XXXXXXXX’s WARRANTY. a) Notwithstanding anything contained in this agreement or in any other agreement executed or to be executed by the Borrower in favour of the Bank, the Borrower agrees to pay to the Bank on demand being made by the Bank the balances then outstanding and owing to the Bank under the aforesaid credit facilities, inclusive of all interest up to the date of payment, together with any service charges, commitment charges, commission, discount, costs, charges and expenses and all other moneys debited or which may be debited to the account(s). b) The Borrower agrees that the Borrower will present to the Bank for negotiation and thereafter for credit of the account only bonafide cheques/bills arising out of the Borrower’s business to be negotiated and credited to the account of the Borrower and in the case of dishonour of such instruments and/or undue delay in realisation of such instruments, the Borrower specifically agrees that the Bank can and may debit the Borrower’s account with the amount of such instruments including interest thereon UPTO Bank’s MCLR PLUS THE MAXIMUM OF CUSTOMER SPECIFIC CHARGES (SPREAD), compounded with monthly rests or at such lending rate or rests that the Bank may determine to charge from time to time in terms of directives of RBI or otherwise at its discretion from the date of purchase/discount and from the date of finance against the cheque/bills with or without documents lodged for collection and including all costs and commission payable to the Bank and/or its collecting agent. The interest compounded at monthly rests or such other rests as may decided by the Bank from time to time as per RBI directive will form part of the principal amount advanced. The Borrower agrees to pay penal interest @ 2% p.a. or at such rate fixed by the Bank and/or RBI, over and above the rate mentioned above. The Borrower also agrees to remit sufficient funds in the accounts to enable the Bank to debit the account with such amounts or to pay to the Bank such sum or sums of money when called upon to do so. c) The Borrower agrees and declares that the documentary bills evidencing despatch of goods made and tendered to the Bank for negotiation, shall represent the actual goods according to the description, quantity, weight and nature described in the invoices attached to the documentary bills and agrees to draw the bill or bills only to the extent of an amount calculated at the market rate for such commodity or commodities as the case may be and the Borrower specifically declares that all advances received by him from the consignees shall be deducted and the amount/amounts of bill/bills drawn will be paid by the drawee upon presentation or upon due intimation. d) The Borrower hereby agrees that in respect of bills or cheques tendered for negotiation and for crediting of the proceeds thereof to the account of the Borrower, the Bank shall not be held responsible or liable towards any loss in transit of the said bill or cheque or bills or cheques as the case may be due to miscarriage, loss in transit or loss of the documents or instrument as the case may be or due to any other cause beyond the control of the Bank and the Borrower will make good such amount or amounts upon being called upon to do so. e) The Borrower hereby specifically agrees that in respect of documentary bills evidencing dispatch of goods tendered to the Bank for negotiation, the Bank shall not be held responsible or liable for any loss or damage to goods while in carriage in rail, steamship, steam boat or lorry, or country craft as the case may be and all losses in quantity, quality or otherwise shall be borne by the Borrower himself and the Bank will not be held liable for leakages, damages, shortages etc of commodity/ commodities while in transit due to pilferage, theft or miscarriage of goods or due to reasons arising out of any other circumstances or causes whatsoever and the Borrower specifically agrees that he shall bear such losses and if for any reason such bill/bills are not paid on presentation, the Borrower agrees that the Bank shall debit such amount or amounts to the account of the Borrower and the Borrower shall in the event of the account being not provided with sufficient funds, agrees specifically to provide the account with sufficient funds or pay to the Bank such sum or sums of money upon being called upon to do so. f) The Borrower hereby agrees that in consideration of the Bank granting the aforesaid limit/limits any limit under any category hereafter he shall operate and avail such facility/facilities extended by the Bank and shall always be liable and responsible for making good to the Bank any sum or sum of money presenting cheques, clean bills or other documentary bills purchased and negotiated by the Bank and proceeds credited to the account in the event of any such bill, clean bill or cheque being dishonoured/unpaid on presentation or the Bank could not collect the proceeds of such cheques due to any circumstances herein described or due to failing in business or drawee Bank or other drawees becoming insolvent or are not found on destination and the Borrower hereby specifically agrees to make good to the Bank such amount or amounts represented by bills or cheques, as the case may be upon being called upon to do so. g) In respect of bills negotiated by the Bank which are tendered by the Borrower, the Borrower