Dena Bank Request for Proposal for. End-to-End Solution. For. Merchant Acquiring Business through. Supply, installation, maintenance and management of

Transcription

1 Dena Bank Request for Proposal for End-to-End Solution For Merchant Acquiring Business through Supply, installation, maintenance and management of EDC (Electronic Data Capture) machines and/or Point of Sales (POS) terminal at Various merchant establishments on Monthly Rental basis Tender Ref: HO/ITD/547/2015 Date: 21/07/2015 Page 1 of 79

2 ABBREVIATIONS USED IN THIS DOCUMENT 1 RFP Request for Proposal (Interalia the term "Tender") 2 EMD Earnest Money Deposit 3 EDC Electronic Data Capture 4 PoS Point of Sale 5 PSTN public switched telephone network 6 GPRS General packet radio service 7 MPoS Mobile Point of Sale 8 Bidder Who purchase this tender document and submit response to it 9 SUCCESSFUL BIDDER/ L1 BIDDER Means the Bidder who is found to be the lowest bidder, subject to compliance of all the Terms and Conditions of the RFP etc. 10 Service Provider Means respondent to the RFP document also abbreviated as "Bidder" 11 Bank Bank means "Dena Bank" 12 NEFT National Electronic Funds Transfer 13 RTGS Real Time Gross settlement 14 ECS Electronic Clearing System 15 NPCI National Payments Corporation of India 16 AMEX American Express 17 EMV Europay, MasterCard and Visa, 18 TLE Terminal Line Encryption 19 UKPT Unique Key Per Transaction 20 DUKPT Derived Unique Key Per Transaction 21 PCI-DSS Payment Card Industry Data Security Standard 22 PA-DSS Payment Application-Data Security Standard 23 DCC Dynamic Currency Conversion 24 DRS Disaster Recovery Site 25 BCP Business Continuity Plan 26 OEM Original Equipment Manufacturer 27 BIN Bank Identification Number 28 BG Bank Guarantee 29 SOLUTION means Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals as per this RFP 30 MIP/VAP/NFS Master Interface point/visa Access Point/ National Financial Switch 31 NFC Near Field Communication Page 2 of 79

3 INVITATION FOR BIDS (IFB) DATE : 21/07/2015 RFP No.: HO/ITD/547/ Dena Bank invites sealed bids from eligible bidders for End-to-End Solution for Merchant Acquiring Business through Supply, installation, maintenance and management of EDC (Electronic Data Capture) machines and/or Point of Sales (POS) terminal at various merchant establishments on Monthly Rental. 2 Interested eligible bidders may obtain further information from the office Dena Bank, Information Technology Department, Dena Bhawan-A, Patel Estate Road, Behind Telephone Exchange, Jogeshwari (w), Mumbai The Bid Document is to be downloaded from the Website. The non-refundable fee of `10,000/- for downloaded document must be deposited before the last date & time of sale of bidding document as tabulated below. No hardcopy of the bid document will provided. 4 Only those companies who have downloaded the Bid document and paid the nonrefundable fee shall be allowed to attend the Pre Bid Vendor Meeting. 5 The Bid Details are as follows : S. No. Item Description 1. Bid reference HO/ITD/547/ Price of Bid Document ` 10,000/- 3. Date of commencement of 21/07/2015 sale of Bidding Documents 4. Pre bid meeting 28/07/ Hrs 5. Last date for sale of Bidding Documents 19/08/ Hrs 6. Last Date & Time for 19/08/ Hrs Submission of Bids 7. Date and time of opening of 19/08/ Hrs Technical Bids 8. Place of submission & opening of Bids Dena Bank, Information Technology Department, Dena Bhawan-A, Patel Estate Road, Behind Telephone Exchange, Jogeshwari (w), Mumbai Address for communication As above Sr.No.8. Tel : /85/93 Fax : ittender@denabank.co.in 6 All bids must be accompanied by bid security as specified in the Bidding Document and must be delivered at the above office on or before specified date and time indicated above. Page 3 of 79

4 7 Bids will be opened in the presence of the bidders authorized representatives on the specified date and time. 8 Bidders will have an interface with the Bank on the technical feasibility of the proposal during pre-bid meeting. If the Bank is not satisfied with technical specifications and the feasibility of the technical offers submitted by any bidder, the commercial offers of that bidder will not be opened. Technically disqualified offers will not be taken up for further process and no discussions / interface will be granted to such bidders. 9 Dena Bank reserves the right to accept or reject in part or full any or all the offers without assigning any reasons there for. 10 Tender document may be downloaded from the Banks website (hard copies of the tender document will not be provided) and non-refundable tender fee of ` 10,000/= (Rupees Ten thousands only)should be deposited to the account as per the details hereunder and copy of transaction receipt has to be submitted on or before 19/08/ Hrs. Bank: Dena Bank Branch: Jogeshwari-West, Mumbai Account No: Account Name: Dena Bank IT Department Account Type: Current IFSC Code: BKDN ASST. GENERAL MANAGER (IT) DENA BANK, HO, MUMBAI. Page 4 of 79

