AGREEMENT FOR LOAN AND GUARANTEE CUM HYPOTHECATION

The two wheeler loan agreement (“Agreement”) is made and executed on the date and
at the place mentioned in the Schedule hereunder, by and between:
AU SMALL FINANCE BANK LIMITED a small finance bank, having its
registered office at 19-A, Dhuleshwar Garden, Ajmer Road, Jaipur-302001, Rajasthan (c)
(here in after referred to as the “Lender”, which expression shall, unless repugnant to
the context or meaning thereof, be deemed to mean and include its successors and (d)
permitted assigns) of the One Part;
their representative heir(s), administrator(s), executor(s), legal
representative(s) and permitted assign(s);
in case of the Borrower is a company- its successor(s) and assign(s);
in case the Borrower is a joint liability group-all its members (jointly and
severally);

(e) in case the Borrower is a self-help group-all its members (jointly and
AND
severally);
The Borrower whose name and address is more particularly described in the Schedule (f) in case Borrower is a society – the secretary, mantri, president, directors
hereunder written and wherever the context so requires, includes Co- and members of the society (jointly and severally);
Borrower(s)whose name and address is more particularly described in the Schedule
hereunder of the Other Part. (g) in case Borrower is a hindu undivided family-the karta and all its members
(jointly and severally).
The Lender and the Borrower shall be hereinafter individually referred to as “Party”
and collectively as “Parties”. 1.6. “City of Registration”in relation to:

WHEREAS: (a) new Asset(s) to be acquired, shall mean the city where the Asset(s)/s is to
be registered, if required and (b)used Asset(s) acquired or to be acquired,
A. The Lender is a small finance bank registered with the Reserve Bank of India shall mean the city or town where such Asset(s) is/are registered, if
(“RBI”) and is, interalia, engaged in the business of advancing vehicle finance. required, with the Registering Authority.
B. The Borrowers have approached the Lender and have requested for grant of Loan 1.7. “Documents”shall mean this Agreement and such other documents incidental
for financing the purchase of two wheeler vehicle(s) and based on the here to and/or contemplated hereby, which the Borrowers have furnished to the
representations & warranties of the Borrowers, the Lender has agreed to grant the Lender and/or on which the Lender has relied upon to extend this Loan to the
Loan to the Borrowers subject to the terms and conditions contained in this Borrowers.
Agreement.
1.8. “Due Date(s)” shall mean the date(s) on which any amounts in respect of the
C. The Parties hereto are now desirous of, interalia, entering into this Agreement to
Borrowers' dues including the principal amounts of the Loan, interest and/or any
set out the terms and conditions in relation to the Loan. The Co-Borrower(s) in
other Outstanding Amounts, fall due as specified in this Agreement, Schedule
consideration of the Lender agreeing to grant the Loan to the Borrowers, have
and any other document executed with respect to the Loan.
herein agreed, declared, guaranteed to the Lender the due performance and
observance by the Borrowers of all clauses, covenants and terms and conditions of
1.9. “Equated Monthly Installment” or “EMI/EMIs” shall mean the amount,
this Agreement and agree to pay on demand any money due or which may become
determined by the Lender, payable every month by the Borrowers to the Lender
due and payable, in the event of the same being unpaid by the Borrowers, to the
to amortize the Loan with interest over the Term of the Loan.
Lender under this Agreement whether by way of principal outstanding amount,
interest, additional interest, expenses, damages, or other costs.
1.10. “Event of Default” shall have the meaning described to it under Clause 16 of
this Agreement below.
NOW THIS AGREEMENT WITNESSES AND THE PARTIES HERETO
AGREE AS FOLLOWS:
1.11. “Guarantor(s)” shall mean the person/entity mentioned in Schedule.
1. DEFINITIONS & INTERPRETATIONS
1.12. “Interest Rate”shall mean the interest rate mentioned in the Schedule.
1.1. “Additional Security” shall mean additional security (immovable or movable)
1.13. “Law(s)” includes all statutes, enactments, and acts of legislature, ordinances,
provided by the Borrowers to the Lender in case the security furnished to the
rules, bye- laws, regulations, notifications, guidelines, policies, directions,
Lender is found to be insufficient by the Lender at any point of time.
directives and orders of any Government, statutory authority, court, and tribunal.
1.2. “Agreement” shall mean this Agreement as of the date hereof and as amended or
1.14. “Loan” shall have the meaning a scribed to it in Clause 2.1 o f this Agreement.
supplemented in accordance with the provisions hereof.
1.15. “Outstanding Amounts” mean principal amount of the Loan outstanding from
1.3. “Asset(s) or “Vehicle(s) or “Security”shall mean the vehicle(s) for the
time to time, and all interests, additional interest, increased interest, penal
purchase of which the Loan is granted by the Lender to the Borrowers and which
interest, prepayment interest, fees, costs, commissions, charges, expenses and
is or is to be owned by the Borrowers and which is hypothecated by the
other amounts due under or in respect of this Agreement.
Borrowers with the Lender as security of Loan granted by the Lender to the
Borrowers.
1.16. “Payment Mechanism” shall mean ECS, ACH, RTGS or payment by way of
cheque, as the case may be.
1.4. “Automated Clearing House” or “ACH” means debiting the Borrowers'
account, which has been consented by the Borrowers in writing, for facilitating
1.17. “Prepayment”shall mean premature repayment of the Loan amount as per the
payment of EMIs electronically.
terms and conditions laid down by the Lender in this regard and in force at the
time of such premature repayment.
1.5. “Borrower” or “Co-Borrower” shall mean and include where the context
admits and subject as hereinafter provided,
1.18. “Pre-equated monthly installment/s interest” or“PEMII”shall mean interest
at the rate indicated in the Schedule attached with the Agreement hereunder from
(a) in case the Borrower is an individual/sole proprietary concern-the heir(s),
the date of disbursement till immediately prior to the commencement of the
executor(s), legal representative(s) and permitted assign(s) of the
EMIs.
individual/sole proprietor(s);

(b) in case the Borrower is a partnership firm-the partners for the time being 1.19. "GST" shall include the Central Goods and Services Tax ('CGST'), the State
and from time to time of the partnership firm, the survivor or survivors, Goods and Services Tax ('SGST'), Integrated Goods and Services Tax ('IGST'),

