APPENDIX - 16BB

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FORM OF LEGAL AGREEMENT FOR TRADING/SERVICE UNITS

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NOTE: PLEASE SEE PARA 9.21 OF THE POLICY

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An agreement made this _____________day of ___________2000_____between M/s. ___________________ (indicate legal status i.e.Company or Partnership firm) a trading/service unit in the............................ Export Processing Zone (EPZ) having its registered office at ___________________(hereinafter referred to as “the unit” which expression shall include its successors and assigns) of the one part and the President of India acting through the Development Commissioner, Ministry of Commerce, Government of India, New Delhi (hereinafter referred to as “Government” which expression shall include his successors in office and assigns) of the other part.

Whereas in response to an application by the unit, the Government has communicated vide Letter No. ___________dated _________to the said M/s....................... the terms and conditions for setting up the unit for the purposes mentioned in para 9.21 of the Export and Import Policy, 1997-2002 (hereinafter referred to as "the policy") and the unit has duly accepted the said terms and conditions vide their letter No.__________dated __________.

AND WHEREAS the unit has been permitted to import/purchase indigenously capital goods, raw materials, components, spares and consumables, packaging material etc. free of Import / Central excise duty, as per details given at Annexure- ‘A’ for the purpose as aforesaid.

AND WHEREAS a license has been granted to the unit by the Government, on the basis of their projected export of US $____________in five years, (including the supplies in the Domestic Tariff Area(DTA) which are counted towards fulfillment of export performance as per the policy) beginning from the first day after commencement of business / production(hereinafter referred to as the prescribed date) .

NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:

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1. The unit shall carry out the activities as mentioned in the Policy and achieve a minimum export performance (including the supplies in the DTA which are counted towards export performance as per Policy) in a period of five years, counting from the prescribed date and shall also achieve minimum net foreign exchange earning as per percentage of export(NFEP) as prescribed in Appendix-I of the Policy and its performance shall be subject to annual monitoring by the DC having jurisdiction over its activities under the guidelines issued by the Department of Commerce, Government of India from time to time and the unit shall be liable for penalty under the Foreign Trade(D&R)Act, 1992, as amended from time to time for failure to fulfil such obligation. This obligation shall be in addition to and over and above any other obligation that might have been or may be imposed on the unit by the Development Commissioner on any other ground or by any other authority as per any other law for the time being in force. For the purpose of counting export performance under the scheme, export to Nepal or Bhutan shall qualify only if payment is received in foreign exchange.
   
   
2. The unit shall intimate the date of commencement of business within one month of the date of such commencement to the concerned Development Commissioner. The unit shall maintain E-mail address regularly during the period under bond.
   
   
3. The unit shall submit to the concerned Development Commissioner, quarterly report in the prescribed format for the period ending March/June/September and December every year within 30 days of the close of quarter through E-mail giving details of the imports/exports effected and purchases made from the Domestic Tariff Area during the period in the proforma prescribed by the Development Commissioner. An annual report shall also be submitted in the prescribed format at Annexure B within a period of 45 days following the close of financial year duly verified by the Customs Officer, failing which further imports and supplies in the DTA will not be permitted. Annual Performance Report shall be certified by a Chartered Accountant.
   
   
4. The unit shall make appropriate arrangements for proper and safe storage of goods imported including arrangements for air conditioning space for electronic components, other items wherever necessary.
   
   
5. The unit shall maintain records as prescribed by the Development Commissioner/Assistant Commissioner of Customs and shall observe all conditions and procedures prescribed under Customs Law or, any other law for the time being in force.
   
   
6. In the event of the unit failing to fulfill the obligation undertaken by it as aforesaid except when the fulfillment of such obligation is prevented or delayed because of any law, order, proclamation, regulation/ordinance of the Government, the unit shall, on the instructions of the concerned Assistant Commissioner of Customs pay to the Government a sum equivalent to the amount of Customs/Central Excise duty that would be leviable on the items allowed for import/purchase by the Warehouse in terms of approval granted to them together with interests at the prescribed rate.
   
