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February 10th: Pre Contract Integrity Pact General

The Integrity Pact is a pre-contract agreement between the Life Insurance Corporation of India (LIC) and Kamala Catering Services aimed at preventing corruption in the procurement process. It outlines the commitments of both the BUYER and the BIDDER to ensure transparency, fairness, and compliance with anti-corruption measures during the bidding and contract execution phases. The Pact includes provisions for reporting misconduct, sanctions for violations, and the appointment of independent monitors to oversee adherence to its terms.

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0% found this document useful (0 votes)
12 views7 pages

February 10th: Pre Contract Integrity Pact General

The Integrity Pact is a pre-contract agreement between the Life Insurance Corporation of India (LIC) and Kamala Catering Services aimed at preventing corruption in the procurement process. It outlines the commitments of both the BUYER and the BIDDER to ensure transparency, fairness, and compliance with anti-corruption measures during the bidding and contract execution phases. The Pact includes provisions for reporting misconduct, sanctions for violations, and the appointment of independent monitors to oversee adherence to its terms.

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VIKESH POOJARY
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PRE CONTRACT INTEGRITY PACT

General:

This pre-bid pre-contract Agreement (hereinafter called the Integrity Pact) is


10th
made on…………………. February
day of the month of …………………..2025. , between, on one
hand, the Life Insurance Corporation of India (hereinafter referred to as “LIC”) a
statutory Corporation established under section 3 of Life Insurance Corporation Act
1956 (XXXI of 1956) and having its corporate office at “Yogakshema” Jeevan Bima Marg
Mumbai 400021. (hereinafter called the “BUYER” which expression shall mean and
include, unless the context otherwise requires, his successors in office assigns) of the
First part. And M/s
Kamala Catering Services
……………………………………………………………………………….represented by
Mr. Harish Venkappa Kotian
Shri………………………………………………. .(Hereinafter called the “BIDDER
/SELLER/SERVICE PROVIDER” which expression shall mean and include, unless the
context otherwise requires, his successors and permitted assigns) of the Second part.
Catering Service
WHEREAS the BUYER proposes to procure …………………………………. ( Name of
the Stores/ Equipment/Item/Service) and the BIDDER/Seller/Service Provider is willing to
offer/has offered the stores/services and
WHEREAS the BIDDER/Seller/Service Provider is a private company/public
company/Government undertaking/partnership/registered export agency, constituted
in accordance with the relevant law in the matter and the BUYER is performing its
function under the LIC Act 1956.
NOW, THEREFORE,
To avoid all forms of corruption by following a system that is fair, transparent
and free from any influence/prejudiced dealings prior to, during and subsequent to the
currency of the contract to be entered into with a view to:-
Enabling the BUYER to obtain the desired said stores/equipment/item/service
at a competitive price in conformity with the defined specifications by avoiding the high
cost and the distortionary impact of corruption on public procurement, and
Enabling BIDDERs/Sellers/Service Providers to abstain from bribing or
indulging in any corrupt practice in order to secure the contract by providing
assurance to them that their competitors will also abstain from bribing and other
corrupt practices and the BUYER will commit to prevent corruption, in any form, by its
officials by following transparent procedures.
The parties hereto hereby agree to enter into this Integrity Pact and agree as
follows:-

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1. Commitments of the BUYER
1.1 The BUYER undertakes that no official of the BUYER, connected directly or
indirectly with the contract, will demand, take a promise for or accept, directly or
through intermediaries, any bribe, consideration, gift, reward, favour or any
material or immaterial benefit or any other advantage from the BIDDER, either
themselves or for any person, organisation or third party related to the contract in
exchange for an advantage in the bidding process, bid evaluation, contracting on
implementation process related to the contract.
1.2 The BUYER will, during the pre-contract stage/evaluation stage, treat all
BIDDERs alike and will provide to all BIDDERs the same information and will not
provide any such information to any particular BIDDER which could afford an
advantage to that particular BIDDER in comparison to other BIDDERs.
1.3 All the officials of the BUYER will report to the “Chief Vigilance Officer” of the
Buyer any attempted or completed breaches of the above commitments as well as
any substantial suspicion of such a breach.
2. In case any such preceding misconduct on the part of such official(s) is reported by
the BIDDER to the BUYER with full and verifiable facts and the same is prima facie
found to be correct by the BUYER, necessary disciplinary proceedings, or any other
action as deemed fit, including criminal proceedings may be initiated by the
BUYER and such a person shall be debarred from further dealings related to the
contract process. In such a case while an enquiry is being conducted by the
BUYER the proceedings under the contract would not be stalled.