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 Union Territory Goods and Services Tax ('UTGST') and any other taxes levied
under the GST related legislations in India as may be applicable. The term 'GST
legislation/s' should be accordingly interpreted.
1.20. “Registering Authority” shall have the meaning ascribed to such term under the
Motor Vehicles Act, 1988.
1.21. “Repayment”shall mean the repayment of
(i) the principal amount of the Loan and interest there on by EMIs or in any
other manner determined by the Lender and/or
(ii) any other costs, charges, commission, premium, fees and/or other dues,
Outstanding Amounts payable in terms of this Agreement to the Lender
and means in particular, repayment as provided in this Agreement.
1.22. “RTGS” shall mean real time gross settlement.
1.23. “Security Documents” shall mean deed(s), document(s), any other
instrument(s), memorandum or any paper written manually or in electronic
media, or any other visual form and whether signed or not, created or evidencing
the creation of any security interest in favour of the Lender as security for
repayment/payment of the Outstanding Amounts.
1.24. “Schedule” shall mean the schedule attached to this Agreement hereunder.
1.25. “Tax”means any tax, levy, impost, duty or other charge or with holding of a
similar nature (including any penalty or interest payable in connection with the
failure to pay or delay in paying any of the same).
1.27. “Term” shall mean the term of this Loan as mentioned in Schedule from the date
of the first disbursement. In construing this Agreement.
2. LOAN AND INTEREST
2.1 The Lender at the request of the Borrowers, agrees to lend to the Borrowers, and
the Borrowers agree to borrow from the Lender, an amount mentioned in the
Schedule (hereinafter referred to as the “Loan”) on the basis of, and subject to
the covenants and terms and conditions herein set forth.
2.2 The Loan shall be disbursed in lumpsum or in suitable in stallments as per sole
discretion of the Lender (which decision shall be final and binding on the
Borrowers) and in any case disbursement will be always subject to payment of
margin money in respect of the Vehicle(s) by the Borrowers as per Schedule. The
Borrowers shall acknowledge the receipt of the Loan disbursed in writing. In
case of purchase of a new Vehicle(s) the Lender shall disburse the Loan directly
to the dealer for and on behalf of the Borrowers and every such disbursement to
the dealer shall be deemed to be disbursement to the Borrowers under this
Agreement. In case of refinance of used Vehicle(s)/purchase of used Vehicle(s),
the amount of Loan may be disbursed by the Lender to the owner/seller of the
Vehicle(s) or to the dealer and such disbursement shall be deemed to be
disbursement to the Borrowers. The Borrowers shall on or before the date of the
first disbursal of the Loan, pay to the Lender annual charges, processing charges,
one time upfront fees and such other fees and charges at the rate as may be
prescribed in the Schedule along-with applicable service tax.
2.3 All payment to be made by the Lender to the Borrowers under or in terms of this
Agreement shall be made by Cheque / Demand Drafts / Bankers Cheque duly
crossed and marked“A/cPayee Only” and the collection charges, if any, in
respect of all such instruments will begin to accrue in favour of the Lender as and
from the date of issuance of the above instruments irrespective of the time for
transit/collection/realization/of the cheque by the Borrowers.
2.4 The Borrowers shall pay interest on the Loan at the Interest Rate mentioned in
the Schedule of this Agreement. The Lender, in its sole discretion, shall be
entitled to modify and vary the Interest Rate from time to time including on
account of changes in interest rates made by RBI and/or Lender's bankers. Such
variation(s) shall be binding upon the Borrowers.
2.5 Interest on the Loan shall begin to accrue in favour of Lender as and from the
date of disbursement of the Loan. Interest and any other charges shall be
computed on the basis of year of three hundred and sixty five (365) days or three
hundred and sixty six (366) days, as the case may be. The payment schedule of
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the EMIs for repayment of Loan is given in the Schedule. The EMIs comprise of
principal amount of Loan and interest calculated on the basis of reducing
balance of principal at the Interest Rate applicable and is rounded off to the next
rupee.
2.6 In the event of delay in Repayment of principal amount of Loan and/or payment
of interest/any EMI and/or any other payment by the Borrowers beyond the
relevant Due Date, the Lender shall be entitled to charge overdue interest as
mentioned in the Schedule or such other rate as may be specified by the Lender
from time to time on the entire Outstanding Amounts whether of Loan, interest
or any other charges payable hereunder. The payment of overdue interest would
not affect the obligation of Borrowers of strict compliance with the terms of
Repayment given in the Schedule. In the event of delay in payment of the
overdue interest the Borrowers shall be liable to pay penal interest at such rates
as mentioned in Schedule.
3. REPAYMENT
3.1 The Borrowers agree and undertake to make the repayment of the Loan through
monthly EMIs the number which is mentioned in the Schedule through the
Payment Mechanism satisfactory and acceptable to the Lender.
The Borrowers shall amortize the Loan, if not demanded earlier by Lender as
stipulated in and in accordance with and subject to the terms of the Repayment
hereto. To overcome operational issues ,holidays etc, It is advised to keep
sufficient balance in bank accounts 2-3 days prior to due date of EMI ,for
clearance of EMI on due dates ,to avoid penal Interest and other charges and
avoid delinquency status.
3.2 The Lender reserves the right to rearrange the terms of Repayment and to call
upon the Borrowers to accelerate the payments if the Borrowers' financial
position so warrants as per the sole opinion of the Lender.
3.3 The Lender reserves the right to appropriate the amount received from the
Borrowers towards interest, computation/ fixation of EMIs etc. without
prejudice to the right of delivery of the Asset(s) under the Security Documents.
3.4 No notice, reminder or intimation shall be given to the Borrowers regarding its
obligation to pay the EMIs/PEMII / Outstanding Amounts payable hereunder
when the same are due and payable. Rather it shall entirely be the Borrowers'
sole responsibility to ensure prompt and regular payment of the amount payable
by the Borrowers to the Lender when due and in the manner herein provided. No
disputes, actual or imagined, shall entitle the Borrowers to with hold the
payment of any amounts and dues payable to the Lender under this Agreement.
3.5 The Lender shall have the right to adjust PEMII or any other dues against un
disbursed amount of the Loan.
3.6 The Borrowers agree, undertake and confirm that they shall forward to Lender
post-dated cheques towards Repayment of Loan with the Lender named as the
payee therein (“PDCs/UDC”). The Borrowers have agreed to issue the
PDCs/UDCs voluntarily in discharge of debt owed to Lender. The Borrowers
agree, acknowledge and confirm that the PDCs/UD Care intended to be used by
Lender to recover the debts/legalli ability owed by the Borrowers to the Lender
under this Agreement at any time as the Lender may consider fit and proper and
hereby un conditionally and irrevocably authorizes the Lender to use the
PDCs/UDC for repayment of the Outstanding Amounts.
4. PRE-PAYMENT OF THE LOAN
4.1. The Borrowers may prepay the whole or any part (at the discretion of the Lender)
of the Outstanding Amounts by giving notice in writing to that effect. The
Borrowers would have to give minimum written notice of thirty (30) days
expressing its intention to prepay the Loan amount.
4.2. In the event of Prepayment, the Lender shall be entitled to charge Prepayment
charges on the principal outstanding of the Loan as mentioned in the Schedule or
at any other rate which is applicable at such time as per the Lender's policy.
Prepayment will be applied to EMIs in inverse order of maturity. The interest and
other charges as mentioned in this Agreement would believable till the end of the
months in which prepayment notice as mentioned in Clause 4.1 above expires
and the interest shall be computed as per Clause 2 of this Agreement.
(2)
5. SECURITY
5.1. In consideration of the Lender having granted or agreed to grant to the
Borrowers the Loan, the Borrowers hereby hypothecate and charge in favour of
the Lender by way of first and exclusive charge, the Assets, provided that if the
Asset(s) has not been delivered to and/or registered (wherever applicable) in the
name of the Borrowers at the time of signing of this Agreement, the particulars of
the Asset(s) shall be informed in writing by the Borrowers to the Lender or the
Borrowers shall direct the dealer to supply such particulars, within two (2) days
of such delivery and/or registration where upon such writing shall from part of
the Schedule and this Agreement. The Borrowers and/or the Guarantor(s) hereby
expressly and irrevocably agree that they shall be stopped from taking the plea
that on the date when this Agreement was signed the exact details of the Asset(s)
were not available.
5.2. The Borrowers undertake to get the endorsement to hypothecation done in the
name of the Lender in the registration certificate from the concerned
Registration Authority (if applicable under Motor Vehicles Act, 1988).
5.3. The Borrowers, where the Borrowers or any of them is a company, undertakes to
get the charge on the Asset(s) registered with the relevant Registrar of
Companies (ROC) in a manner acceptable to the Lender.
5.4. That the Lender is not responsible for delivery of duly endorsed registration
certificate of the Asset(s) and that the Borrowers shall not with hold payment of
EMIs on the pre text that registration certificate of the Asset(s) has not been
delivered.
5.5. The charge created by the Borrowers in Clause 5.1 and 5.2 above shall stand as
security for the Repayment by the Borrowers of the Loan granted or to be
granted to the Borrowers by the Lender and payment of all fees, interest, costs
and expenses incurred or to be incurred by the Lender hereunder and all other
monies payable or to become payable by the Borrowers to the Lender pursuant to
the terms hereof.
5.6. The charge created by the Borrowers in Clause 5.1 and 5.2 shall continue and
remain in full force and shall not affect, impair or discharge unless the Lender
issues a certificated is charging the security created here in and liability of the
Borrowers.
5.7. The hypothecation shall be deemed to take place immediately on signing of this
Agreement or delivery of the Asset(s) to the Borrowers, whichever is earlier.
5.8. The Borrowers shall:
a. Execute a money bond/demand promissory note in favour of the Lender
for the amount of the Loan thereby undertaking to repay the Loan and
execute a power of attorney in favour of the Lender in the form described
by the Lender; and
b. Obtain such approval/permission/consent/noobjection certificate as may
be necessary from the concerned authorities.
5.9. The Borrowers agree that, during the subsistence of this Agreement, the Lender
can demand further/Additional Security for any reason including that the value
of Security, at any point of time, has become less than the Outstanding Amounts.
On such demand, the Borrowers shall promptly provide and furnish to the
Lender, to the satisfaction of the Lender, such Additional Security as may be
acceptable to the Lender. The Borrowers agree that the Borrowers shall sign and
execute all such other deeds, documents and forms for this purpose as may be
required by the Lender. Notwithstanding the above, in the event the Security
furnished by the Borrowers is subsequently found to be of inferior value to that
as declared by the Borrowers, the Loan may be recalled/repayment of the Loan
may be accelerated by the Lender with immediate effect.
5.10. The Borrowers agree that this Agreement, and any security hereby created or
created subsequently, for and on account of the Loan or any other amount
payable by the Borrowers to the Lender, shall operate as a continuing security for
all the obligations of the Borrowers in respect of the Loan, till such time when all
the Outstanding Amounts in respect of the Loan are fully paid to the satisfaction
of the Lender and the Lender consents to give a discharge/releasein respect of the
Security in writing to the Borrowers, notwithstanding any intermediate/partial
payment by the Borrowers or any settlement of accounts by the Borrowers. The
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Security shall be in addition to and not in derogation of any other security, which
the Lender may at any time hold in respect of the Outstanding Amounts and shall
be available to the Lender until all accounts between the Lender and the
Borrowers are ultimately settled.
5.11. The Lender can apply the security of mortgaged/hypothecated/pledged/
assigned Asset(s) towards the settlement of due or all or any of the members of
joint liability group in case of default in repayment by any one or all the members
of the joint liability group.
6. COVENANTS FOR PRICE OF THE ASSET(S)
6.1 The Parties hereto confirm that the price of the Asset(s) has been arrived at after
taking into account all relevant taxes, duties and levies applicable as on the date of
this Agreement. The Borrowers agree that the amount of EMIs shall be increased
in case any fresh imposition or increase in the said price, taxes, duties, levies
becomes payable by the Lender by virtue of entering in to this Agreement. In the
event of such taxes, duties, levies and charges increasing during the period of the
placing of the order of the Asset(s) and its acceptance and eventual delivery to the
Borrowers, such increases shall be borne and paid by the Borrowers. The Parties
agree that prior notice of 7 (seven) days post shall be given by the Lender to the
Borrowers in relation to increase in the amount of EMI. Such notice shall be sent
by way of registered post to the last provided address of the Borrowers to the
Lender.
6.2. If the price of the Asset(s) (in case of acquiring a new Asset(s) is revised up wards
after the date hereof, then and in that event the Borrowers shall pay all of the
amount (in addition to the amount paid or to be paid by them along with the Loan
as the price of the Asset(s) that may be required for acquiring the Asset(s) at such
revised price and the Lender shall not be liable to pay such amount by way of
Loan or otherwise for such revision in price of the Asset(s).
6.3. If the Borrowers fails to pay the amount as mentioned in Clause 6.2 within fifteen
(15) days of revision of the price of the Asset(s) or within the period allowed for
this purpose by the manufacturer or dealer of the Asset(s), whichever is earlier,
then and in that event the Lender may, at its discretion, as agent of the Borrowers
cancel, annul or rescind the booking of the Asset(s) and collect the refund of
booking price (after such deductions as may be made by the manufacturer of the
Asset(s) or its dealer for adjustment there of against any amount that may be due
and payable by the Borrowers to the Lender in terms hereof.
6.4. The Borrowers for the purpose of Clause 6.3 hereby irrevocably authorizes the
Lender to cancel, annual or rescind any booking of the Asset(s) and to receive
any refund of booking price of the Asset(s) from its manufacturer or dealer.
7. INSURANCE
7.1. Borrower hereby agrees that it shall avail an insurance policy to secure the
Hypothecated Asset(s) provided by the Borrower with any insurance company
and shall deposit the insurance policies and all cover notes premia receipts etc.,
with the Lender against the Facility so given to him/her/it by the Lender. The
insurance policy to be taken hereunder shall be in the name of the Borrowers and
the Lender shall be described as loss payee in any insurance policy.
7.2. The Borrowers hereby expressly agree to pay advance premium (as per the
prevailing market rates of insurance premium, which may vary at the time of
renewal as per the norms and guide lines issued by the insurance companies) in
respect of the insurance policy along with the EMIs and the Lender shall be
entitled to credit the amount of advance premium for insurance policy, so
received with the EMI, to the account of the Borrowers which shall be debited to
the said account of the Borrowers at the time of renewal of the insurance policy.
The short-fall, if any, in the amount paid by the Borrowers towards advance
premium and the actual amount of premium for renewal of the insurance policy,
shall be paid by the Borrowers at the time of renewal failing which the Lender
shall be entitled to charge late payment charges as per the Schedule.
7.3. In order to safeguard the Asset(s) and to ensure that the Lender is the first loss
payee, the Lender may get the insurance done on behalf of the Borrowers, by
being a facilitate or and making the premium payment to the insurance company
through the Borrowers' post-dated cheque/payorder/cash/any other payments
instructions. However the Lender shall not be obliged to do the same and any
non-payment on the part of the Lender due to any reason whatsoever shall not
affect the liability of the Borrowers to pay the necessary insurance premium and
(3)
 to keep the Asset(s) insured. The Borrowers shall pay a one-time fee of Rs. 250/-
(Rupees Two Hundred and Fifty only) or such other amount as may be specified
by the Lender from time to time as nominal compensation for the services
rendered by the Lender for the facilitating the abovementioned arrangement
with the insurance company and ensuring that the Lender's name is marked
under insurance. The transaction fee is subject to change at the discretion of the
Lender, which change shall be intimated to the Borrowers prior to applicability
of such change in the transaction fee. The Lender shall be entitled to recover any
payments made pursuant to this clause as part of the dues under this Agreement.
7.4. If the Borrowers fail to comply with any of the terms mentioned above, the
Lender may without prejudice to its rights and remedies under this Agreement
and in Law, take such steps as it may deem fit to keep and maintain the Asset(s) or
insurance or renew such insurance at the Borrowers' costs, charges and expenses
which the Borrowers on demand shall reimburse to the Lender.
7.5. The Borrowers accept that the Lender shall not be liable for any loss on account
of non- renewal of insurance of the Asset(s) and/ordelay/non-payment by the
insurance company of any settlement claim by the Borrowers.
7.6. The Lender at its option shall be entitled to adjust, settle or compromise in any
manner whatsoever at the Borrowers' cost, any dispute arising under or in
connection with any such policy of insurance and such adjustment, settlement
and compromises shall be valid and binding on the Borrowers.
7.7. The Lender at its option will have the right to appropriate any monies received
from the insurance company towards the Borrowers' obligations to the Lender.
7.8. In the event the Borrowers become entitled to make any claims under the above
insurances, they shall promptly make a claim under such insurances and first
apply all monies received either in reinstatement of the Security insured or
towards repayment of the Outstanding Amounts to the Lender. The first claim on
any insurance proceeds shall be that of the Lender with respect to insurance
policy and its renewal as stipulated from time to time.
8. ILLEGALITY
8.1. If, at any time, it is unlawful for the Lender to make, fund or allow to remain
outstanding the Loan made or to be made by it hereunder by reason of
suspension or otherwise for any other reason whatsoever, then the Lender shall,
promptly after becoming aware of the same, deliver to the Borrowers a notice to
that effect and may recall the loan or refuse to make further advances.
9. REPRESENTATION AND WARRANTIES
9.1. The Borrowers represent that:
i. There is no encumbrance, security interest, charge of any nature nor any
lien exists over the Asset(s);
ii. The Borrowers have obtained and done all that is necessary to give full
force and effect to all authorization, approvals, consents, licenses and
permission required in or by the Laws of India in relation to this
Agreement, Security Documents and the Asset(s);
iii. This Agreement and the Security Documents, when executed and
