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TENDER NO: DEL/RMMA/FARE AUDIT/003

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AIR INDIA LIMITED

Tender for providing Fare Audit Services

REGISTERED OFFICE: AIR INDIA LIMITED, AIRLINES HOUSE 113, GURUDWARA RAKABGANJ ROAD NEW DELHI-110001

3rd April 2017


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DISCLAIMER

The information contained in this tender document (―Tender Document‖) or and any information pertaining to the aforesaid subject matter provided subsequently to the applicants/bidders in any form by Air India Ltd. shall be subject to the terms and conditions to which such information is provided contained herein and any other terms and conditions as may be prescribed by Air India Ltd prior to award of the Tender. The purpose of this Tender Document is to provide all bidders with the information that may be useful to them in the formulation of their proposals/ bids in response to this tender document. The statements and facts contained herein, which reflect various assumptions and assessments arrived at by Air India Ltd. do not purport to contain all/exhaustive the information on the aforesaid subject matter that each applicant may require for the purposes of submitting their bids. The assumptions, assessments, statements and information contained in this tender document may not be complete, accurate, adequate or correct. Each bidder should, therefore, conduct its own due diligence, investigations and analysis and should check the accuracy, adequacy, correctness, reliability and completeness of the assumptions, assessments, and information contained in this Tender Document and shall obtain independent advice from appropriate sources. The information provided in this Tender Document to the applicants is on a wide range of matters, some of which depends upon interpretation of law. The information given is not an exhaustive account of statutory requirements and should not be regarded as a complete or authoritative statement of law. Air India Ltd. accepts no responsibility for the accuracy or otherwise for any interpretation or opinion on the law expressed herein. Air India Ltd. also accepts no liability of any nature whether resulting from negligence or otherwise however caused arising from reliance of any applicant/bidder upon the statements contained in this Tender Document. Air India Ltd. may in its absolute discretion, but without being under any obligation to do so, update, amend or supplement the information, assessment or assumption contained in this Tender Document, from time to time till opening of the bids (technical and financial).


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The tender document does not imply that Air India Ltd. is bound to select a bidder or to appoint the selected bidder, as the case may be, and Air India Ltd. reserves the right to reject all or any of the proposals without assigning any reason at any time. The bidder shall bear any and all its costs associated with or relating to the preparation & submission of its proposal/ bids including but not limited to preparation, copying, postage, delivery fees, expenses associated with any demonstrations or presentations which may be required by Air India Ltd. or any other costs incurred in connection with or relating to its proposals. All such costs and expenses shall remain with the bidder and Air India Ltd. shall not be liable in any manner whatsoever for the same or any other costs or other expenses incurred by the bidder in preparation or submission of the proposal, regardless of the conduct or outcome of the bid selection process as contained herein.


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TABLE OF CONTENTS

Serial Number Contents Page Number

1. Covering Sheet

1

2. Disclaimer

2-3

3. Table of Contents

4-5

4. Summary of Bidding Information

6-7

5. Invitation for Bids/Scope of Work

8-11

6. Instructions to Bidders

12-18

7. General Terms and Conditions

19-51

8. Annexure 1 – Schedule of Requirements

52-53

9. Annexure II– Acceptance Letter of Terms and Conditions

54

10. Annexure III– Technical Bid Form 55-61

11. Annexure IV – Undertaking Certificate

62

12. Annexure V – Functional and Technical Requirements

63-104

13 Annexure VI – Non Disclosure Agreement 105

14 Annexure VII- Authorization Form for Pre-Bid Attending Bid Opening

106

15 Annexure VIII- Authorization Form for Attending Bid Opening

107


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16 Annexure – IX Bank Guarantee Format for Performance Guarantee

108-110

17 Annexure X– Integrity Pact

111-127

18 Annexure XI– Financial Bid

128-131

19 Annexure XII– List of Abbreviations

132-133


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SUMMARY OF BIDDING INFORMATION

1 Name of the tender TENDER NO: DEL/RMMA/Fare Audit /003 For providing Fare Audit Services

2 Date Issued 3rd April 2017( the same to be downloaded from AI website www.airindia.in)

3 Tender Document Fee N.A

4 Date of receipt of queries from bidder for pre bid conference, if any by hard copy or email

11th April 2017 1100 hours

5 Pre-bid conference Place : Mumbai

17th April 2017 1100 hours Conference Hall – Finance Division Air India Limited, 3rd floor, Old Airport, Kalina, Santa Cruz (East), Mumbai - 400 029, India

6 Last date for sending clarifications / Amendments, if any by email

20th April 2017

7 Last date, time for receipt of Tender

TENDER ENQUIRY NO: DEL/RMMA/Fare Audit / 003 4th May 2017 by 1600 hours

8 Submission of Tender in the Tender Box kept in Mumbai

The Office Of Executive Director (Materials Management) Air India Limited, 2nd floor, Tender Receiving Cell, Old Airport, Kalina, Santa Cruz (East), Mumbai - 400 029, India

http://www.airindia.in/


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9 Time and Date of Opening of Technical Bids

(i)Technical Bid 5thMay 2017 – 1400 hours (ii) Financial Bid – Date will be intimated subsequently.

10 Place of Opening Technical Bids The Office Of Executive Director (Materials Management) Air India Limited Old Airport, , Kalina, Santa Cruz (east), Mumbai - 400 029, India

11 Publishing of Bidder selection result

On www.airindia.in after award of contract.

12 Earnest Money Deposit (Refundable)

Rs 2,00,000( Rs Two Lakhs only ) or USD 3000 ( USD three thousand only)

13 Address for Communication for any clarifications.

Mohit Sain Deputy General Manager – Commercial Revenue Management and Marketing Automation Division Air India Limited Air India Computer Centre Building, Terminal 1A, IGI Airport ,Near BP Petrol Pump, New Delhi -110037 India Fax 011-25675718 [email protected]

14 Bid Validity Period 120 (one hundred twenty) days from the date of opening of the Financial Bid.


mailto:[email protected]


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A. INVITATION FOR BIDS

SCOPE OF WORK 1. INTRODUCTION

1.1 Air India Ltd is fully owned by the Government of India with a turnover of about Rs 20,500 crore (US$ 3.15 billion) during 2015-16. The Company provides domestic and international air transport services for passengers and cargo. The aircraft fleet consists of a wide range of aircraft mainly comprising of Airbus and Boeing aircraft. It operates approximately 360 flights daily (excluding code share with other airlines) transporting more than 18 million passengers annually. Air India has grown to become a mega international airline with a network across the USA,,UK and Europe, Russia Australia, Far-East and South-East Asia and the Gulf, The airline‘s domestic network includes far-flung areas of the North-East, Ladakh, Andaman and Nicobar Islands. Air India, today, flies one of the youngest, state-of-the-art, fleet of aircraft comprising a mix of the wide-body Boeing B777s, B747s, its latest acquisition- the B787 Dreamliner and the narrow body Airbus A321s, A320s and A319 aircraft. Air India has four wholly owned subsidiaries, namely. Air India Charters Limited, Airline Allied Services Ltd, Air India Air Transport Services Ltd, Air India Engineering Services Ltd. It also has another subsidiary, Hotel Corporation of India Ltd, though not wholly owned, and joint venture with AISATS Ltd.

1.2 Air India is also a member of Star Alliance effective July 11, 2014. The member airlines are: Adria Airways, Aegean Airlines, Air Canada, Air China, Air India, Air New Zealand, ANA, Asiana Airlines, Austrian, Avianca, Avianca Brasil, Brussels Airlines, Copa Airlines, Croatia Airlines, EGYPTAIR, Ethiopian Airlines, EVA Air, LOT Polish Airlines, Lufthansa, Scandinavian Airlines, Shenzhen Airlines, Singapore Airlines, South African Airways, SWISS, TAP Portugal, Turkish Airlines, THAI and United. Overall, the Star Alliance network currently offers more than 18,500 daily flights to 1,330 airports in 192 countries.

1.3 Air India and its subsidiaries are spread over many cities and locations across the globe. For Air India Mumbai and Delhi are the major operational hubs of the airlines with significant setups at Kolkata, Hyderabad, Chennai, Bangalore and Thiruvananthapuram.

1.4 Air India currently uses SITA Passenger Services System (PSS) and PROS (Pricing Revenue Optimization Software) 5.13 for both international and domestic flights.


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1.5 Air India is amongst the leading airlines in terms of fare records. The fare and fare related data amounts to nearly 325 filing requests per month (This is an indicative figure).

1.6 Fares are currently filed through Airline Tariff Publishing Company (ATPCO). Air

India distributes and sells products through direct channel and indirect channel.

Own Offices- SITA SRDT System

Call Centre - - SITA SRDT System

GSA – SITA SRDT System

Air India‘s own website www.airindia.in

Air India Mobile Application.

Through Travel agents and Online travel sites using GDS – Amadeus, Sabre, Travelport, Abacus, Infini, Axess, Travel Sky and Topas.

2. SCOPE OF WORK Through this Tender, Air India invites from eligible bidders for Fare Audit Services:

2.1 Air India (AI) wishes to appoint a Successful Bidder to effectively undertake

comprehensive audit services (herein referred in this para referred to as ―Successful Bidder‖) in the nature of ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP(Billing and Settlement Plan) , across the ticket lifecycle,( irrespective of fare types and distribution channel), EMDs, EBTs, This includes City Booking Offices and Airport Offices. both domestic & international BSPs (Billing and Settlement Plan ) including the USA region, General Sales Agent (GSA), Ground Handler, Web Sales , Call Centre and Mobile Application. For Web Sales & Mobile application Air India will share fare filing sent.

2.2 Successful Bidder to provide a fully managed end to end revenue recovery solution for 098 (Al) coded documents. Such documents are in the range of 20 million + per annum. This includes Manual Documents currently to the tune of 140000 per year will have to be handled separately. Scanned copies of the documents would be sent

2.3 The scope of services to be availed under Audit includes:

i. Performing audit -Published fare tickets, unpublished fare tickets, Corporate Fares, Specials, Net Fares, RBD Audit, Group Fares, Fare Rules, Correct Fare Class, Commissions, Tax, Refund, Revalidation Exchanges, Tactical / Promotional Fares and Reissues- , EBTs, EMDs, Paid Upgrades, Voucher Upgrades, Ancillary Services and detecting over/under-claims and



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rule violations using automated software tools or any other violation as specified from time to time for any AI issued documents.

(ii) AI reserves right to increase/decrease the scope of the Audit for any AI issued documents depending on the requirement of any other violation audit / checks to be done which has not been covered in the existing schedule of requirement and would be specified /decided from time to time with the Successful Bidder during the contract period

(iii) Providing statement showing Point of sale wise data on errors identified, errors waived by Air India and the balance recovered in local currency for ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP (Billing and Settlement Plan) and GSA issued documents. The documents for PSA (Male) would be provided from SITA System.

(iv) Audit of Booking Office/APT Office /Web Sale / Mobile Application issues, and providing statement showing detail of document processed with coupon wise detail , along with identified error , if any.

(v) Identify revenue leakages and situations arising out of errors in ticketing and incorrect application of fares and rules ,raising ADMs, recover the money wherever it may have been intentionally or unintentionally underpaid.

(vi) Audit of Special deals offered to consolidator agents and major corporate houses, Local Deals or Corporate Deals Audit . Includes checking of filed fares vis-à-vis fares prevailing in historical data including private fares

(vii) Audit of Receipt, update and maintenance of data on Fares, Rules ,

Commission and Taxes, as well as refunded, reissuances, no-show and exchanged documents as also EBTs, EMDs

(viii) Audit of Exception Handling. Any kind of errors and omission which have

been noted during the tenure that would be intimated The Scope of work mentioned in RFP is illustrative and not exhaustive.

(ix) Audit based on the Waiver Management System

(x) Integration of SITA PSS System and Integration of Integrated Operations Command Centre (IOCC) report to give auditor easy visibility to the schedule change and the delay involved.(No show /other discrepancy audit)


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(xi) Generating ADM's, as soft copy in standard BSP-DISH format / Airline specific format.

(xii) Conduct workshops for various regions to discuss educate about the audit

and mutually understand the challenges

(xiii) Identifying highly-probable exceptions based on refund penalty and prioritizing them for manual verification

(xiv) Audit of Unbundled Services – Seat Selection, Prepaid Baggage

(xv) Management of ADM which involves verification of un-actioned and disputed ADM's.

(xvi) Follow up with the Agents for post billing disputes.

(xvii) Submission of comprehensive and customized audit reports and statistics support in management making, market and fraud analysis. This includes agents‘ behavior, the most common mistakes, recovery levels, historical trends, error reasons, destinations etc..

a. The Reports would indicate shortfalls in the System / Service Levels during the measurement period.

b. The parties agree that all information contained in Service Level Reports is Confidential Information.

c. Monthly reports must contain the following information: · Outages/downtimes (and duration) · Audit Reports carried out by a Certified Security Professional ( Annual)

(xviii) The Successful Bidder must ensure that every region Audit for the 12 month period in the AIR INDIA network is completed within 3 months from the end of 12 months period. A self-certificate from the Successful Bidder confirming above would be provided to AI every year.


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Tender for Fare Audit Services

B. INSTRUCTIONS TO BIDDERS

1. Definitions 1.1 For the purpose of the Tender Document following definitions are defined as under: (a) The term ―Applicant‖/―Bidder‖, as used in the Tender, shall mean the entity who has signed the Tender Document and submitted the quotation in response to the Tender. (b) The term ―Company‖ would include either a Public or Private in India under the Companies Act, 1956/2013 and validly existing under the same or a foreign company incorporated under and validly existing under laws of its incorporation‖. (c) The term ―Contract‖ shall mean the agreement entered into between AI and the Successful Bidder, confirming its acceptance of the Tender Document, on the terms and conditions mentioned therein. (d) The term ―Days‖ shall mean the working days of AI. (e) The term ―Implementation Partner‖ shall mean the Successful Bidder (f) The term ― Services‖ shall mean all services as covered under Annexure V or any other Services as may be specified by AI from time to time in consultation with the Successful Bidder. 2. For the purpose of the selection of the Successful Bidder for Fare Audit Services , a two-stage bidding process will be followed. The Applicants / Bidders are required to submit their proposals in response to the TENDER in two parts:

(a) Technical Bid (Part-I)

(b) Financial Bid (Part-II) 3. The Applicants/ Bidders will have to submit the Technical and Financial Bids along with supporting documents (as mentioned herein) in physical form. The Bidders are required to go through the Tender Document, before submitting the bids.


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4. Period of Contract Operating term / Period of contract would be Three years from the date of execution of the contract or commencement of work whichever is earlier. 5. Eligibility Criteria (a) The Bidder needs to meet the eligibility criteria, meet the statutory and regulatory compliances, and the information sought in the relevant annexures connected thereto. (b)The Bidder has to confirm, interalia :

(i) Experience in the Airline Fare Audit Services in Airline domain in general for a minimum of 2 years. (ii) Confirmation of being in the industry of Airline Fare Audit for a minimum period of 2 years. (iii) Share References with AI – name and contact details of 3 airline

customers(either in International and/or Domestic ) for which they are providing Fare Audit service. (iv) Experience Certificate, part of contract by /from at least 02 customers who are reputed IATA Airlines and reached an annual passenger volume of 20 million in the year 2016. (v) Meet all the requirements as stipulated in this tender terms, conditions, functional requirements, and Technical requirements have been mentioned and also enter into a Contract (on the terms and conditions as stated therein), in case the Bidder is selected as the Successful Bidder. Absence of any of above eligibility criteria may lead to rejection of technical bid (vi) Submission of bids (technical and commercial) in prescribed format

6. Litigation History The Bidder/Applicant should provide accurate information about any litigation or arbitration resulting from contracts completed or ongoing under its execution in the past since the time he has been in business of its incorporation. A consistent history of awards against the Bidder/Applicant will result in failure of the application. Suppression of any information or material in this regard would be construed as a fundamental breach and Air India reserves its right to take appropriate action including cancellation of the bid, forfeiting of Earnest Money Deposit etc., as may be deemed fit and proper by AI.


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7. Disqualification 7.1 Even though the Bidders/Applicants meet the above eligibility criteria, they are subject to be disqualified if it has:

(i) made misleading or false representation in the forms, statements, and attachments submitted; (ii) records of poor performance since the time he has been in business of its incorporation, as on the date of application such as abandoning the work, rescinding of contract for which the reasons are attributable to the non-performance of the contractor Bidder/Applicant, inordinate delays in completion, any history of litigation / arbitration awarded against the Applicant or any of its constituents or financial failure due to bankruptcy etc; (iii) been debarred by Air India or its subsidiaries as on the date of application submission of the bid; (iv) involved in corrupt and fraudulent practices as mentioned herein below. And (v) any other criteria as AI may deem fit. Reasonable opportunity will be provided to the bidder to present the case, if need be.

7.2 AI reserves the right to disqualify at its sole discretion the bids of such Bidders who have been involved in any litigation with AI in the last 5 years immediately preceding the date of this Tender and/or are at present involved in any ongoing litigation or arbitration proceedings with / against AI. 7.3 A Bidder shall not have any conflicts of interests with regard to the submission of their bids and performance of the services mentioned hereinunder. Any bidder found to have such conflicts of interests, at any time, shall be liable to be disqualified. 7.4 A consistent history of orders/awards against the Bidder shall result in rejection of the bid. Suppression of any information or material in this regard would be construed as a fundamental breach and Air India Limited reserves its right to take appropriate action including cancellation of the bid, black-listing forfeiting of the Earnest Money Deposit and Bank Guarantee etc., as may be deemed fit and proper by Air India Limited at any time without requiring giving any notice to the Bidder in this regard. Any ground of blacklisting, forfeiture of EMD and Bank Guarantee under section 7.4 shall be not made by the decision of Air India unilaterally. Bidder would be given a fair chance of hearing.


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7.5 The employees as also relatives of employees of Air India Limited office are disqualified from participation in this Tender.

7.5.1 The relatives are defined as: (a) Members of Hindu undivided family. (b) Their husband or wife. (c) Relatives in the manner as father, mother, son(s), son‘s wife, daughter(s). (d) Daughter‘s husband, brothers, brother‘s wife, sister and sister‘s husband.

7.6 Any company blacklisted by Air India Limited or its subsidiaries is prohibited in participating in this Tender. 8. Pre Bid Conference

(i) Air India will organize a pre bid conference with all the prospective Bidders at

Conference Hall – Finance Division Air India Limited, 3rd floor, Old Airport, Kalina, Santa Cruz (east), Mumbai - 400 029, India on 17Apr2017 at 1100 hours to address the queries in connection with the Tender Document. It is essential that al clarifications/queries are to be submitted to Air India at least three working days prior to pre-bid conference meeting by e-mails to [email protected]

(ii) No individual clarifications, after the pre-bid conference will be sent to the Applicants/Bidders. It may be noted that no queries of any Bidder received after the pre-bid conference shall be entertained. Maximum upto three (3) representatives of the Bidders will be allowed to attend the pre-bid conference and the said authorized representative will have to carry a letter of authorization for the same as given under Annexure-VII (iii) Clarifications, post pre-bid conference, will be published under ‗Tender‘ section on the Air India website (http://www.airindia.in) up to 20th April‘17. Such clarifications will thereon be deemed to form a part of the Tender Document, in the manner as specified by AI.



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9. Bid Submission (A) Technical Bid ( Part 1)

9.1 The Bidder/Applicant shall submit the Bid in two parts, the Technical Bid and the Financial Bid. Each part of the bid shall be sealed in separate envelopes and the two sealed envelopes shall be sealed in an outer master envelope in the manner as listed below.

(i) (Inner Sealed/ Closed Envelope -1 (Technical Bid) The Envelope super-scribing in bold with the words „ Technical Bid for providing Fare Audit Services ‟ for Tender No. DEL/RMMA/ Fare Audit / 003 due on 1600 hrs dated 4th May 2017. IST containing the required enclosures shall be submitted as the Technical Bid of the Bidder/Applicant. (ii) . The said envelope must contain documents as stated in the General Terms and Conditions and the said documents are to be duly filled, signed and stamped by the authorized representative of the Bidder

(B) Financial Bid ( Part II)

(i) (Inner Sealed/ Closed Envelope – II (Financial Bid) The Envelope to be superscribed in bold with the words „Financial Bid for providing Fare Audit Services for Tender No. DEL/RMMA/ Fare Audit /003. due 4th May 2017 up to 1600 hrs IST and NOT TO BE OPENED ALONG WITH TECHNICAL BID and must contain duly signed and filled response to Financial Bid as per Annexure XI for a Three-year operating term. (ii) The Financial Bid must be duly signed/ stamped. (iii) All service deliverable prices to be quoted individually (in words and figures) against each item in the bid format. (iv) Rates/charges to be quoted as per Annexure XI in the given Financial Bid format

only.

.(C) Master Envelope

(i) Both the aforesaid envelopes containing the Technical Bid and Financial Bid are to be enclosed in 3rd Master envelope, which should also be sealed /closed.

(ii) The master envelope should be superscribed in Bold with the ―Name of Bidder


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Tender No DEL/RMMA/ Fare Audit /003 for providing Fare Audit Services due on 4th May 2017 at 1600 hrs. E mail / Phone / Fax No. / Contact Person should also be mentioned on all the envelopes.

(iii) If the master envelope is not sealed and marked as above, AI will assume no responsibility for the misplacement or premature opening of the ―Technical Bid‖ and ―Financial Bid‖.

(iv) The Master envelope should be submitted at the following address due on 4th May 2017 up to 1600hrs at the tender box kept at the following address:

The Office of Executive Director (Materials Management) Air India Limited, 2nd floor, Tender Receiving Cell, Old Airport, Kalina, Santa Cruz (east), Mumbai - 400 029, India

(D) Submission of Bids –

(i) The bids shall be typed or written in indelible ink and shall be signed by a person or persons duly authorized to sign on behalf of the Bidder. Any costs incurred by the applicants for collection of information, for preparation of the bids, for attending the conference / meetings or any other subsequent negotiations shall not be reimbursable. All relevant documents / CD are required are to be submitted by the bidder at their own cost. The Bid shall be hard bound and all pages numbered (hard bound implies binding between two covers through stitching or otherwise whereby it may not be possible to replace any paper without disturbing the documents - spiral bound form, loose form etc. will not be accepted. All pages should be numbered serially, along with an index of submissions. (ii) Bids received by Fax or through E-mail will not be acceptable. (iii) Bids are to be sent either through registered post / courier / in person and are to be deposited in the Tender Box at the address mentioned aforesaid. In case of Bids forwarded by courier, the related despatch /Air Way Bill No details may be intimated by email to [email protected] (iv) However, bids sent through Post or Courier will be at the risk of the Bidder and Air India will not be responsible for any loss or non-receipt of the bids. The bids received after due date/time will not be entertained/considered, irrespective of whether the delay



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has arisen on account of the delivery system, i.e. postal, courier, etc. (v) If the Tender closing/opening date is declared a Holiday in Air India Ltd, Mumbai Office the last date of submission/opening of the Bids will automatically stand extended to 1500 Hrs of the next working date. (vi) Bids with Corrections / Overwriting are liable to be rejected. (vii) This tender document is non – transferable.