specifically agrees that the Bank will not be held responsible for any wharfage, demurrage or other octroi or other taxes or rates payable due to the goods reaching the destination of the drawee not in time or otherwise and the Borrower hereby agrees to bear or make good such amount or amounts which are payable on the bills for obtaining release of the relative goods. h) The Borrower hereby specifically agrees that in the event of documentary bills or cheques being subjected to any garnishee order the Borrower hereby specifically agree to make good the amount or amounts of such bills upon being called upon to do so and the Borrower agrees that he will himself take such action as may be necessary for obtaining release or discharge of any such order that may be served while the goods are in transit and before they are realized by the Bank. i) The Borrower hereby agrees that in the event of any cheques negotiated for the Borrower, if any stop payment is made by the drawer, and the cheques could not be collected, the Borrower agrees to make good the amount or amounts upon being called upon to do so. The Borrower specifically agrees to the Bank debiting his account with the amount or amounts of dishonoured bills and cheques and provide sufficient amount in the account for such debits. The Borrower hereby specifically waives notice of dishonour. j) The Borrower agrees and confirms that the Bank will not purchase/discount bills/cheques drawn by/on parties whose bill/cheque was returned earlier and the Bank will not purchase/discount bills/cheques on those drawees / payees who have paid their bills/cheques after the due dates and also bills/cheques drawn on whom Bank do not hold satisfactory reports.
Appears in 1 contract
Samples: Credit Facility Agreement
XXXXXXXX’s WARRANTY. a) Notwithstanding anything contained in this agreement or in any other agreement executed or to be executed by the Borrower in favour of the Bank, the Borrower agrees to pay to the Bank on demand being made by the Bank the balances then outstanding and owing to the Bank under the aforesaid credit facilities, inclusive of all interest up to the date of payment, together with any service charges, commitment charges, commission, discount, costs, charges and expenses and all other moneys debited or which may be debited to the account(s).
b) The Borrower agrees/ declaresthat :-
(i) theUsance bill drawn will be payable within a period not exceeding 90 days.
(ii) theUsance bill will be drawn in the prescribed hundi paper applicable to the State with prescribed stamp duty.
(iii) the Bank will not purchase/discount bills drawn by/on parties whose bill(s) was returned earlier.
(iv) the Bank will not purchase/discount bills on those drawees who have paid their bills after the due dates and also bills drawn on whom Bank do not hold satisfactory reports.
c) The Borrower specifically agrees that the Borrower he will present to the Bank bank for negotiation and thereafter for credit of the his current account only bonafide cheques/bills bonafidehundies arising out of the Borrower’s business, the hundies being drawn by financially sound parties having standing and respectability in business and capable of repaying the hundi on its due date. The Borrower xxxxxx declares that in respect of hundies executed by parties or business men of respectability and standing as aforesaid, he shall submit to the bank now and from time to time information in writing relating to the creditworthiness of each Borrower in the prescribed form or in any other form that may be required by the bank and shall correctly state therein the assets and liabilities of the party drawing such hundies which are presented to the bank for negotiation.
d) In respect of the reports referred to in Clause 2 (4) (c) supra the Borrower hereby agrees and declares that the creditworthiness of the parties/businessmen submitted by him/them are the correct and true position of the creditworthiness of the respective parties/businessmen and he/they has/have made necessary enquiries and collected sufficient material and information before submitting such information to the bank.
e) All hundies presented/ to be negotiated presented to the bank are/ shall be hundies properly executed by the parties described therein and that the Borrower has got such Usance bill executed in his presence/ will get such usance bill executed in his presence and that the Borrower declares/ shall ensure that the signatures referred to therein are the signature of the parties/businessmen described in the hundi/hundies and that he can identify the person if so called upon by the bank.
f) The Borrower declares that in respect of hundies tendered by him or to be tendered in future, the Borrower has paid the amount representing the consideration of the hundi to the party/businessman in cash and that the hundi tendered to the bank arise out of bonafide trade transaction and for which proper consideration has been given to the party/businessman who has drawn the hundi and that the Borrower is a holder in due course.
g) The Borrower hereby declares that he has requested the bank for grant of a limit as aforesaid and agrees to tender to the bank from time to time only hundies/bills of exchange drawn as per the terms and condition of sanction and tender them for purchase by the bank, the proceeds of which are to be credited to his/their account.
