Date: 29/10/2019

To,

Vinod Singh

Dear Sir,

Subject: Cash Management Services

We would like to take this opportunity to introduce Kotak Mahindra Bank as one of India's leading financial
institutions, offering complete financial solutions that encompass every sphere of life. Kotak Mahindra bank has
a network of more than 500+ Service Outlets and 1000+ ATMs, spanning more than 200+ locations across the
country, which are fully networked and connected to a Centralized Database.
To cater to the needs of partner such as yours, we have created a separate Transaction Banking Group offering
host of banking solutions. At our end, it has been our constant endeavour to innovate and customize our various
banking products to cater to your growing business requirements.
This brief write-up on our products customized to your requirements will provide insight into the product
features and our abilities in handling your payments in a seamless manner.
We will provide our products and services at most competitive pricing and will continue to pass on maximum
benefits to you in the role of your preferred long term banking partner.
The key themes of our proposal are enumerated below:
One-Stop Bank – We offer a complete and integrated banking services solution including collections &
payments - a "One-Stop Bank" and a comprehensive location coverage through Kotak Mahindra Bank. Our
solution will be delivered on a state-of-the-art operating platform that has consistently matched ISO 9002
standards

Customer Service – Our centralized customer service unit at Mumbai will cater to your service requirements.
This is a dedicated team of individuals who deliver all required services to you within committed turnaround
times.

Comprehensive MIS – We provide extensive reports for you to facilitate effective reconciliation and better
accounting. In addition to monthly reports, we also design customized reports to meet your specific
requirements.

We are confident of servicing your requirements given our capability to pioneer new banking products and
provide customized services. We are keen to work with you on the proposal and request you to revert to the
below mentioned individuals for any clarifications / enhancements that you may require.
Rajkumar Chhajwani, Transaction Banking Group.
Email: rajkumar.chhajwani@kotak.com; krutika.moorjani@kotak.com
We would like to reiterate our keenness in building a strong and mutually beneficial relationship with you and
look forward to working together.
Yours sincerely,
For Kotak Mahindra Bank
Encl: a.a
Annexure I
IMPS Process Flow
1. CORPORATE has to segregate the transactions from its remitters basis IFSC code provided by the remitter in
2 categories. One which would go through IMPS mode and remaining through NEFT mode.
2. Once the transaction is initiated by CORPORATE, the CORPORATE system separates the transaction to be
carried on IMPS mode and through NEFT mode. (NEFT channel follows the existing process)
3. For processing through IMPS the CORPORATE system invokes the bank’s API for P2P or P2A mode of
transfer based on the mode intended by the sender and passes the required parameters in the format specified for
the API
4. Transaction request then comes to the KMB server and forwards the transaction under theP2P or P2A
architecture for IMPS transfer as intended by the user
5. The Pre-Funded Current Account of the CORPORATE held with Kotak is debited.
6. The beneficiary bank as per the MMID/IFSC debits its pool account and credits the beneficiary account as per
the account number of the receiver in case if the details provided are valid or else rejects the transactions giving
the reason for rejections
7. Once the amount is credited into the receivers account, success response is sent back to RBI and NPCI then
sends the success response to Kotak.
8. The end beneficiary receives the success msg on the mobile no provided by him to beneficiary bank giving
the remitter reference no (RRN) details
9. As soon as KMBL receives the response from NPCI system KMBL will share the reverse feed with
CORPORATE system
Transaction Timeout Cases
1. A timeout of 30 seconds is maintained after which up to three verification requests are posted for the
transaction to the NPCI switch at interval of 30 seconds

2. Thus an overall timeout is of 120 seconds

3. In such timeout cases, the CORPORATE’s pool account gets debited but the beneficiary’s account is not
credited

4. Such transactions are deemed as successful and the settlement of such timed out transactions is done by the
beneficiary bank by T+1 and sends a TCC post settlement.

5. If a transaction is not settled then the beneficiary bank sends a TCC rejection and the funds are refunded by
T+1 working day

6. The returned funds are settled by NPCI with the bank by first cycle on T+2WD

7. The returned funds are credited back to CORPORATE ’s account by T+2WD EOD and the same can then be
refunded to the Remitter by the CORPORATE post confirmation on the same from the reversals report

8. The CORPORATE system sends SMS alert to the remitter to intimate about the refund

9. Timed out transactions that are not refunded to the CORPORATE’s account by T+2WD EOD are considered
to be deemed successful by the CORPORATE and can be marked accordingly as Success

10. In case the intended beneficiary claims to have not received the funds then the CORPORATE can raise a
chargeback and it is then settled in DMS

11. Beneficiary bank gets three days to respond on the chargeback request failing which the disputed amount is
refunded back to CORPORATE by T+4WD where T in this case is the date of raising chargeback

12. Else the dispute is then settled basis the evidences provided by both the parties

Handling of Transaction Rejections/Reversals

Scenario 1: Normal Transaction Reject case from the NPCI Switch
In this Scenario if the beneficiary bank returns the transaction within NPCI stipulated timeframe then the details
of the same is provided to CORPORATE by returning the response received from the IMPS switch in mutually
agreed format at the instant when the transaction is initiated
Scenario 2: Rejection of Transaction that was in the Pending Case due to Time out
In this Scenario, the beneficiary bank returns the transaction by T+1WD (TAT as specified y NPCI) and the
bank will reverse the transaction on T+2WD (EOD) with the following narration:
REFUND IMPS < Original Transaction RRN>
The CORPORATE system can look up for the Original Transaction RRN in the daily account statement that is
downloaded from the bank’s site or look up for the same in the reversals report shared by the bank. Accordingly,
the CORPORATE can then update the status of the transaction as Rejected and refund the amount back to the
sender.
In case if the RRN of a transaction in pending status is not available the daily account statements for a period of
3 days then it is considered as successful and the CORPORATE system can update the status of the same as
Success and notify the sender accordingly.
Scenario 3
This is the Scenario for dispute cases such cases would be handled on a case to case basis
Charges are as follow
1. Corporate Remittance
One time corporate setup Cost: Rs. 1, 50,000.00/- (One Lakh Fifty Thousands Only)
Per IMPS transaction cost: Rs. 5

Other Terms:

The above services are demand facilities, subject to our ongoing review and the terms, conditions, pricing etc.
may be modified or services recalled without notice at the banks absolute discretion.
The process flow is exclusive of intervening bank holidays for clearing purposes.
Sundays & other bank holidays have been excluded for the purpose of calculation of the above referred days.
Hence if the day of credit as per the above arrangement falls on a holiday at the Clearing Location, and/or
payout location, then the credit / payout will happen on the next working day.
The Service Tax will be charged as per the rates applicable over and above the above mentioned
service charges.

We request you to convey your approval to the above proposal to proceed further in the matter.
The Company herein states, declares and confirms that its execution here below is under appropriate
authority and is its acceptance of the terms & conditions of the services offered as herein contained.

Kotak Mahindra Bank Ltd

Name: Vinod Singh Name: Disha Jena
Signature: ................................................. Signature: ......................................
Title: ........................................................... Title: Product Sales Manager
Company Stamp / Seal