Section 19 in Tamil Nadu Panchayats (Preparation of Plans and Estimates for Works and Mode and Conditions of Contracts) Rules, 1998
19. Earnest money deposit.
- The amount of earnest money to be deposited shall be as specified in tender notice. In case of the contractors failing to furnish the required security within the appointed time after the acceptance of his tender or until the sums due to him form a sufficient guarantee, or fails to execute the work as per the agreement, the earnest money deposit shall be forfeited.