x) The Borrower hereby agrees to waive notice by the account Bank to the Party/Borrower who executes the Hundi and xxxxxx agrees waiving notice to the Borrower for effecting payment of the Hundi on the due date.
i) In the event of any of dishonour of any of the hundies/ bills, the Borrower hereby specifically waives notice of dishonour of the same.
j) The Borrower agrees that the bank shall be entitled to charge commission, interest and other incidental charges at such rate as the Bank may charge for this kind of advance in its regular/usual course of business in accordance with RBI directives, if any, from time to time or as decided by the bank from time to time. The Borrower agrees that the Usance bills tendered by him and purchased by the bank will be paid and retired promptly on the due date and in the case event of dishonour any such hundi becoming unpaid the Borrower agrees to effect payment of such instruments and/or undue delay in realisation the same immediately on notice being given to him therefore. In the event of such instrumentsfailure to effect payment on demand, the Borrower specifically agrees that the Bank can and may debit the Borrower’s account with the amount of such instruments including to pay interest thereon UPTO Bank’s BANK’S MCLR PLUS THE MAXIMUM OF CUSTOMER SPECIFIC CHARGES (SPREAD), compounded with monthly rests or at such lending rate or rests that the Bank may bank determine to charge from time to time in terms of directives of RBI or otherwise at its discretion from the date due dates of purchase/discount and from the date of finance against the cheque/bills with or without documents lodged for collection and including all costs and commission payable to the Bank and/or its collecting agentsuch usance bill(s). The Such interest compounded calculated at monthly rests rest or such other rests rest as may be decided by the Bank from time to time as per the directives of RBI directive will shall form part of the principal amount advancedprincipal. The Borrower also agrees to pay penal interest @ 2@2% p.a. or at such other rate fixed by the Bank and/or RBI, over and above the rate interest mentioned above. The Borrower also agrees to remit sufficient funds in the accounts to enable the Bank to debit the account with such amounts or to pay to the Bank such sum or sums of money when called upon to do sohereinabove.
c) The Borrower agrees and declares that the documentary bills evidencing despatch of goods made and tendered to the Bank for negotiation, shall represent the actual goods according to the description, quantity, weight and nature described in the invoices attached to the documentary bills and agrees to draw the bill or bills only to the extent of an amount calculated at the market rate for such commodity or commodities as the case may be and the Borrower specifically declares that all advances received by him from the consignees shall be deducted and the amount/amounts of bill/bills drawn will be paid by the drawee upon presentation or upon due intimation.
d) The Borrower hereby agrees that in respect of bills or cheques tendered for negotiation and for crediting of the proceeds thereof to the account of the Borrower, the Bank shall not be held responsible or liable towards any loss in transit of the said bill or cheque or bills or cheques as the case may be due to miscarriage, loss in transit or loss of the documents or instrument as the case may be or due to any other cause beyond the control of the Bank and the Borrower will make good such amount or amounts upon being called upon to do so.
e) The Borrower hereby specifically agrees that in respect of documentary bills evidencing dispatch of goods tendered to the Bank for negotiation, the Bank shall not be held responsible or liable for any loss or damage to goods while in carriage in rail, steamship, steam boat or lorry, or country craft as the case may be and all losses in quantity, quality or otherwise shall be borne by the Borrower himself and the Bank will not be held liable for leakages, damages, shortages etc of commodity/ commodities while in transit due to pilferage, theft or miscarriage of goods or due to reasons arising out of any other circumstances or causes whatsoever and the Borrower specifically agrees that he shall bear such losses and if for any reason such bill/bills are not paid on presentation, the Borrower agrees that the Bank shall debit such amount or amounts to the account of the Borrower and the Borrower shall in the event of the account being not provided with sufficient funds, agrees specifically to provide the account with sufficient funds or pay to the Bank such sum or sums of money upon being called upon to do so.
f) The Borrower hereby agrees that in consideration of the Bank granting the aforesaid limit/limits any limit under any category hereafter he shall operate and avail such facility/facilities extended by the Bank and shall always be liable and responsible for making good to the Bank any sum or sum of money presenting cheques, clean bills or other documentary bills purchased and negotiated by the Bank and proceeds credited to the account in the event of any such bill, clean bill or cheque being dishonoured/unpaid on presentation or the Bank could not collect the proceeds of such cheques due to any circumstances herein described or due to failing in business or drawee Bank or other drawees becoming insolvent or are not found on destination and the Borrower hereby specifically agrees to make good to the Bank such amount or amounts represented by bills or cheques, as the case may be upon being called upon to do so.