10. Language of Bid

The bid and all correspondence and documents related to the bid exchanged by the Bidder and Air India Ltd. shall be written in English language. Supporting documents and printed literature furnished by the bidder may be in another language provided they are accompanied by an authenticated translation of the relevant passages in the English language, in which case, for purposes of interpretation of the bid, the English translation shall prevail. A Bidder/Applicant is permitted to submit only one bid per contract. A bidder/applicant who submits or participates in more than one bid will cause all the proposals with the Bidder‘s participation to be disqualified


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C. GENERAL TERMS AND CONDITIONS

1. TENDER DOCUMENT

This Tender Document and the Eligibility Criteria, detailed specifications of the item required & other terms and conditions are available for downloading on free of cost basis from Air India Limited website www.airindia.in. There is no fee for the Tender Documents.

2. BIDS - DOCUMENTATION

2.1 Bidders/Applicants are advised to study the Tender Document carefully. Submission of Tender Document shall be deemed to have been done after careful study and examination of the Tender Document with full understanding of its implications.

2.2 The Bids submitted by the Bidders/Applicants shall be complete in all respects and

contain all requisite information and documents in support of their eligibility, experience

etc.

2.3 All relevant supporting documents attached with the said bids should be duly signed by the Bidder or its duly authorized representative. In case the bids are not accompanied by any and all supporting documents and/or not signed in the manner as mentioned above, the bid shall be liable to be rejected. 2.4 The letter as per format specified in Annexure II shall contain name of the authorized signatory with designation, postal address, email address, Telephone No. and Fax No. and website address, if any

2.5 The bid shall include the documentary proofs for qualifying requirements as stated above. 2.6 Air India reserves the right to withdraw any service from the scope of services mentioned in this Tender in full or part before and/or after the award of Contract



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3. CLARIFICATIONS TO TENDER-PRE BID CONFERENCE

3.1 A Bidder requiring any clarification of the Tender Documents may notify Air India in

writing by email at the following address:

Mohit Sain Deputy General Manager – Commercial Revenue Management and Marketing Automation Division Air India Limited Air India Computer Centre Building, Terminal 1A, IGI Airport ,Near BP Petrol Pump, New Delhi -110037 India Fax 011-25675718 [email protected]

3.2 The last date for receipt of queries from the Bidders for hosting of clarifications / amendments is mentioned in the summary of bidding information. 3.3 Canvassing/ Lobbying regarding this Tender may result in disqualification. All communication between the Bidders/Applicants and Air India, with regard to the Tender Document, shall be through the above email address i.e [email protected] When submitting questions/queries, the complete identity of the Bidder and its authorised representative must be clearly mentioned in the email. 3.4 Air India may for any reason, whether at its own initiative or in response to a clarification requested by a prospective Bidder, modify this Tender Document any time prior to deadline for bids , by issuing a proper amendment letter. The amendment shall become part of the Tender document and shall be communicated through website www.airindia.in. 3.6 The Bidders should regularly visit the website during the period when the Tender Document is uploaded on www.airindia.in, till the date of opening of Tender Document. In case, Air India decides that the amendment requires additional time, for Bidders to prepare the bids, suitable extension will be given. 3.6 The Bidders should regularly visit the website during the period when the Tender Document is uploaded on www.airindia.in, till the date of opening of Tender Document In case, Air India decides that the amendment requires additional time, for Bidders to prepare the bids, suitable extension will be given.





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Air India Limited will not intimate the Bidders/Applicants individually of the same. The amendments, if any, will be notified on Air India‗s website www.airindia.in and will be binding on the Bidders to comply with. The Bidders are, therefore, advised to visit the website of Air India regularly till the date of closing of the tender. 3.7 In case there is a change in work-scope or other terms & conditions after uploading of the Tender Document but before its due date/closing date, the Bidders/Applicants who have submitted their response shall have an option to submit their revised bids if they choose to do so., but before the closing date of the tender, duly withdrawing their earlier offer.

3.8 In order to afford reasonable time to the Bidders to take such amendments into account for preparation and submission of their bids, Air India may, at its discretion, extend the last date for the submission of bids through an announcement on its website. 3.9 The Bidders are requested to confirm their intention to bid by email to

[email protected] on or before 4th May 2017

4. Modification and Withdrawal of Bids

4.1 The Bidder may modify or withdraw his bid after bid submission, provided that written notice of the modification or withdrawal is received by AI prior to the deadline for submission of bids. Any MODIFICATIONS in respect of TECHNICAL BID and FINANCIAL BID shall be submitted in separate sealed envelope duly marked so. 4.2 No bids shall be modified by the Bidder after the deadline for submission of bids 4.3 The Bidder‘s modification or withdrawal notice shall be prepared, sealed, marked and delivered in accordance with this Tender, with the outer and inner envelopes additionally marked ―MODIFICATIONS‖ or ―WITHDRAWAL‖ as appropriate. In case of withdrawal the bid will not be considered for evaluation‘ 4.4 Withdrawal of a bid during the interval between the deadline for submission of bids and the expiration of the period of bid validity specified herein result in the forfeiture of the Earnest Money Deposit.



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5. BENEFITS/PREFERENCE FOR MICRO & SMALL ENTERPRISES (MSES)-(Only for

Indian Bidders)

The Government of India, Ministry of Micro, Small and Medium Enterprises , Office of the Development Commissioner (MSME) has issued directives for procurement by the Government Departments and CPSEs. I) As per Public Procurement Policy for Micro & Small Enterprises (MSEs) Order, 2012 issued vide Gazette Notification No.503 dated 23.03.2012 by Ministry of Micro, Small and Medium Enterprises of govt. of India, MSEs must be registered with any of the following in order to avail the benefits/preference available vide Public Procurement Policy MSEs Order, 2012. i. District Industries Centres (DIC)

ii. Khadi and Village Industries Commission (KVIC) iii. Khadi and Village Industries Board iii. Coir Board iv. National Small Industries Corporation (NSIC) v. Directorate of Handicraft and Handloom vi. Any other body specified by Ministry of MSME

II) MSEs participating in the tender must submit the certificate of registration with any one of the above agencies indicating the details of the particular tendered item along with their bid. III) The MSEs registered with District Industries Centres must submit the ‗Acknowledgement of Entrepreneur Memorandum (EM) Part-II‘ along with their bid. The MSEs registered with National Small Industries Corporation (NSIC) must submit the valid NSIC registration certificate along with their bid. IV) The Micro & Small Enterprises not registered for the particular trade/item for which the tender is relevant, would not be eligible for exemption/preference. V) The registration certificate issued from any one of the above agencies must be valid as on close date of the tender. The successful bidder should ensure that the same is valid till the end of the contract period. VI) The MSEs who have applied for registration or renewal of registration with any of the above agencies/ bodies, but have not obtained the valid certificate as on close date of the tender, are not eligible for exemption/preference. VII) Exemption from submission of Earnest Money Deposit – The MSEs registered with above mentioned agencies/bodies for the Tender Item are extended benefit of


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exemption from payment of Earnest Money Deposit. VIII) Submission of Security Deposit (SD) – "The successful tenderer will however be required to submit the Security Deposit equivalent to 5% of the contract value / PO‖ IX) Purchase Preference – The MSEs registered with above mentioned agencies/bodies for the tendered item and quoting price within a price band of L1 + 15 percent shall be allowed to supply a portion of requirement by bringing down their price to L1 price in a situation where L1 price is from other than a MSE and such MSE shall be allowed to supply up to 20 percent of total tendered quantity/service In case of more than one such MSEs are in the price band of L1 + 15% and matches the L1 price, the supply shall be shared proportionately (to tendered quantity/service). In case of split tender quantity/service, the following shall apply – a) L1 vendor whether MSE or non-MSE i.e. irrespective of his status shall be awarded the quantity/service as per declared ratio eligible for L1 vendor. b) MSEs in the price band of L1 ( L1 being other than MSE) +15% and matching the L1 price will be awarded 20% of the tendered quantity/service equally from the declared ratio of the L2 vendor. The balance quantity/service will be awarded to L2 bidder provided they match the L1 price.

For example: If split ratio of 60% to L1 vendor and 40% to L2 vendor then:

60% of the tendered quantity/service will be awarded to the L1 vendor irrespective of his

status of being an MSE or a Non MSE

All MSEs in the L1 + 15% price band and matching L1 price shall be awarded 20% of

the tendered quantity/service equally from the 40% of the L2 vendor.

The remaining 20% of the tendered quantity/service will be awarded to L2 vendor,

provided they match the L1 price.

In case the MSEs do not match the L1 price then the 40% of the quantity/service will go

to the L2 vendor provided they match the L1 price.

If the L2 vendor does not match the L1 price then opportunity will be given to the L3

vendor(MSE/Non MSE) to match the L1 price.

In case the L3 vendor (MSE/Non-MSE) also does not match the L1 price, then the entire

tendered quantity/service will be awarded to the L1 vendor.


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X) Preference for MSEs owned by Scheduled Castes or Scheduled Tribes – 20% from the 20% quantity/service (i.e. 4% of the tender quantity/service) offered to the MSE‘s shall be reserved for MSE‘s owned by SC/STs. In event of failure of such MSE to participate in tender process or meet tender requirements and L1 price, 4 percent quantity/service for MSEs owned by SC/ST entrepreneurs shall be met from other MSEs who otherwise meet the criteria.

6.DELIVERY SCHEDULE

6.1 The Successful Bidder will be required to implement the Fare Audit Services as per AI Delivery Schedule requirements as per Annexure 1

6.2 Implementation timeframe is 90 (Ninety days) days from the date of execution of

Contract. .

6.3 Delays in implementation, commissioning and resultant cut-over/go-live beyond 90 (Ninety ) days for reasons attributable to the Successful Bidder would invite liquidated damages, penalties as mentioned in Clause 15 and may even lead to termination of contract.

7.VALIDITY OF PRICES

7.1 Quotations should be valid for a period of 120 (one twenty) days from the date of

opening of the Financial Bid.

7.2 The prices as quoted by the Successful Bidder in its Financial bid shall remain

constant for the entire tenure of the Contract of 3 (three) years. No request for increase

in price for the services shall be entertained during this period.

7.3 In case of any decrease in service costs or basic price of the item or Government Duties / Taxes / Levies etc. of the country from where provider is engaged in Business or by the Govt. of India, then the benefit of the same should be passed on to Air India Limited by the Successful Bidder during the period of validity of the Contract. In the event that, such benefit is not passed on to AI, AI shall have a right to deduct the same from the bills of the Successful Bidder and/or its Security Deposit. 7.4 Increase in Govt. Duties/Levies etc if any that may be imposed by the Govt. of India or by the Country where the provider is engaged in business after the award of the Contract, but within the original delivery schedule the same will be borne by Air India Limited if requested for by the Successful Bidder. This request has to be accompanied by submission of valid documentary proof of the same. Such request for increase in Government Duties/Levies will be considered only in cases where the Bidder has quoted their rate giving the breakup of Government duties and levies in their Financial Bid.


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8. AUTHORISATION LETTERS

8.1 The Bidders representatives must carry a letter of authority on the Bidders letter-head from the authorized signatory of the Applicant/Bidder, authorizing them to attend the bid opening, failing which they will not be permitted to participate in bid opening process. 8.2 Separate authorization letters would be required for attending the Technical -and and Financial Bid opening by the authorized representatives not more than 3 of the Bidder. The format of the same has been given under Annexure-VIII.

8.3 Such letter of authority shall be directly sent to Air India prior to the date of opening of the tenders by e-mail at [email protected] or hard copy of the same may be produced at the date and time of Technical and Financial bid opening.

9. OTHER TERMS AND CONDITIONS

9.1 Air India reserves the right of not awarding any contract and / or of awarding the contract

to one or more Bidders.

9.2 The remuneration of the Bidder derived from performing the activities included as

part of this Contract constitutes the Bidder‘s sole remuneration in connection with

this Contract or the Products/Services.

9.3 Neither the Bidder nor its personnel shall during the term of this contract, engage in any business or professional activities which conflict with the activities assigned to them under this Contract.

9.4 The Bidder is responsible for performing and safely storing timely and regular

backups of its data and Software in accordance with accepted data management

principles, except where such responsibility is clearly assigned to Air India

elsewhere in the Contract.



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9.4 During the process of the evaluation of bids, no queries shall be entertained from

the tenderers with regard to the status of the evaluation.

9.5 Air India Limited reserves the right to accept or reject any/or all bids, annul the tender process and reject all bids at any time prior to the award of Contract without incurring any liability to the Tenderer(s) or without any obligation to inform the Tenderer (s) of the grounds for its action. Air India Limited also reserves the right to extend Tender due date and has right to re-issue the Tender without Bidders having right to object to such reissue.

9.6 The interested Bidder must fulfill the eligibility Criteria on the date of opening of Tender

9.7 Bidders shall give the official mailing Address and Fax Numbers/e-mail to which all correspondence shall be sent by Air India Limited. Also if address is changed, the same shall be intimated to Air India Limited immediately by email at [email protected] 9.8 When deemed necessary, Air India Limited may seek clarifications on any aspect from the Tenderer. 9.9. Training / Workshops- Within 60 days from effective date of execution of Contract, Successful Bidder should arrange Workshops for various regions to discuss and educate about the audit and mutually understand the challenges at no cost to Air India. Trainings may be conducted through Webex. For any onsite workshops the same would be conducted in India Office 9.10. System / Service Availability- The Bidder must provide scheduled operations for a

minimum of 5 days a week, as measured in any time zone.

10 EVALUATION OF BIDS – TECHNICAL AND FINANCIAL BID 10.1 Evaluation – Technical

(a) In the first stage of evaluation, only the Technical Bids will be opened and evaluated. The Technical Bids submitted shall be evaluated in respect of Products And Services which have been sought under this Tender Document. Only those Technical Bids satisfying and meeting the Technical eligibility requirements as specified and determined by AI as meeting the terms and conditions of this document shall be evaluated for next stage i.e Financial Bid Evaluation.

(b) The offer of Bidders will be evaluated for technical eligibility, as per the procedure

detailed below:



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(c) Bids of the Applicants / Bidders who fulfill the following pre-qualification mandatory

requirements, and submit documentary proof / Certificate / Undertaking thereof will only be eligible for evaluation of the Technical Bids. Bidders are required to indicate the compliance status for each criteria by stating Yes or No. The documentary evidences / Certificate / Undertaking are required to be attached with the Annexure , wherever they are required to do so under this Tender Document.

(d) Bidder would be disqualified , in case the mandatory conditions are not met

(e) Air India reserves the right at its sole discretion to seek whatever information, documents etc. from the Bidder, as it may consider necessary for the purpose of evaluation of the bids. Technical Bid Evaluation would be undertaken based on:

Documentary Evidence (Yes/ No)

1. The Bids and supporting documents should be bearing signature and stamp of the representative of the Bidder.

Mandatory

2. Earnest Money Deposit

Mandatory

3. Annexure 1 – Schedule of Requirements

Mandatory

4. Annexure II – Acceptance Letter of Terms and Conditions

Mandatory

5. Annexure III – Technical Bid Form ( with Bidder details)

Mandatory

(a) Submissions to be made in English.

(b) Compliance to General Terms and Conditions

(c)Year of establishment. Confirmation of being in this line of business for a minimum period of 2 years.

(d) For Indian Company – All Statutory and Regulatory Compliances being met.

(e) References – name and contact details of 3 airline customers for whom the bidder is providing audit service

(f) Whether the tenderer/company or any of its Directors has been blacklisted


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(g) Details of unfinished Contracts, if any

(h) Experience in the Fare Audit Services in Airline domain in general.

(i) A Statement of all airlines where currently undertaking Fare Audit.

(j)Copies of the documentation such as recommendation letters / Experience Letter Certificate, part of contract by /from at least 02 customers who are legacy airlines and reached an annual passenger volume of 20 million in 2016.

(k) Bidder has not failed to perform any contract signed from 01/01/2014 to the Bid closing date

(l) Not Involved in any disputes/ Lawsuits, if any

(m) Details of Software application.

(n) Details of hardware, software, network bandwidth, or any third party software, required at Successful Bidder end .

(o) Details of the Cyber Security Audit Reports carried out by a Certified Security Professional

(p) Brief on how the project would be funded by the Vendor.

(q) No price to be mentioned and Technical bid format to be maintained.

6. Annexure IV – Undertaking Certificate of meeting the eligibility criteria and acceptance of term and conditions as in the tender

Mandatory

7. Annexure V – Functional and Technical Requirements ( compliance of technical specification)

Mandatory

8. Annexure VI– Non Disclosure Agreements

Mandatory

9. Annexure VII - Authorization Form for Pre-Bid Attending Bid Opening

Optional

10. Annexure VIII - Authorization Form for Attending Pre-Bid Conference.

Optional


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11. Annexure IX - Performance Guarantee

Mandatory

12 Annexure X – Integrity Pact Mandatory

(f) Bidder would be Technically qualified, only if they meet the criteria as detailed above. 10.2 Evaluation of Financial Bids

(a) Financial Bids would be kept in the custody of Air India in the same sealed / closed covers as received from the Bidders.

(b) The Financial Bids of only those Bidders who qualify and are short listed after

evaluation of their Technical Bids would be opened. The date and time of opening of the Financial Bids would be intimated in advance to the technically qualified Bidders, and their authorized representatives not more than 3 only would be permitted to participate in the opening of the Financial Bids. Such authorized representatives should carry an authorization letter in the format given in Annexure VIII.

(c) Technically disqualified Bidder‘s bid shall not be evaluated further and will not be

eligible for Financial Bid opening and the decision of Air India in this regard would be final. No correspondence in this regard will be entertained.

(d) Comprehensive cost to AI, for a period of 3 years inclusive of all type of Taxes/Duties/ Levies/ Service Charges / Cess, if applicable will be the basis of arriving at the lowest bid. The Bidder whose net price works out to be lowest will be determined as the Successful Bidder.

(e) The Financial Bids have to be complete in all respects and no request whatsoever would be entertained by Air India for inclusion of any other cost head/cost and rebates /discounts after the opening of the Tender.

(f) Rates/charges to be quoted in the given Financial Bid format, shall be as per Annexure XI . The prices quoted in the Financial Bid must be firm for the entire duration of the Contract. The tax and levy components are to be indicated separately as applicable in the country of origin of the Bidder and as applicable in India.

(g) Unconditional discount to be given by the Bidder, if any, should be clearly indicated and would be applied to the quoted price during evaluation. ( As per Annexure XI)


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(h) Conditional discount, if any offered by a Bidder, will not be considered for the evaluation.

(i) Financial Bids submitted should be in USD or Euros or GB Pounds or INR. Monthly IATA conversion rate of the month in which financial bid is opened will be applicable for conversion from the quoted currency to INR for the purposes of evaluation.

(j) Offers should be valid for Air India‘s acceptance for a period of 120 (one-twenty)

days from the date of opening of the Financial Bid.

(k) Financial Bids of the Technically disqualified Bidders can be collected by them within 30 (thirty) days from the date of finalization of the Contract under intimation and against acknowledgement from the concerned Bidders at the following address:

The Office Of Executive Director (Materials Management) Air India Limited, 2nd floor, Tender Receiving Cell, Old Airport, Kalina, Santa Cruz (east), Mumbai - 400 029, India

In case a Bidder fails to collect the Financial Bid within the stipulated 30 days‘ time, the

bid shall be shredded in "as is where is" condition after expiry of 30 days‘ time period.

Air India will award the Contract to the L1 Bidder who has offered the lowest bid/ price.

11. ERRORS

11.1 Bids with Corrections / Overwriting are liable to be rejected. The Financial Bids determined to be substantially responsive shall be checked by Air India for any arithmetic errors. 11.2 If there is a discrepancy between the amounts in figures and in words, the amount whichever is lower will be considered as valid quote; 11.3 If the Bidder does not accept the corrected amount of bid, bid will be rejected, and the Earnest Money Deposit may be forfeited.


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12 PRICE NEGOTIATIONS

As it is not the general norm for Air India to carry out price negotiations following evaluation of the Financial Bids, the Bidders are advised to submit their best and final quotes in response to this Tender Document. Air India however, reserves the right to carry out negotiations in exceptional cases with the Successful Bidder only, who has been evaluated by ―Air India‖ as having offered the lowest acceptable bid in response to the Tender Document.

13 REJECTION OF BIDS (TECHNICAL BID & FINANCIAL BID)

13.1 Air India Limited reserves the right to accept or reject any/or all bids, annul the Tender process and reject any or all the bids at any time prior to the award of Contract without incurring any liability to the affected Applicant(s)/ Bidder (s) or without any obligation to inform the affected Bidder(s)/ Applicant (s) on the following grounds :

(i) Bids that are incomplete. (ii) If the bid has been received after due date / time of closing of the Tender

Document. (iii) If only the Technical Bid has been received and Financial Bid has not been

received, and vice versa. (iv) If the Technical Bid or the Financial Bid has been received by fax or email or in

any other manner as the one mentioned in the Tender, instead of in separate sealed / closed covers.

(v) If the Technical Bid or the Financial Bid has been received unsigned or has not been signed by the authorized signatory of the Applicant/Bidder.

(vi) If the Bid is submitted by the competitors of AI or its subsidiaries. (vii) In case the Financial Bid and the Technical Bid are enclosed in the same

envelope and/or in an open condition instead of in two separate sealed / closed envelopes, such Bids will be rejected.

(viii) If the Financial Bid has been received in an open condition in the master envelope containing the Technical Bid or vice versa. Bids not accompanying required information and documents are liable to be rejected out rightly. Any request for subsequent submission of any information /documents will not be entertained.