5 A. INTRODUCTION 1. About Dena Bank 1.1. Dena Bank was founded on 26th May, 1938 by the family of Shri. Devkaran Nanjee under the name Devkaran Nanjee Banking Company Ltd It became a Public Ltd. Company in December 1939 and later the name was changed to Dena Bank Ltd In July 1969 Dena Bank Ltd. along with 13 other major banks was nationalized and is now a Public Sector Bank constituted under the Banking Companies (Acquisition & Transfer of Undertakings) Act, Under the provisions of the Banking Regulations Act 1949, in addition to the business of banking, the Bank can undertake other business as specified in Section 6 of the Banking Regulations Act, The present organisational structure of the Bank consists of four tiers viz., Corporate Office-Head Office (HO), Field General Manager Offices (FGMO), Zonal Offices (ZO) and Branches. HO, consisting of various functional departments deals with mainly policy formulation, setting of targets and monitoring of performance. The Bank has set up 4 GMOs and 29 Zonal Offices to exercise immediate supervision and control over the branches under their jurisdiction. The Bank has a network of 1686 Branches spread across the length and breadth of the country The Bank also has specialized branches catering to the specific needs of Retail customers, Industrial units, corporate clients, Forex dealers, Exporters and Importers, Small Scale Industries and Agricultural sector. The Bank has sponsorship in 1 Regional Rural Banks (RRB) Bank has implemented Core Banking Solution - Finacle from Infosys. Presently all the 1686 Branches and ZOs are connected to the CBS. The Data Center of the Bank and the CBS Project Office of the Bank are located at Jogeshwari-West, Mumbai and DR Site is located at Electronic City, Bangalore. 2. Definitions 2.1. Bank means unless excluded by and repugnant context or the meaning thereof, shall mean Dena Bank, which has invited bids under this Request for Proposal (RFP) and shall be deemed to include it successor and assigns RFP means Request for Proposal for End to End solution for Selection of vendors to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals on Monthly Rental Model Bidder means a vendor submitting the proposal in response of RFP Contract means the agreement signed by successful bidder and the Bank at the conclusion of bidding process, wherever required Successful Bidder/ L1 bidder means the Bidder who is found to be the lowest bidder, subject to compliance of all the Terms and Conditions of the RFP, etc Solution means Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals as per this RFP Proposal means that Technical proposal and Financial proposal as per the formats prescribed in the RFP. Page 5 of 79

6 2.8. New Business Procurement means procurement of new Current Account/Saving Fund Account under new relationship along with installation of PoS/EDC terminal attached with new account. 3. About RFP The Bank wishes to set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals on Monthly Rental Model as stipulated in RFP. In this connection, Bank invites sealed offers (Conformity to Eligibility Criteria, Technical Proposal and Commercial Bid) for Selection of vendor/s to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals as per the Terms & Conditions, Technical Specifications and Scope of Work described elsewhere in this document. The RFP document is not a recommendation, offer or invitation to enter into a contract agreement or any other arrangement in respect of the services. The provision of the services is subject to observance of selection process and appropriate documentation being agreed between the Bank and successful bidder/s as identified by the Bank after completion of the selection process. 4. Objective Bank intends to select a vendor/s who can Set up, Manage, Maintain and Operate Merchant Acquiring Business as per scope of work given in the detailed RFP through supply of POS/EDC terminals for next 5 years. The agreement can be extended for additional period of 3 years on mutually agreed terms which is renewable on annual basis. As per market trends, it is envisaged that requirement of POS/EDC terminals i.e. PSTN, GPRS, MPoS, PC POS terminals shall be in the ratio of given hereunder which may vary in future. Type of Terminal Quantities proposed PSTN Based 3000 PSTN Based NFC contact Less 500 PSTN Total 3500 (a) GPRS Based 4000 GPRS Based Desktop Terminal 1500 GPRS handheld with contactless 250 GPRS Based Desktop NFC contact Less 250 MPoS 250 MPoS with contactless 250 GPRS Total 6500 (b) Total 10,000 (a)+(b) the above quantities are of indicative in nature the above quantities may vary based on the business model, customer requirement Offers will be obtained for the above proposed quantities as part of tender for selection / commercial evaluation. Actual quantities deployment will be based on customer requirement with variation of +/- 30% Page 6 of 79

7 5. Eligibility Criteria Due to the complexity of the business and operation of POS/EDC terminals, only bidders who qualify on each and all of the below mentioned criteria, would be qualified to submit the bid and will be evaluated as per details provided further in this document. Bidder should provide full details on each of the below requirements S. Eligibility Criteria No 1. The Bidder/Group Company should have been in Merchant Acquiring Business in India for at least two years as on date of RFP. 2. During the last two audited financial years viz., and ( if is not audited, then should be considered ), the bidder should have minimum annual Turnover of Rs crores (Rupees Fifteen Crores only) and Rs Crores (Rs. Thirty Crore only) in case of joint bidder (i.e. Billing to the companies for which they have been working) from POS / EDC ( Electronic Data Capture ) business 3. Shall have positive net worth in the last two financial years as above 4. No Bidder solely or jointly shall submit more than one Bid for the Project. 5 The bidder should have experience of working with at least one scheduled commercial bank for more than two years in India in POS terminal and MPoS Terminal deployment, processing, operations and management thereof in terms of NPCI/VISA/MasterCard guidelines. The bidder should also have the capability to provide the above services for AMEX. 6 The Bidder should have installed and be maintaining at least POS terminals on Pan India basis. 7 The Bidder should have a set-up in India for operations /back-office processing of merchant acquiring transactions and should have managed Base II processing for minimum one Bank. 8 The bidder should have the capacity to provide end-toend solution (from merchant acquiring stage to transaction, settlement, reconciliation etc.) for acquiring business to the Bank through PoS terminals and/or MPoS Terminals. This will include among others deployment and maintenance of PoS terminals with time to time updating thereof, transactions/ authorization /settlement/ operations, reconciliation, resolution of charge back issues and complaints, Documents Required Certificate of Commencement of Business/ copy of first order. Copy of audited financial statements (P/L & Balance sheet) for last two financial Years should be submitted alongwith the undertaking regarding PoS business. Self-certificate indicating that only one bid has been submitted Give experience certificate from the related Bank. Attach copies of orders or experience letter on bank letter head. The operations set up/ back office details are to be Provided and experience letter on bank letter head Describe the technological & other Capabilities as per Annexure Page 7 of 79