g) In respect of bills negotiated by the Bank which are tendered by the Borrower, the Borrower specifically agrees that the Bank will not be held responsible for any wharfage, demurrage or other octroi or other taxes or rates payable due to the goods reaching the destination of the drawee not in time or otherwise and the Borrower hereby agrees to bear or make good such amount or amounts which are payable on the bills for obtaining release of the relative goods.
h) The Borrower hereby specifically agrees that in the event of documentary bills or cheques being subjected to any garnishee order the Borrower hereby specifically agree to make good the amount or amounts of such bills upon being called upon to do so and the Borrower agrees that he will himself take such action as may be necessary for obtaining release or discharge of any such order that may be served while the goods are in transit and before they are realized by the Bank.
i) The Borrower hereby agrees that in the event of any cheques negotiated for the Borrower, if any stop payment is made by the drawer, and the cheques could not be collected, the Borrower agrees to make good the amount or amounts upon being called upon to do so. The Borrower specifically agrees to the Bank debiting his account with the amount or amounts of dishonoured bills and cheques and provide sufficient amount in the account for such debits. The Borrower hereby specifically waives notice of dishonour.
j) The Borrower agrees and confirms that the Bank will not purchase/discount bills/cheques drawn by/on parties whose bill/cheque was returned earlier and the Bank will not purchase/discount bills/cheques on those drawees / payees who have paid their bills/cheques after the due dates and also bills/cheques drawn on whom Bank do not hold satisfactory reports.
Appears in 1 contract
Samples: Credit Facility Agreement
XXXXXXXX’s WARRANTY. a) Notwithstanding anything contained in this agreement or in any other agreement executed or to be executed by the Borrower in favour of the Bank, the Borrower agrees to pay to the Bank on demand being made by the Bank the balances then outstanding and owing to the Bank under the aforesaid credit facilities, inclusive of all interest up to the date of payment, together with any service charges, commitment charges, commission, discount, costs, charges and expenses and all other moneys debited or which may be debited to the account(s).
b) The Borrower undertakes that the supply bills discounted under the limits shall not outstand beyond the days as specified under Schedule 1 (e) of this agreement.
c) The Borrower agrees that the Borrower will present bank shall be entitled to charge commission, interest and other incidental charges at such rate as the Bank may charge for negotiation and thereafter for credit this kind of advance in its regular/usual course of business in accordance with RBI directives, if any, from time to time or as decided by the account only bonafide cheques/bank from time to time.
d) The Borrower agrees that the supply bills arising out of the Borrower’s business to be negotiated and credited to the account of tendered by the Borrower and purchased by the bank will be paid and retired promptly on the due date and in the case event of dishonour of any such instruments and/or undue delay in realisation of such instruments, bill(s) becoming unpaid the Borrower specifically agrees that to effect payment of the Bank can and may debit same immediately on notice being given to him therefore. In the Borrower’s account with event of failure to effect payment on demand, the amount of such instruments including Borrower agrees to pay interest thereon UPTO Bank’s BANK‟S MCLR PLUS THE MAXIMUM OF CUSTOMER SPECIFIC CHARGES (SPREAD), compounded with monthly rests or at such lending rate or rests that the Bank may bank determine to charge from time to time in terms of directives of RBI or otherwise at its discretion from the date due dates of purchase/discount and from the date of finance against the cheque/bills with or without documents lodged for collection and including all costs and commission payable to the Bank and/or its collecting agent. The such bill(s) such interest compounded calculated at monthly rests rest or such other rests rest as may be decided by the Bank from time to time as per the directives of RBI directive will shall form part of the principal amount advancedprincipal. The Borrower also agrees to pay penal interest @ 2% p.a. or at such other rate fixed by the Bank and/or RBI, over and above the rate interest mentioned above. The Borrower also agrees to remit sufficient funds in the accounts to enable the Bank to debit the account with such amounts or to pay to the Bank such sum or sums of money when called upon to do sohereinabove.
c) The Borrower agrees and declares that the documentary bills evidencing despatch of goods made and tendered to the Bank for negotiation, shall represent the actual goods according to the description, quantity, weight and nature described in the invoices attached to the documentary bills and agrees to draw the bill or bills only to the extent of an amount calculated at the market rate for such commodity or commodities as the case may be and the Borrower specifically declares that all advances received by him from the consignees shall be deducted and the amount/amounts of bill/bills drawn will be paid by the drawee upon presentation or upon due intimation.