delivered, will constitute valid and binding obligations of the Borrowers;
iv. As of the date of this Agreement there is no litigation, proceeding or
dispute or action, pending or threatened, against the Borrowers and/or the
Guarantor(s), the adverse determination of which might affect any of the
Borrowers' ability to repay the Loan/Outstanding Amounts or perform
any of their obligations hereunder or have a materially adverse effect on
the financial condition of the Borrowers;
v. The purpose for which this Loan is taken is only for the purchase of the
Asset and not for any illegal, speculative or nefarious purpose;
vi. The Borrowers have no over dues/not defaulted in repayment of any
amount due and payable to any other bank/financial institutions.
vii. The execution and delivery of this Agreement and documents to be
executed in pursuance hereof, including the Security Documents, and the
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performance of the Borrowers' obligations hereunder and thereunder does
not and will not
(i) contravene any applicable Law, statute or regulation or any
judgment or decree to which any of the Borrowers and/or their
assets and/or business and/or undertaking is subject; or
(ii) conflict with or result in any breach of, any of the terms of or
constitute default of any covenants, conditions and stipulations
under any existing agreement or contract or binding to which any of
the Borrower is a party or subject; or
(iii) conflict or contravene any provision of the memorandum and the
articles of association and/or any constituting/governing
documents of any of the Borrowers;
viii. The Borrowers will not seek to claim or recover from the Lender, on any
grounds whatsoever and/or in any circumstances whatsoever, any
purported damages or compensation, direct, indirect or consequential, for
any acts or actions whatsoever of the Lender hereunder and/or in respect
of the Loan and/or the Security, taken or omitted by the Lender in terms
hereof;
ix. (i) The fair value of the assets of each of the Borrowers exceeds their
respective aggregate liabilities; and
(ii) the Borrowers have the ability to meet all of their obligations as
they mature;
x. The Borrowers further acknowledge and confirm that the information
provided to the Lender in connection with the Loan and/or the Security
does not contain any un true statement of a material fact, nor does it or it to
state a material fact necessary in order to make the statements contained
there in misleading in light of the circumstances under which such
statements were or are made;
xi. Compliance of Know Your Customer (“KYC”) Policy: The Borrowers are
fully aware of the KYC Policy and confirm that the
information/clarification/ documents/signage provided by them on the
identity, address, PAN, authorized signatory, board resolution and
memorandum documents of all companies and individual and all other
material facts are true and correct and the transaction, etc. are bonafide and
as stipulated by RBI in relation to the KYC norms. The Borrowers further
confirm that they have disclosed all facts/information as are required to be
disclosed for the adherence and compliance of the provisions related to the
KYC Policy and applicable RBI guidelines as amended from time to time;
and
xii. The Borrowers hereby declare that the Borrowers are aware that the
Lender has agreed to grant the Loan on the faith of the above
representations and warranties made by the Borrowers and the
Guarantor(s) from time to time and believing all of them to be true and
correct, and that there have not been any material changes there in which
may affect the said representations.
xiii. None of the directors of the Borrowers, where the Borrower is a company,
are directors or specified near relations of a director of any banking
company.
10. COVENANT TO PAY BY GUARANTOR(S)
10.1. In consideration of the Lender granting to the Borrowers, the Guarantor(s)
(where there are more than one Guarantor(s) all of them jointly and severally),
hereby irrevocably and unconditionally guarantee/s the regular and punctual
payment of all sums due under this Agreement and the full performance of this
Agreement by the Borrowers and in the event of any non-performance of the
whole or any part of the Agreement and the liabilities whether actual or
contingent now or any time hereafter due, owing and incurred to the Lender by
the Borrowers together with interest (as well as before any demand or judgment)
to date of payment at such rates and upon such terms and all fees, cost, charges
and expenses as may from time to time be payable by the Borrowers in terms
hereof.
(4)
10.2. Continuing guarantee: The guarantee provided by the Guarantor(s) is a
continuing guarantee and it shall continue notwithstanding:
i. the death, insolvency, lunacy, liquidation/dissolution (as the case may be)
or any in capacity of the Borrowers or Guarantor(s) or in case of more than
one the Guarantors, anyone, more than one or all of them; or
ii. any change in the constitution of the Borrowers or Guarantor(s) or in the
name or style of the Borrowers or Guarantor(s).
10.3. It is the responsibility of the borrower to communicate the GSTIN number of
particular state for the purpose of billing.
10.4. In case of unregistered borrower, the address as given under Borrower's Details
would be considered for the purpose of computation of GST
10.5. In case of registered applicants, the address given under Borrower's Details shall
be considered as the registered place of business for the purpose of computation
of GST
10.6. Please note that for the purpose of this agreement, registered applicant would
mean a person registered under the GST Act.
10.7. It is the responsibility of the customer to provide AUSFB with the appropriate
records/ communication address to determine the relevant location of the
recipient of service. In case of any tax or related demand due to failure of the
customer to provide the correct address, the same will be borne by the customer.
10.8. The Borrower (where such Borrower is an individual) or the director/
partner/member of such Borrower (where such Borrower is not an individual), is
not a director or specified near relation of a director of a banking company
(including the Bank) (as specified by the RBI), including director of scheduled
cooperative bank, director of subsidiaries/trustees of mutual funds/venture
capital funds set up by any banks (including the Bank) or a relative/near relation
(as specified by RBI) of a senior officer of the Bank (as specified by RBI).
11. JOINT AND SEVERAL LIABILITY
11.1. The Borrower and Co-Borrower shall be jointly and severally liable to the
Lender for all dues, obligations, liabilities and responsibilities undertaken in
favour of the Lender.
11.2. The Guarantor(s) (and in case there are more than one, all of them jointly and
severally), hereby agree to the following:
i. that their liability is co-extensive with that of the Borrowers and they are
to be considered as principal debtors/obligors to the Lender for all dues,
obligations, liabilities and responsibilities undertaken in favour of the
Lender under the guarantee;
ii. that the Guarantor(s) hereby agree to keep the Lender fully indemnified
against all damage, loss, costs and expenses arising from any failure of the
Borrowers to carry out any such purported obligation or liability;
iii. that the Lender shall be at liberty to sue the Borrowers and the
Guarantor(s) jointly and/or severally or shall be entitled to proceed
against the Guarantor(s) only, in the first instance;
iv. that the liability of the Guarantor(s) shall not be affected nor shall the
guarantee herein be discharged or diminished by reason of:
a) Lender compounding with, discharging, releasing or varying the
liability of or granting any time, indulgence, concession to the
Borrowers or any other person or omitting to claim to enforce
payment from the Borrowers or any other person; or
b) any variance made without their consent in the terms of this
contractor transaction between the Lender and the Borrowers; or,
c) any contract made between the Lender and the Borrowers by which
the Borrowers will be released; or,
d) any act or omission which would not have discharged or affected
the liability of the Guarantor(s) had it been the principal debtor
Version December 2021
instead of the Borrowers or by anything done or omitted which but
for this provision might operate to ex one rate the Guarantor(s);or
e) the Lender losing the Security, and the Guarantor(s) hereby waive,
all surety ship rights that may otherwise be available to them under
the Law.
iv. the Lender enforcing or not enforcing any of its security and the Lender
shall be entitled to take any proceeding (legal or otherwise) against the
Guarantors(s) prior to, simultaneously or subsequent to any proceeding
(legal or otherwise) against the Borrowers or any other person or entity.
v. that the Guarantor(s)'s obligation to pay arises two (2) days after dispatch
of written notice by the Lender by registered post irrespective of whether
the Borrowers have been called upon or proceeded against to pay the
outstanding amounts, interest and other charges under and in relation to
the said Loan. Such a notice of demand by the Lender against the
Guarantor(s) shall be final and conclusive evidence that the Borrowers
have committed a default and that the monies and the amounts claimed
there under is due and payable by the Borrowers to the Lender and the
Guarantor(s) shall not be entitled to challenge the notice on the ground
that no default has been committed or the amount mentioned there in as'
due and payable' be not payable or on any other ground whatsoever.
12. GENERAL COVENANTS
12.1. Affirmative Covenants: The Borrowers covenant and undertake that, so long as
the Loan shall remain outstanding, and until the full and final payment of all
monies owing hereunder, it shall, unless the Lender waives compliance in
writing:
a) Utilize the Loan only for the purpose granted, as mentioned in this
Agreement and Schedule and shall not be used for the purpose of making
any investments in the share markets, real estate or for any associate of the
Borrowers or for any speculative purposes;
b) The Borrowers agrees hereby to pay the EMIs and Outstanding Amounts
and other dues etc. to the Lender under this Agreement irrespective of
whether or not the Asset(s) is in use by the Borrowers and/or even if the
Asset(s) is not in use by the Borrowers due to damage and/or repair;
c) Get the Vehicle(s) (in case of acquiring a new Vehicle(s)) registered with
the appropriate Registering Authority (wherever applicable) under the
MotorVehiclesAct,1988;
d) Inform the Lender in writing of any theft or damage of the Vehicle(s),
death or accidental death lodging of any claim whatever with any
insurance company in respect of the Vehicle(s) and such writing shall be
delivered to Lender within the three (3) working days of such damage or
lodgment of claim;
e) Inform the Lender of any loss, destruction or misplacement of the
Registration Certificate of the Vehicle(s) or the insurance policy relating
to the Vehicle(s) within three (3) working days of such loss, destruction or
misplacement;
f) Promptly inform the Lender of any material litigation, arbitration,
material adverse effect or other proceedings which affects or may affect
the Borrowers, forth with upon the same being instituted or threatened by
any person whatsoever including if a claim for money is made against the
Borrower, Borrowers premises and/or assets or enforcing against the
Borrower any guarantee or indemnity given by the Borrower;
g) Promptly inform the Lender of the occurrence of any Event of Default or
of the occurrence of an event which, with the passage of time or the giving
of the notice would become an Event of Default, and also, where
applicable, of the steps being taken to remedy the same, and will, from
time to time, if so requested by the Lender, confirm to the Lender in
writing that save as otherwise stated in such information, no default has
occurred and/or is continuing;
h) Pay regularly all taxes, assessments, dues, duties, levies and impositions
as may, from time to time, be payable to any Government or statutory or
regulatory body or authority;
(5)
 I) The Borrowers further confirm and/or undertake as follows:
(i) The Borrower will inform all its other lenders about the Loan
availed from the Lender within thirty(30) days of disbursement;
(ii) The Borrower shall take prior permission in writing from the
Lender before taking any credit facility or any other borrowing
arrangement, whether secured or unsecured from any lender/bank
and shall submit the final sanction letter with the Lender;
(iii) The Borrowers will forthwith report to the Lender all
frauds/defalcations along with the action taken/proposed.
j) The Borrowers further confirm and/or undertake to the Lender that:-
(i) They shall maintain the same credit rating by CRISIL/CARE or any
other approved credit rating agency, as on the date of execution of
this Agreement, throughout the Term of the Loan.
(ii) That the Lender reserves at its sole discretion the right to make
disbursement or with hold the same without assigning any reason
and the Borrower will not make any claim whatsoever due to
non–disbursement of the Loan or any part thereof. The Lender
further has the unconditional right to cancel the undrawn portion of
the Loan.
(iii) The Borrowers hereby agree and confirm to abide by the
rules/regulations/circular/ direction published by the Lender time
by time.
(iv) The Borrowers confirm and undertake that all payment of amount
of interest and principal by the Borrowers shall be from its own
sources and the Borrower has not availed any external
secures/unsecured loan/facility for such payments.
(v) The Borrower shall ensure that this Agreement and other Security
Documents pursuant to this Agreement, are properly stamped and
registered (if required under the applicable Laws).
k) It is agreed and acknowledged by the Borrowers that the Borrowers shall
not be entitled to cancel the Loan or refuse to accept disbursement of the
Loan, except with the prior written consent of the Lender.
l) Covenants for Asset(s) i.e. Vehicle(s): The Borrowers hereby expressly
and irrevocably agrees to the covenants that during the term of this
Agreement, the Borrowers shall:
(i) keep the Vehicle(s) specifically appropriated to the Security
herein;
(ii) pay all rates, assessments taxes, and other outgoings which are now
or hereafter may be assessed, imposed, or payable for the Vehicle(s)
by the Government, Municipal Corporation, Registration Authority
or other authority and on demand produce to the Lender every
receipt thereof, charges, taxes, assessments or other out goings.
(iii) allow inspection of theVehicle(s) and all documents relating there
to for verification there of or making valuation by (a)the Lender
and/or (b)officers, auditors, technical experts, management
consultants, valuers or any other persons authorized for the purpose
by the Lender.
(iv) On demand being made by the Lender or without demand:-
a) to give immediate actual possession to the Lender, its
nominees or agents (as the case may be) of Vehicle(s);
b) to transfer, deliver and endorse all registrations, policies,
certificates and documents relating to the Vehicle(s) to the
Lender,its nominees or agents(as the case may be);
c) to do and execute or cause to be done and executed at the
costs and expenses of the Borrowers, all such acts, deeds,
Version December 2021
assurances, matters and things as may be required by the
Lender (i) for further assuring and confirming the Security
created herein and the rights, powers and remedy hereby
conferred and(ii) with regards to Loan extended under this
Agreement
d) sign and deliver the necessary forms that may be required to
be filed with the Registering Authority or other authorities
under the Motor Vehicles Act or any other Law for the time
being in force to record the charge of hypothecation on the
Vehicle(s) created or to be created in favour of the Lender.
e) Submit to the Lender a certified true copy of the registration
certificate relevant to the Vehicle(s) for which the Loan has
been taken. This registration certificate will be submitted
within thirty(30) days of having taken delivery of the
Vehicle(s) or ninety(90) days from the date of disbursal of the
Loan, which ever is earlier.
m) The Borrowers shall comply with all applicable Laws in relation to
availing the Loan from the Lender, and comply with all requirements of
the Lender under the applicable Laws, as may be stipulated from time to
time.
12.2. Negative Covenants: The Borrowers covenant and agree that so long as the
Loan or any part thereof is outstanding, and until full and final payment of all the
Outstanding Amounts owing hereunder, they shall not, without the prior written
consent of the Lender having been obtained:
a) pay any consideration by way of commission, brokerage, fees or in any
other form to the Guarantor(s) directly or indirectly;
b) conclude any fresh borrowing arrangements either secured or unsecured
with any other bank or financial institutions, borrower or otherwise, nor
create any further charge, lien or encumbrance over its fixed assets and
properties;
c) undertake guarantee obligations on behalf of any other borrower or any
third party;
d) make any repayment of any other loans and deposits and discharge other
liabilities except those shown in the funds flow statement submitted to the
Lender from time to time;
e) create, incur or assure any further indebtedness for borrowed money
except any indebtedness which arises in the ordinary course of business;
f) not sell, encumber, transfer or otherwise dispose of or suffer or allow to
suffer any attachment (including installation of (LPG/CNG Kit) or
distress to the Vehicle(s) or any parts thereof or allow anything that may
prejudice or endanger the security herein without the express consent in
writing of the Lender. Any direct or indirect transfer of the Vehicle(s)
would be deemed to be criminal/breach of trust and a case of cheating
entitling the Lender to file/pursue FlR or a criminal complaint against the
Borrowers and/or Guarantor(s) without prejudice to the other right and
remedies available to the Lender in Law. The Vehicle(s) are in the custody
of the Borrowers in their capacity as bailees and the Borrowers shall;
a) not apply for any duplicate registration certificate for the Vehicle(s)
otherwise than by delivering the application thereof to the Lender
for end or sing its charge on the Vehicle(s); and
b) not transfer the registration of the Vehicle(s) to any city/town other
than the city/town where the Vehicle is registered. Any such change
without prior written consent of the Lender would be deemed as
Event of Default and the Lender shall have a right including but not
limited to the demand for immediate payment of the Outstanding
Amounts.
12.3. It is the responsibility of the borrower to communicate the GSTIN number of
particular state for the purpose of billing.
12.4. In case of unregistered borrower, the address as given under Borrower's Details
would be considered for the purpose of computation of GST
(6)
12.5. In case of registered applicants, the address given under Borrower's Details shall
be considered as the registered place of business for the purpose of computation
of GST
12.6. Please note that for the purpose of this agreement, registered applicant would
mean a person registered under the GST Act.
12.7. It is the responsibility of the customer to provide AUSFB with the appropriate
records/ communication address to determine the relevant location of the
recipient of service. In case of any tax or related demand due to failure of the
customer to provide the correct address, the same will be borne by the customer.
13. CONDITIONS PRECEDENT TO THE DISBURSEMENT OF THE LOAN
The obligation of the Lender to make the disbursement under the Loan shall be subject
to the fulfillment of following conditions by the Borrowers and failure to fulfill any of
the conditions precedent could result in the Lender refusing to disburse the Loan at its
sole discretion:
13.1. Delivery of the following documents by the Borrowers to the Lender, inform and
substance satisfactory to the Lender:
a) A confirmation in writing that bank accounts of any of the Borrowers have
not been declared as default account by any other lender/banker and that
no insolvency proceeding has been initiated or filed against the Borrower,
Co-Borrower or Guarantor(s);
b) Consent/no objection certificate of all the lenders of the Borrower (If any)