8 online monitoring & marketing of PoS terminals on behalf of the Bank. The bidder should have the capacity for time to time updating as per requirement of the Bank/regulators and should also have arrangement for training to the merchants. 9 The bidder should host the solution in a PCI-DSS compliant data centre as on date and should provide the details of such certifications as on date of bid submission 10 The bidder should be preferably Original equipment manufacturer (OEM). If not, then the bidder should be an authorized representative of OEM or should have tied up arrangement with a manufacturer of POS terminals. The tie-up arrangement must be at least prior to the date of submission of bid. 11 Preferably, entire activities should be managed / provided by the bidder. However, the following activities should invariably be handled and provided by the bidder/s themselves: Authorization of the Transactions. Processing Settlement Reconciliation Installation of terminals And if any activity apart from above to be outsourced, detail thereof should be given. 12 The bidder is required to provide support at all centres where Dena Bank is having offices / branches existing as well as in future. 13 The bidder and OEM should not be currently blacklisted by any Public Sector Bank, RBI or IBA or any other Government agencies. Bidder must certify to that effect. 14 The bidder should have its own switch, certified for credit & debit card acquiring business by VISA/ MasterCard/ NPCI and Amex (if required by merchant/bank) and also the bidder should be a registered third party processor/ member service provider(tpp/msp) for VISA/ MasterCard and NPCI with requisite experience stated at clause no. 5. The bidder should own/have requisite valid licenses to do the Merchant Acquiring Business. All the POS Terminals should be directly connected to the bidder s switch for providing switch services for acquiring transactions. Copy of the certificate to be provided. Detail of the arrangement and attach a letter from the supplier. Give complete details. Include the names of the vendors to whom some Services will be outsourced. List the existing service centres and attach undertaking to provide support at all centres where Bank is having offices / branches existing as well as in future. Self-Certificate Proof in this regard to be submitted 15 Merchant Management Software for POS terminals and Declaration to this effect has to Page 8 of 79

9 Software Processing platform in house and the infrastructure should be in use for/by at least one Scheduled Commercial Bank in India for switching PoS. 16 The bidder should have both primary and DR centre fully audited and compliant to VISA/ MasterCard/ NPCI guide lines. 17 The Bidder should have its EAS / MIP / NFS connectivity in its data centre to provide the necessary connectivity to the Bank for routing VISA/Master Card/ NPCI transactions respectively. Bidder should have experience of Fraud and Risk Management for POS Acquiring business with at least one scheduled commercial Bank. 18 The following capabilities needs to be available as part of Risk and Fraud Management. Transactions monitoring in Real time/near Real time through an automated rule engine. Alert Management team with 24*7*365 presence. Expertise in identification of changes in market trends, merchant behavior patterns. Capability to hold the merchant payments in case of suspicion. Expertise in creation of rules and implementing the same with minimum false positive ratios. 19 The bidder should also have the capability to provide DCC (Dynamic Currency Convertor) facility. 20 The bidder shall also offer contact less (NFC) based POS terminals. 21 POS Infrastructure supply & management shall comply with RBI/Govt/NPCI guidelines from time-to-time. 22 Equipment shall have aadhaar enabled features for biometric authorization 6. Joint Bidding be Declaration to this effect has to be submitted by the bidder. Letter from one public sector / commercial bank has to be Submitted. The Bidder has to submit the audit Certificate for Bidder has to provide related details Bidder should provide experience letter on letter head A note on functionality to be submitted. Shall submit technical documentation. A technical compliance note. Technical Compliance Note In case the bidder/ group company is not having certain capabilities sought in tender, it can still participate in tender provided the bidder should have prior agreement and arrangement with those parties having relevant capabilities/ expertise. Such agreement should be with not more than two parties and should have been entered into before the due date of tender submission. Any service issue arising out of such arrangement will be in the domain of successful bidder and the Bank will not have any responsibility towards the third party activities/ performance. List of parties proposed to be engaged to be furnished along with the bid. In case of Joint Bid, all terms & conditions shall be applicable on all the co bidders and they will be liable/ responsible jointly as well as severally. Page 9 of 79

