Sanction letter for Renewal/Review of Facilities

Terms & Conditions

Sanction Ref: DigitalSanc:TISGAON,TISGAON NAKA:1167708 Date : 30/05/2023 10:51:07

To,
RONITS KITCHEN,
SHOP NO 4 GROUND FLOORASHISH MAHAL CHS CHINCHPADAKALYAN EAST ,
Maharashtra - 421306

Dear Sir/Madam,
Re:Your request for Renewal/Review of facilities with our bank of Rs. 4,10,714 /- [ Four Lakh Ten
Thousand Seven Hundred Fourteen ]
We are pleased to inform you that your request for Renewal/Review of facilities with our bank has been
considered favourably and sanctioned on the following terms and conditions:
Terms & Conditions:

Sr Particulars Details
No.

1. Name of the Borrower RONITS KITCHEN

2. Constitution PROPRIETORSHIP

3. Key Person/s RONIT SANJAY KHOLAM

4. Detail of Loan/Facility
(Amount in Rs.)

Facility Sanction Limit Reviewed Limit Outstanding as On

( 30-04-2023 )
Term Loan 5,00,000 4,10,714 4,10,714

Total 5,00,000 4,10,714 4,10,714

5. Purpose For Renewal/ Review of existing exposure with our Bank

6. Review/ Renewal Date 30/05/2023 10:51:07

7. Tenor 12 months from the date of renewal/Review

8. Rate of Interest Term Loan - 11.7%
BRLLR, SP & credit spread will be subject to change as per
RBI regulations/Bank's policies.

9. Penal Interest Additional Interest @ 2% on the overdue amount will be

charged for non-payment/ delayed payment
Sr Particulars Details
No.

10. Primary/Collateral Security As per Original sanction or changes, if any accepted thereupon
by bank
11. Margin As per Original sanction
12. Guarantee As per Original sanction
13. Process Fee At present, 50% concession in applicable fees if sanction
complete through Digital Renewal Platform
14. CGTMSE Fee & CERSAI To be paid by the borrower as per applicable rates, if
charges applicable
15. Other charges To be paid by the borrower as per Bankers schedule of
charges/actuals

Terms & Conditions to be complied:

• KYC and documentation process to be completed as per Bankers guidelines.

