TENDER NOTICE FOR ENGAGEMENT OF INTERNAL AUDITOR
FOR CENTRAL UNIVERSITY OF TAMIL NADU, THIRUVARUR
Tender No. 2019-20/19
Date of Issue: 13.01.2020
Date of closing: 29.01.2020
Central University of Tamil Nadu
Neelakudi Campus
Kangalanchery-Post
Thiruvarur-610 005
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NIT No.2019-20/19 Date: 13.01.2020
TENDER FOR ENGAGEMENT OF INTERNAL AUDITOR
Sealed tenders are invited under two bid system (i.e. Technical & Financial) by the
Central University of Tamil Nadu (CUTN) for engagement of Internal Auditor initially for
the Financial Year 2019-20 which may be renewed to further two years subject to
satisfactory performance. The tender document with complete details of tender including
experience required, scope of work and terms and conditions can be downloaded from the
website www.cutn.ac.in.
The last date for submission of Sealed tender is 29th January, 2020 up to 15.00 Hours.
The technical Bids will be opened on 29th January, 2020 at 15.30 Hours.
Earnest Money Deposit (EMD): The Earnest Money Deposit (EMD) of Rs. 10,000
(Rupees ten thousand only) must be submitted in the form of Demand Draft drawn in
favour of "CENTRAL UNIVERSITY OF TAMIL NADU" payable at TIRUVARUR along
with tender documents. EMD will be refunded to the unsuccessful bidders without any
interest within one month of completion of the tendering process. EMD received from the
successful bidder will be kept as Security Deposit till the completion of the assignment.
Tenders received late or without EMD shall be summarily rejected.
TWO BID SYSTEM shall be followed for this tender. Bidder should take due care to
submit tender in accordance with requirement in sealed covers. Bid Evaluation Criteria,
shall be the basis for evaluation of tenders. Bids submitted with incomplete information or
information not in conformity with the Bid Documents will summarily be rejected. All the
terms and conditions stated in the Bid Document are final in nature and request for any
subsequent alterations/modifications will not be entertained. While submitting the Bids,
the Bidders must exercise utmost care to fill up the bid in all respect as per the specified
terms and conditions. Submission of the bids amounts to acceptance of all terms and
conditions mentioned therein.
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Background:
Central University of Tamil Nadu (CUTN) is an institution of higher education
established by an Act of Parliament in 2009. The University aims at the fashioning of an
enlightened society founded on a relentless pursuit of excellence through innovation in
teaching-learning process, interdisciplinary studies and research.
Central University of Tamil Nadu follows Accrual Basis of Accounting as per standard
accounting practices applicable. The accounts of the University are prepared as per the
prescribed Guidelines and Format for Financial Statement applicable to the Central Higher
Educational Institution, issued by Ministry of Human Resource Development, Govt. of
India which will be made available to the selected firm.The Accounts of the University are
maintained in Tally ERP Package.
Notice Inviting Tender (NIT)
Proposals are invited from eligible Chartered/Cost Accountant Firms for engagement as
Internal Auditors of Central University of Tamil Nadu vide a service contract with specific
terms and conditions. The contract shall be initially for a period of one year i.e. F.Y. 2019-
20, which may be renewed for another two years on yearly basis subject to satisfactory
performance of the Firm and with the mutual consent of both the parties.
Interested Chartered/Cost Accountant Firms can download the NIT document containing
detailed terms and conditions, scope and eligibility criteria from the official website:
www.cutn.ac.in.
The proposals (both technical and financial) by eligible Chartered/Cost Accountant Firms
shall reach the Office of the undersigned within due date and time (i.e. 29th January, 2020
upto 15.00 Hours) in the prescribed format and manner. Proposals received after due date
and time shall be rejected.
One Firm can submit only one NIT. If a Firm submits more than one NIT, all the NITs
submitted by that Firm will be rejected.
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Important Information:
Sl.
Particulars Information
No.
Start Date or availability of NIT document in the official
01 13-January-2020
website
02 Earnest Money Deposit Rs.10,000
29th January, 2020
03 Last date and time for receipt of NIT at CUTN
upto 15:00 Hrs
29th January, 2020
04 Date and time for opening of Technical Bid
at 15:30 Hrs
The Registrar,
Central University of
05 Address for submission of NIT
Tamil Nadu,
Tiruvarur-610005
Contact Phone No. 04366-277359
06
Email Address arpurchase@cutn.ac.in
07 Website www.cutn.ac.in
Note: In case the closing date for sale of NIT document or/and last date for receipt of bids
happens to be a holiday for CUTN for any reason, the activity will be held on the
immediate next working day at the same time & place.