(ix) In case the Bid has not met the eligibility criteria and/or the service specification requirement.

(x) Conditional offers, if any, will be summarily rejected. The Applicants / Bidders are subject to be disqualified, if an Applicant / Bidder made misleading or false representation in the forms, statements and attachments

(xi) If the Technical Bid has been received without Earnest Money Deposit, or the Earnest Money Deposit has been submitted in a mode other than specified in the


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tender, or a valid proof of exemption from submission of Earnest Money Deposit has not been provided or if the Earnest Money Deposit amount is less than that mentioned herein.

(xii) If the bid submitted in response to the Tender is ambiguous, without requisite supporting documents, unverified, unattested and/or submission of illegible copies and/or bids not received as per the desired formats & bidding instructions.

(xiii) If the financial bid indication has been provided in the technical bid response. (xiv) If the bid is received without the signed integrity pact in the technical bid. (xv) If the bids are not deposited in the tender box at the designated address as

mentioned in the Tender Document. 13.2 The above list is only illustrative and there can be other relevant grounds of

rejection of bids.

14 EARNEST MONEY DEPOSIT

14.1 Along with the Technical Bid, the Bidder shall furnish proof of submission of Earnest Money Deposit) of USD 3000 (USD Three Thousand only) (USD Three Thousand only) / Rs 200,000( Rs Two Lakhs only ) paid via wire transfer .Bank charges ,if any would be borne by the Bidder. Once the wire transfer is done, by the Bidder, the Bidder should email AI on [email protected] informing them of the following details of the wire transfer.

14.2 The original instrument receipt should be enclosed along with the hard copy of the

technical bid, in the sealed technical bid envelope.

14.3 The Bidders are required to submit the Earnest Money Deposit amount through wire transfer only, through banks of international repute as per details given below. Please note that AI requires the copy of the document mentioning ‗confirmed transfer‘, as given by the said bank. Copy of the document showing/mentioning ‗applied‘ or ‗pending transfer‘ are / is not acceptable. Earnest Money Deposit shall be remitted to the following bank account: BENEFICIARY NAME : AIR INDIA LIMITED USD ACCOUNT NO. : 00065007 NAME OF THE BANK : CITIBANK N.A Address 111 WALL STREET City NEW YORK,NY Postal code / Location NEW YORK,NY 10043 Country UNITED STATES OF AMERICA (USA) SWIFT CODE : CITIUS33 ABA# : 021000089


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REFERENCE : TENDER NO: DEL/RMMA/Fare Audit /003 Bidders b) Bidders may submit Earnest Money Deposit by way of remittance to the following bank account: BENEFICIARY NAME : AIR INDIA LIMITED INR ACCOUNT NO. : 35719261833 NAME OF THE BANK : State Bank Of India Address :CORPORATE ACCOUNTS GROUPII A‘ WING, 16th Fl ,BKC, City : Mumbai Postal code / Location : 400 050 Country : INDIA Branch Code : 16376 IFSC Code : SBIN0016376 REFERENCE : TENDER NO: DEL/RMMA/Fare Audit /003

14.4 No other mode of payment LIKE. Cash/ Cheque / Draft etc. will be accepted. 14.5 Tenders received without the Earnest Money Deposit, or proof/details of remittance

(in the case of wire transfer), or insufficient Earnest Money Deposit shall be summarily

rejected.

14.6 In case a Bidder withdraws or modifies his bid during the process of evaluation of tender, or fails or refuses to accept the contract if awarded in his / her favour or fails to furnish the Security Deposit as per the terms of the tender, the Earnest Money Deposit will be forfeited.

14.7 The Earnest Money Deposit shall not carry any interest and will be refunded to the Bidders without any interest on completion of the Bidding process 14.8 Earnest Money Deposit of the Bidder/Successful Bidder will be forfeited and the Bidder/Successful Bidder will not be allowed to participate in any tenders of Air India Limited for a minimum period of three years. if (a) The Bidder withdraws or modifies its bid or fails to abide by any terms of the Tender,

after submitting the deviations to Air India before opening of the bids or deviates or

derogates from the conditions of the Tender.

or


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If the Successful Bidder declines or refuses to accept the Letter of Intent (LOI) and does not execute the contract, or declines to furnish the security deposit / Performance Bank Guarantee.

14.9 Date of Wire transfer should be after the date of issue of Tender Document.

14.10 The Earnest Money Deposit shall be refunded / returned to the unsuccessful Bidder/s after selection of the Successful Bidder and after the award of the Contract.

15.PENALTY / LIQUIDATED DAMAGES

15.1 Penalties mechanisms will be assessed each time there is an error in the Fare Audit .Penalties would be applicable for not meeting conditions of the contract . The time line specified for auditing and raising of ADMs needs to be strictly adhered to. Perform the auditing with maximum use of automated tools and minimum by manual intervention.

Audits to be undertaken with automated tools with minimal manual intervention as also in compliance with the timelines mutually agreed upon. Following penalties may be levied for violation for failure to perform its obligation which may cause financial loss / legal obligation to Air India a.) Delay in Delivery/Implementation/Commissioning: The Successful Bidder will be liable to pay penalties in case of delay in installation / commissioning of the Fare Audit System and / or provision of training of Al's personnel. / Or arranging of training/workshops for AI‘s personnel The Successful Bidder will be liable to pay liquidated damages to Air India @ 0.5 % (half percent) of the Fixed charges for the 3 year period of the contract value per week of delay or part thereof, subject to a maximum of 5% of the Fixed charges for the entire 3 year period of the contract value for delay in implementation of the project for reasons solely attributable to the Successful Bidder . The amount will be deducted / invoked from the Security Deposit / Performance Bank Guarantee / pending invoices (if any). If the delay exceeds 90 days from the scheduled date of delivery/ Installation/ Commissioning, Air India reserves the right to cancel the entire contract. On termination, the Successful Bidder shall not be entitled to any compensation whatsoever for costs incurred or to be incurred as a consequence of termination.


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Bidder will be given two notices /warnings in writing to take necessary action before such deduction. Justification for delay will be discussed mutually and action would be taken thereafter. The final decision vests with Air India Management.

Failure to raise any eligible ADMs will attract penalty as under:

1. In the first /second event of an omission to raise the eligible ADMs, within the

prescribed time -frame, bidders will be asked to raise the ADM for which charges will

not be payable to them. In case of more than two occasions, simple interest @ 10%

per annum for the delayed period i.e. when the ADMs were to be raised and when

the ADMs have been actually raised, will be charged on the bidder besides non-

payment of their fee. Once the recoveries have been effected the matter would be

treated as closed.

2. In case ADMs, becoming non-recoverable than amount equivalent to ADM value

or amount of 5% of yearly billing, whichever is lower, for the respective transaction,

will be charged by AI. In this case Interest amount for the delayed period as stated in

1 above would not be applicable.

3.Above clause will not be applicable for first 2 months from the date of the contract.

If it is proved that the successful bidder is engaged in activities due to which the

airline has incurred loss, AI has full right to recover such loss from the successful

bidder. However reasonable opportunity will be provided to the successful bidder to

present the case. The final decision vests with Air India Management.

AI reserves right to cancel the contract if such loss is more than 3 (three) months fee

of the bidder.

15.2 The Successful Bidder shall be responsible for timely provision of all resources, information, and decision making under its control that are necessary to reach a mutually agreed and finalized project within the time schedule as agreed. Failure to provide such resources, information, and decision-making may attract penalty as stated above or constitute grounds for termination as provided in the termination clause.


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16. PAYMENT PROCEDURE

16.1 The payment would be made by Air India , in the currency of Invoice. 16.2 Air India would make the payment based on the certification of the Invoice by its concerned department as per the Contract 16.3 TDS or any other tax as applicable will be deducted on settlement of invoices

17. MODE OF PAYMENT .

17.1 Payments of undisputed amounts will be made through ECS (Electronic Clearance Service) mode or by Cheque if ECS is not available /possible. 17.2 The Successful Bidder would need to provide the following information:

Account Name

Name of the Bank

Branch Address

Account Number

Bank Code / MICR No.

Swift Code No.

17.3 Air India Limited will not be able to make payment in foreign currency, i.e any currency other that Indian Rupee (INR) if purchase order is released on an Indian vendor or Indian office/branch of a foreign vendor. However,if the Bidder does not have office in India, Invoice will be paid in USD/GBP/EUR as mutually agreed . 17.4 A photocopy of a cancelled Cheque is to be enclosed by the Bidders along with their technical bid for verification of the above details 17.5 Payment would be released after verification of the bills and supporting documents by AI.

18 SECURITY DEPOSIT/ PERFORMANCE BANK GUARANTEE

18.1 A Security deposit (SD)/ Performance Bank Guarantee (PBG) @ 5% (five percent) of the total contract value would be required to be submitted by the Successful Bidder within two (2) weeks from the date of award of Contract. The irrevocable Performance Bank Guarantee (PBG) should be exactly as per the format given in Annexure IX without any change from a nationalized /scheduled Bank in India or its equivalent abroad.


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18.2 In case, Security Deposit is not deposited within time and/or in the manner as

mentioned above, the bills shall not be processed for payment till the Security deposit is

provided.

18.3 The SD would be valid the entire contract term of 3 (three) years plus for an

additional period of 90 (ninety) days

18.4 SD shall be released by Air India only on completion of the Contract and on

receipt of confirmation of satisfactory performance of all contractual obligations and after

deduction of penalties (if any) and/ or for any amounts that are payable by the

Successful Bidder and have been paid by Air India on behalf of the Successful Bidder.

18.5 In case of breach of Contract or violation of any terms of the contract, the

Security Deposit shall be forfeited.

18.6 The cost of submission of SD would be borne by the Successful Bidder.

18.7 In case of extension of the contract, the validity of the SD shall be extended up-to

90 days beyond the period of such extension.

18.8 The security deposit will not carry any interest.

18.9 AI reserves the right to review upwardly the amount of security deposit annually

in case of increase of the contract value, for which the Successful Bidder will

have to make appropriate arrangements for increase in the amount of security

deposit.

18.10 The instrument of payment of the security deposit in original has to be forwarded by the Successful Bidder directly to the following address:

The Office of Executive Director (Materials Management) Air India Limited, 2nd floor, Tender Receiving Cell, Old Airport, Kalina, Santa Cruz (east), Mumbai - 400 029, India


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19. RECOVERY OF SUM DUE:

19.1Whenever under this contract any sum of money is recoverable from the Successful Bidder, Air India shall be entitled to recover such sum by appropriating in part or full from the security deposit Performance Bank Guarantee and/or from the bills submitted by the Successful Bidder. Reasonable opportunity will be provided to the bidder to present the case. The final decision vests with Air India Management.

19.2 In the event of the said Security Deposit being insufficient, the balance or the

total amount recoverable, as the case may be, shall be deducted with mutual consent from the sum due under this contract only and not under any other contract. Should this amount be insufficient or in case there is no other contract with regard to the said Successful Bidder and AI to cover the said full amount recoverable, the Bidder shall pay to Air India Limited on demand the balance amount, if any, within 30 (thirty) days of the demand by Air India Limited

19.3 The Bidder would need to take cover Insurance with Air India being made the

beneficiary to cover themselves for any possible revenue loss occurred to the Airline during course of the Audit at their own cost.

20 PAYMENT SCHEDULE

20.1 The first payment for provision of these Services (including the fixed monthly fee , if any) will become due only after the completion of audit of one months for the entire AIR INDIA network including USA.

20.2 First release of payment would be made after 60 days of the receipt of the

invoice from the Successful Bidder on complying with the requirements of para 20.1.

Thereafter all non-recovery based payments would be made within 30 days from

receipt of the invoice from the Successful Bidder.

20.3 Time Frame for go live is 90 days from the date of execution of Contract.

20.4 Recovery based payments on the ADM raised on Agents are to be made only on actual recoveries effected and will be released only after due confirmation of realization of ADM.


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20.5 Each invoice should be accompanied by a statement showing Point of sale wise data on errors identified, errors waived by Air India and the balance recovered in local currency. Format of the Statement would be mutually discussed and agreed at the time of contract finalization . 20.6 Payment will not be made to the Successful Bidder for waiver on special cases approved by AI Management from time to time the limit of which may be decided by mutual discussion. 20.7 The standard payment terms of AIR INDIA would be "30 days from the date of submission of invoice subject to verification by AIR INDIA. 20.8 All payments by AI will be made in INR /USD/GBP/EUR. For the purpose of recovery based payments on recoveries made in currencies other than USD/INR these shall be converted using IATA monthly rate of exchange rate into Invoice Currency Directly i.e. AED to USD or INR. 20.9 No advance / pre delivery payment term will be accepted. 20.10 Manual Documents including EBT currently to the tune of 140000 per year will have to be audited separately by the Successful Bidder. The data on these manual documents will be provided to the Successful bidder as scanned copies and parameterized data captured in the revenue accounting system.

20.11 Part of the Non recovery based payment will be fixed and would be paid after the completion of audit. Variable fees for audit of documents issued at BO/APT/WEB etc will be paid only on acceptance of the audit findings by Air India

21. SITE INSPECTION

Site Inspection of the facilities of the Successful Bidder may be undertaken by an authorized team of AI constituted specifically for the purpose, from time to time to ensure that the specifications as mentioned in the bid are met. In the event that any discrepancy is noticed in the Product by the aforesaid, the same would be bought to the notice of the Successful Bidder and the Successful Bidder would have to rectify the same without any extra cost to AI.

22. TENDER RESULT

The Successful Bidder to whom the Tender has been awarded would be hosted on the Air India website www.airindia.in and further the Successful Bidder would be notified in the manner mentioned herein below.



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23 AWARD OF CONTRACT

AI will award the Contract to the Bidder who has offered the lowest bid price who will be L1, provided that such Bidder has been determined to be eligible and qualified in accordance with the provisions of the Tender. Notification of Award 23.1 Prior to expiration of the period of bid validity, AI will notify the Successful Bidder by a Letter of Intent (LOI) that its bid has been accepted. The notification of award will constitute the formation of the Contract, subject only to the furnishing of a Performance Bank Guarantee in accordance with the provisions of this Tender Document. No payment would be due to the Successful Bidder till a valid Performance Bank Guarantee have been submitted 23.2 The award of Contract shall be subject to fulfillment (in addition to satisfying the eligibility criteria and the Undertakings as mentioned herein) of following conditions by the Bidder: -

a) The Bidder has to convey acceptance of Letter of Intent (LOI) within 7 (seven) days from the date of receipt of LOI by a Letter of Acceptance.

b) The Bidder has to execute the Contract on a non judicial Stamp Paper of appropriate value with ―Air India Limited‖ within 30 (thirty) days from the date of acceptance of the Letter of Intent (LOI).

c) The Contract shall be valid for a period of 3 years from the date of execution of contract. The same can be extended extendable for a period of up to 2 years on the same rates & terms and conditions, at the discretion of AI.

d) In the event, the Bidder fails to comply with any of the Terms and Conditions of the Contract, ―Air India Limited‖ shall be at liberty to terminate the Contract with immediate effect besides forfeiting the Security Deposit.

e) The Letter of Acceptance and LOI shall form an integral of the Contract. However in case of any discrepancy between the Letter of Acceptance, LOI and the Contract, the Contract shall prevail.

24 Representations and Warranties to be given by the Successful Bidder in the Contract.

24.1 The Successful Bidder should provide the following representations and warranties as regards to the Contract to be executed, which shall remain true and valid throughout the term of the Contract:

a. It is duly incorporated and validly existing under the laws of its incorporation.


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b. It has the requisite power, authority and legal right and has taken all actions necessary

on its part, to validate, execute and deliver this Contract and the performance of the obligations thereunder.

c. The Contract shall constitute a legal valid and binding obligation against it, and is

enforceable against it in accordance with the terms herein.

d. The execution, delivery and performance of the Contract shall not conflict with, result in the breach of, or constitute a default under any law, rule, regulation, authorisation or approval of any government agency or body, or under the terms of any covenant, agreement, understanding decree or order to which it is a party or by which it or any of its properties or assets is bound or affected and does not result in a violation of applicable laws.

It shall employ personnel who are qualified and competent to render the Services as mentioned herein. The Successful Bidder, may be required, to position its qualified and competent personnel in Air India premises in Mumbai and New Delhi, during the transition period at no extra charge to Air India. Further it shall deploy personnel having the following qualifications: (i) Graduates in the having prior 2 years work experience of the Services as

required under the Contract. And /or (ii) Persons holding IATA fare and ticketing diploma holder. Further, Air India reserves the right to verify the aforesaid information from time to time during the term of the Contract. Further, Air India shall be advised from time to time manpower details deployed in the Fare Audit activity. A list of the same shall be furnished to Air India. In the event of any replacements/substitution of such manpower, AI shall accordingly be informed.

e. The payment of salaries, wages, provident fund, gratuity etc., to its personnel, shall solely be the responsibility of the Successful Bidder. It is hereby clarified that, the personnel of the Successful Bidder shall not be deemed to be employees of AI.

f. It shall be responsible for timely provision of all resources, information, and decision

making under its control that are necessary to reach a mutually agreed and finalized project within the time schedule as agreed. Failure to provide such resources, information, and decision-making may attract penalty as detailed in the Contract and / or constitute grounds for termination as provided in the termination clause.

g. It undertakes to comply with various labour laws, both Central and State including , but

not limited to Employees State Insurance Act, 1948 and Workmen's Compensation Act,


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1923, Employees Provident Funds & Miscellaneous Provisions Act 1952, Payment of Wages Act 1936, Minimum Wages Act, 1938, Contract Labour (Regulations and Abolition) Act, 1970, Employers' Liability Act, 1938, Maternity Benefit Act, 1961 and Bombay Labour Welfare Fund Act, 1953 , or any other laws /act /rules/ regulations etc.as applicable from time to time and further shall be solely responsible for any cost and consequences on account of any breach and/or non-compliance of any other provisions of labour Laws and shall indemnify Air India Limited against any claim/cost/remedies and penalties in respect of breach of any of the provisions of laws in force.

h. It shall perform all its obligations under the Contract with due care and diligence and in a

skilful and business-like manner.

i. It shall comply with all such directions issued by AI from time to time.

j. It has no knowledge of any violation or default with respect to any order, writ, injunction or decree of any court or any legally binding order of any relevant authority empowered by applicable law which may result in any material adverse effect or its ability to perform its obligations under the Contract.

k. It has complied with all applicable laws in all material respects and has not been subject

to any fines, penalties, injunctive relief or any other civil or criminal liabilities which, in the aggregate, has or may have a material adverse effect on its ability to perform its obligations under the Contract.

l. There are no actions, suits, proceedings, or investigation pending or, to its knowledge,

threatened against it at law or in equity before any court or before any other judicial, quasi-judicial or other authority, the outcome of which may result in a breach of the Contract or which individually or in the aggregate may result in any material impairment or its ability to perform its obligations under the Contract.

m. It is and shall able to pay its debts as they fall due for payment and is otherwise solvent

as per applicable laws, it has not compounded with or negotiated any composition with or called any meeting of its creditors, a receiver, trustee or manager has not been appointed for the whole or any part of its assets or any right, it has not committed any act of bankruptcy or insolvency or passed any resolution for or otherwise entered into any liquidation, winding up or administrative order or taken or suffered any action analogous to any of the foregoing.

n. It is not in breach of any agreement with any person who has provided loans, deposits,

advances, guarantees or other financial facilities to it.

o. All taxes due and payable by it have been paid, and all tax return and reports required to


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be filed by it have been correctly filed and on time. There are no claims now pending or matter under dispute with any taxing authority in respect of any tax of the Successful Bidder.

p. It shall be responsible for the payment of all and any taxes including income tax and all

similar taxes and levies in respect of its fees, duties, fines, penalties, etc., by whatever name called as may become due and payable under any laws, rules and/ or regulations as may be prevalent and as amended from time to time in relation to the services rendered under the Contract.

q. It shall obtain the necessary permissions and licenses from the concerned authorities for

the purposes of the Contract. Further, to keep the said permissions and licenses valid and subsisting at all times during the term of the Contract. In the event that it omits or fails to obtain any requisite permission or license from the concerned authorities then it shall indemnify and keep indemnified Air India Limited against all losses, costs, or damages that may be suffered by Air India as a result of such omission or failure.

25. CONFIDENTIALITY:

25.1 The Successful Bidder shall at all times keep confidential all information developed or acquired by it from Air India under terms of the Contract/Tender Document or in performance thereof. 25.2 Confidential Information includes (without limitation) the information concerning the technology, technical processes, business processes, procedures, personal data, business affairs, financial affairs of Air India (hereinafter referred to as Confidential Information). Confidential information also includes information that is designated as 'confidential' or which by its nature is clearly confidential. 25.3 The Successful Bidder shall not prepare articles or photographs for publication or delivering speech or advertise about the work or infrastructure belonging to Air India, with regard to this Tender Document and/or Contract without prior written consent of Air India. 25.4 All project plans, studies, process maps, other documents, source code, data and specifications including originals prepared by the Successful Bidder in connection with the services to be provided by the Successful Bidder under this Tender Document and Contract shall be property of Air India (without any extra cost). 25.5 As and when required by AI , the aforesaid documents prepared specifically with regard to this Tender Document and Contract (including originals) shall be handed over to Air India (both in hard and soft copy), within 7 days of the demand by Air India.


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25.6 For Hosted solutions the data to be stored in a Single Tier Client to ensure there is no chance of confidential data falling into the wrong hands or erroneously appearing on other carriers‘ / users‘ systems. 25.7 Bidders will have to submit the signed Non-disclosure Agreement (with no amendments) as per the format of Air India -- Annexure VI – Non Disclosure Agreements 25.8 The Successful Bidder agrees to keep such Confidential Information as strictly confidential and shall disclose the same to their employees/professional advisers only on a ‗need to know‘ basis. 25.9 The Successful Bidder agrees that any such information received by it shall be (1) protected and kept in strict confidence, using the same degree of care and safeguards as it uses to protect its own information of like importance, but in any case no less than a reasonable degree of care, (2) not to use Confidential Information for any purpose other than to carry out its respective obligations under this Tender Document and Contract. 25.10 A breach of this confidentiality may result in the Contract being terminated in addition to any other remedy Air India Limited may have. 25.11 The Successful Bidder shall further, be responsible for the following: a. To maintain the secrecy of data received on behalf of Air India from various sources under the Contract. b. Not to disclose the information gathered by it to any third person (including the competitors of AI) without the written authorization from Air India. c. Not to deal with any affected party having business interest /agent over the phone. d. Records of all correspondence with agents / Air India to be kept for a period of eight years from the date of such correspondence. Further all such records to be made available to Air India as and when required for their verification, within 7 days of demand of AI and at no extra cost to Air India. Breach of Trust 1.Any breach of trust or failure to comply with the terms and conditions i.e. unauthorized disclosure of AI data may attract forfeiture of Security Deposit/PBG and other legal action available to AI. 2. ADMs have to be raised as per the Billing Cycle.


