(RFP) FOR Debit Card Management System - Union Bank of India

UNION BANK OF INDIA

REQUEST FOR PROPOSAL (RFP) FOR Debit Card Management System (DCMS) Solution & Supplying, Printing, Personalization of Debit cards on outsourced model

Tender Notice The Bank invites sealed offers from established vendors for Debit Card Management System (DCMS) Solution & Supplying, Printing, Personalization of Debit Cards. Please visit the bank‟s website www.unionbankofindia.co.in for details. RFP forms can be downloaded from the website.

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Date of commencement of issue of RFPs

: 26-05-2017 at 1100 hours

Last date for receipt of RFP queries and

: 15-06-2017 at 1500 hours

Pre bid meeting Last date of receipt of RFP responses

: 16-06-2017 at 1500 hours

Opening of Technical bids

: 16-06-2017 at 15.05 hours

Fees for RFP document (non-refundable)

: Rs. 25,000/- (RupeesTwenty Five Thousand Only)

Earnest Money Deposit (Bid Security)

: Rs.1,00,00,000/- (Rupees One Crore Only)

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TABLE OF CONTENTS

DISCLAIMER .............................................................................................. 4 1.

INTRODUCTION: .................................................................................. 4

2.

OBJECTIVE ........................................................................................ 5

3.

BID SCHEDULE .................................................................................... 5

4.

INSTRUCTIONS FOR BIDDERS................................................................... 6

ANNEXURE 1 ........................................................................................... 36 ANNEXURE 2 ........................................................................................... 37 ANNEXURE 3 ........................................................................................... 38 ANNEXURE 4 ........................................................................................... 39 ANNEXURE-5 ........................................................................................... 40 ANNEXURE 6 ........................................................................................... 42 ANNEXURE 7 ........................................................................................... 44 ANNEXURE 8 ........................................................................................... 46 ANNEXURE 9 ........................................................................................... 48 ANNEXURE 10 ......................................................................................... 51 ANNEXURE 11 ......................................................................................... 52 ANNEXURE 12 ......................................................................................... 53 ANNEXURE 13 ......................................................................................... 54 ANNEXURE 14 ......................................................................................... 56 ANNEXURE 15 ......................................................................................... 58 ANNEXURE 16 ......................................................................................... 59

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DISCLAIMER a) The information contained in this Request for Proposal (RFP) document or information provided subsequently to bidder(s) or applicant(s) whether verbally or in documentary form by or on behalf of Union Bank of India (Bank), is provided to the bidder(s) on the terms and conditions set out in this RFP document and all other terms and conditions subject to which such information is provided. b) This RFP is neither an agreement nor an offer and is only an invitation by Bank to the interested parties for submission of bids. The purpose of this RFP is to provide the bidder(s) with information to assist the formulation of their proposals. This RFP does not claim to contain all the information each bidder may require. Each bidder should conduct its own investigations and analysis and should check the accuracy, reliability and completeness of the information in this RFP and where necessary obtain independent advice. Bank makes no representation or warranty and shall incur no liability under any law, statute, rules or regulations as to the accuracy, reliability or completeness of this RFP. Bank may in its absolute discretion, but without being under any obligation to do so, update, amend or supplement the information in this RFP. c) This is not an offer by the Bank but only an invitation to bid in the selection process initiated by the Bank. No contractual obligation whatsoever shall arise from the RFP process until a formal contract is executed by the duly authorized signatory of the Bank and the Bidder. d) Bank reserves the right to change the dates, timings mentioned above or elsewhere mentioned in the RFP, which will be communicated by placing the same as corrigendum under Tender section on Bank‟s web-site. e) The Bank reserves the right to reject this invitation to offer in part or full, or cancel the entire process at any stage without assigning any reason. f) Subject to any law to the contrary, and to the maximum extent permitted by law, Bank and its officers, employees, contractors, agents, and advisers disclaim all liability from any loss or damage (whether foreseeable or not) suffered by any person acting on or refraining from acting because of any information, including forecasts, statements, estimates, or projections contained in this RFP document or conduct ancillary to it whether or not the loss or damage arises in connection with any negligence, omission, default, lack of care or misrepresentation on the part of Bank or any of its officers, employees, contractors, agents, or advisers.

1. Introduction: 1.1.Union Bank of India, headquartered at Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400021, having its Digital Banking Department at 7th Floor, Union Bank Bhavan, Nariman Point, Mumbai - 400021 is one of the top five public sector banks in India. Bank has over 4200+ CBS branches and 7500+ ATMs installed across the country. 1.2.Union Bank of India is also sponsoring the RRB – Kashi Gomti Samyut Gramin Bank, which is having 444 CBS branches with 43 ATMs. Page 4 of 67

2. Objective Union Bank of India (hereinafter called as “Bank” or “the Bank”) has decided to invite proposals from experienced and eligible bidders for Debit Card Management System (DCMS) solution & supply, printing, personalisation of Debit Cards. 3. Bid Schedule 3.1. Union Bank of India intends to issue this bid document, hereinafter called “RFP” or “Bid”, to eligible Service Provider in India, hereinafter called as “Bidders” or “Vendors” or “Service Providers”, to participate in the competitive bidding for Debit Card Management System (DCMS) solution & supply, printing, personalisation of Debit Cards. 3.2. The Bank, for this purpose, invites proposal from Bidders. The „Request for Proposal‟ (RFP) document is now being issued to enable bidders to submit their responses to the Bank. 3.3. Bidder who is interested in participating in this RFP must fulfil the eligibility criteria mentioned in the document and should also be in a position to provide a comprehensive solution which complies with technical and functional specifications sought by the Bank 3.4. The Bidder must also agree to all our terms and conditions mentioned under this RFP. 3.5. The Bidding Document may be obtained from the Bank as under or downloaded from banks website www.unionbankofindia.co.in and the bid should be submitted to the office of Union Bank of India as under. 3.6. Incorrect or incomplete information in the bid may lead to non-selection / disqualification.

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Important dates and other details: Fees for RFP refundable)

Document

(Non- Rs. 25,000/(Rupees Twenty Five Thousand Only)

Earnest Money Deposit (Bid Security)

Rs. 1,00,00,000/- only (Rupees One Crore Only) RFP (Bid) Validity 180 days from the last date stipulated for the receipt of RFP (bid) responses Date of commencement of sale of 26-05-2017 at 1100 hours bid document Last date for acceptance of queries 05-06-2017 at 1500 hrs and Pre bid meeting Last date responses

for

receipt

of

RFP 16-06-2017 at 1500 hrs

Date and time of opening of bids

16-06-2017 at 1500 hrs

Contact to Bidders

Interested Bidders are requested to send an email to: [email protected] [email protected]

The email should contain the following information so that in case of any clarification, the same may be issued to them: Name of the Company, Contact Person, Mailing Address with PIN code, Telephone Nos. email-id etc. Address for communication, pre-bid Digital Banking Department, Central meeting and submission of bids Office, 7th Floor, 239 Vidhan Bhavan Marg, Nariman Point, Mumbai – 400 021

4. Instructions for Bidders 4.1.

Introduction

4.1.1. The Bank is looking for a competent and experienced bidder, who has the capability for Debit Card Management System (DCMS) & Supply, Processing, Personalization of EMV chip cum magnetic stripe debit cards, image cards and contactless cards (dual interface) and other types of debit cards in large numbers as per requirement of the Bank (RuPay, MasterCard and Visa variants) and as per approved design & specification of the Bank. 4.1.2. The selected bidder would be responsible for the solution in the entirety and would also have to support the requisite certifications etc.

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4.2.

Broad Scope of Work

4.2.1. A Bidder putting in a Bid under this RFP must be capable of handling all activities related to Debit Card Management System (DCMS) and the production personalisation /dispatch/MIS up to 50000 EMV Chip based debit cards per day for our Bank. A). Debit Card Management System (DCMS): 4.2.2. The detailed scope of work and requirements are given below. These details/ requirements have been given under separate headings/ sections only for the purpose of better understanding and it is to be clearly understood that, as mentioned elsewhere in this RFP document, Union Bank of India intends to procure “End to End Debit Card Management Solution” including issuance of all Card Products, solution & services as per the requirements of this document. All costs associated with the delivery of services as per the scope of RFP should be borne by the Bidder, unless specified otherwise. The Bidder/Its Subcontractor should have owned/ licensed set up of Debit Card Management end to end solution for card issuance as per specifications/ guidelines from VISA, MasterCard & RuPay Card Schemes. 4.2.3. The Successful Bidder should provide a dedicated DCMS setup (including dedicated software, hardware, HSM, printers, etc.) exclusively for the Bank and customize the proposed solution to the Bank‟s requirement from time to time both during implementation as per RFP scope and post-implementation as duly approved by the Bank. 4.2.4. The proposed solution should have capability to extract data from core banking system as an input source for Card Production & card related maintenance activities through automated process, scheduler and event based activities 4.2.5. The Proposed Solution should have the capabilities to synchronize Card details in DCMS with Switch, CBS and other supporting systems on a real-time, offline, event based activities, scheduler, batch process basis as per the requirement of the Bank. 4.2.6. The Bidder has to provide user interfaces at Branches, Card Centre, Call Center and Customer Access through Net Banking and Mobile applications which should be consistent across modules, application within the system and across all delivery channels to give uniform look and feel to the user/ customer. 4.2.7. Application should have provision to issue replacement card at the time of blocking of existing card (through finacle, Internet Banking, Mobile based applications, Contact Centre, etc). 4.2.8. The Successful Bidder should customize the proposed solution to the Bank‟s requirement from time to time both during implementation as per RFP scope and post-implementation as duly approved by the Bank. Page 7 of 67

4.2.9. Solution provided by the successful bidder should be able to generate CAF (Cardholder Authorization File)/ Switch Data files in the format as required by the Bank for uploading the card data file in Bank‟s ATM switch. In case the Bank changes the EFT Switch, the solution provider will have to provide the CAF in the format supported by the new EFT Switch without any additional cost to the Bank. 4.2.10. Solution provided by the successful bidder should provide, generate relevant MIS, Dashboards & Reports as an automated, event driven, user driven process meeting the current & future requirements of Bank, RBI, any other regulatory authorities in the required format without any additional cost to the Bank. MIS, Dashboards & Reports should be configurable at the request of the bank based on banks requirements from time to time. 4.2.11. The Successful Bidder should provide an end to end Card Tracker System for maintenance of data related to Cards and PINs dispatch, inquiry, retrieval of data and acknowledgement of cards & PINs dispatch status at branches, processing centre. The Successful Bidder should customize the Card & PIN dispatch file formats as per the existing and future courier agencies without any additional cost to the Bank. 4.2.12. In case Bank engages new service provider or solution on termination of the Contract, the successful bidder must hand over the complete process, customizations data migration support & relevant activities to the new bidder without any cost to the Bank and ensure smooth handover activity without any disruption. 4.2.13. In case of any deficiency while implementation of the proposed solution, as observed during the UAT or after proposed solution go live, the Successful Bidder should take corrective measures as necessary at no additional cost to the Bank. 4.2.14. The proposed solution should have capability for configuring business rules for the issuance and maintenance of cards, linking of accounts to cards. 4.2.15. The offered solution must be scalable for handling up to minimum 45 million cards on incremental basis. 4.2.16. Successful bidder should provide application with system security functionality in terms of user authentication, access management, audit trails of cards, user maintenance and activities performed by the users with no limitation on number of users. 4.2.17. The Successful Bidder should ensure that Debit Card Management solution should support flagging of domestic, international validity for the card through online, offline process both post and at the time of issuance of card through the proposed solution itself and interfaces such as Internet Banking & Mobile applications. 4.2.18. The solution provided by the successful bidder should be able to integrate online, offline with Banks loyalty vendor/s as when applicable without any additional cost to Bank. 4.2.19. The Successful Bidder should provide a solution capable of online, offline integration with Bank‟s ATM Switch.

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4.2.20. The Successful Bidder should complete end to end migration of existing complete card database, Data conversion, Migration of keys, migration testing, and business processes, seamlessly into the proposed solution. Successful Bidder should share the migration plan along and migration process shall be finalized in consultation with the Bank. 4.2.21. The Successful Bidder should carry out thorough system integration testing. This will be followed by a comprehensive User Acceptance Testing (UAT), format of which will be provided by Successful Bidder and approved by the Bank. The UAT may include functional tests, resilience tests, benchmark comparisons, operational tests, load tests, security tests, etc. Bank staff, third Party Vendor designated by the Bank will carry out the functional testing. 4.2.22. The Successful Bidder will prepare test cases with necessary support and coordination for conducting UAT. The Successful Bidder shall provide documentation of the UAT and modifications if any made to the system pursuant to the observations of the UAT team. On satisfactory completion of the aforementioned tests, the User Acceptance Test (UAT) acceptance will be issued to the Successful Bidder by the competent authority. 4.2.23. The successful bidder should provide solution that is compliant to all existing regulatory & statutory guidelines of GOI, RBI, Card Scheme requirements and also adheres to requirements of IT Act 2000 (including current & future amendments) and PA-DSS and PCI-DSS certified. 4.2.24. Successful bidder should deliver mandates as and when required by Networks/ Card Schemes such as RuPay, VISA, MasterCard, Bank regulatory authorities etc with no additional cost to Bank. The Proposed Solution should comply with all the specifications and conditions set by NPCI, VISA and Master Card while issuing debit cards. 4.2.25. The Successful Bidder to ensure no unwarranted, illegal, and fraudulent misuse of data shared by the Bank and Bidder to categorically indemnify the Bank against any losses that the Bank may suffer on account of any such fraudulent and illegal act by the Company or its employees 4.2.26. DCMS solution should have interface with Bank‟s Base24 ATM switch for uploading / downloading card files through secured point to point link. 4.2.27. Debit cards to be activated in Bank‟s ATM Switch instantly as it is fed in finacle. Bidder to ensure to extract data from Bank‟s finacle and send CAF to Bank‟s ATM Switch on real time basis 4.2.28. Bidder to ensure to extract data from Bank‟s finacle for personalized debit cards, process them ,generate card number and update card number in Bank‟s Finacle on daily basis. 4.2.29. Bidder to ensure to extract data from Bank‟s finacle for all types ready kits request on daily basis and dispatch the same within TAT 4.2.30. Bidder to ensure Updating of hot listed/expired card status in Bank‟s finacle as card is hotlisted /expired in Bank‟s ATM Switch 4.2.31. Bidder to ensure to extract data of enhancement of debit card limits ,duplicate pins request, linking of debit card to multiple accounts ,activation/deactivation of cards for E Com /POS/International use from Page 9 of 67