• The borrower shall provide latest stock & book debt statement in the format and manner
prescribed by the Bank. Availability of the limit shall be subject to adequate Drawing
Power (DP) basis the stock & book debt statement provided by the borrower. DP shall be
worked out after applying stipulated margin on paid stocks (excluding old/obsolete stocks)
and chargeable book debts ( 90 days old and excluding receivables from associated/group
concerns and bills purchased/discounted). [This condition is applicable only in case of
Cash Credit].
• The loan/facility if covered by guarantee from CGTMSE. The borrower will bear the
guarantee fee and other applicable charges associated with obtaining such guarantee
coverage including for subsequent periods. The borrower will promptly make available
the amount demanded by the Bank in this respect.
• Bankers security interest on the primary/collateral security will be registered with
CERSAI. The borrower will bear the charges associated with such registration. The
borrower will promptly make available the amount demanded by the Bank in this respect.
• Copy of valid consent of from State Pollution Control Board, wherever applicable to the
borrower as declared at time of application, to be submitted to the branch for updated
record keeping.
• The securities charged to the bank both primary/collateral should be comprehensively and
adequately insured under any insurance company having tie up with our Bank against fire
and other risks with bank clause, as may be required by the bank from time to time. The
policy should be renewed before the expiry date and the original policy should be sent
to the bank.
• The borrower will utilize the loan/facility only for the purpose it is granted. The dealing
branch will monitor utilization of funds and carry out necessary monitoring/due diligence
activities including unit inspection to ensure intended end use of funds.
• The Bank will carry out inspection of the business unit/premises/ securities charges on a
periodic basis. The cost of such inspection will be borne by the borrower as per Bankers
applicable rates.
• The borrower will submit a copy of latest Audited Financial returns filed along with all the
annexures within 6 months from the end of respective financial year, independent of the
digital review process to carry out internal rating, failing such submission, penal interest
of 2% will be applied after due date.
• The Bankers Hypothecation/ lien Board to be displayed in permanent and prominent nature
at factory/unit/shop/showroom/godown etc.
• The proper books of accounts, stock register and records of machineries to be maintained.
Bank will have right to examine the books of accounts and carry out inspection or valuation
of assets of the borrower, which are charged to the Bank, from time to time by Bankers
official / technical experts / external agencies / C.A. firms / management consultants and /
or valuers. The inspection / valuation charges so incurred will be borne by the borrower.
• The Borrower shall undertake that the names of Borrower or the key person do not figure
in any list of defaulters circulated by RBI or any Bank and Financial Institution nor in
caution list issued by RBI/ECGC/DGFT/CIBIL etc.
• In case of any default in the repayment of the loan or interest the Bank and / or RBI will
have an unqualified right to disclose or publish the name of the borrower and proprietor
as defaulter in such manner and in such medium as the Bank or the RBI in their absolute
discretion may think fit.
• In case of continuing default, the Bank reserves the right to recall the advance facility at
any time.
• The advance made available under the above mentioned facilities are repayable on demand
and the terms & conditions of these facilities granted, at the discretion of the Bank, are
subject to change from time to time without any prior notice. The Bank reserves the right
to withdraw, modify or amend the terms and conditions of advance and bank would not
be bound to disburse full amount of advance in the event of any failure on the part of the
borrower in satisfying any of the terms and conditions stipulated.
• The Bank reserves the right to discontinue/recall the credit facilities / advance / loans and/
or withhold / stop any disbursement/s without assigning any reasons / giving any notice,
in case of non-compliance / breach of any of the terms & conditions stipulated therein
and from time to time as also in the relevant document or any information / particulars
furnished to us found to have incorrect or in case of any development or situations wherein,
in the opinion of the Bank, its interest will be/is likely to be prejudicially affected by such
continuation or disbursement.
• The borrower should, at all times, ensure that all the required permission /approvals/
licenses/ clearance under various laws / rules have been obtained from the competent
authorities and the stipulated term /provision/ conditions thereof are complied with /
observed by the borrower in totality and submit a copy to bank.
• The borrower would keep the Bank informed of the happening of the event that is likely
to have substantial effect on the profit / business or circumstance adversely affecting its
financial position.
• The borrower agrees and gives its consent for the disclosure by the Bank all or any such
information and data relating to the borrower including the information or data relating
to any credit facility availed of / to be availed of, by the borrower and default, if any,
 committed by the borrower, in discharge of the borrowers such obligation as the Bank may
deem appropriate and necessary, to disclose and furnish to Credit Information Companies
[CICs] authorized in this behalf by RBI.
• All other extant guidelines as stipulated by Bank/ RBI/MOF/GOI to be followed up
scrupulously.
• The penal interest @ 2% p.a shall be charged for any of the following defaults/
irregularities:
• Non/ Delayed submission of monthly stock & book-debt statement and / or quarterly
certified book-debt statement.
• Non/Delayed submission of required document for review of the facilities.
• Non / Delayed payment of invoked guarantee / devolved L/C.
• Non / Delayed payment of instalment and / or interest and / or excess over the limit.
• In the event of any breach / non-compliance of any major terms and condition of the
sanction (at the discretion of the Bank)
• Non- compliance of any financial convent undertaken by the firm.
