DECLARATION CUM UNDERTAKING

This Declaration cum Undertaking (“Undertaking”) is executed at ______________ on _____

day of _________(Month), 2020 by :

_________________________ Limited , a company having CIN ______________________,

incorporated under the provisions of the Companies Act 1956 and having its registered office
at__________________________________________________________________________
_________ (hereinafter referred to as the “Borrower”, which expression unless it be repugnant
to the subject or context thereof, be deemed to mean and include our successors and assigns);

OR

_________________________, a partnership firm having its principal place of business at

____________________________________________________________________________
________ (hereinafter referred to as the “Borrower”, which expression unless it be repugnant
to the subject or context thereof, be deemed to mean and include our successors and assigns);

OR

_________________________ , a limited liability partnership firm having its principal place of

business at
____________________________________________________________________________
_______ (hereinafter referred to as the “Borrower”, which expression unless it be repugnant to
the subject or context thereof, be deemed to mean and include our successors and assigns);

OR

_________________________ acting as the proprietor of _________________________, a

proprietorship concern having its principal place of business at
____________________________________________________________________________
_______ (hereinafter referred to as the “Borrower”, which expression unless it be repugnant to
the subject or context thereof, be deemed to mean and include our successors and assigns);

In favour of :

HDFC BANK LIMITED, a company incorporated and registered under the Companies Act,
1956 and having its registered office at HDFC Bank House, Senapati Bapat Marg, Lower Parel
(W), Mumbai-400013, and a branch office interalia at the address mentioned in Item 4 of the
Schedule (“Concerned Branch”), hereinafter referred to as the “Bank” which expression shall
unless it be repugnant to the context or meaning thereof, be deemed to mean and include its
successors and assigns

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WHEREAS

I. The Government of India through Ministry of Finance, Department of Financial Services

has introduced the Emergency Credit Line Guarantee Scheme (“ECLGS” or the
“Scheme”, as the context may require) vide letter dated May 23, 2020 issued by the
National Credit Guarantee Trustee Company Limited (a wholly owned trustee company
of the Government of India) (“NCGTCL” or the “Trust Company”) for providing 100 %
guarantee coverage for additional working capital term loan availed by Borrower, inter
alia, from banks and financial institutions upto 20% of the entire outstanding credit upto
Rs. 25.00 crores (Rupees Twenty-Five crores) as on February 29, 2020 and subject to
compliance with the terms and conditions of the Scheme, as may be amended from
time to time.
II. In view of above and at my/our request, HDFC Bank Limited (“Bank”) has vide its
Sanction Letter bearing reference number _______________________dated
________________ (“Sanction Letter”) has sanctioned Additional Working Capital
Term Loan of Rs. _____________________/- (Rupees
_____________________________________________________ only) (“Facility”)
under the Scheme and such other terms and conditions as is stipulated by the Bank.
III. The Bank has called upon the Borrower to execute this undertaking on the terms
contained herein in order to avail the Facility.

NOW THESE PRESENTS WITNESSETH AS FOLLOWS:

A. In consideration of the above premises, the Borrower (s) has requested the Bank for the
grant of the Facility in accordance with the terms of the Scheme and Sanction Letter
and hereby agrees, declares, undertakes and confirms that :
a. the total outstanding loans availed from all banks/financial institutions as on
February 29, 2020 is upto Rs. 25 crores (Rupees Twenty Five Crores only), the
annual turnover for the financial year 2019-2020 is upto Rs. 100 crores (Rupees
One hundred crores only) and all loan accounts are less than 60 days past due;
b. it is eligible to avail the Facility under the Scheme and in the event, it is found to be
ineligible at any time till the Facility is repaid in full, the Bank shall be entitled to take
such action as it may deem fit including but not limited to recall the Facility and
enforce the security;

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c. all necessary approvals from the Board have been obtained for borrowing the
Facility;
d. the Facility availed from the Bank is 20% of the aggregate existing facilities availed
by the Borrower from the Bank (excluding any non-fund based limits and/or off-
balance sheet limits) and the Borrower shall submit a valid No-Objection Certificate
from the concerned other lender/s if any amount over and above 20% of the
existing facilities held with the Bank are proposed to be availed/withdrawn.
e. the Facility availed/to be availed by the Borrower shall be in terms of the Scheme
and Borrower shall provide all such information and documentation as is required
by the Bank to enable them to provide the Facility and also furnish the same to the
Government and/or the Trust Company in terms of the Scheme. If found otherwise,
at any stage, HDFC Bank shall be at liberty to take such action as it may deem fit
including recall of the WCTL.
f. the security created over the assets by the Borrower in favour of the Bank for
securing the repayment of the existing facilities availed from the Bank shall continue
as security for the Facility as a second ranking charge and the Borrower shall
execute such documents, deeds, undertakings writings etc. and undertake such
filings as may be prescribed by the Bank for creation and/or perfection of security
for the Facility;
g. the Borrower shall not, without prior consent of the Bank and/or the Trust Company,
create any further charge, encumbrance or any third party interest on the assets
secured for the existing facilities and the Facility;
h. the Facility shall be utilized only for the purpose for which it has been sanctioned
and shall not be utilized for any illegal or speculative purpose;
i. disbursement of the amount of the Facility in an account maintained by the
Borrower with the Bank shall be deemed to be the acknowledgement of receipt of
the Facility;
j. a separate loan account for extending the Facility shall be maintained by the Bank
and this account will be distinct from the existing loan account(s) of the Borrower;
k. default under the Facility shall be as per the instructions and guidelines issued by
the Reserve Bank of India from time to time and the Borrower shall not raise any
dispute of any manner whatsoever in this regard;
l. the details with regard to the number of employees employed by the Borrower as
provided to the Bank at the time of sanction is true and correct and the Borrower
shall provide such updates in this regard to the Bank on monthly basis as required
under the said Scheme;