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26 ENFORCEABILITY

If by the applicable laws, any one or more of the foregoing conditions are partially/wholly invalid or unenforceable; the other conditions shall still remain in full force and effect.

27 INFRINGEMENT / INDEMNIFICATION

27.1 All products, services, company names, trademarks, logos, devices, symbols or other similar items (whether registered or unregistered) being used by the Successful Bidder pertaining to the Contract are licensed or registered, as applicable, to both the parties. 27.2 All services delivered by the Successful Bidder must be free from any claim by way of infringement of copy right, trade mark, industrial design, etc. and the Bidder is to indemnify Air India against any claims for such infringement. The software that will be used by the Successful Bidder should be licensed and free from any Intellectual Property Rights infringement. 27.3 The Successful Bidder shall hold harmless and indemnify Air India from and against damage, loss and expenses arising from any claims for infringement of patent, copy right, design and other such rights brought against Air India, with respect to or arising out of the use or supply of design or any work in accordance with the specifications and plans furnished or recommended by the Successful Bidder.

28 INTERPRETATION:

In the event of any difference in the interpretation of any of the clauses of the Contract and/or the Tender documents, the Contract shall take precedence over the Tender Document and the interpretation put forth by Air India Limited shall be final and binding.

29 SUBCONTRACTING OR ASSIGNMENT

29.1 During the currency of the Contract ,NO sub-contracting or assignment of the work mentioned in the Contract will be permitted, without prior written consent of AI. In event the Contract is sub-contracted or assigned, without prior written consent AI reserves its right to terminate the Contract and take appropriate action against the Successful Bidder for breach of the Tender conditions and Contract. 29.2 However even after sub-contracting/assignment the Successful Bidder shall at all times remain solely liable to Air India Limited for the same


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29.3 In the case of reconstitution/merger or amalgamation of the Successful Bidder Air India, at its discretion may allow the new entity to continue to perform on same terms and conditions. However in the event such reconstitution is not acceptable to AI, it can terminate the Contract, without any liability to the Successful Bidder.

30 INDEMNITY

30.1 The Successful Bidder shall indemnify AI against the payment of penalty/third party claims/damages/loss of property of Air India Limited, due to the negligence on part of the Successful Bidder and/or its employees.. 30.2 The Successful Bidder shall also indemnify AI for making good any claim/penalty/loss or damages, including costs (including counsel fees and legal cost) thereof, in respect of any breach or violation of any provisions of any law, including labour laws governing the employees of the Successful Bidder. In case of any failure to make good the above/any losses/expenses to AI, the same shall be deducted from the amounts to be paid to Successful Bidder, as per the bills raised, or may be deducted from the security deposit or from any payments to be made to the Successful Bidder under the Contract. Reasonable opportunity will be provided to the bidders to present the case. 30.3 For the avoidance of any doubt it is hereby clarified that the Successful Bidder shall be solely liable for accidents, injuries, death and/or damages caused to any individual/s and/or property of AI and/or any third party, due to gross negligence of its employees, during performance of their duties under the Contract and shall indemnify Air India Limited and/or its employees, from costs or liabilities, arising therefrom (including reasonable counsel fees and legal cost). 30.4 The Successful Bidder shall be liable to keep Air India Limited indemnified against any claim or claims whatsoever and any liabilities, that may arise on account of the Successful Bidder‘s failure to comply or adhere with any statutory obligations, legislations, regarding the laws governing intellectual property rights whether in India or any other country as applicable. AI shall make bidder aware of the claim and be entitled to deduct any amounts to make good the above/any losses/expenses incurred by AI on account of such claims or liabilities. The decision of AI as to the amounts to be deducted shall be final and binding on the Successful Bidder. Reasonable opportunity will be provided to the bidders to present the case. 30.5 The Bidder shall indemnify and hold Air India harmless from and against any and all liabilities, damages, claims, fines, penalties, and expenses of whatever nature arising or resulting from the violation of such laws by the Implementation Partner or its personnel and from any illegal use of any tool or software by the Implementation Partner.


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Indemnification shall be limited to direct claims, fines, penalties, only when Bidder is solely and directly attributable to it. Bidder would defend at its own cost . 30.6 The provisions of this Article shall survive the termination or expiration of the term of the Contract for a period of 6 months from the expiry of contract.

31 RESPONSIBILITY FOR COMPLETENESS

Any services which might not have been specifically mentioned in this Tender Document but are necessary/ancillary for/to the design, engineering, operationalizing, performance or completeness of the Contract, shall be provided/ rendered by the Successful Bidder as per the time schedule for efficient and smooth operation of the solution offered at no extra cost to Air India. The said ancillary/incidental services as required by Air India shall be notified to the Successful Bidder, as per its requirements under the Contract.

32 SELF CERTIFICATION:

Successful Bidders will have to carry out inspection of the services, its personnel and the quality of the Services being provided by it, in order to ensure the specifications laid down in the Contract/Purchase Order are satisfied. The Successful Bidder shall have to make an endorsement on all the invoices that "The Fare Audit Service levels and Personnel have been inspected and are as per the contract specifications

33 EXIT CLAUSE / TERMINATION OF CONTRACT

The Contract may be terminated under the following circumstances: 33.1 If the Successful Bidder fails to perform any or all of obligations of the Contract

within the period specified in the contract or within any extension thereof granted by Air

India and/or in the manner as desired by AI. In case of unsatisfactory performance Air

India Limited would issue a notice of 30 (thirty) days to the party Successful Bidder (s)

to improve the performance, (in the manner desired by AI), failing which AI shall be at

liberty to terminate the Contract by providing a 30 days written notice to the Successful

Bidder. AI also reserves the right to claim from the Successful Bidder (s) for any loss

sustained due to unsatisfactory performance.

Both the parties will make reasonable endeavors to resolve the same, failing which the

above clause will be invoked. However, the recovery will be amount of loss or 5% of the

total contract value of three years, whichever is lower.


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33.2 Air India may at any time terminate the Contract with immediate effect by giving written notice to the Bidder, if Bidder being a partnership or sole proprietorship firm, if the sole proprietor or any partner becomes bankrupt or otherwise insolvent, or order for administration of his estate is made against it or shall take proceedings for liquidation under any insolvency act for the time being in force or make any assignment of his effects or composition or arrangement for the benefit of its creditors or purports to make such assignment, composition and/or arrangement, provided that such termination will not prejudice or affect any right of action or remedy which has accrued or will accrue thereafter to Air India Limited. 33.3 AI may at any time terminate the Contract with immediate effect by giving written notice to the Successful Bidder (s), if the Successful Bidder, being a company, if bankruptcy or liquidation proceedings are commenced or likely to be commenced against or if it enters into or is likely to enter into any arrangement or compromise for the benefit of its creditors generally or if a liquidator or receiver is appointed for its assets. In case of such termination, all the amounts payable after adjusting all recoveries from the bidder for the services rendered till that date, shall be paid by Air India 33.4 If the Successful Bidder has engaged in any activities with regard to fraud or corruption. Further, AI may terminate the Contract if it comes to the knowledge of AI that, the Successful Bidder(s) has obtained the Contract vide non-bonafide methods of competitive bidding or vide fraudulent methods. 33.5 In case of a breach of any of clauses of the Contract, Air India may issue a 30 (thirty) days‘ notice to the Successful Bidder to rectify the breach failing which Air India Limited shall be at liberty to terminate the contract by providing a 30 (thirty) days written notice to the Successful Bidder. The Successful Bidder shall not have any right to dispute or question the judgment of Air India Limited with regard to the said breach. Before such action the issue will be discussed with AI management for a resolution failing which AI decision on termination will be final. 33.6 Notwithstanding the above, Air India Limited or the Successful Bidder shall be at liberty to terminate the Contract for any reason whatsoever including change in situation or circumstances etc. by providing a 90 (ninety) days written notice.

33.7 The Successful Bidder shall also be at liberty to terminate the contract by providing to Air India a 90 (ninety) days written notice. In such an event, the Successful Bidder shall have no right to claim compensation/damages etc. from AI on account of early termination. 33.8 However the Successful Bidder shall duly comply with its respective obligations during the notice period and thereafter, shall discharge the obligations, satisfactorily


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arising out of the Contract till the date of termination. In such an event, the Successful Bidder(s) shall have no right to claim compensation/damages etc from AI on account of early termination. If a suitable replacement is not found by AI, within the aforesaid period of 90 (ninety) days, the Successful Bidder(s) shall continue to provide the tendered items until the period such replacement is found. The Successful Bidder(s) shall be paid, in accordance with the terms of the Tender Document for all the work carried out by it, during the notice period and if applicable, for the work done by it for the period after the notice period, until a suitable replacement is found. 33.9 The Successful Bidder who exercises the option of this exit clause may however

not be allowed to participate at least in the immediate next tender floated for the same

nature of work.

34 FORCE MAJEURE

34.1 Neither the Successful Bidder and Air India Limited (herein referred to as Party/Parties) shall be liable for delay in performing obligations or for failure to perform obligations if the delay results from any of the following , such as war, hostility, acts of the public enemy, epidemics, civil commotion, sabotage, fires, floods, explosion, quarantine restrictions, or act of God ( hereinafter referred to as ―Force Majeure Events‖). 34.2 The Party encountering and affected by such Force Majeure Events shall give a notice of happening of the same to the other within 5 (five) days from the occurrence thereof. Further such Party shall take all reasonable endeavours to minimize the economic effects of any such delay and rectify as soon as possible any harm or delay created thereby. Further it shall reasonably allocate its available resources, giving priority to their obligations under the Contract. 34.3In the event that the cause that of the Force Majeure Event continues for a consecutive period of thirty (30) days (or within such other extended period as the Parties may have agreed upon in writing), Air India would have a right to terminate this Agreement, by providing a 30 (thirty) days‘ notice to the Successful Bidder. 34.4 Thereby this Agreement shall stand terminated forthwith and neither Party shall be entitled to any damages, compensation or costs, but without prejudice to the liabilities/obligations incurred prior thereto.


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35. STATUS Throughout the currency of the Contract and upon termination the Successful Bidder shall at all times have the status of a self employed person and ―Independent Contractor‖ for the avoidance of doubt neither the Successful Bidder nor the employees agents or servants shall acquire the status of employee of Air India and shall not be entitled to any pension, bonus or other benefit (other than the fee payable under this Agreement) from Air India. The Successful Bidder shall be and hereby undertake responsibility for all Income tax liabilities or similar taxes and levies in respect of its fees and the Successful Bidder hereby indemnifies Air India in respect of any claims that may be made by the relevant authorities against the Air India in respect of income tax or similar contributions, taxes or levies relating to the Successful Bidder pursuant to this Agreement. 36.ARBITRATION 36.1 Any dispute arising between the Bidders/Successful Bidder and Air India (Parties) ,in respect of the construction, interpretation, application, meaning, scope, operation or effect of this Tender Document and/or the Contract or the validity or breach thereof, shall first be settled by mutual consultation between the authorized representatives of the Parties. 36.2 If the dispute remains unresolved after a period of 90(ninety) days from the date when the mutual consultation has started, the matter shall be referred for settlement to ―SCOPE FORUM OF CONCILIATION AND ARBITRATION‖, Government of India and the award made in pursuance thereof shall be binding on the Parties. Bidder shall have the right to appeal in the competent court of law in case if Bidder is not satisfied with the outcome of the award pronounced by SCOPE FORUM OF CONCILIATION AND ARBITRATION.

36.3 All proceedings in such Arbitration shall be conducted in English. The Arbitration proceedings shall take place in New Delhi, India. 36.4 The cost of the arbitration shall be borne by the Parties as per the award passed by the SCOPE FORUM OF CONCILIATION AND ARBITRATION.

36.5 During the arbitration proceedings, the Successful Bidder shall continue to perform the Services under the Contract unless otherwise directed in writing by Air India or unless the same is the subject matter of dispute,


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37 GOVERNING LAWS This Tender and Contract shall be governed by the laws of India for the time being in force. Any dispute whatsoever arising under the Tender/Contract shall be subject to the jurisdiction of the courts of New Delhi only. The Bidders/Applicants/ Successful Bidder irrevocably submit to the exclusive jurisdiction of the courts of New Delhi and they unconditionally and irrevocably waives its right to rely on the jurisdiction of any other court.

38 INSURANCE

The Successful Bidder would need to take and maintain an adequate comprehensive insurance coverage at least be to the extent of the Full value of the Contract, with Air India being made the beneficiary, to cover themselves for any possible revenue loss that Air India may incur, during course of providing the Services as contemplated under the Tender/Contract, at their own cost.

A copy of the valid insurance coverage being maintained by the Successful Bidder shall be submitted to AI. It shall be the responsibility of the Successful Bidder to update/renew the validity of the insurance coverage. The Successful Bidder shall, at the request of AI within 7 days from such request, provide a copy of the insurance certificates (also copy of renew certificates, if applicable) to AI.

The Successful Bidder shall obtain insurance, with regard to its personnel, engaged in providing the Services contemplated in the Tender/Contract. All claims arising in this behalf by such personnel shall be sole responsibility of the Successful Bidder. AI shall be absolved of all its liability in this regard


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ANNEXURE I


SCHEDULE OF REQUIREMENTS

Section 1 : Scope and Delivery Schedule

1.1 SCOPE OF SUPPLY

Index Content Unit Quantity/service Description

1 Fare Audit Services Package 01 As Specified in Technical Requirements

1.2 SCHEDULE OF SUPPLY

Index Content Unit Quantity/service Schedule of Supply

Location of Supply

1 Fare Audit Services Package 01 Commissioning 90 days from the date of the execution of Contract.

Vendor

2 Training / Workshops

Package 01 Within 60 days from effective date of execution of Contract. Workshops for various regions to discuss and educate about the audit and mutually understand the challenges.

Commercial


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Bidder to provide the most updated version of the proposed system with all designed functions during the licensed period

Bidder shall bear all cost arising (if any) while fixing software causing the system's malfunction or shutdown

Date : _____________ Signature:_________________________________ Place :____________ Name: ____________________________________

Designation: ______________________________ Company/Name & Seal:_______________________


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ANNEXURE II


ACCEPTANCE LETTER OF TERMS AND CONDITIONS (on bidder‘s letter head)

Date …………

To

ED - MMD Air India Limited We hereby unconditionally accept all the terms and conditions in its entirety for Tender No. DEL/RMMA/Fare Audit / 003 dated 3.04. 2017 We submit our Bid Document herewith. We understand that Air India is not bound to accept the lowest or any bid received by Air India and Air India may reject all or any bid without assigning any reason whatsoever. If our bid is accepted, we shall be responsible for the due performance of the Contract and shall provide all the service deliverables as required as per the specifications under the aforesaid Tender Document. We also confirm that payment of Earnest Money Deposit has been made and the proof of the same is enclosed herewith with the Technical Bid.. Date : _____________ Signature:_________________________________ Place :____________ Name: ____________________________________



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ANNEXURE III


Technical Bid Form COMPANY PROFILE

Date …………

Interested parties, shall have to submit the details of their company in the below mentioned format with all the requisite enclosures, which will be submitted in Envelope. Note: The Bidder should give responses to the clauses above as Yes or No without any remarks, riders or conditions.

Sr. No

Required details To be filled by the bidder Yes / NO

Indicate the Page No. of the Proof enclosed

1 Name of the Organization (Insert Bidder‘s Name)

Attachment 1 ( Mandatory)

2 Status of Bidder (Private/Public Limited Company etc, incorporated in India or Abroad).

3 Name of Contact Person & Designation, Phone No, FAX No, email id.

4 Company Office Registered Office/Organization business address and address for correspondence. Also the company website address.

5 Year of establishment. Confirmation of being in this line of business for a minimum period of 2 years. (attach proof)

6 Details of the CEO of the


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Company/organization (Name, Tel. e-mail)

7 No. of employees. Diagram of Organizational Structure and Management Structure

8 Details of all offices (Please insert extra sheet to give details of offices – address, contact numbers etc. at all locations and employee numbers

9 Whether registered under the Indian companies act 1956. Registration Certificate, In case of Indian Company, equivalent certificates in case of a company incorporated abroad are to be submitted.

Attachment No 2 ( Mandatory) All compliances are being met

10 Copy of the Earnest Money Deposit Bank Transfer details is enclosed.

Attachment No 3 ( Mandatory)

11 A valid Agency license and Service Tax / Sales Tax / VAT / PAN / GST Registration Certificate, if applicable.

Attachment No 4

12 Submit self-certified copies of company Incorporation Certificate. Self-certified copy each of the Service Tax and VAT Registration Certificate or any other Certificate , as applicable

.

Service Tax / GST Regn Attachment No 5 Regn.No. ……… Date…………… Valid Upto ……

PAN/GIR No. Regn.No………. Date…………… Valid Upto……

13 Information about the Balance Sheet Total Assets Liabilities Net Assets Value Short Term Assets

Attachment No 6 Year

( Mandatory)


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Short Term Liabilities Working Capital Information from Income Statement Annual average revenue from business Pre-tax profits Post-tax profits Copy(s) of duly Annual Report /Audited by a CA/CFA, Balance Sheet and P&L A/c for the 03 Financial Years (2013-2014, 2014-2015 & 2015-2016) or for the Calendar Year 2014, 2015 and 2016 duly signed by authorized signatory are enclosed The net asset value of the Bidder as on date must be reasonably positive.

14 Whether the Bidder/Applicant or any of its Directors has been blacklisted by Air India Limited or erstwhile India Airlines Ltd or its subsidiaries or at any time by any Government (Central or State)/ Government agency PSU/ Financial Institution in the past since registration of entity. If yes, the details must be provided.


15 Details of unfinished Contracts Attachment No 8 ( Mandatory)

16 Experience in the Airline Fare Audit . A Statement of all airlines where currently working and work is in progress to be provided. The information to be furnished

Customer‘s Name

Is Full Service Airlines ( Yes / No)

Passenger Volume in 2016

Started Using System from Year

Modules being used

License

Attachment No 10 ( Mandatory) Recommendation Letters or part of contract


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17 Banker‘s details (Name, address, Tel., e-mail_)

. Account Name . Name of the Bank . Branch Name . Account Number . Bank Code / MICR No. . Swift Code No.

. Account Name . Name of the Bank . Branch Name . Account Number . Bank Code / MICR No. . Swift Code No.

Attachment No 11

18.1

18.2

18.3

18.4

A Certificate of not having failed to meet the contract to be provided References – name and contact details of 3 airline customers having a fleet size of more than 25 aircraft and operating a mixed domestic-cum-international network or a large international network. Bidder shall provide Copies of the documentation such as recommendation letters / Experience Letter, part of contract by /from at least 02 customers reached an annual passenger volume of 20 million in 2016. Details of any Fare Auditing of Star Alliance Carrier


19 Bidder has not failed to perform any contract signed from 01/01/2014 to the Bid closing date. ( Certificate to be attached) A Brief on how this project is being funded to be mentioned.


20 Involved in Lawsuits/disputes/arbitration proceedings, if any with Air India, its subsidiaries and/or others



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21 21.1 21.2

21.3 21.4 21.5 21.6

Hardware / Software – The server hardware for Web, Application and Database Servers should have sufficient resources like CPU, Memory and storage to avoid any performance degradation. The Servers / Storage should have redundant features like RAID1 / RAID 5 / Redundant Storage controller, Dual power supply to avoid any loss of customer Data. The Operating System, Application software and Database software should be of the latest version and updated with the latest patches. The hardware and network infrastructure should have Warranty / AMC support from the Support firm with SLAs as per the Industry standard. The infrastructure should be backed up by UPS Power and have fire protection. etc. For any changes in the setup, the established Change Management process has to be followed.


22 22.1 22.2

Backup a) Bidder should follow Industry standard backup practices for Data Backup from the DB servers on external media on daily / weekly / monthly basis. b) Presence of DR setup will be given more weight age.



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23 IT Security Infrastructure a) Bidder must have yearly IT Security audit of its infrastructure from the reputed 3rd party audit firm. Vendor to share the details of the audit done to Air India. b) All Servers and PCs / Laptops used in the setup should be installed with Antivirus with updated definitions. c) Internet setup must be protected by Firewall / IPS / IDS etc. d) Data Leak prevention (DLP) software / practices should be followed to safeguard the confidential data of Air India. e) Usage of CD Drive / USB / email should be restricted to safeguard the confidential data of Air India.


24 Manpower a) The setup should be administered by IT professional with professional skill-set; by internal team or from the third party or as the hosted infrastructure services. b) The setup should be monitored by Operation team with the required monitoring tools.


25 Technical Bid should contain true photocopy of Financial Bid with prices written as „XXXXX‟ (Applicant should ensure that no price figures have been mentioned, failing which bid will be rejected).


Note: Providing any false/unsubstantiated information for any of the above parameters would disqualify the Bidder from further consideration/evaluation of their Bid.


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Copy of this shall be enclosed in Envelope with tick ( _/ ) mark in the relevant columns confirming that all the information requested is provided. The Technical Bid should not contain any rates / prices

1. We, (Name of Bidder) have carefully gone through and have understood and hereby agree to abide by all the General Terms & Conditions, Work scope and Specifications governing the tender.

2. We are a company which has been granted a Certificate of Registration or equivalent document issued by the competent authority of country in which we are operating

3. We are a company which is keeping independent accounting records

4. We are a company which is not subject to or likely to be subject to any winding up/dissolution/bankruptcy proceedings.

5. Bids with Corrections / Overwriting are liable to be rejected.

6. I (Name of person signing the bid) hereby confirm that I in (*) capacity, are authorized to sign the tender document and the information given in the tender is true and correct to the best of my knowledge and belief and nothing material is concealed.




