Service Agreement for Trainee (2)

Non-judicial Stamp Paper of Rs. 100/-

SERVICE AGREEMENT This Agreement is made at Delhi on this the ……… Day of …….………… Year …………… by and between Energo Engineering Projects Ltd., a Company incorporated under the Companies Act 1956, and having its Registered Office at A-57/4, Okhla Industrial Area, PhaseII, New Delhi-110 020, hereinafter referred to as the “Company” of the FIRST PART, which expression, where the context so admits, shall include its successors and assigns. AND ……………………………….. aged about … years, S/o ……………………………… presently residing at …..…………………………………………………………………………… ……………………….., hereinafter referred to as the “Trainee ” of the SECOND PART, which expression, where the context so admits, shall include his heirs and assigns. AND Shri/Smt.………………………………,aged about…years, S/D/o Shri. ………………………… and residing at …………..………………………………………………………………………… and who has the capacity to stand as a Surety for the Trainee (hereinafter referred to as the “Surety” of the THIRD PART) which expression where the context so admits shall include his/her heirs and assigns. WHEREAS the Company has issued the Appointment Letter to the said Trainee for appointment as "Executive Trainee Engineer" and whereas the Trainee at his own free will and without any undue force, influence, coercion from or on the part of the Company and with the consent of the Surety has agreed to serve the Company subject to the terms and conditions hereinafter mentioned in addition to the conditions mentioned in the Appointment Letter dated ……………which is to be read as part and parcel of this agreement.

AND Whereas the Surety in consideration of the appointment of the said Trainee in the Company has agreed to stand as guarantor for the due fulfillment and observance of the terms and conditions specified herein in addition to those specified in the said Appointment Letter. NOW THIS AGREEMENT WITNESSTH AND IT IS HEREBY MUTUALLY AGREED BY & BETWEEN THE PARTIES HERETO AS FOLLOWS: 1.0 The Trainee hereby agrees: 1.1 To serve the Company for a period of 2 (Two) years excluding the period of training/extended training, as the case may be, as well as unauthorised leave without pay and/or study leave availed, if any, by the Trainee during the term of this agreement. 1.2 To obey and abide by all the rules, regulations, service conditions and standing orders of the Company as may be in force from time to time and to comply with the instructions of the superiors issued from time to time. 1.3 That in the event of the Trainee leaving, abandoning or resigning from the services of the Company or committing an act or deed thereby creating a situation which makes it necessary for the Company to dismiss or discontinue his services during the mandatory period of service as provided herein or otherwise committing breach of any terms and conditions stipulated herein as well as in the said appointment letter, the Trainee shall compensate the Company merely on demand and without demur, by paying a sum of Rs. 3,00,000/- (Rupees Three Lacs ) only. 1.4 To deposit with the Company at the time of signing this agreement, 1 (one) signed blank cheque for Rs. 3,00,000/- (Rupees Three Lacs) only signed which shall be kept with the Company as security under this agreement and shall be cancelled/destroyed after expiration of the term of this agreement. 1.4 In the event of death, insolvency, lunacy of the Surety as hereinabove mentioned, the Trainee undertakes to intimate the Company about the event within 7 (Seven) days of its occurrence and execute a fresh agreement with a new Surety as may be necessary within 15 (fifteen) days, without prejudice to the rights and liabilities of the parties under this agreement. 2.0. The Company hereby agrees: 2.1 That in the event the Company does not offer service confirmation after the successful completion of the training period or otherwise terminates the services of the Trainee during the term of this agreement on account of reasons other than non-performance and/or gross misconduct, it shall pay to the Trainee a sum of Rs. 3,00,000/- (Rupees Three Lacs) only.

2.2 Gross misconduct shall include but will not be limited to: 2.2.1

Acts of omission/commission causing significant or major loss to the company either, pecuniary, reputation or regulatory.

2.2.2

General Acts of indiscipline or integrity linked to employee conduct & behaviour, willful insubordination and moral turpitude

2.2.3

Offences committed with malafide and fraudulent intent.

2.2.4

Breach of rules and regulations, instructions, practices, conventions, methods and procedures etc. applicable to the Company for regulating work, safeguarding Company’s interests, safety of personnel, discipline, good conduct, avoidance of waste of time or materials or for proper running of the Company or individual departments/sections or breach of any other rules and regulations of the Company.

3.0.

The Surety hereby undertakes to ensure due compliance of the terms and conditions of this Agreement by the Trainee and agrees to stand as Guarantor for the said Trainee and compensate the Company, in case of non-performance or non-compliance by the Trainee of the terms and conditions specified herein and the Surety hereby further agrees, that no indulgence shown or concession granted to the Trainee shall have the effect of discharging the said Surety or shall affect his liability arising out of this agreement to the extent of Rs. 3,00,000/- (Rupees Three Lacs ) only.

4.0

The Company shall have the right to recover at its discretion the compensation due to it either from the Trainee or the Surety or from both. The fact that the Company proceeds against one of them shall not discharge the liability of other to the Company under this agreement.

5.0

The conditions of appointment of the Trainee with the Company as contained in the appointment letter issued by the Company, save as expressly notified hereby, shall remain unaffected and shall continue to be binding on the Trainee and his Surety.

6.0

All disputes arising out this agreement shall be decided by the courts in Delhi and no other Court (s) shall have jurisdiction over any dispute arising out of this agreement.

In WITNESS WHEREOF the parties to this agreement have set their hands the date & year first above written. Signed by ____________________________ In the presence of : 1. ___________________________________

(Signature of Trainee)

2.___________________________________ Signed by _____________________________

(Signature of Surety)

In the presence of : 1.____________________________________ 2.____________________________________ Signed by _____________________________ In the presence of 1. ___________________________________ 2. ___________________________________

(Signature of Employer)

SURETY'S DECLARATION FORM I have read and understood the draft Agreement to be executed by Shri ______________ and I agree to stand as Surety for him. The following are my particulars

:

1. Name

_________________________________________

2. Father's Name

_________________________________________

3. Age

_________________________________________

4. Permanent Address

_________________________________________ _________________________________________ _________________________________________ _________________________________________ Telephone Nos. ___________________________

5. Relationship with Trainee (If any) _________________________________________ 6. Occupation __________________________________________ Name of employer (If in Service) __________________________________________ Designation & Address __________________________________________ __________________________________________ Telephone Nos. _____________________________ 7. Monthly and Annual Income

: Rs. ______________ Rs. ___________________

8. Appropriate value of personal Property/assets, if any

: _________________________________________

I certify that the particulars furnished above are true to the best of my knowledge and belief. Date: Place: (Signature of Surety)