Annexure-II

COCAC
CO: ALLAHABD

The proposal falls under the powers of COCAC on account of TL exposure of Rs 23.92 Lacs

1. Name of the Borrower, BO & Controlling Office : Sh Dinesh Kumar

BO: Semarpaha
CO: Allahabad

Date of proposal 13-12-2017

Whether fresh/renewal/ Fresh

enhancement/
In-principle
Credit Risk Rating by Bank Rating Date of Score ABS Validity Reasons for
Rating Date* degradation
Credit Risk Rating Present Details mentioned below
Previous N.A

FARM SCORE 73, Rating done on Agri Model (RBL Model)

Whether sensitive sector – N.A
Real estate/Capital market
alongwith applicable risk
weight
Whether priority/non priority Priority Sector
sector as per PS&LB
guidelines (Sub-sector may
also be mentioned.)
Date of last sanction & N.A. Fresh Sanction
Sanctioning Authority

GIST OF THE PROPOSAL

Truck Loan of Rs 12.00 lac for Agricultural purpose i.e Transportation of Agri produce.

1. a) Name of the Borrower and Dinesh Kumar

Constitution Individual
b) Address of Regd. Office with e-mail Vill-Pure Kalikan Post-Semarpaha, Lalganj
ID Distt-Raebareli

c) Works/Factory -same as above-

d) Date of incorporation/ N.A

establishment

e) Dealing with PNB since 04-09-2015

f) Business Activity (Product)/ AGRICULTURE TRANSPORTATION OF

Installed Capacity AGRI. PRODUCES

2. Branch Office/CO BO: Semarpaha

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 CO: Allahabad

3.a) Directors/Partners/Proprietors Sh. Dinesh Kumar

(Name, Address, Mobile No., e- Individual
mail Vill-Pure Kalikan Post-Semarpaha, Lalganj
ID of main Directors/Key persons) Distt-Raebareli
with PAN No. & DIN (in case of Mob No : 09956747884
Co.)

b) Whether any of them, in RBI’s No

Caution advices/ECGC Caution
list/Wilful defaulters' list. If yes, the
reasons for considering the
proposal.
c) If any of them, related to Directors/ No
Sr. Officers of PNB

d) Management Change since last N.A

sanction, if any

e) Whether Memorandum of N.A

Association permits the Activity &
Powers for borrowings

f) Shareholding Pattern N.A,

g) (i) Confirmation that CRs have We confirm that CR is prepared as per

been compiled/reviewed as per Bank guidelines and no adverse feature
extant guidelines (presently L&A noticed.
Circular No. 33 dated 31.03.2011)
and comments on adverse
features, if any
(ii) Confirmation that CIRs have Date of Name of Adverse features,
been drawn from CICs data CIR CIC if any observed
base(CIBIL/Equifax/Experian/ 12/12/2017 CIBIL NIL
High Mark) and comments on 12/12/2017 EQUIFAX NIL
adverse features, if any:

iv) Views/comments* for the We confirm that no adverse report found in the
adverse report about the media.
borrower/guarantor, if any, in the
public domain/media:

4. Facilities Recommended: (Rs.in lac)

Nature Existing Proposed

Fund Based
Working Capital 0.00 0.00
Non Fund Based Ceiling 0.00 0.00
Term Loan 0.00 12.00
TOTAL COMMITMENT 0.00 12.00*

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*KCC of Rs 4.39 Lacs is sanctioned by Branch in our power. We confirm that Account is running
satisfactory & is regular. Valid mortgage already created & no IR Objection exists.

5 Details of loans from other Banks/FIs/Consortium/Multiple Banking/JLA as on……….

(Rs.in lac)
Name of the Bank Existing Share % Proposed Share %
FB NFB FB NFB FB NFB FB NFB

NA

6.A Details of Group Companies/Allied/Associate firms and the facilities sanctioned to

them
Name of the Company FB NFB Name of Dealing Bank Classification of
Account

NA
6. B Comments on conduct of these accounts with our bank/other banks
KCC was sanctioned in Branch Power (A/C NO. 7763008800000434) for LIMIT OF Rs. 4.39
Lacs on 17.09.2016. A/C is running regular.