TERMS OF REFERENCE
A) Eligibility Criteria
Any interested Chartered Accountants'/Cost Accountants' firm shall be eligible to
apply for the assignment, subject to meeting the following eligibility criteria:
1. The Firm should have minimum of 5 years of experience in the profession.
2. Firm should have minimum of two partners for not less than 3 years
continuously.
3. Must be registered under Income Tax / Goods & Service Tax Act. (Self-
Attested IT PAN/GST Registration Certificates to be furnished.)
4. The Firm or any partner of the firm should not have been blacklisted by
any Government departments, C&AG, PSUs or any other organization in
respect of any assignment or behavior (Self Declaration should be
submitted in the format enclosed- Annexure-V).
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5. The annual average turnover of the interested firm should not be less than
Rs.15Lakhs for last three financial years i.e.2016-17, 2017-18 & 2018-19
(Copy of Audited P&L A/c, BS and IT Returns should been closed).
6. The Firm should have conducted either statutory audits and/or internal
audits of at least three Autonomous Bodies/Statutory Bodies/Educational
Institution/PSU (Not including Banking Companies) with Minimum
Annual Turnover of Rs. 15 Crore each on or after financial year 2014-15
(Work orders issued by the client/ Auditee should been closed).
The Annual Turnover for each Autonomous Bodies/ Statutory Bodies/
PSUs/ Educational Institutes (except Banking Companies) shall be as per
their Audited Financial Statements for any financial year during 2016-17,
2017-18 and 2018-19.In case the firm has carried out the statutory audit/
internal audit for a branch(s), then the turnover of only that branch(s) will
be considered.
B) Scope of Work:
The Firm shall be responsible for the following works
i. Independently review and appraise the systems of control;
ii. Recommend improvements to internal controls;
iii. Ascertain the extent of compliance with procedures, policies, regulations,
statutory obligations and other legislations;
iv. Ascertain Compliance to CUTN Act 2009, instruction of C&AG, Standard
Accounting Practices and Guidelines of the Finance Committee / Executive
Council;
v. Facilitate good practice in managing risks effectively;
vi. Ensure that assets and interests are safeguarded from fraud, deter fraudsters
and possibly identify fraud.
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Detailed Scope of Work:
Sl.No. Area Detailed Scope
01 Revenue i. Reconciliation of Fees from students / participants
ii. Income from Sponsored Projects / Programmes
iii. Interest on Investments, Bank Interest
iv. Grants for research projects
v. Internal Revenues/Recoveries such as Licence Fee, charges,
etc.
vi. Any other Income
vii. Treatment in accounts for all Income and recommendations
02 Expenditures i. Procedures followed
ii. Treatment in Accounts
iii. 100% vouching of the transactions
iv. Reporting for any Rectification or improvement
03 Procurement of i. Tendering Processes & selection of the vendor/ contractor
Goods & ii. Accounting Treatments for Fixed Assets and Inventory
Services
04 Physical i. Inventory verification on yearly basis
Verifications of ii. Fixed Assets verification on yearly basis except library
Inventory & books/journals
Fixed Assets
iii. Verification of Library Books on yearly basis.
05 Investments i. Procedures followed for Investments
ii. Treatment of Income arising out of Investments
iii. Recommendations
06 Statutory i. Compliances to Income Tax Act
Compliances ii. Compliance to GST and other Indirect Taxes
iii. Compliance to Labor Laws
iv. Compliance to FEMA laws
v. Any other statutes
07 Finance & i. Review of Account Payable and Receivable
Accounts ii. Verification and checking of financial transactions from bank
book and other ancillary record maintained by the University.
iii. Review the record/system of bill payment to various
contractors and also to review the compliance on them with
term of contract.
iv. Bank Management including investment details
v. Checking of Bank Reconciliation Statement on monthly basis.
vi. Review the expenses incurred with the approved Budget
vii. Vouching/Ledger Scrutiny
viii. Review the last statutory/Internal audit comments and
compliances and action taken report
ix. Review of Quarterly, Half Yearly and Annual Accounts of the
University
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x. Review of expenses on Sponsored Projects and Its Accounts
xi. Review of Subsidiary Accounts at a quarterly Intervals
xii. Checking of various schedules and annexure
Sl.No. Area Detailed Scope
08 Payroll, i. Rules and Guidelines applicable
Retirement ii.Review audit of Employee related claims like TA/DA, Medical
Benefits Reimbursements, LTC, Children Education, etc.
iii. Review/ audit for Payment of Salary, retirement benefits, etc.
