MINISTRY OF FINANCE,

DEPARTMENT OF REVENUE,

CENTRAL BOARD OF EXCISE & CUSTOMS,

OFFICE OF THE CHIEF COMMISSIONER OF CUSTOMS (ZONE-I),

NEW CUSTOMS HOUSE, BALLARD ESTATE,

MUMBAI 400-001, MAHARASHTRA

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TENDER NOTICE FOR APPOINTMENT OF AUCTIONEER

 

Tenders are invited from government approved auctioneers or firms / companies, of repute and standing, possessing capability/experience, and having past experience, of auctioning/tender-cum-auctioning of immovable properties held by government departments/public sector undertakings/banks or private properties, for appointment as auctioneer for auction/tender-cum-auction of immovable properties by offices in the Mumbai Customs Zone I. This Tender Notice is also available on Customs Website www.cbec.gov.in & www.jawaharcustoms.gov.in

.

 

2.         The terms and conditions of the tender are as per Annexure A, the Application Form as per Annexure B, the Form of Technical Bid as per Annexure C and the Form of Financial Bid as per Annexure D. These are available for downloading during the period 17.10.2011 to 31.10.2011 (15 days including starting and closing dates) from the website www.cbec.gov.in & www.jawaharcustoms.gov.in

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3.         Bids are to be submitted as per two bid system i.e. Technical and Financial Bid separately in two different sealed envelopes. These envelopes shall bear the name of applicant and shall be super-scribed “TECHNICAL BID” and “FINANCIAL BID” and attached to the APPLICATION FORM and put inside a larger sealed envelope which shall be super-scribed with the words, “TENDER FOR APPOINTMENT OF AUCTIONEER” and name of applicant, with addressee as Deputy/Asst. Commissioner of Customs (TRC-EP), New Custom House, Ballard Estate, Mumbai - 400001. The said larger sealed envelope is to be deposited up to 3.00 p.m. on or before 02.11.2011       in a sealed tender box kept for this purpose in the office of Superintendent of Customs (CHS), at Ground Floor, New Custom House, Ballard Estate, Mumbai - 400001. Immediately after 3.00 pm on 02.11.2011, the said sealed tender box shall be secured so as to not permit any further envelopes to be deposited.

 

4.         The sealed tender box and said large sealed envelopes therein shall be opened by the Deputy/Asst. Commissioner of Customs (TRC-EP), O/o Commissioner of Customs (EP), New Custom House, Ballard Estate, Mumbai – 400001 at 3.00 pm on 03.11.2011. Applicants who wish to be present at the time of opening of the Tenders may represent themselves or authorize their representative with an authority letter for the purpose.

 

5.         The department reserves the rights to amend the tender documents if considered necessary with due intimation to respective bidders prior to the last date of sale of tender, and also reserves the right to extend the date of submission and opening of tender, if considered necessary. Any amendment in the tender to this effect will be notified only on the website www.cbec.gov.in & www.jawaharcustoms.gov.in and therefore bidders should invariably check the website till the last date of tender.

 

6.         The department reserves the right to accept or reject any tender in part or in full without assigning any reason whatsoever, and / or to relax the tender condition at any stage if considered necessary for the purpose of finalizing the matter in the overall interest of the Customs. Preference will be given to Government approved auctioneers in case the other conditions of technical bid and financial bid are similar for two or more bidders.

 

 

                                                                                                                                                                                                                                     Dy/Asst Commissioner of Customs (TRC-EP)

ANNEXURE A

Terms and conditions of the Tender

 

General terms and conditions

1.       Application is to enclose Demand Draft from Nationalized Bank for an amount of Rs. 500/- (Rupees Five Hundred only) favoring Commissioner of Customs payable at Mumbai, towards a non-refundable Tender Fee, at the time of submission of Tender.

 

2.      Application is to enclose Demand Draft favouring ‘Commissioner of Customs’ payable at Mumbai from Nationalized Bank for an amount of Rs. 25000/- (Rupees Twenty Five Thousand Only) towards Earnest Money Deposit (EMD). The EMD shall be refunded to unsuccessful bidders after award of contract to successful bidder against written request for return and a receipt. Interest is not payable on EMD.

