Administration Manual - B.E.S.T. Undertaking.

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For investment under 15% (SGS) and 30% (PSU Bonds) category, following steps
are involved :-
1. To contact the approved brokers & invite quotes from them of required category i.e. PSU
Bonds & SGS as the case may be.
2. To prepare tabulated statement on receipt of quotes from the broker giving details such
as broker name, bond name, purchase price, YTM, Date of maturity/ Putcall, YTP/C
quantum etc.
3. To submit the recommendation on the basis of tabulated statement to G.M.through CAO
& F.A., AGM(A).
4. On approval by the G.M., prepare bill and draw cheque (if security to be purchased is in
secondary market, invite cost memo from the concerned broker).
5. In case of purchase of security from
(A) Primary market on private placement fill up the required application form, get it
signed by authorised signatories , enclose the copies of documents alongwith cheque
and deposit in Bank/hand over to broker who have offered.
(B) Meantime to confirm the interest on application money at specified rates for the
period from the date of submission of application till the date of allotment of Bonds.
6. If the security to be purchased is of Govt. of India Loan, State Development Loan or
Bonds of which interest paid by Reserve Bank of India, such securities can be purchased
through SGL Account . In such cases the following procedure is to be adopted :-
i) The required amount of purchase cost is transferred to the P.F.Trust A/c with Indian
Bank or HDFC Bank from Bank of India, Electric House Branch.
ii) Authority letter signed by any two Trustees is sent to the Bank having SGL A/c (i.e.
Indian Bank/ HDFC Bank) informing them to pay to seller and arrange to collect the