6.C Key Financial Figures (Audited) of Group/Allied/Associate concerns (for the last 3
years).
NA

7.A (i) Financial Position of the borrower

CALCULATION
OF NPV,BC,
IRR

SL NO PARTICULARS IST YEAR IIND YEAR IIIRD YEAR IVTH YEAR VTH YEAR VITH YEAR

1 CAPITAL COST 2,604,750

2 RECURRING COST 768746.25 1024995 1024995 1024995 1024995 1024995

TOTAL COST 3,373,496 1,024,995 1,024,995 1,024,995 1,024,995 1024995

BENEFITS 6187500 8250000 8250000 8250000 8250000 9634271

SALVAGE VALUE @
DEP RATE OF 10% 2344275 2109847.5 1898862.75 1708976.475 1538078.828 1384271

DEPRECIATION 260,475 234427.5 210984.75 189886.275 170897.6475 153808

TOTAL BENEFIT 6187500 8250000 8250000 8250000 8250000.00 9634271

INTEREST ON TL 240000 195000 135000 75000 15000 0

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 NET BENEFIT 2,574,004 7,030,005 7,090,005 7,150,005 7,210,005 8,609,276

DISCOUNTING
FACTOR @15% 0.8696 0.7561 0.6575 0.5718 0.4972 0.4323

NPV BENEFIT 5380650 6237825 5424375 4717350 4101900 4164895 3002

NPV COST 2933592.339 774998.7195 673934.2125 586092.141 509627.514 443105 5921

NPW 2447057.661 5462826.281 4750440.788 4131257.859 3592272.486 3721790 2410

BCR 5.070970976

IRR 26%

(Rs. in Lacs)

Calculation of Freight Received & Expenses: (Considering Vehicle is running only 20 days in a
month)

Particulars Per Day Amount (In Rs)

Freight from Truck Running in 10000 10000*20 = 200000/-
U.P
Total Revenue Exp in a year 200000*12 = 2400000/-
Power & Fuel Exp 5000 5000*20 = 10000
Salary to Staff 1200 1200*20 = 24000
Maintenance & Running Charges 1000 1000*20 = 20000
Fooding to Staff 500 500*20 = 10000
Insurance & Misc Exp 200 200*20 = 4000
Total Exp in a year 217700*12 = 2612400/-
Gross Income 1260000/-

7. A (ii) Comments on Financial Indicators: Financial Position on this score is

satisfactory.

7. E Position of assessment of income tax/sales tax/wealth tax of the borrowing

concern/ partners/proprietor: NA

8. A Primary Security.
i) Working capital facility: N.A
ii) Term Loan facility: Hypothecation of truck

8. B Guarantee/Guarantors (Rs in Lacs)

Name of Guarantor NMs IPs1 CR Date
Previous Present Previous Present Previous Present
NA
Comments on changes, if any: N.A

8. C Total Commitments by Guarantor(s)

NA
8. D (i) Collateral Security (Including details of changes in IPs as security from last
sanction, if any)
(Amt – Rs. in lac)
Area in Value Date

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Security ha Ownershi Last Present Realisable Basis for Whether
Description p sanction book value valuation existing/
value fresh
Agri. Land 2.004 Dinesh N.A N.A 32.00 Revenue Existing
Khata No (As per Kumar office circle
00389,003 list S/O Late rate
90,00708,0 attache Sri Ram
0906,0090 d with Manohar
7,00909, NEC)
01159,
01160,
01160
Situated at
semarpaha
Total 32.00

Note: NEC obtained of Advocate Sri Amit Kumar dtd 07.12.2017. As per his report entries have been
verified in Khatauni and compared with the previous record in the record room of Tehsil concern and
found to be correct. Above mentioned IP is already mortgaged in the KCC Account.

(ii) Status of verification of the IP

Name of the Officer, who visited Designation PF No. Date of Visit

the site/IP
Sri Hasan Wamiq Dy Manager, Agr 325239 13/12/2017
Sri Gaurav Singh Officer Incharge 303905 13/12/2017

9. Position of Account as on: N.A, Fresh Sanction

(Rs. in lac)
Nature Limit VS DP Balance Irregularity alongwith
reasons
NA

10.A Conduct of the Account: N.A

10.B Review of the Account (Appendix C also to be discussed): N.A

10.C Value of the Account: N.A

Comments, if any: We confirm that party is an old borrower having deposit a/cs and KCC a/c
with us.