 

3.      Applications which are not accompanied by the Demand Drafts towards Tender Fee and EMD, and with the sealed Technical and Financial bids or those in which any of the details in Technical Bid are not filled, shall be summarily rejected. Further, where the answer is filled as ‘No’ to any of the items listed at Sr Nos. 2, 4, 5, 6, 9 & 10 of the Application or where the answer provided is ‘Yes’, but the documentary evidence is not enclosed with application, the application shall be summarily rejected. 

 

4.      Technical bids shall be opened of only those applicants whose applications have not been rejected. The Technical Bids will be evaluated on basis of past performance. For Technical Bid to qualify, the applicant should have sold a minimum number of 10 (Ten) immovable properties over the period from FY 2007-08 onwards as reflected in row ‘c)’ of item 2 of the Technical Bid and should have received/earned minimum professional fee of Rs 0.05 Cr during the same period as reflected in row ‘e)’ of item 2 of the Technical Bid.

 

5.      The Financial bids of only those applicants shall be opened whose Technical bids are qualified. In the Financial Bid, the applicants are required to express their quote for professional fee/commission charges as a combination of “lump sum amount of Rs ________ per immovable property sold or _____ % of sale value per property sold, whichever is higher”. The quote should be written in figures and words, if the quote does not follow these parameters, it shall be rejected.

 

6.      Where the Financial bid is identical for two or more participants, the deciding criteria shall be the number of immovable properties sold, the number of auctions conducted, the number of departments serviced, as forthcoming in the Technical bid in that order.

 

7.      Overwriting, correction or insertion in the quote in the Financial Bid should be duly authenticated by the applicant/its authorized signatory. If there is any variation between the rates quoted either in figures and words, only the lower of the rates quoted either in figures or in words shall be construed as correct and valid.

 

8.      It be noted that all/each tender document, bid, pages, enclosures should be duly signed and stamped by applicant. Tenders must be accompanied by specified documents. If any of these conditions are not met, tender shall be summarily rejected.  Tenders must not be conditional and if they are, they shall be rejected.

 

9.      The person signing the tender, forms or any documents forming part of the tender on behalf of another or on behalf of a firm shall be responsible to produce a proper power of attorney executed in his favour, stating that he has authority obtained from such other person or the firm as the case may be, in all matters including pertaining to the contract. The “Power of Attorney” should be signed by all the partners in the case of partnership concern and by the proprietor in the case of proprietary concern and by the person who by his signature can bind the company in the case of limited company or a co-operative society. In the case of Hindu Undivided family the “Power of Attorney” should be signed by the Karta who, by his signature, can bind the firm. Failure, of the person signing the tender, to produce the said power of attorney, will lead to tender being summarily rejected.

 

10.  The tender offer shall be valid for 90 (Ninety) days from the date of opening of the tenders.

 

Other terms and conditions specific to ‘successful bidder’

 

11.  Upon selection of the successful bidder by the tender committee, the Customs shall serve an intimation letter to the said applicant who shall submit a letter of acceptance along with the Security Deposit of Rs 1, 00,000/- ( Rupees One Lakh Only) within 4 (four) working days of receipt of the intimation letter. The Security Deposit shall be made/paid as a Demand Draft from a Nationalized Bank drawn in favor of “Commissioner of Customs” payable at Mumbai. Where the successful bidder desires that his EMD be adjusted towards security deposit, he shall submit Demand Draft for the balance amount towards security deposit.

 

12.  The successful applicant/bidder shall be required to execute an agreement or contract, on judicial stamp paper of Rs. 100/- with the Commissioner of Customs (EP), New Custom House, Ballard Estate, Mumbai – 400001, within 15 days from submission of letter of acceptance.

 

13.  In the event of failure on the part of successful bidder to submit the Security Deposit and/or execute the agreement, the EMD shall be forfeited and the acceptance cancelled.

 

14.  The auctioneer shall be appointed for a period of one year and the appointment may be reviewed or renewed, for a further period of one year on the same terms and conditions.

 

15.  The scope of work or duties or obligations of the auctioneer are to employ all the necessary skill, diligence, efficiency and economy to satisfy generally accepted professional standards, expected from experts for completion of the work and include the following -

 

a)      To assist the Department in arranging for sale of the immovable assets as per the prescribed mode of recovery and receipt of sale proceeds and all other necessary formalities. 

 

b)     To prepare auction notice depending upon the mode of auction in consultation with the department.