Commitments of BIDDERs
3. The BIDDER commits itself to take all measures necessary to prevent corrupt
practices, unfair means and illegal activities during any stage of its bid or during any
pre-contract or post-contract stage in order to secure the contract or in furtherance to
secure it and in particular commit itself to the following:-
3.1 The BIDDER will not offer, directly or through intermediaries, any bribe, gift,
consideration, reward, favour, any material or immaterial benefit or other
advantage, commission, fees, brokerage or inducement to any official of the
BUYER, connected directly or indirectly with the bidding process, or to any person,
organization or third party related to the contract in exchange for any advantage in
the bidding, evaluation, contracting and implementation of the contract.
3.2 The BIDDER further undertakes that it has not given, offered or promised to give,
directly or indirectly any bribe, gift, consideration, reward, favour, any material or
immaterial benefit or other advantage, commission, fees, brokerage or inducement

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to any official of the BUYER or otherwise in procuring the Contract or forbearing to
do or having done any act in relation to the obtaining or execution of the contract
of any other contract with the government for showing or forbearing to show favour
or disfavor to any person in relation to the contract of any other contract with the
Government.
3.3 Foreign BIDDERs shall disclose the name and address of their Indian agents and
representatives in India, and Indian BIDDERs shall disclose their foreign BUYERs
or associates.
3.4 BIDDERs shall disclose the payments to be made by them to their agents/brokers
or any other intermediary, in connection with this bid/contract.
3.5 The BIDDER further confirms and declares to the BUYER that the BIDDER is the
original manufacturer/ integrator/authorized agent of the stores/equipment/items
and has not engaged any individual or firm or company whether Indian or foreign
to intercede, facilitate or in any way to recommend to the BUYER or any of its
functionaries, whether officially or unofficially to the award of the contract to the
BIDDER, nor has any amount been paid, promised or intended to be paid to any
such individual, firm or company in respect of any such intercession, facilitation or
recommendation.
3.6 The BIDDER, either while presenting the bid or during pre-contract negotiations or
before signing the contract, shall disclose any payments he has made, is
committed to or intends to make to agents, brokers or any other intermediaries,
including officials of the BUYER or their family members, if any, in connection with
the contract and the details of services agreed upon for such payments.
3.7 The Bidder will not enter with other Bidders into any undisclosed agreement or
understanding, whether formal or informal. This applies in particular to prices,
specifications, certifications, subsidiary contracts, submission or non-submission
of bids or any other actions to restrict competitiveness or to introduce cartelisation
in the bidding process.
3.8 The BIDDER will not accept any advantage in exchange for any corrupt practice,
unfair means and illegal activities.
3.9 The BIDDER/Contractor will not commit any offence under the relevant India Penal
Code (IPC) /Prevention of corruption (PC) act. Further, the bidder will not use
improperly, for purposes of competition or personal gain, pass on to others, any
information provided by the BUYER as part of the business relationship, regarding
plans, technical proposals and business details, including information contained in
any electronic data carrier. The BIDDER also undertakes to exercise due and
adequate care lest any such information is divulged.