10 7. Requirement Details Bank intends to avail services of bidder/s to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals on end to end solution basis on Monthly Rental Model as detailed here under; 7.1. Monthly rent per terminal installed, to be paid to successful bidder, shall comprise of the following; a. Rent of POS/EDC terminals installed at Merchant location. b. Monthly cost of other services, which shall include all costs like maintenance of the terminal, supply of required stationary etc. to be provided by bidder as per scope of RFP Bidder is expected to source the merchants from Market at its own and as well as on the basis of leads provided by the Bank Bidders must have their own switch fully certified by concerned agencies for routing of transactions. Bidders have to provide end to end solution to Bank as per Scope of Work If the switch infrastructure is shared with other Banks/Organizations, security of data to ensured and certify from third party. Bank may conduct third party audit for hardware, software and other components deployed under this contract. Bidder to assist and provided required information / access to conduct such audit. The audit may be conducted quarterly All other cost, except Bin Charges to VISA/Master card / NPCI and its certification charges by what so ever name it is called, shall be borne by the bidder All the certification charges of their switch & POS / EDC Terminals need to be borne by the bidder Bidder is required to bear Fraud & Risk Liability and provide effective Fraud & Risk management services. Addressing of charge backs if any arises, will be to the account of the bidder and all other issues like collection of charge slips, making representation etc shall also be managed by the bidder 7.8. All the Banking Services including maintenance of Merchants Settlement account will be provided by the Bank. The final approval of merchant sourced will be of Dena Bank, which will act as Acquiring Bank by acquiring Card. Present Transactions at Merchant Establishments where EDC/POS/GPRS/MPoS terminals shall be installed under the scope of this RFP. The Bidder / Service provider may provide the reference of the merchant to the Bank at no extra cost Service Provider, at the sole discretion of the Bank, may be asked to provide services pan India, including rural and semi urban areas As per market trends, it is envisaged that requirement of various type of terminals shall be as under which may vary in future. Page 10 of 79

11 Type of Terminal Quantities proposed PSTN Based 3000 PSTN Based NFC contact Less 500 PSTN Total 3500 (a) GPRS Based 4000 GPRS Based Desktop Terminal 1500 GPRS handheld with contactless 250 GPRS Based Desktop NFC contact Less 250 MPoS 250 MPoS with contactless 250 GPRS Total 6500 (b) Total 10,000 (a)+(b) the above quantities are of indicative in nature the above quantities may vary based on the business model, customer requirement Offers will be obtained for the above proposed quantities as part of tender for selection / commercial evaluation. Actual quantities deployment will be based on customer requirement with variation of +/- 30%. Bidder also required to quote (quantity 10 nos) cost of each type of terminals in an annexure format for outright purchase by Bank. Bidder to indicate warranty period, amc cost, deployment cost, support cost, any other associated costs, and transaction switching costs for transactions originating from Banks owned equipment. The cost quoted for outright purchase will not be part of TCO Bidders have to quote rates in commercial bid as per Annexure The Bank may exercise its option to buy back the terminals installed by the bidder based on the terminals written down value (WDV) at sole discretion of the Bank at any time during the currency of the contract. 8. Scope of Work 8.1. The scope of RFP involves deployment of EDC/POS Terminals (PSTN, GPRS, PC POS and MPoS) etc. to be installed at Merchant Locations for acceptance of all types of cards, issued in association with VISA, MasterCard & NPCI (also AMEX, if desired by the bank) etc by the Bidder and routing the transactions to Bidder s Switch and then to the appropriate interchange switch viz., VISA or MasterCard or NPCI or (AMEX if desired by Bank). The bidder has to deploy the EDC/POS Machines at his own cost and maintain them and also offer services including provision, deployment, installation of the EDC/POS terminals, terminal driving, switching, merchant help desk, consumables, marketing, sourcing and enrolment of Merchants, field services, transaction settlement, reconciliation of EDC/POS Transactions and handling chargeback issues The EDC/POS terminals being deployed and related Infrastructure must Be Fully EMV-II compliant (as per latest revisions/provisions) Be in the approved terminal list of the EMV Companies Be Chip-compliant and capable of PIN acceptance for chip cards. Page 11 of 79

12 POS/EDC Terminals must have the facility of LCD screen to display the amount of Transaction Have unique double length Terminal Master Key Be TLE & UKPT/DUKPT Compliant Terminals, POS/EDC Infrastructure and service provider should be PCI-DSS compliant as per latest compliance standard released by PCI Council as on the date of RFP Any Card payment application used must be PA-DSS Compliant Be fully compliant to MoF/RBI/BCA/NPCI directives and upgradable to all future directives of MoF/RBI/BCA/NPCI at no extra cost to the Bank The PoS/EDC terminals for fuel merchants should be PESO (Petroleum and Explosives Safety Organisation) certified/compliant The service provider should be able to deploy NFC ( Near Field Communications) terminals consequently its systems should be compatible to process the transactions through NFC cards in near future 8.3. Scope of Contract and Deliverables: The Bank is inviting offers from Bidders, capable and experienced in all aspects relating to Merchant POS/EDC Acquiring business by deploying EMV-II Compliant EDC/POS TERMINALS Machines, capable of reading Chip Card and PIN enabled, at their own cost at various Merchant locations across the country and maintains them POS/EDC Infrastructure of the service provider should be compliant to PCI - DSS/ PA-DSS standards and as per other specifications given in clause 8.2 above and of reputed companies. The Bidder should disclose the brand, model and manufacturer s name of the POS/EDC Machines to be offered to the Bank and the said PoS/EDC terminals should be currently under operation at least in one schedule commercial bank with trouble free operations The EDC/POS terminals should be connected to the bidders switch for routing/accounting of transactions and then to the VISA/MasterCard/ NPCI (AMEX if desired by the Bank) for POS/EDC Transactions. In future if required, bidder to route issuer transactions of Bank, directly to Bank switch Merchant should be able to submit the daily Transactions/Bills online to the bidder for settlement through Batch Settlement Process. The merchant agreement between the Bank and Merchant will provide for safe keeping of the records including charge slip by the merchant The bidder should have the capability to supply and install EDC/POS terminals, Merchant Management and Training, while the Bank will provide the Lead and necessary assistance in sourcing the Merchants The bidder should have a Merchant Helpdesk for attending to the queries of the Merchants. Bidder shall also handle the settlement and payment related queries by the Merchants of the Banks. Page 12 of 79