Bank‟s finacle/call centre/other Apps and send CAF to Bank‟s ATM Switch on real time basis for above service requests. 4.2.32. Bidder to renew expired debit cards expiry of debit card .

well in advance one month before

4.2.33. Bidder should generate, calculate and charge customers account in Bank‟s finacle for duplicate pin request, Card issuance/annual/ renewal/ replacement Fees based on BIN, Scheme Code, Scheme Code downgradation, upgradation, Card Product, Card Type, Account Type, Event based fees and as per Bank‟s requirement. Annual Card Fees should be generated based on card first used date 4.2.34. The Bidder should extract Debit card Enrollment files from Finacle and POS transactions file from ATM Switch and integrate them in required encrypted format and send to our Loyalty Vendor Loyalty rewardz on realtime basis 4.2.35. The Bidder should generate card reports as per BIN/ IIN wise, card type wise, account type wise, Network wise, regionwise, statewise, branch wise, product wise, sub product wise, issuance wise, blocking wise, expiry wise dispatch wise, date wise or as per Bank‟s and Statutory requirement from time to time in the format as required by the Bank‟s and Statutory authority and send them by automated email/sms to Bank‟s Customers/Branches /regional Offices. 4.2.36. In case any other network apart from NFS, VISA, MasterCard, RuPay come to existence in future, the bidder has to make their system compatible. 4.2.37. All the process should be automated with necessary information security controls and shall be deployed / implemented. In no case process should be manual. 4.2.38. The system should be capable of sending SMS to the customers on receiving the request, processing of card, dispatch along with tracker ID, activation and hot listing of card. 4.2.39. Future Technologies: Should be able to support all future technologies (contactless, mobile based – Bhara QR, SamsungPay/Tokenization). 4.2.40. Aadhaar Integration – System should be capable to integrate with Aadhar in future. 4.2.41. Subcontracting- Prior written permission of the bank should be obtained before subcontracting (instead of intimation). 4.2.42. Manuals/Documentation – Should be provided for Users during and after implementation for all modules 4.2.43. Compliance/Risk Management Module: Whether it can be added to the solution. 4.2.44. Agreement- time period & renewal. B). Personalization of all types of cards including EMV Chip dual interface contactless cards etc: The following activities are required to be carried out by the bidder strictly in conformity with the guidelines laid down by MasterCard, Visa and NPCI in premises located within India : Page 10 of 67

4.2.45. Bidder must supply blank EMV chip based debit cards as per specifications approved by the Bank. (As per Annexure 9). 4.2.46. Bidder must perform embossing/flat printing of these cards 4.2.47. Bidder must have a setup to receive the encrypted data through a secured FTP channel or any other mode to be decided by the Bank. 4.2.48. Keys for encryption/Digital Signature should be securely kept and approved processes should be followed. 4.2.49. After personalization of cards, the bidder must have a mechanism in place to ensure that the Embossa files is duly deleted immediately and send a confirmation over email to the bank accordingly. 4.2.50. Bidder must destroy rejected cards under camera surveillance and must retain the Back-up of the CCTV recording for a period of 6 months. A daily report on the rejected card should be made available to the Bank. 4.2.51. Bidder must have the capability for Scanning/Printing photograph/images on Debit cards, as per requirement of the Bank.

colour

4.2.52. The cards so personalized shall be duly packed with the material prescribed / stipulated by the Bank and shall be dispatched to the destinations as intimated by the Bank. (Technical Specification of EMV Cards as per Annexure 9) 4.2.53. Bidder should have an automated process of pasting the cards on the face of their corresponding Welcome Letter which ensures that the CVV number is not visible. 4.2.54. Product offered by Bidder shall support RuPay, Visa and MasterCard specifications in one single configuration and ensure that the required application is activated at the time of personalization. 4.2.55. Bidder may also be required to supply other different variants of debit cards including but not limited to the following types of debit cards/related items as per requirement of the Bank: 4.2.55.1. Image Cards 4.2.55.1.1.

Photo (images) plus data shared by the Bank

4.2.55.1.2.

Photo (Image) printing by Vendor

4.2.55.2. Dual Interface Contactless cards 4.2.55.3. Prepaid cards (Both EMV Chip and Magnetic stripe variants) 4.2.55.4. Hybrid Card 4.2.55.5. NFC Tags/Wearable (RFID) 4.2.55.6. Contactless Cards (Dual Interface) 4.2.55.7. Any other version of debit cards already in circulation (like Janadhar, Pungrain, Kisan, Co-branded IGNOU) or to be launched by the bank in future.

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4.2.56. For image debit cards to the customers, successful Bidder/s would be required to provide cards printed with the image selected by the customer or provided by the Bank. 4.2.57. As of now our Bank requires non-photo Personalised Debit cards. However, going forward we may require personalised photo Debit Cards for some /all variants. The bidder should possess necessary infrastructure for printing photo Debit Cards with high volume output. 4.2.58. Procurement & Maintenance of Card Stock: The bidder should properly maintain the stock position of the debit cards at their card center and inform the Bank regarding the same in frequent intervals. The bidder should also alert the Bank in case of re-order requirements for any specific kind of plastic well in advance (at least 4 weeks) to avoid a stock-out situation. 4.2.59. Packing and Dispatch of the Debit Cards 4.2.59.1. Bidder must provide supply of stationery items required as per the specifications at Annexure 6. 4.2.59.2. The bidder must ensure proper supply of stationery items and maintain the stock position of the stationery items at their card center. 4.2.59.3. Bidder must provide facility for Packing of Cards & welcome kit along with insertions as per procedure placed at Annexure 7. 4.2.59.4. The Debit Cards & welcome kit must be dispatched through Speed Post / designated Courier within 48 hours of receipt of data from Bank. 4.2.59.5. Bidder must provide Dispatch Reports containing details of the cards & welcome kit dispatched to the Bank within 12 hours from dispatching the card. 4.2.59.6. Bidder must have the capability to maintain the records of the cards/ welcome kit personalized and dispatched to various destinations / branches, including details of card serial number, postal receipt no., card/ welcome kit returned if any,etc. The bidder should be able to provide the Bank with the required details in any format required / specified by the Bank. 4.2.59.7. The Bidder will be required to put in place necessary measures for the timely dispatch of the cards & welcome kit. 4.2.59.8. Disputes regarding dispatch / delivery of cards & welcome kit would primarily be handled and resolved by the bidder. 4.2.59.9. Returned consignment should be returned to the Bank at specified address. The bidder shall maintain a proper record of such returns with specific reasons and re-dispatch these cards / consignments after remedial measures are complied with, duly recorded, without any extra charge to the Bank. 4.2.59.10. The Bidder must maintain adequate inventory of raw materials to ensure that supply of cards, stationery & welcome kit to the bank is

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uninterrupted. Any delay beyond acceptable timelines may attract levy of penalties. 4.2.60.

Dispatch Solution & Postal/Courier Charges :

4.2.60.1. Bidder has to provide complete dispatch solution including monitoring and tracking of the packets. 4.2.60.2. The Debit Card/Pin should be dispatched at the customer/branch location through first class courier (Blue Dart, First Flight, DTDC). Locations where Blue Dart, First Flight and DTDC not available to be sent by Speed Post. 4.2.60.3. A proper tracking system to be provided to the Bank /branches to locate the exact position of Debit Card delivery. 4.2.60.4. The cost of postage including tracking system solution to be borne by bidder and the cost will be part of TCO (Total Cost Offer). 4.2.61.

PIN Mailer Printing Process:

4.2.61.1. PIN mailers that will be supplied by the bidder as per the bank specifications and if required, approval by the schemes, will be printed at the DC through the DCMS application employing the required Host Security Module and the PIN printer. 4.2.61.2. PIN printing would comprise of two types for Personalized cards and for ready kits. 4.2.61.3. PINs for personalized cards will be dispatched directly to the bank branches while for the Ready Kits, the PIN‟s printed will be matched and stuffed as a part of the kit. 4.2.61.4. PIN printing will be carried out strictly in a PCI DSS environment with the required controls in key management and under dual control of the processors. 4.2.61.5. The PIN printing assemblage will undergo periodic audits like the VISA PIN audit, etc, to ensure compliance. 4.2.62.

Packing and Dispatch of the PINs Mailers

Packing and dispatch of the corresponding PINs for the Debit Cards dispatched as mentioned above, to designated locations. The following activities are required to be carried out by the bidder:4.2.62.1. Bidder must provide supply of PIN Mailers as per specifications given by the Bank at Annexure 6. 4.2.62.2. Bidder must provide facility for Packing and dispatch of PINs as per procedure placed at Annexure 7. Page 13 of 67

4.2.62.3. The bidder must ensure proper supply of stationery items and maintain the stock position of the stationery items at their card center. 4.2.62.4. Bidder must ensure the Dispatch of the PINs within 24 working hours of their printing. 4.2.62.5. Bidder must have the Capability to dispatch up to 50,000 PINs per day or any higher number of PINs corresponding to the number of cards issued per day to the designated offices of the Bank by Speed Post / Courier. 4.2.62.6. The Bidder will be required to put in place necessary measures for the timely dispatch of the PINs. 4.2.62.7. Disputes regarding dispatch / delivery of PINs would primarily be handled and resolved by the bidder. 4.2.62.8. Returned consignment should be returned to Bank at specified address. The bidder shall maintain a proper record of such returns with specific reasons and re-dispatch these cards / consignments after remedial measures are complied with, duly recorded, without any extra charge to the Bank. 4.2.62.9. Bidders to note that the Bank has already implemented the process of issuance of Green PINs in place of paper PINs and accordingly the requirement of PIN printing may reduce gradually in future. 4.2.63.

Quality of Cards to be supplied:

Bidders must ensure that the physical characteristics of the cards to be supplied to the Bank must conform to the international standards for physical characteristics of cards as laid down vide the guidelines issued under ISO / IEC 7810 and as per Annexure 9. 4.2.64.

Test checking of Quality of Cards Supplied to the Bank:

4.2.64.1. The Bank would have the discretion of carrying out a random-sample test checking (Peel Test, Bend Test, Torsion Test, Corner bend Test and any other type of test related to card quality) of the cards being supplied to ascertain their quality. Test checking of Cards by the Bank may be carried out at a premise of its choice, including the premises of the bidder, at any interval it deems fit, where the quality of the cards may be checked according to the international Test Methods specified under ISO/IEC 10373 -1. 4.2.64.2. In case of any deficiencies observed by the Bank in the quality of cards, Bank may levy penalty or take other punitive actions as specified under the Penalty Clause of this RFP. 4.2.64.3. All the hardware / software / middleware/ miscellaneous items / consumables / equipments, required licenses, ATS, AMC etc. as well as manpower required for executing the work specified under „Scope of Work‟ would be required to be managed by the bidder at its own cost.

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4.2.65. In addition to the above, the bidder would also be required to ensure the following: 4.2.65.1. In case any part of the work / process is required to be out-sourced by the bidder, the bidder shall give prior intimation to the Bank accordingly. 4.2.65.2. The bidder must ensure and confirm due diligence / KYC / Physical verification of its own as well as the employees of its service providers / sub-contractors and must be able to provide documentary evidence for the same if required. 4.2.65.3. The bidder must build adequate safeguards to ensure that the information / documents / records / assets of the Bank are maintained in a way that the same are safe and there is no co-mingling of similar information with other organizations to which it may be providing services. 4.2.65.4. The bidder shall ensure preservation of all documents / data in accordance with all legal / regulatory obligations. 4.2.65.5. The successful bidder shall provide the Business Continuity Plan (BCP) to the Bank or undertake to setup the same within 2 months of signing of contract. 4.3.

Eligibility Criteria:

Bidders submitting bids must meet all the following eligibility criteria. Any bidder not fulfilling any of the following criteria will not be eligible for further evaluation. Bidders must submit bid in their own capacity. Joint bids will not be entertained. Sr. No 1.

2.

Details of Supporting document Required Bidder should be an Indian Company incorporated Certificate of incorporation or any in India under Companies act. Bidder may also be a other certificate of registration Multinational Company, having a valid license to issued by competent authority from operate in India for this activity. Government of India/Documentary evidence for MNC having a valid license to operate in India Bidder or its sub-contractors / partners must have Requisite VISA, MasterCard and its own MasterCard, VISA and NPCI Certified NPCI certificates which include Bureau within India with required infrastructure for EMV chip personalization Debit Card personalization (EMV Chip & Magstripe) component. Certificates of Conforming to all guidelines prescribed by ownership of facility like purchase MasterCard, VISA and NPCI for the said purpose. The deed of land or facility. Self certificate should be valid at least for 6 months certification and details for PIN from the date of submission of bids. printing facility in India Bidder should also be able to take care of PIN printing facility in India. Criteria

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3.

Audited Balance Sheets and Profit The Bidder should be a profit making (profit after & Loss A/c Statement for the years tax) and having a minimum turnover of 200 Crores 2014-15, 2015-16 and 2016-17 (In per year during the last three financial years (FY , case of Provisional Balance Sheet Bidder should 2014-15, 2015-16 & 2016-17) business for their and P&L A/C, submit a certificate from their Indian operations out of which minimum annual Chartered Accountants confirming turnover of Rs 25 Crores from the card business. turnover and net profit figures)

4.

The Bidder should own the (Intellectual Property Bidder to provide the selfRights) of the Debit Card Management System which declaration that it owns the IP. is used in the processing environment

5.

The bidder should have been in the business of Certificates from the Banks to be Debit Card Management System (DCMS) & Supply, Provided processing and personalization of debit cards for Banks at least during the last five years and should have been handling business of card processing for at least 4 Scheduled Commercial banks in India which includes 2 PSU banks during this period Certificates from the Banks to be The bidder or its sub-contractors / partners should Provided have supplied and personalized at least 50,00,000 (Fifty Lakh) EMV chip based debit cards (Visa/MasterCard/RuPay) for Banks in India during the last one year immediately preceding from the date of submission of bids.

6.

7.

The bidder or its sub-contractor / partner should Self certification along with details have the spare capability to handle 50,000 EMV of the hardware deployed for the Chip cum magnetic stripe cards per day exclusively said purpose, its capacity and for Union Bank Of India which should be scalable up current utilization to be provided to 75,000 EMV Chip cards per day if required by the Bank.