d) The Borrower hereby agrees that in respect of bills or cheques tendered for negotiation and for crediting of the proceeds thereof to the account of the Borrower, the Bank shall not be held responsible or liable towards any loss in transit of the said bill or cheque or bills or cheques as the case may be due to miscarriage, loss in transit or loss of the documents or instrument as the case may be or due to any other cause beyond the control of the Bank and the Borrower will make good such amount or amounts upon being called upon to do so.
e) The Borrower hereby specifically agrees that in respect of documentary bills evidencing dispatch of goods tendered to the Bank for negotiation, the Bank shall not be held responsible or liable for any loss or damage to goods while in carriage in rail, steamship, steam boat or lorry, or country craft as the case may be and all losses in quantity, quality or otherwise shall be borne by the Borrower himself and the Bank will not be held liable for leakages, damages, shortages etc of commodity/ commodities while in transit due to pilferage, theft or miscarriage of goods or due to reasons arising out of any other circumstances or causes whatsoever and the Borrower specifically agrees that he shall bear such losses and if for any reason such bill/bills are not paid on presentation, the Borrower agrees that the Bank shall debit such amount or amounts to the account of the Borrower and the Borrower shall in the event of the account being not provided with sufficient funds, agrees specifically to provide the account with sufficient funds or pay to the Bank such sum or sums of money upon being called upon to do so.
f) The Borrower hereby agrees that in consideration of the Bank granting the aforesaid limit/limits any limit under any category hereafter he shall operate and avail such facility/facilities extended by the Bank and shall always be liable and responsible for making good to the Bank any sum or sum of money presenting cheques, clean bills or other documentary bills purchased and negotiated by the Bank and proceeds credited to the account in the event of any such bill, clean bill or cheque being dishonoured/unpaid on presentation or the Bank could not collect the proceeds of such cheques due to any circumstances herein described or due to failing in business or drawee Bank or other drawees becoming insolvent or are not found on destination and the Borrower hereby specifically agrees to make good to the Bank such amount or amounts represented by bills or cheques, as the case may be upon being called upon to do so.
g) In respect of bills negotiated by the Bank which are tendered by the Borrower, the Borrower specifically agrees that the Bank will not be held responsible for any wharfage, demurrage or other octroi or other taxes or rates payable due to the goods reaching the destination of the drawee not in time or otherwise and the Borrower hereby agrees to bear or make good such amount or amounts which are payable on the bills for obtaining release of the relative goods.
h) The Borrower hereby specifically agrees that in the event of documentary bills or cheques being subjected to any garnishee order the Borrower hereby specifically agree to make good the amount or amounts of such bills upon being called upon to do so and the Borrower agrees that he will himself take such action as may be necessary for obtaining release or discharge of any such order that may be served while the goods are in transit and before they are realized by the Bank.
i) The Borrower hereby agrees that in the event of any cheques negotiated for the Borrower, if any stop payment is made by the drawer, and the cheques could not be collected, the Borrower agrees to make good the amount or amounts upon being called upon to do so. The Borrower specifically agrees to the Bank debiting his account with the amount or amounts of dishonoured bills and cheques and provide sufficient amount in the account for such debits. The Borrower hereby specifically waives notice of dishonour.
j) The Borrower agrees and confirms that the Bank will not purchase/discount bills/cheques drawn by/on parties whose bill/cheque was returned earlier and the Bank will not purchase/discount bills/cheques on those drawees / payees who have paid their bills/cheques after the due dates and also bills/cheques drawn on whom Bank do not hold satisfactory reports.
Appears in 1 contract
Samples: Credit Facility Agreement
XXXXXXXX’s WARRANTY. a) Notwithstanding anything contained in this agreement or in any other agreement executed or to a. The Borrower understands that the advance shall be executed governed by the terms and conditions contained herein as well as those embodied in the loan sanction letter, South Indian Bank‟s Vehicle Loan Scheme and other loan and/or security documents except in so far as the loan/security documents may expressly or by necessary implication be modified by these presents.
