e-RFQ Ref. No.

JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Online Request for Quotation (e-RFQ)

For

Engagement of external Auditors for conducting Forensic

Audit of 01 (One) borrower group of the bank covering the
period from year 19.01.2018 to 19.09.2023 in Fund Based
Working Capital account and Non-Fund Based facilities. The
borrower company is having its operations at Jammu, J&K UT
& registered / administrative office at Jammu, J&K UT, India.

e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824

Dated: 04-10-2023

Issued by:
J&K Bank Ltd.
Supervision, Control & Audit Department,
Corporate Headquarters,
M.A Road, Srinagar 190001
Website: www.jkbank.com
Email: s&c.chq@jkbmail.com

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Request for Quotation for Engaging Auditors

Introduction:

The Jammu and Kashmir Bank invites Request for Quotation (RFQ) from IBA approved Audit
firms / company for Forensic Audit of loan assets having exposure up to Rs.50.00 crore for
conducting Forensic audit of one borrower group of the bank covering the period from year
19.01.2018 to 19.09.2023 in Fund Based Working Capital account and Non-Fund Based
facilities.
Note:

 The RFQ is non-committal in nature.

 The Bidder shall, by responding to the Bank with a bid/proposal, be deemed to have
accepted the terms of this document in totality without any condition whatsoever and
accepts the selection and evaluation process mentioned in this RFQ document. The
Bidder ceases to have any option to object against any of these processes at any stage
subsequent to submission of its responses to this RFQ.
 The Bank has the discretion to quash the RFQ containing any deviation.
 The information provided by the bidders in response to this RFQ document will become
the property of the Bank and will not be returned. The Bank reserves the right to
amend, rescind or reissue RFQ and all amendments will be advised to the bidders and
such amendments will be binding on them. All Bidders must ensure that such
amendments/ modifications have been considered by them before submitting the bid.
Bank will not have any responsibility in case some omission is done by any Bidder. The
Bank also reserves its right to accept or reject any or all the responses to this RFQ at
any point of time without assigning any reason(s) whatsoever.
 All costs and expenses incurred by interested bidders in any way associated with the
development, preparation, and submission of responses, including but not limited to
the attendance at meetings, discussions, demonstrations, etc. and providing any
additional information required by J&K BANK, will be borne entirely and exclusively
by the Bidder.
 The bidder shall not assign or outsource the works undertaken by them under this RFQ
assignment awarded by the Bank without the written consent of the Bank.
 The Bidders can take advantage of any Government order which applies to any
tendering process and whereby there is any relaxation that is in conflict with the
terms and conditions mentioned in this RFQ, if and only if, any such Government
order/ notification comes into force before the last date of submission of bids.
Further, in case of any such orders that may affect/ contradict with the terms and
conditions of this RFP, the Bidders need to seek clarification through the online
procurement portal before the last date for submission of bids.
 The Bidder hereby agrees and undertakes to Indemnify the Bank and keep it
indemnified against any losses, damages suffered and claims, action/ suits brought
against the Bank on account of any act or omission on part of the Bidder, its agent,
representative, employees and sub-contractors in relation to the performance or
otherwise of the Services to be provided under the RFQ.

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Objective of Audit:
As per requirement, the Bank is required to conduct the forensic audit in 01 (one)
borrower group of bank having exposure of up to Rs.50.00 crore covering the period from
year 19.01.2018 to 19.09.2023 in Fund Based Working Capital account and Non-Fund
Based facilities to ascertain Diversion of funds, Money trail, Detection of financial
statement fraud, Abnormal trade transactions, Verifying receivables and Other aspects
covered under scope of Forensic Audit. The borrower company is having its operations at
Jammu, J&K UT & registered / administrative office at Jammu, J&K UT, India.
Scope:

a) Capacity to pay: Examine as to whether the borrower has defaulted in meeting its
payment/repayment obligations to the Bank even when it had the capacity to honor the
same.
b) Ascertaining the Money trail & end use of funds lent by the Bank.
c) Diversion of funds: Diversion of funds on the part of borrower would be construed in any
of the undernoted occurrences:
 Utilization of short term working capital funds for long term purposes not in
conformity with the terms of sanction;
 Deploying borrowed funds for purposes / activities or creation of assets other than
those for which the loan was sanctioned.
 Transferring borrowed funds to the subsidiaries / group companies or other
Corporate/s by whatever modalities.
 Routing of funds through any b ank other than the lender bank or members of
consortium without prior permission of the bank/lenders.
 Investment in other companies by way of acquiring equities / debt instruments without
approval of bank/lenders.
 Shortfall in deployment of funds vis-à-vis the amounts disbursed / drawn and the
difference not being accounted for.
 Decipher diversion and misappropriation of fund by the promoter / director, if any.
d) Detection of Financial Statement Fraud.
e) Siphoning of funds: Siphoning of funds on the part of borrower would be construed to
occur if funds borrowed from Bank are utilized for purposes other than the one for which
the credit facility was sanctioned, to the detriment of the financial health of the entity or of
the Bank.
f) Capital Structure: Tracing the source of contribution by promoters, partners, proprietors,
etc. as the case may be by analyzing equity/debt infused into the entity.
 Scrutinize and analyze cash flow and investments including loans and
advances/investments given/taken to/from Associates & Subsidiaries, related
parties/unconnected parties and tracing inventory movement etc.
g) Abnormal trade transactions: Commenting on transactions of substantial amount,
which seem not to be normal trade transactions.
h) Sales: Verifying revenue from operations including checking sale order, invoices and
controls in billing process. The focus should be on inflated turnover / fictitious sales and /
or Sales on Return (SoR) basis where profit has been booked and sales returned in the
subsequent accounting period leading to writing off of stocks / debtors and reversal of
booked profits. The sustainability of sales in future years should be co- related with
Techno Economic Viability (TEV) study.