   
7. The unit may dispose of the goods in the domestic Market in accordance with the EXIM policy on payment of applicable duties and taxes.
   
   
8. Any order issued by the Development Commissioner shall be final and binding and the unit thereby undertakes to comply unconditionally with such an order.
   
   
9. Any Stamp Duties payable on this document or any document executed thereunder shall be borne by the unit.
   
   
10. The unit shall have identifiable premises and shall maintain separate accounts.

In witness whereof the common seal of _____________has been here into affixed and for and on behalf _______________has set and subscribed his hands hereinto. common seal of the within named unit has been affixed hereinto in the presence.

									Signature______________
of 			(I) 			Shri 			_____________________
(I)_____________________

(Residential address)

Director and (ii) Shri _______________Director who have been duly authorized for the purpose by a resolution 
of the Board of Directors of the Company passed at the meeting held on ______________and who have signed 
in the presence of _________________.

1.	______________		(Name , Designation and Address)
				(Tel. No.
			   	(E-mail Address                            )
2.	______________ 		(Name, Designation and Address)
    				(Tel. No.
			   	(E-mail Address                            )

Signed for an on behalf of the President of India

By Shri _________________________________in the presence of 
1.	____________________________(Name , Designation and Address)
2.	____________________________(Name, designation and Address)

ANNEXURE-A
	EXEMPTION MATERIALS
1.	Plant, Machinery and Equipment to be imported.

No.	Description of goods
[1]	[2]

2.	Raw Materials, Components and Consumables to be imported.

No.	Description of goods
[1]	[2]

3.	Plant, Machinery and Equipment and Raw Material, Components and Consumables to be indigenously 
	produced and purchased without payment of Central Excise Duties.

No.	Description of goods
[1]	[2]

ANNEXURE-B

Period of reporting: (April-June) (July-Sept.) (Oct-Dec) (Jan-March,2001) Quarterly Progress Report for 
the EOUs which are under implementation:

1.	Name of the unit			:

2.	Factory:				:

	a.	Address			:
	b.	Phone No.		:
	c.	Fax No.			:

3.         	Regd.Office

	a.	Address			:
	d.	Phone No.
	e.	Fax No.			:
	d.	E-Mail No.		:

4.	SIA/DC Approval No. and date	:

5.      	Green Card No. and date
        	and the period of validity		:

6.      	Present position in regard to 
         	setting up of the unit (Tick whichever
         	is applicable)

	a.	Acquisition of land	:		Yes 		No

	b.	Erection of Building	:   	To Start/ Started Over/Building purcahsed

	c.	Electricity	:   Not applied	  	Applied on Available

	d.	Water		:  Not applied	  	Applied on Available

	e.	Telephone/Fax	:  Not applied	  	Applied on Available

7.	Employment:

	Supervisery

	Non-supervisery

8.	Imports during the quarter (Rupees in Lakhs)         		During the    	Cumulative
                 							Quarter

	e.	Value of Capital Goods imported

	f.	Value of Raw Materials, Components
		etc. imported

	g.	Value of indigenous Capital Goods 
		purchased. 

	h.	Value of Industrial Raw Materials
		Components etc. purchased.
 

9.	Sanction of bonding facilities:	                              	 Yes		No

	c.	if "yes" date on which warehousing
		licence issued

	d.	if "no" date on which customs/
		excise approached.

10.	Date likely to commence production	:

11.	Any other information		:

								(Signature with seal of the company)

Place:_____________

Date:______________
ANNEXURE-B1

PERIOD OF REPORTING (APRIL-JUNE)(JULY-SEPTEMBER)(OCTOBER-DECEMBER)(JANUARY-MARCH),2001
QUARTERLY PROGRESS REPORT FOR THE WORKING UNITS

1.	Name of the EOU

2.	PERIOD OF REPORTING

3	SIA /DC Approval No. & Date

4.	Item of manufacture

5.	Factory Location/Address/ 
	Telephone No.

6.	Regd.Office Address/Tel/Fax No

7.	E-Mail Address, if any

8.	Date likely to commence 
	production if not already 
	commenced

9.	Date of commencement of
 	production (for those who have 
	already commenced production)

10.	Date of First export

11.	Details of Foreign Exchange				(Rs. in Lakhs)		$ in Million
	Inflow/Outflow

i)	FOB value of exports for the 
	Quarter

	a)	GCA exports

	b)	RPA exports

	c)	Total:

ii)	Goods sold in DTA in terms of 
	Para 9.10

iii)	Cumulative exports during current
	financial year.

