Annexure IV
FORMAT FOR INTEGRITY PACT
INTEGRITY AGREEMENT
This Integrity Agreement is made at ............... on this ...........day of 20......
BETWEEN
Director IISER Berhampur represented through Stores and Purchase Officer, IISER Berhampur,
(Hereinafter referred as the institute, „Principal/Owner‟, which expression shall unless
repugnant to the meaning or context hereof include its successors and permitted assigns)
AND
………………………….............................................................................................................
(Name and Address of the Individ ual/firm/Company)
through ........................................................................ (Hereinafter referred to as the (Details of duly
authorized signatory)
“Bidder/Contractor” and which expression shall unless repugnant to the meaning or context hereof
include its successors and permitted assigns)
Preamble
WHEREAS the Principal / Owner has floated the Tender (NIT No ..................... ) (hereinafter referred
To as “Tender/Bid”) and intends to award, under laid down organizational procedure, contract
for……….........................................................................................................
(Name of work)
Here in after referred to as the “Contract”.
AND WHEREAS the Principal/Owner values full compliance with all relevant laws of the land, rules,
regulations, economic use of resources and of fairness/transparency in its relation with its Bidder(s)
and Contractor(s).
AND WHEREAS to meet the purpose aforesaid both the parties have agreed to enter into this Integrity
Agreement (hereinafter referred to as “Integrity Pact” or “Pact”), the terms and conditions of which
shall also be read as integral part and parcel of the Tender/Bid documents and Contract between the
parties.
NOW, THEREFORE, in consideration of mutual covenants contained in this Pact, the parties
hereby agree as follows and this Pact witnesses as under:
Article 1: Commitment of the Principal/Owner
1) The Principal/Owner commits itself to take all measures necessary to prevent corruption and to
observe the following principles:
(a) No employee of the Principal/Owner, personally or through any of his/her family members,
will in connection with the Tender, or the execution of the 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.
(b) The Principal/Owner will, during the Tender process, treat all Bidder(s) with equity and
reason. The Principal/Owner 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/Owner shall endeavor to exclude from the Tender process any person, whose
conduct in the past has been of biased nature.
2) If the Principal/Owner obtains information on the conduct of any of its employees which is a
criminal offence under the Indian Penal code (IPC)/Prevention of Corruption Act, 1988 (PC
Act) or is in violation of the principles herein mentioned or if there be a substantive suspicion
in this regard, the Principal/Owner will inform the Chief Vigilance Officer and in addition can
also initiate disciplinary actions as per its internal laid down policies and procedures.
Article 2: Commitment of the Bidder(s)/Contractor(s)
1) It is required that each Bidder/Contractor (including their respective officers, employees and
agents) adhere to the highest ethical standards, and report to the Government / Department
all suspected acts of fraud or corruption or Coercion or Collusion of which it has knowledge
or becomes aware, during the tendering process and throughout the negotiation or award of
a contract.
2) The Bidder(s)/Contractor(s) commit himself to take all measures necessary to prevent
corruption. 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/Owner‟s employees involved in the Tender process or
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 Bidder(s) 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 cartelize 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)/Contract(s) will not use improperly, (for the purpose of competition or
personal gain), or pass on to others, any information or documents provided by the
Principal/Owner as part of the business relationship, regarding plans, technical proposals
and business details, including information contained or transmitted electronically.
d) The Bidder(s)/Contractor(s) of foreign origin shall disclose the names and addresses of
agents/representatives in India, if any. Similarly, Bidder(s)/Contractor(s) of Indian Nationality
shall disclose names and addresses of foreign agents/representatives, if any. Either the
Indian agent on behalf of the foreign principal or the foreign principal directly could bid in a
tender but not both. Further, in cases where an agent participate in a tender on behalf of
one manufacturer, he shall not be allowed to quote on behalf of another manufacturer along
with the first manufacturer in a subsequent/parallel tender for the same item.
e) The Bidder(s)/Contractor(s) will, when presenting his bid, disclose (with each tender as per
proforma enclosed) 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.
3) The Bidder(s)/Contractor(s) will not instigate third persons to commit offences outlined above
or be an accessory to such offences.
4) The Bidder(s)/Contractor(s) will not, directly or through any other person or firm indulge in
fraudulent practice means a willful misrepresentation or omission of facts or
submission of fake/forged documents in order to induce public official to act in
reliance thereof, with the purpose of obtaining unjust advantage by or causing damage
to justified interest of others and/or to influence the procurement process to the
detriment of the Government interests.
5) The Bidder(s)/Contractor(s) will not, directly or through any other person or firm use Coercive
Practices (means the act of obtaining something, compelling an action or influencing a
decision through intimidation, threat or the use of force directly or indirectly, where potential
or actual injury may befall upon a person, his/ her reputation or property to influence their
participation in the tendering process).