shall be obtained in respect of availing of the Loan from the Lender;
c) A certificate signed by the Borrowers certifying that
(i) the representation and warranties in Clause 9 are true and correct as
at the date of this Agreement and
(ii) that no default is existing as at the date of this Agreement;
d) An undertaking in writing by the Borrowers that the disbursement shall at,
the time of request thereof, be needed immediately by the Borrower for
the purposes for which the Loan is being granted by the Lender, and the
Borrower shall produce such evidence as to utilization of the proceeds of
the disbursement as may be required by the Lender.
13.2. Payment of charges as mentioned in this Agreement.
13.3. No Event of Default as defined in Clause 16 below shall have happened and be
continuing.
13.4. Execution of this Agreement and Security Documents in favour of the Lender to
the satisfaction of the Lender and delivery of the same to the Lender.
13.5. Up front creation of the Security as agreed under this Agreement.
14. EVIDENCE OF DEBT
14.1. The Borrowers and the Guarantor(s) (jointly and severally) hereby agree(s) to
accept the Lender's accounts of sales, realization and recovery of the Asset(s) as
sufficient proof of amounts realized and related expenses.
14.2. In any legal action or proceeding arising out of or in connection with this
Agreement, the entries made in the accounts maintained pursuant to Clauses 1
and 2 above, shall be prima facie evidence of the expenses as sufficient proof of
the amount beings spent by the Lender.
15. CROSS COLLATERALIZATION
15.1 Any security(ies) furnished by the Borrower, under any other agreement entered
into or to be entered into with the Lender, shall be deemed to be the security(ies)
under this Agreement and shall not be discharged till such time all the loan(s)/
facility(ies) are fully discharged to the satisfaction of the Lender. The Borrower
expressly agrees and accepts that in the event of any default being committed by
the Borrower under any other agreement with the Lender, under which the
Borrower is enjoying financial/ credit facility, such event, shall be considered as
Version December 2021 (7)
an event of default occurred under this Agreement and the Lender, shall be
absolutely entitled to exercise all or any of its rights under this Agreement
including right to set off in respect of any amount standing to the credit of the
Borrower in any/all of the loan/ facility(ies) availed/to be availed from the
Lender.
15.2 The Borrower further agrees that the Security created pursuant to this Agreement
shall also be the security for (i) all other monies that may be due and payable by
the Borrower to the Bank, on any account whatsoever, whether present or future,
including any liability of the Borrower as a surety or co-obligator either singly or
along with any other person; (ii) Loan granted/ continued by the group
companies/associate/affiliates of the Bank to the Borrower and/or its affiliates as
declared from time to time.
15.3 The charge/Security created by the Borrower under this Agreement shall
continue and remain in full force till such time all other dues under this
Agreement and in respect of all other loans/facilities obtained/to be obtained by
the Borrower and its affiliates from the Lender, and the subsidiaries,
affiliates/associate entities of the Lender are fully discharged and Lender/
subsidiaries/affiliates/associate entities issue a certificate of discharge. The
Security created under this Agreement and the liability of the Borrower shall not
be affected, impaired or discharged by winding up (voluntary or otherwise) or by
any change in name, merger or amalgamation, reconstruction, takeover of the
management, dissolution or nationalization (as the case may be) of the
Borrower. The Borrower covenants that the security provided by the Borrower
shall remain valid for the balance dues of Lender, or any other financial benefits
obtained by the Borrower from any of the group companies.
16. EVENTS OF DEFAULT
16.1. The Borrowers hereby agree and declare that without prejudice to any other
provisions hereof, the entire Outstanding Amounts under this Agreement, if so
decided by the Lender in its absoluted is cretion (but shall not be bound to do so),
shall become forth with due and payable by the Borrowers to the Lender, without
the specific intervention of a court or any court order, upon occurrence of any
one or more of the following events similar there to, which shall constitute an
Event of Default:
i. Non-Payment: If the Borrowers fail to pay any sum due from them under
this Agreement, whether principal/interest(s)/fees/costs/charges/
expenses or otherwise due from them hereunder within the stipulated time
and/or in the manner specified in this Agreement and/or in accordance
with the terms of any other document executed or written in pursuance
hereof;
ii. General Default: The breach of, or omission to observe, or default by the
Borrowers in observing any of their obligations, covenants or
undertakings or any term, condition, provision hereof.
iii. Non-creation/Jeopardization of Security: Failure to create and perfect
the Security or to create, maintain or submit any document regarding
creation and/or perfection of the Security, to the satisfaction of the Lender
or any actor circumstances of any of the Borrowers or occurrence of any
event which could, in the sole determination of the Lender, jeopardize, in
any way, the Security, shall be construed as an Event of Default. Similarly,
occurrence of an event which would in any manner jeopardize the
Security would also be construed an Event of Default;
iv. Misrepresentation: If any representation or warranty or assurance or
covenant on the part of the Borrowers made or deemed to have been made
by the Borrowers in pursuance of this Agreement or in any notice,
certificate or statement or other writing referred to herein or delivered
hereunder or information given in the loan application is proved or found
to be in correct or misleading in any material respect;
v. The Borrower expressly agrees and accepts that in the event of any default
being committed by the Borrower under any other agreement with the
Bank, under which the Borrower is enjoying financial/ credit facility, such
event, shall be considered as an event of default occurred under this
Agreement and the Bank, shall be absolutely entitled to exercise all or any
of its rights under this Agreement including right to set off in respect of
any amount standing to the credit of the Borrower in any/all of the loan/
facility(ies) availed/to be availed from the Bank.
 a) Any financial indebtedness of the Borrower is not paid when due or
within any originally applicable grace period.
b) Any financial indebtedness of the Borrower is declared to be or
otherwise becomes due and payable prior to its specified maturity
as a result of an event of default, a default or other similar condition
or event (however described).
c) Any commitment for any financial indebtedness of the Borrower is
cancelled or suspended by any of its creditors as a result of an event
of default, a default or other similar condition or event (however
described).
d) Any creditor of the Borrower becomes entitled to declare any
financial indebtedness of the Borrower due and payable prior to its
specified maturity as a result of an event of default, a default or
other similar condition or event (however described).
vi. Non-payment of decretal amount: The Borrowers fail to pay amount
under any Court order or decree or judgment against the Borrowers;
vii. Levy of Execution or Distress: Any execution or distress is levied against
or other officer takes possession of the whole or any part of undertaking or
assets of the Borrowers;
viii. Cessation of Business: The Borrowers cease or threaten to cease to carry
on the business it carries as on the date hereof;
ix. The Borrowers or the Guarantor(s) (in case of either of them being an
individual and in case of the Guarantor(s), (if more than one, any of them)
dies or takes any steps or any steps are taken with a view to his being made
in solvent in any jurisdiction or with a view to the appointment of a
receiver, trustee or similar officer of any of his assets; or
x. Repudiation: If the Borrower repudiates this Agreement or does or
causes to be done any act or thing evidencing an intention to repudiate this
Agreement and/or any other document in relation to this Agreement;
xi. Material Adverse Change: There occurs any event, incident or situation
including but not limited to any material adverse change as determined
solely by the Lender in the business or financial or other condition or
operations or prospects of the Borrower in which the Borrower has
invested, including any legal or other action taken by any creditor against
the Borrower, or the Borrowers is declared insolvent in any jurisdiction,
which in the sole opinion of the Lender is prejudicial to the interests of the
Lender or in the sole opinion of the Lender is likely to materially affect the
financial condition of the Borrower and/or its ability to perform all or any
of its obligations under this Agreement and/or otherwise in respect of the
Loan and to comply with any of the terms of this Agreement and/or in
respect of the Loan (“Material Adverse Change”).
xii. If any regulatory proceedings are initiated or likely to be initiated, at the
sole discretion of the Lender, against any of the Borrowers;
xiii. If any government authority shall have condemned, nationalized, seized,
or otherwise expropriated all or any part of the Asset(s) of any of the
Borrowers or shall have assumed custody or control of the business or
operations of any of the Borrower, or shall have taken any action for the
dissolution of any of the Borrowers, or any action that would prevent any
of the Borrowers or their officers from carrying on its business or
operations or a substantial part thereof;
xiv. If the Borrowers sell, transfer or otherwise dispose of the whole or a
substantial part of its undertaking or assets, whether by a single
transaction or a number of transactions, without the prior written consent
of the Lender;
xv. If the Borrowers fail to pay insurance premium on the Asset(s) or the
cheque for the same is dishonoured;
xvi. It is or becomes unlawful for the Borrowers to perform all or any of its
respective obligations, as determined by the Lender under this Agreement
and Security Documents, and such unlawfulness is not remedied within
Version December 2021
five (5) business days after written notice of such unlawfulness shall have
been given to the Borrowers by the Lender (except in any case where the
unlawfulness is incapable of remedy, when no such notice as is mentioned
herein will be required);
xvii. If the Borrowers fail to pay any tax, impostor duty leviable on the Asset(s)
or comply with any other formalities with respect to the Asset(s) as
required by the Lender and government authorities under this Agreement;
xviii. The Borrowers act or desist from acting and such act or desistance
jeopardizes the powers vested in the Lender under this Agreement or any
power(s) of attorney from being exercised solely by the Lender (acting
through its Authorised Representatives);
xix. If there is any commencement of a criminal proceedings against the
Borrower;
xx. If any ordinance/legislation has been promulgated/legislated either by the
Centre or by any State Legislature which in the opinion of the Lender may
affect any of the Borrowers' business;
xxi. The title of the Security is found to be defective;
xxii. The Borrowers create or attempt to create any encumbrance, charge, lien
or any other third party rights over the Asset(s);
xxiii. The Asset(s) is destroyed, damaged stolen or is untraceable for a period of
thirty (30) days, confiscated, attached, taken into custody by any authority
or subject to any execution proceeding; or is distrait, endangered or any
other reason whatsoever causing the same to be a loss in the opinion of the
Lender or bodily injury to any person due to any accident or otherwise;
xxiv. Any of the cheques delivered or to be delivered by the Borrowers to the
Lender in terms and conditions hereof is not encashed for any reason
whatsoever on presentation; or,
xxv. Any instructions given by the Borrowers for stop payment of Post-Dated
Cheques, revoking SI/ECS/ACH/RTGS instruction, given as per Clause
3, for any reason whatsoever.
xxvi. The Asset(s) have been used or alleged to have been used for any illegal
purpose or activity;
xxvii. If the Borrowers fail to supply a certified true copy of the registration
certificate within the time frames specified under this Agreement;
xxviii. If the Borrowers fail to provide any particulars as required by the Lenders
in a format prescribed by the under this Agreement within the time limit
provided herein;
xxix. Any default, fraud by or on behalf of the Borrower or Co-Borrower, or
legal in competence of the Borrower or Co-Borrower during the currency
of this Agreement;
16.2. On the question whether any of the above Event of Default has occurred, the
decision of the Lender shall be final, conclusive and binding on the
Borrower.10.3. Without prejudice to any other provisions of this Agreement, if
an Event of Default occurs in respect of the Loan between the Lender and the
Borrower in pursuance of this Agreement, it shall be deemed as if an Event of
Default has occurred in respect of all loan facilities granted by the Lender to the
Borrower, even if the Borrowers have performed all the obligations hereunder,
and the provisions of this Agreement shall apply as if an Event of Default has
occurred in respect of all loan facilities.
16.3 Clause for Recovery Agents
Sale of Hypothecated Assets and Appointment of Recovery Agent
(i) Provided that where a recovery agent is appointed by the Bank for the
purpose of taking possession of the Hypothecated Assets (“Recovery
Agent”), the appointment and engagement of such Recovery Agent shall
be in accordance with the applicable law, including but not limited to
guidelines issued by the Reserve Bank of India from time to time. The
(8)
 intention to repossess shall be communicated to the Borrower by a prior
written notice of 07 business days.
(ii) The Recovery Agent shall be entitled to take possession only after prior
written notice of 07 business days has been sent to the Borrower before
exercising the right of taking possession, and if the Borrower fails to repay
the Loan or remedy any other Event of Default pursuant to which such
right of taking possession has been exercised by the Bank. However, no
notice shall be served on the Borrower in the event the lender comes to
know that the Borrower is trying to sale, alienate and/or part with
possession of the hypothecated assets.
(iii) The Recovery Agent shall proceed to take possession of the Hypothecated
Assets once (1) due notice has been duly sent to the Borrower as provided
in clause (ii) above, (2) no payments towards the outstanding amounts
have been made by the Borrower, and (3)the Bank has not waived the
Event of Default which has occurred, (4) the Bank exercises the rights
under the Securitization of Financial Assets And Enforcement of Security
Interest Act, 2002 (SARFAESI). The Recovery Agent shall ensure that it
shall take possession of the Hypothecated Assets in accordance with the
applicable laws.
(iv) The Borrower shall be entitled to get the possession of the Hypothecated
asset back in the event it repays the Loan within the period mentioned in
the demand notice or remedies any other Event of Default within 07
business days of the notice mentioned in clause (b) above, failing which
the Hypothecated asset shall be sold without further notice to the
Borrower and the sale proceeds shall be adjusted against the due and
outstanding amount as determined by the Bank.
(v) The Recovery Agent shall, on failure of the Borrower to remedy the Event
of Default, be entitled to proceed to sell/auction the Hypothecated Assets.
On a sale by auction or private contract or tender, the Borrower shall
accept the Bank's account of such sale signed by the Recovery Agent as
sufficient proof of the amount realised or due by or under the sale and the
costs, charges and expenses incurred in connection therewith.
(vi) On a sale by auction or private contract or tender under the provisions of
this agreement, the Bank shall be entitled to charge and retain as a part of
the costs, charges and expenses incurred in connection therewith such
commission as the Bank shall in its sole discretion fix and shall not be
liable to account for the same to the Borrower. Such commission shall be
in addition to any outgoing payable in respect of such sale. If the sale
proceeds are not sufficient to pay the amount of such commission, the
Borrower shall pay the same to the Bank on demand.”
16.4 The terms and conditions of this Agreement is adhered with the terms and
conditions of the Recovery Policy as per the RBI circular wherein parties will be
abide by provisions regarding
(i) notice period before taking possession
(ii) circumstances under which the notice period can be waived
(iii) the procedure for taking possession of the security
(iv) a provision regarding final chance to be given to the borrower for
repayment of loan before the sale / auction of the property
(v) the procedure for giving repossession to the borrower and
(vi) the procedure for sale / auction of the property.
17. ENFORCEMENT:
17.1. If any of the Borrowers fail to perform any of the obligations herein and the same
(if capable of being remedied) is not remedied within the number of days
specified by the Lender or in case of any Event of Default, then the Lender
through its officers, representatives, any other third party appointed by the
Lender for the said purpose shall be entitled to take one or more than one of the
following actions without the specific intervention of the Court or any Court
orders:
(a) After issuing a written notice to the Borrowers or without issuing
Version December 2021
any notice if the Lender in its sole discretion deems fit, at the risk
and expenses of the Borrowers take charge, possession, seize,
recover, appoint receiver an removed the Asset(s);
(b) Enter into or upon the premises of the Asset(s) and inspect or
calculate the value of the Asset(s) at the costs and expenses of the
Borrowers;
(c) Sell by public auction or private contractor tender, dispatch or
consign for realization or otherwise dispose of for take possession
of or deal with the Asset(s) in the manner that the Lender deems fit.
17.2. The Lender shall not be bound to exercise any of the powers mentioned in this
Agreement or any document executed hereunder.
17.3. Any rights exercised by the Lenders shall be without prejudice to the other rights
or remedies of the Lender of any suits, legal proceedings either pending or
arising out of this Agreement.
17.4. The Lender or its officer, representative or any third party appointed by the
Lender herein shall not be responsible for, inclusive of, but not limited to any
loss, damage, depreciation while the Asset(s) is in possession of the Lender, its
officers, agents, or any third party appointed by the Lender herein.
17.5. Unless otherwise agreed to by AUSFB any payment due and payable under the
Loan Agreement and made by the Borrower or received by AUSFB would be
appropriated towards such dues in the order, namely:
(a) EMI or principal amount of the Loan
(b) PEMI
(c) Costs, Charges, Expenses, Incidental Charges and other monies that may
have been expended by AUSFB in connections with recovery;
(d) Additional interest and/or liquidated damages on defaulted amounts;
(e) Commitment Charge and Fees;
(f) Any payment made by the Borrower under the Loan shall be adjusted
towards the interest on costs, fees & charges and other expenses; costs,
fees & charges and other expenses; interest on arrears of the Loan;
repayment of the Loan; the balance, if any, towards the dues owed by the
Borrower under any other agreement entered into with the Lender or in
such manner as the Lender may in its sole discretion consider necessary or
expedient.
18. SECURITIZATION/ASSIGNMENT
18.1. The Borrowers and the Guarantor(s) expressly agree, recognize and accept the
Lender shall be absolutely entitled to and has full power and authority to sell,
assign or otherwise transfer in any manner, in whole or in part, and in such
manner and on such terms at the Lender may decide (including if deemed
appropriate by the Lender reserving aright to the Lender to retain its power to
proceed against the Borrower and the Guarantor(s) on behalf of the purchaser,