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ANNEXURE IV

Date …………

UNDERTAKING CERTIFICATE

(ON COMPANY‟S LETTER HEAD)

To, ED - MMD Air India Limited Address: (*) We hereby confirm that,

We (name of bidder) meet the desired Technical Requirements as on date of submission of the bid as also accept all the terms and conditions as mentioned in the Tender Document No. (*) dated.

we have duly signed as also attached the relevant supporting documents as proof of compliance.

that we have quoted in the Financial Bid, as per the prescribed format on Annexure -XI

that we are not subject to the disqualifications as stated in the aforesaid Tender Document.




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ANNEXURE V


Functional and Technical Requirements ( Mandatory and Optional Requirements)

Dated ………….

The Technical Bids would be first evaluated for compliance with the qualification requirements. The Bidder must meet all the mandatory qualification criteria as listed in the tender (inclusive of general terms and conditions). Bid of those Bidders who fail to comply Technical ( not meeting the mandatory requirement) will not be evaluated any further. Evaluation Committee may, at its discretion, call for additional information from the Bidder (s). Such information to be supplied within the set out time frame; otherwise the Evaluation Committee shall make its own reasonable assumptions at the total risk and cost of the Bidders, which may result in non-acceptance of the proposal and its consequent rejection. Seeking clarifications cannot be treated as acceptance of the proposal. Evaluation Committee may seek any additional information in writing, which has to be supplied by the Bidder in writing. The Bidders shall provide all the necessary documents, samples and reference information as desired by the committee. The Bidder shall also assist the committee in getting relevant information from the Bidders' references. Proposed solution should confirm to the Technical specifications and requirements as listed below.―No‖ to any one of the criteria could result in disqualification of the bid as these are mandatory. Only bidders pass in Technical evaluation shall move forward to financial evaluation The parameters for evaluation to include :


64

Sr. No. Parameters Maximum Marks

1 Extent to which Fare Audit system meets Al's requirements (Refer Point 1. Assigned Points – 29.5.), (Refer Point 2- Assigned Points – 14), (Refer Point 3- Assigned Points –5 ) (Refer Point 4- Assigned Points –5 ) and (Refer Point 5- Assigned Points –5 )

58.5

2 Ease of use (Refer Point 8- Assigned Points –5 ) And (Refer Point 13- Assigned Points –5 )

10

3 Presence of DR (Disaster Recovery) setup (Refer Point 10- Assigned Points –5 ) and (Refer Point 12- Assigned Points –5 )

10

4 Extent of customization possible in the product to suit Al's requirements (Refer Point 6- Assigned Points –5 ) and (Refer Point 11- Assigned Points –5 )

10

5. Experience and Infrastructure 6.5

6 Extent of training & support provided by Successful Bidder (Refer Point 7- Assigned Points –2.5 ) and (Refer Point 9- Assigned Points –2.5 )

5

TOTAL Marks 100

The Technical Score (TS) will be calculated as sum of the marks obtained by the Successful Bidder against each parameter. Marks will be reckoned based on compliance of the items listed under Annexure V. In order to qualify technically, Successful Bidder must secure a minimum of 85% of the marks as mentioned


65

Serial No Evaluation Criteria Mandatory / Optional

Compliance Response (Yes / No)

1.1 The scope of services to be availed under Audit includes following services or any other violation audit / checks as specified from time to time for any AI issued documents: Performing audit (Published fare tickets, unpublished fare tickets, Corporate Fares, All Types of Special Fares, Net Fares, Group Fares, RBD Audit, Different Freedom Fares ( including Six Freedom Fares), Tactical / Promotional Fares , Fare Rules, Commissions, Tax, Refund, Revalidation Exchanges, and Reissues) , EBTs, EMDs, Paid Upgrades, Voucher Upgrades, Ancillary Services. Identify revenue leakages and situations arising out of errors in ticketing and incorrect application of fares and rules and raising stations debits as required by AI time to time . Detecting over/under-claims and rule violations using automated software tools or any other violations as may be required to be audited from time to time to arrest arising revenue loss to the company Receipt, update and maintenance of data on Fares, Rules , Commission and Taxes, as well as refunded, reissuances, no-show and exchanged documents as also EBTs, EMDs Local Deals and Corporate Deals Audit Productivity linked bonus payments through ACM. Audit to include checking of Discount/incentive/ Corporate Incentive payment for the Deals agreed and Productivity linked bonus paid to the Agents vis-à-vis payable as per flown revenue statement as per the agreements . Copy of the deals/agreements/ flown revenue

Mandatory


66

data will be provided Fare Audit to check Applicable fare per sector vis-à-vis fare mentioned on the ticket incase of original/reissue. The Bidder has to undertake check for correctness of fare / taxes collected on the ticket vis-à-vis applicable fare / taxes for applied fare basis of relevant booking class, irrespective of fare pricing calculator that is automatic / manual Exemption of taxes / fares, if any mentioned on the ticket has to be matched with the applicable fare rules. Identifying highly-probable exceptions based on refund penalty and prioritizing them for manual verification Audit based on the Waiver Management System Generating ADM's, as soft copy in standard BSP-DISH format / Airline specific format. ADM management which involves verification of un-actioned and disputed ADM's. To check the correctness of GSA Overriding Commission payment by comparing actual payment vis-à-vis amount payable as per flown revenue statement generated by PRA system. GSA agreements and flown revenue statement will be provided Workshops for various regions to discuss educate about the audit and mutually understand the challenges Audit of Unbundled Services – Seat Selection, Prepaid Baggage Comprehensive and customized audit reports


67

1.2 i. Ensure that each ticket sold complies with published fares in ATPCO. Each component on the ticket to be checked against the diverse and complex rules of airline fares and commission programs to detect any discrepancies. Discrepancies to be detected ii. Identify whether the commissions claimed by the agents are as per the commission matrix provided by Air India. iii. Check on flights, NO show reporting and other non PNR transactions related to passenger bookings and listings. iv. Check Quote fares from the system with applicable taxes for different types of journeys, with different carriers, discounts and class of travel v. Check the display of different applicable taxes with conditions and re calculate fares and reissue tickets from the system. vi. Itinerary Pricing, PNR Pricing Functions, Fare Construction Inputs, Fare Rules and Tax Displays, ROE and Currency Management (Conversion Functions). vii. FFP award tickets viii Revalidation ix. Refund, exchange tickets, paper ticket (if any), miscellaneous sales and Automated EBT, etc. x Calculate fares for different types of journeys as per booking class and applicable fare xi. To apply basic fare construction checks in fare construction xii. Fare selection criteria and currency rules. Mileage system vs. lowest combination principle

Mandatory

1.3 Published Fare and Rules Audit The published fare check process consists of two

Mandatory


68

steps: The Fare check process - in this step, the fare and rule number applicable will be found using Origin, Destination, Fare-basis, Full map routing match and outbound journey start date. The Rules application process - Tickets for which fare and rule number have been found, to be checked for the application of specified published fare rules using following processes :

Footnote processing Tariff Rule processing General Rules processing

1.4 Unpublished Fare and Rules Audit The audit process checks the compliance of ticketed itinerary with the rules and conditions specified for the authorized deal in the deals database. Any discrepancies found during the audit process results in non-compliant tickets being marked as VIOLATIONS. The rules and conditions, corresponding to the ticketed fare basis and tour code are verified by the system.

Mandatory

1.5 Passenger Type & related discounts The codes with reference to all types of passengers has to be mentioned on the ticket in either of the following areas:

i. After the Fare basis code ii. Endorsement/remarks box i ii. Name field

In case of ship crew discounted tickets, it is mandatory to mention the concerned flagship in the endorsement box only. .Special Fare basis for a PTC, supported by details on Endorsement field. (Above is for concessions e.g., Armed forces concession, Fare basis code is HMIL50, Student concession - SD50).

Alternate logic: In case a discount is applied on the ticket in absence of a passenger type code mentioned in

Mandatory


69

any of the areas as mentioned above, the fare should be raised to a normal fare without any discounts. AI will provide Bidder with details of the private fares or deals where applicable.

1.6 Fare Audit of Tickets issued :

Recipients of Gallantry Awards

Senior Citizen Discount

Sports Person Discount

Student Discount

Arjuna Awardees

Blind Person Discount

Cancer Patient Discount

Stretcher Passengers

Locomotor Disability Concession

Discover India Fares

Youth Fares

Industry Discount

Staff Travel - SOD / SOL /SOT

GOI Travel

Tour Conductor‘s Rebate

Companion Free Scheme

Zero fare ticket

Incentive ticket

TSC ticket

Deportee ticket

Charter ticket

Free / Rebated Tickets

eSuperSaver Ticket

FFP Award Tickets All such tickets to be checked for o Correctness for fare as per fare basis mentioned o Booking class as per fare basis o Endorsement restriction as per fare basis o Baggage allowances as per fare basis o Validity columns as per fare basis.

Mandatory


70

o SOL Ticket validity as per rules o Verification of supporting documents for various Tour conductor , complimentary, Agency discount, Custom Escort & SOD etc.

1.7 Sector Fares

Point to Point Fares

Through Fares

Flight Specific Fares

Round Trip Fares

Fly Select Fares

Excursion Fares

APEX fares

Positioning Flight Fares

Spot Fares

Day Return Fares

Promotional Fares

Mandatory

1.8 EBT with incorrect sector

RFIC violation of EMD

ACM audit covering PLB/Incentive

Incorrect fare basis

ARC on ADM raised basis

ACM raised against ADM

Dual utilisation audit

Serial control check

Mandatory


71

1.9 Alternate Fare Calculation

Alternate/Applicable Fare calculation is carried out whenever there is any violation determined by the system.

For fare violation the system determines the correct applicable fare.

For rule violation, system searches for the next higher fare that satisfies all ticketed conditions (either in the same class or higher class). This new fare is termed as the alternate fare.

However, during Exception Management / Review process, user is given option to override the system generated alternate fare amount. Each of the manual user actions of Override OR Action is audit trailed in the system for Quality control.

Mandatory

1.10 Voiding Charges : Check whether Void Charges on voided tickets have been collected on any type of ticket, whether issued through ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP (Billing and Settlement Plan) or by GSA/Reporting Agent. Ticket History of VOID tickets to be checked for irregular entries i.e. Check-in, boarding etc. Date of issues and date of VOID to be checked for any difference. (Such cases are possible fraud cases.). In case of any violation ADMs to be raised.

Mandatory

1.11 Ticket Identification

Following information is used to identify ticket as Published OR Un-published. Information in the Tour code box.

Special Information in the Fare Basis.

Information in the Ticket Designator box.

Post-identification, the Fares and Rules for the specified type are checked by the Audit engine

Mandatory


72

1.12 Taxes This audit is performed to check, whether all the applicable taxes with correct amounts have been collected as per the ticketed itinerary. The Tax Audit process involves:

Identification of Sale-based taxes including Airline taxes & surcharges on the ticket.

Identification of Interlineable / Non-Interlineable taxes.

Identification of arrival / departure taxes.

Identification of Collectible amounts for individual taxes.

Checking for passenger type, journey type, travel period, Place of issue, ISI indicators & arrival / departure city /airport etc.

Ticketed routing in terms of taxes and comparing these against taxes collected on the ticket.

Identifying the taxes which have not been collected.

Identifying short collections.

Checking for any exemption for a tax.

Mandatory

1.13 Commission check is done on the information available from the ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP(Billing and Settlement Plan) / Manual/GSA agreements or any other documents as required from time to time Sales data to ascertain whether valid commission has been deducted by the Agency.

The Commission audit Process involves;

Checking commission status of the Selling Agency

Checking Commission status of Fare / Deal

Checking for Routing Exceptions (e.g. Domestic / International Travel) Checking for Fare Basis / Booking Class Exceptions

Checking for Agency Exceptions

Checking for Area, Currency and Period of Sale exceptions. Checking for any Commission Capping

Validate applicable commission vis-à-vis

Mandatory


73

claimed commission and excess claimed be marked as Violation

1.14 Fare Rules includes all auditable rules attached to a fare. These need to be adhered towhilst booking and ticket issuance. Any restriction or condition, which is not covered in this document, will be adhered to in compliance to the IATA general Rules.

Mandatory

1.15 Deal Code/Tour Code box on the ticket Tickets issued with Published or Private fares filed in the GDS:

The agent shall leave The Tour code box blank.

Tickets Issued with Deal fares:

The tour code box should populate the correct deal reference as mentioned on the sanction that the agent has referred to whilst quoting the fare, along with the valid version.

Alternate logic: A penalty as discussed and agreed by Successful Bidder and AIR INDIA shall be applicable for tickets that do not populate the correct tour code/Version on the ticket. For missing deal codes, the applicable published fare would be applied. AI will provide Bidder with details of the private fares or deals where applicable.

Mandatory

1.16 Area Validity of Fares Tickets Issued with Deal fares: If AIR INDIA allows cross-area sale within the same country, however disallows the cross-border sale. Tickets issued with Published or Private Fares filed in the GDS: Certain published and private fare rules mention the valid area of sales using these fares, this need to be adhered to as mentioned in the GDS.

Mandatory


74

Alternate logic: Tickets Issued with Deal fares: The entire ticket fare shall be raised to the next applicable deal fare. Deal mapping will be done and a deal ticket cannot be raised directly to a published level if there are deal fares available. If none of the available deal fares apply to the ticket issued, the ticket will be raised to the applicable published fare.

Tickets issued with Published or Private fares filed in the GDS: The entire ticket fare shall be raised to the applicable published fare.

1.17 Deal Agent Only those agents whose IATA code is populated in the authorized agent list mentioned in the deal can use agent specific deals.

Alternate logic: Tickets Issued with Deal fares: The entire ticket fare shall be raised to the next applicable deal fare. Deal mapping will be done and a deal ticket cannot be raised directly to a published level if there are deal fares available. If none of the available deal fares apply to the ticket issued, the ticket will be raised to the applicable published fare Tickets issued with Published or Private fares filed in the GDS: The entire ticket fare shall be raised to the applicable published fare. Special Notes: All deals that allow such conditional sale by the agents should specify the agency codes on the deal-sheets. Audit shall be performed as per the deal-codes and not as per agency name.

Mandatory

1.18 Minimum/Maximum stay abuse Checking to see if the rules concerning minimum and maximum stay on net contracts are being adhered to. The Minimum &Maximum Stay period as derived from the date of travel on the ticket should be as per the Stay conditions as specified in the fare rules

Mandatory


75

in GDS or on the deal. Alternate logic: Minimum and maximum stay will be ascertained by the dates of travel. If the same cannot be ascertained from the dates of travel, in case of open tickets, then the NVA and NVB box on the ticket will be referred to. If the NVA box is empty then the fare is assumed to be a full year fare. IATA ruling for definition and calculation of minimum and maximum stay are to be followed for the purpose of audit.

Class use Checking to ensure correct ticketing class is being booked and entered on the net tickets.

Mandatory

1.19 Advance Purchase requirements Advance purchase condition of a fare states the validity of the reservation and ticketing dates. Advance purchase is calculated from the difference between the date of issue and the first travel date of the journey or the difference between the date of reservation and ticketing, as the case may be mentioned in the condition of that fare. Alternate logic: There shall be a debit note raised in case of the non-compliance to the above condition. The net amount of the note shall be the difference between the fare ticketed and the next higher applicable fare. Checking to ensure that documents have been issued in accordance with the advance purchase requirements of IATA excursion fare rules.

Mandatory

1.20 Flight Violation If the fare rule filed in the GDS or in the deal specifies a restriction regarding the travel on a specific flight (either applicable or not applicable), the itinerary and the choice of flight numbers should be planned accordingly.

Mandatory


76

Alternate logic: There shall be a debit note raised in case of the non-compliance to the above condition. The net amount of the note shall be the difference between the fare ticketed and the next higher applicable fare. Ensure supplements are charged when a contract requires additional payment for particular flights, dates or destinations.

1.21 Seasonality Violation Seasonality of any fare is always determined by the first international outbound departure. Alternate logic: If the travel on the ticket is booked for a high season, but a lower season fare is remitted, then the debit note shall be raised for the difference in the fare.

Mandatory

1.22 Blackout Violation Blackout restrictions prohibit travel during that period. As per the general rules, any part of the journey is not allowed during the restricted period. However there are certain special fare rules that may mention restrictions on specific parts of the journey with regards to the blackout period. Alternate logic: In case of non-compliance with the above, the fare shall be raised to the next higher applicable fare.

Mandatory

1.23 Add-ons Ensuring correct regional and domestic add-ons are being used. Ensuring correct regional and domestic add-ons are being used in conjunction with IATA fares. Constructed add-ons Ensuring correct use of add-ons for normal IATA fares to and from points which have no published fares in the Tariff, but the use of add-ons are required for

Mandatory


77

construction

1.24 Child/Infant discounts Checking that children and infant fares are supported, and the correct discount is being applied. Ensuring infant fares are used only when infant fares are available. Check Adult Ticket Number DOB Booking status (NS) One Infant per adult is allowed 2nd Infant ticket to be on Child fare. Any violation to be marked and next level of fare to be applied for that class/Fare Basis

Mandatory

1.25 Open Jaws Ensuring that correct open jaw rules and regulations concerning normal IATA and excursion IATA fares have been adhered to.

Mandatory

1.26 Stopover checks The itinerary quoted on the ticket should be in accordance with the stopover condition mentioned in the fare rules, filed in the GDS or as mentioned on the deal. This occurs when the number of stopovers taken in the journey is more than the numbers specified for that fare. In case fare rule for a NORMAL (unrestricted) published fare is silent about the stopover condition, it is assumed that the fare rule permits unlimited stopovers (in accordance to the Standard condition for Normal fares — based on IATA resolution 101). In case fare rule for any special fare is silent about the stopover condition, it is assumed that the fare rule does not permit any stopovers (in accordance to the Standard condition for Special fares — based on IATA resolution 100). In case a deal fare rule is silent about the stopover condition, it is assumed that no stopovers are permitted. If the fare rule filed in the GDS or in a deal mentions that a specific surcharge amount is applicable in

Mandatory


78

case of an additional stopover is routed in the journey, the same is applicable only to that specified city. Alternate logic: A debit note shall be raised accordingly, if the above-mentioned rules are not complied with. Checking for abuse of stopover rules, where stopovers are not permitted, or limited. Ensuring stopover fees are paid where stopovers are permitted at a surcharge.

1.27 Season checks When seasons are applied to contract fares, checking to ensure the correct seasonal level is being used. Ensuring the correct seasons are used, when applicable to IATA excursion fares.

Mandatory

1.28 Incorrect carrier combination Where a contract allows the use of a mixture of carriers to certain destinations, checks are made to ensure the correct carriers, and classes are used.

Mandatory

1.29 No Show Audit Get ‗No Show‘ report form DCS Get Ticket Detail and agent detail from PNR Raise ADM for ticketed fare basis/class as per relevant fare rule In case Ticketing is not done than raise ADM for full fare of corresponding booking class on booking agent.

Mandatory

1.30 ACM audit Calculate ACM for PLB as per relevant circular. Calculate amount of ACM as per relevant rules of Refund/Issue Check for duplicate refund of Group advance by matching PNR/Group name/ Receipt number/agent name and/or code. This check is required to be carried out for ACMs processed during last 12 month period. ACMs for Reversal of ADMs to be adjusted from

Mandatory


79

Billing after due verification and as per mutually agreed commercial waiver limits. Remaining unadjusted ACMs for reversal of ADMs to be advised to Air India. Audit should include checking Discount/incentive/ Corporate Incentive payment for the Deals agreed and Productivity linked bonus paid to the Agents vis-à-vis payable as per flown revenue statement as per the agreements . Copy of the deals/ agreements / flown revenue statement will be provided.

1.31 Open dated tickets For the issuance of all open dated tickets, it is of utmost importance for the fare rules to mention that open returns are permitted. If the fare rules mention any of the following i.e.: reservation required for all sectors, confirm reservation required/standby, waitlist not permitted for all sectors, then open dated tickets shall not be permitted. For all open dated tickets the NVA and the NVB boxes need to be filled in appropriately. Incase of open-dated tickets, the NVB/ NVA dates shall also be considered to determine via city as a transfer or a stopover. Alternate logic: If the above is not adhered to, the fare shall be raised to the next applicable published or sanction fares as the case may be. In the open dated tickets, if the NVA and the NVB boxes are blank, it shall be treated as a one-year validity ticket . Such cases are to be marked as Violations but without penalty

Mandatory


80

1.32 Management Information Audit Compliance Check that correct Fare Basis, Ticket designator have been used, if specified within contract Checks can be made to ensure Management statistical audit codes have been applied, where required. This relates to ensuring that correct tour codes corresponding for deal issued tickets are annotated on the tickets, for example.

Usually, misuse of CAR codes, Fare Basis and Ticket designators, where yield class and fare is correct, could either be ignored or attract a penalty fee, as directed by the airline.

Mandatory

1.33 Class use Checking correct class for ticketing has been booked and shown for IATA excursion and normal fares.

Mandatory

1.34 Weekend surcharges Surcharges include the up-sell charges between classes and also the security charges like Q surcharge. These Up-sell surcharges will be as per the amount mentioned in the deals or as in the published fare rules. Q surcharge is neither included in the sanction fares nor the published fares, unless specifically stated. The same will have to be charged over and above the fares applicable for the ticketed journey. Unless otherwise specified in the fare rules/deal, no discounts are applicable on Q surcharges. Q surcharges charged from the YQ/ YR tax sheet are not commissionable. However, Q surcharges in the fare rules are commissionable since they are a part of the fare. Alternate logic: Surcharges to be audited as per the sanction code on the ticket or published fare rules, as the case may be. Debit note to be issued in case of violations detected in either case. Weekend surcharges

Mandatory


81

Ensuring correct weekend surcharges have been collected when flights are booked on weekend surchargeble days. Ensuring correct weekend surcharges are applied when IATA excursion rules require weekend surcharges to be paid.

1.35 Booking Class The booking class hierarchy for AIR INDIA services must be referred. The booking class mentioned on the ticket should match with the booking class as specified for that fare in the deal or the GDS as the case may be. Alternate logic:

In cases of non-compliance to the booking class restrictions, the bill shall be assessed on the basis of the difference of the fare that is remitted on the ticket against the fare that should have been as per the booking class used for published or deal fare as the case may be.

Mandatory

1.36 Expiry checks Ensure tickets are issued within the validity of IATA excursion fares, when they have an expiry deadline.

Mandatory

1.37 All the processed data will be open to verification by AirIndia on its own or by its authorized agency. All the processed data will be kept for such verification for a period of 5 years.

