PO ORDER –MO/02/2024

F.No.MO Division-PO Regulation-2024

Government of India
Ministry of Communications
Department of Posts
Mail Operations Division
Dak Bhawan, Sansad Marg,
New Delhi-110001
Dated: 16.12.2024

Subject [Regulation 88(14)]: Administrative Instructions of the discount and

value additions to the contractual customers for Speed Post Documents
(Domestic) Under the Post Office Regulations, 2024-reg.

In pursuance of the introduction of "The Post Office Act, 2023" issued vide
Notification no. S.O. 2352(E) dated 17th June, 2024, which came into force w.e.f.
18th June, 2024, repealing the Indian Post Office Act, 1898, the Department of Posts
has introduced "The Post Office Regulations, 2024" effective from 16.12.2024. This
Administrative order shall supersede all instructions, guidelines, orders related to the
subject matter issued earlier by this office.

2. The changing market offerings and customer’s needs has created a demand
to re-look into the entire chain to provide customer convenience, single account
management for all the requirements and making the discount structure more
attractive to increase business.

3. In view of such developments, it was considered necessary to review the

entire guidelines of operations, discount structure, value added services etc.

4. This PO Order shall supersede all instructions/orders issued on the subject

from time to time and will be in force in future.

5. Volume Discount

5.1 The following discount structure will be available to contractual customers of

Speed Post document(domestic):

Monthly Revenue Discount rate (Credit facility)

Speed Post Document(Domestic)
Rs 50,001/- to 5,00,000/- 10 %
Rs 5,00,001/- to 25,00,000/- 15 %
Rs 25,00,001/- to 100,00,000/- 20 %
Rs 100,00,001/- to 500,00,000/- 25 %
Above Rs 500,00,000/- 30 %

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 5.1.1 1% additional discount will be offered to those contractual customers
who either avail advance deposit facility or make payment at the time
of booking. In case monthly revenue is more than Rs. 25 lac, additional
discount for such customers will be 2%.

5.1.2 The above-mentioned discount would be offered to the customers

provided that the booking data is made available to the booking office
by the customer in electronic format as prescribed. In respect of
booking data received with a paper manifest only without soft copy, the
discount amount offered to the contractual customer would be reduced
by half.

5.2 There are also walk-in one-time customers who book across the counter. In
order to attract such customers following discount will be offered to such customers
while booking across the counter (No need of any agreement or contract):

Daily Revenue Discount rate for Speed Post

Document(domestic)
Rs 2,000/- to 1,00,000/- 5%
Above Rs. 1,00,000/- 10%

5.3 Consolidation of Speed Post Document(domestic)revenue of a customer shall

not be allowed in any case.

5.4 The contractual Speed Post customers who are mailing their items from
multiple locations may be offered consolidation of accounts under National Account
facility at all booking locations for calculation of discount and billing and payment at a
nodal office. All proposals of National Account facility involving multiple Circles
should be referred to MO Division in Directorate for approval. (Illustration at
Annexure- ‘G’). No consolidation of Speed Post Domestic(domestic) business of a
contractual customer at any location shall be allowed for calculation of discount.

6. Contractual customers will be given various value additions subject to

fulfillment of prescribed conditions:

 Home pick up
 Flexible modes of payment viz. credit, advance deposit, payment at the time
of booking
 Volume based discount
 Cash-on- Delivery facility
 Customised MIS and account management

7. Operational guidelines:

7.1 A “Contractual customer” in respect of Speed Post Document(domestic) is

defined as anyone who provides Rs.10,000/- Rs. ten thousand only (exclusive of
applicable taxes) worth of business either under Speed Post Document(domestic) in
a calendar month at a single booking office and Rs.50,000/- Rs. fifty thousand only

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(exclusive of applicable taxes) worth of business in case the booking happens at
multiple locations.