assignee or transferee), any or all Outstanding Amounts of the Borrowers to any
third party of the Lender's choice without any reference to or without written
intimation or notice to the Borrowers and the Guarantor(s) by the Lender and
without seeking any consent of the Borrowers. Any such action and any such
sale, assignment or transfer shall bind the Borrower to accept such third party as
creditor exclusively or as a joint creditor with the Lender, or any other person, as
the case may be. Any cost incurred in this behalf, whether on account of such
enforcement of rights or recovery of Outstanding Amount shall be to the account
of the Borrowers. The Borrowers and the Guarantor(s) shall not be entitled to
assign/securitise this Agreement or any of the rights, duties or obligations of the
Borrowers hereunder, except with prior written consent of the Lender. The
Borrowers and the Guarantor(s) acknowledge and undertake to pay to the third
parties the difference between the Loan amount outstanding and the amount
received by the Lender in the event of transfer of the portfolio to a third party.
The third party shall have the authority to collect the due amounts.
18.2. The Borrowers and/or the Guarantor(s) expressly agree and recognize the right
of the Lender shall be absolute and the Lender shall have full authority over the
Asset(s) in whole or in part, and/or whether with or without the undertaking
(9)
 security, the Loan along with the amounts outstanding thereon, in such manner
and on such terms as the Lender may decide at its sole discretion.
18.3. The Lender may disclose to a potential assignee or to any person, who may
otherwise enter into contractual relations with the Lender in relation to this
Agreement such information about the Borrowers, as the Lender shall consider
appropriate.
18.4. The Borrowers and/or Guarantor(s) shall not assign or transfer all or any of their
rights, benefits and obligations hereunder except the prior written permission of
the Lender.
19. CHARGE AND EXPENSES
19.1. The Borrowers shall pay cheque swapping charges, cheque bouncing charges
and such other charges mentioned in the Schedule.
19.2. The charges mentioned in the Schedule attached to this Agreement hereunder are
subject to change at the sole discretion of the Lender. The change in the charges
shall be intimated to the Borrowers by 7 (seven) days prior to implementation of
such change. The Lender shall inform the Borrowers by way of registered post
about such changes. The Lender shall send such information to the last provided
address of the Borrowers to the Lender.
19.3. The Borrowers shall from time to time on demand reimburse the Lender for all
costs and expenses (including legal fees) that may be incurred in connection
with the preservation and/or enforcement of any of the Lender's rights under this
Agreement.
19.4. The Borrowers shall be liable to pay various charges for possession of the
Asset(s) like tow-away charges, if any incurred in transition and other such
expenses incurred by the Lender for effecting the possession of the Asset(s) and
for its safe keeping etc.
19.5. In the event of termination of this Agreement before the delivery of the Asset(s),
the Borrowers shall be liable to pay, in addition to the other charges mentioned in
this Agreement, the loan cancellation charges as mentioned in the Schedule or
decided by the Lender.
19.6. In case of any statement or duplicate Document specially required by the
Borrowers, the Lender shall charge for the same as stated in the Schedule.
19.7. All costs (including advocates cost), charges, expenses, taxes, duties (including
stamp duties) registration charges in connection with the agreement, any
document executed pursuant hereto and the creation, enforcement, realization or
attempted realization of any security, insuring and taking possession of,
maintaining, storage and selling of the vehicle shall be incurred and paid by the
Borrowers alone. In the event the stamp charges as aforesaid are paid by the
Lender on the Borrowers' behalf, the Borrowers shall reimburse the same at the
actual to the Lender within 24 hours of the Lender's demand.
19.8 If at any time hereafter it is found or required that any extra stamp duty is payable
on this Agreement and/or if it is ascertained that stamp duty at a rate higher than
the duty presently paid on this Agreement is payable/required to be paid, then the
Borrower shall immediately pay the same with penalty (if any) and keep the
Lender indemnified and save harmless at all times from the payment thereof.
20. SET-OFF AND LIEN:
20.1. Until the ultimate balance owing by the Borrowers or the Guarantor(s) becomes
nil, the Lender has been or satisfied in full, the Lender shall have a lien on all
property and assets of the Borrowers and/or the Guarantor(s) from time to time
in the possession of the Lender and a charge overall stocks, shares and market
able or other security from time to time and get any or all them registered in the
name of the Lender or its nominees whether the same beheld for safe custody or
otherwise including but not limited to the dematerialized shares or other
securities of the Borrowers, held by the Lender as a depository participant.
20.2. The Lender shall be entitled to setoff all monies, securities, deposits and other
assets and properties belonging to the Borrowers and/or the Guarantor(s) in the
possession of the Lender with or without notice, whether in, or on any account of
the Lender or otherwise, whether held singly or jointly by the Borrowers and/or
Version December 2021
the Guarantor(s) with others and may appropriate the same for the settlement of
dues hereunder.
21. CONSENT TO DISCLOSURE
21.1. The Borrowers and the Guarantors hereby agree and consent, (as a pre condition
relating to the grant of Facility given to the Borrowers by the Lender) that, the
Lender and/or RBI shall have un qualified right to
(I) disclose and furnish to CIBIL and other agency so authorised by RBI,
information and data relating to the Borrowers and the Guarantors, of the
Facility availed of/to be availed by the Borrowers, obligations assured/ to
be assured by the Borrowers and the Guarantors in relation there to and,
(ii) to disclose the name of the Borrowers and the Guarantors as defaulter in
such manner and through such medium as the Lender or RBI in their
absolute discretion may think fit. Accordingly, the Borrowers and the
Guarantors hereby agree and give consent:
(i) for the disclosure by the Lender of all or any such information and
data relating to the Borrowers and the Guarantors including name
and the names of their directors, officers and members, as
applicable;
(ii) for the disclosure by the Lender of all or any such information or
data relating to any Loan availed of/to be availed by the
Borrowers;(iii) for the disclosure by the Lender of all/any default,
committed by the Borrowers and the Guarantors in discharge of
their respective obligations under this Agreement as the Lender
may deem appropriate and necessary to disclose and furnish to
CIBIL and any other agency authorized in this behalf by RBI.
(iii) to publish the name of the Borrowers and the Guarantors and/or the
names of their directors as defaulters with or without the
photograph in any local/regional/national newspaper/magazine
etc. and/or through electronic medium which includes publication
on the website etc. and/or in such other manner and through such
other medium as the Lender / RBI may in their absolute discretion
think fit.
21.2 The Borrowers and the Guarantors hereby declare that the CIBIL and any other
agency so authorized in this regard may use, process the said information and
data disclosed by the Lender in the manner as deemed fit by them; and may
furnish for consideration, the processed information and data or products thereof
prepared by them, to the Lender or banks/financial institutions and other credit
grantors or registered users, as may be specified by the RBI in this regard.
21.3. The Borrowers and the Guarantors confirm that the Lender may for the purposes
of credit reference checks, verification, assigement, etc. disclose any
information/documents relating to the Borrowers and the Guarantors
(pertaining to the Facility availed by the Borrower) to any third party appointed
by it. The Borrowers and the Guarantors further authorize the Lender to disclose
said information /documents to RBI, income tax authorities, credit bureau, third
parties, credit rating agencies, databanks, corporates, banks, financial
institutions or any other government or regulatory authorities, statutory
authorities, quasi-judicial authorities.
22 USE OF THE ASSET(S)
22.1. The Borrowers shall ensure to use the Asset(s) only for law ful business and shall
also use the same in such manner not to offend or violate any statutory provision
relation to prohibition, excise and other Acts, central or State.
22.2. The Borrowers undertake not to use the asset either by themselves or through
their servants or agents for any purpose not permitted by the terms and condition
of the insurance policy nor door permit to be done any actor thing which might
render the insurance in valid and in particular, not to use the Asset(s) / vehicle for
transport of goods, articles, etc. in contravention of any of the provision of the
Acts of central and State legislatures relating to but not limited to forest, excise,
custom, sales tax, prohibition, opium, railway property, unlawful possession,
gold control etc. and not to engage in any unlawful or illegal activity and the
Borrowers shall be responsible for any damage or loss sustained by the Lender in
respect of the Asset(s).
(10)
23. COMMUNICATION/NOTICES/CORRESPONDENCE
23.1. Every notice, request, payment and/or other communication provide for in this
Agreement shall be:
(a) in writing, delivered by hand, or by registered post, registered airmail or
by recognized courier service, or in any other mode as agreed upon by the
Parties;
(b) deemed to have been received when delivered by hand, at the time so
delivered if during business hours on a business day for the recipient, and
if given by registered post acknowledgment due, forty eight (48) hours
after it has been put into post and be sent to the Borrowers at their address
first herein above mentioned and to the Lender at its office address first
herein above mentioned, or to such other address as either Party may in
writing here after notify to the other Party.
23.2. The notice in writing should be sent to the Borrowers and/or Guarantor(s) and
the Lender shall be sent on the address as provided in the Schedule herein.
23.3. Either Party may from time to time change its address for the receipt of notice or
other communications, however, the Parties need to provide a prior written
notice to the other Party 21 (twenty-one) days before such a change can be
caused.
22.4. Every notice/correspondence/communication sent by the Borrowers and/or
Guarantor(s) shall state the Loan account number, date of Loan and complete
Vehicle/equipment details i.e. also the Vehicle/equipment registration number,
engine number and chassis number.
24. MISCELLANEOUS
24.1. The Lender's Service Providers: It is agreed by the Borrowers, that without
prejudice to any rights of the Lender, all acts/steps as are necessary for the
Lender to take in order to monitor/administer the Loan and/or its utilization
and/or the obligation of the Borrowers and/or the Borrowers' compliance with
the terms hereof and/or to recover amounts due to the Lender, shall and/or may
be carried out by and/or through such other person/s (including a company or
body corporate) as may from time to time be appointed by the Lender in respect
there of and that the Lender will at all times be entitled to share with any such
other person that may thus be appointed by the Lender, all documents,
statements of accounts and other information of whatsoever nature pertaining to
the Borrowers and/or the Loan. The Borrowers expressly recognize and accept
that the Lender shall, without prejudice to its right to perform such activities
itself or through its officer or servants, be absolutely entitled and have full power
and authority to appoint one or more third parties of the Lender's choice and to
transfer and delegate to such third parties the right and authority to collect on
behalf of the Lender all amounts hereunder and to perform/execute all acts,
deeds, matters and things connected therewith or incidental thereto including
sending notices of demand, attending the residence or office of the Borrowers or
otherwise contacting the Borrowers, receiving the installments in
cash/draft/cheque whether in the name of the Lender or in its own name from the
Borrowers, entering in to a compromise with the Borrowers, giving a valid
receipt and granting effectual discharge to the Borrowers and generally
performing all lawful acts as the third parties may consider appropriate for the
purpose. For the purpose aforesaid or for any other purpose at the discretion of
the Lender, the Lender shall be entitled to disclose to such third parties all
necessary or relevant information pertaining to the Borrower and the Loan and
the Borrowers hereby consent to such disclosure by the Lender.
Notwithstanding the above, the Borrowers expressly accept and authorize the
Lender to disclose any such third party information pertaining to the Borrowers
and the Loan to any such third party as the Lender may select and the Borrowers
hereby consent such disclosure by the Lender.
24.2. Overriding Effect: This Agreement and any other documents attached hereto or
referred to herein, integrate all the terms and conditions mentioned herein or
incidental hereto, and supersede all oral negotiations and prior writings in
respect of the subject matter hereof, except for those provisions of the sanction
letter issued prior to this Agreement which are in addition to and complement,
and are not the same or in conflict with, the terms of this Agreement.
Version December 2021
25. GOVERNING LAW AND JURISDICTION
25.1. This Agreement and all documents executed under/in relation to this Agreement
shall be governed by and construed in accordance with the laws of India. Subject
to Article 28 (Arbitration) above, the borrowers, co borrowers , guarantor and
lender herein refer as “Parties” hereto expressly agree that all disputes arising
out of and/or relating to this Agreement including any collateral document shall
be subject to the exclusive jurisdiction of a competent court in Jaipur, Rajasthan
and that accordingly any suit, action or proceedings (referred to as
“Proceedings”) arising out of or in connection with this Agreement may be
brought in such courts or the tribunals and the Borrower irrevocably submits to
and accepts the jurisdiction of those courts or tribunals.
26 Acceptance
26.1 In case of the death of the Borrowers, where the Borrowers are an individual, the
legal representative shall do the following:
i. Apply under the Motor Vehicles Act 1988 to get the Asset(s) transferred in
his name.
ii. Replace the Post dated cheques, insurance premia cheques, fees charges,
and residual cheques signed by the deceased Borrowers, in the same
manner as provided in this Agreement as if he were the Borrowers in the
first instance.
iii. Execute a fresh Agreement, powers of attorney and such other documents
as required by the Lender. Provided that the Lender shall be entitled to
exercise its sole discretion in determining whether or not to enter into an
Agreement etc. with the legal representative and subject to the legal
representative meeting the Lender's credit criteria and other requirements
from time to time.
iv In case the legal representative does not or refuses to follow the above
procedure or does not meet with the Lender's credit and other
requirements the Lender shall be entitled to, at sole discretion
repossess/dispose off/sell/transfer the Asset(s) to any third party, which
the Lender shall nominate and the short fall on such recovery shall be
recovered from the legal representative.
26.2 I Shall carry out all my family transaction through AU SMALL FINANCE
BANK LIMITED.
27. REGULATORY DECLARATION
27.1 Declarations (in case Borrower is a company): By signing this Agreement, the
Borrower hereby declares that as at the date hereof, none of its directors or
Guarantor (or any of its directors, if applicable) is a director/senior officer of a
director/senior officer of a banking company, or in a specified near relation of a
director/senior officer of the Lender. Except to the extent disclosed to the Bank,
all the Borrower’s contracts or agreements with, or any commitments to, any
affiliates or group companies (if applicable) are on arm’s length basis. Further,
no director of the Bank is a director, manager, managing agent, employee or
guarantor of the Borrower/its subsidiary/holding company, or holds substantial
interest, in the Borrower/its subsidiary/holding company and no directors of any
other Bank, including directors of scheduled cooperative bank and directors of
subsidiaries/trustees of mutual fund/venture capital funds holds substantial
interest or is interested as director or as a guarantor of the Borrower. The
Borrower or any directors/ promoters/ associate concerns/ of any of the
Borrower (including the Guarantor) are not and, to the best of their knowledge:
(i) on the Export Credit Guarantee Corporation’s (ECGC’s) specified
approval list; or
(ii) convicted under the provisions of Conservation of Foreign Exchange and
Prevention of Smuggling Activities Act, 1974; or
(iii) on RBI’s wilful defaulters/ caution list; or
(iv) on the Lender’s defaulter list; or
(v) or not qualified to act as director in accordance with applicable Law.
(11)
 In case where the above negative confirmations/ declarations are not true, then
the Borrower shall provide a written declaration with details of such relationship
to the Lender. If the details of such declaration change during the term of the
Facility, then the Borrower shall promptly provide a written declaration to the
Lender of any such changes.
27.2 The Borrower hereby gives specific consent to the Bank/Lender for disclosing /
submitting the ‘financial information’ as defined in Section 3 (13 ) of the
Insolvency and Bankruptcy Code, 2016 ( ‘Code’ for brief ) read with the relevant
Regulations/ Rules framed under the Code, as amended and in force from time to
time and as specified there under from time to time, in respect of the Credit/
Financial facilities availed from the Bank/ Lender, from time to time, to any
‘Information Utility’ ( ‘IU’ for brief ) as defined in Section 3 ( 21 ) of the Code, in
accordance with the relevant Regulations framed under the Code, and directions
issued by Reserve Bank of India to the banks from time to time and hereby
specifically agree to promptly authenticate the ‘financial information submitted
by the Bank/Lender, as and when requested by the concerned ‘IU”.
27.3 Bank shall be entitled to contact the Borrower and the Guarantor for any
promotional campaign/offers through any electronic media including
WhatsApp. Timely repayment of the loan facility is essence of this contract.
28 Arbitration
All matters, questions, disputes, default, difference and or claims arising out of
and/or concerning and/or in connection and/or in consequence of breaches,
termination or invalidity thereof or relating to this Agreement, whether or not
obligations of either or both parties under this Agreement be subsisting at the
time of such dispute and whether or not this agreement has been terminated or
purported to the terminated or completed shall be settled by arbitration in
accordance with the provision of Arbitration and Conciliation Act 1996 or any
statutory amendment thereof and shall be referred to the sole arbitrator to be
nominated by the Lender/Bank. The award given by the sole arbitrator shall be
final and binding on all parties to all parties to the Agreement. The seat of
arbitration shall be Jaipur, Rajasthan.
In respect of the matters where it is determined in an arbitration proceeding
conducted in accordance with the preceding paragraph that (i) the arbitration
proceeding provided in such paragraph is unenforceable; or (ii) the subject
matter thereof is non-arbitrable under the Indian Arbitration and Conciliation
Act 1996, as amended, in such a situation, courts in Jaipur, India will have
exclusive jurisdiction in relation to such matters, each party irrevocably waives
any right it may have to object to an action being brought in any of those courts,
to claim that the action has been brought in an inconvenient forum or to claim
that those courts do not have jurisdiction.