Mandatory

1.38 Correct fare calculation Ensuring the correct NUC fare calculation is used for normal IATA fares.

Mandatory

1.39 Dirmin Checks Ensuring the use of the Dirmin check when one way SOTO/SOTI/SITO fares have been calculated.

Mandatory


82

1.40 Country of Origin Check Ensuring that the Country of Origin check has been made when one-way fares re-enter the country of origin, on normal IATA fares.

Mandatory

1.41 Backhaul Checks Ensuring that a backhaul check has been made to all one way fares with a HIP, on IATA fare construction.

Mandatory

1.42 Circle Trip Minimum Ensuring that a Circle Trip Minimum check has been made to all circle trips fares including a HIP on either the outbound or return sectors of the itinerary, on IATA constructed fares.

Mandatory

1.43 Combination Restriction As per the general rules, special fares are combinable, unless otherwise specified in the fare rules. If the combination restriction of any or both of the fare rules mentions, "Most Restrictive Conditions will apply", the same shall be adhered to. However note the following IATA rule for Combination, "Where a special fare rule requires that, when combined with other fares, the entire journey shall be subject to the most restrictive conditions of the fares used, such requirement applies to all conditions except Periods of Application (Day/Time, Seasonality, Blackouts), Children and Infant Fares, Routings Flight Application, HIP and Mileage Exceptions and Transfers. There are fare rules that allow combination of fares under the same rule and tariff. This condition is mentioned in the fare rules. The rule number needs to be checked before issuing the ticket with the said two fares as combined. Mixed Class : - Correct Net net fare to be ascertained /calculated and compared with amount paid/ billed by ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP(Billing and Settlement Plan)

Mandatory


83

Alternate logic: Non-compliance to the above shall be considered as a violation and the fare shall be raised to the next higher applicable combinable fare within the same cabin class. Unless otherwise explicitly mentioned in a particular sanction the following are not combinable: Published fares with deal fares and v.v. Deal Fares with Private fares filed in the GDS and v.v. Note: An agent is allowed to combine two different deals while issuing a ticket, in case of a violation the ticket will be raised to one single deal. But in other case, if the agent has used a single deal while issuing a ticket, then while raising to next higher applicable fare, the fare shall not be raised to a combination of two deals even if they are of same type.

1.44 Correct carrier combination, IATA excursion fares Ensuring correct combination of carriers is used whenever specified in IATA excursion fare rules.

Mandatory

1.45 Sale Validity violation

Tickets Issued with Deal fares: The sales validity condition mentioned on the deal has to adhere to at all times. The date of issuance of the ticket has to fall in the period of the Sale validity as mentioned on the deal. Tickets issued with Published or Private fares filed in the GDS: The sales validity condition mentioned in certain fare rules has to adhere to at all times. The date of issuance of the ticket has to fall in the period of the Sale validity as mentioned in the fare rules. Alternate logic: In case of a violation, i.e. in case the date of issue of the audit coupon is not within the sale validity of the any of the fare in the database of the ticketed deal code or fare basis (i.e.: published tickets), procedure to be followed:

Mandatory


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In case of a deal ticket: Fare shall be raised to the next applicable version of the deal code mentioned on the ticket. In case of a published ticket: Fare shall be raised to the alternate fare, which is applicable for the date of issue as mentioned on the ticket.

1.46 Travel Validity violation

Tickets Issued with Deal fares: The travel validity condition mentioned on the deal has to be adhered to at all times. The date of travel of the ticket has to fall in the period of the Travel validity as mentioned on the deal. Tickets issued with Published or Private fares filed in the GDS: The travel validity condition mentioned in certain fare rules has to be adhered to at all times. The dates of travel of the ticket have to fall in the period of the Travel validity as mentioned in the fare rules. There are certain Travel validity conditions that restrict the commencement or completion of travel and the same has to be adhered to as the case may be. Alternate logic: In case of a violation, i.e. in case the date of travel is not within the travel validity of the any of the fare in the database of the ticketed deal code or fare basis (i.e.: published tickets), procedure to be followed: In case of a deal ticket: The fare shall be raised to the next applicable version of the deal code mentioned on the ticket. In case of a published ticket: The fare shall be raised to the alternate fare, which is applicable for the date of travel as mentioned on the ticket. Special Notes - In case of any gap between the sanction date and the Travel date the same shall be attributed to 'Black out dates'. Travel shall not be allowed during this period.

Mandatory

1.47 Carrier Validity

Mandatory


85

Tickets that have the complete travel on any airline (OAL) other than AIR INDIA, then the same cannot be plated on AIR INDIA. If there is a requirement to do the same, due to the non-availability of the AIR INDIA services on those sector/s, then the in-connection with AIR INDIA ticket number, with travel on AIR INDIA flights should be endorsed on the above-mentioned ticket. If there is any carrier restriction mentioned in the fare rules/deal, then the same has to be adhered to whilst choosing the services of a particular carrier for those sectors. Alternate logic: In case of no appropriate endorsement with regards to the in-connection-with ticket number, the same shall be treated as a CIP violation. In case of carrier restriction violation, the fare shall be raised to the next higher applicable fare in compliance to the below mentioned procedure: - On identifying the CIP violation i.e. all the sectors on the ticket are flown any other carrier other than AIR INDIA, the in-connection-with document number shall be checked for as an endorsement. In absence of the same, a debit note against CIP violation shall be issued The procedure to raise to the next higher applicable fare in case of identified CIP violations shall be to : a. Apply a full AIR INDIA normal fare in the cabin class traveled and allow the commission as per the AIR INDIA commission sheet for that itinerary. b. If no AIR INDIA fare is available then the bill shall be raised to a full IATA normal fare with due commission allowed. No exceptions will be applicable to STAR Alliance Carriers and therefore our normal CIP rules will apply. E.g. Round the World fares:

1.48 Correct carrier combination, IATA normal fares Mandatory


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Ensuring that any carrier ticketed on CIP of host carrier has a valid ticketing agreement with that carrier (list to be provided).

1.49 Seaman fares Ensuring the correct ship details are included on documents to support seaman discounted fares.

Mandatory

1.50 Spouse fares Ensuring the correct conjunction tickets are issued for spouse and partner type tickets and fare rules are applied for ticketed itinerary. Any violation to be marked and ADM raised.

Mandatory

1.51 AD/ID discounted fares Ensuring that industry and agency discount tickets are issued in accordance with the airline's, and IATA's, rules and regulations, and that fares have been used that allow such discounts.

Mandatory

1.52 Revalidation Get the report from Accelya /Datamart showing variances in ‗Booked‘ class, Date & Sector vis-à-vis ‗Used‘Class, Date & Sector. From DCS history and/or ET history collection detail of difference in fare , to be matched with fare rules and variance if any to be marked as Violation with identification of agent responsible for such check-in (In case ticket is reissued for revalidation than it will be covered under exchange transaction)

Mandatory

1.53 Groups The agents misuse the flexibility given in the group sales many a times as there is no parameterized way for airlines to check this easily . To identify any misuse of sanctions –be it for violation of size or any other violation. with PNR Checks as and when necessitated.

Mandatory

1.54 Any ticket which is being refunded – status to be checked with DCS History that should not hold the status of FLOWN and/ or having entry of Flown/CHECK IN/ REFUND in the history of ET at any time for that coupon.

Mandatory


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1.55 Routing Violation In case of the ticketed fare being a routing fare, the travel on that ticket needs to be in tune with the routing. From the routing mentioned, intermediate points may be omitted, if a more direct routing is used, and no additional point is added. However notes governing the indirect routing are applicable also to the more direct route. Route options are shown in one direction only. Alternate logic: In case of non-compliance with the above, the fare shall be raised to the next applicable published or sanction fares as the case may be.

Mandatory

1.56 Air India would provide with the range of ADM numbers which would be distributed and /or uploaded to the ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP(Billing and Settlement Plan)

Mandatory

1.57 To match refund value of exchange documents with the reported sales value of original document for any variances.

Mandatory

1.58 To check Endorsement from endorsement field wrt fare basis i.e. Restrictions as per fare rules has been mentioned or not. To read information from Endorsement field and report with other fields of document.

Mandatory


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1.59 Verification of audit results; All tickets, reported with violation, are required to be stored in the Error Trap Queue. By setting the Post-audit filters, user is given the option of overlooking or waiving certain violations. Post-audit filter parameters are applied to all the tickets with violations. Those tickets, which do not fulfill the post audit filter criteria, are marked for revenue recovery through ADMs. As mentioned, each of the auditor actions is audit trailed for Quality controls. In case of tickets being identified as Suspects, details are sent to the airline for confirmation on raising debit notes. On receipt of response from the carrier, suitable action is taken to close the exception.

Mandatory

Summary Table for INPUTs:

Sr. No

Input Format

1. Data files BSP HOTS, TCN/GSA/Booking Office or any other data required for the Audit

2. Fares Access to CRS and deal sheets in soft or physical format.

3. Masters All specific airline related masters. E.g. Airline Masters, Agency details, Commission rates, Currency Masters

4.

Taxes TTBS / RATD and access to CRSs for Airline Taxes (YQ/YR)

5. ADM related BSP link access, final ADM series

6. Contacts BSP / station contacts, escalation contacts.

Communication with stations to which sales and fare sheets pertain to: Query handling

Sr.No. Type Process


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1. Sales: Published / Unpublished

- Single agent with similar violations: Minimum 5 tickets. - Multiple agents with similar violations: Minimum 20 tickets.

2. Refund - Single/Multiple Agent within an Area with similar violations — Minimum 25 tickets

Query mail will be sent to Station in-charge with a cc to the Sales manager. Turnaround or query will be 10 working days. If there is no resolution within 10 days, ADM will be raised and details will be provided to Air India Limited In case of documents issued by Non BSP agents , separate query to be generated for GSA and BO/ATO/WEB etc IATA Code wise A consolidated list will be sent on a monthly /quarterly basis to all parties concerned detailing the queries pending for resolution. Queries not answered after escalation will be highlighted. Along with this, the logic applied by Successful Bidder to close these cases will also be included so that AI/. Successful Bidder can action accordingly. REFUNDS



Refundable amount is checked with respect to the correctness of the refund claimed or any other violation audit / checks as specified from time to time for any AI issued documents

2.1 Refundable amount is checked with respect to the correctness of the refund claimed by the Agency. Refundable -ticket coupons are required for calculating the applicable refund.

The Process involves following:

Identify whether sales has been reported against the refundable document.

Identification whether ticket is refundable or not as per endorsement restrictions Ticket with NON Refundable endorsement to be

Mandatory


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marked for VIOLATION

Check any ‗Check-in‘ entry exists in the history of ET. Any ticket with such entries to be treated as NO SHOW.

Identification of Refunds as Full / Partial Refunds

Full Refunds are checked for Refund Restrictions / penalty

Partial Refunds audit involve, apart from restriction check, re-pricing / re-construction of flown journey and calculation of refundable amount.

Checks are done for finding the commission/incentive to be recalled in case the ticket was commissionable/ incentive paid.

Checks are done whether the correct tax amount is refunded.

Check to ensure that all the unused coupons have been received (in case of manual TSR) Re-pricing is done using CRS / ATPCo

2.2 Cancellation fee not paid Ensuring that any cancellation fees, both on net documents, and IATA excursion fares have been applied.

Mandatory

2.3 Incorrect cancellation fee paid Ensuring that the correct cancellation fee or percentage has been charged to net and IATA excursion fares.

Mandatory

2.4 Fare non-refundable Ensuring that no fare, net or IATA excursion, which does not allow for a refund, is being refunded.

Mandatory

2.5 Commission Ensuring commission at the correct rate is repaid on any refund, or refundable portion, of a fare.

Mandatory


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2.6 Full refund on partly used ticket Ensuring the correct amount of refund is calculated on partly used net or excursion IATA fares.

Mandatory

2.7 Conjunction ticket refunded separately. Ensuring any conjunction tickets are refunded correctly, and not separately, avoiding duplicate refunds.

Mandatory

2.8 Duplicate refunds Ensuring that refunds of documents are not duplicated.

Mandatory

2.9 Correct original airline Where tickets have been reissued, ensuring documents are refunded through the correct original carrier.

Mandatory

2.10 Checks Ensuring refund requests are made from the original ticketing agent.

Mandatory

2.11 Credit Card Refunds Ensuring all refunds, originally paid for by credit card, are not refunded as cash and are refunded to the same credit card.

Mandatory

2.12 IATA fare construction Re-constructing IATA normal published fares, to ensure correct refund value is being applied.

Mandatory

2.13 SITI to SOTO refunds Where SITI type documents are partially refunded, and the flown journey becomes a non-SITI type fare, checks are made to ensure that the correct rules and checks are made to the reconstructed fare before refunds are calculated.

Mandatory

2.14 Tax refunds Ensuring that only tax which is refundable has been refunded, and any tax applicable to a flown journey, on a partially refunded document, is not refunded.

Mandatory


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EXCHANGES (REISSUED DOCUMENTS)



3 5. Re-issues/Exchanges : All tickets, which show an entry in the original issue are treated as reissued ticket. The audit for these tickets is carried out in two parts.

Part 1 A normal audit is carried out by the system based on the ticketed journey. Here the ticket is treated as a new issue for the purpose of checking rule applicability and on the new reissued fare for any violation , if any. For original ticket in case of partial utilization re-pricing is to be done to know remaining value according to applicable ticketing rules. Reissued tickets validity to be checked as it flows from original issues any violation of it to be marked. Part 2

Audit is performed for tickets, which involve any financial transactions in terms of ADC or refunds. The reissued ticket is priced with respect to the original issue. This is checked against the reissued fare (ADC) paid or claimed by the Agency. This may have to be done manually due to requirements of the old data.

Mandatory

3.1 Foreign Exchange Documents Ensuring all exchange documents, originally issued in a currency different to the currency of the station audited, have been issued at the correct bank rates.

Mandatory

3.2 Fare recalculation Ensuring the new fare has been recalculated correctly.

Mandatory


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3.3 Tax recalculation Ensuring correct or additional tax has been included on the reissued document.

Mandatory

3.4 Unsupported Exchanges Ensuring that all uplifted flight coupons supporting the exchange document have been included.

Mandatory

3.5 Excess commission claimed on Taxes and rebooking charges of reissued document to be checked Checking correct sectors issued against unused sector of the original document

Mandatory

4. AUXILLARY SERVICES


Response (Yes / No)

4.1 Agency has to follow up with the Agents for post billing disputes. Recover the money wherever it may have been intentionally or unintentionally underpaid..

Mandatory

4.2 Service A service to check that agencies issue correct value MPDs /EMD for the journey and fare requested, and issued by the airline at the airport and country concerned.

Mandatory

4.3 VOID tickets Ensuring that all coupons of VOID tickets are included, and documents are not shown as refunded.

Mandatory

4.4 To check the correctness of GSA Overriding Commission payment

Mandatory

4.5

Commission Checking For the airline that has reduced its

Mandatory


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commission rate, Successful Bidder should be able to provide a report on those ticket transactions where the commission rate claimed by an Agent/GSA/PSA is greater than the approved rate. This information can either be used to advise the Agent of the error and that any repetition could be subject to recovery action, or be used to raise ADMs immediately. Where the agent issues the ticket on the paper of an airline that has not reduced commission levels, the Successful Bidder should be able to provide a report detailing those tickets where the Plating Carrier does not appear in the itinerary. The Plating Carrier is then able to take whatever action is appropriate against the Agent. The scope may include any other violation audit / checks as specified from time to time for any AI issued documents

WAIVER MANAGEMENT


Response (Yes / No)

5.1 Handling of waivers All waivers, authorities to be given to Successful Bidder as per prescribed format which will include: 1. Document Number 2. Name of Passenger 3. Flight No! Date of Travel 4. Fare basis/RBD 5. Sector of travel 6. PNR 7. Waiver type viz. Date change /

Cancellation penalty/no shows/ minimum group size/weekend surcharge

8. Reason for waiver

Mandatory


95

9. IATA Code The scope may include any other violation audit / checks as specified from time to time for any AI issued documents for which requirement will discussed and finalized in due course

An online and offline Waiver Management Tool to support Air India

6 INTEGRATION


Response (Yes / No)

6.1 Ability to integrate : SITA PSS Application System GDS IOCC Reports to give auditor easy visibility to the schedule change and the delay involved. Data Distribution to Stations During any up gradation either from bidder or airline end. Information about Flight changes and delays will be provided by the airline.

Mandatory

7 REPORTS


Response (Yes / No)

7.1 Generate Reports suitable for internal and external distribution, with various combinations. Comprehensive and customized audit reports and statistics support airlines management indecision making, market and fraud analysis. This includes agents‘

Mandatory


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behaviour, the most common mistakes, recovery levels, historical trends, problem areas sorted by agent, error reasons, destinations etc. As part of the audit output, after the review of the results by the airline, Successful Bidder should provide multiple BSP Wise MIS reports in Excel or other editable format for each billing cycle. A few examples are:

Original Volumes received for audit giving detail of sectors, fare, taxes, date of issue etc

System Generated Violation Report with detail

Number of ADM's raised along with values and detail of violation with document number etc..

Detail of Violation waived by Successful Bidder after quality check and Air India during review.

Detail of Finalized ADMs not raised with reason.

Breakup of each violation Type.

Comprehensive report on List of Violations reported ,ADM raised ,not raised with reasons,ADM disputed,rejected,dispute accepted with reasons ,settled per month

Query log Formats for the above mentioned reports & any other report could be customized according to airline needs and requirements without any cost. AI will require online and offline reporting tool

7.2 Executive Summary - Monthly Tickets Audited Number of ADMs issued and error rate Amounts issued, paid and cancelled

Mandatory


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Total ADMs Settled Year to Year comparisons Listing of Reasons --sorted by number of ADMs and amount Aging Report of every debit memo in the system Late Reported Tickets Outstanding Reported Sorted

7.3 Submission of Audit results - ADM Raising

Vendor provides the option of raising the ADM (Agency Debit Memos) for all the violated tickets for effective revenue recovery. ADMs are generated by inheriting ticket information and audit result information from the database.

Should the airline wish to exercise this option, the ADM formats would be as specified by the airline based on the associated BSP Areas. Alternatively, Successful Bidder can raise the ADMs in the standard IATA BSP format. The ADMs will be raised and supplied in an electronic format.

Vendor also provides the option of providing an electronic file, which can be directly loaded in the BSP systems using the BSP link facility. For Non BSP/Non ARC / PSA Male issued documents , regular reports of violations to be sent and follow up for admission of the errors are to be done on monthly basi

Mandatory

7.4 Various MIS reports in Excel Format would be provided to Airline on a monthly for each BSP/ARC separately These reports would include: 1) Breakup of ADM's based on type. : Refund violations % Fare % Tax %

Mandatory


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Commission % Reissue violations % VOID Violation 2) Breakup of ADM's fare violation wise Fare Basis Fare Stopover Deal code Seasonality Booking Class And so on 3) Breakup of ADM's tax violation code wise: UR % MY % YQ % WY % UT % 4) Agent wise Breakup of ADM's commission violation wise: Domestic PublishedInternational 5) Breakup of ADM's deal-code wise: 6) Breakup of ADM's — Top 10 agents:

8 BILLING


Response (Yes / No)

8.1 Method of billing to AIR INDIA for the above services in the BSP/ARC/Airline dedicated environment : Post completion of audit, the following should be the post audit process which would lead to invoice generation.

Raising of memos on violations identified.

Verification of all memos raised.

Compiling all memos and generating a consolidated report.

As a review process is in place, the consolidated report would be verified by the airline. On receipt of verified files, all approved ADM's should be converted to final billings and memos are loaded on ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP(Billing and

Mandatory


99

Settlement Plan) or soft / physical copies dispatched.

Uploaded ADM's will be checked on ARC ( Airlines Reporting Corporation), ASD – Air Service Desk ( China), PSA ( Male) and BSP(Billing and Settlement Plan) for successful upload.

Rejected cases are re-checked by Successful Bidder. In case of a dispute, these cases are required to be dispatched to the airline with all supporting documents available.

Cases pending for queries should be converted to memos depending on the resolution received from airline.

Invoices should be raised on a monthly basis. This would include all approved memos.

Audit Reviews by stations before issue of final ADMs Once the audit is complete, Successful Bidder shall forward the results to the airline for review & verification. Process for this would be :

Vendor submits results to the airline as schedule defined.

Airline to verify results and submit review to Successful Bidder within 10 working days.

In case of any disputes, Successful Bidder to re-check and inform airline of the outcome within 3 working days of receipt of feedback from airline.

All results to be finalized within 15 working days from the date of 1st dispatch of results by Successful Bidder.

The results will have Confirmed Violation and Suspect Tickets.

Confirmed Violations — All such tickets that have one or more violations on it.

Suspect Tickets - Suspect tickets are the ticket that shows a pattern of consistent violations on them. Successful Bidder


100

should send the list of such tickets to airline during the audit process or with the audit results for re-view before raising any ADM's.

On receiving the re-view Successful Bidder would categorize suspect tickets either as confirmed violations or OK tickets.

It is envisaged that the airline would do a detailed review of the results in the initial phase.

Subsequently, sample verification can be carried out, if necessary. In order to avail of expeditious resolution of interpretations, the Successful Bidder is expected to use all means of communications with the stations.

Audit results are available in the following options:

Web based View The results should be made available online on a secure website. The airline can check the results over the web and advise their acceptance / rejection of the individual cases. Facility for downloading the result from the web should also be made available. Excel File

Vendor would mail the results in an excel file for verification by the airline. After review, airline can forward the same file back to Successful Bidder for their records.


101

9 TRAINING


Response (Yes / No)

9.1 Vendor shall provide an instructor led training course to Air India super users to cover the features and business usage of the system, using a train-the-trainer approach Web based e-learning modules may also be made available to supplement the instructor led training delivery. As part of the training delivery, Product training guide to be offered. Training tool to be revised from time to time as and when requested by AI Training will be provided on a train the trainer approach.

Mandatory

10 RESPONSE TIME


Response (Yes / No)

10.1 The fare audit services transactions to be processed within reasonable time .

Mandatory

11 CUSTOMIZATION


Response (Yes / No)

11.1 The Bidder to customize the application, if needed, as per Scope of Work as agreed on a case to case basis.

Mandatory


102

12 SYSTEM / IT


Response (Yes / No)

12.1 Hardware / Software – The server hardware for Web, Application and Database Servers should have sufficient resources like CPU, Memory and storage to avoid any performance degradation. The Servers / Storage should have redundant features like RAID1 / RAID 5 / Redundant Storage controller, Dual power supply to avoid any loss of customer Data. The Operating System, Application software and Database software should be of the latest version and updated with the latest patches. The hardware and network infrastructure should have Warranty / AMC support from the Support firm with SLAs as per the Industry standard. The infrastructure should be backed up by UPS Power and have fire protection. etc. For any changes in the setup, the established Change Management process has to be followed.