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

i) Escrow / Trust & Retention Account (TRA): Commenting on adherence to Escrow /

Trust & Retention Account (TRA) arrangements made with various banks. Also
commenting on details of all transactions with banks outside the consortium.
j) Concentrating transactions – sole customer, sole supplier, major transactions with
related parties / group companies, analysis of relationship in two-way deals with the same
party or indirect payments made by customers of the borrower to the vendors of borrower.
k) Movements in unsecured loans during specified period.
l) Details of substantial debts (debt raising the DER beyond the desired level) raised in sister
/ associate / group companies either through corporate guarantee of borrower or against
security of promoter’s or their family assets as per Credit Policy of the Bank.
m) Verifying receivables/Payables – Receivables and payables should be thoroughly with
a view to unearth:
 Reciprocal receivables/payables against each other in case of related parties.
 Fictitious debtors & creditors
 Non-moving creditors & debtors
 Already realized debts
 Disputed debts
 Unacknowledged debts
n) Finding details of assets of unit / its promoter (s) / partners to ensure recovery of loans
granted by banks as there would be cases where some assets are not reported in
financials of the unit / promoters / partners.
o) Identifying the alienation / disposal of securities (if any) without required permission from
the bank.
p) Examining chain of transactions pertaining to unit / promoters / partners to ensure
genuineness of the dealings as there could be cases of bogus family/other transactions.
q) Examining stocks / inventory & purchase transactions in particular with related parties /
sister concerns.
r) Identifying the type of fraud committed, since how long is/was it being committed, and
how has it been concealed.
s) Identifying the Modus Operandi / Methodology of the fraud, fraud perpetrator(s) /
fraudster(s) involved.
t) Quantifying the financial loss suffered by the Bank.
u) Gathering evidence to be used in court proceedings.
v) Providing advice to prevent the reoccurrence of the fraud.
w) Identify & comment on instances if any of non-maintenance of books of accounts and
statutory records as required by laws.
x) Identifying excessive provisioning / write offs / losses which are not in the ordinary course
of business and are unusual in nature.
y) Identify any other happening / feature in the utilization / management of funds given by
the lender / lenders that suggests an unethical act / abatement / collusion by / on part of
the company / promoters that qualifies for a fraudulent transaction.
z) Identify and specifically find out whether or not the company has deviated and carried out
activities outside the scope of ‘object clause’ in their Memorandum of Association (MOA)
with the intention of diversion of funds.
aa) Taking into account all the facts and figures with reference to the company, its subsidiaries
and related parties and other relevant information, whether fraudulent activities have
taken place. To identify the fraudulent activities, quantify the amount diverted to purposes

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

other than those for which the facilities have been sanctioned, and the persons
responsible for it.
bb) Analysis of the GST returns to find out the real sales figure and to check whether there is
any deviation from the amount reported in the P&L a/c.
cc) Analysis of all Non-Fund based limits availed by the company from banks, analysis of
beneficiary of the payments made through the LC/LOU/LUT route.
dd) To look into specifically whether any cash theft, fraudulent disbursement, inventory fraud,
misuse of assets, material misstatement in financial statements, deliberate falsification of
account records, omission of transactions, balances, disclosures, misappropriation of
financial reporting standards etc. have taken place.
ee) Instances of fake invoices, inflated receivables, fake balance certificates.
ff) General Scope (along with the above)
 Fixed assets disposal/acquisition analysis
 Critical Analysis / verification of major suppliers and creditors of the company.
 Detailed Review of contingent liabilities and status thereof.
gg) Complicity of statutory auditors, especially their role in
 mis-reporting of Related Party transactions
 wrong certification of Capital Infusion
 instances if any relating to Investment in non-related activities without lenders approval
 instance if any in the nature of manipulations in financial statement
 Audit related Qualifications of serious nature etc.
hh) To ascertain the genuineness of each & every related party group/intergroup transaction.

The list is indicative only and a Forensic Auditor may carry out the examination /
evaluation of other aspects also within the ambit of Forensic Audit.

The Forensic audit should inter alia cover full gamut of financial and non-financial
area of the borrowal accounts including related events / transactions whether direct
or indirect and provide clear inference / conclusion in the report. The investigation
has to be conducted from fraud classification or otherwise and should provide a
conclusive report of the findings without disclaimers.

The report must be free from any ambiguity/conjectures and conclusion should be
adequately supported by evidences/proof and the firm should stand by comments
and conclusion made in the report. The report must categorically conclude stating
that either there is fraud or otherwise and inconclusive reports with disclaimer will
not be accepted.

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Schedule of RFQ
Schedule of RFQ Events
JKB/S&C/Forensic-Audit/2023-824
e-RFQ Reference No.
Dated 04-10-2023
Supervision & Control Department, Corporate
Issuing Department Name Headquarters, M.A. Road, Srinagar, Jammu & Kashmir -
190001
Forensic audit of 01 (one) borrower group of bank covering
the period from year 19.01.2018 to 19.09.2023 in Fund
Based Working Capital account and Non-Fund Based
facilities to ascertain Diversion of funds, Money trail,
Scope of Work Detection of financial statement fraud, Abnormal trade
transactions, Verifying receivables and Other aspects
covered under Forensic Audit. The borrower company is
having its operations at Jammu, J&K UT & registered /
administrative office at Jammu, J&K UT, India.
Tender Type Open
Mode of Tender Submission On-Line through Bank’s e-Tendering Portal
https://jkbank.abcprocure.com

Contact details of issuing Mr. Gowhar Maqbool (Manager).

department Contact No: 9858505524.
(Name, Designation, Mobile No., e-Mail: Gowhar.maqbool@jkbmail.com
Email address for sending any kind
of correspondence/ queries J&K Bank
regarding this RFQ) Supervision & Control Department
Corporate Headquarters, M.A. Road, Srinagar, 190001
E-mail: s&c.chq@jkbmail.com
NIT can be downloaded from and submitted on Bank’s e-
Bid Document Availability Tendering Portal https://jkbank.abcprocure.com from
including changes/amendments, if OCTOBER 07, 2023, 16.00 Hrs. to
any to be issued
OCTOBER 27, 2023, 17.00 Hrs.
All Clarifications / Queries shall be raised online only
through e-Tendering Portal
Last date for Pre-bid Queries https://jkbank.abcprocure.com by or before

OCTOBER 13, 2023, 17.00 Hrs.

All communications regarding points / queries requiring
clarifications shall be given online through prescribed e-
Pre-bid Queries Response date Tendering Portal on

OCTOBER 20, 2023

Last Date of Submission of RFQ Bid
OCTOBER 27, 2023, 17.00 Hrs..

Submission of Technical/ As prescribed in Bank’s online tender portal

Commercial Bid https://jkbank.abcprocure.com

Page 6 of 27
e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Date and time of opening of

To be notified separately
Technical bid & Commercial BIDs
e-Reverse Auction (if required) may be conducted after
Opening of the Commercial BIDs which may be
Reverse Auction
communicated (if e-RA is conducted) separately to the
eligible Bidders.
RFQ Application Cost (Non – Rs.500/-(Rupees Five Hundred Only) to be deposited
Refundable) through Transfer / NEFT to the below detailed A/c:
Account Name: Tender Fee/ Cost Account
16-digit Account No : 9931530300000001
IFSC Code: JAKA0HRDCHQ (0 denotes zero)
Bank: The J&K Bank Ltd
Branch: Corporate Headquarters
MA Road Srinagar J&K – 190001

Earnest Money Deposit (EMD) ₹ 5,000/- (INR Five Thousand only ) to be to be deposited
(Refundable on request of bidders) to below detailed A/c through Transfer or NEFT Only:-
Account Name: Earnest Money Deposit (EMD)
16-digit Account No : 9931070690000001
IFSC Code: JAKA0HRDCHQ (0 denotes zero)
Bank: The J&K Bank Ltd
Branch: Corporate Headquarters
MA Road Srinagar J&K – 190001

EMD can also be in the form of Bank Guarantee (BG) in

favour of DGM, Zonal office Delhi, J&K Bank
UTR Number / Tran No. & date / BG Proof may be uploaded
on e-Tendering Portal
(EMD is exempted for all Start-ups/ MSE’s as recognized by
Department of Industrial Policy and Promotion -DIPP)

Eligibility & Technical Criteria As per Bid Document

Updation / Amendments / All the Corrigendum will be uploaded on online tender

Corrigendum portal https://jkbank.abcprocure.com

Audit Completion & Report Expected to be completed and report submission within
submission. 60 days after the allotment of assignment.
Bid Quote The bid quote in any case should not be higher than the
maximum fee payable as per the Remuneration / Fee
structure mentioned below.
Remuneration / Fee Structure S. Account having exposure** Maximum Fee Payable*
No. Solo/consortium basis ( in Rupees)
1. Up to ₹50 crore Up to ₹80,000/-
2. Above ₹ 50.00 crore – ₹100 ₹1,50,000/-
3 crore
Above ₹100 crore – ₹250 crore ₹2,50,000/-
4. Above ₹250 crore – ₹500 crore ₹3,50,000/-
5. Above ₹ 500 crore – ₹ 1000 ₹4,00,000/-
crore

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

6. Above ₹ 1000 crore ₹ 5,00,000/-

(*- GST will be payable over and above fee. TDS as
applicable will be deducted).
Travelling & lodging expenses may be considered over and
above the aforementioned fee. However, total travelling
and lodging expenses should not exceed 15% of the fee
payable in respect of the Forensic Audit subject to
submission of travelling and lodging bills.)
**-Exposure shall mean Principal Balance Outstanding in
NPA accounts, for Standard accounts it shall be sanction
Limit and Balance Outstanding in Term Loan Accounts.

Service Provider:
M/s. E- e-Procurement Technologies Limited
( Auction Tiger) , B-705, Wall Street- II, Opp. Orient Club,
Ellis Bridge, Near Gujarat College,
Ahmedabad- 380006, Gujarat
For e-Tender related queries
Help Desk:
Contact Persons: Mr. Nandan Valera
Mobile No.: 9081000427/ 9904406300 /9510812960 /
9510812971 / 9374519729
Landline: 079-68136831/ 6857 / 6820 / 6843 / 6853 /
6829 / 6835 / 6863 / 6852 / 6840

Page 8 of 27
e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Eligibility Criteria
The respondents who wish to participate should meet the following criteria:

S. Eligibility Criteria Supporting Documentation

No.

1. a) IBA empaneled Audit firm / company for Copy of Empanelment Certificate

Forensic audit of loan assets having issued by IBA.
exposure up to Rs.50.00 crore.
b) Other Terms & Conditions as per
“Annexure-7”
2. The Bidder should not have been black Certificate signed by the authorized
listed by any Govt. Financial Institutions/ signatory.
Banks/ Government/ Semi Government
departments/ PSU in India.
3. The Bidder should not have been Certificate signed by the authorized
banned/declared ineligible for corrupt signatory.
and fraudulent practices by any Regulatory
body/Statutory Body and should not have
any disciplinary proceedings pending
against the applicant firm or any of the
partners with ICAI/RBI.

4. The Bidder’s firm / company should not A self-declaration by the Bidder

be owned or controlled by any Director on the firm’s/company’s letter
or Employee of J&K Bank head.
5. The Bidder firm / company shall not be A self-declaration by the Bidder
a firm/ entity whose name is appearing on the firm’s/company’s letter
in the Indian Bank Association’s Caution head.
List

Submission of Responses

The respondents qualifying the eligibility criteria & having the requisite expertise and
proficiency may express their interest by responding to this RFQ and sending their responses
along with the supporting documentation and below mentioned annexures on bank’s e-
tendering portal (https://jkbank.abcprocure.com) .

Other Terms and Conditions:

1. The Bid shall remain valid for a period of 180 days after the date of opening of Bid
Proposal.
2. All costs and expenses incurred by the interested bidders in any way associated with
the development, preparation, and submissions of responses including but not limited
to the attendance at meetings, discussions, demonstrations etc. and providing any
additional information required by J&K Bank, will be borne entirely and exclusively by
the Bidder.
3. Bank’s Rights – Bank reserves the right to:

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

 Reject any or all proposals received in response to the RFQ without giving any
reasons whatsoever.
 Reject the proposals received in response to the RFQ containing any deviation.
 Waive or Change any formalities, irregularities, or inconsistencies in proposal
format delivery.
 Extend the time for submission of proposal.
 Modify the RFQ document, by an amendment that would be notified by issuing
corrigendum.
4. The successful bidder shall not assign or outsource the work undertaken by it under this
RFQ awarded by the Bank.
5. The Earnest money deposit (EMD) will be forfeited by the bank in case of breach of any
of the terms and conditions of this RFQ or bidder withdraws the bid at any time.
6. The Earnest money deposit (EMD) will be refunded on the written request of the
bidders.
7. The bid security (if any) of the unsuccessful bidder will be discharged/returned to them
after finalization and award of contract without any interest.
8. After the completion of bidding process, the successful bidder will be required to sign
an agreement with the bank wherein all the terms and conditions governing the parties
will be mentioned.
9. All other terms and conditions will be in accordance with the issued RFQ.

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Annexure -1
APPLICANT’S EXPRESSSION OF INTEREST

Dy. General Manager – S, C & Audits,

The Jammu & Kashmir Bank Limited,
Corporate Headquarters,
M.A, Road, Srinagar (J&K)-190001.

Reg. Submission of Expression of Interest for Conducting Audit

Dear Sir,
In response to the Invitation for Request for Quotation (RFQ) bearing Ref No: JKB/S&C/23-
/Forensic Audit/47 dated ________, 2023 for the purpose of conducting Forensic audit of 01
(one) borrower group having exposure up to Rs.50.00 crore covering the period from 19.01.2018
to 19.09.2023 in Fund Based Working Capital account and Non-Fund Based facilities to ascertain
Diversion of funds, Money trail, Detection of financial statement fraud, Abnormal trade
transactions, Verifying receivables and Other aspects /scope of audit covered under Forensic
Audit. The borrower company is having its operations at Jammu, J&K UT & registered /
administrative office at Jammu, J&K UT, India. We would like to express our interest to carry
out the above proposed task. The proposal is unconditional and unqualified.
We confirm that the information submitted by us in our bid/proposal is true and correct.

Yours faithfully,
(Signature, name and designation of the Authorized Signatory)

List of documents enclosed:

1. Annexures

Note: The application is to be submitted on the letter head of the organization.