DECLARATION
I/We_________________________________________________________________________________(hereinafter referred as the "borrower") hereby declare
that, I/We have fully read and understood and were explained about the loan agreement, and I/We accept and agree to all contents and terms and conditions/
general notes mentioned in the agreement from page 1 to 25 and all paragraphs/clauses from 01 to 28 and schedule and also confirm to abide by same and the
aforesaid other documents. Pursuant to the same the aforesaid person(s) is / are affixing his / her / their signature(s) / thumb impression(s) as given herein below.
I/ We confirm that whatever I/We have stated hereinabove is true and correct to the best of my our knowledge and belief and I/We enter into this agreement
voluntarily, with full knowledge of its effect and signing of this document shall construed as signing of each and every page of loan agreement and all other
documents.

WITNESS DECLARATION IF THE BORROWER(S) SIGNS IN VERNACULAR LANGUAGE

The contents of the Loan Application, Agreement, power of attorney, memorandum of deposit of title deeds, declaration and promissory note have been
explained by me to the applicant/co-applicant in ___________________________________ (name of language in which applicant signed) and the same
have been understood by the applicant/co-applicant.

_¢Zo AmnHo$ ~¢oH$ _| bmoZ Ho$ {bE AmdoXZ {H$`m h¡& Am¡a _¢Zo EJ«r_oQ> H$s A§J«oOr ^mfm H$mo n‹T> {b`m h¡ / g_P {b`m / g_Pm {X`m J`m h¡ Am¡a _oao H$mo _mÝ` h¡& _¢ AnZo hñVmja
{hÝXr _| H$aVm / H$aVr hÿ± `m A±JyR>m bJmVm / bJmVr hy±&

For the Borrower:

The Seal of the within named Borrower, [_____________________________________], has, pursuant to the resolution of its
Board of Directors, passed in that behalf on the _________ day of _________, ________, hereunto been affixed in the presence of
___________

(Only if Vernacular Declaration is Applicable)

AU SMALL FINANCE BANK LIMITED

Version December 2021 (12)

 Schedule/Key Fact Statement

(2)
(2)
(a) Interest chargeable (In case of Floating Rate Loans) (a) ….% (MCLR/.........+………)
(b) Interest chargeable (In case of Fixed) (b) ….%
Date of reset of interest NA
Mode of communication of changes in interest rates Letter
Fee payable
On application
(Pl individually specify all type of fee ) _______% on initial sanction at the time of disbursement
During the term of the loan _______% of the sanction limit at the time of review of the
(Pl individually specify all type of fee ) account or after completion of 1 year of the account
On foreclosure 5% of Principal Outstanding, if paid before 12 Months
(Pl individually specify all type of fee ) 3% of Principal Outstanding balance, if paid after 12 Months
Fee refundable if loan not sanctioned/disbursed
Conversion charges for switching from
floating to fixed interest and vice-versa NA
Penalty for delayed payments 0 for loans upto Rs. 25,000. Above Rs. 25,000/- penal interest
shall be charged at a rate upto 3% p.m. over the applicable rate
EMI payable
EMI due date (Repayment Schedule)
Details of security/collateral obtained Loan Against Vehicle
Date on which annual outstanding balance Annually Send through E-mail ID
statement will be issued copy of this agreement is uploaded on the Bank’s website.

Rs. 500/- Upto 3% of loan amount, Min. Rs. 500/-

Rs. 500/-

Upto Rs. 2000/-

Collection Charges Rs. 600/- per visit Bank

Version December 2021 (13)

 (Example of SMA, NPA Classification and NPA Upgradation of Term Loan Cases)
1. IRAC Circular Refer Para No. 2.1.2 (i) - interest and/ or instalment of principal remains overdue for a period of more than 90 days in respect of a term
loan











Example Description - SMA and NPA Classification of Term Loan Cases based on overdue date.
Example Detail: If due date of a loan account is March 31, 2021, and complete dues are not received before the lending institution runs the day-end process on this
date, the date of overdue shall be March 31, 2021. If it continues to remain overdue, then this account shall get tagged as SMA-1 upon running day-end process on
April 30, 2021 i.e. upon completion of 30 days of being continuously overdue. Accordingly, the date of SMA-1 classification for that account shall be April 30,
2021.“Similarly, if the account continues to remain overdue, it shall get tagged as SMA-2 upon running day-end process on May 30, 2021 and if continues to
remain overdue further, it shall get classified as NPA upon running day-end process on June 29, 2021. This is further elaborated as below mention table:

Date
DPD
Classification






"31-Mar-21 “(Due Date)"
1
SMA-0






30-Apr-21
31
SMA-1






30-May-21
61
SMA-2






29-Jun-21
91
NPA





IRAC Circular Refer Para No. 4.2.5 - If arrears of interest and principal are paid by the borrower in the case of loan accounts classified as NPAs, the account
should no longer be treated as nonperforming and may be classified as ‘standard’ accounts.
Example Description - Upgradation of NPA Account: loan accounts classified as NPAs may be upgraded as ‘standard’ asset only if entire arrears of interest and
principal are paid by the borrower







Date
Due Amount
DPD
Classification




"31-Mar-21 “(Due Date)"
10000
1
SMA-0





30-Apr-21
10000
31
SMA-1





30-May-21

61
SMA-2





31-May-21
10000







29-Jun-21

91
NPA





30-Jun-21
10000







1-Jul-21


Upgradation*



*Upgradation of Account to standard category can be done after total pending due of Rs. 40000 is received from borrower by the Bank