Mandatory

12.2 IT Security Infrastructure a) Vendor must have yearly IT Security audit of its infrastructure from the reputed 3rd party audit firm. Vendor to share the details of the Security

Mandatory


103

audit done to Air India. b) All Servers and PCs / Laptops used in the setup should be installed with Antivirus with updated definitions. c) Internet setup must be protected by Firewall / IPS / IDS etc. d) Data Leak prevention (DLP) software / practices should be followed to safeguard the confidential data of Air India. e) Usage of CD Drive / USB / email should be restricted to safeguard the confidential data of Air India.

12.3 The system provider to ensure the scalability of the offered solution

Mandatory

12.4 Backup a) Vendor should follow Industry standard backup practices for Data Backup from the DB servers on external media on daily / weekly / monthly basis. b) Presence of DR setup will be given more weight age.

Mandatory

12.5 The system provider shall provide the well-defined escalation procedure for each severity.

Mandatory

12.6 Ensure confidentiality and integrity of data. The data on completion of contract should be made available to Air India in readable form.

Mandatory


104

13 IMPLEMENTATION


Response (Yes / No)

13.1 The system provider to provide the implementation plan / service deliverables with timelines The proposed time lines to go live is 90 days from the execution of contract

Mandatory




105

ANNEXURE VI


NON DISCLOSURE AGREEMENT

Dated ………………..

To ED - MMD Air India Limited

We acknowledge that during the course of bidding for Tender No. DEL/RMMA/ Fare Audit /003 dated 3.04. 2017 floated for Fare Audit Services, we may have access to and be entrusted with Confidential Information (Technical, operational, financial, marketing, business, or intellectual property nature or otherwise), whether oral or written, relating to Air India and its business that is provided to us pursuant to this Contract. In consideration of Air India making Confidential Information available to us, we agree to the terms set out below:

1. We shall treat all Confidential Information as strictly private and confidential and take all steps necessary to preserve such confidentiality. 2. We shall use the Confidential Information solely for the preparation of our response to the Tender and not for any other purpose whatsoever. 3. We shall not disclose any Confidential Information to any other third person or firm, company etc., without the prior written consent of Air India. 4. We agree to abide by the clause of confidentiality as listed in aforesaid Tender.

Certified that: I hereby confirm that I am authorized to sign the tender document and the information given in the tender is true and correct to the best of my knowledge and belief and nothing material is concealed. Date : _____________ Signature:_________________________________ Place :____________ Name: ____________________________________



106

ANNEXURE VII


AUTHORIZATION LETTER FOR ATTENDING PRE- BID CONFERENCE (ON COMPANY‟S/‟S LETTER HEAD)

Dated ………………..

To ED-MMD Air India Limited

Sub: Authorization for attending pre-bid conference

Tender No. ________________ Closing Date: ________________ Opening Date ____________ Opening Time _______________ The following persons is/are hereby authorized to attend Technical / Financial Bid opening of subject tender.

S.No. Name Email Id Contact No Signature



NOTE: 1. Permission for entry to the Hall where bids are opened may be refused in case

authorization as prescribed above is not received. 2. The authorized representatives, in their own, interest, must reach venue of bid opening

20 minutes before scheduled time. 3. The authorized representatives must carry a valid photo identity issued by the applicable

government authority.

ANNEXURE VIII


107


AUTHORIZATION LETTER FOR ATTENDING BID OPENING

(ON COMPANY‟S/‟S LETTER HEAD)

Dated ………………..

To ED-MMD Air India Limited

Sub: Authorization for attending bid opening Technical l/ Financial Bid

Tender No. ________________ Closing Date: ________________ Opening Date ____________ Opening Time _______________ The following person(s) is/are hereby authorized to attend Technical/ Financial Bid opening of subject tender.

S.No. Name Email Id Contact No Signature



NOTE: 1. Permission for entry to the Hall where bids are opened may be refused in case

authorization as prescribed above is not received. 2. The authorized representatives, in their own, interest, must reach venue of bid opening

well in time. 3. The authorized representatives must carry a valid photo identity issued by the applicable

government authority. 4. Separate authorization letters would be required for Technical and Financial Bid

opening.


108

ANNEXURE IX


BANK GUARANTEE FORMAT FOR PERFORMANCE SECURITY Date of issue:_(*) Bank Guarantee No. (*) Amount: (*) To ED -MMD Air India Limited, Registered office Address: Airlines House, 113, Gurudwara Rakabganj Road, New Delhi-110001. THIS DEED OF GUARANTEE is made on the (*) day of (*), 2017 at (*) By (*)Bank, having its head office at (*) (hereinafter called the ―Bank‖ which expression unless shall include its successors and assigns) in favour of M/s. Air India Ltd a company incorporated under the Companies Act, 1956, with having its registered office at Airlines House, 113, Gurudwara Rakabganj Road, New Delhi-110001, (hereinafter referred to as ―Beneficiary‖ which expression unless repugnant to the context hereto shall be deemed to include its assigns, in business, administrators and representatives). THIS DEED WITNESSETH AS FOLLOWS: WHEREAS ..................................................... ( name and address of the Successful Bidder) having its registered office at (*) (hereinafter called "the Successful Bidder" which expression shall unless repugnant to the context hereto shall be deemed to include its permitted assigns, in business, administrators and representatives) in pursuance of Tender Ref. No. (*) dated (*) (hereinafter referred to as the ―Tender‖) has been awarded the contract no. .................... dated .....................to supply (services of Fare Audit ) herein after called "the Contract")


109

AND WHEREAS it has been stipulated by the Beneficiary in the said Tender that the Successful Bidder shall furnish from a (*) bank a irrevocable Security Deposit (SD)/ Performance Bank Guarantee (PBG) @ 5% (Five Percent) Of The Total Contract Value Within Two (2) Weeks From The date Of award Of Contract; Thus we, the Bank have agreed to give the Successful Bidder such a bank guarantee for an amount of (*) being the amount equal to 5% (Five Percent) of the total Contract value towards Security Deposit / Performance Bank Guarantee (PBG) in favour of you, the Beneficiary.. In consideration thereof, we, the Bank, hereby at the request of the Successful Bidder, expressly, irrevocably and unconditonally guarantee the due performance of the Contract by the Contractor and undertake and guarantee to pay you (the Beneficiary) on written demand without demur and protest and without reference to the Contractor an amount not exceeding Rs.(*) /- (Rupees*) against any loss or damage caused to you (the Beneficiary) by reason of any breach by the said Successful Bidder. Your (the Beneficiary‘s) demand shall be conclusive evidence to us (the Bank) as regards the amount due and payable by the Bank under this Guarantee. We further agree that the Guarantee herein contained shall remain in full force and effect during the period as mentioned herein and that it shall continue to be enforceable till all the claims of the Beneficiary under or by virtue of the said Contract have been fully paid and its have been fully and properly carried out by the said Successful Bidder and accordingly discharges the guarantee. This guarantee shall not be revoked without the express consent of the Beneficiary and shall not be affected by the Beneficiary granting to the Successful Bidder any waiver, which shall include but not be limited to postponement from time to time of the exercise of any powers vested in the Beneficiary or any right which the Beneficiary may have against the Successful Bidder and to exercise the same in any manner at any time either to forebear or to enforce any covenant contained or implied in the said Contract or any other course or remedy or security available to the Beneficiary, and our Bank shall not be released from its obligations under this guarantee by the Beneficiary exercising any of its rights with reference to matters aforesaid or any of them or by reason of any other act or forbearance or other acts of omission or commissions on the part of the Beneficiary or any other indulgence shown by the Beneficiary or by any other matter or thing whatsoever which under law would, but for this provision, have the effect of relieving our Bank from its obligation under this Guarantee. The Bank, undertakes to pay to the Beneficiary, so demanded notwithstanding any dispute raised by the Contractor in any suit or proceeding pending before any arbitral tribunal or court relating thereto, the liability of the Bank under this Guarantee being absolute and unequivocal. The Bank further agrees that, no change or addition to or other modification of the terms of the Contract to be performed thereunder or of any of the contract documents which may be made between the Beneficiary and the Contractor shall in any way release the Bank from any liability


110

under this Guarantee and we hereby waive notice of any such change, addition or modification. We further state that, the Bank shall not be released from its obligations hereunder, except upon receipt by the Beneficiary of the entire amount due and payable under the terms of this Guarantee and/or any amendment (s) thereto and on the expiry of this Guarantee, within the period as mentioned herein below. That, the Bank hereby agrees that this Guarantee shall be binding on it and on its successors and permitted assigns and that this Guarantee not be affected by any change in the constitution of our bank or of the Successful Bidder or for any other reason whatsoever. That, the Bank further confirms that, this Guarantee has been issued with due observance and compliance of the appropriate laws in force in (*). That, the Bank shall be liable to pay the amount mentioned herein or any part thereof under this Guarantee only and the said amount shall be payable to the Beneficiary, upon the Beneficiary making a mere demand in writing. Such payment shall be made within 72 (seventy-two) hours of receiving such a claim or demand notice by the Bank. Notwithstanding anything contained herein above a) Our liability as guarantor under this guarantee is restricted to Rs.(*) /- (Rupees * only) b) This bank guarantee shall remain in force from (*) to (*) We, the Bank, undertake not to revoke this guarantee during its currency. In witness whereof of the Bank, through its authorized officers has set its hand and stamp on this ___ day of ____.

. ................................................................................ ( Signature of the authorized officer of the Bank)

.................................................................................

Name and designation of the Officer ................................................................................. .................................................................................

Seal, name and address of the Bank and address of the Branch


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ANNEXUREX

To BE INCLUDED ALONG WITH TECHNICAL BID

INTEGRITYPACT

Between

AIRINDIA hereinafter referred to as “The Principal”,

And

M/s (NAME OF VENDOR) hereinafter referred to as ―The Bidder/ Contractor‖

SIGNATURE OF ED-MMD PREAMBLE

The Principal intends to undertake procurement of services for The Principal intends to award, under laid down organizational procedures, contract(s) for .The Principal values full compliance with all relevant laws of the land, rules, regulations, economic use of resources and of fairness/transparency in its relations with its Bidder(s) and/or Contractor(s). In order to achieve these goals, the Principal will appoint an Independent External Monitor(IEM), who will monitor the tender process and the execution of the contract for compliance with the principles mentioned above. The IEM particulars appointed by Air India are as below: Name of IEM: Shri Pratyush Sinha


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Section 1 – Commitments of the Principal

1. The Principal commits itself to take all measures necessary to prevent corruption and to observe the following principles:- a. No employee of the Principal, personally or through family members, will in connection with the tender for, or the execution of a contract, demand, take a promise for or accept, for self or third person, any material or immaterial benefit which the person is not legally entitled to. The word „take‟ shall also include the past and future. b. The Principal will, during the tender process treat all Bidder(s) with equity and reason. The Principal will in particular, before and during the tender process, provide to all Bidder(s) the same information and will not provide to any Bidder(s) confidential/additional information through which the Bidder(s) could obtain an advantage in relation to the tender process or the contract execution. c. The Principal will exclude from the process all known prejudiced persons and persons who would be known to have a connection or nexus with the prospective bidder.

2. If the Principal obtains information on the conduct of any of its employees which is a criminal offence under the IPC/PC Act or the conduct rules of the Principal, or if there be a substantive suspicion in this regard, the Principal will inform the Chief Vigilance Officer and in addition can initiate disciplinary actions.

Section 2 – Commitments of the Bidder(s)/ contractor(s)

1.The Bidder(s)/ Contractor(s) commit themselves to take all measures necessary to prevent corruption in their dealings with Air India. He commits himself to observe the following principles during his participation in the tender process and during the contract execution. a. The Bidder(s)/ Contractor(s) will not, directly or through any other person or firm, offer, promise or give to any of the Principal‘s employees involved in the tender process or the execution of the contract or to any third person any material or other benefit which he/she is not legally entitled to, in order to obtain in exchange any advantage of any kind whatsoever during the tender process or during the execution of the contract. b. The Bidder(s)/Contractor(s) will not enter with other Bidders into any undisclosed agreement or understanding, whether formal or informal. This applies in particular to prices, specifications, certifications, subsidiary contracts, submission or non-submission of bids or any other actions to restrict competitiveness or to introduce


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cartelisation in the bidding process. c. The Bidder(s)/Contractor(s) will not commit any offence under the relevant IPC/PC Act; further the Bidder(s)/ Contractor(s) will not use improperly, for purposes of competition or personal gain, or pass on to others, any information or document provided by the Principal as part of the business relationship, regarding plans, technical proposals and business details, including information contained or transmitted electronically. d. The Bidder(s)/Contractors(s) of foreign origin shall disclose the name and address of the Agents/representatives in India, if any. Similarly the Bidder(s)/Contractors(s) of Indian Nationality shall furnish the name and address of the foreign principals, if any. Further details as mentioned in the ―Guidelines on Indian Agents of Foreign Suppliers‖ shall be disclosed by the Bidder(s)/Contractor(s).Further, as mentioned in the Guidelines all the payments made to the Indian agent/representative have to be in Indian Rupees only. Copy of the ―Guidelines on Indian Agents of Foreign Suppliers‖ is placed at (Page nos. 6-7) e. The Bidder(s)/Contractor(s) will, when presenting his bid, disclose any and all payments he has made, is committed to or intends to make to agents, brokers or any other intermediaries in connection with the award of the contract. f. This integrity pact shall override the confidentiality clause, if any, in the offer submitted by the Contractor/Bidder and in the agreement entered into by the Principal with the Contractor/Bidder. 2. The Bidder(s)/Contractor(s) will not instigate third persons to commit offences or acts

outlined above or be an accessory to such offences.

Section 3 - Disqualification from tender process and exclusion from future contracts If the Bidder(s)/Contractor(s), before award or during execution has committed a transgression through a violation of Section 2, above or in any other form such as to put his reliability or credibility in question, the Principal is entitled to disqualify the Bidder(s)/Contractor(s) from the tender process or take action as per the procedure mentioned in the ―Guidelines on Banning of business dealings‖. Copy of the ―Guidelines on Banning of business dealings‖ is placed at Page nos Section 4 – Compensation for Damages 1. If the Principal has disqualified the Bidder(s) from the tender process prior to the award according to Section 3, the Principal is entitled to demand and recover the damages equivalent to Earnest Money Deposit/Bid Security and other actual damages due to the consequential delay. 2. If the Principal has terminated the contract according to Section 3, or if the Principal is entitled to terminate the contract according to Section 3, the Principal shall be entitled to demand and recover from the Contractor liquidated damages of the Contract value or the amount equivalent to Performance Bank Guarantee. 3. The Contractor/Bidder shall not be entitled to claim from the Principal any amounts


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either as damages or otherwise, on account of termination. Section 5 – Previous transgression 1. The Bidder declares that no previous transgressions occurred in the last 3 years with any other Company in any country conforming to the corruption approach or with any other Public Sector Enterprise in India that could justify his exclusion from the tender process. 2. If the Bidder makes incorrect statement on this subject, he can be disqualified from the tender process or action can be taken as per the procedure mentioned in ―Guidelines on Banning of business dealings‖. Section 6 – Equal treatment of all Bidders/Contractors/Subcontractors 1. The Bidder(s)/ Contractor(s) undertake(s) to demand from all subcontractors a commitment in conformity with this Integrity Pact, and to submit it to the Principal before contract signing. 2. The Principal will enter into agreements with identical conditions as this one with all Bidders, Contractors and Subcontractors. 3. The Principal will disqualify from the tender process all bidders who do not sign this Pact or violate its provisions. Section 7 –Criminal charges against violating Bidder(s)/Contractor(s)/ Subcontractor(s) If the Principal obtains knowledge of conduct of a Bidder, Contractor or Subcontractor, or of an employee or a representative or an associate of a Bidder, Contractor or Subcontractor which constitutes corruption, or if the Principal has substantive suspicion in this regard, the Principal will inform the same to the Chief Vigilance Officer. Section 8 – Independent External Monitor/Monitors 1. The Principal appoints competent and credible Independent External Monitor for this Pact. The task of the Monitor is to review independently and objectively, whether and to what extent the parties comply with the obligations under this agreement. 2. The Monitor is not subject to instructions by the representatives of the parties and performs his functions neutrally and independently. He shall report to the Chairman, Air India. 3. The Bidder(s)/Contractor(s) accepts that the Monitor has the right to access without restriction to all Project documentation of the Principal including that provided by the Contractor. The Contractor will also grant the Monitor, upon his request and demonstration of a valid interest, unrestricted and unconditional access to his project documentation. The same is applicable to Subcontractors. The Monitor is under contractual obligation to treat the information and documents of the Bidder(s)/ Contractor(s)/ Subcontractor(s) with confidentiality. 4. The Principal will provide to the Monitor sufficient information about all meetings among the parties related to the Project provided such meetings could have an impact on the contractual relations between the Principal and the Contractor. The parties offer to the Monitor the option to participate in such meetings.


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5. As soon as the Monitor notices, or believes to notice, a violation of this agreement, he will so inform the Management of the Principal and request the Management to discontinue or take corrective action, or to take other relevant action. The monitor can in this regard submit non-binding recommendations. Beyond this, the Monitor has no right to demand from the parties that they act in a specific manner, refrain from action or tolerate action. 6. The Monitor will submit a written report to the Chairman, Air India within 8 to 10 weeks from the date of reference or intimation to him by the Principal and, should the occasion arise, submit proposals for correcting problematic situations. 7. Monitor shall be entitled to compensation on the same terms as being extended to / provided to Independent Directors on the Air India Board. 8. If the Monitor has reported to the Chairman Air India, a substantiated suspicion of an offence under relevant IPC/ PC Act, and the Chairman Air India has not, within the reasonable time taken visible action to proceed against such offence or reported it to the Chief Vigilance Officer, the Monitor may also transmit this information directly to the Central Vigilance Commissioner. 9. The word „Monitor‟ would include both singular and plural.

Section 9: Pact Duration

This Pact begins when both parties have legally signed it. It expires for the Contractor 3 years after the last payment under the contract, and for all other Bidders 12 months after the contract has been awarded. If any claim is made/lodged during this time, the same shall be binding and continue to be valid despite the lapse of this pact as specified above, unless it is discharged / determined

by Board of Air India.

Section 10 : Other provisions.

1. This agreement is subject to Indian Law. Place of performance and jurisdiction is the Registered Office of the Principal, i.e. New Delhi 2. Changes and supplements as well as termination notices need to be made in writing. 3.If the contractor is a partnership or a consortium, this agreement must be signed by all partners or consortium partners and in case of a company by an authorized representative. 4.Should one or several provisions of this agreement turn out to be invalid, the remainder of this Pact remains valid. In such cases the parties will strive to come to an agreement to their original intention.


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(For and on behalf of Principal) (For and on behalf of Bidder / contractor )

Witness 1 (Name and Address) …………………………………………………………… …………………………………………………………… ………… ………………………………………………… …………………………………………………………… Witness II (Name and Address) …………………………………………………………… …………………………………………………………… ………… ………………………………………………… ……………………………………………………………


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GUIDELINES FOR INDIAN AGENTS OF FOREIGN SUPPLIERS 1.0 There shall be compulsory registration of agents for all Global (Open) Tender and Limited Tender. An agent who is not registered with Air India Departments/Stations shall apply for registration in the prescribed Application –Form. 1.1 Registered agents will file an authenticated Photostat copy duly attested by a Notary Public/Original certificate of the principal confirming the agency agreement and giving the status being enjoyed by the agent and the commission/remuneration/salary/ retainer ship being paid by the principal to the agent before the placement of order by Air India Departments/Stations. 1.2 Wherever the Indian representatives have communicated on behalf of their principals and the foreign parties have stated that they are not paying any commission to the Indian agents, and the Indian representative is working on the basis of salary or as retainer, a written declaration to this effect should be submitted by the party (i.e. Principal) before finalizing the order 2.0 DISCLOSURE OF PARTICULARS OF AGENTS/ REPRESENTATIVES IN INDIA. IF ANY. 2.1 Tenderers of Foreign nationality shall furnish the following details in their offer: 2.1.1 The name and address of the agents/representatives in India, if any and the extent of authorization and authority given to commit the Principals. In case the agent/representative be a foreign Company, it shall be confirmed whether it is real substantial Company and details of the same shall be furnished. 2.1.2 The amount of commission/remuneration included in the quoted price(s) for such agents/representatives in India. 2.1.3 Confirmation of the Tenderer that the commission/ remuneration if any, payable to his agents/representatives in India, may be paid by Air India in Indian Rupees only. 2.2 Tenderers of Indian Nationality shall furnish the following details in their offers: 2.2.1 The name and address of the foreign principals indicating their nationality as well as their status, i.e, whether manufacturer or agents of manufacturer holding the Letter of Authority of the Principal specifically authorizing the agent to make an offer in India in response to tender either directly or through the agents/representatives. 2.2.2 The amount of commission/remuneration included in the price (s) quoted by the Tenderer for himself. 2.2.3 Confirmation of the foreign principals of the Tenderer that the commission/remuneration, if any, reserved for the Tenderer in the quoted price (s), may be paid by Air India in India in equivalent Indian Rupees on satisfactory completion of the Project or supplies of Stores and Spares in case


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of operation items . 2.3 In either case, in the event of contract materializing, the terms of payment will provide for payment of the commission /remuneration, if any payable to the agents/representatives in India in Indian Rupees on expiry of 90 days after the discharge of the obligations under the contract. 2.4 Failure to furnish correct and detailed information as called for in paragraph- 2.0 above will render the concerned tender liable to rejection or in the event of a contract materializing, the same liable to termination by Air India. Besides this there would be a penalty of banning business dealings with Air India or damage or payment of a named sum.