10.D Summary of irregularities pointed out by Bank’s Inspectors, Concurrent Auditors, Credit
Audit & Review Division (CA&RD), RBI Inspectors, Statutory Auditors, observations of
Stock Audit Report, Comment on Preventive Monitoring Score Trends, (and status of
rectification of these irregularities): Nil

11. Brief History: Applicant having saving account with us since 15 September 2016 and
a/c is running par satisfactory( Balance as on dated 13.12.2017 is 19.48 lakhs). A KCC on same
land for same customer of amounting Rs 439000/- (7763008800000434) has been sanctioned
on dated 17.09.2016, and the account is running regular. Applicant family engaged in
agriculture activity and they are having vast experience.

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12. Present Proposal

a) Brief of the proposal: Financing truck to farmer for transportation of agricultural

produces, agri. Inputs. Loan amount proposed is Rs 12.00 Lacs.

b) Justification for working capital sanction: N.A

c) Justification of non-fund based facilities: N.A

d) Justification for term loan/DPG

 Purpose: Purchase of truck for transportation of agri. produces

 Summary of cost of project and means of finance :

TOTAL COST Rs. 26.05 LACS
MARGIN (55%): 14.05 LACS
BANK LOAN: 12.00 LACS

 Proposed repayment schedule: 10 Half Yearly Installments of Rs 150000/- + intt

Accrued commencing w.e.f Feb, 2018. However interest to be paid by the party as
and when levied. Loan with interest will be repayable in maximum period of 5 years.

 Debt Service Coverage Ratio

Calculation of
DSCR

S.no. Particulars 1st 2nd 3rd 4th 5th

A Source of Fund

Net Profit 2,574,004 7,030,005 7,090,005 7,150,005 7,210,005

Depriciation 260,475 234427.5 210984.75 189886.275 170897.6475

Intt on T/L 240000 195000 135000 75000 15000

Total 3,074,479 7,459,433 7,435,990 7,414,891 7,395,903

B Debt to Serve

Intt on T/L 240000 195000 135000 75000 15000

Instal. Of T/L 150,000 300,000 300,000 300,000 300,000

390000 495000 435000 375000 315000

DSCR(A/B) 7.88 15.07 17.09 19.77 23.48

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 ADSCR 16.66

Average DSCR is 16.66 for 5 years. It shows the debt repayment capacity of the
borrower.

13. a) Rate of Interest applicable as well as proposed:

Pricing:
Facility Existing Proposed Applicable rate

TL N.A MCLR+1.5% MCLR+1.5%+0.50%

+0.50% i.e. @ i.e. @ 10.45%
Rate of interest
10.45% presently. presently. As per LA
MCLR=8.45%
As per LA Circular Circular 48/2014
48/2014

Documentation Charges N.A @ Rs. 400/ per lac @ Rs. 400/ per lac
plus service tax, plus service tax,
Max Rs 25000/- Max Rs 25000/-
Upfront Fee N.A @1.25% of the T/L 1.25% of the T/L
amount plus amount plus service
service tax. tax.

Other charges, if any N.A. Normal applicable Normal applicable

charges. charges.

b) Risk perception, if any: N.A

14. Other Issues: Nil

15. Summary of merits/justifications for considering the proposal.

Applicant having saving account with us since 15 September 2016 and a/c is running par
satisfactory( Balance as on dated 13.12.2017 is 19,48 lakhs). A KCC on same land for same
customer of amounting Rs 439000/- (7763008800000434) has been sanctioned on dated
17.09.2016, and the account is running regular. Applicant family engaged in agriculture activity
and they are having vast experience

16. Recommendations:

In view of the above, we recommend for sanction of credit facilities as detailed hereunder in
favour of Mr Dinesh Kumar on the terms & conditions as per Annexure “A” with following
stipulations:

(Rs in Lac)
Existing Proposed

Working
0.00 0.00
Capital
TL 0.00 12.00

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 Total
0.00 12.00*
Ceiling

*KCC of Rs 4.39 lacs is sanctioned by Borrower under our Power at Branch.

Other issues for approval, if any: NIL

Branch Manager

Detailed Terms and Conditions of Sanction: Account Annexure ‘A’

Mr Dinesh Kumar, BO: Semarpaha, CO: Allahabad.

