING DELIVERY

5.1 For PSUs and other than Defence Units

In case of delay in lifting beyond the above specified period, a ground rent @ 1% or part thereof up to a period of 2 weeks will be charged by the seller in advance. In case the delay is beyond 2 weeks, the seller will have the option to grant further extension, in exceptional cases. with/without additional ground rent, depending upon the circumstances for such delay, or forfeit the entire amount at their sole discretion. ). If the last date of delivery happens to be the closed holiday for sellers, the delivery will be allowed on the next day without ground rent.

5.2 For Units under Ministry of Defence

The stockholder shall claim a ground rent in advance from the buyers @ 2% per day on the value of the unlifted quantity for the period of delay after the date of expiry of free delivery period. ). If the last date of delivery happens to be the closed holiday for sellers, the delivery will be allowed on the next day without ground rent.

6.0 GENERAL

6.1 VALIDITY OF TENDER OFFER

All Bids will be valid for acceptance by MSTC/seller for a period of 60 sixty calendar days from the date of closing of tender (excluding the date of closing). In case the 60th day falls on a holiday or remains closed for MSTC, such Bids will be deemed to be automatically extended to be valid upto the next working day of MSTC.

6.2 PERIOD OF CONTRACT Up to the validity period of the Delivery Order issued by MSTC / Seller or up to the extended period of validity of the Delivery Order / Release Order, in case the Delivery period is extended by the Seller at his sole discretion, as the case may be.

6.3 TAXES AND DUTIES

Normally all sale will be treated as Local Sale & the Buyer shall have to pay the Sales Tax as per the Local Sales Tax Act/Rules/Tariff of the concerned State applicable on the date of delivery. Unless otherwise specified, the sale against 'C' Form/CST will not be accepted. The rate of Excise Duty, Sales Tax/VAT Income Tax, Education Cess or any other statutory Duty / Tax / Levy / Charge etc. will be applicable and payable by the Buyer as prevailing on the date of actual physical delivery of materials. The rates of Duties and Taxes indicated in the Tender Form are only indicative. Successful Tenderers shall have to pay the Income Tax by way of TCS @1.0% plus 10% Surcharge and 2% Education Cess on all Scrap items purchased for trading as per Section 206 C of IT Act 1961. The TCS will be calculated on the gross Sale Value i.e. Material Value plus Excise Duty (if any) & Sales Tax/VAT. In case of any conflict between the GTC and STC, the STC shall prevail. MSTC/seller shall have the right to issue addendum to the GTC or STC to clarify, amend, modify, supplement or delete any of the conditions, clauses or items stated therein and the Addendum so issued shall form a part of the original STC

6.4 The OWNER / MSTC reserves the right to accept / reject / postpone / withdraw any lot/cancel the tender at any time without assigning any reason. .

7.0 SALE OF HAZARDOUS WASTE ITEMS

7.1 The sale of Hazardous Waste items, namely Waste Oil and specified categories of Non-Ferrous Metal Waste will be governed by the Hazardous Wastes (Management and Handling) Rules, 1989 and its amendments, of the Central Govt. under Rule 7 (sub-rule 6) of the Hazardous Wastes Rules, in case of transport of hazardous wastes to a facility for treatment, storage and disposal existing in a State other than the State where hazardous wastes are generated, the occupier shall have to obtain 'No objection Certificate' from the State Pollution Control Board or Committee of the concerned State or Union territory Administration where the facility is existing. Notarised copy of such NOC must be submitted before issue of delivery order within the specified time. The lots shall be delivered by the seller/owner to the successful MOEF/CPCB registered tenderers after receiving the above NOC and also making necessary endorsement in respect of the quantity transacted in the original letter of MOEF/CPCB registration and photostat copies of the endorsement shall be furnished to their State Pollution Control Board by the seller/owner.

7.2 Sale of Batteries shall be governed by the Batteries (Management and Handling) Rules, 2001 of the Central Government.. The lots shall be delivered by the seller/owner to the successful MOEF/CPCB registered buyers after making necessary endorsement in respect of the quantity transacted in the original letter of MOEF/CPCB registration and photostat copies of the endorsement shall be furnished to their State Pollution Control Board by the seller/owner.

7.3 Wherever after the award of the lot, validity of MOEF/CPCB/SPCB Certificate/s expire/s, the bidder must submit copy of such certificate/s duly renewed by MOEF/CPCB/SPCB within the stipulated time of payment of Balance Sale Value failing which the payment will not be accepted and the EMD/SD paid will stand automatically forfeited.

8. 8.0 In case of any dispute regarding payment/delivery or any other matter relating to this tender, the

decision of MSTC/SELLER shall be final and binding. . In case of any conflict between any of the provisions of the GTC & STC - the provisions of STC will prevail.

DECLARATION BY THE TENDERER

I/We have understood the above Special Terms & Conditions(STC) as well as General Terms & Condition of Tender(GTC) (attached to the tender) which are returned herewith duly signed by me/us in token of having accepted the same in toto and, I/We have made my/our offer keeping in view these terms and conditions.

SIGNATURE OF THE TENDERER : -----------------------------------------------------------------

NAME & ADDRESS OF THE TENDERER : -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

BANK A/c. NO., NAME OF THE BANK

& BRANCH OF THE TENDERER : ---------------------------------------------------------------------------------

PAN NO OF THE TENDERER :----------------------------------------------------------------------------------------------

TELEPHONE NO. : -------------------------------------------------------------------------------------------------------

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