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GUIDELINES ON BANNING OF BUSINESS DEALINGS CONTENTS 1. Introduction 2. Scope 3. Definitions 4. Initiation of Banning / Suspension 5. Suspension of Business Dealings 6. Ground on which Banning of Business Dealing can be initiated 7. Banning of Business Dealings 8. Removal from List of Approved Agencies- Suppliers/Contractors etc. 9. Procedure for issuing Show-cause Notice 10. Appeal against the Decision of the Competent Authority 11. Review of the Decision by the Competent Authority 12. Circulation of the names of Agencies with whom Business Dealings have been banned 1. Introduction 1.1 Air India (AI), being a Public Sector Enterprise and ‗State‘, within the meaning of Article 12 of the Constitution of India, has to ensure preservation of rights enshrined in Chapter III of the Constitution. AIR INDIA has also to safeguard its commercial interests. AIR INDIA deals with Agencies, who have a very high degree of integrity, commitments and sincerity towards the work undertaken. It is not in the interest of AIR INDIA to deal with Agencies who commit deception, fraud or exercise of coercion or undue influence or other misconduct in the execution of contracts awarded / orders issued to them. In order to ensure compliance with the constitutional mandate, it is incumbent on AIR INDIA to observe principles of natural justice before banning the business dealings with any Agency. 1.2 Since banning of business dealings involves civil consequences for an Agency concerned, it is incumbent that adequate opportunity of hearing is provided and the explanation, if tendered, is considered before passing any order in this regard keeping in view the facts and circumstances of the case. 2. Scope 2.1 The General Conditions of Contract (GCC) of AIR INDIA generally provide that AIR INDIA reserves its rights to remove from list of approved suppliers/contractors or to ban business dealings if any Agency has been found to have committed misconduct, violation of any law or any term of the agreement and also to suspend business dealings pending investigation. If such provision does not exist in any GCC, the same may be incorporated.


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2.2 Similarly, in case of sale of material there is a clause to deal with the Agencies/customers/buyers, who indulge in lifting of material in unauthorized manner. If such a stipulation does not exist in any Sale Order, the same may be incorporated. 2.3 However, absence of such a clause does not in any way restrict the right of Company (AIR INDIA) to take action/decision under these guidelines in appropriate cases. 2.4 The procedure of (i) Removal of Agency from the List of approved suppliers / contractors; (ii) Suspension and (iii) Banning of Business Dealing with Agencies, has been laid down in these guidelines. 2.5 These guidelines apply to all the Departments/Stations and subsidiaries of AIR INDIA. 2.6 It is clarified that these guidelines do not deal with the decision of the Management not to entertain any particular Agency due to its poor/inadequate performance or for any other reason. 2.7 The banning shall be with prospective effect, i.e., future business dealings. 3. Definitions In these Guidelines, unless the context otherwise requires: i) ‗Party/Contractor/Supplier/Purchaser/Customer‘ shall mean and include a public limited company or a private limited company, a firm whether registered or not, an individual, a cooperative society or an association or a group of persons engaged in any commerce, trade, industry, etc. ‗Party/Contractor/Supplier/Purchaser/Customer‘ in the context of these guidelines is indicated as ‗Agency‘. ii) ‗Inter-connected Agency‘ shall mean two or more companies having any of the following features: a. If one is a subsidiary of the other. b. If the Director(s), Partner(s), Manager(s) or Representative(s) are common; c. If Management is common; d. If one owns or controls the other in any manner; iii) ‗Competent Authority‘ and ‗Appellate Authority‘ shall mean the following: a. For Company (entire AIR INDIA) Wide Banning The Executive Director – SBU in charge of Procurement shall be the ‗Competent Authority‘ for the purpose of these- guidelines. Chairman, AIR INDIA shall be the ‗Appellate Authority‘ in respect of such cases.


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b. In case the foreign supplier is not satisfied by the decision of the First Appellate Authority, it may approach AIR INDIA Board as Second Appellate Authority. c. For Departments / Stations only Any officer not below the rank of Executive Director appointed or nominated by the Functional Director / SBU Head shall be the ‗Appellate Authority‘ in all such cases. d. For Corporate Office only For procurement of items / award of contracts, to meet the requirement of Corporate Office only, Head of CMMG shall be the ―Competent Authority‖ and Director (Technical) shall be the ―Appellate Authority‖. e. Chairman, AIR INDIA shall have overall power to take suo-moto action on any information available or received by him and pass such order(s) as he may think appropriate, including modifying the order(s) passed by any authority under these guidelines. iv) ‗Investigating Department‘ shall mean any Department or Unit investigating into the conduct of the Agency and shall include the Vigilance Department, Central Bureau of Investigation, the State Police or any other authority or agency set up by the Central or State Government having powers to investigate. v)‗List of approved Agencies - Parties/Contractors/Suppliers/ Purchasers/Customers shall mean and include list of approved/registered Agencies - Parties/Contractors/Suppliers/ Purchasers/Customers, etc. 4. Initiation of Banning/Suspension Action for banning/suspension of business dealings with any Agency should be initiated by the department having business dealings with them after noticing the irregularities or misconduct on their part. The Vigilance Department of AIR INDIA shall have the right to recommend banning/suspension and this shall be binding on the Department/SBU and non-compliance of these recommendations/instructions shall be deemed to be misconduct on the part of the Head of the Department/SBU. 5. Suspension of Business Dealings 5.1 If the conduct of any Agency dealing with AIR INDIA is under investigation by any department (except Foreign Suppliers of imported coal/coke), the Competent Authority may consider whether the allegations under investigation are of a serious nature and whether pending investigation, it would be advisable to continue business dealing with the Agency. If the Competent Authority, after consideration of the matter including the recommendation of the Investigating Department, if any, decides that it would not be in the


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interest to continue business dealings pending investigation, it may suspend business dealings with the Agency. The order to this effect may indicate a brief of the charges under investigation. If it is decided that inter-connected Agencies would also come within the ambit of the order of suspension, the same should be specifically stated in the order. The order of suspension would operate for a period not more than six months and may be communicated to the Agency as also to the Investigating Department. The Investigating Department may ensure that their investigation is completed and whole process of final order is over within such period. 5.2 The order of suspension shall be communicated to all Departmental Heads within the Departments/Stations. During the period of suspension, no business dealing may be held with the Agency. 5.3 As far as possible, the existing contract(s) with the Agency may continue unless the Competent Authority, having regard to the circumstances of the case, decides otherwise. 5.4 If the gravity of the misconduct/violation under investigation is very serious and it would not be in the interest of AIR INDIA, as a whole, to deal with such an Agency pending investigation, the Competent Authority may send his recommendation to Chief Vigilance Officer (CVO), AIR INDIA Corporate Office along with the material available. If Corporate Office considers that depending upon the gravity of the misconduct/violation, it would not be desirable for all the Departments/Stations and Subsidiaries of AIR INDIA to have any dealings with the Agency concerned, an order suspending business dealings may be issued to all the Departments/Stations by the Competent Authority of the Corporate Office, copy of which may be endorsed to the Agency concerned. Such an order would operate for a period of six months from the date of issue. 5.5 For suspension of business dealings with Foreign Suppliers, following shall be the procedure:- i. Suspension of the foreign suppliers shall apply throughout the Company including Subsidiaries. ii. Based on the complaint forwarded by ED-Procurement or received directly by Corporate Vigilance, if gravity of the misconduct under investigation is found serious and it is felt that it would not be in the interest of AIR INDIA to continue to deal with such agency, pending investigation, Corporate Vigilance may send such recommendation on the matter to Executive Director- Procurement to place it before a Committee consisting of the following : 1. Director-Finance/Head of Corporate Finance; 2. SBU Head/Department concerned; 3. ED-Headquarters/Head of Corporate Office; 4. GM-Legal/Head of Corporate Law.


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The committee shall expeditiously examine the report, give its comments/recommendations within twenty one days of receipt of the reference by ED-Procurement. iii. The comments/recommendations of the Committee shall then be placed by ED-Procurement before the Board of AIR INDIA and if the Board opines that it is a fit case for suspension, SBU Head may pass necessary orders which shall be communicated to the foreign supplier by ED-Headquarters. 5.6 If the Agency concerned asks for detailed reasons of suspension, the Agency may be informed that its conduct is under investigation. It is not necessary to enter into correspondence or argument with the Agency at this stage. 5.7 It is not necessary to give any show-cause notice or personal hearing to the Agency before issuing the order of suspension. However, if investigations are not complete in six months‘ time, the Competent Authority may extend the period of suspension by another three months, during which period the investigations must be completed. 6. Grounds on which Banning of Business Dealings can be initiated 6.1 If the security consideration, including questions of loyalty of the Agency to the State, so warrants; 6.2 If the Director/Owner of the Agency, proprietor or partner of the firm, is convicted by a Court of Law for offences involving moral turpitude in relation to its business dealings with the Government or any other public sector enterprises or AIR INDIA, during the last five years; 6.3 If there is strong justification for believing that the Directors, Proprietors, Partners, owner of the Agency have been guilty of malpractices such as bribery, corruption, fraud, substitution of tenders, interpolations, etc; 6.4 If the Agency continuously refuses to return/refund the dues of AIR INDIA without showing adequate reason and this is not due to any reasonable dispute which would attract proceedings in arbitration or Court of Law; 6.5 If the Agency employs a public servant dismissed/removed or employs a person convicted for an offence involving corruption or abetment of such offence; 6.6 If business dealings with the Agency have been banned by the Govt. or any other public sector enterprise; 6.7 If the Agency has resorted to Corrupt, fraudulent practices, coercion, undue


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Influence and other violations including misrepresentation of facts; 6.8 If the Agency uses intimidation/threatening or brings undue outside pressure on the Company (AIR INDIA) or its official in acceptance/ performances of the job under the contract; 6.9 If the Agency indulges in repeated and/or deliberate use of delay tactics in complying with contractual stipulations; 6.10 Wilful indulgence by the Agency in supplying sub-standard material irrespective of whether pre-despatch inspection was carried out by Company (AIR INDIA) or not; 6.11 Based on the findings of the investigation report of CBI/Police/internal Vigilance or any other investigative agency including Government Audit against the Agency for malafide/unlawful acts or improper conduct on his part in matters relating to the Company (AIR INDIA) or even otherwise; 6.12 Established litigant nature of the Agency to derive undue benefit; 6.13 Continued poor performance of the Agency in several contracts; 6.14 If the Agency misuses the premises or facilities of the Company (AIR INDIA), forcefully occupies tampers or damages the Company‘s properties including land, water resources, forests / trees, etc. (Note: The examples given above are only illustrative and not exhaustive. The Competent Authority may decide to ban business dealing for any good and sufficient reason). 7 Banning of Business Dealings 7.1 Normally, a decision to ban business dealings with any Agency should apply throughout the Company including Subsidiaries. However, the Competent Authority of the Department/Unit except Corporate Office can impose such ban unit-wise only if in the particular case banning of business dealings by respective Department/Unit will serve the purpose and achieve its objective and banning throughout the Company is not required in view of the local conditions and impact of the misconduct/default to beyond the Department/Unit. Any ban imposed by Corporate Office shall be applicable across all Departments/Stations of the Company including Subsidiaries. 7.2 For Company-wide banning, the proposal should be sent by ACVO of the Department/Unit to the CVO through the Chief Executive of the Department/Unit setting out the facts of the case and the justification of the action proposed along with all the relevant papers and documents except for banning of business dealings with Foreign Suppliers of imported coal/coke.


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The Corporate Vigilance shall process the proposal of the Department/Unit for a prima-facie view in the matter by the Competent Authority nominated for Company-wide banning. The CVO shall get feedback about that agency from all other Departments/Stations. Based on this feedback, a prima-facie decision for banning/or otherwise shall be taken by the Competent Authority. If the prima-facie decision for Company-wide banning has been taken, the Corporate Vigilance shall issue a show-cause notice to the agency conveying why it should not be banned throughout AIR INDIA. After considering the reply of the Agency and other circumstances and facts of the case, a final decision for Company-wide banning shall be taken by the Competent Authority. 7.3 There will be a Standing Committee in each Department/Unit to be appointed by Chief Executive for processing the cases of ―Banning of Business Dealings‖ except for banning of business dealings with foreign suppliers of coal/coke. However, for procurement of items/award of contracts, to meet the requirement of Corporate Office only, the committee shall be consisting of Executive Director/General Manager from Finance, Procurement and Legal: i) To study the report of the Investigating Agency and decide if a prima-facie case for Company-wide/Local unit wise banning exists, if not, send back the case to the Competent Authority. ii) To recommend for issue of show-cause notice to the Agency by the concerned department. iii) To examine the reply to show-cause notice and call the Agency for personal hearing, if required. iv) To submit final recommendation to the Competent Authority for banning or otherwise. 7.4 If the Competent Authority is prima-facie of the view that action for banning business dealings with the Agency is called for, a show-cause notice may be issued to the Agency as per paragraph 9.1 and an enquiry held accordingly. 8 Removal from List of Approved Agencies - Suppliers/Contractors, etc. 8.1 If the Competent Authority decides that the charge against the Agency is of a minor nature, it may issue a show-cause notice as to why the name of the Agency should not be


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removed from the list of approved Agencies - Suppliers/Contractors, etc. 8.2 The effect of such an order would be that the Agency would not be disqualified from competing in Open Tender Enquiries. 8.3 Past performance of the Agency may be taken into account while processing for approval of the Competent Authority for awarding the contract. 9 Show-cause Notice 9.1 In case where the Competent Authority decides that action against an Agency is called for, a show-cause notice has to be issued to the Agency. Statement containing the imputation of misconduct or misbehavior may be appended to the show-cause notice and the Agency should be asked to submit within 15 days a written statement in its defence. 9. 2 if the Agency requests for inspection of any relevant document in possession of AIR INDIA, necessary facility for inspection of documents may be provided. 9.3The Competent Authority may consider and pass an appropriate speaking order: a. For exonerating the Agency if the charges are not established; b. For removing the Agency from the list of approved Suppliers/Contactors, etc. c. For banning the business dealing with the Agency. 9.4 If it decides to ban business dealings, the period for which the ban would be operative may be mentioned. The order may also mention that the ban would extend to the interconnected Agencies of the Agency. 10 Appeals against the Decision of the Competent Authority 10.1 The Agency may file an appeal against the order of the Competent Authority banning business dealing, etc. The appeal shall be to the Appellate Authority. Such an appeal shall be preferred within one month from the date of receipt of the order banning business dealing, etc. 10.2 Appellate Authority would consider the appeal and pass appropriate order which shall be communicated to the Agency as well as the Competent Authority. 11 Review of the Decision by the Competent Authority Any petition/application filed by the Agency concerning the review of the banning order passed originally by Chief Executive/Competent Authority under the existing guidelines either before or after filing of appeal before the Appellate Authority or after disposal of appeal by the Appellate Authority, the review petition can be decided by the Chief Executive/Competent Authority upon disclosure of new facts/circumstances or subsequent


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development necessitating such review. The Competent Authority may refer the same petition to the Standing Committee for examination and recommendation. 12 Circulation of the names of Agencies with whom Business Dealings have been banned 12.1 Depending upon the gravity of misconduct established, the Competent Authority of the Corporate Office may circulate the names of Agency with whom business dealings have been banned, to the Government Departments, other Public Sector Enterprises, etc. for such action as they deem appropriate. 12.2 If Government Departments or a Public Sector Enterprise request for more information about the Agency with whom business dealings have been banned, a copy of the report of Inquiring Authority together with a copy of the order of the Competent Authority/Appellate Authority may be supplied. 12.3 If business dealings with any Agency have been banned by the Central or State Government or any other Public Sector Enterprise, AIR INDIA may, without any further enquiry or investigation, issue an order banning business dealing with the Agency and its inter-connected Agencies. 12.4 Based on the above, Departments/Stations may formulate their own procedure for implementation of the Guidelines.


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ANNEXURE XI Tender for Fare Audit Services

FINANCIAL BID FORMAT The response to the tender to be provided in a structured format as mentioned below

Name of the Company/

Establishment

Full Address of Registered Office

Name of Contact person, Telephone/

Mobile/ Fax No./email id

AI number of documents across all categories , i.e. Sale by ATO/CTO, GSA, WEB, BSP , ARC , MOBILE APP etc. will be 20 million (approximately) per annum. Air India reserve the right to increase or decrease the number of documents to be processed. However, such change will be mutually discussed and agreed with sufficient notice period. Options to quote

a) Cost Per document/Per Month/Annual basis

b) Variable fee on recovered value, if any

For the purpose of calculation of L1 per Document / Per Month Values will be converted to Annual Value based on document volume of 20 Million and amount of recovered will be INR 100 Million

Notes Estimation of documents Prime sales = 16 million Exchanges = 1 million Refunds=2 Million EMDs = 1 Million Channel wise break up


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Estimation BSP = 13.4 million ARC = 1MIlion ASD = .1Million Other =5.5 Million

55% Guaranteed Published, 43% Guaranteed unpublished with tour code and balance non Guaranteed

1. The L1 would be ascertained based on the total payout of the combined rates i.e total of

above and Government Levies, if any

2. Comprehensive cost, including Government levies, to the company for a period of 3 years will be the basis of arriving at the lowest bid. The Bidder whose net price works out to be lowest will be determined as the Successful Bidder.

3. VAT/Service Tax / GST and other applicable Govt. levies, wherever applicable imposed upon the services provided by the Successful Bidder to be borne by Air India. This is to be clearly and separately mentioned.

4. All other taxes and duties shall be borne exclusively by the Successful Bidder.

5. All payments by AIR INDIA to the Successful Bidder shall be subject to deduction of Tax at Source (TDS), as applicable under the Indian Law from time to time.

6. By participating in the bid, the Bidders confirm that they have the capability to carry out the fare audit as described in the scope of services to cover the entire AIR INDIA worldwide Network.

7. Vendor should be able to handle any new feature due to technical upgrade of existing PSS or new PSS

8. Air India Limited reserves the right to select any bidder/s who meets its requirement. Bidders will not be allowed to contest Air India‘s decision on this selection

9. Offers should be valid for Air India Limited‘s acceptance for a period of 120 days from the date of opening of the Financial Bid.

10. The prices quoted in the Financial Bid must remain valid till the stage of delivery to Air India. The all type of Taxes/Duties/ Levies/ Service Charges / Cess, if applicable are to be indicated separately as applicable in the country of origin of the vendor and as applicable in India.

11. In case there is a difference between the amount shown in figure and words, amount whichever is lower will be considered as valid quote and the same will be taken into considerations for deciding the L-1 Tenderer.


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12. As and when the Bidder upgrades its backend software offering, the same to be offered to Air India at no additional cost during the entire tenure of the contract.

13. Bidder shall bear all cost that arise (if any) while fixing software errors causing the system malfunction or shutdown.

14. The Financial Bids have to be complete in all respects, and no representation whatsoever would be entertained by Air India for inclusion of any other cost head/cost after the opening of the Tender.

15. All Terms in Tender DEL/RMMA/Fare Audit/003 are unconditionally agreed.

16. In the case of any Bidder quotes in a currency other than in INR, Applicable IATA Exchange rate of the month of opening the bid will be used for conversion from the quoted currency to INR for the purposes of evaluation.

17. Conditional discounts / credits, if any, shall not be given any consideration for the purpose of evaluation.

18. Certified that there is no hidden cost, other than as indicated in the price quoted above.

19. In case, the selected vendor backs out, either before issue of the Purchase Order / letter

of Intent (LOI) or subsequent to its issue the L-1 would be blacklisted for a minimum

period of 3 years, in addition to forfeiture of Earnest Money.

20. Ineligible Bidder‘s application shall not be entertained for Financial Bid opening and the

decision of Air India Limited in this regard would be final. Bidders will not be allowed to

contest Air India‘s decision on this selection.

21. Scope of work mentioned will be discussed in detail at the time of implementation which

may lead to increase/decrease in scope as per mutual discussion

22. Successful Bidder would need to take an Insurance policy in favor of Air India

(beneficiary) for an eventual loss to cover for any possible revenue loss

CERTIFICATION Certified that:

1. The rates finalized & agreed to will remain firm during the Contract period and for extended period, if any and no demand for increase in rates shall be applicable

2. We agree to hold the quoted offer firm till completion of Contract. 3. We have read, understood, and agree to comply with the terms & conditions of the

tender


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Undertaking:

I have carefully gone through and have understood the Work-scope, Schedule of requirements, Service level requirements, General Terms & Conditions and other Specifications governing the Tender.

The Financial Bid will be valid for 120 days from the date of opening of Financial Bid.

I hereby confirm that I am authorized to sign the Financial Bid/Tender document.

All the pages of the Financial Bid are signed & Stamped and there are no overwritings / corrections.

Date : _____________ Signature :______________________________ Place :____________ Name :______________________________

Designation : ______________________________ Company /

Name & Seal:_______________________


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ANNEXURE XII

LIST OF ABBREVATIONS ACM Agency Credit Memo ADM Agency Debit Memo AD Agency Discount AIL/AI Air India Limited AMC Annual Maintenance Contract APEX Advance Purchase Excursion Fare ASD Air Service Desk ( China), ARC Airlines Reporting Corporation ATO Airport Ticketing Office ATPCO Airline Tariff Publishing Company BO Booking Office BSP Billing and Settlement Plan BSP Billing Settlement Plan CPU Central Processing Unit CTO City Ticketing Office CRS Computer Reservation System DCS Departure Control System DLP Data Leak Prevention DR Disaster Recovery ECS Electronic Clearing Service EBT Excess Baggage Ticket EMD Electronic Miscellaneous Document GDS Global Distribution System GOI Government of India GSA General Sales Agent HOT Hand Off Tape IATA International Air Transport Association ID Industry Discount IDS Intrusion defense systems IPS Intrusion prevention systems IOCC Integrated Operations Command Centre IT Information Technology LOI Letter of Intent MMD Materials Management Department MPM. Maximum Permitted Mileage. MSES Micro and Small Enterprises NVA Not Valid After NVB Not Valid Before PLB Productivity Linked Bonus


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PSS Passenger Services System PSU Public Sector Undertaking PAN Permanent Account Number PROS Pricing Revenue Optimization Software RAID Redundant Array of Inexpensive (Independent) Disks RFIC Reasons for Issuance Code SITA Société Internationale de Télécommunications Aéronautiques SLA Service Level Agreement SOD Staff on Duty SOL Staff on Leave SOT Staff on Transfer TPM. Ticket Point Mileage. TSC Transportation Service Contract UPS Uninterrupted Power Supply VAT Value Added Tax VMPD Virtual Multipurpose Miscellaneous Document (VMPD) WEB Tickets issued on www.airindia.in YQ Fuel Charge xxxxxxxxxxxxxxxxxxxxxxxxx(END OF DOCUMENT)xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx