The supplier shall pay within 15 days, security deposit @ 10% of the value of the order, unless having valid permanent bank guarantee of Rs. 5(five) lakhs with the Board. The maximum security deposit payable against the contract shall be limited to Rs. Five Lakhs.
Security deposit applicable to SSI unit in Maharashtra will be 3% (Three percent) of the order value subject to a maximum of Rs. 50,000/- (fifty thousand). However, in respect of the following categories of suppliers, the security deposit applicable shall be as under :
a) For the order value upto Rs. 25,000/-, no security deposit shall be payable by the registered suppliers on the list of Development Commissioner (Industries) and Stores Purchase Officer.
b) Small Scale Industries registered with the Directorate of Industries and Maharashtra Khadi & Gramodyog Mandal shall be exempted from payment of security deposit for value of order upto Rs. 50,000/-.
The SSI units having industries outside Maharashtra State will not be eligible for exemption or concession in the security deposit. They will have to pay full security deposit at 10% of the value of order limited to Rs. Five lakhs unless having deposited permanent bank guarantee of Rs. Five lakhs with the Board.
The failure to make payment of security deposit within 15 days as above will be viewed seriously and the contract awarded shall be liable to be terminated-.
The security deposit shall be paid in favour of Maharashtra State Electricity Board by way of:
(i) Cash or
(ii) Cheque or demand draft on any scheduled bank in Mumbai or
(iii) When the amount exceeds Rs. 5,000/-, bank guarantee from a scheduled bank valid for the guarantee period of last consignment of materials as given in clause no.26 of conditions of Tender and supply in the standard form of the Board or
(iv) Pledging any of the certificates i.e. National Plan certificates. National Defense certificates. National Plan savings certificates. National Savings Certificates and National Defense Deposit certificates or
(v) Fixed deposit receipts of any scheduled bank in favour of the Maharashtra State Electricity Board or,
(vi) Maharashtra State Electricity Board debentures, or
(vii) Government securities endorsed to the Maharashtra State Electricity Board as detailed below:
(a) All the endorsement on G.P. Notes including the last in favour of Maharashtra State Electricity Board should be certified by the Public Debt Office. Reserve Bank of India or alternatively a fresh Note from Public Debt Office, Reserve Bank of India should be tendered.
(b) All the interest accrued on the G.P. Notes till date of transfer should be collected before submission and interest accruing subsequently will be collected by the Board periodically and credited to the depositor’s account less 2% subject to the minimum of Rs. 2/- which will be retained by the Board to cover the cost of collection etc:
This security deposit in cash or in the form of bank guarantee or otherwise is for the due performance of the material/contract and the same shall be liable to apportion towards amount due or becoming due by the supplier on his failure to execute this order or any other contract and in the event of non fulfillment of the terms and conditions of the contract.
The security deposit shall be refunded on the expiry of the guarantee period specified in condition No.26 stated herein below. In case of G.P. Notes the amount of security deposit payable should be on the basis of market value of the G.P. notes at the time of presentation of the G.P. Notes.