Service Speed Post

Minimum monthly revenue for Rs. 10,000/-

eligibility as contractual customer at Based on business requirement/competition,
a single location. CPMG/PMG are empowered to revise limit on
case-to-case basis in consultation with IFA
Minimum monthly revenue for Rs. 50,000/-
eligibility as contractual customer for
booking at multiple locations
Minimum monthly revenue for Rs.10,000/-
eligibility of free pick up Based on business requirement/ competition,
CPMG/PMG are empowered to revise limit on
case-to-case basis in consultation with IFA
Place of booking At identified booking offices
Minimum revenue for volume Rs. 50,001/- and above
discount
Modes of payment Credit/ Advance deposit/ At the time of booking
Approving authority of Credit facility Regional PMG for all cases falling under
his/her region i.e. the location of office where
agreement has been signed falls in the
jurisdiction of the Region.
CPMG for all other cases
Approving authority of advance Authority designated to sign the contract
deposit/ payment at the time of
booking
Security deposit for credit facility Equal to three billing cycles anticipated
postage

7.2 The customer has to apply to the designated authority in the format
prescribed at Annexure- ‘A’ for registering as a “Contractual customer” with
Department of Posts to avail Speed Post Document(domestic) service.

7.3 The Contractual customers who opt to avail credit facility will have to enter
into an agreement with Department in the format prescribed at Annexure– ‘B’.

7.4 The contractual customers who opt to avail advance payment or payment at
the time of booking will have to enter into an agreement with Department as per
Annexure-‘C’.

7.5 The designated authority after entering into agreement with the applicant will
send a copy of the signed agreement for information of the approving authority. The
office of ‘Approving Authority’ would maintain the record of disposal of all such cases
received along with copies of agreement entered into by the designated authority.

7.6 The various value additions like Home Pick Up, Credit/ Advance Deposit
facility, Volume discount etc. will be provided to contractual customers subject to
following condition:

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7.6.1 Home Pick up:
i. Free pick up will be limited to municipal area to which the booking
centre belongs or within a radius of 20 Km from the centre.
ii. HOCs are empowered to extend the jurisdiction to provide free pick up
of the consignments from the locations/ customer’s premises beyond
the municipal limit.

iii. In specific cases, considering the business potential, extension counter

of the designated Centre may be opened at the premises of the bulk
customer or HOC may identify a booking centre in the vicinity of
business.

iv. HOC in consultation with C may work out the cost of home pick up so
that pick up may be provided to those customers also who do not fulfill
the above criterion.

7.6.2 Credit facility: Credit facility shall be provided to those customers who
fulfill the following criterion:

i. Credit facility will be offered to contractual customers only who enter

into an agreement with the Department as given in Annexure–‘B’ and
present the consignments for booking at identified centers only.

ii. Once the request of the customer to avail credit facility is approved by
the competent authority, the customer will be required to furnish a
security deposit in the form of ‘Bank Guarantee’s per format given at
Annexure- ‘D’. Alternatively, security deposit may be furnished in the
form of amount deposited in the Post Office through cash or Demand
Draft/ Cheques duly pledged in the favor of Postmaster of the Post
Office to which the booking centre is attached. Amount of security
deposit to be furnished should be equal to expected business of three
billing cycles.

iii. In case a contractual customer opts to avail. Speed post document

(domestic) service bank guarantee of appropriate amount may be
accepted.

iv. The Bank Guarantee should be issued by a Nationalized or Scheduled

Bank.

v. If the applicant is a Central/ State Government Ministry/ Department/

Nationalized Bank/Scheduled Bank/Public Sector Undertaking; in such
cases, the authorized signatory of the applicant shall furnish an
undertaking in the format given in Annexure- ‘E’.

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 vi. The amount of Bank Guarantee shall be reviewed by the authority who
has signed the agreement on a quarterly basis. In case amount of
Speed Post document(domestic) service is found to exceed the amount
of Bank Guarantee, a Bank Guarantee of the additional amount from
the contractual customer would need to be taken.
vii. In case customer fails to provide minimum business prescribed for a
contractual customer for two consecutive months, credit facility will be
withdrawn.

7.6.3 Advance Deposit facility/ Payment at the time of booking:

(i) Since a provision of additional discount for customer availing advance

payment or payment at the time of booking facility has been made in
the discount structure, wide publicity of this feature may be given.
Customers may be requested to adopt advance payment facility

(ii) Contractual customers who want to avail advance deposit facility or

make the payment at the time of booking have to sign an agreement as
given in Annexure- ‘C’ and present the consignments for booking at
identified centers only.