Article 3: Consequences of Breach
Without prejudice to any rights that may be available to the Principal/Owner under law or the
Contractor its established policies and laid down procedures, the Principal/Owner shall have the
following rights in case of breach of this Integrity Pact by the Bidder(s)/Contractor(s) and the Bidder/
Contractor accepts and undertakes to respect and uphold the Principal/Owner‟s absolute right:
1) If the Bidder(s)/Contractor(s), either before award or during execution of Contract has
committed a transgression through a violation of Article 2 above or in any other form, such
as to put his reliability or credibility in question, the Principal/Owner after giving
14 days’ notice to the contractor shall have powers to disqualify the Bidder(s)/Contractor(s)
from the Tender process or terminate/determine the Contract, if already executed or exclude
the Bidder/Contractor from future contract award processes. The imposition and duration of
the exclusion will be determined by the severity of transgression and determined by the
Principal/Owner. Such exclusion may be forever or for a limited period as decided by the
Principal/Owner.
2) Forfeiture of EMD/Performance Guarantee/Security Deposit: If the Principal/Owner has
disqualified the Bidder(s) from the Tender process prior to the award of the Contract or
terminated/determined the Contract or has accrued the right to terminate/determine the
contract according to Article 3(1), the Principal/ Owner apart from exercising any legal rights
that may have accrued to the Principal/Owner, may in its considered opinion forfeit the entire
amount of Earnest Money Deposit, Performance Guarantee and Security Deposit of the
Bidder/ Contractor.
3) Criminal Liability: If the Principal/Owner obtains knowledge of conduct of a Bidder or
Contractor, or of an employee or a representative or an associate of a bidder or Contractor
which constitutes corruption within the meaning of Indian Penal Code (IPC)/Prevention of
Corruption Act, or if the Principal/Owner has substantive suspicion in this regard, the
Principal/Owner will inform the same to law enforcing agencies for further investigation.
Article 4: Previous Transgression
1) The Bidder declares that no previous transgressions occurred in the last 5 years with any
other Company in any country confirming to the anticorruption approach or with Central
Government or State Government or any other Central/State Public Sector Enterprises 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 for banning of business dealings/ holiday listing of
the Bidder/Contractor as deemed fit by the Principal/ Owner.
3) If the Bidder/Contractor can prove that he has resorted / recouped the damage caused
by him and has installed a suitable corruption prevention system, the Principal/Owner may,
at its own discretion, revoke the exclusion prematurely.
Article 5: 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. The Bidder/Contractor shall be responsible for any
violation(s) of the principles laid down in this agreement/Pact by any of its Subcontractors/
sub-vendors.
2) The Principal/Owner will enter into Pacts on identical terms as this one with all Bidders
and Contractors.
3) The Principal/Owner will disqualify Bidders, who do not submit, the duly signed Pact
between the Principal/Owner and the bidder, along with the Tender or violate its provisions
at any stage of the Tender process, from the Tender process.
Article 6- Duration of the Pact
This Pact begins when both the parties have legally signed it. It expires for the
Contractor/Vendor 12 months after the completion of work under the contract or till the
continuation of defect liability period, whichever is more and for all other bidders, till the
Contract has been awarded.
If any claim is made/lodged during the time, the same shall be binding and continue to be
valid despite the lapse of this Pacts as specified above, unless it is discharged/determined by
the Competent Authority, IISER Berhampur.
Article 7- Other Provisions
1. This Pact is subject to Indian Law, place of performance and jurisdiction is the Headquarters of
the Division of the Principal/Owner, who has floated the Tender.
2. Changes and supplements need to be made in writing. Side agreements have not been made.
3. If the Contractor is a partnership or a consortium, this Pact must be signed by all the partners or
by one or more partner holding power of attorney signed by all partners and consortium members.
In case of a Company, the Pact must be signed by a representative duly authorized by board
resolution.
4. Should one or several provisions of this Pact turn out to be invalid; the remainder of this Pact
remains valid. In this case, the parties will strive to come to an agreement to their original
intensions.
5. It is agreed term and condition that any dispute or difference arising between the parties with
regard to the terms of this Integrity Agreement / Pact, any action taken by the Owner/Principal in
accordance with this Integrity Agreement/ Pact or interpretation thereof shall not be subject to
arbitration.
Article 8- LEGAL AND PRIOR RIGHTS
All rights and remedies of the parties hereto shall be in addition to all the other legal
rights and remedies belonging to such parties under the Contract and/or law and the
same shall be deemed to be cumulative and not alternative to such legal rights and
remedies aforesaid. For the sake of brevity, both the Parties agree that this Integrity
Pact will have precedence over the Tender/Contact documents with regard any of the
provisions covered under this Integrity Pact.
IN WITNESS WHEREOF the parties have signed and executed this Integrity Pact
at the place and date first above mentioned in the presence of following
witnesses:
(For and on behalf of Principal/Owner) (For and on behalf of Bidder/Contractor)
WITNESSES:
1. .............................................. 1. ..............................................
2. ............................................... 2. ...............................................
(signature, name and address) (signature, name and address)
Place : Place :
Date : Date :