iv. Treatment in accounts
09 Estate Section i. Review of all receipts and payments
ii. Treatment in accounts
iii. Completion of Capital WIP and conversion to Assets
iv. Any other work related to engineering division
10 Others i. As and when required comments/ observation of the Internal
Audit will be taken on financial transaction of special value or
special nature
ii. As and when required comments/ observation of the Internal
Audit will be taken on statutory requirement for financial
transactions.
iii. Report on risk management issue and internal control
deficiencies identified and provide recommendation for
improving University's operation.
iv. Suggestion for improvement of the existing System of
Accounting, internal control and Management Information
System (MIS)from time to time
v. Periodically reconciling Physical Assets with Books of
Accounts so as to submit Annual Physical Verification Report
latest by 30th April.
vi. Issue certificate in form no 15 CA/CB relating to remittance in
foreign currency as per Income Tax Act, 1961, if required. The
certificate must be issued within two days of receipt of
documents.
vii. Issue of Utilization Certificates for Grant Based projects as and
when required
viii.Any other Internal Audit related matters required by the
University Authority
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C) AUDIT REPORT
Submission of:
i. Half Yearly Audit/Review Report
ii. Consolidated Yearly Audit/Review Report
iii. Issue certificate in form no 15CA/CB relating to remittance in foreign
currency as per Income Tax Act, 1961, if required. The certificate must be
issued within two days of receipt of documents.
iv. Physical Verification of Inventory & Fixed Assets on yearly basis.
D) PAYMENT & PRICE VALIDITY :
i. The price as quoted by the Firm (as per Annexure -II) shall remain
unchanged during the contract period. The fees should be quoted inclusive
of TA/DA/Boarding/Lodging etc.
ii. Goods & Service Tax, if any, shall be paid at the applicable rate.
iii. The audit firm shall raise proportionate invoice after successful
completion of Half-yearly audit and reporting. Balance Payment shall
be made after Successful Completion of 2nd Half Yearly Audit and
submission of consolidated report for 2019-20.
E) PERIOD OF ENGAGEMENT
i. The engagement shall be for a period of one year i.e. F.Y. 2019-20.
ii. The contract may be renewed for another two years on yearly basis in the
same terms and conditions subject to satisfactory performance of the firm
and with the mutual consent of both the parties.
iii. The agency shall start providing services within 10 days of issue of Letter of
Award/ Intimation.
F) TERMINATION/ SUSPENSION OF AGREEMENT
The contract can be terminated at any time prior to its completion by either Party with
60 days of notice period.
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G) GENERAL TERMS&CONDITIONS
i. Financial Bid will be opened only of the Bidders who will be qualified in
the Technical Bid.
ii. The CUTN will finally contact only those Bidders meeting the
requirements including the rates.
iii. The decision of acceptance of the quotation will lie with the competent
authority of CUTN, who does not bind himself to accept the lowest
quotation and who reserves the right to himself to reject or partially
accept any or all quotations received, without assigning any reason.
iv. Bidders are advised to satisfy themselves about the quantum of work
before submitting their Bids; no extra charges consequent on any
misunderstanding or otherwise shall be allowed.
v. At any stage during finalization of Tender process, the competent
authority of the CUTN is free to use any evaluation metrics/ weightage or
take help of any consultant, as required in selecting the successful
agency/ agencies and we agree to abide by it.
vi. Canvassing directly or indirectly in connection with the Bid is strictly
prohibited and Bids submitted by the Tenderer who resort to canvassing
will be summarily rejected.
vii. This Notice Inviting Tender will form part of the contract document
including additional terms/additional conditions and other related papers,
if any, forming the Bid as issued at the time of invitation of Tender and
acceptance thereof together with any correspondence leading thereto of
the contract document.
viii. The successful Bidder on acceptance of his Bid by accepting authority
and signing of the contract consisting of the notice inviting Tenders and
all the other relevant documents including additional conditions if any
forming the Bid as issued at the time of invitation of Tenders and
acceptance thereof together with any correspondence leading thereto, s
hall commence with the internal audit of the F.Y.2019-20.
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ix. The agency shall not sublet the work or part of the work.
x. Payment for the services will be made only after successful completion of
audit, related other work and submission of related reports etc. as per
agreed terms. Income Tax / GST TDS will be deducted as per rules.
xi. The contract can be terminated at any point of time if the services of the
Firm are not found satisfactory, by giving 60 days' notice. In such an
event, the work shall be done from another agency at the risk & cost of
the defaulting Firm.
xii. All documents should be certified by the Bidder
xiii. The Bidder must quote the rates in figures as well as in words correctly in
the Financial Bid.
xiv. On completion of Audit, the consolidated Internal Audit Report is to be
submitted to the Finance Officer, CUTN, Tiruvarur.
xv. The Competent Authority reserves the right for any
modification/cancellation of the advertisement, if required, without
assigning any reason thereof.
xvi. Any legal dispute arising out of this is subject to Tiruvarur jurisdiction
only.