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3.10 The BIDDER commits to refrain from giving any complaint directly or through any
other manner without supporting it with full and verifiable facts.
3.11 The BIDDER shall not instigate or cause to instigate any third person to commit
any of the actions mentioned above.
3.12 If the Bidder or any of the key personnel of the bidder, actively involved in the
project is a relative of any of the actively involved personnel of the Buyer, the same
should be disclosed.
The term ‘relative’ for this purpose would be as defined in section 2(77) of the
Companies Act, 2013.
3.13 The BIDDER shall not lend to or borrow any money from or enter into any
monetary dealings or transactions, directly or indirectly, with any employee or the
BUYER.
3.14 The Bidder(s) /Contractor(s) who have signed the Integrity Pact shall not approach
the Courts while representing the matter to IEMs and shall wait for their decision
in the matter.
4. Previous Transgression
4.1 The BIDDER declares that no previous transgression occurred in the last three
years immediately before signing of this Integrity Pact, with any other company in
any country in respect of any corrupt practices envisaged hereunder or with any
Public Sector Enterprise in India or any Government Department in India that
could justify BIDDER’s exclusion from the tender process.
4.2 The BIDDER agrees that if it makes an incorrect statement on this subject, or
committed a transgression through a violation of any of the clauses of the
commitments of bidder, BIDDER can be disqualified from the tender process or the
contract, if already awarded, can be terminated for such reason.
5. Sanctions for Violations:
5.1 Any breach of the aforesaid provisions by the BIDDER or any one employed by it or
acting on its behalf (whether with or without the knowledge of the BIDDER) shall
entitle the BUYER to take all or any one of the following actions, wherever
required:-
(i) To immediately call off the pre contract negotiations without assigning any reason or
giving any compensation to the BIDDER. However, the proceedings with the other
BIDDER(s) would continue.
(ii) The Earnest Money Deposit (in pre-contract stage) and/or Security Deposit/
Performance Bond (after the contract is signed) shall stand forfeited either fully or
partially, as decided by the BUYER and the BUYER shall not be required to assign
any reason therefore.

4
(iii) To immediately cancel the contract, if already signed, without giving any
compensation to the BIDDER.
(iv) To encash the advance bank guarantee and performance bond/warranty bond, if
furnished by the BIDDER, in order to recover the payments, already made by the
BUYER, along with interest.
(v) To cancel all or any other contracts with the BIDDER. The BIDDER shall be liable to
pay compensation for any loss or damage to the BUYER resulting from such
cancellation/recession and the BUYER shall be entitled to deduct the amount so
payable from the money(s) due to the BIDDER.
(vi) To debar the BIDDER from participating in the future bidding processes of LIC for a
minimum period of five years which any be further extended at the discretion of
the BUYER.
(vii) To recover all sums paid in violation of this Pact by BIDDER(s) to any middleman
or agent or broker with a view to securing the contract.
(viii) Forfeiture of Performance Bond in case of a decision by the BUYER to forfeit the
same without assigning any reason for imposing sanction for violation of this pact.
5.2 The BUYER will be entitled to take all or any of the actions mentioned at para 5.1(i)
to (viii) of this pact also on the Commission by the BIDDER or any one employed by
it or acting on its behalf (whether with or without the knowledge of the BIDDER), of
an offence as defined in chapter IX of the Indian Penal Code, 1860 or Prevention of
Corruption Act, 1988 or any other statute enacted for prevention of corruption.
5.3 The decision of the BUYER to the effect that a breach of the provisions of this pact
has been committed by the BIDDER shall be final and conclusive on the BIDDER.
However, the BIDDER can approach the Independent Monitor(s) appointed for the
purposes this Pact.
6. Independent Monitors:
6.1 The BUYER has appointed (hereinafter referred to as Monitors) for this Pact in
consultation with the Central Vigilance Commission.
Name, address, email of the Monitor(s):
Sr.No. Name of the IEM E- mail ID
1. Shri Arun Chandra Verma, IPS (Retd.) [email protected]
Flat No. C-1204, C Tower, Amrapali
Platinum Complex, Sector – 119
Noida (U.P.)
2. Shri Jose T. Mathew, IFS (Retd.) [email protected]
House No. 37/930, Ebrahim Pillai Lane,
Via Kakkanad, Thrikkakara – 682021
Dt. Ernakulam, Kerala.