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Annexure 2
Particulars to be furnished for the purpose of appointment

S.No. Particulars Bidder’s Response with Supporting

Document

1. Name of the Bidder Company/ Firm

2. Date of Incorporation of Bidder Company/Firm
3. Complete Address of Bidder company/ Firm
4. Name and Contact details and E-mail id of the
nodal person
5. Particulars of the Authorized Signatory
a) Name
b) Designation
c) Contact Number
d) E-mail id
6. Persons proposed to be assigned for the
assignment
7. Name, address and account number of the
Bidder’s
banker
8. PAN of the Bidder Company/Firm
9. GSTIN of the Bidder Company/Firm

10. UTR Number(s) & Transaction date(s) / Ref. No.’s

of RFQ Application cost (non-refundable) &
Earnest Money Deposit (Refundable) uploaded on
e-Tendering Portal as Proof.
11. Any other Information considered relevant by the
bidder.

(Signature, name and designation of the authorized signatory)

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Annexure-3
Eligibility Criteria

S. No. Eligibility Criteria Supporting Documentation

1. a) IBA empaneled Audit firm / company for Copy of Empanelment Certificate

Forensic audit of loan assets having exposure of issued by IBA.
up to Rs.50.00 crore.
b) Other Terms & Conditions as per “Annexure-7”

2. The Bidder should not have been black listed by Certificate signed by the
any Govt. Financial Institutions/ Banks/ authorized signatory.
Government/ Semi Government departments/
PSU in India.
3. The Bidder should not have been Certificate signed by the
banned/declared ineligible for corrupt and authorized signatory.
fraudulent practices by any Regulatory
body/Statutory Body and should not have any
disciplinary proceedings pending against the
applicant firm / company or any of the partners
with ICAI/RBI.

4. The Bidder’s firm / company should not be A self-declaration by the Bidder

owned or controlled by any Director or on the firm’s/company’s letter
Employee of J&K Bank head.
5. The Bidder firm / company shall not be a firm/ A self-declaration by the Bidder
entity whose name is appearing in the Indian on the firm’s/company’s letter
Bank Association’s Caution List head.

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 e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Annexure- 4
Particulars in respect of similar completed audits in any Public
Sector Bank or Private Sector Bank

S. No. Name of Details of the Brief Name of Person in- Period

Bank Bank/account Details of charge from client
Audited scope of side with contact
(Rs.in crores) work no and
email id

From To

(Signature, name and designation of the authorized signatory)

Note: Client Certificate/ Contract with Client in support of the information above mustbe
submitted

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Annexure- 5
TEAM MEMBER PROFILE
Details of Persons who will form the team for the proposed Assignment

1. Name of the Person :

2. Office Address :
3. E-mail ID :
4. Phone Number Office :
Mobile :
5. Date since working in the Firm :
6. Professional Qualifications :
7. Present Designation :
8. Experience :

(Signature, name and designation of the authorized signatory)

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 e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

Annexure- 6
PRICE/ Commercial Bid Format

Price/Fee for
S No. Description GST Total
whole assignment
1. Forensic audit of 01 (one) borrower group
covering the period from year 19.01.2018 to
19.09.2023 in Fund Based Working Capital
account and Non-Fund Based facilities.

*Note:

1. The bid quote in any case should not be higher than the maximum fee payable as per the Remuneration
/ Fee structure mentioned in schedule of RFQ.
2. In case same bid quote is given by multiple bidders in any case, the audit firm / company having the
oldest date of incorporation will be given preference for audit allotment.
3. Bank reserves the right to reject any or all applications for empanelment without assigning any reasons
thereof.
4. Upon empanelment, the Forensic Auditor will be required to execute Letter of Undertaking as per
Annexure 9 & 10.
5. All other terms and conditions will be in accordance with the issued RFQ.

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e-RFQ Ref. No. JKB/S&C/Forensic-Audit/2023-824
Dated: 04-10-2023

(Annexure-7)
Other Terms & Conditions:

i. Application in the format should be submitted to Deputy General Manager

(S&C Audit) CHQ, to ensure uniformity in application form, the same shall
be made available on Bank’s website.
ii. Usual KYC norms like Identity and address proof of Firm/Company
are mandatory.
iii. PAN Number and Registration Number with Institute of Chartered Accountant
of India is also mandatory for applicant and its CA Partners/Directors.
iv. In the event of gross negligence/malpractices noticed by the Bank in Forensic
Auditor’s conduct/scope of work, apart from de-paneling the firm/company,
the Bank reserves the right to include their names in the caution list for
circulation to all the Banks through IBA.
v. Bank reserves the right to reject any or all applications for empanelment
without assigning any reasons therefor.
vi. Execution of Undertaking: Upon empanelment, the Forensic Auditor will be
required to execute Undertaking as per Annexure 9 & 10.
vii. The firm/company should have a fixed office premises with reasonable space
and adequate infrastructure.
viii. The firm/company should have specialist staff on the rolls of employment
or available on retention basis, with minimum CA/ICWA/legal and certificate
from ICAI (Forensic Audit and Fraud detection) in the field of service
offered. The firm should provide a dedicated team for timely completion of
forensic audit.