b. The Borrower in favour agrees and undertakes that Borrower will utilize the whole amount advanced by the Bank for the purchase of the Bank, vehicle in the name of the Borrower agrees to pay and forward to the Bank on demand being made by the Bank the balances then outstanding and owing to the Bank under the aforesaid credit facilitiesoriginal Bill, inclusive Voucher or receipt of all interest up to such purchase within 7 days from the date of payment, together with any service charges, commitment charges, commission, discount, costs, charges and expenses and all purchase or such other moneys debited or which may be debited to shorter period stipulated by the account(s)Bank.
b) c. The Borrower agrees that the Borrower loan will present be disbursed to the Borrower in one or more instalment(s) as may be fixed by the Bank for negotiation and thereafter for credit that the borrower shall give at least three clear days prior notice of drawal of any instalment of the account only bonafide chequesloan, which advise may be waived by the Bank at its option.
d. The Borrower agrees to produce the vehicle, its accessories and implements etc. at a place designated by the Bank once a month and/or as and when required by the Bank, for inspection, scrutiny or for any other purpose at the sole discretion of the Bank.
e. The Borrower hereby undertakes to maintain the said vehicle(s) in good repair and condition and shall keep it / them properly serviced periodically. The Borrower also agrees to display a sticker in a conspicuous part of the vehicle stating that „the vehicle is hypothecated to The South Indian Bank Ltd.‟
f. The Borrower undertakes that the vehicle be used and run according to the rules and regulations of the Licensing authority/bills Government/Traffic departments and all the formalities under law shall be properly and regularly observed without any default.
g. The licence fee, terminal fees, taxes/insurance and other dues payable to the Government/Municipality or any other authority shall be paid by the Borrower. The Borrower shall also pay the inspection fee/cost for the inspection of the vehicle(s).
h. All claims arising out of the Borrower’s business to be negotiated and credited to the account non-fulfilment of any of the Borrower and requirements of law in the case of dishonour of such instruments and/or undue delay in realisation of such instruments, the Borrower specifically agrees that the Bank can and may debit the Borrower’s account with the amount of such instruments including interest thereon UPTO Bank’s MCLR PLUS THE MAXIMUM OF CUSTOMER SPECIFIC CHARGES (SPREAD), compounded with monthly rests or at such lending rate or rests that the Bank may determine to charge force from time to time and relating to non-observance of terms and conditions of Motor Vehicle Act shall be paid by the Borrower.
i. The salaries and allowances of all servants, drivers, conductors, etc. and any payments due to workers shall be paid by the Borrower.
j. In the event of sale being arranged of any of the vehicles secured to the Bank by these presents during the pendency of the advance, the Borrower shall get the vehicle duly released after payment to the Bank of the amount fixed by the Bank as value of the vehicle and the advance shall stand reduced to the extent of the price so paid.
k. The Borrower/s agrees and undertakes to notify the Bank in terms writing of directives any circumstances affecting the correctness of RBI any particulars set forth in the Borrowers proposal immediately after the occurrence of any such circumstances. The Borrower declares and confirms that the amount of the loan or otherwise the balance then outstanding shall become payable at once in case of death of Xxxxxxxx. In case of death, the Bank, may at its discretion discretion, continue the loan provided sufficient collateral is furnished by legal heirs of Borrower/surviving borrower(s) or some satisfactory arrangement for repayment acceptable to the Bank has been made by Xxxxxxxx‟s legal heirs/surviving Xxxxxxxx(s).
l. The Borrower undertakes to complete all formalities pertaining to the vehicle loan within a period of one month from the date of purchase/discount and from availment, failing which the date of finance against the cheque/bills with or without documents lodged for collection and including all costs and commission payable Borrower agrees to the Bank and/or its collecting agent. The charging interest compounded at Up to the Bank‟s Base Rate plus maximum spread with monthly rests or such other rests rests, besides penal interest, as may decided be fixed by the Bank from time to time as per RBI directive will form part time.
m. The Borrower shall upon request of the principal amount advanced. Bank, allow the Bank and any nominee, servant or
n. The Borrower will furnish the Bank with all such information as the Bank may reasonably require for the Bank's satisfaction as due compliance with the terms of the advance and all such periodical reports and information at such times, in such form and containing such particulars as the Bank may call for, for the purpose of ascertaining the results of the utilisation of the said advance.
o. The Borrower agrees to pay penal interest @ 2% p.a. or at such rate fixed by accept as conclusive proof of the Bank and/or RBI, over and above the rate mentioned above. The Borrower also agrees correctness of any sum claimed to remit sufficient funds in the accounts to enable the Bank to debit the account with such amounts or to pay be due from them to the Bank such sum or sums under this agreement, a statement of money when called upon to do so.