13 Bidders must have direct connectivity to VISA, MasterCard and NPCI network through Extended Access Server (for VISA), MasterCard Interface Point (for MasterCard) and National Financial Switch (for NPCI) The Bidder shall comply with / provide confirmation on the following: Should provide network monitoring and ensuring seamless connectivity of POS/EDC machines All the EDC/POS terminals should be directly connected to the Bidder s switch for providing Switch Services for acquiring transactions. The third party processor switch should be duly certified by VISA/Mastercard/NPCI (AMEX if desired by the Bank) and comply with all administrative formalities and documentation requirements of VISA/Mastercard/NPCI (AMEX if desired by the Bank) The transactions would be routed directly to VISA/Mastercard/NPCI (AMEX if desired by the Bank) for all acquired transactions. In future if required, bidder to route issuer transactions of Bank, directly to Bank switch. The charges, if any, for switch certification that need to be done on the Bank s switch side would be taken care by the bank. The bidder should bear the charges at its own switch side. The communication cost from bank s data centre to bidders data centre will be borne by Bank, in case of such connectivity requirement arises Bidder to assist Bank in obtaining VISA/MasterCard and NPCI membership for acquiring and Bank will bear association (VISA & MasterCard & NPCI) related charges Financial liability, if any, arising on account of charge back shall be borne by the bidder, all other activities required to be done in case of charge backs shall also be taken care of by the bidder. Bidder shall be responsible for conducting activities like charge back management, re presentment, retrieval, file uploads and download Bidder must ensure that card present transactions are strictly in line with RBI/ MOF/ IBA/ NPCI/ MasterCard/ VISA guidelines The EDC/POS terminals deployed by the bidder should be capable of providing value-added services through the terminals e.g. DCC, Mobile Recharge, Bill Payment, E-ticketing, etc., Multi Bank EMI facility as and when required by the Bank If at a later date, the EDC/POS machines / terminals are available with separate PIN pad to facilitate PIN entry by the Cardholder; such additions shall be made in all the terminals deployed by the bidder Bidder should be capable to deliver any significant changes like Aadhar based authentication on POS/EDC Machines as an additional factor of authentication or any other major upgradation is required to be made in POS/EDC infrastructure to comply with MoF/ RBI/IBA/NPCI directives in future. Estimates for the POS/EDC Terminals have been made on the basis of market trends, which is indicative and may vary in future. Page 13 of 79

14 The bidder should have the facility of charging differential Monthly Service Fee (MSF) rate to merchants for different types of credit / debit cards i.e. classic cards, gold card, platinum cards and diamond cards etc The deliverables shall include the following: Providing end-to-end maintenance for the POS/EDC terminals including network connectivity and end to end services related to Merchant Acquiring Business Generating the exception reports as required by the Bank and taking appropriate action with the approval of the Bank Generating and sending standard reports and other reports / MIS as required by the Bank from time to time. Sending Daily Transaction Statements to Merchant Establishments (e-statements) Timely escalation to the Bank on exceptions Provide POS/EDC terminal switching services Merchant Set Up and Training Handling Charge back issues Replenishment of consumables at merchant establishments Bidder should also provide switching of transactions acquired using PC POS and any such type of medium of card acquisition The bidder should provide all reports daily/weekly/monthly/quarterly /half yearly/yearly as required in formats including merchant payment advice reports and also reconcile all transactions for these POS/EDC machines. The report formats may change as per the requirements of Bank for its own use, RBI/NPCI/MoF/Govt etc., such reports to be provided at no additional cost to Bank. Bidder also provide required data for any investigation purpose in a time bound manner Bidder to do Merchant Sourcing (marketing of PoS/EDC machine/ personal visit to merchants/ Spot and documentation verification/ sourcing of new business etc) Turn Around Time for Installation and repairs of PoS/EDC terminals is as under: Area Metro and Urban Semi- Urban Turn Around Time for attending lead generated by the Bank Turn Around Time for installation of PoS /EDC terminal after Approval from the Bank 3 days 2 days 24 hours 5 days 5 days 48 hours Rural 7 days 7 days 72 hours Turn Around Time for repair of PoS / EDC terminal after lodging complaint by the merchant The bidder has to ensure that the Product/POS Terminals supplied under the Contract are new, unused, of the most recent or current model and they incorporate all recent improvements in design and / or features. Further, the bidder has to Page 14 of 79