(ii) Such advance deposit customer will have to open a deposit account
with minimum amount of Rs. 1,000/-.

(iii) Such requests of customers may be approved by authorities

designated to sign the agreement and need not to be referred to
Regional/ Circle Office.

7.7 Billing
7.7.1 The bill for Speed Post document(domestic) shall be issued separately.

7.7.2 The bill will be raised on a monthly basis (calendar month) by the office
of booking.

7.7.3 The monthly bill will be raised by the booking office by the 7 th day of the
following month (Bill date). The contractual customer shall pay the bill
amount in full on or before last day of the month in which bill is raised
i.e. due date.

7.7.4 For customers providing monthly business of more than Rs.50 lac, if
opted, the bill may be raised on fortnightly basis. However, the
applicable discount for such customers will be adjusted on monthly
basis in the bill raised in 2nd fortnight of the month.

7.7.5 For fortnight billing, 1st bill will be raised by 22nd day of the current
month which shall be paid on or before 7 th day of the following month.
The bill of 2nd fortnight will be issued on 7th day of the following month
which shall be paid on or before last day of the month in which bill is
raised i.e. due date. Clause-9 of the agreement at Annexure-B may be
modified accordingly for such customers.

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 7.7.6 In case the customer fails to make the payment by the due date,
penalty at the rate of 12% per annum on the amount of the bill shall be
imposed by the Department upon the defaulting customer (to be
calculated on a daily basis). The penalty will be imposed from the Bill
date. (Illustration at Annexure- ‘F’)

7.7.7 No booking of Speed Post document(domestic) will be allowed from

the defaulting customer after one month from the due date of the
payment of bill till all the pending bills along with the penalty due are
paid in full to the Department.

7.7.8 In case of non-payment of bill even after 2 months from the bill date,
action will be taken by the designated authority for invoking the Bank
Guarantee for recover the total outstanding amount. This period can be
extended for Central/ State Government organization by the concerned
CPMG, if deemed fit.

7.7.9 However, the Department may accept the booking of Speed Post items
from such defaulting customer on full prepayment of postage as a new
customer in accordance with prevailing guidelines.

7.7.10 The offices of billing would prepare a monthly statement account of

Speed Post booking received from contractual Customers in the format
at Annexure- ‘H’ and submit a copy to its Divisional office/ Reporting
office with copy endorsed to Regional Postmaster General and Chief
Postmaster General. Regional Postmaster General and Chief
Postmaster General would review the bulk bookings of the Speed Post
Document(domestic) service in their Region/ Circle through their
respective Finance Advisor.

8. Designated Authority:

Designated authorities to sign the agreement are given as follows:

Speed Post:

Office of Posting Designated Authority

Sub Office Divisional Head
HO/ MDG (up to HSG – I) Divisional Head
HO/ GPO (Group ‘B’ & above) Head of the Office
RMS units/ MBC Divisional Head
BNPL booking Centers (Group B & Manager/ In charge of BNPL booking
above) centre
BNPL booking Centers (Below Group B) Divisional Head

8.1 The designated authority shall verify the application and would forward both
the copies of the application to the approvingauthority with his/her
recommendation.

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8.2 The approving authority shall examine the application in consultation with
his/her financial advisor and would approve/ reject the application and send
one copy of the application duly approved/ rejected to the designated
authority. The second copy of the application would be retained by the
approving authority.
9.Discount mechanism for Retail bookings:
9.1. Discount will be applicable in each case when a retail customer
renders articles having Speed Post charges of Rs.2000/- or more, irrespective
of number of bookings in a day. Sender address on all the articles should be
same availing the admissible discount for Retail customers.
9.2. Rounding off of Discount values: Discount value will be calculated
on the overall tariff value and adjusted against each article individually. The
discount amount and the net amount collected (after deducting the discount
amount from the existing net amount) will be printed on the receipt without
rounding off them.
9.3 In case of Retail customer of Speed Post, the discount will be
applicable for Speed Post items booked with cash payment over the counter.
No discount will be offered to customer who brings fully pre-paid items for
booking over the counters (postage affixed).
9.4 Discount applicability on partially prepaid postage:Discount will not
be paid on fully pre-paid items as in those cases it is not possible to refund
amount in the form of postage or franked amount and if same is refunded in
case there will be discrepancy in actually paid amount and amount affixed on
the items.However,in cases where postage is paid partially,altogether on all
cases,discount will be applicable in all those cases limiting discount to exact
amount or amount recoverable from the customer after deducting pre-paid
amount.
9.5. Rounding off the postage in case of bulk booking: The fraction left
after adding all the net amounts of the bulk booking transaction can be
adjusted in the receipt of the last transaction. Fore.g., if the bulk booking of 10
articles is taken, of which net amount will be rounded off to 1956 and 0.48 Rs.
Will be added to the amount to be collected as value of the 10 th article of the
bulk booking transaction while printing the 10 th article receipt.