8.

The bidder should provide VISA and MasterCard Bidder to provide self-declaration of Connectivity to the Bank through its own/hosted having VAP and MIP out of its Data VAP and MIP Connectivity. Banks in-house Base24 Center Switch will interface with VAP and MIP of the Bidder

9.

The Bidder should not have been blacklisted by Self declaration any PSU Bank during the last three years and the Bidder / any of its associates, should not have been cautioned/reprimanded/ blacklisted or have had its contract revoked / terminated by any concern to which it was under contract for supply of cards, or by any regulatory or statutory body or any PSU Bank or RBI or the Indian Banks Association (IBA) etc.

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10. Bidder 8 should have experience and capacity for Self certifications with details of supply, processing and personalizing various experience and capacity to be types of debit cards e.g. EMV compliant chip based provided cards, magnetic stripe based cards, chip cum magnetic stripe based cards, embossed, nonembossed, photo cards, travel cards, prepaid cards, contactless dual interface cards including NFC enabled dual interface cards, image cards etc. 11. The 9 Bidder must produce certificate regarding Certificates from Banks satisfactory services from all PSU Banks to whom they have provided services related to supply, processing and Personalization of debit cards any time during the last two years immediately preceding the date of submission of the bids. 12

The bidder should have Disaster Recovery and DR and BCP plan, document and Business Continuity Plan. Indicate the systems ownership /lease records of the available for DR/BCP or the time frame in facility like ownership of facility like which they will be available. DR site must be purchase deed of land or facility located in India.

13

The systems offered should Intellectual Property Rights.

not

violate

any Self declaration

4.4. RFP Ownership

The RFP and all supporting documentation are the sole property of Union Bank of India and should NOT be redistributed without the prior consent of Union Bank of India. Violation of this would be a breach of trust and may, inter-alia, cause the bidder to be irrevocable disqualified. 4.5. Proposal ownership

The proposal and all supporting documentation submitted by the bidder shall become the property of Union Bank of India unless the bidder specifically requests, in writing, that the proposal or the document be returned or destroyed. 4.6. Cost of bidding

4.6.1. The bidder should pay the bid fees as prescribed in the Bid Schedule towards cost of RFP document. The cost if RFP fees shall be paid by a Banker‟s Cheque / Demand Draft, issued by a nationalized / private / foreign bank in India, drawn in favour of Union Bank of India payable at Mumbai. 4.6.2. The Bidder shall bear all costs associated with the preparation and submission of its Bid, and the Bank will in no case be responsible or liable for these costs, regardless of the conduct or outcome of the Bidding process.

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4.7. Content of Bidding Documents

The bidder is expected to examine all instructions, forms, terms and specifications in the bidding document. Failure to furnish all information required by the bidding document or to submit a bid not substantially responsive to the bidding document in every respect will be at the bidder‟s risk and may result in the rejection of the bid. 4.8. Clarification on Bidding Documents Bidder requiring any clarification of the bidding document may notify the bank in writing an e-mail indicated in Bid Schedule on or before 05-06-2017 up to 1500 hours. 4.9. Amendment of Bidding Documents

4.9.1. At any time prior to the deadline for submission of bids, the Bank, for any reason, whether at its own initiative, or in response to a clarification requested by a prospective Bidder, may modify the Bidding Document, by amendment. 4.9.2. Notification of amendments will be put up on the Bank‟s Website and will be binding on all Bidders. 4.9.3. In order to allow prospective Bidders reasonable time, in which to take the amendment into account in preparing their Bids, the Bank, at its discretion, may extend the deadline for a reasonable period as decided by the Bank for the submission of Bids. 4.10.

Language of Bid

The Bid prepared by the Bidder, as well as all correspondence and documents relating to the Bid exchanged by the Bidder and the Bank, and supporting documents and printed literature shall be written in English. 4.11.

Bid Prices

4.11.1. Prices quoted as above shall be valid for a minimum period of 180 days from last date for submission of the tender 4.11.2. The bidder cannot quote for the project in part. 4.11.3. Prices quoted by the Bidder shall be fixed during the Bidder‟s performance of the Contract and shall not be subject to variation on any account, including exchange rate fluctuations, changes in taxes, duties, levies, charges etc. A Bid submitted with an adjustable price quotation will be treated as non-responsive and will be rejected. 4.12.

Bid Currencies

Bids should be quoted in Indian Rupees only. However if bids are quoted in any other currency, fixed conversion rate should be mentioned in bid.

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4.13.

Documents Establishing Bidder’s Eligibility and Qualifications

4.13.1. The Bidder shall furnish, as part of its Bid, documents establishing the Bidder‟s eligibility to Bid and its qualifications to perform the Contract, if its Bid is accepted. 4.13.2. The documentary evidence of the Bidder‟s qualifications to perform the Contract if its Bid is accepted shall establish to the Bank‟s satisfaction that adequate, specialized hardware and related software expertise are already available, to ensure that the support services are responsive and the Bidder will assume total responsibility for the fault-free operation of the solution proposed and maintenance. 4.14.

Documents Establishing Eligibility of Services

4.14.1. The documentary evidence of conformity of the services to the Bidding Documents may be in the form of literature, drawings, and data, and shall consist of: 4.14.1.1. A detailed description of the solution as mentioned in Technical and Functional requirements section. 4.14.1.2. A confirmation that, if the bidder offers services through its partners‟, such services operates efficiently and the bidder is willing to accept responsibility for its successful operation. 4.15.

Bid Security

4.15.1. The bidder shall furnish, as part of its bid, a bid security as mentioned in the Bid Schedule. 4.15.2. The bid security is required to protect the bank against the risk of bidder‟s conduct, which would warrant the security‟s forfeiture. 4.15.3. The Bid security shall be denominated in Indian Rupees and shall be in one of the following forms: 4.15.3.1. Bank guarantee issued by a nationalised / private / foreign bank in India (other than Union Bank of India), acceptable to the bank, in the form as per format prescribed in Annexure 5 provided in the Bid document, valid for forty-five (45) days beyond the validity of the bid, issued by a bank other than Union Bank of India OR 4.15.3.2. Banker‟s Cheque / Demand Draft, issued by a nationalized / private / foreign bank in India, drawn in favour of Union Bank of India and valid for three months. 4.15.3.3. Any bid, not secured as above, will be rejected by the Bank, as non responsive. 4.15.3.4. Unsuccessful bidders‟ bid security will be discharged or returned as promptly as possible but not later than sixty (60) days after the expiration of the period of bid validity prescribed by the bank.

Page 19 of 67

4.15.3.5. The successful bidder‟s bid security will be discharged upon the bidder signing the Contract and furnishing the performance security as prescribed in Annexure 6. 4.15.3.6. The bid security may be forfeited: 4.15.3.6.1. if a Bidder withdraws its Bid during the period of Bid validity specified by the Bidder on the Bid Form; or 4.15.3.6.2. if a Bidder makes any statement or encloses any form which turns out to be false/incorrect at any time prior to signing of Contract; or 4.15.3.6.3. in the case of a successful Bidder, if the Bidder fails; 4.15.3.6.3.1.

to sign the contract; or

4.15.3.6.3.2.

to furnish Performance Security, as prescribed in

Annexure 11. 4.16.

Period of Validity of Bids

4.16.1. Bid shall remain valid for a period of 180 days from the last date of the submission of the bid. A Bid valid for a shorter period shall be rejected by the Bank as non-responsive. 4.16.2. In exceptional circumstances, the Bank may solicit the Bidders‟ consent to an extension of the period of validity. The request and the responses thereto shall be made in writing. The Bid security provided shall also be suitably extended. A Bidder may refuse the request without forfeiting its Bid security. 4.17.

Format for Signing the Bid

4.17.1. The bid shall be typed or written in indelible ink and shall be signed by the Bidder or a person or persons duly authorized to bind the bidder to the contract. The person or persons signing the bids shall initial all pages of the bid, except for un-amended printed literature. 4.17.2. In case the Principal Bidder authorizes its agent, business partner or authorized distributor to submit the proposal on its behalf, a separate Authorization Letter as per format in Annexure 10, with a commitment to fulfil the terms of the RFP should be submitted. 4.17.3. Any inter-lineation, erasures or overwriting shall be valid only if they are initialled by the person signing the Bids. The bank reserves the right to reject bids not confirming to above. 4.18.

Submission of Bids:

4.18.1. Bids shall have to be submitted in the following two parts: 4.18.2. Part A will constitute the following: 4.18.3. Eligibility Conformity: Documents indicating bidders complaints to eligibility criteria. Format for submission of conformity to eligibility criteria is as per annexure – 14 Page 20 of 67

4.18.4. Technical Proposal: Documents indicating the bidders response to the technical requirement specification in the RFP for DCMS & Supplying, Printing & Personalization of Debit Cards. Part A will also contain all the documents mentioned in RFP in addition to the supporting documents submitted by the bidder. All the annexure and supportive documents should be duly signed and stamped 4.18.4.1. The technical proposal should not contain any price information technical proposal should be complete to indicate that all products and services asked for are quoted 4.18.4.2. The technical offer should be submitted to the Bank in two copies in a closed envelope marked as Original and Duplicate. EMD and Tender Cost should be kept with Original Technical offer being submitted to the Bank 4.18.4.3. The offer may not be evaluated by the Bank in case of non-adherence to the format or partial submission of technical details as per the format given in the annexure 14. The relevant product information and technical specification sheets etc. should be submitted along with the offer. Failure to submit this information along with the offer could result in disqualification. 4.18.5. Part B: Commercial Bid: All relevant information as specified in annexure - 5 4.18.6. The bidder will have to submit the Technical Bid & Commercial Bid in separated sealed envelopes. 4.18.7. At the time of submission the bid should be accompanied with a separate envelope containing the draft for the prescribed amount towards the required cost of RFP and towards EMD separately. 4.18.8. The bank may, at its discretion, extend this deadline for the submission of bids by amending the Bid Documents, in which case, all rights and obligations of the bank and bidders previously subject to the deadline will thereafter be subject to the deadline as extended. 4.19.

Deadline for Submission of Bids

4.19.1. Bids must be received by the bank at the address specified, no later than the date & time specified in the Bid Schedule. 4.19.2. The bank may, at its discretion, extend this deadline for the submission of bids by amending the Bid Documents, in which case, all rights and obligations of the bank and bidders previously subject to the deadline will thereafter be subject to the deadline as extended. 4.20.

Late Bids

Any Bid received by the Bank after the deadline for submission of Bids prescribed, will be rejected and returned unopened to the Bidder. 4.21.

Modification and Withdrawal of Bids

4.21.1. The bidder may modify or withdraw its bid after the bid‟s submission, provided that written notice of the modification, including substitution or withdrawal of Page 21 of 67

the bids, is received by the bank, prior to the deadline prescribed for submission of bids 4.21.2. The bidder‟s modification or withdrawal notice shall be prepared, sealed, marked and dispatched. A withdrawal notice may also be sent by fax, but followed by a signed confirmation copy, postmarked no later than the deadline for submission of Bids. 4.21.3. No bid may be modified after the deadline for submission of bids. 4.21.4. No bid may be withdrawn in the interval between the deadline for submission of bids and the expiration of the period of bid validity specified by the bidder on the Bid Form. Withdrawal of a bid during this interval may result in the bidder‟s forfeiture of its Bid Security. 4.22.

Commercial Evaluation of bids

4.22.1. Commercial evaluation will be carried only for the bidders who qualify in Technical evaluation. For commercial evaluation, the Bank will adopt „Reverse Auction‟ process to finalise the vendor for the project. The procedure for the reverse auction is mentioned in Annexure 14. 4.22.2. The bidder should furnish indicative prices for the project in their Indicative Commercial Offer (C.O.) to facilitate finalizing the start bid for „Reverse auction‟ under E-Procurement process. The lowest Indicative commercials offer (total cost) may be considered as the starting bid of the reverse auction and not for deciding the L-1 status. Bank may also decide the starting bid for reverse auction. Vendors should note that the indicative commercial offer is only considered for the purpose of conducting „Reverse auction‟ process only. 4.22.3. The project would be awarded to the L-1 vendor emerging from Reverse auction process. 4.23.

Rules for Re-auction

4.23.1. During the process of reverse auctions, if there is either no bids from logged in vendors or only one vendor puts up bid/s, Bank may decide a re-auction by taking fresh Indicative prices from all qualified vendors in sealed cover only, to amend the start price for Re-auction. 4.23.2. In case the start price for the Reverse Auction event is decided by Bank and there are no bids or only one bid/s by a single vendor in the Reverse Auction, Bank may decide Re-Auction while further amending the start price. 4.23.3. Reverse auction will be valid only if two or more bidders are participating in the reverse auction event. 4.24.

No Price Variation

4.24.1. The commercial offer shall be in India Rupees and on a fixed price basis for 5 years. No price variation should be asked for relating to increases/decrease in customs duty, excise tax, other taxes and foreign currency price variation etc during offer validity period. However Bank may review the services and annual charges on yearly basis. 4.24.2. Similarly, there should not be any price variation relating to increase in customs duty, excise tax, other taxes and foreign currency price variation etc., during contract period. However, during contract period, if there is any Page 22 of 67

reduction in government levies / taxes, the same shall be passed on to the Bank. 4.24.3. During contract period, the increase or decrease in service taxes and any new tax levied by Government for the services subscribed by the Bank under this tender will be to the Bank‟s account. 4.24.4. Bidder has to comply with the proposed GST tax procedure. 4.25.

Contacting the Bank

4.25.1. No Bidder shall contact the Bank on any matter relating to its Bid, from the time of opening of Bid to the time the Contract is awarded. 4.25.2. Any effort by a Bidder to influence the Bank in its decisions on Bid evaluation, Bid comparison or contract award may result in the rejection of the Bidder‟s Bid. 4.26.

Post eligibility

4.26.1. All the Commercial Bids, after their evaluation would be arranged in descending order and the contract would be awarded to the bidder whose commercial bid has been evaluated to be the lowest as per the evaluation criteria. 4.26.2. The Bank will award the Contract to the successful Bidder, who has been determined to qualify to perform the Contract satisfactorily, and whose Bid has been determined to be substantially responsive, and is the lowest commercial bid. 4.27.