c) The Borrower agrees and declares that the documentary bills evidencing despatch of goods made and tendered to the Bank for negotiation, shall represent the actual goods according to the description, quantity, weight and nature described in the invoices attached to the documentary bills and agrees to draw the bill or bills only to the extent of an amount calculated at the market rate for such commodity or commodities as the case may be and the Borrower specifically declares that all advances received by him account/extract from the consignees shall be deducted and the amount/amounts of bill/bills drawn will be paid by the drawee upon presentation or upon due intimation.
d) The Borrower hereby agrees that in respect of bills or cheques tendered for negotiation and for crediting of the proceeds thereof to the account of the Borrower, the Bank shall not be held responsible or liable towards any loss in transit of the said bill or cheque or bills or cheques as the case may be due to miscarriage, loss in transit or loss of the documents or instrument as the case may be or due to any other cause beyond the control of the Bank and the Borrower will make good such amount or amounts upon being called upon to do so.
e) The Borrower hereby specifically agrees that in respect of documentary bills evidencing dispatch of goods tendered to the Bank for negotiation, the Bank shall not be held responsible or liable for any loss or damage to goods while in carriage in rail, steamship, steam boat or lorry, or country craft as the case may be and all losses in quantity, quality computer or otherwise shall be borne by without the Borrower himself and the Bank will not be held liable for leakages, damages, shortages etc of commodity/ commodities while in transit due to pilferage, theft or miscarriage of goods or due to reasons arising out production of any other circumstances or causes whatsoever and the Borrower specifically agrees that he shall bear such losses and if for any reason such bill/bills are not paid on presentationvoucher/ document/ register. ARTICLE II REPAYMENT OF LOAN, the Borrower agrees that the Bank shall debit such amount or amounts to the account of the Borrower and the Borrower shall in the event of the account being not provided with sufficient fundsINTEREST, agrees specifically to provide the account with sufficient funds or pay to the Bank such sum or sums of money upon being called upon to do so.
f) The Borrower hereby agrees that in consideration of the Bank granting the aforesaid limit/limits any limit under any category hereafter he shall operate and avail such facility/facilities extended by the Bank and shall always be liable and responsible for making good to the Bank any sum or sum of money presenting cheques, clean bills or other documentary bills purchased and negotiated by the Bank and proceeds credited to the account in the event of any such bill, clean bill or cheque being dishonoured/unpaid on presentation or the Bank could not collect the proceeds of such cheques due to any circumstances herein described or due to failing in business or drawee Bank or other drawees becoming insolvent or are not found on destination and the Borrower hereby specifically agrees to make good to the Bank such amount or amounts represented by bills or cheques, as the case may be upon being called upon to do so.
g) In respect of bills negotiated by the Bank which are tendered by the Borrower, the Borrower specifically agrees that the Bank will not be held responsible for any wharfage, demurrage or other octroi or other taxes or rates payable due to the goods reaching the destination of the drawee not in time or otherwise and the Borrower hereby agrees to bear or make good such amount or amounts which are payable on the bills for obtaining release of the relative goods.
h) The Borrower hereby specifically agrees that in the event of documentary bills or cheques being subjected to any garnishee order the Borrower hereby specifically agree to make good the amount or amounts of such bills upon being called upon to do so and the Borrower agrees that he will himself take such action as may be necessary for obtaining release or discharge of any such order that may be served while the goods are in transit and before they are realized by the Bank.
i) The Borrower hereby agrees that in the event of any cheques negotiated for the Borrower, if any stop payment is made by the drawer, and the cheques could not be collected, the Borrower agrees to make good the amount or amounts upon being called upon to do so. The Borrower specifically agrees to the Bank debiting his account with the amount or amounts of dishonoured bills and cheques and provide sufficient amount in the account for such debits. The Borrower hereby specifically waives notice of dishonour.
j) The Borrower agrees and confirms that the Bank will not purchase/discount bills/cheques drawn by/on parties whose bill/cheque was returned earlier and the Bank will not purchase/discount bills/cheques on those drawees / payees who have paid their bills/cheques after the due dates and also bills/cheques drawn on whom Bank do not hold satisfactory reports.OTHER CHARGES& EVENT OF DEFAULT
Appears in 1 contract
Samples: Mobiloan (Vehicle Loan) Cum Hypothecation Agreement