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(Annexure-8)
Application Format for Outsourcing Firms for conducting of Forensic Audit

1. Name:
2. Constitution:
(Following documents be enclosed :
i). Attested copies of Certificate of Incorporation
ii). Memorandum of Association and Articles of Association of company
iii). Certified copy of Resolution whereby the authorized signatory has been
authorized to seek empanelment of the company as forensic auditor in the Bank,
apply for the same and execute all necessary documents for the purpose
iv). Attested copies of Certificate of Registration of partnership firm
v). Deed of partnership (duly registered wherever required)
3. Date of registration/ incorporation:
4. Registration with ICAI:
5. If there has been a change in name/constitution/management in the past,
please furnish below the details along with supporting documents:

6. Date of commencement of business:

7. PAN of the entity:

(Attested copy of PAN card be enclosed)
8. Name and Mob. No. of Contact Person:
9. Details of Registered office, Administrative office and branches: Telephone
No.Fax no. Mobile No. E Mail
10. Activities in which company is involved, in detail along with experience (copy
of proof be enclosed):

11. Present setup/facilities/infrastructure available to execute the principal

functions.

12. Important assignments completed / undertaken during the last three financial
years (please give detail of the name & addresses of the clients and services
rendered.)
13. Give present actual status of the last two forensic audit of loan accounts of
below Rs.50 crore done by the applicant.
14. Personal & professional details of Promoters/partners/directors:
15. Personal & professional details of Professional Staff (Part time/`full
time/associate):
16. Details of Registration/ Empanelment with other accredited agencies/
FIs/Banks as on date, mentioning the nature of empanelment:

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17. Net worth of the Firm/Company of last three financial years.

Paid up Capital
Income/Revenue
Borrowings
Net worth
PAT

Please enclose copies of past three years audited financial statements/ annual
reports or copies of provisional financial statements in the absence of audited
accounts & Income tax clearance certificate.
Declaration

I/we declare that the particulars furnished above are true to the best of my
knowledge and belief. I/we, further confirm that all the necessary supporting
documents are enclosed with the application.

I/we hereby undertake that the firm/company, if assigned the Job, shall have
arm’s length distance with the proposed clients for whose forensic audit of loan
account is done, will not have any business dealings with them or give them undue
favour, will not demand additional remuneration than what is initially settled nor
will unnecessarily delay the investigation report.

I/we understand that any discrepancy/wrong information/breach of undertaking

would lead to cancellation of enlistment as auditor with immediate effect.

In the event of any negligence/mal-practice/s on part of applicant/s, the bank

besides depanelling the applicant/s reserves an unqualified and absolute right to
include the name/s of applicant/s in the caution list for circulation to all the member
banks of India Banks Association (IBA). The applicant/s acknowledges and declares
that the aforesaid shall be without prejudice to any other remedy that may be
available to the bank under law or otherwise.

For________________
Seal of the company

Place:
Date: Partner / Authorized
Signatory

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Annexure-9
Format of undertaking to be submitted by Forensic Auditor
(all partners separately in case of Firm)

I __________________________________ Son / Daughter / Wife of ____________ R/o

_________________________ do hereby solemnly affirm and state that:

1. I am a citizen of India

2. I have not been removed / dismissed from any service / employment earlier.

3. I have not been convicted on any offense and sentenced to a term of imprisonment.

4. I have not been found guilty of misconduct in professional capacity.

5. I am not an un-discharged insolvent.

6. I have not been convicted of an offence connected with any proceeding under the Income Tax Act

1961, Wealth Tax Act, 1957 or Gift Tax Act 1958.

7. My PAN card No. / GST No., as applicable is ____________________

8. I undertake to keep you informed of any events or happenings which would make me ineligible for

empanelment as Forensic Auditor.

9. I have not concealed or suppressed any material information, facts and record and I have made a

complete and full disclosure.

Dated: Signature: _____________

Name: ___________________________________________________________________________

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Annexure 10

Format of undertaking to be submitted by Forensic Auditors

(Where the applicant is a company)

I, _____________ designation___________duly appointed as authorized signatory

of ______________, hereinafter referred to as “Company”, ( Name of the
applicant Company) vide board resolution no.______ dated ___________ do
hereby for and on behalf of the Company solemnly affirm and state as under:

1. That none of the promoters/directors of the company have been

removed/ dismissed from any service employment earlier.

2. That none of the promoters/directors of the company have been

convicted of any offence.

3. That neither the company nor any of its promoters/directors have been
found guilty of misconduct in professional capacity.

4. That the company is not an insolvent.

5. That neither the company nor any of its promoters/directors have been
convicted of an offence connected with any proceeding under the Income
Tax Act 1961, Wealth Tax Act, 1957 or Gift Tax Act, 1958.

6. That the PAN /GST No. of the company is __________________ .

7. That we undertake to keep you informed of any events or happenings

which would make the company ineligible for empanelment as Forensic
Auditor.

8. That we have not concealed or suppressed any material information, facts

and record and I have made a complete and full disclosure.

9. That copies of the related Board Resolution/s, PAN Card and document
evidencing issuance of GST No. are enclosed.

10. That we undertake to keep confidential all the Information under this
allotment for Forensic audit i.e. any data or information
disclosed/furnished by the J&K Bank in connection with and for the
purpose of conducting Forensic Audit, and includes any personal
information of the customers or the information which our company may
obtain during the conduct of such forensic Audit from whatsoever source.
Such information shall also include any copy, abstract, extract, sample
note, module etc. thereof. The information shall be used solely for and

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in connection with the job assigned i.e. Forensic Audit.