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 m. the books of accounts, ledgers and other documents relating to the Facility shall be
segregated, maintained in a proper manner and made available as may be required
to facilitate any audit, scrutiny or inspection as may be undertaken by the
Government of India and/or the NCGTC and/or the Bank or by any other person
nominated by either of them in this behalf;
n. it shall furnish to the Bank such documents/ information as may be required by the
Bank in relation to the Facility, in such form and manner, and at such intervals, as
may be required by the Bank and which documents/information may be submitted
by the Bank with the Trust Company and/or the Government of India;
o. it shall authorise the Bank and/or the Trust and/or the RBI and/or any other agency
as may be authorised by any of the foregoing to list the name of Borrower as
defaulter on the website of the Trust Company in case of any default/breach by the
Borrower of the Scheme and/or the terms and conditions contained in the Sanction
Letter and other documents executed by the Borrower for availing the Facility;
p. it is in compliance with all applicable laws, rules, guidelines in relation to the
conduct of its business as prescribed by the RBI or any other Governmental
Authority from time to time including but not limited to the Goods and Services Tax
laws ;
q. the provisions of the Scheme and any modifications thereof, as may be made from
time to time, shall be deemed to be incorporated in this undertaking;
r. it shall sign, execute and deliver all applications, documents, deeds, undertakings,
receipts, statements and other papers in such form and manner as may be
prescribed by the Bank including in the digital/electronic form and the same shall be
deemed to be signed on behalf of the Borrower and that any irregularity or want of
authority of the persons so signing shall not in any way affect or prejudice the rights
of HDFC Bank or affect Borrower’s liability in respect thereof;
s. it shall indemnify and keep the Bank indemnified against any dues, duties, charges,
fees, costs, losses, damages etc. that the Bank may suffer or incur in relation to or
in connection with the Facility;
t. the provisions of this Undertaking shall be in addition to, and not in derogation of,
the provisions of the loan agreement, security documents and any other document
executed by the Borrower and the Scheme and the guidelines and instructions
issued by the Bank and the Trust Company from time to time.

B. The details in relation to the number of employees employed by the Borrower,

registration details under the Good and Services Tax and the turnover for the financial
year 2019-2020 are mentioned in the Annexure A attached herewith and an update on

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 the same shall be submitted by the Borrower to the Bank on monthly basis. The Bank is
irrevocably and unconditionally authorized to share/disclose the detailed mentioned
herein and updated thereof to the Trust Company and/or the Government of India as
may be required.
C. The clause in respect of the governing law and jurisdiction as mentioned in the Facility
Agreement shall be deemed to be incorporated herein by reference and shall apply
mutatis mutandis.
D. This Undertaking shall be effective from the date mentioned hereto.

(In case of a Partnership/ Limited Liability Partnership firm)

IN WITNESS WHEREOF the Partners of the Firm have set and subscribed their respective
hands hereto, the day and year first hereinabove mentioned at……………………

For …………….…. Signature

(Name of the Partnership/ Limited Liability )

Partnership Firm) )
)
 )
 )
 )



(Partners)

(In case of a Company)

IN WITNESS WHEREOF the common seal of the Company has been hereunto affixed the day
and year first hereinabove mentioned at ……………………

The Common Seal of ……………..…. Ltd. )

has been affixed hereunto pursuant to the )
Resolution of the Board of Directors dated )

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seal
 ………. in the presence of : )
)
1. )
)
2.
)
the Director/s and /or the …………… who )
have in token thereof, subscribed their )
signature hereto.

(In case of Proprietary Concern)

IN WITNESS WHEREOF the said Proprietor has set and subscribed his/ her hand hereto, the
day and year first hereinabove mentioned at……………………

For …………………..…. (Name of the )

Prop. Concern) )
)
)
)
)

(Proprietor)

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 ANNEXURE A
S.no. Particulars Details
1. Number of Employees employed
2. GST Registration details
3. Details of turnover for financial
year 2019-2020