15 ensure that all the Products supplied under this Contract shall have no defect, arising from design or from any act of omission of the Service Provider that may develop under normal use of the supplied products in the conditions prevailing in India Activities to be taken by Bank: Framing merchant acquiring policy, pricing and standard operational procedures Merchant Activity Monitoring through MIS provided by the Bidder Suspect Activity Response and Merchant Termination through MIS provided by the Bidder B. BID PROCESS 9. Bid Document & Cost: 9.1. This document can be downloaded from Bank s website in that event, the bidders should pay the Application Fee of Rs. 10, for tender document by means of NEFT/DD drawn on any scheduled Commercial Bank for the above amount in favour of Dena Bank, payable at Mumbai and submit the same (UTR No. in case of NEFT) along with Part- A-Conformity to the Eligibility Criteria and Technical Proposal. Submission of the cost of the bid document in other than with Part-A-Conformity with the Eligibility Criteria and Technical Proposal is liable to be rejected on grounds of non-payment of the cost of the bid document The Bidder shall bear all costs associated with the preparation and submission of the bid and the Bank will not be responsible for the costs, regardless the conduct or outcome of the bidding process. The Bank is not liable for any cost incurred by the bidder in replying to this RFP. It is also clarified that no binding relationship will exist between any of the respondents and the Bank until the execution of the contract. 10. Clarifications to RFP and Pre-Bid Queries: The bidder should carefully examine and understand the specifications, terms and conditions of the RFP and may seek clarifications, if required. The bidders in all such cases shall seek clarification in writing in the same serial order of that of the RFP by mentioning the relevant page number and clause number of the RFP All communications regarding points requiring clarifications and any doubts shall be given in writing to the Assistant General Manager IT, Dena Bank, Project Office- Bldg A, Patel Estate Road, Jogeshwari (West), Mumbai by the intending bidders by 28/07/ hrs No oral or individual consultation shall be entertained Dena Bank personnel are available at Dena Bank, Project Office- Bldg A, Patel Estate Road, Jogeshwari (West), Mumbai for any clarifications that the Bidder may require. All clarifications must be sought either in writing or through to ittender@denabank.co.in latest by 28/07/ hrs. Page 15 of 79

16 11. Bidder Responsibility: If the proposal/quotation includes equipment products /services/software and or support by other companies or individuals, the bidder as the principal bidder shall be responsible for their supply, delivery, installation and maintenance and uninterrupted operations. The principal bidder must ensure that they possess the necessary expertise and required infrastructure for executing the task as per scope of work and has the requisite permission/license for the equipment/ software. It will be the responsibility of the bidder to enter into inter se agreement with such other service provider(s) so as to ensure uninterrupted operations. In addition to the above, the vendor would also be required to ensure the following: In case any part of the work / process is required to be out-sourced by the vendor, the vendor shall seek prior approval of the Bank. The vendor must ensure and confirm due diligence / KYC / Physical verification at its own as well as the employees of its service providers / sub-contractors and must be able to provide documentary evidence for the same to the satisfaction of the Bank. The vendor must build adequate safeguards to ensure that the information/ documents/ records/ assets of the Bank are maintained in a way that the same are safe and there is no commingling of similar information with other organizations to which it may be providing services. The vendor shall ensure preservation of all documents / data in accordance with all legal/ regulatory obligations as advised from time to time. The vendor shall be liable for any data breach/ loss/ damage by Service Provider/ their contractor(s)/ sub contractor(s) or its employees or employees of its contractor(s)/ sub contractor(s) including any legal consequences arising out of any such breach/ loss / damage. The successful bidder shall submit the undertaking to provide the Business Continuity Plan (BCP) acceptable to the Bank before the Bank places the Work Order on the vendor. It shall be the responsibility of the Service Provider to submit a comprehensive Business Continuity Plan (BCP) and Management of Disaster Recovery (DR) Plan for the approval of Dena Bank. The said plans: To ensure the continuous availability of End-to-End solution for Merchant Acquiring Business. To identify mission critical activities and their respective single points of failure. To have specific disaster recovery strategy for mission critical activities. To have disaster recovery strategy, which is well developed, documented, tested and maintained on a regular basis. To recover and perform system operations at an alternate facility. To provide access rights/visitation rights to Dena Bank officials, RBI auditors / Govt / NPCI etc from time to time for verification and/or audit purposes; and To provide periodic joint testing and recovery exercises. Bidder shall also undertake to develop/customize any new application in future at its own cost for smooth running of the operations of business of the Bank. Page 16 of 79