iv)	Cumulative exports for the 
	previous years.

v)	Country-wise details of exports

vi)	Value of capital goods 
	imported during the quarter

vii)	Cumulative import CG during
	current year

viii)	Value of Imported Raw 
	Materials/consumables/components 
	spares etc.during the quarter

ix)	Cumulative import of 
	RM/consumable etc. during
	current year

x)	Country-wise details of imports

xi)	Value of goods purchased from 
       	other EOU/EPZ units

xii)	Other FE Outflow(Royalty/
	Travel/Commission etc.)

xiii)	Value of Indigenous capital goods 
	purchased

xiv)	Value of Indigenous RM/spares/
	components/consumables purchased

xv)	Net foreign exchange earning as				Approved		Achieved
    	a percentage of exports(NFEP)

xvi)	Sales of goods effected in DTA if    				Quantity		Value
	any				

xvii)	Sales of rejects in DTA if any:				Quantity 		Value

xviii)	Foreign/NRI/Indian investment

	a)	Approved (cumulative)				Foreign	NRI	Indian

	b)	Remittance received (cumulative)

xix)	Details of Employment:

	a)	No. of Men Workers employed in 		Managerial  Skilled 	Unskilled
		the unit

	b)	No. of Women workers employed		Managerial  Skilled	Unskilled
		in the unit

	b.	TOTAL:

									          (S I G N A T U R E)
										With Seal of Co.

Annexure C

ANNUAL PERFORMANCE REPORT OF EOU/EPZ  UNITS

PART-A

1.	Name of the unit				:	
2.	LOP No. & Date				:	
3.	Item of Manufacture			:	
4.	Date of commencement of commercial		:	
	production

							Rs. in lakhs		US$"  000
5.	Opening balance of Capital Goods 		:	
6.	Import of capital goods during the year	:	
7.	CG received under Inter-Unit 		:	
	Transfer during the year
8.	Outflow of FE on account of know how fees	:	
Total						:	

9.	Opening balance of imported RM, consumables, 
	spares, etc. at the beginning of the year	:	
10.	RM, Consumables, spares, etc. imported 
	during the year				:	
11.	RM, consumables, spares, transferred to 
	other units  under inter unit transfer		:	
12.	RM, consumables, spares received under 
	inter unit transfer	:	
13.	Imported RM, Consumables, spares, etc. 
	consumed during the year			:	
14.	Closing balance of imported RM, consumables, 
	spares, etc at the end of the year		:	
15.	Outflow of FE on account of interest on ECB, 
	Export commission, foreign travel, royalty
	/dividend payment etc			:	
Total						:	

16.	FOB value of exports			:	

17.	Supplies made under paragraph  9.10		:	

Total	:	

18.	DTA sales-
	(I).	Finished goods
	(II).	Rejects
	(III).	Waste 				:	

19.	NFEP -    	
	(I).	  As per EXIM Policy
	(II).	Actually achieved			:	

20.	Export Performance    -  
	(I).	  As per Policy	
	(II).	(II) actually achieved		:	

Part B (as on 31.3.2001)	

Authorised capital	

Paid up capital	

Foreign Direct Investment –
(I)Approved(Since inception)               
(II) Actual Inflow	

NRI capital                         
(I)Approved (Since inception)              
(II) Actual Inflow	

Indian Equity	
	   					Supervisory	Non-supervisory       
								Total
Employment :				Male	:
					Female	:
					Total	:

Notes :-

1)	The above information should be given separately for each Letter of Permission.
2)	Figures should correspond to financial year April-March.
3)	The information given in the formats should be authenticated by the authorized signatory of the unit 
	and should be certified for its correctness by a Chartered  Accountant with reference to the account 
	records and registers maintained by the unit.