2. IRAC Circular Reference Para No. 4.2.7 (c) - Asset Classification to be borrower-wise and not facility-wise“Para No. 4.2.7.1 -It is difficult to envisage a
situation when only one facility to a borrower/one investment in any of the securities issued by the borrower becomes a problem credit/investment and not others.
Therefore, all the facilities granted by a bank to a borrower and investment in all the securities issued by the borrower will have to be treated as NPA/NPI and not the
particular facility/investment or part thereof which has become irregular.
Example Description - NPA Classification on based on borrower wise and not facility wise.
Example: If any Facility of customer is classified as NPA upon running day-end process as on date, all the facility of the customer need to be classified NPA upon
same day. It is further explained as below mention table:





Customer ID
Facility Name
Date
NPA Reason





A
Term Loan 1
29-Jun-21
NPA Classified as per above Example


A
Term Loan 2
29-Jun-21
NPA Classified Due to Customer A Term Loan 1 is classified NPA

A
Cash Credit / Overdraft
29-Jun-21 NPA Classified Due to Customer A Term Loan 1 is classified NPA
IRAC Circular Refer Para No. 4.2.5 - If arrears of interest and principal are paid by the borrower in the case of loan accounts classified as NPAs, the account
should no longer be treated as nonperforming and may be classified as ‘standard’ accounts.
Example Description - Upgradation of NPA Account: loan accounts classified as NPAs may be upgraded if arrears of interest and principal are repaid in all the
facilities of the borrower









Customer ID
Facility Name
Date
NPA Reason





A
Term Loan 1
29-Jun-21
NPA Classified as per above Example

A
Term Loan 2
29-Jun-21
NPA Classified Due to Customer A Term Loan 1 is classified NPA

A
Cash Credit / Overdraft
29-Jun-21
NPA Classified Due to Customer A Term Loan 1 is classified NPA

A
Term Loan 1
15-Jul-21
Upgrade*





A
Term Loan 2
15-Jul-21
Upgrade*

A
Cash Credit / Overdraft
15-Jul-21
Upgrade*




*Upgradation of Borrower's accounts to standard can be done if arrears of interest and principal are repaid in all the facilities of the borrower

Version December 2021

(14)
I/we _________________________________________________________son/daughter/wife of______________________

aged about__________________ years, residing at____________________________________________________________

(hereinafter referred to as the “the Borrower” which expression shall include his/her heir(s), executor(s), administrator(s) and

permitted assigns(s))being insured in terms of the insurance policy bearing no. _________________ dated ___________ (“the

Insurance Policy”) availed from ___________________________________________ (Insurer) to secure the insured under the

Insurance Policy having have taken a loan of Rs. ____________________________________________________________vide

Agreement for Loan and Guarantee, dated _________ (“the Agreement”) from AU SMALL FINANCE BANK LIMITED, CIN no.

L36911RJ1996PLC011381, a small finance bank, having its registered office at 19 – A, Dhuleshwar Garden, Ajmer Road, Jaipur –

302001 (hereinafter referred to as “the Bank”), hereby state that I/we have no objection to the Bank receiving the insurance

claim/benefit under the Insurance Policy and am/are hereby transferring and assigning my /our right to receive the insurance

claim/benefit under the Insurance Policy to the Bank, notwithstanding any other name I/we may have given in any other

document. I/we hereby also confirm that any money/claim payable to me/us in terms of the Insurance Policy shall be payable to

the Bank (in the name of the Bank),only as long as the loan amount is outstanding/the vehicle is hypothecated with the Bank, in

the event of the death of the policy holder/insured. This no objection certificate shall not be valid for any purpose other than for

obtaining the payment of the insurance claim/benefit in respect of the Insurance Policy by the Bank.

(Common seal of the Borrower to be affixed if the Borrower is a company and the Articles of Association for such affixation)

Version December 2021 (15)

.
 ACKNOWLEDGMENT LETTER

Please find below the details of cheques submitted to AU Small Finance Bank Limited ("the Lender") in consideration of the loan/facility of Rs
………………. ("Facility") granted to the …………………. ("Borrower").

Type of Cheque
Cheque No
Bank Name

Post Dated cheque ("PDC)

Security PDC ( SPDC)

Insurance Premium Cheques

The Bank confirms that the physical cheques were cross tallied with the above schedule and found correct. We request you to carefully read the
information/terms of our acceptance stated herein below and as a token of your consent, kindly sign the duplicate copy of this letter and return the
same to us.

Bank Officer.

I/we hereby confirm that I/we have handed over ___________ no. of cheques ("PDCs") with detailed as above towards the repayment of EMI/as
a security for the Facility availed from the Lender or towards payment of insurance premium as specified above and that all cheques were drawn
in favor of "AU Small Finance Bank Limited" and also recorded my/our name on the reverse side of all the cheques. I/we hereby unconditionally
and irrevocable authorize and confirm the authority of the Lender as per the provisions of Negotiable Instruments Act ("the act") to fill in the
date and the amount on the said cheques and to complete the cheque in all respect and to present the same for the payment. I/we shall ensure that
the said cheques are honoured on presentation for payment. I/we agree and acknowledge that I/we have issued the PDCs voluntarily in discharge
of legal debt owed to the Lender by the Borrower. I /we agree, acknowledge and confirm that the PDCs are intended to be used by Lender to
recover the legal debts due from the Borrower to the Lender under various disbursements made by the Lender and hereby unconditionally
and irrevocably authorizes the Lender to use the PDCs for repayment of the Facility. I/we hereby confirms that I am/we are aware of the
fact that any dishonor of any PDCs so issued by me/us and presented by the Lender for payment would constitute an offence under
provisions of The Negotiable Instrument Act, 1881 and the Lender may take such action against me/us as may be advised. Prior to the PDCs
issued by me being exhausted, I/we shall issue fresh PDCs to the Lender, and such instruments would be governed by the provisions of this letter.
I/we shall not to take any steps, which in any way, affect or are likely to affect the payment thereunder to the Lender including, without limitation,
any stop payment instructions. In the event that there is any change in the authorised signatories for its relevant bank account(s), I/we shall
either give unconditional and irrevocable instructions to the bank on whom the PDCs have been drawn to clear and honour all such PDCs
(details of which shall be provided to the Lender) bearing the signatures of the authorised signatories before the change or, in the alternative, I/we
shall issue fresh PDCs to the Lender or submit fresh PDCs duly signed by new authorized signatory as the case may be. While all necessary
steps would be taken by the Lender to ensure safe holding of the PDCs and having the same picked up , processed and cleared through agents,
courier agencies, correspondent bank(s), the same will be entirely at the my/our risk and cost. ln the event any PDCs issued as above by me/us is
lost in transit or misplaced or for any reason, I /we agree to give replacement cheque(s) to the Lender immediately upon receipt of a written
request from the Lender in this regard. If I/we cancel the PDCs given to the Lender or close the relevant bank account(s) or change the
authorized signatory for the relevant bank account(s) or attempts to cancel the PDCs without the prior written consent of the Lender, such
acts shall be deemed to have been committed with a criminal intent to cause wrongful loss to the Lender and would be construed as an Event of
Default and the Lender shall be entitled to initiate appropriate legal proceedings including criminal proceedings against me/us and the Borrower,
without prejudice to the Lender's other rights and remedies under applicable Law(s).

Dated at ................................ this ................................ day of ................................ 20 ................................

X---------------------------- (Account Holder)

Version December 2021 (16)

 AU Small Finance Bank Ltd.

AU Small Finance Bank Ltd.

Version December 2021 (17)

.
Version December 2021 (18)
.
 END USE LETTER

To,
AU Small Finance Bank Limited
_________________________ (Branch)

Ref: Loan Application No._____________ and Loan Account No. _______________________________

in the name of ________________________________________________________________________
Sub: End use of funds borrowed from AU Small Finance Bank Limited ("Bank")
Dear Sir,

I/We, ______________________________________________________________________ refer to the

Application No. _______________________________________________________________________
dated_____________________________________________________________. I/We had availed the
facility amounting to Rs. ___________________________________________________ ("Facility") vide
facility agreement dated ________________ ("Facility Agreement"). The Facility is utilized for below
mentioned purpose:
A.
Agriculture use
B.
Allied Agriculture Activity
C.
Manufacturing
D.
Business Expansion
E.
Commercial / Taxi use
F.
Personal use
G.
Other _______________________________________ (pls. tick mark whichever is applicable)
I/We hereby represent, warrant and confirm that the aforesaid purpose is a valid purpose and is not
speculative or illegal in any manner.
I/We further agree, confirm and undertake that the purpose of use of funds under the Facility shall not be
changed/has not been changed in any manner during the tenor of the Facility under the Facility Agreement;
or that such change in purpose shall take place only with the prior written permission of the Bank.
I/We agree that any breach or default in complying with all or any of the aforesaid undertaking(s) will
constitute an event of default under the facility agreement and/or the Lender may initiate any prompt action
as may be necessary at its sole discretion including and not limited to recall of the facility

Dated: (Signature of Borrower) _____________________

Place: (Name of Borrower) ________________________

Version December 2021 (19)

 Applicant

FORM NO. 60 [See second proviso to Rule 114B]

Form for declaration to be filed by an individual or a person (not being a company or firm) who does not have a permanent account number and who enters
into any transaction specified in rule 114B

First Name

1 Middle Name

Last Name

Date of Birth/
2 D D M M Y Y Y Y
Incorporation of declarant

First Name
Father's Name
3 Middle Name
(in case of individual)

Last Name

4 Flat/ Room No. 5 Floor No.

6 Name of premises 7 Block Name/No.

8 Road/ Street/ Lane 9 Area/ Locality

10 Town/ City 11 District

12 State 13 Pin Code

Telephone Number
14 15 Mobile Number
(with STD code)

Amount of
16 17 Date of transaction D D M M Y Y Y Y
transaction (Rs.)

18 In case of transaction in joint names, number of persons involved in the transaction

19 Mode of transaction Cash Cheque Card Draft/Banker's Cheque Online transfer Other

20 Aadhaar Number issued by UIDAI (if available)

21 If applied for PAN and it is not yet generated, enter date of application and acknowledgement number D D M M Y Y Y Y

If PAN not applied, fill estimated total income (including income of spouse, minor child etc. as per section 64 of Income-tax Act, 1961) for the
financial year in which the above transaction is held
22
a) Agricultural income (Rs.) b) Other than agricultural income (Rs.)

Details of document being produced

Name of address of the authority
in support of identifying Name Document Code Document Identification No.
issuing the Document
(Refer Instruction overleaf)

23

Details of document being produced

Name of address of the authority
in support of identifying Address Document Code Document Identification No.
issuing the Document
(Refer Instruction overleaf)

24

Version December 2021 (20)

 Verification
I, do hereby declare that what is stated above is true to the best of my knowledge and belief.
I further declare that I do not have a Permanent Account Number and my/ our estimated total income (including income of spouse, minor child etc. as per section 64 of
Income-tax Act, 1961) computed in accordance with the provisions of Income-tax Act, 1961 for the financial year in which the above transaction is held will be less than
maximum amount not chargeable to tax.

Verified today, the ______________ day of ______________ 20_____ Place: ____________ (Signature of declarant)

Note:
1.Before signing the declaration, the declarant should satisfy himself that the information furnished in this form is true, correct and complete in all respects.
Any person making a false statement in the declaration shall be liable to prosecution under section 277 of the Income-tax Act, 1961 and on conviction be punishable,-
(i)in a case where tax sought to be evaded exceeds twenty-five lakh rupees, with rigorous imprisonment which shall not be less than six months but which may extend to
seven years and with fine;
(ii)in any other case, with rigorous imprisonment which shall not be less than three months but which may extend to two years and with fine.

2.The person accepting the declaration shall not accept the declaration where the amount of income of the nature referred to in item 22b exceeds the maximum amount
which is not chargeable to tax, unless PAN is applied for and column 21 is duly filled.
Instruction:
(1) Documents which can be produced in support of identity and address (not required if applied for PAN and AADHAAR No. is filled): -

Document Proof of Proof of

S.No. Nature Of Document
Code Identity Address

A For Individuals and HUF

1. AADHAAR card 01 Yes Yes

2. Bank/Post office passbook bearing photograph of the person 02 Yes Yes
3. Elector's photo identity card 03 Yes Yes
4. Ration/Public Distribution System card bearing photograph of the person 04 Yes Yes
5. Driving License 05 Yes Yes
6. Passport 06 Yes Yes
7. Pensioner Photo card 07 Yes Yes
8. National Rural Employment Guarantee Scheme (NREGS) Job card 08 Yes Yes
9. Caste or Domicile certificate bearing photo of the person 09 Yes Yes
10. Certificate of identity/address signed by a Member of Parliament or Member of
Legislative Assembly or Municipal Councillor or a Gazetted Officer as per 10 Yes Yes
annexure A prescribed in Form 49A
11. Certificate from employer as per annexure B prescribed in Form 49 A 11 Yes Yes
12. Kisan passbook bearing photo 12 Yes No
13. Arm's license 13 Yes No
14. Central Government Health Scheme /Ex-servicemen Contributory Health Scheme card 14 Yes No
15. Photo identity card issued by the government/ Public Sector Undertaking 15 Yes No
16. Electricity bill (Not more than 3 months old) 16 No Yes
17. Landline Telephone bill (Not more than 3 months old) 17 No Yes
18. Water bill (Not more than 3 months old) 18 No Yes
19. Consumer gas card/book or piped gas bill (Not more than 3 months old) 19 No Yes
20. Bank Account Statement (Not more than 3 months old) 20 No Yes
21. Credit Card statement (Not more than 3 months old) 21 No Yes
22. Depository Account Statement (Not more than 3 months old) 22 No Yes
23. Property registration document 23 No Yes
24. Allotment letter of accommodation from Government 24 No Yes
25. Passport of spouse bearing name of the person 25 No Yes
26. Property tax payment receipt (Not more than one year old) 26 No Yes

B For Association of persons (Trusts)

Copy of trust deed or copy of certificate of registration issued by Charity Commissioner 27 Yes Yes

C For Association of persons (other than Trusts or Body of Individuals or Local authority or Artificial Juridical Person)

Copy of Agreement or copy of certificate of registration issued by Charity commissioner or

Registrar of Cooperative society or any other competent authority or any other document 28 Yes Yes
originating from any Central or State Government Department establishing identity and
address of such person.