17 12. Amendments to Bidding Document: At any time prior to deadline for submission of Bids, the Bank, for any reason, whether, at its own initiative or in response to a clarification requested by prospective bidder, may modify the bidding document, by amendment Notification of amendments will be made available on the Bank s website and will be binding on all bidders and no separate communication will be issued in this regard In order to allow prospective bidders reasonable time in which to take the amendment into account in preparing their bids, the Bank, at its discretion, may extend the deadline for a reasonable period as decided by the Bank for the submission of Bids. 13. Bid System Offer Bid shall have the following 2 (two) parts: Part-A (i) (ii) Eligibility Conformity: Indicating their compliance to Eligibility Criteria. The format for submission of Conformity to Eligibility Criteria is as per APPENDIX - A. Technical Proposal- indicating the response to the Technical and Functional requirement specification of Selection of vendor to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminal on Monthly Rental Model. The format for submission of Technical Proposal is as per APPENDIX - B Part-B Commercial Bid - furnishing all relevant information as required as per ANNEXURE-15. The format for submission of Commercial bid is as per APPENDIX-C. 14. Preparations of Bids: The Bid shall be typed or written in English language preferably with font size of 12 in indelible ink and shall be signed by the Bidder or a person or persons duly authorized to bind the Bidder to the Contract. The person or persons signing the Bids shall initial all pages of the Bids, except for un-amended printed literature The two parts as stated above, should be placed in two separate envelope super scribed with Part A Conformity to Eligibility Criteria and Technical Proposal and Part B) Commercial Bid and properly closed and sealed. Thereafter, all the envelopes shall be placed inside another envelope and properly closed and sealed. The final envelope should be super scribed as Offer Selection of vendor to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC on Monthly Rental Model in response to HO/ITD/547/2015 Dated 21/07/2015 (includes separately sealed Part A (i) - Conformity to Eligibility Criteria Part A (ii) - Technical Proposal and Part B - Commercial Bid) on the top of the envelope. Page 17 of 79

18 All the pages of Bid including Brochures should be made in an organized, structured, and neat manner. Brochures/leaflets etc. should not be submitted in loose form. All the pages of the submitted bids should be paginated with Name, Seal and Signature of the Authorized Signatory. Bids with erasing / overwriting / cutting without authentication will be liable for rejection. Authorization letter for signing the Bid documents duly signed by Company s Authorized signatory should be submitted All the envelopes shall bear the name and complete postal address of the bidder as well as the addressee, namely the Assistant General Manager IT, Dena Bank, Project Office- Bldg A, Patel Estate Road, Jogeshwari (West), Mumbai Part A (i) - Conformity to Eligibility Criteria: Before submitting the bid, the bidders should ensure that they conform to the eligibility criteria as stated in clause-5 of RFP. Only after satisfying themselves of the eligibility, the Offer should be submitted The Conformity to Eligibility Criteria as per ANNEXURE-2 among others must contain Demand Draft towards the cost of the Bid document as stated in the paragraph 9.1 above and EMD/ Bank Guarantee in lieu of EMD as per APPENDIX- E of Instructions of this document. The Conformity to Eligibility Criteria should be complete in all respects and contain all information sought for, as per APPENDIX- A After ensuring the above, it shall be placed inside a separate Envelope and sealed and super scribed on the top of the cover as PROPOSAL-PART-A (i) for Selection of vendor to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals on Monthly Rental Model Part A (ii)-technical Proposal: Technical Proposal should be submitted following the instructions contained in APPENDIX-B. Relevant technical details and documentation should be provided along with Technical Proposal The offer may not be evaluated and may be rejected by the Bank without any further reference in case of non-adherence to the format or partial submission of technical information as per the format given in the offer If the offer of the Bidder is different from the requirement/ scope furnished in the RFP, the bidder has to substantiate the same in detail, the reason for such deviations. The Bank shall not allow/ permit changes in the technical specifications once it is submitted The Technical Proposal is to be sealed in a separate Envelope super scribed on the top of the cover as TECHNICAL PROPOSAL PART-A (ii) for Selection of vendor to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminals on Monthly Rental Model and should be submitted with Part A(i). Page 18 of 79

19 The Technical Proposal should be complete in all respects and contain all information sought for, as per APPENDIX-B. Masked Commercial Bid must be attached in Technical Offer and should not contain any price information. The Part A (ii)-technical Proposal should be complete and should cover all products and services Part B- Commercial Bid: The Commercial Bid is to be sealed in a separate sealed envelope super scribed on the top of the cover as Commercial Bid PART-B for Selection of vendor to Set up, Manage and Operate Merchant Acquiring Business through POS/EDC terminal on Monthly Rental Model Commercial Bid shall be submitted as per ANNEXURE-15 other terms and conditions of RFP on price, any deviations or non submission of price/rate as per the format, shall make the bid liable for rejection Under no circumstances the Commercial Bid should be kept in envelop of Part-A (i.e. Conformity to Eligibility Criteria and Technical Proposal). The placement of Commercial Bid in Part A (i.e. Conformity to Eligibility Criteria and Technical Proposal) covers will make bid liable for rejection Bidder must ensure that there are no typographical or arithmetic errors in Commercial Offer. All fields must be filled up correctly Any change in the format may render the bid liable for rejection. The Commercial Bids that are incomplete or overwritten or with cutting/alteration or conditional are liable to be rejected The Bidder should indicate price exclusive of applicable taxes If any of the deliverable product mainly, Hardware, software, Service/Support etc. has both VAT and Service Tax, the bidder has to indicate the Goods Component with percentage of VAT and Service Component with service Tax involved. The Goods Component + Service Component should be limited to 100% of the Cost Price. For example, if Goods Component is 60% then, the Service Component cannot be more than 40%. 15. Earnest Money Deposit (EMD)/Bank Guarantee In Lieu of EMD: The bidder shall furnish Non interest earning Earnest Money Deposit (EMD) of Rs. 10,00,000/- (Rupees Ten lacs Only) by way of RTGS/Demand Draft drawn on any scheduled bank in favour of Dena Bank, payable at Mumbai and the same should be kept along with the Part-A - Conformity to Eligibility Criteria and Technical Proposal In Case the EMD is submitted in the form of Bank Guarantee the same should be valid for the minimum period of 6 months with a claim period of 3 months. The format for submission of EMD in the form of Bank Guarantee is as per APPENDIX-E Submission of EMD in other than Part A - Conformity to Eligibility Criteria and Technical Proposal Envelope, is liable to be rejected on grounds of non submission of EMD The EMD of the unsuccessful bidders will be refunded after finalization of the bidding process The EMD may be forfeited/bank Guarantee may be invoked: If the bidder withdraws or amends the bid during the period of bid validity specified in this document. Page 19 of 79

