SAMPLE

On Hundred Rs. Stamp paper duly attested by Notary

SERVICE BOND AND SECRECY AGREEMENT

MEMORANDUM OF AGREMENT made on ______________________________

BETWEEN

M/s NAHAR INDUSTRIAL ENTERPRISES LIMITED a limited company having its registered
office at Focal Point, Ludhiana and its industrial establishments at Focal Point Ludhiana (hereinafter
called as ‘company’) through its President (Corp HR and Admn) as Authorized Signatory

AND

(Self Name) ____ S/o ______________ Age ___ years, R/o _____________________
Aadhar No.-___________________ (hereinafter called as ‘employee’ and which expression shall
unless excluded by or repugnant to the context include his legal heirs, successors, assignees etc.).

WHEREAS, (Self Name) ________ have been agreed to joined as a Graduate Engineer
Trainee with the company. The Trainee is interested and ready to work in any Department and at
any location of the company, as per the conditions explained and agreed by the trainee. However,
at present the company has decided to put him in Electronics & Communication Department
and the employee is also interested and ready to work in the said department as Graduate
Engineer Trainee. (designation).

The employee undertakes to remain abide by the terms and conditions of the present agreement of
secrecy and service bond and for these purposes the present agreement/ bond is executed by the
employee in favour of the company on the terms and conditions hereinafter mentioned.

Signature: ___________
 : 2:
NOW THE PRESENT AGREEMENT/BOND WITNESSETH AS FOLLOWS:
(PART-A) SERVICE BOND/AGREEMENT
1. THAT the employee hereby agrees and undertakes to serve the company at least for a period
of Three Years from the date of signing of this agreement with the company i.e. from
_________ to _________.

2. THAT the employee further undertakes and agrees that, in case of failure/ inability of the
employee to serve the company for a minimum period as agreed herein in Clause No. (1) of
this agreement for any reason whatsoever, the company shall have a right to recover the
gross salary paid to the employee up to the date of leaving the service and/or amount in the
form of damages felt fit and proper by the company and the money spent on the recovery of
the money as per this clause which ever is more from the employee by any modes as it
deems fit. The recoverable salary as per this clause is as hereunder: -

Leaving during the first years of service Fifty Percent of Total gross salary paid during the
period from the date of signing of this service period to recover from my dues or deposit
agreement by one in case, if fail to deposit, the same amount
to be recovered from any guarantor.
Leaving between 2nd years from the date of Forty Percent of Total gross salary Paid during
signing of this agreement. service period from the date of signing of this
agreement.
Leaving between 2nd years to 3rd years from Twenty Five Percent of Total gross salary Paid
the date of signing of this agreement. during service period from the date of signing of
this agreement.

3. The recovery of the salary as detailed in clause (2) (Part-A) can be made from the dues to
the employee in full and final settlement at the time of leaving the company and/or by other
means as deem fit by the management of the company.

(PART-B) SECRECY AGREEMENT

1. THAT, the employee hereby agrees to keep all the information acquired by him in the process
of service with the company as top secrets of the company and shall not during the
continuance of his employment or after termination thereof within a period of three years,
communicate such information to any person whatsoever and shall not disclose any process
of the company.

2. THAT, any invention, know-how, process discovery and/or improvement made by the
employee during his association with the company shall be the absolute property of the
company and the employee hereby agrees not to make the use of the such confidential
information either during employment or after termination of his employment for a period of
three years.

3. THAT, the employee hereby agrees that, in the event of committing breach of the terms and
conditions of Part-B of the agreement the company shall have right to claim liquidated
damages from the employee as deems fit.

4. THAT in case I breach this agreement in any circumstances, I will be fully responsible
and accountable. However, if I do not fulfill the conditions of this agreement then my
guarantor will be responsible and accountable for making the payment on behalf of
me. The terms and conditions of this agreement are well explained to the guarantor.
 Signature: _____________

: 3:

(1) Business Trades/Secrets of Company: During the employees service with the company,
he/she shall have come in various business/trade Secrets, confidential data, Details,
Information relating to the technology and processes, Methods and Systems used by the
company and it’s market details, which are exclusive and vital and should not be divulged out.
For the employees functional development with the company, the company would have trained
him/her in it’s exclusive business areas, systems, methods and technology by incurring
considerable expenses and spending management’s time. Accordingly, the company’s image,
expertise, business areas, systems, methods, trade secrets and the related goodwill shall be in
the trust with the employee to that extend during the period of his/her employment/service
with the company. Hence in the event of cessation of employee’s employment with the
company for any reasons whatsoever, he/she shall not directly and/or indirectly engage
himself/herself in any business, profession and/or employment including engaging
himself/herself as Consultant/Advisor to any competition and/or any company manufacturing
BOPP Films, Extrusion Coating on BOPP Films, Metalizing of BOPP Films it’s subsidiaries,
associated companies, holding companies for a period of THREE years from the cessation of the
his/her employment. In case the employee fails to abide the present covenant while in
employment or otherwise, the company shall be entitled to take action against the employee
under civil and criminal laws inclusive of damages as deem fit and proper.

(PART C) JURISDICTION:

THAT, it is agreed and understood by and between the parties that, any dispute arising out the
present terms and conditions and/or implementation thereof shall vest exclusively within the
jurisdiction of the courts at Ludhiana City and none else.

IN WITNESS WHEREOF THE PARTIES HERETO HAVE EXECUTED THESE PRESENTS

ON_________________________________________________.

FOR NAHAR INDUSTRIAL ENTERPRISES LIMITED EMPLOYEE

(AUTHORISED SIGNATORY) (Name & Signature of Employee)

Signature_______________________

Guarantor Name: _________________

Address: ___________________

___________________
WITTNESSES/ GUARANTOR:

1. Name________________________ Signature: ______________________

Address: _____________________
_____________________________

2. Name: _________________________ Signature: ________________

Address: ________________________