 

c)      To create a portal for e-auction.

 

d)     To finalize start and end time, terms of bidding and configuration of the auction with the Customs.

 

e)      To give wide conspicuous publicity in respect of the immovable assets to be auctioned and details of the auction in at least two each of leading nationally circulated English and Hindi newspapers and two vernacular newspapers; To make such publicity sufficiently in advance of the auction date so that there is adequate time for interested prospective bidders to examine the assets as well as participate in the auction. The newspapers and advertisement therein shall be approved by the Customs prior to its publication; To not publish newspapers advertisement on Sunday or any public holiday. The auctioneer may also advertise through Internet, E-Mail or other modes of advertisement for ensuring wider publicity.

 

f)       To arrange for examination of the assets by the prospective bidders before the date fixed for auction, on compliance of such terms and conditions, as may be specified.

 

g)     To print and circulate catalogue containing details of the auction/auction-cum-tender, approved by Customs, amongst prospective buyers and in the area in which the auction is to be held; to also make copies of catalogue available to all the bidders/buyers present at the time of auction.

 

h)     To not conduct the auction on a Sunday or on any public holiday.

 

i)       To obtain written confirmation from highest bidder.

 

j)        To specify to the Customs the members of the auctioneer’s personnel, and if the Customs considers any such member unsuitable to substitute such member, as quickly as reasonably possible without direct or indirect charge to the Customs, with a replacement acceptable to the Customs.

 

k)     To be responsible for all acts and omissions of the auctioneer’s personnel and for the health, safety and security of such persons and their property.

 

l)       To safeguard the auction from any type of bidding manipulations. In case it is noticed by Auctioneer that fair prices are not being offered or ring/cartel is being formed by the bidders, it will be immediately brought to notice of the officer supervising the auction who may cancel the auction.

 

m)   To not, directly or indirectly, bid for or purchase any property at the auction; to not give, offer or agree to give or accept, any gift or consideration of any kind as an inducement or reward for doing or fore bearing to do so or for having done or forborne to do any act in relation to work carried out by auctioneer; to not engage in any personal, business or professional activity which conflicts or could conflict with any of their obligations and duties as auctioneer and to notify Customs immediately and in writing of any actual or potential conflict together with recommendations as to how the conflict could be avoided; to not disclose to any third party any confidential information obtained during the course of work.

 

n)     To conduct auction in the manner and as per conditions laid down by the Customs and announce and publish such conditions

 

o)     In case of physical /public auction, to loudly announce the auction conditions before auction starts. He shall conduct mock auction prior to the live auction to allow participants to be comfortable with the bidding process; to conduct the actual auction providing necessary infrastructure.

 

p)     In case of physical / public auction, to bear out of his commission/professional fee, the hall expenses, seating, sound arrangements, printing & stationery, keeping record of the auction proceedings and other contingent expenditure for conducting auction.

 

q)     To collect and immediately deposit with the Department, the amount of earnest money deposit (EMD) which will be 10% of the reserve price and balance amount realised and collected on the day of auction i.e.  25% of the bid amount (including EMD) within 24 hrs of the day of auction.

 

r)       To cancel a bid forthwith if the bidder fails to pay the earnest money or the amount required to be collected the same day, and to forthwith re-auction the assets.

 

s)      To collect the balance amount of the bid from the bidder within 15 (fifteen) days from the date of Auction or as per the conditions of the auction or within such extended time by cash / draft as may be specified by the Customs and deposit the same with the Department within prescribed time period

 

t)       To prepare in triplicate the Sale Sheet, in the form prescribed by Customs. This shall be signed immediately after the sale by the Officer supervising the auction and the auctioneer.

 

u)     To prepare in triplicate a Final Sale Account on completion of auction in form prescribed by Customs within three working days, showing the proceeds realized and to submit a copy thereof to the officer supervising / conducting the auction sale.

 

v)     To deposit the full amount with the department within 24 hours of the auction, if auctioneer accepts the bid without collecting the earnest money. This would be without prejudice to any other remedy the department uses, on account of such breach, against the auctioneer.

 

w)   To keep accurate and systematic accounts, files and records and to clearly identify, amongst these, the original vouchers and receipts on the basis upon which Invoices have been calculated and to keep original records for a period of 8 (eight) years; to, upon request, provide to the Customs, including Audit officers of the Government of India, unrestricted access to the said accounts, files and records in order that they may be inspected and audited, and to co-operate fully in providing the Customs answers to such inquiries as may be made about the said accounts, files and records.