20 If the selected bidder fails to accept the purchase order within 7 days or fails to sign the contract or fails to furnish performance guarantee in accordance with the terms of the RFP. 16. Documentation: Technical information in the form of Brochures/Manuals/CD etc. must be submitted in support of the Technical Offer made. 17. Costs & Currency: The Offer must be made in Indian Rupees only as per Commercial Bid format (ANNEXURE-15). 18. Erasures or Alterations: The Offers containing erasures or alterations will not be considered. There should be no handwritten material, corrections, alterations or overwriting in the offer. Technical details must be completely filled in. Correct technical information of the product being offered must be filled in. Filling up of the information using terms such as OK, accepted, noted, as given in brochure/manual is not acceptable. The Bank may treat such Offers as not adhering to the tender guidelines and as unacceptable. 19. Assumptions/Presumptions/Modifications: The Bank would like to expressly state that any assumption, modifications, terms, conditions, deviation etc., which the bidder includes in any part of the Bidder s response to this RFP, will not be taken into account either for the purpose of evaluation or at a later stage, unless such assumptions, modifications, terms, conditions deviations etc., have been accepted by the Bank and communicated to the bidder in writing. The bidder at a later date cannot make any plea of having specified any assumption, modifications, terms, conditions, deviation etc in the bidder s response to this RFP. No offer can be modified or withdrawn by the bidder after submission of Bid/s. 20. Submission of Bids: The bidder must ensure that the Physical Bids, duly signed by authorized official (s) along with stamp on every page of the document being submitted, on the prescribed formats as given above, are delivered, in properly sealed envelopes addressed to Assistant General Manager IT, Dena Bank, Project Office- Bldg A, Patel Estate Road, Jogeshwari (West), Mumbai , during working hours at the above mentioned address Dena Bank reserves the right to accept or reject any or all bids, to take exception to these RFP specifications or to waive any formalities. Bidder may be excluded from further consideration for failure to fully comply with the specifications of this RFP. Dena Bank is under no obligation to acquire any or all of the services proposed, or to explain why any proposal is accepted or rejected The bidder can, if he so desires, obtain a copy of RFP on payment of Rs.10,000/- through Demand Draft favoring Dena Bank payable at Mumbai or by deposit through NEFT as per details given below: Page 20 of 79

21 Bank: Dena Bank Branch: Jogeshwari-West, Mumbai Account No: Account Name: Dena Bank IT Department Account Type: Current IFSC Code: BKDN In case RFP is downloaded from website, a draft of Rs.10,000/- favoring Dena Bank and payable at Mumbai be attached with the Bid in a separate cover towards the cost of RFP. All costs incurred by the Bidder in the preparation and presentation of the proposal shall be absorbed entirely by the Bidder. All supporting documentation submitted with this proposal shall become the property of Dena Bank. Bidders shall have to submit the Bid Earnest Money of Rs. 10,00,000 (Rupees Ten lacs only) for the bid in the form of Demand Draft/BG favoring Dena Bank, - Bid Earnest Money payable at Mumbai. This draft should be submitted in a separate envelope super scribed as Earnest Money, along with the Technical bid. An application without Bid Earnest Money is liable to be rejected. In case of unsuccessful bidder, EMD will be returned (without interest) on completion of the RFP process. EMD of the successful bidders would be refunded (without interest) after submission of the Performance Guarantee. 21. Bid Opening: The Part A- Conformity to Eligibility Criteria and Technical Proposal shall be opened in the presence of the Bidder s representative/s that may choose to attend the bid opening as per following schedule. Date Day Time Venue Dena Bank, Project Office- Bldg A, Patel Estate Road, Jogeshwari (West), Mumbai Bidder s representative may be present in the place and venue well in time along with an authorization letter in hand for each bid opening under this RFP, as per the format (ANNEXURE-4) enclosed. Note: Authorization letter should be carried in person and shall not be placed inside any of the bid covers Attendance of all the representatives of the bidders who are present at bid opening will be taken in a register against Name, Name of the Company and with full signature The Bidders may note that no further notice will be given in this regard. Further, in case the bank does not function on the aforesaid date due to unforeseen circumstances or Page 21 of 79