Bank’s Right to Accept Any Bid and to Reject Any or All Bids

The bank reserves the right to accept or reject any Bid, and to annul the Bidding process and reject all Bids at any time prior to contract award, without thereby incurring any liability to the affected Bidder or Bidders, or any obligation to inform the affected Bidder or Bidders of the grounds for the Bank‟s action. 4.28.

Notification of Award

4.28.1. Prior to expiration of the period of Bid validity, the bank will notify the successful bidder in writing or by fax, that its bid has been accepted. 4.28.2. The notification of award will constitute the formation of the Contract. 4.28.3. Upon the successful bidder‟s furnishing of Performance Security, the Bank will promptly notify each unsuccessful Bidder and will discharge its Bid Security. 4.29.

Signing of Contract

4.29.1. At the same time as the Bank notifies the successful Bidder that it‟s‟ Bid has been accepted, the bidder shall be required to sign an agreement within 45 days from the date of notification of award. 4.29.2. The contract period would be for a period of 5 years.

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4.29.3. The Bank reserves the right to extend the contract period for another 2 years at the same terms and conditions. 4.29.4. The contract will be signed by both the parties and will cover the terms and conditions laid down in RFP, Corrigendum to the RFP, if any, reply provided by the Bank to the queries submitted by the vendor and the purchase order issued by the Bank. 4.30.

Turn Around Time

4.30.1. The bidder will maintain a Turn Around Time (TAT) including delivery of consignment at branch / customer address as details below: Description

Courier Centre

Cards/PIN

Speed Post Centre

3 days

5 days

4.30.2. Cards should be activated instantly. 4.31.

Service Level Agreement

4.31.1. At the same time as the Bank notifies the successful Bidder that it‟s‟ Bid has been accepted, the bidder shall enter into a Service Level Agreement (SLA) with the bank, containing all the Terms and Conditions of this RFP, including confidentiality, non-disclosure and penalty clauses, and any other clause relevant to the services offered. 4.31.2. Though the contract will be signed only with the selected principal bidder, it shall be the selected bidder‟s responsibility to ensure that the quality of work contracted with agents/associates/partners will not be compromised and will be in tune with industry standards. 4.31.3. Services delivered by the vendor should comply with SLA and any violation of SLA will attract penalties as mentioned below: 4.31.3.1. Penalty relating to delivery of Debit Cards/Pin: Debit Card/Pin to be delivered within Turn Around Time (TAT). 4.31.3.2. If Cards/Pin delivers beyond TAT, a penalty of Rs.5/- will be levied per card per day, maximum up to cap of Rs.100/4.31.3.2.1. Penalty relating to activation of Debit Cards: Debit Card to be activated instantly. Penalty will be Rs.10/- per card per day, maximum up to cap of Rs.100/-. 4.31.3.2.2. The following activities have to be done instantly. Penalty will be levied at Rs.1 per activity per card per day 4.31.3.2.2.1. Enhancement of debit card limits 4.31.3.2.2.2. linking of debit card to multiple accounts 4.31.3.2.2.3. activation/deactivation International use

of

cards

for

E

Com/POS/

4.31.3.2.2.4. Sending SMS alert/email of hot listed debit cards

Page 24 of 67

4.31.3.2.3. TAT for following activities is 24 hours from service request. Penalty will be levied at Rs.1 per activity per card per day 4.31.3.2.3.1. Processing & updating card number of personalized debit cards in Bank's Finacle 4.31.3.2.3.2. Updating of hot listed /expired card status in Bank's finacle 4.31.3.2.3.3. Despatch of duplicate pins 4.31.3.2.3.4. Renewal & despatch of expired debit cards. 4.31.3.2.3.5. Debiting duplicate pin charges, Card issuance/annual /renewal /replacement fees to customers account 4.31.3.2.3.6. Sending Enrolment files and POS transactions Loyalty rewardz. 4.31.3.2.3.7. Sending SMS alert/email of Expired debit cards 4.32.

Performance Security

4.32.1. Performance Security in the required format to be submitted by the successful bidder as prescribed in Annexure 12. 4.32.2.

4.33.

Failure of the successful bidder to comply with the requirement of Clause 3.29.1 shall constitute sufficient grounds for the annulment of the award and forfeiture of the Bid security.

Delays in the Bidders’ Performance

4.33.1. Delivery of the Products and performance of Services shall be made by the Supplier in accordance with the time schedule prescribed in the Bid Schedule. 4.33.2. If at any time during performance of the Contract, the Supplier or its subcontractor(s) should encounter conditions impeding timely delivery of the Products and performance of Services, the Supplier shall promptly notify the Bank in writing of the fact of the delay, its likely duration and its cause(s). As soon as practicable after receipt of the Supplier‟s notice, the Bank shall evaluate the situation and may, at its discretion, extend the Suppliers‟ time for performance, with or without liquidated damages, in which case, the extension shall be ratified by the parties by amendment of the Contract. 4.33.3. Except as provided in the above clause, a delay by the Supplier in the performance of its delivery obligations shall render the Supplier liable to the imposition of liquidated damages, unless an extension of time is agreed upon without the application of liquidated damages. 4.34.

Escrow Arrangement for Software

4.34.1. The Successful Bidder should agree for Escrow arrangement on mutually agreed terms and conditions between successful bidder and Bank: 4.34.2. The bidder shall provide, escrow mechanism for the software used (all components) for rendering the services in order to protect the Bank's interest Page 25 of 67

in an unexpected eventuality. The software should be periodically tested and latest version to be kept under Escrow. 4.34.3. For the third party licensed software used by the bidder for rendering the required services, then the Bidder should have an Escrow agreement with the licenser for the software used (all components) in order to protect the Bank's interest in an eventual situation. In an eventuality the licenser should be in a position to hand over the software used with all components to the Bank. 4.35.

Liquidated damages

The Bidder shall be charged penalty for not adhering to the TAT as per Service Level Agreement mentioned above. 4.36.

Arbitration / Resolution of Disputes

4.36.1.

The contract will be signed by both the parties and will cover the terms and conditions laid down in RFP, corrigendum to RFP, if any, reply provided the Bank to the queries submitted by the bidder and the purchase order issued by the Bank.

4.36.2. The Bank reserves the right to customize the contract to meet its requirements. 4.36.3. The bank and the selected bidder will make every effort to resolve all disputes amicably through direct talks and negotiations. In case of failure to resolve the disputes and differences amicably the matter may be referred to a sole arbitrator mutually agreed upon after issue of at least 30 days notice in writing to the other party clearly setting out there in the specific disputes. In case sole Arbitrator not acceptable to both parties, each party will appoint one Arbitrator and the two Arbitrators will appoint a third Presiding Arbitrator. The Arbitration will be in accordance with the Arbitration and Reconciliation Act 1996. 4.37.

Jurisdiction

The Purchase Contract shall be governed by the Laws and Regulations of India for the time being in force and will be subject to the exclusive jurisdiction of the Courts in Mumbai, India. 4.38.

Audit

4.38.1. The Bank may, at its discretion, audit the software, books and services of the bidder by its external / internal / RBI / Ministry auditors. The Service Provider will facilitate the same without any demur. The vendor shall, whenever required, furnish all relevant information, records, and data to inspecting officials of Bank and the external / internal / RBI / Ministry auditors. The Bank reserves the right to call for any relevant material information/report. Bank will provide the information in advance to the service provider for the same. 4.38.2. The bidder should get the activities and or functions audited from time to time as per the requirements of the Bank, VISA, Master Card, NPCI, Reserve Bank of India or any other statutory body, where ever applicable. Cost of Page 26 of 67

such audit should be borne by the bidder throughout the period of agreement. 4.39.

Payment Terms

4.39.1. No advance payments shall be made. 4.39.2. The bank shall make the payments on a monthly basis after actual dispatches of cards and receipt of invoice along with MIS of card variant dispatched from the selected bidder, after verifying its correctness. 4.40.

Start of Services

The selected bidder shall be responsible for making all the services of the solution operational within 6 weeks from the date of acceptance of Purchase Order. 4.41.

Business Continuity Plan / DR Site

The Bidder should have a business continuity plan in place, including a DR site to host the proposed solution, to continue operations in a scenario where the primary place of business is affected by a disaster. 4.42.

On-site visit

4.42.1. The Technical Team of the Bank may visit the management centre and other facilities of the Bidder who qualify the eligibility criteria, in case of need, besides onsite visit to other Banks where such Bidder is providing the said services, to evaluate the technical capability of the Bidder and costs incurred by the team representing the Bank will be borne by the Bank. 4.42.2. The Bidder, in consultation with the Bank shall indicate in the bidding document, the proposed tentative dates, date being within 7 days of opening date, for Project Presentation/ Structured Walkthrough and for Onsite Visit by bank‟s technical team. 4.43.

Acceptance of Services

The bank will require a period of 6 weeks from the date of services being made operational to evaluate the complete solution. This evaluation period will be required to verify the effectiveness of the services provided. The evaluation period will commence after the selected bidder has established the connectivity and made the solution operational, which includes but not limited, to mutually agreed custom modification and parameterisation. 4.44.

Right of Rejection

Union Bank of India reserves the right to reject the solution in its entirety during the evaluation period and to change the suggested plan.

Page 27 of 67

4.45.

Termination for Default / Order Cancellation

4.45.1. The Bank, without prejudice to any other remedy for breach of Contract, may terminate this Contract in whole or in part, by written notice of default sent to the Selected Bidder, if: 4.45.1.1. The Selected Bidder fails to make the Project live or deliver/ execute any or all of the Services within the period(s) specified elsewhere in this RFP/ the Work Order / Purchase Order; or 4.45.1.2. Non satisfactory performance of the solution during the evaluation phase 4.45.1.3. Failure to integrate/implement the project as per the requirements of the bank. 4.45.1.4. Serious discrepancies are noted in the implementation of the solution. 4.45.1.5. The performance of the solution adversely affects the business of the bank. 4.45.1.6. The Selected Bidder fails to perform any other obligations(s) under the Contract specified elsewhere in this RFP/ the Work Order/ Purchase Order. 4.45.1.7. Where it comes to Banks attention that the Successful Bidder (or the Bidder‟s team/its personnel/agents/servants etc is in position of actual conflict of interest with the interests of the Bank, in relation to any of terms of the Bidder‟s bid or the Contract. 4.45.1.8. Where the Successful Bidder‟s ability to survive as an independent corporate entity is threatened or is lost owing to any reason whatsoever including inter-alia the filing of s\any bankruptcy proceedings against the Successful Bidder, any failure by the Successful Bidder to pay any of its dues to its creditors, the institution of any winding up proceedings against the Successful bidder or the happening of any such events that are adverse to the commercial viability of the Successful Bidder. 4.45.1.9. In the event of the happening of any events of the above nature, the Bank shall reserve the right to take any steps as are necessary, to ensure the effective transition of the service(s) to the next successor Bidder, and to ensure business continuity. 4.46.

Consequences of Termination

4.46.1.1. In the event of the Bank terminating the Contract in whole or in part, the Bank may procure the Services similar to those undelivered, upon such terms and in such manner, as it deems appropriate and the Selected Bidder shall be liable to the Bank for any excess costs for procuring such similar Services. However, the Selected Bidder shall continue performance of the Contract to the extent not terminated. 4.46.1.2. In the event of termination of the contract due to any cause whatsoever, [whether consequent to the stipulated term of the contract or otherwise] Union Bank of India shall be entitled to impose any such obligation and conditions and issue any clarifications as may be necessary to ensure an efficient transition and effective business continuity of the service(s) which the successful Bidder shall be obliged to comply with and take all Page 28 of 67

available steps to minimize loss resulting from that termination / breach, and further allow the next successor Bidder to take over the obligations of the erstwhile successful Bidder in relation to the execution / continued execution of the scope of the contract. 4.46.1.3. In the event of termination of the contract due to efflux of time where the term is not extended by Union Bank of india, the successful Bidder shall be obliged to provide all such assistance to the next successor Bidder or any other person as may be required and as Union Bank of India may specify including training, where the successor(s) is a representative / personnel of Union Bank of India, to enable the successor to provide adequately the service(s) hereunder, even where such assistance is required to be rendered for a reasonable period that may extend beyond the term / earlier termination hereof. 4.46.1.4. Where the termination of the contract is prior to its stipulated term on account of a default on the part of the successful Bidder or due to the fact that the survival of successful Bidder as an independent corporate entity is threatened / has ceased, Union Bank of India shall pay the successful Bidder for that part of service(s) which have been authorized by Union Bank of India and satisfactorily performed by the successful Bidder up to the date of termination. Without prejudice to any other rights, Union Bank of India may retain such amounts from the payment due and payble by Union Bank of india to the successful Bidder as may be required to offset any losses caused to Union Bank of India as a result of any act / omissions of the successful Bidder. In Case of any loss or damage due to default on the part of the successful Bidder in performing service or any failure to perform any of its obligations under the contract, the successful Bidder shall compensate Union Bank of India for any such loss, damages or other costs, incurred by Union Bank of India. Additionally, the sub Bidder (if any) other members of its team shall continue to perform all its obligations and responsibilities under the contract in an identical manner as were being performed hitherto before in order to execute an effective transition and to maintain business continuity. All permitted third parties shall continue to perform all / any functions as stipulated by Union Bank of India and as may be proper and necessary to execute the service(s) under the contract in terms of the successful Bidder‟s bid and the contract. 4.47.

Liability on account of any System Compromise

Vendor shall inform the Bank immediately with full details of any security lapse / compromise for taking necessary steps against misuse on account of such occurrence and also take steps to mitigate the risk. Vendor shall be fully liable in case of any Security lapse / Compromise and liability arising in such cases shall be reimbursed by the vendor to the Bank. 4.48.

Force Majeure

4.48.1. Force Majeure is herein defined as any cause, which is beyond the control of the selected Bidder or Bank as the case may be which they could not foresee Page 29 of 67

or with a reasonable amount of diligence could not have foreseen and which substantially affect the performance of the contract, such as: 4.48.1.1. Natural phenomenon, including but not limited to floods, droughts, earthquakes and epidemics 4.48.1.2. Acts of any government, including but not limited to war, declared or undeclared priorities, quarantines and embargos 4.48.1.3. Terrorist attack, public unrest in work area etc. 4.48.2. Provided either party shall within 10 days from occurrence of such a cause, notify the other in writing of such causes. The Bidder or Bank shall not be liable for delay in performing his/her obligations resulting from any force majeure cause as referred to and/or defined above. Any delay beyond 30 (thirty) days shall lead to termination of contract by parties and all obligations expressed quantitatively shall be calculated as on date of termination, notwithstanding this, provisions‟ relating to indemnity, confidentiality survives termination of the contract. 4.49.