11. I/We shall not use or disclose any Information or any materials derived
therefrom to any other person or entity other than persons in the direct
employment of the audit company who have a need to have access to and
knowledge of the Information solely for the Purpose authorized by bank.
We may disclose information to consultants only if the consultant has
executed a Non-Disclosure Agreement with the audit company that
contains terms and conditions that are no less restrictive than these. The
company shall take appropriate measures by instructions and written
agreement prior to disclosure to such employees or consultants to assure
against unauthorized use or disclosure. The audit company agrees to
notify the bank immediately if it learns of any use or disclosure of the
bank’s information.

12. Upon completion of assignment / written demand notice of the Bank, the
audit company shall (i) cease using the Information, (ii) return the
Information and all copies, abstract, extracts, samples, notes or modules
thereof to the bank within seven (7) days after receipt of notice and (iii)
upon request of the Bank, certify in writing that the audit company has
complied with the obligations set forth in this paragraph.

13. We shall indemnify and keep indemnified the J&K bank against all
direct/actual losses suffered by J&K bank, whether on account of any
third party claim or otherwise arising out of and in connection with the
Breach of the confidentiality obligations undertaken by virtue of this
work.

14. The confidentiality obligation assumed under this allotted work shall
survive and continue to be observed irrespective of the fact whether the
audit company continues to be Forensic Auditor for the allotted work or
not.

Dated:

Signature of Authorized Signatory: _________________

Seal of the company: ____________________________

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Annexure 11

NON – DISCLOSURE AGREEMENT

This Non-Disclosure Agreement (hereinafter referred to as „agreement‟) is made on

this ______day of ____20__ at___ between ____(Give name constitution,
father’s / spouse name in case of individual, address of Forensic Auditor‟)
(hereinafter referred to as„ “Receiving Party‟ which expression shall unless
repugnant to the context or meaning thereof be deemed to include it successors and
assigns) of the FIRST PART;

AND

The Jammu and Kashmir Bank Ltd., a Banking Company under Indian Companies Act
2013 having its registered office at Corporate headquarters M.A Road, Srinagar J &
K (hereinafter referred to as “Disclosing party/J&K Bank” which expression shall
unless repugnant to the subject or context thereof, include its successors and
assigns) of the OTHER PART.

‘Receiving Party‟ AND “J&K Bank‟ /„”Disclosing Party‟ are hereinafter collectively
referred to as “the parties” and individually as “the party”.

WHEREAS

J&K Bank / Disclosing Party has agreed to engage Receiving Party as Forensic Auditor
for conducting forensic audit of ____________________________________________
For the purpose of Forensic Audit which may be assigned by J&K Bank / Disclosing
Party to the Receiving Party, the J&K Bank would need to disclose certain valuable
confidential information to the Receiving Party.

Therefore, in consideration of covenants and agreements contained herein for

the mutual disclosure of confidential information to each other and non-disclosure
thereof as provided herein after, and intending to be legally bound, the parties
agree to terms & conditions as set out hereunder.

NOW, THEREFORE, THIS AGREEMENT WITNESSETH AND IT IS HEREBY AGREED BY

AND BETWEEN THE PARTIES HERETO AS UNDER:

1. Information: “Information” under this agreement means any data or

information disclosed/furnished by the disclosing party (J&K Bank) to the
receiving party in connection with and for the purpose of conducting
Forensic Audit, and includes any personal information of the
customers or the information which the receiving party may obtain
during the conduct of such forensic Audit fro m whatsoever source.
Such information shall also include any copy, abstract, extract,
sample note, module etc thereof.

The Receiving Party may use the Information solely for and in connection
with the job assigned i.e. Forensic Audit.

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Notwithstanding the foregoing, “Information” shall not include any

information which the Receiving Party can show : a) is now or subsequently
becomes legally and publicly available without breach of this Agreement by
the Receiving Party, (b) was rightfully in the possession of the Receiving Party
without any obligation of confidentiality prior to receiving it from the
Disclosing Party, (c) was rightfully obtained by the Receiving Party from a
source other than the Disclosing Party without any obligation of
confidentiality, (d) was developed by or for the Receiving Party
independently and without reference to any Information and such
independent development can be shown by documentary evidence, or
(e) is disclosed pursuant to an order of a Court or Government Agency as
so required by such order, provided that the Receiving Party shall, unless
prohibited by law or regulation, promptly notify the Disclosing Party of such
order and afford the Disclosing Party the opportunity to seek appropriate
protective order relating to such disclosure.

2. Non-Disclosure: The Receiving Party shall not use or disclose any Information
or any materials derived therefrom to any other person or entity other than
persons in the direct employment of the Receiving Party who have a need to
have access to and knowledge of the Information solely for the Purpose
authorized by Disclosing Party. The Receiving Party may disclose information
to consultants only if the consultant has executed a Non-Disclosure Agreement
with the Receiving Party that contains terms and conditions that are no
less restrictive than these. The Receiving Party shall take appropriate
measures by instructions and written agreement prior to disclosure to such
employees or consultants to assure against unauthorized use or disclosure. The
receiving party agrees to notify the Disclosing Party immediately if it learns of
any use or disclosure of the Disclosing Party’s information in violation of terms
of this agreement.