5
6.2 The task of the Monitors shall be to review independently and objectively, whether
and to what extent the parties comply with the obligations under this Pact.
6.3 The Monitors shall not be subject to instructions by the representatives of the
parties and perform their functions neutrally and independently. It will be
obligatory for him to treat the information & documents of the Bidder as
confidential.
6.4 Both the parties accept that the Monitors have the right to access all the
documents relating to the project/procurement, including minutes of meetings.
6.5 As soon as the Monitor notices, or has reason to believe, a violation of this pact, he
will so inform the Executive Director (OS), LIC.
6.6 The BIDDER(s) accepts that the Monitor has the right to access without restriction
to all Project documentation of the BUYER including that provided by the BIDDER.
The BIDDER will also grant the Monitor, upon his request and demonstration of a
valid interest, unrestricted and unconditional access to his project documentation.
The same is applicable to Subcontractors. The Monitor shall be under contractual
obligation to treat the information and documents of the BIDDER/Subcontractor(s)
with confidentiality.
The Monitor has also signed declarations on ‘Non-Disclosure of Confidential
Information’ and of ‘Absence of Conflict of Interest’. In case of any conflict of
interest arising at a later date, the IEM shall inform CEO & MD, LICI and
recues himself / herself from that case.
6.7 The BUYER will provide to the Monitor sufficient information about all meetings
among the parties related to the Project provided such meetings could have an
impact on the contractual relations between the parties. The parties will offer to the
Monitor the option to participate in such meetings.
6.8 The Monitor will submit a written report to the CEO & MD, LIC within 8 to 10
weeks from the date of reference or intimation to him by the BUYER /BIDDER and,
should the occasion arise, submit proposals for correcting problematic situations.
6.9 If the Monitor has reported to the CEO & MD, LIC, a substantiated suspicion of an
offence under relevant IPC/ PC Act, and the CEO & MD, LICI has not, within the
reasonable time taken visible action to proceed against such offence or reported it
to the Chief Vigilance Officer, the Monitor may also transmit this information
directly to the Central Vigilance Commissioner.

7. Facilitation of Investigation:

6
In case of any allegation of violation of any provisions of this pact or payment of
commission, the BUYER or its agencies shall be entitled to examine all the documents
including the Books of Accounts of the BIDDER. The BIDDER shall provide necessary
information and documents in English and shall extend all possible help of the purpose
of such examination/inspection.
8. Law and Place of Jurisdiction:
This Pact is subject to Indian Law. The place of performance and jurisdiction is the seat
of the BUYER.
9. Other Legal Actions:
The actions stipulated in this Integrity Pact are without prejudice to any other legal
action that may follow in accordance with the provisions of the extent law in force
relating to any civil or criminal proceedings.
If the Contractor is a partnership or a consortium, this agreement must be signed by
all partners or consortium members.
Changes and supplements as well as termination notices need to be made in writing.
10. Validity:
10.1 The validity of this Integrity Pact shall be from date of its signing and extend
upto12 months after the last payment under the contract. In case BIDDER is
unsuccessful, this Integrity Pact shall expire after six months from the date of the
signing of the contract.
10.2 Should one or several provisions of this Pact turn out to be invalid; the remainder
of this pact shall remain valid. In this case, the parties will strive to come to an
agreement to their original intentions.
11. The parties hereby sign this Integrity Pact at………………….on………….
BUYER BIDDER Name of the Officer: Shreeja Raghunath Nair CEO:
Designation Officer
Deptt./

Witness
Vikesh Poojary
1……………………………………… 1………………………………….

Vignesh Poojary
2…………………………………….. 2…………………………………..
(Note: Bidder/Seller/Service Provider
Stores/equipment/item/service
Bidding process/ bid evaluation/process of availing services

Appropriate word may be used where ever applicable without altering the purpose /desired intention of the clause. )

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