Facility No – Term Loan

1. Nature : Term Loan for Purchase of truck for transportation of agri. produces.

2. Amount : Sanction Amount Rs 12.00 lacs

3. Margin : Rs 14.05 Lac i.e 55.00%

4. Interest : MCLR+1.50%+0.50% i.e @ 10.45% presently. As per L&A Circular

48/2014

 Proposed repayment schedule: 10 Half Yearly Installments of Rs 150000/-

commencing w.e.f Feb, 2017. However interest to be paid by the party as and when
levied. Loan with interest will be repayable in maximum period of 5 years.

Approval of ROI/ Service charges as under:

Pricing:
Facility Existing Proposed Applicable rate

TL N.A MCLR+1.5% MCLR+1.5%+0.50%

+0.50% i.e. @ i.e. @ 10.45%
Rate of interest
10.45% presently. presently. As per LA
MCLR=8.45%
As per LA Circular Circular 48/2014
48/2014

Documentation Charges N.A @ Rs. 400/ per lac @ Rs. 400/ per lac
plus service tax, plus service tax,
Max Rs 25000/- Max Rs 25000/-
Upfront Fee N.A @1.25% of the T/L 1.25% of the T/L
amount plus amount plus service
service tax. tax.

Other charges, if any N.A. Normal applicable Normal applicable

charges. charges.

OVERALL TERMS AND CONDITIONS (FOR ALL THE FACILITIES):

1) Total outstanding shall not exceed Rs. 12.00 lacs in case of Term Loan.

2) Borrower to deal exclusively with our bank.

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 3) SECURITY

1) Working capital facility: N.A

2) Term Loan facility: Hypothecation of truck

B. Collateral (Information in respect of mortgage of IP to be given only in the following format:

Security Area in Ownershi Value Basis for Date Whether

Description ha p Last Present Realisable valuation existing/
sanction book value fresh
value
Agri. Land 2.004 Dinesh N.A N.A 32.00 Revenue Existing
Khata No (As per Kumar office circle
00389,003 list S/O Late rate
90,00708,0 attache Sri Ram
0906,0090 d with Manohar
7,00909, NEC)
01159,
01160,
01160
Situated at
semarpaha
Total 32.00

Guarantee/Guarantors (Rs in Lacs)

Name of Guarantor NMs IPs1 CR Date

Previous Present Previous Present Previous Present
NA

4. The borrower shall deal with our bank/ consortium banks exclusively, shall not open current
account/s with any other bank without our prior permission and shall route all sale transactions
through accounts. The borrower's entire business relating to their activity including deposit, bills,
foreign exchange, merchant banking etc. should be restricted only to the financing bank.
5. No commission to be paid by the borrowers to the guarantors for guaranteeing
the credit facilities sanctioned by the Bank to the borrowers. An undertaking to this effect to be
obtained from the borrowers as well as guarantors.
6. Borrower shall pay processing fee, upfront fee, documentation charges, inspection charges,
commitment charges and other charges as per terms of sanction.
7. The Bank or its authorized officials or other representatives will have the right to carry out
periodical inspection or examine the books of accounts of the borrower and to have their
factories/offices/assets inspected from time to time by officers of the Bank and/or outside
consultants and the expenses incurred by the Bank in this regard will be borne by the borrower.
8. In case the borrower commits default in the repayment of loan/advance or in the payment of
interest thereon or any of the agreed installments of the loan on due date, the bank, CIBIL and/or
Reserve Bank of India will have an unqualified right to disclose or publish the names of the
company and its directors as defaulters in such manner and through such medium as the
bank/RBI in their absolute discretion may think fit.
(Consent of borrowers and guarantors in terms of LA cir. No.100/2002 be obtained).
9. Margins/rates of Interest are subject to revision from time to time at the sole discretion of the
Bank.
10. The Bank shall charge penal interest under the following circumstances:
a. Irregularities/overdrawing in TL.
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 b. Default in observance of borrowing covenants/terms and conditions of the sanction.
c. Any other eventuality/situation to be decided by the bank.
11. The borrower shall execute all necessary legally enforceable loan documents, as per bank’s
guidelines

Branch Manager

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