In the event of any actual or suspected misuse, disclosure or loss of, or inability
to account for, any Confidential Information of the disclosing Party, the
receiving Party promptly shall (i) Notify the disclosing Party upon becoming
aware thereof; (ii) Promptly furnish to the other Party full details of the
unauthorized possession, use, or knowledge, or attempt thereof, and use
reasonable efforts to assist the other Party in investigating or preventing the
reoccurrence of any unauthorized possession, use, or knowledge, or attempt
thereof, of Confidential Information; (iii) Take such actions as may be
necessary or reasonably requested by the disclosing Party to minimize the
violation; and (iv) Co-operate in all reasonable respects with the disclosing
Party to minimize the violation and any damage resulting there from.

3. Publications: The Receiving Party shall not make news releases, public
a n n o u n c e m e n t s , give interviews, issue / publish advertisements /
publicize in any other manner whatsoever in connection with this Agreement
or of the forensic Audit, the contents/provisions thereof, other information
relating to this Agreement or of the forensic Audit, the Purpose, the
Information or other matter of this Agreement, without the prior written
approval of other party.

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4. Title and Proprietary Rights: Notwithstanding the disclosure of any

information by the Disclosing Party to the Receiving Party, the Disclosing
Party shall retain title and all intellectual property and proprietary rights
in the Information. No License under any trademark, patent or copyright
or application for same which are now or thereafter may be obtained by such
Party is either granted or implied by the conveying of Information. The
Receiving Party shall not conceal, alter, obliterate, mutilate, deface or
otherwise interfere with any trade mark, trade mark notice, copyright notice,
confidentiality notice or any notice of any other proprietary right of the
Disclosing Party on any copy of the Information, and shall reproduce any such
mark or notice on all copies of such Information. Likewise, the Receiving
Party shall not add or emboss its own or any other mark, symbol or logo on
such Information.

5. Return of Information: Upon completion of assignment / written demand

notice of the Disclosing Party, the Receiving Party shall (i) cease using the
Information, (ii) return the Information and all copies, abstract, extracts,
samples, notes or modules thereof to the Disclosing Party within seven (7)
days after receipt of notice and (iii) upon request of the Disclosing Party,
certify in writing that the Receiving Party has complied with the obligations
set forth in this paragraph.

6. Remedies: The Receiving Party acknowledges that if the Receiving Party fails
to comply with any of its obligations hereunder, the Disclosing Party may
suffer immediate irreparable harm for which monetary damages may not be
adequate. The Receiving Party agrees, in addition to all other remedies
provided at law or in equity, the Disclosing Party shall be entitled to
injunctive relief hereunder.

7. The Receiving Party shall indemnify and keep indemnified the Disclosing
Party/J&K bank against all direct/actual losses suffered by disclosed
party/J&K bank, whether on account of any third party claim or otherwise
arising out of and in connection with the Breach of the confidentiality
obligations undertaken by virtue of this agreement.

8. The confidentiality obligation assumed under this Agreement shall survive and
continue to be observed irrespective of the fact whether the Receiving Party
continues to be on the Panel of Forensic Auditors of the Disclosing Party/J&K
bank or not.

9. Entire Agreement, Amendment, and Assignment: This Agreement

constitutes the entire Agreement between the Parties relating to the matters
discussed herein and supersedes any and all prior oral discussions and/or
written correspondence or agreements between the Parties. This agreement
may be amended or modified only with the mutual written consent of the
Parties. Neither this agreement nor any right granted hereunder shall be
assignable or otherwise transferable.

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10. Governing Law: The provisions of this Agreement shall be governed by the
Laws of India.
11. General: The Receiving Party shall not reverse-engineer, decompile,
disassemble or otherwise interfere with any software disclosed hereunder. All
Information is provided “as is”. In no event shall the Disclosing Party be liable
for the inaccuracy or incompleteness of the Information. None of the
Information disclosed by the Parties constitutes any representation, warranty,
assurance, guarantee or inducement by either party to the other with respect
to the fitness of such information for any particular purpose or infringement
of trade marks, patents, copy rights or any right of third persons.

12. This agreement shall, in all respects, be governed by, and construed in
accordance with the Laws of the UT of J&K read with applicable Laws of India.
The Courts in Srinagar, India shall have exclusive jurisdiction in relation to
this agreement.

13. It will be the endeavor of the Parties to resolve amicably any disputes or
differences that may arise between them from misconstruing the meaning and
operation of this Agreement and the breach that may result.

In case of dispute or difference arising between the Parties relating to any

matter arising out of or connected with this Agreement, such disputes or
difference shall be settled in accordance with the Arbitration and Conciliation
Act, 1996. The sole Arbitrator shall be chosen by mutual discussion between
the Parties. The decision of the arbitrator shall be final.

The arbitration proceedings shall be held at Srinagar, Kashmir India, and the
language of the arbitration proceedings and that of all documents and
communications between the parties shall be English.”

IN WITNESS WHEREOF, the parties hereto have executed these present on the
day, month and year first herein written below.

For and on behalf of

(Receiving Party)

Signature: Name: Capacity: Date:

Witnesses: 1.

2.

For and on behalf of J&K Bank

Signature:

Name of Signature: Designation:

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Date: Witnesses: 1.

2.

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