• The charging or non-charging of additional/penal interest shall not in any way be construe
as waiver or acquiescence on the part of the Bank or satisfaction of any of the terms and
conditions stipulated by the Bank.
• Non/ Delayed submission of required document for review of the facilities.
• The financial statements of the borrower for a particular financial year are to be submitted
to the bank within 6 months from the end of respective financial year. i.e. before 30th
Sept of the next financial year , independent of the digital review process. These financial
statements are required to be audited as per prevalent statutory guidelines. Financial
standing of the borrower shall be tested based on the submitted financial statements. It
should be ensured that covenants such as TOL/TNW, TTL/TNW and the Current ratio do
not violate the threshold stipulated by the bank in the previous sanctions. If there is any
adverse variance, the bank will have the option to charge higher rate of interest till the
same is brought within acceptable levels or recall the credit facilities.
• Rate of interest as stated in this sanction letter is valid only for as long as the internal
rating of the borrower remains at the current or better level. The Bank reserves its right to
increase the rate, as per the prevailing norms, in the event of any deterioration in rating,
on updating the rating subsequently.
• Any sale / job work transaction with the associate concerns should be at the prevailing
market rates, wherever applicable.
• In case of any shortfall in Net Working Capital (as compared to projections)/ contingency,
the firm should arrange additional working capital funds from own sources, wherever
applicable.
• Re verification of title deed and other loan documents to be carried out within a period of
5 years or at the time enhancement whichever is earlier and for every block of 5 years as
per BCC/ BR/ 107/573 dated 13.11.2015
• The valuation of the mortgaged property is to be done once in three years and the
subsequent valuation is to be done through the approved valuer other than one, who has
done the earlier valuation, wherever applicable.. Charges to be borne by firm.
• Stock Audit, Credit Audit etc. (wherever applicable) to be carried out as per Bankers extant
guidelines and charges to be borne by the borrower.
• The Borrower will submit a declaration that none of their Directors / guarantors are
relatives of any member of the Bankers Board / Senior Officer of the Bank / Member of
any other Bank`s Board.
• The Firm is to obtain and continue to obtain / renew various licenses / permissions /
sanctions etc. from various Government Department from time to time and copy of the
same should be given to the Bank.
• Wherever applicable, the facilities will be covered under the normal / automatic
refinance scheme and the borrower should comply with the requirements of the refinance
institutions.
• All money advanced or to be advanced by the Bank will be utilized exclusively for the
purpose set forth in application / project report submitted to the Bank. In case the advance
is utilized or attempted to be utilized for any other purpose or if the Bank apprehends or
has reasons to believe that the said loan is being utilized for any other purpose, the Bank
shall have the right to recall the entire or any part of the loan / advance forthwith without
assigning any reason thereof.
• The rate of interest, margin , processing charges, commitment charges , inspection charges,
CIBIL charges, mortgage charges and other charges (if applicable) will be subject to
change/withdrawn as per RBIS directive/Bankers Policy from time to time and to be
recovered as and when due.
• This sanction may be considered under various subsidy schemes of Central/State Govt.
subject to compliance of other terms & conditions, wherever applicable.
• The sanction for credit facilities including Term loan may be considered under various
subsidy schemes of Central/State Govt. and capital linked subsidy schemes subject to
compliance of specific terms and conditions of the schemes, wherever applicable.
• Rate of Commitment Charges levied on quarterly basis, based on average utilisation of
sanctioned/operative limit, wherever applicable.
• Borrower/key person to undertake that, without prior consent of the bank, during the
currency of bank finance, it will :
o Exclusively deal with us. To raise capital & / or unsecured loans up to the
level envisaged in CMA submitted by the firm & retain the same in the
business till continuance of the Bankers credit facilities. Not to undertake any
modernization/ up gradation/ diversification/ amalgamation/ reconstruction/
expansion of the existing business without prior written consent of the
bank.Formulate any scheme of Merger / Acquisition / Amalgamation /
Reconstitution.
o Will not make any change in the management set-up / capital structure of the
unit.
o will not open any Current Account with other Bank/s without permission of the
Bank in writing and close the Current Account/s maintained with other bank/
s & furnish account closure certificate/s to the Branch
o Not enter in to borrowing either secured or unsecured with any other Bank /
Financial institution / corporate body.
 o Not Invest / deposit / lend funds to group firm & companies / directors / family
members / other corporate bodies / firms / persons.
o Not Create any further charge, lien or encumbrances over the assets charged
to the Bank in favour of any other Bank, Financial institution, NBFC, firm,
company or person or otherwise dispose off any of the fixed assets
o Not Undertake guarantee obligation on behalf of any other borrower, Group
firms / Companies.
o Not allow the level of net working Capital to come down from the estimated /
projected level.
o Not allow the level of net working Capital to come down from the estimated /
projected level.
• All other terms and conditions will remain same as per original sanction
Number .....................................................................Dated........................

Sanction Letter issued by Bank of Baroda based on the input provided by you and information pulled by
various data points with your consent to compute the eligibility for Digital Renewal of facilities availed
by your with us

All Terms and conditions of Digital Renewal of finance facilities availed is accepted by:

(Signature of Borrower)
Name of Borrower: RONITS KITCHEN
Name of Authorized Signatory: RONIT SANJAY KHOLAM
Designation : Proprietor
Datetime: 30/05/2023 10:51:07