Bidder Utilisation of Know- How and Personnel for Competitors

The bank will request a clause that would require a NOC to be obtained from the bank for using any know-how gained in this contract, if awarded, for another organisation whose business activities are similar in part or in whole to any of those of Union Bank of India anywhere in the world, without prior written consent of the bank. Non-disclosure Agreement shall be executed by the vendor with the Bank as per the format prescribed in Annexure 7 4.50.

Limitation on Promotion

The vendor shall agree to make no reference to the Bank for the procurement of products and services hereunder or the agreement in any literature, promotional material, brochures, sales presentation or the like without the express prior written consent of the Bank. 4.51.

Indemnity

4.51.1. The vendor shall, at its own expense, defend and indemnify the Bank against all third party claims for infringement of patent, trademark, design or copyright arising from use of products or any part thereof supplied by vendor. Vendor will provide infringement remedies and indemnities for third party products, on a pass through basis. The vendor shall expeditiously extinguish any such claims and shall have full rights to defend itself there from. If the Bank is required to pay compensation to a third party resulting from such infringement, the vendor shall be fully responsible to pay such compensation along with all costs, damages and attorney‟s fees and other expenses that a court may finally awards, in the event of the matter being adjudicated by a court or that be included in a vendor approved settlement. The Bank will issue notice to the vendor of any such claim without delay and provide reasonable assistance to the vendor in disposal of such claim, and shall at no time admit to any liability for, or express any intent, to settle the claim. The Page 30 of 67

vendor shall also reimburse all incidental costs, which the Bank incurs in this regard. 4.51.2. In the event of the vendor not fulfilling its obligations under this clause within the period specified in the notice issued by the Bank, Bank has the right to recover the amounts due to it under this provision from any amount payable to the vendor under this project. 4.51.3. The indemnities under this clause are in addition to and without, prejudice to the indemnities given elsewhere in this agreement. 4.52.

Patent Rights

4.52.1. The supplier shall, at their own expense, defend and indemnify the Bank against all third party claims or infringement of intellectual Property Right, including Patent, trademark, copyright, trade secret or industrial design rights arising from use of the products or any part thereof in India or abroad. 4.52.2. The supplier shall expeditiously extinguish any such claims and shall have full rights to defend it there from. If the Bank is required to pay compensation to a third party resulting from such infringement, the supplier shall be fully responsible for, including all expenses and court and legal fees. 4.52.3. The Bank will give notice to the Supplier of any such claim without delay, provide reasonable assistance to the Supplier in disposing of the claim, and shall at no time admit to any liability for or express any intent to settle the claim. 4.53.

Confidentiality

4.53.1. This document contains information confidential and proprietary to Union Bank of India. Additionally, the bidder may be exposed by virtue of the contracted activities to internal business information of Union Bank of India, affiliates, and/or business partners. Disclosure of receipt of this RFP or any part of the afore-mentioned information to parties not directly involved in providing the services requested could result in the disqualification of the bidder, pre-mature termination of the contract, or legal action against the Bidder for breach of trust. 4.53.2. No news release, public announcement, or any other reference to this RFP or any program there under shall be made without written consent from Union Bank of India. Reproduction of this RFP, without prior written consent of Union Bank of India, by photographic, electronic, or other means is strictly prohibited. 4.53.3. The vendor (and his employees) shall not, unless the Bank gives permission in writing, disclose any part or whole of this RFP document, of the proposal and/or contract, or any specification, plan, drawing, pattern, sample or information furnished by the Bank (including the users), in connection therewith to any person other than a person employed by the bidder in the performance of the proposal and/or contract. Disclosure to any such employed person shall be made in confidence and shall extend only as far as may be necessary for purposes of such performance. The employees or the third party engaged by the bidder will maintain strict confidentiality. 4.53.4. The vendor, his employees and agents shall not, without prior written consent from the Bank, make any use of any document or information given by the Page 31 of 67

Bank or its Authorized personnel, except for purposes of performing the contract award. 4.53.5. In case of breach the Bank shall take such legal action as it may be advised. 4.54.

Limitation of Liability

4.54.1. Vendor's aggregate liability under the contract shall be limited to a maximum of the Contract value. This limit shall not apply to third party claims for 4.54.1.1. IP infringement indemnity; 4.54.1.2. Bodily injury (including death) and damage to real property and tangible personal property caused by vendor's gross negligence. 4.54.2. Vendor shall not in any event be liable for any indirect, consequential damage, or loss of profit, business, revenue, goodwill, anticipated saving or data, or third party claim except with respect to bodily injury (including death) and damage to real and tangible personal property for which vendor is legally liable. 4.54.3. For the purpose of this section, Contract value at any given point of time, means the aggregate value of the purchase orders placed by Bank on the vendor that gave rise to claim, under this tender. Note: Notwithstanding anything said above, the Union Bank reserves the right to reject/award the contract to any vendor or cancel the entire process without assigning reasons thereto. 4.55.

Infrastructure and Connectivity

4.55.1. The bidder needs to establish network connectivity through dedicated leased lines/MPLS. In case of failure, the connectivity should also have a backup, from a network service provider who is different from the one providing the primary link. The costs for such connectivity from the bidders centre to the bank‟s switch at Mumbai and DR site at Bangalore has to be borne by the bidder. A team should be earmarked for monitoring of the links 24 X 7 X 365 at bidder‟s NOC. 4.55.2. The bidder shall have to make the necessary integration and required customisation to communicate with the bank‟s Base24 ATM switch/any other switch in future. The bidder shall be responsible for first level monitoring of these network/devices. 4.55.3. The bidder shall do proactive monitoring and do capacity planning at regular intervals and advise the Bank on upgrades. However, there should not be any cost to the Bank for application software upgrade. 4.56.

Compatibility with the banks infrastructure

4.56.1. An essential component of the implementation will be the integration with banks existing/future systems and features, not limited to the following: 4.56.1.1. Banks existing Base24 ATM switch or any other switch in future. 4.57.

Certification

4.57.1. The selected bidder should also support the requisite certifications, integration, maintenance, patching, and audit compliance, etc. Page 32 of 67

4.57.2. The bidder should ensure that the solution complies with the mandates released by interchanges such as Visa, MasterCard, NPCI etc. 4.57.3. The solution should also comply with international standards like PCI /ISO etc. 4.57.4. The bidder should get the activities and/or functions audited from time to time as per the requirements of the Bank, VISA, Master Card, NPCI, Reserve Bank of India or any other statutory body, wherever applicable. Cost of such audit should be borne by the bidder throughout the period of agreement. 4.58.

Cards variants in use: Bank has the following variant of cards:

VIAS EMV VISA BUSINESS EMV VISA PLATINUM EMV

MASTER PLATINUM EMV

KGSG debit cards EMV RUPAY EMV GENERAL DEBIT CARD KCC KISAN CREDIT CARD MUDRA GENERAL DEBIT CARD

Prepaid cards GIFT, PAYROLL & POWERPAY IRCTC PREPAID VISA PREPAID- PAYROLL

RUPAY RUPAY RUPAY RUPAY RUPAY RUPAY RUPAY RUPAY

PUNGRAIN M.S. JANADHAR M.S. EMV MUDRA M.S. PLATINUM EMV IGNOU EMV PMJDY EMV Kisan EMV

RUPAY PREPAIDPAYROLL RUPAY PREPAID GIFT RUPAY EMV

4.59.

Statewise card issuance details and future requirement :

Number of Personalised and Ready Kits issued during the year 2016-17 is as under: PERSONALISED CARDS

15 Lakh

30%

READYKITS

35 Lakh

70%

20 Lakh

41%

0.029 Lakh

0.05%

30 Lakh

58.95%

CARD TYPE WISE VISA MASTER RUPAY

Statewise details of cards issued during the year 2016-17 is as under: (In thousands)

Page 33 of 67

Statewise

Andaman-Nicobar Andhra Pradesh Arunachal Pradesh Assam Bihar Chandigarh Chhattisgarh Dadra Nagar Haveli Daman & Diu Delhi Goa Gujarat Haryana Himachal Pradesh Jammu & Kashmir Jharkhand Karnataka Kerala Madhya Pradesh Maharashtra Manipur Meghalaya Mizoram Nagaland Orissa Pondicherry Punjab Rajasthan Sikkim Tamil Nadu Telangana Tripura Uttar Pradesh Uttarakhand West Bengal

30% Personalised No. of Card Branches 0.22 1 66.03 181

70% Ready Kits 0.60 153.90

0.82 219.93

% of Total 0.02 4.31

Total

0.13 19.58 39.66 3.52 19.19

1 69 162 12 63

0.20 45.60 92.60 8.30 44.80

0.33 65.18 132.26 11.82 63.99

0.01 1.28 2.59 0.23 1.25

0.56 0.94 49.65 4.03 82.75 40.43 4.62 2.68 24.61 66.36 77.25 118.76 249.53 0.23 0.70 0.11 0.22 27.32 1.48 30.02 47.23 2.63 91.71 40.22 1.44 344.48 16.02 55.40

1 1 98 16 275 110 20 13 88 166 254 290 519 1 5 1 1 130 4 144 145 8 237 83 7 952 83 191

1.30 2.10 115.90 9.40 193.10 94.30 10.70 6.40 57.50 155.00 180.20 277.10 582.20 0.50 1.60 0.20 0.50 63.60 3.40 70.00 110.20 6.30 214.10 94.00 3.40 803.90 37.40 129.40

1.86 3.04 165.55 13.43 275.85 134.73 15.32 9.08 82.11 221.36 257.45 395.86 831.73 0.73 2.30 0.31 0.72 90.92 4.88 100.02 157.43 8.93 305.81 134.22 4.84 1148.38 53.42 184.80

0.04 0.06 3.25 0.26 5.41 2.64 0.30 0.18 1.61 4.34 5.05 7.76 16.31 0.01 0.05 0.01 0.01 1.78 0.10 1.96 3.09 0.18 6.00 2.63 0.09 22.52 1.05 3.62

Projections for next year (approx.): Approximate number of cards to be issued /replaced during the next 5 years is as under:

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Projections For 5 Years Volume ( In Lakh)

2017-18

2018-19

2019-20

2020-21

2021-22

100

120

80

100

120

Total 520

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Annexure 1 DECLARATION FORMAT TO BE SUBMITTED BY BIDDERS DECLARATION: We ________________________________ hereby undertake to agree to abide by all the terms & conditions stipulated in the RFP document for Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards. The following documents/items are enclosed: 1.

Bidder details as per Annexure 2

2.

Bid form as per annexure 4

3.

Authorisation letter format to submit the Bid document per Annexure 10

4.

Certified copies of Certificate of Incorporation and Certificate of Commencement of Business (for Public Limited Companies) issued by the Registrar of Companies.

5.

Demand Draft favouring Union Bank of India, payable at Mumbai towards nonrefundable Tender Document Fee / Bid Application Fee payable as specified under BID SCHEDULE

6.

Bank Guarantee / DD towards Bid Security Rs.1.00 Crore (Rupees One Crore only) favouring Union Bank of India, payable at Mumbai, as specified under BID SCHEDULE

7.

Please mention any other annexure below. a) b) c)

Signature of the Authorised Signatory with date & seal (Full name and Designation of Authorized Signatory) Company Name and address

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Annexure 2 ORGANISATION PROFILE A. Profile of the bidder  Name of the bidder  Location Registered Office IT Center  Constitution  Date of Incorporation  Date of commencement of Business  Major change in the management in the last three years  Names of Banker(s) B. Financial position of the bidder for the last three years Details Paid up capital Tangible Net worth (excluding revaluation reserve) Total outside liabilities/Tangible Net worth Net Sales of the Company as a whole Gross Profit

2014-15

2015-16

2016-17

Net Profit (Profit after Tax) Summary of Financial Position and Working Results Growth in Operations (%) Growth in Profitability (%) Note: Enclose copies of audited balance sheets along with the bid. C. Proposed Service details in brief:  Description of service  Details of similar service provided to banks in India

(Signature) (In the capacity of) Duly authorised to sign the bid with seal for and on behalf of (Name and address of the bidder)

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Annexure 3 UNDERTAKING BY THE BIDDER (To be submitted on the bidder‟s letterhead) Date: To: The Assistant General Manager, Union Bank of India, Digital Banking Department, 7th Floor, Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400 021

We ________________________(bidder name), hereby undertake that

As on date of submission of tender, we are not blacklisted by the Central Government / any of the State Governments in India or any Financial Institution in India.



We also undertake that, we are not involved in any legal case that may affect the solvency / existence of our firm or in any other way that may affect capability to provide / continue the services to bank.

Dated this ....... day of ............................ 2017 Place: (Signature) (In the capacity of) Duly authorised to sign the bid with seal for and on behalf of (Name and address of the bidder)

Page 38 of 67

Annexure 4 BID FORM Ref No:

Date:

To: The Assistant General Manager, Union Bank of India, Digital Banking Department, 7th Floor, Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400 021

Dear Sir, We the undersigned, having examined the Request for Proposal (RFP) for Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards for Union Bank of India under Outsourced Model, in conformity with the said RFP, for such amount as may be ascertained in accordance with the Schedule of Prices submitted. If our proposal is accepted, to commence operations within six to eight weeks calculated from the date of acceptance of your notification of award / letter of intent / purchase order, as provided under Clause No. 3.40 Start of Services - of RFP. We agree to hold this proposal valid for a period of 180 days from the last date of submission of proposal, which shall remain binding upon us and may be accepted at any time before the expiry of the period. We further confirm that1.

We agree to abide by the Bid and the rates quoted therein for the orders awarded by the Bank up to the period prescribed in the Bid which shall remain binding upon us.

2.

In case we offer system and/or other software manufactured by another company, such software operates effectively on the system offered by us and we are willing to accept responsibility for its successful operations.

3.

Until a formal contract is prepared and executed, this proposal, together with your written acceptance thereof and Notification of Award, shall constitute a binding Contract between us.