(2)In case of a transaction in the name of a Minor, any of the above mentioned documents as proof of Identity and Address of any of parents/guardians of such minor shall be
deemed to be the proof of identity and address for the minor declarant, and the declaration should be signed by the parent/guardian.
(3)For HUF any document in the name of Karta of HUF is required.
(4)In case the transaction is in the name of more than one person the total number of persons should be mentioned in Sl. No. 18 and the total amount of transaction is to be
filled in Sl. No. 16.
In case the estimated total income in column 22b exceeds the maximum amount not chargeable to tax the person should apply for PAN, fill out item 21 and furnish proof of
submission of application.
Version December 2021 (21)
 Co-Applicant

FORM NO. 60 [See second proviso to Rule 114B]

Form for declaration to be filed by an individual or a person (not being a company or firm) who does not have a permanent account number and who enters
into any transaction specified in rule 114B

First Name

1 Middle Name

Last Name

Date of Birth/
2 D D M M Y Y Y Y
Incorporation of declarant

First Name
Father's Name
3 Middle Name
(in case of individual)

Last Name

4 Flat/ Room No. 5 Floor No.

6 Name of premises 7 Block Name/No.

8 Road/ Street/ Lane 9 Area/ Locality

10 Town/ City 11 District

12 State 13 Pin Code

Telephone Number
14 15 Mobile Number
(with STD code)

Amount of
16 17 Date of transaction D D M M Y Y Y Y
transaction (Rs.)

18 In case of transaction in joint names, number of persons involved in the transaction

19 Mode of transaction Cash Cheque Card Draft/Banker's Cheque Online transfer Other

20 Aadhaar Number issued by UIDAI (if available)

21 If applied for PAN and it is not yet generated, enter date of application and acknowledgement number D D M M Y Y Y Y

If PAN not applied, fill estimated total income (including income of spouse, minor child etc. as per section 64 of Income-tax Act, 1961) for the
financial year in which the above transaction is held
22
a) Agricultural income (Rs.) b) Other than agricultural income (Rs.)

Details of document being produced

Name of address of the authority
in support of identifying Name Document Code Document Identification No.
issuing the Document
(Refer Instruction overleaf)

23

Details of document being produced

Name of address of the authority
in support of identifying Address Document Code Document Identification No.
issuing the Document
(Refer Instruction overleaf)

24

Version December 2021 (22)

 Verification
I, do hereby declare that what is stated above is true to the best of my knowledge and belief.
I further declare that I do not have a Permanent Account Number and my/ our estimated total income (including income of spouse, minor child etc. as per section 64 of
Income-tax Act, 1961) computed in accordance with the provisions of Income-tax Act, 1961 for the financial year in which the above transaction is held will be less than
maximum amount not chargeable to tax.

Verified today, the ______________ day of ______________ 20_____ Place: ____________ (Signature of declarant)

Note:
1.Before signing the declaration, the declarant should satisfy himself that the information furnished in this form is true, correct and complete in all respects.
Any person making a false statement in the declaration shall be liable to prosecution under section 277 of the Income-tax Act, 1961 and on conviction be punishable,-
(i)in a case where tax sought to be evaded exceeds twenty-five lakh rupees, with rigorous imprisonment which shall not be less than six months but which may extend to
seven years and with fine;
(ii)in any other case, with rigorous imprisonment which shall not be less than three months but which may extend to two years and with fine.

2.The person accepting the declaration shall not accept the declaration where the amount of income of the nature referred to in item 22b exceeds the maximum amount
which is not chargeable to tax, unless PAN is applied for and column 21 is duly filled.
Instruction:
(1) Documents which can be produced in support of identity and address (not required if applied for PAN and AADHAAR No. is filled): -

Document Proof of Proof of

S.No. Nature Of Document
Code Identity Address

A For Individuals and HUF

1. AADHAAR card 01 Yes Yes

2. Bank/Post office passbook bearing photograph of the person 02 Yes Yes
3. Elector's photo identity card 03 Yes Yes
4. Ration/Public Distribution System card bearing photograph of the person 04 Yes Yes
5. Driving License 05 Yes Yes
6. Passport 06 Yes Yes
7. Pensioner Photo card 07 Yes Yes
8. National Rural Employment Guarantee Scheme (NREGS) Job card 08 Yes Yes
9. Caste or Domicile certificate bearing photo of the person 09 Yes Yes
10. Certificate of identity/address signed by a Member of Parliament or Member of
Legislative Assembly or Municipal Councillor or a Gazetted Officer as per 10 Yes Yes
annexure A prescribed in Form 49A
11. Certificate from employer as per annexure B prescribed in Form 49 A 11 Yes Yes
12. Kisan passbook bearing photo 12 Yes No
13. Arm's license 13 Yes No
14. Central Government Health Scheme /Ex-servicemen Contributory Health Scheme card 14 Yes No
15. Photo identity card issued by the government/ Public Sector Undertaking 15 Yes No
16. Electricity bill (Not more than 3 months old) 16 No Yes
17. Landline Telephone bill (Not more than 3 months old) 17 No Yes
18. Water bill (Not more than 3 months old) 18 No Yes
19. Consumer gas card/book or piped gas bill (Not more than 3 months old) 19 No Yes
20. Bank Account Statement (Not more than 3 months old) 20 No Yes
21. Credit Card statement (Not more than 3 months old) 21 No Yes
22. Depository Account Statement (Not more than 3 months old) 22 No Yes
23. Property registration document 23 No Yes
24. Allotment letter of accommodation from Government 24 No Yes
25. Passport of spouse bearing name of the person 25 No Yes
26. Property tax payment receipt (Not more than one year old) 26 No Yes

B For Association of persons (Trusts)

Copy of trust deed or copy of certificate of registration issued by Charity Commissioner 27 Yes Yes

C For Association of persons (other than Trusts or Body of Individuals or Local authority or Artificial Juridical Person)

Copy of Agreement or copy of certificate of registration issued by Charity commissioner or

Registrar of Cooperative society or any other competent authority or any other document 28 Yes Yes
originating from any Central or State Government Department establishing identity and
address of such person.

(2)In case of a transaction in the name of a Minor, any of the above mentioned documents as proof of Identity and Address of any of parents/guardians of such minor shall be
deemed to be the proof of identity and address for the minor declarant, and the declaration should be signed by the parent/guardian.
(3)For HUF any document in the name of Karta of HUF is required.
(4)In case the transaction is in the name of more than one person the total number of persons should be mentioned in Sl. No. 18 and the total amount of transaction is to be
filled in Sl. No. 16.
In case the estimated total income in column 22b exceeds the maximum amount not chargeable to tax the person should apply for PAN, fill out item 21 and furnish proof of
submission of application.
Version December 2021 (23)
 Gaurantor

FORM NO. 60 [See second proviso to Rule 114B]

Form for declaration to be filed by an individual or a person (not being a company or firm) who does not have a permanent account number and who enters
into any transaction specified in rule 114B

First Name

1 Middle Name

Last Name

Date of Birth/
2 D D M M Y Y Y Y
Incorporation of declarant

First Name
Father's Name
3 Middle Name
(in case of individual)

Last Name

4 Flat/ Room No. 5 Floor No.

6 Name of premises 7 Block Name/No.

8 Road/ Street/ Lane 9 Area/ Locality

10 Town/ City 11 District

12 State 13 Pin Code

Telephone Number
14 15 Mobile Number
(with STD code)

Amount of
16 17 Date of transaction D D M M Y Y Y Y
transaction (Rs.)

18 In case of transaction in joint names, number of persons involved in the transaction

19 Mode of transaction Cash Cheque Card Draft/Banker's Cheque Online transfer Other

20 Aadhaar Number issued by UIDAI (if available)

21 If applied for PAN and it is not yet generated, enter date of application and acknowledgement number D D M M Y Y Y Y

If PAN not applied, fill estimated total income (including income of spouse, minor child etc. as per section 64 of Income-tax Act, 1961) for the
financial year in which the above transaction is held
22
a) Agricultural income (Rs.) b) Other than agricultural income (Rs.)

Details of document being produced

Name of address of the authority
in support of identifying Name Document Code Document Identification No.
issuing the Document
(Refer Instruction overleaf)

23

Details of document being produced

Name of address of the authority
in support of identifying Address Document Code Document Identification No.
issuing the Document
(Refer Instruction overleaf)

24

Version December 2021 (24)

 Verification
I, do hereby declare that what is stated above is true to the best of my knowledge and belief.
I further declare that I do not have a Permanent Account Number and my/ our estimated total income (including income of spouse, minor child etc. as per section 64 of
Income-tax Act, 1961) computed in accordance with the provisions of Income-tax Act, 1961 for the financial year in which the above transaction is held will be less than
maximum amount not chargeable to tax.

Verified today, the ______________ day of ______________ 20_____ Place: ____________ (Signature of declarant)

Note:
1.Before signing the declaration, the declarant should satisfy himself that the information furnished in this form is true, correct and complete in all respects.
Any person making a false statement in the declaration shall be liable to prosecution under section 277 of the Income-tax Act, 1961 and on conviction be punishable,-
(i)in a case where tax sought to be evaded exceeds twenty-five lakh rupees, with rigorous imprisonment which shall not be less than six months but which may extend to
seven years and with fine;
(ii)in any other case, with rigorous imprisonment which shall not be less than three months but which may extend to two years and with fine.

2.The person accepting the declaration shall not accept the declaration where the amount of income of the nature referred to in item 22b exceeds the maximum amount
which is not chargeable to tax, unless PAN is applied for and column 21 is duly filled.
Instruction:
(1) Documents which can be produced in support of identity and address (not required if applied for PAN and AADHAAR No. is filled): -

Document Proof of Proof of

S.No. Nature Of Document
Code Identity Address

A For Individuals and HUF

1. AADHAAR card 01 Yes Yes

2. Bank/Post office passbook bearing photograph of the person 02 Yes Yes
3. Elector's photo identity card 03 Yes Yes
4. Ration/Public Distribution System card bearing photograph of the person 04 Yes Yes
5. Driving License 05 Yes Yes
6. Passport 06 Yes Yes
7. Pensioner Photo card 07 Yes Yes
8. National Rural Employment Guarantee Scheme (NREGS) Job card 08 Yes Yes
9. Caste or Domicile certificate bearing photo of the person 09 Yes Yes
10. Certificate of identity/address signed by a Member of Parliament or Member of
Legislative Assembly or Municipal Councillor or a Gazetted Officer as per 10 Yes Yes
annexure A prescribed in Form 49A
11. Certificate from employer as per annexure B prescribed in Form 49 A 11 Yes Yes
12. Kisan passbook bearing photo 12 Yes No
13. Arm's license 13 Yes No
14. Central Government Health Scheme /Ex-servicemen Contributory Health Scheme card 14 Yes No
15. Photo identity card issued by the government/ Public Sector Undertaking 15 Yes No
16. Electricity bill (Not more than 3 months old) 16 No Yes
17. Landline Telephone bill (Not more than 3 months old) 17 No Yes
18. Water bill (Not more than 3 months old) 18 No Yes
19. Consumer gas card/book or piped gas bill (Not more than 3 months old) 19 No Yes
20. Bank Account Statement (Not more than 3 months old) 20 No Yes
21. Credit Card statement (Not more than 3 months old) 21 No Yes
22. Depository Account Statement (Not more than 3 months old) 22 No Yes
23. Property registration document 23 No Yes
24. Allotment letter of accommodation from Government 24 No Yes
25. Passport of spouse bearing name of the person 25 No Yes
26. Property tax payment receipt (Not more than one year old) 26 No Yes

B For Association of persons (Trusts)

Copy of trust deed or copy of certificate of registration issued by Charity Commissioner 27 Yes Yes

C For Association of persons (other than Trusts or Body of Individuals or Local authority or Artificial Juridical Person)

Copy of Agreement or copy of certificate of registration issued by Charity commissioner or

Registrar of Cooperative society or any other competent authority or any other document 28 Yes Yes
originating from any Central or State Government Department establishing identity and
address of such person.

(2)In case of a transaction in the name of a Minor, any of the above mentioned documents as proof of Identity and Address of any of parents/guardians of such minor shall be
deemed to be the proof of identity and address for the minor declarant, and the declaration should be signed by the parent/guardian.
(3)For HUF any document in the name of Karta of HUF is required.
(4)In case the transaction is in the name of more than one person the total number of persons should be mentioned in Sl. No. 18 and the total amount of transaction is to be
filled in Sl. No. 16.
In case the estimated total income in column 22b exceeds the maximum amount not chargeable to tax the person should apply for PAN, fill out item 21 and furnish proof of
submission of application.
Version December 2021 (25)