Section 15 in Punjab Water Supply and Sewerage Board (Purchase Procedure)
15. Earnest Money and Security Deposits.
- 15.1. Tender shall be accompanied with earnest money as laid down in para 9.6. As soon as a tender has been decided/supply order placed, the earnest money of unsuccessful tenderers shall be released within one month.15.2The earnest money of the successful tenderer will be converted into security. The security as per ordered quantity will be retained till the supplies against these orders are completed to the satisfaction of the consignees and warranty period, if any is applicable to the said order, is over. For the purchases in the Head Office, release of security will be allowed by the Executive Engineer, Purchase after he fully satisfies of the above.15.3Earnest money/security deposit taken from the tenderer/supplier shall be forfeited in part or in full under the following circumstances unless otherwise decided by the authority competent to purchase(i)If the tenderer withdraws his tender during the currency of his validity period.(ii)If the supply order has been issued but the supplier fails to honour the same. This forfeiture shall be without any prejudice to the right of the Board to claim any other damages as admissible under the law as well as to take suitable executive action against the supplier as decided by the authority competent to purchase.