We undertake that, in competing for (and, if the award is made to us, in executing the above contract); we will strictly observe the laws against fraud and corruption in force in India. We agree that Union Bank of India is not bound to accept the lowest or any Bid you may receive. Dated this ....... day of ............................ 2017 Place: (Signature) (In the capacity of) Duly authorised to sign the bid with seal for and on behalf of (Name and address of the bidder)

Page 39 of 67

ANNEXURE-5 PROFORMA FOR INDICATIVE COMMERCIAL OFFER Sr No

Item/Service to be quoted

Estimated Number (Annual)

Per Card Cost

Total Cost without Tax

Applicable Tax

Total Cost With Tax

A. Running Charges 1. Supply of Blank EMV Card 75,50,000 2. Personalization of Card (as per the 55,00,000 requirements in this RFP) - RuPay 3. Personalization of Card (as per the 19,00,000 requirements in this RFP)- VISA 4. Personalization of Card (as per the 1,00,000 requirements in this RFP)- MasterCard 5. Personalized Welcome Kit Stationery 75,50,000 6. PIN Printing (including stationary, re50,00,000 pin) 7. Personalization EMV Card with scanning 50,000 and printing of photo on card 8. Packing and Dispatch of Cards along 75,50,000 with welcome kit & other instructions 9. Packing and Dispatch of PIN mailers 50,00,000 10. Postage / Courier Charges for 25,50,000 personalized card at Customer locations 11. Postage / Courier Charges for Ready 50,00,000 Kits (packet of 100 card) at branch locations 12. DCMS processing (per card or pin) 75,50,000 13. Supply of Blank Magstripe Cards 50,000 14. Supply of Dual Interface / Contactless 2,50,000 Card 15. Supply of RFID Tag 50,000 16. Image Card 50,000 Sub-Total (A) B.Monthly/One Time Charges (Cost for one year) 17. Other Ancillary Services (Maintenance 1 of record, Providing MIS as per requirement of Bank, handling returned Cards/ PINs, address label printing, report printing etc.) 18. Dedicated Port connectivity for Visa 2 Production EAS and MIP including cost of any for Visa certification on MIP or VAP, to initiate 1 Test for services. Visa, 1 MasterCard production and 1 Test Sub-Total (B)

Gross Total (A+B) Note 1. Bidder to consider processing cost also as a part of above costs. Bank shall not pay any additional cost for Processing. 2. In addition to the specified insertions for Debit Card Kit in the RFP, additional two

Page 40 of 67

insertions would not be chargeable. 3. The Bank may also call for a supply of Bilingual cards. 4. The cost of manpower for all the activities specified may be taken into account while quoting for the same. No separate payment shall be made towards cost of manpower. 5. The numbers of cards mentioned above are given to arrive at TCO. The actual quantity of cards to be procured will be based on Purchase Order to be issued by the Bank from time to time for each variant of card. 6. Quoted price of all items shall be inclusive of all taxes, statutory levy, charges etc. except service tax/sales tax/VAT/Octroi/ and Entry Tax, wherever applicable, (On actual basis) shall be paid by the bank on the production of relevant documents.

Page 41 of 67

ANNEXURE 6 STATIONERY ITEMS & SPECIFICATIONS: Common for All Types of Cards Sr. No 1

Description Welcome Letter One Page Welcome Letter with four colors printing (BILINGUAL) Card Carrier Size: 295mm length x 210mm width (A4). Paper: 90 GSM Maplitho, , 4+4, VDP on front

2

Card Pouch Size: Length 90 mm Width 60 mm Material should be made of HDPE Fibers having very high tear and Water Resistance. Paper: 130 gsm Thickness: 168-174 microns Should be Antistatic coated to safe the card surface from scratches. Printing: 4 color printing on Front Finishing: BOPP lamination on front

3

User Manual Size: Length220mm x 285mm width Paper: 90 GSM Art Paper Printing: 4 colour back to back printing,

4

2 Folds

Window Envelope:Size: Length 275 mm x 105mm width Window Size: Length 120mm x 50 mm width. Paper: 130 GSM Art, Multicolour Printing, Window Pasting & Envelope Pasting. (Ballarpur / Andhra White Maplitho) Lamination: Both side Glossy Lamination

Other Stationary Item Specifications Plastic Envelopes Paper envelope Plastic Bags

Envelopes manufactured of 200 Gage LDP, size 10 * 4.5 inches with two Pre Printed laminated brown envelope of 250 GSM, size 12 * 6 color printing with gumming Plastic Inches.Bag manufactured with 250 Gage thickness, HM quality, size 19.5 * 17 inches and size 15.5 * 12 inches, Pre Printed in two colours with gumming.

Gunny Bags

Pre Printed Gunny Bags having size 35 * 24 inches of good quality.

Page 42 of 67

Small Window Envelopes Envelopes manufactured of 95 GSM HB Maplitho size 7.5*4.5 inches having window of 2*4 inches duly printed (inside as well as outside) in three colors with gumming. Business Reply envelope Tape Brown Tape A4 Paper PIN Mailer

Envelopes manufactured of 95 GSM HB Maplitho size 7.5*4.5 inches duly printed (inside as well as outside) in three colors with gumming. Pre-printed cello tape 1.5 inch wide. Brown Cello Tape 2 inch wide. Required for printing of Card and PIN Dispatch Reports. Should be of good quality 4*11 inches in triplicate in continuous format with pocket holes on both sides and perforated Cream Wove paper of A Grade mill is to be used & shrink packing of 1000 each and three packets in one corrugated box. Printing specifications of PIN Mailer: Leaf

Front Back Printing Printing First Leaf 3 color Black Carbon Ink Second 3 color Black Leaf Carbon Ink 3 color Third Single Leaf Color

Paper Remarks 50 Clipped with 2nd and gsm 3rd leaf 60gsm Sealed & Glued from all side with 3rd leaf 80 Sealed & Glued from gsm all side with 2nd leaf

Note – (1) The above stationery items need to be duly pre-approved by the Bank. (2) Specification of the stationary items may be modified only by the bank at its discretion. In that case such modification would be communicated to the bidder in writing.

Accepted

Signature & Seal of Bidder

Page 43 of 67

ANNEXURE 7

PROCEDURE FOR PACKING OF CARDS, PINS & OTHER ACTIVITIES (A)

Process and Steps to be undertaken for Packing of Cards

To ensure their safety, the cards are first required to be packed in a Window envelope, which should then be sealed in a transparent envelope. The process of dispatch of cards along with it s insertions is as under: 1. Folding of the designated Welcome Letter (S1) for that card, on which the card has already been pasted through an automated process. 2. Stuffing of the folded Welcome Letter with Card, Pouch (S2), User Guide (S3) and any other material provide / designated by the Bank in the window envelope (S5). 3. Sealing the envelope (S5) prepared under Step 2 with a plastic tape (S10a) and further stuffing of this envelope in a covering envelope (S6a) and sealing of the same with plastic tape. 4. Printing Branch-wise Card Reports (S11) in duplicate. 5. Packing the envelopes prepared as per Step 3 in large plastic bags (S7) along with card reports as per bank‟s requirement / specification. Normally up to 100 cards would be packed in such large plastic bags. 6. In case where a larger no. of Cards, are required to be packed together, the packets prepared under Step 3 / 5 would be further packed in gunny bags (S8) for final dispatch. (B)

Steps for Packing of PINs 1. Printing of PIN Mailer (S12) –. 2. Printing of Branch-wise PIN Dispatch Reports (S11) in duplicate showing card numbers and other details. 3. Packing the PIN mailers in large plastic bags / paper envelopes (S7 / S6b) along with PIN Dispatch Reports.

(C)

Procedure for Packing of duplicate PINs for ATM / Debit / Prepaid Cards 1) Printing of PIN Mailer (S12) – 2) Printing of Branch-wise PIN Dispatch Reports (S11) in duplicate showing card numbers and other details. 3) Packing the PIN mailers in large plastic bags / paper envelopes (S7 / S6b) along with PIN Dispatch Reports. Page 44 of 67

(D)

Procedure for packing of Welcome Kit. 1. Matching and packing of debit card kit and Pin-mailer. 2. Pasting Labels on the Big and Small Envelopes. 3. Packing of debit card with pin to the small envelope after matching the same with the label pasted with the small envelopes. 4. Packing of small envelopes, welcome letter and promotional material in the big envelope. After ensuring the account pasted in the big envelope matched with labels in the small envelope. 5. Maintain proper quality check before sealing of the envelopes. 6. Final packing of big envelopes to the Gunny bags and making dispatch ready packet to the branches. 7. Mentioning addresses of the branch in the gunny bags and handed over to the courier/Speed post.

Note: The above process may be changed as and when required by the Bank which shall be communicated as and when required.

Accepted

Signature & Seal of the Bidder

Page 45 of 67

ANNEXURE 8

Technical Evaluation Chart for Debit Card Management System Sl. No.

1

Parameters

Response of Bidder

Number of Banks in India for which EMV Chip Number of Banks cards have been supplied by the with full details bidder in past year (2 marks each for number of and documentary Bank beyond 4. E.g. 4 Banks – 0 Marks, 5 Banks – evidence to be 2 marks, 6 banks – 4 marks and so on.) provided

Number of years of experience in supply of Debit Cards to banks in India 2 (2 marks for each year of experience beyond 5 years e.g. 5 years = 5 marks, 5+ years = 10 marks.)

Maximum Marks Marks Obtained

10

Full details and documentary evidence to be provided

10

Supply EMV chip based Debit cards (Visa/MasterCard/RuPay) for Banks in India during Documentary the last one year up to the date of submission of 3 evidence to be bids. furnished. (up to 80 Lac cards = 5 points, more than 80 Lac = 10 points)

10

Whether the bidder has an ISO 27000 Certification for card operations or any other equivalent 4 Security certification. If yes, please enclose copy of current certification. (If Yes =10, No=5) 5

Whether the Bidder is providing MIP and VAP services for Banks in India. (If Yes =10, No=0) Whether the bidder would provide a dedicated help desk to make available specific information 6 regarding status of card personalization/ dispatch status for both. (If Yes =10, No=5) Cards & PINs. Whether periodic process audit is being carried out by independent external agency like PCIDSS 7 other than MasterCard / Visa / NPCI. (If Yes =10, No=5)

Yes / No

10

Yes / No

10

Yes / No

10

Yes / No

10

Page 46 of 67

Whether the Bidder has a Disaster Recovery site for ensuring DCMS operability. (If Yes =10, No=0)

Yes / No

10

Whether the bidder can provide a separate / demarcated area and identified personnel to 9 meet the requirement of our Bank. Self declaration to be provided. (If Yes =10, No=5)

Yes / No

10

8

Marks to be allocated based on the feedback of Bank‟s officials after site visit to the bidder‟s 10 facilities (Excellent = 10, Very Good = 8, Good = 6, Average =4 Poor =0) Total

10

100

Note: Commercial Bids of only those bidders who are found to be eligible under the Technical Evaluation shall be opened. Minimum marks to be obtained by the bidder is 75 Note: If at any point of time it is found that the information provided under any part of the RFP is wrong / incorrect, the Bank reserves the right to terminate the contract immediately and also appropriate the amount under the EMD provided by the bidder. Accepted Signature & Seal of the Bidder

Page 47 of 67

ANNEXURE 9 Technical Specifications for Debit Cards. 1. Plastics For Chip Cards -Generic Requirement of EMV cards a) Card – Physical Specs  Compliant to ISO/IEC 7816 Standards • Physical Card ID1 Format • Compliant to Banking EMV Standards • 100% PVC Plastic • Contact Plates as per ISO 7816-2 Standards b) Contact Chip Specifications  Compliant to ISO 7816 Standards  Protocol T = 0 & T = 1  Java Card standards compliant – 2.2.1 or above  Global Platform compliant – 2.2.1 or above  Enabled with EMV scheme applications  RSA capabilities  Security module enabled in the chip for applications  o DES & 3DES  O SEED  Microprocessor based IC Card with Memory – 16KB EEPROM minimum 8 bit CPU  RAM 6 KB  Secure Hardware Crypto Coprocessor o o o o o o o o o o o o

RSA/ECC,3DES/3KTDES,AES Common Criteria (EAL): EAL5+ (hardware) Memory secure encryption for RAM, ROM and EEPROM Counter Measures against side channel attacks (SPA & DPA) Write Endurance 300000 cycles Data retention > 10 years Unique ID for each chip Operating system should be hard masked on ROM Java 2.2.x or higher Global platform 2.1.x or higher version EMV Authentications methods supported DDA/CDA Support for EMV financial applications using chip and pin

 Rupay  Capacity to support EMV compliant RUPAY Cards, when Rupay specifications for chip based cards NPCI  M/Chip Advance  J/Smart Page 48 of 67

qPBOC D/C  Express PA 

Dual Interface Card (Contact + Contactless) o Compliant to ISO/IEC 7816 Standards o Physical Card ID1 Format o Card - PVC Material with 800 micron thickness o Free User Memory : min 12K o Authentication method : DDA. o Global Platform 2.1.1 o JAVA Card 2.2.2 o Compliance to ISO 14443 o Supports Latest versions / builds of all schemes. o Minimum 8 bit CPU o Secure Hardware Crypto Coprocessor o RSA /ECC, 3DES (with 2 unique keys)/3KTDES o Write Endurance 300 000 cycles o Data Retention >10 years o Unique ID for each chip o Support for EMV financial applications NFC Tags/Contactless Wearables: i. ii. iii. iv. v.