10. Immediate action be initiated to get into the agreement with such current
contractual/bulk customers as per the new format (Annexure ‘B’ & ‘C’), if required
and obtain fresh bank guarantee (Annexure- ‘D’) as stipulated in this PO order. This
exercise should be completed at the earliest and latest by 31.12.2024.

11. All existing bulk customers be informed of the applicability of the new
Discount Structure to be provided on all Speed Post bookings to be made by them
from 01.01.2026 onwards.

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 12. These instructions become effective w.e.f. the date of implementation of the
PO Regulations , 2024 and shall be applicable henceforth.

'1
3. This issues with the approval of Dlrector General
t 2-+
t. \v'
(Hariom Sharma)
ADG (MO Division)
To,

All Heads of Circles/Regions

Copy to: -

1.Sr.PPS to Secretary (posts).

2.Sr.PPS to Director General.

3.Sr.PPS/PPS/PS to the Members of postal Service Board

4.Addl.Director General, APS, New Delhi.

S.CGM, BD/Parcel Directorate/CcM CEPT.

6.5r.DDG (Vigilance) & CVO/Sr.DDG (pAF).

T.Director, RAKNPA/GM, CEPT/Directors of Ail pTCs.

8.All PAOs.

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(F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure – A

Application for entering into an Agreement with Department of Posts for

Speed PostDocument(Domestic) services

To,

The Designated authority

Sir/ Madam,
I would like to avail following services of the Department of Posts and to be
registered as bulk (contractual) customer
Name of the service Speed Post
Other than e-Commerce e-
Category
Commerce
Cash on Delivery facility required YES NO
National Account facility required (in case of
YES NO
booking from more than one locations)
Number of booking locations and name of
nodal office for centralised billing and
payment
Credit under BNPL scheme Advance
Mode of Payment
deposit At the time of booking
Whether Central/ State Government
Ministry/ Department/ Nationalised Bank/ YES NO
Scheduled Bank/ PSU
Registered/ Partnership/ Sole proprietor/
Nature of the firm*
individual/ others (please specify)
PAN/ TIN/ CIN/ Aadhaar Card*
Registered Office*
Address where articles will be generated
Address of correspondence
Name:
Complete address with PIN Code:
Ph. No.
Contact details
Fax (if any):
Mobile No.
Email id:
Approx. number of Speed Post items to be
booked in each month and postage payable
for them
Any other facility viz pre-mailing etc required
(please specify) #
Date: Place: Authorised Signatory*:
*Please provide supporting document.
# subject to provision for same
Note: These KYC documents may be collected from customers requiring bulk
booking facility for Speed Post document(domestic) service.

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 For Office Use
a) It is certified that the information as given above have been verified with the supporting
documents and found correct
b) Recommended for entering into an agreement for proving credit/ Advance deposit
facility.
c) Not Recommended due to following reasons (strike-off if not applicable):-
(i)
(ii)
Signature of Designated Authority
a) The Application is hereby approved for entering into an agreement for proving credit/
Advance deposit facility/ payment at the time of booking [please tick appropriate option]
a) The Application is hereby rejected due to following reasons (strike-off if not
applicable):-
(i)
(ii)
Signature of Approving Authority

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 (F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure – B
Format of Agreement for BNPL customers

An agreement made this _____ day of ______________ between the Department of

Posts on behalf of the President of India (hereinafter called the ‘Department’ on the
one part) and __________________________________ having its Head Office at
_________________________ residing at ________________________
(hereinafter called ‘the sender’ which expression shall unless excluded by or
repugnant to the context be deemed to include his successor, representatives and
permitted assigns) on the other part.