 

x)      To address all communications relating to the auction for consents, instructions, etc to the Customs by designation and address as follows, “Assistant/Deputy Commissioner of Customs, (TRC-EP), O/o Commissioner of Customs (EP), New Custom House, Ballard Estate, Mumbai – 400001”.

 

y)     To submit the complete set of following documents for his payment - (a) Pre-receipted bills in quadruplicate along with copy of the bid sheet (b) Details of Bid (c) Original and certified true copies in respect of payment of service tax duly acknowledged by the Service Tax Department (d) Copy of Newspapers in which the Auction Sale Notice is published and original and photocopy of Bill for advertisement in newspapers.

 

z)      To not, without the prior written consent of Customs, assign or transfer or cause to be assigned or transferred, whether actually or as the result of takeover, merger or other change of identity or character of the auctioneer, any of its obligations or duties.

 

 

 

 

16.  Auctioneer shall be liable and responsible to Customs and shall indemnify the Customs against any cost and expenses or loss or damages suffered by the Customs / Government due to any suppression or misrepresentation or fraud committed by auctioneer and/or by auctioneer’s servants or agents in publishing the auction or in the conduct of the auction.

 

17.  The commission charges/professional fees of the auctioneer will be paid only for such bid whose whole amount is received by the Department and Final Sale Certificate [as provided for under Rule 22 of the Customs (Attachment of property of defaulters for recovery of Government dues) Rules 1995], to the successful bidder is issued by the Customs. The payment shall be subject to Customs being satisfied that the auctioneer has carried out its duties, obligations and responsibilities. Payment shall be made by cheque payable at Mumbai after deduction of direct tax TDS. The service tax amount will be paid only after auctioneer produces evidence of remittance of service tax (on the relevant amount) to the Service Tax Department in the form of receipt duly acknowledged and signed with Rubber Seal by the Service Tax authorities.

 

18.  Auctioneer shall be liable and responsible to Customs and shall indemnify the Customs against any cost and expenses or loss or damages suffered by the Customs / Government due to any suppression or misrepresentation or fraud committed by auctioneer and/or by auctioneer’s servants or agents in publishing the auction or in the conduct of the auction.

 

19.  Any excess payment made to auctioneer, either on account of error or otherwise, shall be returned immediately by auctioneer to Customs, upon intimation by the Customs. Excess payment includes financial loss incurred by the Customs arising due to or from any lapses on the part of auctioneer.

 

20.  The commission charges/professional fees of the auctioneer will not be paid for a failed sale, that is, where the auction process has failed due to non-participation by the bidders or where the quotations/bid amounts received are below the reserve price or where the sale has been cancelled by the Customs on account of successful challenge [as provided for in the Customs (Attachment of Property of defaulters for recovery of Government dues) Rules, 1995] or where the Customs cancels the auction process for any reason whatsoever, including any default on part of the auctioneer.

 

21.  No commission shall be payable by Customs to auctioneer on any forfeited amounts received by the department.

 

22.  In case of cancellation (but only in case of unavoidable circumstances) of the auction by the Customs, the auctioneer will be entitled for actual expenses on advertisement in Newspapers only against production of documentary evidence.

 

23.  The EMD shall be forfeited if -

 

a)      The successful bidder withdraws his tender or modifies his offer in a manner unacceptable to Customs during the validity period of tender which is 90 (Ninety) days from the date of opening of the tender.

b)     The bidder has been notified for the acceptance of the tender during the validity period of tender, and refuses to undertake the work on award of the contract.

c)      The bidder submits forged/tampered documents while participating in the tender.

 

24.  In case, the appointed auctioneer withdraws his agreement/contract or does not perform his duties, responsibilities, obligations or work, the Security Deposit is liable to be forfeited. The Security Deposit shall be refunded upon conclusion/termination of contract. Interest is not payable on Security Deposit.

 

25.  During the currency of the contract, if the services of the auctioneer are not found to be satisfactory, Customs reserves the right to terminate the contract with one month prior notice without payment of any compensation whatsoever.