NFC Tags should be compatible with payment and multi-applications Tags should compliant to ISO 14443 standard Tags should be certified with Paywave (Visa), PayPass (Master Card) Reading distance according to EMV Co contactless requirements Stickers: a. Smaller form factor with size of 48x25mm centered on ID1 card support b. Efficient adhesive c. Should be compatible with all major handsets vi. Keyrings/Wristbands: i. 27x23mm FOB form factor on ID card support Hybrid (Contact + Contactless) Contact EMV: Compliant to ISO/IEC 7816 Standards Physical Card ID1 Format Card - PVC Material with 800 micron thickness Free User Memory : 8K FLASH Authentication method : DDA /CDA Global Platform 2.1.1 JAVA Card 2.2.2  Communication Protocol : T=0 , T=1 Certified Payment schemes : x MasterCard - M/Chip 4 Multi-App T=0 & T=1 x Visa – VSDC2.8.1f1 T=0 x Rupay - DPAS v1.1 T=0 Page 49 of 67

Minimum 8 bit CPU Secure Hardware Crypto Coprocessor RSA /ECC, 3DES (with 2 unique keys)/3KTDES  Write Endurance 300 000 cycles  Data Retention >10 years  Unique ID for each chip  Support for EMV financial applications Contactless DESFire EV1: ISO/IEC 7816 compatibility Contactless cardsISO/IEC are to be supplied RF Interface: 14443 Type Aas per the standard interface and Operating compliance with MasterCard, frequency: 13.56 MHz VISA and RuPay standards. Contactless cards are required be of EMV Chip standards The Operating Distance: up to 100tomm manufacturers to guarantee against the failure Bit-wise anticollision . 7 bytes unique identifier, cascaded Memory – 4K • Data retention of 10 years Write endurance typical 500 000 cycles Common Criteria Certification: EAL4+ (Hardware and Software) Data encryption on RF-channel Authentication on application level • Self-securing file system • Transaction oriented automatic anti-tear mechanism

Page 50 of 67

ANNEXURE 10 LETTER OF AUTHORISATION TO SUBMIT THE BID Ref No:

Date:

To: The Assistant General Manager, Union Bank of India, Digital Banking Department, 7th Floor, Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400 021

Sub: Letter of Authorisation to submit bid for Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards for Union Bank of India and Regional Rural Banks (RRBs) sponsored by the bank on fully outsourced model. Dear Sir, We M/s ................................... (Name and address of the Principal) hereby authorize M/s. ........................ (Name and Address), our Business Partner/ Authorised Distributors to submit a proposal, and sign the proposal on behalf of us for all the systems/ services required by the Bank, as called for vide the Bank's request for proposal bearing reference RFP for Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards. We hereby undertake to bind ourselves with the Bank if the proposal submitted as above is duly accepted by the Bank. Yours faithfully,

Name: Designation: (Name of Principal Bidder on whose behalf the proposal is submitted) Note: This letter of authority should be on the letter head of the Principal, on whose behalf the proposal is submitted and should be signed by a person competent and having the Power of Attorney to bind the Principal. It should be included by the Bidder in its proposal.

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ANNEXURE 11 BID SECURITY FORM Whereas ________________hereinafter called the “Bidder” has submitted its proposal dated ______________ for undertaking for Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards for Union Bank of India and Regional Rural Banks (RRBs) sponsored by the bank on fully outsourced model in your Bank (hereinafter called “the bid”), KNOW ALL PEOPLE by these presents that WE _____________OF______________having our registered office at ____________________________(hereinafter called “the Bank”) are bound unto Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400020, (hereinafter called “the Purchaser”) the sum of Rs.1,00,00,000/- (Rupees One Crore only) for which payment well and truly to be made to the said purchaser, the Bank binds itself, its successors and assigns by those presents. THE CONDITIONS of these obligations are: 1. If the Bidder withdraws his Bid during the period of the proposal validity; or 2. If the Bidder, having been notified of the acceptance of its Bid by the purchaser during the period of Bid validitya) Fails or refuses to execute the Contract in accordance with clause 7 (12) of the RFP; or b) Fails or refuses to furnish the Performance Security, in accordance with the terms of the Bid; We undertake to pay the purchaser up to the above amount upon receipt of its first written demand, without the purchaser having to substantiate its demand, provided that in its demand the purchaser will note that the amount claimed by it is due to it, owing to the occurrence of one or both of the two conditions, specifying the occurred condition or conditions. This guarantee will remain in force up to ______________________ and any demand in respect thereof should reach the Bank not later than the above date. Sealed with the common seal of the said Bank this ____________day of ______________2017

SIGNATURE AND SEAL OF BANK

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ANNEXURE 12 PERFORMANCE BANK GUARANTEE To, Union Bank of India Union Bank Bhavan, 239, Vidhan Bhavan Marg, Nariman Point, Mumbai – 400020 Whereas ______________________________________, a company incorporated under the Companies Act, 1946 and having its principal office at _________________________________________________, represented by its authorised signatory Mr. __________, hereafter called “Third Party Processor”, which expression shall, unless repugnant to the context thereof, mean and include its successors and permitted assigns has undertaken, in pursuance of contract no. _________________ dated ___________ for undertaking Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards for Union Bank of India and Regional Rural Banks (RRBs) sponsored by the bank on fully outsourced model for hereinafter called “the bid”. And whereas it has been stipulated by you in the said contract that the supplier shall furnish you with a Performance Guarantee by a scheduled commercial bank for the sum specified therein as security for compliance with the supplier‟s performance obligations under the contract for the proposal for a period of 60 months. And whereas we have agreed to give the Third Party Processor a guarantee. Therefore we hereby affirm that we are the guarantors and responsible to you on behalf of the Third Party Processor, for `. ………../- (Rupees …………………… only) (calculated @6% of the Project Cost / Contract Value). And we undertake to pay you upon your first written demand declaring the Third Party Processor to be in default under the contract and without cavil or argument, any sum or sums within the limit of (6% of the contract value) `.…………./- (Rupees …………………………. only) as aforesaid, without your needing to prove or to show ground or reasons for your demand or the sum specified therein. This guarantee is valid until ______________ (Date) Sealed with the common seal of the said Bank this ____________day of _____________2017. Signature & Seal of Banker

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ANNEXURE 13 NON DISCLOSURE AGREEMENT AGREEMENT, made effective this day of, between Union Bank of India and ____ _______________ (Hereinafter "THE VENDOR"). With respect to CONFIDENTIAL INFORMATION furnished by the parties to each other, the parties agree as follows: 1. That Confidential Information is received by each party for purposes of implementation of security system for online card transactions for Union Bank of India & carrying on its activities. Confidential Information is defined as meaning information of Union Bank of India or the VENDOR identified as or relating to its activities, data made available or accessible, data generated during operations, business strategies, business arrangements, computer and network operations, functions and systems architecture which may be disclosed in oral, written, graphic, machine-recognizable, and/ or sample form, inclusive but not limited to any statistical data, MIS reports, client confidential information of Union Bank of India, any information relating to Banks Products, Services and transactions which may be exchanged between the parties and also information which is clearly designated, labelled, or marked as confidential and/ or proprietary or its equivalent. In the event of confidential information shared orally, the disclosing party will confirm, in writing within thirty (30) days after such oral disclosure. Each party shall limit dissemination of Confidential Information to only those people or employees of the Vendor, demonstrating and requiring a need to know. 2. That up to a period of 5 years after the date of termination of this Agreement, each party shall a) restrict dissemination of Confidential Information to only those employees who must be directly involved in evaluation of the Confidential Information b) use the same degree of care as for its own information of like importance and take reasonable care, in safeguarding against disclosure of Confidential Information. 3. That each party shall not copy, transmit or otherwise communicate the CONFIDENTIAL INFORMATION, in any form to anyone not having a need to know, without the prior written approval of the other party. 4. At the disclosing party's request or upon termination of the Contract for implementation of security system for online card transactions [or if the proposed transaction is not consummated], the receiving party will within 30 days of receipt of such notification: i) return to the disclosing party all copies of the Confidential Information in its possession [or in the possession of its representatives/ agents/ employees], [whether in written form, electronically stored or otherwise] provided by the disclosing party; ii) destroy all copies of those portions of any documents containing any Confidential Information, and iii) if so requested by the disclosing party, deliver to the disclosing party a certificate executed by one of its duly authorized officers confirming compliance with the return or destruction obligation. 5. The Vendor shall maintain full confidentiality of the data obtained while answering queries/ complaints of Union Bank of India‟s customers. Under no circumstances the Page 54 of 67

Vendor shall divulge/ reveal/ share such data with any third party without the prior written permission. Vendor shall execute appropriate confidentiality agreements with their employees to maintain confidentiality of such data. Such data collected, if any shall be the property of Union Bank of India and shall be handed over to Union Bank of India on expiry of the contract or when asked for during the currency of the contract. The facility should have appropriate electronic access control systems to ensure only authorized personnel have access. 6. That nothing contained in this Agreement shall be construed as granting or conferring any rights by license or otherwise, expressly or implied, or otherwise for any patents, copyrights, trademarks, know-how or other proprietary rights of either party acquired prior to or after the date of this Agreement. 7. That during the term of this Agreement and notwithstanding the other provisions of this Agreement, nothing received by Vendor shall be construed as CONFIDENTIAL INFORMATION which is now available to the public or is disclosed pursuant to the lawful requirement of a Government Agency disclosure is permitted by operation of law, provided that the Vendor before making the disclosure has given prior notice to Union Bank of India and has made a reasonable attempt to obtain a protective order limiting disclosure and use of the information so disclosed. 8. A waiver of any provision or breach of this Agreement must be in writing and signed by an authorized official of the Party executing the same. No such waiver shall be construed to affect or imply a subsequent waiver of the same provision or subsequent breach of this Agreement. 9. This Agreement shall be governed by and construed in accordance with the laws of India. 10. It is understood that this Agreement does not obligate either of the Parties to enter into further or continued discussions and assumes no commitment, financial or otherwise. IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their duly authorized representatives and to become effective as of the date first written above. AGREED: Union Bank of India By: ________________________ By_:_______________________ (Authorized Signature) (Authorized Signature) Title:________________________ Title:_______________________ Date:________________________ Date: ______________________

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ANNEXURE 14 Eligibility Criteria Sr. No 1.

2.

Criteria Bidder should be an Indian Company incorporated in India under Companies act. Bidder may also be a Multinational Company, having a valid license to operate in India for this activity.

Compliance (Yes/No)

Details of Proof Submitted

Bidder or its sub-contractors / partners must have its own MasterCard, VISA and NPCI Certified Bureau within India with required infrastructure for Debit Card personalization (EMV Chip & Magstripe) Conforming to all guidelines prescribed by MasterCard, VISA and NPCI for the said purpose. The certificate should be valid at least for 6 months from the date of submission of bids. Bidder should also be able to take care of PIN printing facility in India.

3. The Bidder should be a profit making (profit after tax) and having a minimum turnover of 200 Crores per year during the last three financial years (FY , 2014-15, 201516 & 2016-17) business for their Indian operations out of which minimum annual turnover of Rs 25 Crores from the card business. 4.

The Bidder should own the (IP) of the Debit Card Management System which is used in the processing environment

5.

The bidder should have been in the business of Debit Card Management System (DCMS) & Supply, processing and personalization of debit cards for Banks at least during the last five years and should have been handling business of card processing for at least 4 Scheduled Commercial banks in India which includes 2 PSU banks during this period

6.

The bidder or its sub-contractors / partners should have supplied and personalized at least 50,00,000 (Fifty Lakh) EMV chip based debit cards (Visa/MasterCard/RuPay) for Banks in India during the last one year immediately preceding from the date of submission of bids.

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7.

The bidder or its sub-contractor / partner should have the spare capability to handle 50,000 EMV Chip cum magnetic stripe cards per day exclusively for Union Bank Of India which should be scalable up to 75,000 EMV Chip cards per day if required by the Bank.

8.

The bidder should provide VISA and MasterCard Connectivity to the Bank through its hosted VAP and MIP Connectivity. Banks in-house Base24 Switch will interface with VAP and MIP of the Bidder

9.

The Bidder should not have been blacklisted by any PSU Bank during the last three years and the Bidder / any of its associates, should not have been cautioned/reprimanded/ blacklisted or have had its contract revoked / terminated by any concern to which it was under contract for supply of cards, or by any regulatory or statutory body or any PSU Bank or RBI or the Indian Banks Association (IBA) etc.

10. Bidder 8 should have experience and capacity for supply, processing and personalizing various types of debit cards e.g. EMV compliant chip based cards, magnetic stripe based cards, chip cum magnetic stripe based cards, embossed, non-embossed, photo cards, travel cards, prepaid cards, contactless dual interface cards including NFC enabled dual interface cards, image cards etc. 11. The 9 Bidder must produce certificate regarding satisfactory services from all PSU Banks to whom they have provided services related to supply, processing and Personalization of debit cards any time during the last two years immediately preceding the date of submission of the bids. 12 The bidder should have Disaster Recovery and Business Continuity Plan. Indicate the systems available for DR/BCP or the time frame in which they will be available. DR site must be located in India. 13

The systems offered should not violate any Intellectual Property Rights.

(Signature with date & seal) (In the capacity of) Duly authorised to sign the bid with seal for & on behalf of (Name & address of bidder)

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ANNEXURE 15 Technical Evaluation - Check List to be given by the Bidder at the time Technical Bid The following documents have to be given along with the Technical Bid: Sr. No 1. 2.

Description Demand Draft/Pay Order for Rs.25,000/- towards the cost of RFP

Compliance Details of Proof (Yes/No) Submitted

Demand Draft/Pay Order for Rs. 1,00,00,000/- towards the cost of EMD

3. Audited Financial statements for last 3 years 2014-15, 201516 & 2016-17 along with certificate of incorporation 4. Declaration as per annexure - 1 5.

Organisation Profile as per annexure 2

6. 7. 8.

Undertaking from the bidder for not being blacklisted as per annexure 3. Bid Form as per annexure 4 Indicated commercial offer as per annexure 5

9.

Stationary Items and specifications as per annexure 6

10. Procedure for packing of cards, Pins and other activities as per annexure 7 11. Technical evaluation chart for DCMS as per annexure 8 12. 13. 14. 15. 16. 17. 18.

Technical specification for Debit Cards as per annexure 9 Letter of authorization to submit the bid as per annexure 10 Bid Security form from the bidder as per annexure 11 DCMS should be PCI DSS certified Pin printing facility should be cleared by VISA pin audit or similar agency Bureau has to be certified by network scheme i.e VISA, MasterCard & NPCI MIP/VIP connectivity has to be as per PCI-DSS environment

(Signature with date & seal) (In the capacity of) Duly authorised to sign the bid with seal for & on behalf of (Name & address of bidder)

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ANNEXURE 16

REVERSE AUCTION PROCESS Reverse Auction through E-Procurement The detailed procedure for Reverse Auction to be followed in the RFP for Debit Card Management System (DCMS) & Supply, Printing, Personalisation of Debit Cards for Union Bank of India is given below: The response to the present tender will be submitted by way of submitting the Technical offer & Indicative Commercial offers in separate in sealed covers. The technical details with the relevant information/documents/acceptance of all terms and conditions strictly as described in this tender document will have to be submitted by the Vendors. The Indicative commercial bids submitted by the vendors who are short listed in the technical bid evaluation process will be opened and those vendors will be invited to participate in the online Reverse Auction to be conducted by the company selected by the Bank. Vendors who are short listed from Technical evaluation will be trained by the Reverse Auction Company for this purpose, and they will have to abide by the E-business rules framed by the Bank in consultation with Reverse Auction Service provider. The e-business rules are furnished hereunder in this document. Further, please note that the vendor(s) who do not qualify in the technical bid processes will not be considered for participation in Reverse Auction. BUSINESS RULES FOR REVERSE AUCTION APPLICABILITY: Reverse Auctions are carried out under the framework of rules that are called Business Rules. All vendors participating in Reverse Auction shall understand/accept and give an undertaking for compliance with the same to the Bank in the prescribed format. Any vendor not willing to submit such an undertaking shall be disqualified for further participation respecting the procurement in question. ELIGIBILITY: Only vendors who are technically qualified and who submit the prescribed undertaking to the Bank alone can participate in Reverse Auction relevant to the procurement for which RFP is floated. COMPLIANCE/CONFIRMATION FROM VENDORS: The vendors participating in Reverse Auction shall submit the following duly signed by the same Competent Authority who signs the offer documents in response to the RFP: Page 59 of 67



Acceptance of Business Rules for Reverse Auction and undertaking as per format.