Whereas the Department has agreed with the sender to book, transmit and deliver
such articles, presented by the sender as Speed Post Document(domestic) under
credit as per the terms & conditions hereinafter contained.

It is hereby mutually agreed and declared by and between the parties hereto as
follows:

1. This agreement shall come in force as from the ___________ day of

____________ and shall continue in force for a period of ______ years.

2. The sender shall prepare, pack and make up the Speed Post
Document(domestic) consignments as prescribed by the Department. The
contents, shape and size of the items shall be according to the provisions and
conditions provided for and as notified by the Department from time to time.

3. The sender shall ensure that no article, transmission of which is prohibited for
transmission as Speed Post Document(domestic) consignments as per the
instructions issued by the Department from time to time, is presented for
booking.

4. The sender shall fill up correctly such documents / records, which may be
prescribed by the Department to enable it to book, convey and deliver the
articles expeditiously.

5. The expected monthly postage on booking of Speed PostDocument(Domestic)

consignments comes to Rs.__________.

6. Security deposit in form of _________________ for Rs, ________________ (in

figures) ________________________________ (in words), which is equal to
anticipated of three billing period Speed Post Document(domestic) charges has
been furnished by the sender and is enclosed.
OR
As the sender is a Central/ State Government Ministry/ Department/
Nationalized/Scheduled Bank/ Public Sector Undertaking, the authorized
signatory of the sender has furnished an undertaking that the sender shall
make the full payment of the bills raised by the Department by the end of the
month following the month of which the bill pertains.

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7. In case of revision of Speed Post items charges etc. the Department shall hold
the right to revise the amount of security deposit to be furnished. In case of any
such revision, the sender shall furnish the security deposit of the additional
amount within a period of four weeks of intimation by the Department.
8. The arrangements covered by this contract shall be liable to be terminated by
either party without assigning any reasons thereof at any time giving one
month’s notice in writing to the other party.

9. The Department shall raise the Speed Post charges bill by 7 th of every month in
respect of all Speed Post items booked by the sender of his authorised
agents/sellers in the preceding month. The sender shall pay the bill amount in
full on or before last day of the month in which bill is raised or due date fixed in
case of fortnightly billing.

10. In case the sender fails to make the payment by the due date, penalty at the
rate of 12% per annum on the amount of the bill shall be imposed upon the
defaulting organization (to be calculated on a daily basis). The penalty will be
imposed from the Bill date.

11. In case customer fails to provide minimum business prescribed for a

contractual customer for two consecutive months, credit facility will be
withdrawn

12. No booking of Speed Post items will be allowed from the sender after one
month from the due date of the payment of bill till all the pending bills along with
the penalty due are paid in full to the Department. In case of non-payment of bill
even after 2 months from the due date, Department will have the right to invoke
the security deposit for recovery of the total outstanding amount.

13. Any payment due to the firm from the Department will not be adjusted against
the bill.

14. Sender shall abide by all rules and orders etc. brought out by the Department
from time to time on the subject.

15. Department will not be responsible for the quality/content of the product being
sent by the contractor of his authorized agent.

16. As the sender is sending COD articles also, sender must assure to remit back
any amount paid to him or any of his seller wrongly or in case where double
payment is noticed.

17. Any claim of the sender shall not be adjusted against amount payable to
Department.

18. The sender must understand that Speed Post item is not an insured service
unless expressly provided and liability of Speed Post document(domestic) is
limited to the provision of Post Office Act, 2023.

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19. In case of any legal implications, the same should be dealt only in the
jurisdiction of office where the agreement is signed.

20. The Sender shall post its articles at ____________________ Office (s).

Witness:
1. 2.
1. Signed by _____________________ 2. Signed by _____________________
for and on behalf of the President of for and on behalf of the
India. _______________

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 (F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure – C
Format of Agreement for Non- BNPL customer

An agreement made this ________________________ day of ______________

between the Department of Posts on behalf of the President of India (hereinafter
called the ‘Department’ on the one part) and
______________________________________ having its Head Office at
____________________________ residing at
__________________________________ (hereinafter called ‘the sender’ which
expression shall unless excluded by or repugnant to the context be deemed to
include his successor, representatives and permitted assigns) on the other part.