 

26.  It shall not be obligatory for the department to offer all assets for sale through the auctioneer.

 

27.  Customs shall have no liability in respect of work performed by auctioneer outside the scope of this contract or in respect of any illegal activity on the part of auctioneer.

 

28.  All disputes and differences whatsoever arising out of the contract/agreement or in any way touching or concerning the contract/agreement, (except as to any matter, the decision of which is expressly provided for in the contract) shall be referred to the Chief Commissioner of Customs, Mumbai Zone-I whose decision shall be reasoned, final and binding. Further, any dispute from either side shall be in writing and made within one year of the date of termination or completion of the contract. The costs of such arbitration, if any, shall be borne by the bidder as per the decision of the Chief Commissioner of Customs, Mumbai Zone-I. All disputes shall be subject to Mumbai jurisdiction.

 

 

 

ANNEXURE B

APPLICATION FORM

 

1

Applicant Details (Name, address, landline and mobile numbers):

 

2

Nature/Status of Firm e.g. Proprietorship, Partnership, Limited Company, Coop. Society, HUF, etc:

 

Is documentary evidence enclosed:                                                Yes / No

 

3

Names, Addresses, Telephone Nos. of Proprietor/Partners/Directors:

 

4

Permanent Account Number:

 

Is copy of PAN enclosed:                                                                   Yes / No

 

5

Service Tax Registration No.:

 

Is copy of ST Registration enclosed:

                                                                                                                 Yes / No

 

6

Last Income Tax Return is filed for Assmt. Year :

 

 

Is copy of receipted last IT return enclosed:                                   Yes / No

 

7

Tender Fee DD enclosed (Amount, DD No., Date, Valid till, Issuing Bank and branch):

 

8

EMD DD enclosed (Amount, DD No., Date, Valid till, Issuing Bank and branch):

9

Is sealed envelope of Technical Bid enclosed:

Yes / No

 

 

 

10

Is sealed envelope of Financial Bid enclosed:

Yes / No

 

 

 

11

Applicant’s Bank Account No, Bank Name and Branch

 

 

The complete tender notice with annexures have been carefully read and fully understood and it is unconditionally undertaken to conform with and be bound by the terms and conditions. The statements made in this application and its enclosures are true and correct to the best of our knowledge and belief.

 

Signature      

Name of authorized authority with Seal/Stamp

ANNEXURE C

TECHNICAL BID

 

1.                  Applicant Details (Name, address, landline and mobile numbers):

 

2.                  Please fill the following details in respect of the Applicant’s  experience as Auctioneer with respect to successful auctioning of immovable properties by government departments/public sector undertakings/banks :

 

 

 

Financial Years

 

 

2007-08

2008-09

2009-10

2010-11

a)

No. of government departments/public sector undertakings/banks for which appointed auctioneer which sold immovable properties:

 

 

 

 

 

b)

No. of successful auctions of immovable properties:

 

 

 

 

 

c)

No. of immovable properties sold in such auctions:

 

 

 

 

 

d)

Total Bid amounts (in Rs. Cr) collected in such auctions:

 

 

 

 

 

e)

Professional Fees (Commission Charges) received (in Rs. Cr) in such auctions:

 

 

 

 

 

3.                  Is documentary evidence (authenticated and attested by Applicant) attached for details disclosed against Sr. No. 2 above.                  Yes / No

            Attach the list of such documentary evidence.

 

4.                  Disclose any other information or document which Applicant considers relevant for the purpose of illustrating that it enjoys repute and standing & possesses the requisite capability/experience/past performance

 

The complete tender notice with annexures have been carefully read and fully understood and it is unconditionally undertaken to conform with, abide by and be bound by the terms and conditions enumerated therein.

           

                                                                                    Signature

                                                Name of authorized authority with Seal/Stamp

 

ANNEXURE D

                                                          FINANCIAL BID

 

1.                  Applicant Details (Name, address, landline and mobile numbers):

 

 

2.         Professional Fees/Commission Charges (exclusive of Service Tax):

 

Lump sum amount of Rupees _______ per immovable property sold or ____ % of sale value per property sold, whichever is higher.

 

 

The complete tender notice with annexures have been carefully read and fully understood and it is unconditionally undertaken to conform with, abide by and be bound by the terms and conditions enumerated therein.

           

 

 

                                                                                                Signature

                                                 Name of authorized authority with Seal/Stamp