Agreement between service provider and vendor. (This format will be given by the service provider prior to announcement of Reverse Auction.)



Letter of authority authorizing the name/s of official/s to take part in Reverse Auction as per format.

TRAINING: 

The Bank will facilitate training for participation in Reverse Auction either on its own or through the service provider for the Reverse Auction.



Where necessary, the Bank/service provider may also conduct a „mock reverse auction‟ to familiarize the vendors with Reverse Auction process.



Any vendor/bidder not participating in training and/or „mock reverse auction‟ shall do so at his own risk and it shall not be open for him to make any complaint/grievance later.

TOTAL COST OF OWNERSHIP (TCO): TCO refers to the aggregate amounts payable by the Bank for transfer of ownership. TCO shall encompass but not be limited to the following: 

Cost of the equipment/product or services.



License fee (Corporate or user specific as defined in RFP) including OS/Data Base/Application licenses).



All existing taxes (including sales tax/VAT, service tax etc.), duties and levies.



Installation and commissioning charges, if any.



The prices should include the comprehensive onsite warranty maintenance of the equipments covering all components, services, and visits to the concerned offices as specified in the RFP.



Annual Maintenance Charges for the period as specified in the RFP.



Transportation and Forwarding charges to respective sites.



Training costs for the product/service/equipment if and as defined in RFP.



Service Level Agreement (SLA) costs as defined in RFP for applicable period.



Facility Management/infrastructure support costs as defined in RFP.



Insurance to cover the equipment for and from transit period till installation.

The TCO shall be arrived at after deducting „buy back‟ costs involved and if/as defined in the RFP. TCO, however, shall not include variables of octroi and entry tax. These shall be paid as per actual and on production of receipts. However, no penalties respecting octroi or entry tax shall be paid by the Bank and the vendor shall bear such expenses. Page 60 of 67

DATE/TIME FOR TRAINING: 

The Venue, Date, Time etc. for training in Reverse Auction shall be advised at the appropriate time.



The Bank shall Endeavour to fix such Date/Time at mutual convenience to the vendor/s, service provider and the Bank.



No request for postponement/fixing of Training Date/Time shall be entertained which in the sole view and discretion of the Bank might result in any avoidable delay to either the Reverse Auction or the whole process of selection of vendor.

DATE/TIME OF REVERSE AUCTION: The Date and Time of commencement of Reverse Auction as also Duration of „Reverse Auction Time‟ shall be communicated at least 7 working Days prior to such auction Date. Any force majeure or other condition leading to postponement of auction shall entitle the Bank to postponement of auction even after communication, but, the Bank shall be obliged to communicate to all participating vendors the „postponement‟ prior to commencement of such „Reverse Auction‟. CONDUCT OF REVERSE AUCTION: The Reverse Auction shall be conducted on a specific web portal meant for this purpose. The Reverse Auction may be conducted by the Bank itself or through a service provider specifically identified/appointed/empanelled by the Bank.

SERVICE PROVIDER’S ROLE & RESPONSIBILITIES: In all Reverse Auctions conducted by the Bank through a Service Provider, the Bank shall enter into a separate agreement clearly detailing the role and responsibilities of the service provider hosting the web portal for the Reverse Auction. For creating necessary obligations and rights, the service provider will also enter into an agreement with each vendor as per a format designed by him for this purpose. The Bank shall resolve any points/issues concerning such agreement of vendor and service provider. While a Service Level Agreement (SLA) by the bank with the service provider is an arrangement for smooth and fair conduct of the Reverse Auction, the Bank shall be directly responsible to vendors for fair and transparent conduct of Reverse Auction. The service provider at the end of each Reverse Auction shall provide the bank with all details of the bids and reports of reverse auction. The service provider shall also archive the data pertaining to the Reverse Auction for a minimum period of 3 years. Page 61 of 67

TRAINING AND AUCTION: 

Service provider / auctioneer is responsible for conduct of adequate training to all technically qualified bidders representing the reverse auction and bidding process.



Each vendor / bidder shall participate in the training at his / their own cost.



Wherever it is considered necessary and asked by the bidders or as decided by the auctioneer or by Bank a mock auction may also be conducted for the benefit of all concerned.



Authorized representatives of the bidders named in the authorization letter given by the vendor (Annexure B) shall be given unique user name, password by the service provider / auctioneer.



Each bidder shall change the password and edit the information in the registration page after receipt of initial password.



All the bids made from the log-in ID given to bidder shall ipso-facto be considered bid made by the vendor / bidder to whom log-in ID and password were assigned by the service provider / auctioneer.



Any bid once made through registered log-in ID / password by the vendor / bidder cannot be cancelled. The bidder, in other words, is bound to sell the “Offering” as per the RFP at the bid price of TCO.



Every successive bid by the bidder / vendor being detrimental bidding shall replace the earlier bid automatically and the final bid as per the time and log-in ID shall prevail over the earlier bids.



The Bank shall conduct the reverse auction as per the Standard English reverse auction, that is, no two bids can have identical price from two different vendors. In other words, there shall never be a “Tie” in bids.

PROXY BID: 

A proxy bid is one where vendor can submit the lowest bid amount by him in strict confidence to the system directly. This obviates the need for him participating in the bidding process until the proxy bid amount is decrementally reached by other bidders.



When proxy bid amount is reached, the vendor has an option to revise the proxy bid amount or he can prefer to start participating in bidding process.



Since it is an English auction with no ties, two vendors submitting identical proxy bid amount and succeeding in auction simultaneously does not arise.



During training, the issue of proxy bidding will be clarified in detail by the service provider.

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TRANSPARENCY IN BIDS: All bidders will be able to view during the auction time the current lowest price in portal. Bidder shall be able to view not only the lowest bid but also the last bid made by him at any point of time during the auction time. MASKING OF NAMES: Names of bidders/ vendors shall be anonymously masked in the Reverse Auction process and vendors will be given suitable dummy names. After completion of Reverse Auction, the service provider / auctioneer shall submit a report to the Bank with all details of bid and the original names of the bidders as also the L1 bidder with his / their original names. START PRICE: Bank shall determine the start price either on its own or through asking for information of price band on TCO from each vendor at appropriate time during or at the conclusion of technical evaluation. Based on the price band so informed by vendors, Bank would determine the start price for reverse auction. DECREMENTAL BID VALUE The vendors shall be able to bid only at a specified decrement value and not at any other fractions. The Bid decrement value shall be Rs.7500/- or 0.25% of the Start price of the Reverse Auction, whichever is higher. The bid decrement value shall be rounded off to the nearest thousands of rupees. For the sake of convenience of vendors, the web portal shall display the next possible decremented value of bid. It is not, however, obligatory on the part of vendors to bid at the next immediate lower level only. (That is, bids can be even at 2 or 3 lower levels than the immediate lower level.) COPY OF BUSINESS RULES The Bank shall supply copy of the Business rules to any vendors / bidders, wishing to participate in the reverse auction. Such request shall be made in writing to the Bank by an authorized representative of the vendor. 

The Bank shall also handover a copy of the Business Rules with a covering letter duly signed by an authorized signatory of the Bank.



For any dispute concerning the Business Rules, the hard copy of Business Rules supplied by the Bank for the reference of reverse auction process will alone be considered final and binding.

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SPLITTING OF ORDERS: If any RFP specifically authorizes splitting of orders for the sake of reducing dependency on single source of supply or provision of service, Bank is entitled to split the order in the order and as provided in RFP. While splitting the order, Bank shall specify the maximum quantum for L1, L2 etc. in RFP. In case L2 vendor is not willing to supply at L1 price, Bank shall call L3, L4 etc. in order to arrive at the split quantum to be awarded. The Bank shall also be entitled to award the contract to L2, L3 or L4 etc. bidders in the event of L1 bidder backing out to honor the commitment, or for that matter not in a position to supply the offering as per RFP. REVERSE AUCTION PROCESS: In order to reduce the time involved in the procurement process, Bank shall be entitled to complete the entire procurement process through a single Reverse Auction. For this purpose, Bank shall do all it can to award the contract to L1 bidder or in the circumstances where awarding of contract may have to be done to the L2, L3 bidder as provided for in the RFP. The Bank shall however, be entitled to cancel the procurement of Reverse Auction process, if in its view procurement or reverse auction process cannot be conducted in a fair manner and / or in the interest of the Bank. The successful vendor shall be obliged to provide a Bill of Material at the last bid price at the close of auction. EXPENDITURE ON REVERSE AUCTION: All expenses of reverse auction shall be borne by the Bank. Vendors, however, shall attend the training or mock auction at their own cost. CHANGES IN BUSINESS RULES: Any change in Business Rules as may become emergent and based on the experience gained shall be made only by a Committee of senior / top executives of the Bank. 

Any / all changes made in Business Rules shall be uploaded in the Website immediately.



If any reverse auction process has commenced and a change is made in Business Rules, it shall be informed immediately to each vendor/ bidder and his concurrence to / acceptance of the change shall be obtained in writing by the Bank.

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DON’TS APPLICABLE TO THE BIDDER/VENDOR: 

No vendor shall involve himself / itself or any of his / its representatives in any price manipulation directly or indirectly with other bidders. If any such practice comes to the notice, Bank shall disqualify the vendor / bidders concerned from the reverse auction process.



Bidder shall not disclose details of his bids or any other details concerning Reverse Auction process of the Bank to any other third party without specific permission in writing from the Bank.



Neither Bank nor service provider / auctioneer can be held responsible for consequential damages such as no power supply, system problem, inability to use the system, loss of electronic information, power interruptions, UPS failure, etc. (Bank shall, however, entertain any such issues of interruptions, problems with open mind and fair degree of transparency in the process before deciding to stop or extend the auction.)

GRIEVANCES REDRESSAL: 

Any aggrieved vendor / bidder through Reverse Auction process can make complaint in writing within 48 hours of the Reverse Auction to the Chief Compliance Officer of the Bank.



The Chief Compliance Officer along with the Chief Law Officer of the bank and Chief of Audit Dept. shall give personal hearing to the aggrieved bidder / vendor and decide upon the complaint / grievance.



Decision of the Grievance Redressed Committee shall be binding on the Bank as well as on all vendors participating in the Reverse Auction.

ERRORS AND OMISSIONS: On any issue or area of material concern respecting Reverse Auction not specifically dealt with in these Business Rules, the decision of the bank shall be final and binding on all concerned.

*******************************

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Exhibit A – Compliance Statement (To be submitted by all the vendors participating in Reverse Auction) Union Bank of India Technology Centre, 4th Floor, Department of Information Technology, Shri Adi Shankaracharya Marg, Opp. Powai Lake, Powai, Mumbai – 400 072 DECLARATION We ______________________ (name of the company) hereby confirm having submitted our bid for participating in Bank‟s RFP dated _________ for providing services of ____________. We also confirm having read the terms of RFP as well as the Business Rules relating to the Reverse Auction for this RFP process. We hereby undertake and agree to abide by all the terms and conditions stipulated by Union Bank of India in the RFP document including all Annexure and the Business Rules for Reverse Auction. We shall participate in the on-line auction conducted by _______________ Ltd. (auction Company) and submit our commercial bid. We shall also abide by the procedures prescribed for online auction by the auction company. We, hereby confirm that we will honour the Bids placed by us during the auction process, failing which we shall forfeit the EMD. We also understand that the bank may debar us from participating in future tenders. We confirm having nominated Mr. ________________, designated as ______________ of our company to participate in the Reverse Auction on behalf of the company. We undertake that the company shall be bound by the bids made by him in Reverse Auction. We undertake to submit the confirmation of last bid price by us to the auction company/Bank within 48 working hours of the completion of event. We also undertake to submit the Bill of Materials for the TCO (Total Cost of Ownership) in terms of RFP. Signature with company seal Company/ Organisation Designation within Company / Organisation Address of Company / Organisation Date: Name of Authorized Representative: _______________________ Signature of Authorized Representative: ____________________ Verified above signature Signature of Competent Authority: ______________ Date: _________________

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Exhibit B – Letter of Authority for Participation in Reverse Auction To, Union Bank of India Technology Centre, 4th Floor, Department of Information Technology, Shri Adi Shankaracharya Marg, Opp. Powai Lake, Powai, Mumbai – 400 072 We ______________________ (name of the company) have submitted our bid for participating in Bank‟s RFP dated _________ for providing services of ____________. We also confirm having read and understood the terms of RFP as well as the Business Rules relating to the Reverse Auction for this RFP process. As per the terms of RFP and Business rules, we nominate Mr. ______________, designated as ______________ of our company to participate in the Reverse Auction. We accordingly authorize Bank and / or the Auction Company to issue user ID and password to the above named official of the company. Both Bank and the auction company shall contact the above named official for any and all matters relating to the Reverse Auction. We, hereby confirm that we will honor the Bids placed by Mr. __________ on behalf of the company in the auction process, failing which Bank will forfeit the EMD. We agree and understand that the bank may debar us from participating in future tenders for any such failure on our part. Signature with company seal Name – Company/Organization– Designation within Company / Organization – Address of Company / Organization – Date: Name of Authorized Representative: _______________________ Designation of Authorized Representative: ___________________ Signature of Authorized Representative: ____________________ Verified by: __________________________________ Signature of Verifying Authority: __________________________ Date: ____________

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