Whereas the Department has agreed with the sender to book, transmit and deliver
such articles, presented by the sender as Speed Post document(domestic) under
Advance deposit/ making payment at the time of booking as per the terms &
conditions hereinafter contained.

1. It is hereby mutually agreed and declared by and between the parties hereto as
follows:

2. This agreement shall come in force as from the ___________ day of

______________________ and shall continue in force for a period of three
years.

3. The sender shall prepare, pack and make up the Speed Postconsignments as
prescribed by the Department. The contents, shape and size of the articles
shall be according to the provisions and conditions provided for and as notified
by the Department from time to time.

4. The sender shall ensure that no item, transmission of which is prohibited for
transmission as Speed Postconsignments as per the instructions issued by the
Department from time to time, is presented for booking.

5. The sender shall fill up correctly such documents / records, which may be
prescribed by the Department to enable it to book, convey and deliver the
articles expeditiously.

6. The expected monthly postage on booking of Speed Post consignments come

to Rs. __________.

7. The arrangements covered by this contract shall be liable to be terminated by

either party without assigning any reasons thereof at any time giving one
month’s notice in writing to the other party.

8. The Department shall raise the Speed Post charges statement (for deposit
account customers) by 7th of every month in respect of all Speed Post
consignments booked by the sender in the preceding month showing the
balance available in his account and amount utilized.

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9. In case customer fails to provide minimum business prescribed for a
contractual customer for two consecutive months, facility of bulk booking will be
withdrawn.

10. Sender shall abide by all rules and orders etc. brought out by the Department
from time to time on the subject.

11. Any claim of the customer shall not be adjusted against the amount payable to
the Department.

12. The Sender understands that Speed Post is not an insured service unless
expressly provided and liability of Speed Post is limited to the provisions of Post
Office Act, 2023.

13. In case of any legal implications, the same should be dealt only in the
jurisdiction of office where the agreement is signed.

14. The Sender shall post its articles at ____________________ Office.

Witness:
1. 2.
1. Signed by _____________________ 2. Signed by _____________________
for and on behalf of the President of for and on behalf of the ______________
India.

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 (F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure ‘D’
FORM OF BANK GUARANTEE
In consideration of the President of India (hereinafter called “the Government”)
having agreed to enter into an agreement with - __________________ (hereinafter
call the "the Customer(s)”, under the terms and conditions of said Agreement dated
______________ made between _____________________________________ and
for ____________________________________ (hereinafter call “the said
Agreement”). The Customer is required to furnish an unconditional and irrevocable
bank guarantee for Rs. _____________ (Rupees _______________________ only)
issued by a nationalized/ scheduled bank as security for the due fulfilment by the
said Customer(s) of the terms and conditions contained in the said Agreement. We
______________________________ (indicate the name of the bank), hereinafter
referred to “the Bank) at the request of
________________________________________________________________Cus
tomer(s) do hereby guarantee the due and punctual performance of all obligation of
Customer under the agreement and undertake to pay to the Government an amount
not exceeding Rs. ________________ (Rupees
_____________________________) against any loss or damage caused to or
suffered or would be caused to or suffered by the Government by reason of any
breach by the said Customer(s) of any of the terms and conditions contained in the
said Agreement.

2. We _________________ (indicate the name of the bank) do hereby

undertake to pay the amounts due and payable under this guarantee without any
demur, merely on a demand from the Government stating that the amount claimed is
due by way of loss or damage caused to or would be caused to or suffered by the
“Government” by reason of breach by the said Customer(s) of any of the terms and
conditions contained in the said Agreement or by reason of the Customer(s) failure
to perform the said Agreement. Any such demand made on the bank shall be
conclusive as regards the amount due and payable by the Bank under this
guarantee. However, our liability under this guarantee shall be restricted to an
amount not exceeding Rs. ______________________ (Rupees
______________________________).

3. We undertake to pay to the “Government” any money so demanded

notwithstanding any dispute or disputes raised by the Customer(s) in any suite or
proceeding pending before any court of tribunal relating thereto or liability under this
present being absolute and unequivocal.

4. We, ___________________________ (indicate the name of the bank) further

agree that the guarantee herein contained shall be irrevocable and shall remain in
full force and effect during the period that would be taken for the performance of the
said Agreement and that it shall continue to be enforceable till all the dues of the
Government under or by virtue of the said Agreement have been fully paid and its
claims satisfied or Discharged or till
__________________________________________________________ Office/
Department/Ministry of _____________________ certifies that the terms and
conditions of the said Agreement have been fully and properly carried out by the said
Customer(s) and accordingly discharges this guarantee. Unless a demand or claim

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under this guarantee is made on us in writing on or before the ______________ we
shall be discharged from all liabilities under this guarantee thereafter.

5. We ________________ (indicate the name of bank) further agree with the

“Government” that the “Government” shall have the fullest liberty without our consent
and without affecting in any manner our obligations hereunder to vary any of the
terms and conditions of the said Agreement or to extend time of performance by the
said Customer(s) from time to time or to postpone for any time or from time to time
any of the powers exercisable by the “Government” against the said Customer(s)
and to forbear or enforce any of the terms and conditions relating to the said
agreement and we shall not be relieved from our liability by reason of any such
variation, or extension being granted to the said Customer(s) or for any forbearance,
act or commission on the part of the “Government” or any indulgence by the
“Government” to the said Customer(s) or by any such matter or thing whatsoever
which under the law relating to sureties would, but for this provision have effect of so
relieving us.

6. This guarantee will not be discharged due to any change either in the
constitution of the Bank or the Customer(s) or in both.

7. We ______________________________ (indicate the name of the Bank)

lastly undertake not to revoke this guarantee during its currency except with the
previous consent of the “Government” in writing.

8. It is declared that the undersigned is duly authorized to execute this

guarantee for an on behalf of the bank.

Dated the _____________ day of _________________20

For ____________________________
(indicate the name of the Bank)

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 (F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure ‘E’

PROFORMA OF UNDERTAKING TO BE PROVIDED BY GOVERNMENT

ORGANISATIONS/ NATIONALIZED/SCHEDULED BANKS/PUBLIC SECTOR
UNITS

UNDERTAKING

I ____________________, designation __________________________ on behalf of

_____________________ (Name and address of the organization) hereby
undertake to ensure payment of the monthly bills to be raised by the Department of
Posts for the Speed Post/ Express/ Business Parcel consignments to be booked by
__________________ (name of organization) under credit facility (BNPL scheme) to
the Department of Posts by the due date indicated in the bill.

Signature
Name__________________________
(Designation Stamp of the Officer)

Certified that ______________________, Designation _______________ is

competent to issue this undertaking on behalf of ______________ (name of the
organization)

Signature & seal of the competent authority of the Organization.

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 (F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure ‘F’
ILLUSTRATION FOR IMPOSING PENALTY

If ‘X’ Billing Office has raised the following bill on Firm ‘A’ for the month of
October’2016 on 6th November 2016:

Total Speed Post charges Rs 1,00,000

Discount (-) Rs 10,000 (10% of Rs 1,00,000)
Net postage payable (Principal Rs 90,000 (1,00,000 – 10,00)
Amount)
Service tax & Edu Cess (+) Rs 13,500 (Presently 15% on Rs 90,000)
Net Amount payable Rs 1,03,550 (97,500 + 13,500)

Bill Date: 6th November 2016

Due Date: 30th November 2016 (Last day of the month in which bill has
been raised)
The following possible scenarios emerge: -

Scenario 1:

Firm ‘A’ makes payment of Rs 1,03,550 before 30 th November, 2016.

Action 1:

No Action required

Scenario 2:

Firm ‘A’ makes payment on 6th December 2013 (within one month from the Due
Date)

Action 2:

Penalty to be calculated as follows: -

Principle amount : Rs 90,000 [Net Postage Payable]

Rate : 12%
Default period : 30 days (November’13: 25 days, Decmber’13: 5 days)

Interest : 90000 X 12 X 30 = 887.67 = Rs 888

365 X 100

Total Amount Due (payable on 06.12.2016: Rs 1,03,500 + Rs 888 = Rs

1,04,388/-

Scenario 3:

Firm ‘A’ makes payment on 5th January 2017 (after one month from the Due Date)

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Action 3:

Speed Post booking for Firm ‘A’ to be discontinued from 30 th December 2016 till the
date of payment outstanding dues i.e. 5 th January 2017.

Penalty to be calculated as follows: -

Principle amount : Rs 97,500 [Net postage payable]

Rate : 12%
Default period : 60 days (November’2016: 25 days, December’2016: 31
days,
January’2017: 4 days)

Interest : 90000 X 12 X 60 = 1775.34 = Rs 1775

365 X 100

Total Amount Due : Rs. 1,09,551 + Rs 1923 = Rs 1,11,474/-

Scenario 4:

Firm ‘A’ has not made payment till 30 th January 2017 (Two months from the due
date)

Action 4:

Speed Post booking for the customer to be discontinued from 30 th December 2016.

Designated authority to address the bank for invoking the Bank Guarantee for
recovering the Total Outstanding Amount on 30 th January 2017.

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 (F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure ‘G’

ILLUSTRATION FOR CALCULATION OF DISCOUNT IN CASE OF BOOKING AT

MULTIPLE LOCATIONS

Speed Post

Location Discount in case booking at single location Discount on consolidation of reven

booking at multiple locations
Monthly Credit customer Advance Monthly Creditustomer Adv
revenue payment or revenue paym
(In Rs.) payment at the (In Rs.) paym
time of booking time
%age In Rs. %age In Rs. %age In Rs. %ag
Location 1,00,000 10.00 10,000 11.00 11,000
A
Location 1,00,000 10.00 10,000 11.00 11,000
3,00,000 10.00 30,000 11.0
B
Location 1,00,000 10.00 10,000 11.00 11,000
C

Location 5,00,000 10.00 50,000 11.00 55,000

A
Location 5,00,000 10.00 50,000 11.00 55,000
15,00,000 15.00 2,25,000 16.0
B
Location 5,00,000 10.00 50,000 11.00 55,000
C
Location 25,00,000 15.00 3,75,000 16.00 4,00,000
A
Location 25,00,000 15.00 3,75,000 16.00 4,00,000
75,00,000 20.00 15,00,000 22.0
B
Location 25,00,000 15.00 3,75,000 16.00 4,00,000
C

Location 50,00,000 20.00 10,00,000 22.00 11,00,000

A
Location 50,00,000 20.00 10,00,000 22.00 11,00,000
150,00,000 25.00 37,50,000 27.0
B
Location 50,00,000 20.00 10,00,000 22.00 11,00,000
C

Location 100,00,000 25.00 25,00,000 27.00 27,00,000

A
Location 100,00,000 25.00 25,00,000 27.00 27,00,000
300,00,000 25.00 75,00,000 27.0
B
Location 100,00,000 25.00 25,00,000 27.00 27,00,000
C

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(F.No.MO Division-PO Regulation-2024/PO ORDER-MO/02/2024) Annexure ‘H’
MONTHLY ACCOUNT OF SPEED POST DOCUMENT(DOMESTIC) BOOKING
ACCEPTED FROM BNPL CUSTOMERS MAINTAINED AT BILLING OFFICE

Name of the Booking Office: Name of Billing office:

Name of the Customer: Month:

No. of items received in the month Speed Post/ Express/ Business Parcel
revenue for consignments
With paper With soft copy in With paper With soft copy
manifest the prescribed manifest
format
(1) (2) (3) (4)

(5) Total Speed Post/ Express / Business Parcel business (3) + (4)
for the month

(6) Discount % applicable on {(3) + (4)} (as per para 5 (a)) A

(7) Total Discount applicable ½ X (A% of (3)) + A% of

(4)
(8) Net Speed Post/ Express/ Business Parcel charges (5) – (6)

(9) Service tax & education cess (as applicable on (8))

(10) Net amount payable (8) + (9)

To: -

1. Divisional/ Reporting office

Copy to: -

1. Circle Office
2. Regional Office

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