H) INSTRUCTIONS TO BIDDERS
1) Submission of the Proposal
a) The proposal shall be submitted in a sealed envelope with clear inscription as
"PROPOSAL FOR ENGAGEMENT OF INTERNAL AUDITOR OF CENTRAL
UNIVERSITY OF TAMIL NADU (CUTN), NIT REFERENCE NO.
______________" on top of it before due date and time.
b) The Proposal shall be in two parts i.e. Cover-A and Cover-B. "Cover-A" shall
contain the Technical Proposal and "Cover-B" shall contain the Financial Proposal.
c) Technical and Financial Proposal shall be submitted separately in sealed covers
with clear inscription as "TECHNICAL/FINANCIAL PROPOSAL; NIT
REFERENCE NO. ______________ " on top of respective covers and both the
Page 10 of 18
sealed envelopes shall be sealed in a third envelop with required inscription on it as
mentioned in Clause (a) above.
d) Any material omission in the proposal shall make the proposal unacceptable at the
discretion of the management and the bid will be liable to be rejected.
e) The Proposal shall remain valid till 120 days of the date of submission of the
proposal or award of the assignment whichever is earlier.
2) Contents of the Proposal
a) The technical proposal in addition to proof of eligibility shall contain:
i) All the information, documents and clarifications as required under
Annexure-I.
ii) Copy of the NIT Document signed on every page by the duly authorized
Signatory.
b) The Financial Proposal shall be submitted in the format given in Annexure- II.
c) The proposal must be submitted to the following address:
The Registrar
Central University of Tamil Nadu
Neelakudi,
Thiruvarur-610005.
3) Evaluation and Selection
i. The proposals shall be evaluated in two stages i.e. technical evaluation and
financial evaluation.
ii. The qualifying score in technical evaluation is 60 out of 100. Format for
evaluation is given in Annexure-III.
iii. Financial Proposals shall be opened in the presence of the technically
qualified firms' representatives, who choose to attend in person at the address
given below:-
Central University of Tamil Nadu, Neelakudi, Tiruvarur-610005
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iv. Date of Opening of Financial Proposals shall be communicated to the
technically qualified firms.
v. For financial evaluation, Price excluding GST shall be taken into
consideration.
4) Award of Contract
i. Contract shall be awarded to the firm whose evaluated bid price will be the
lowest in financial bid.
ii. In case two or more technically qualified firms quote the same lowest price,
the firm with the higher mark in the technical bid shall be awarded the
contract.
iii. In case two or more technically qualified firms having same technical scores
quote the same lowest price, the firm having the highest average annual
Income in last 3 Financial Years immediately preceding to the year of award
among the lowest bidders shall be awarded the contract.
iv. Any effort by a firm to influence CUTN in its decision on bid evaluation or
placement of Work Order may result in rejection of the firm's offer.
<<<0>>>
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ANNEXURE-I
Profile of the Applicant
(To be furnished along with the Technical Proposal Cover "A" on the Letter Head of the
Firm)
Sl.
Particulars Details
No.
Name and Address of the
01
Chartered/Cost Accountants Firm
Date of Incorporation/ Registration:
Date of Registration with Institute of
Chartered/Cost Accountants of India
02 (Self- Attested copy of Registration Certificate
Date of Opening of Main Office or
issued by Institute of Chartered/Cost
Accountants of India to be furnished.) Branch Office:
Year of empanelment with Comptroller
03 & Auditor General of India. (Self Attested
copy of latest Comptroller & Auditor General of
India Empanelment Letter to be attached.)
No. of FCA/FCMA Partners as on 1st
April, 2019 (Self-Attested copy of latest
04 Constitution Certificate from Institute of
Chartered/Cost Accountants of India to be
furnished.)
Name, Designation, Contact No. and
05 Address of the Contact Person/ Local
Representative
Years of experience (as on 31st March,
2019) in Conducting Internal Audit of
Central or State Autonomous Bodies Separate Sheet may be attached as per
with annual income exceeding Annexure-IV
06 15Crores. (Self- Attested copies of
Appointment Letters/ Agreements/ Work Orders
issued by such ABs along with extract of
Audited Financial Statements in support of
Income to be furnished.)
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Experience in conducting Concurrent/
Internal Audit of Autonomous
Bodies/PSU during the last 3 financial
07 years i.e. from 2016-17 to 2018-19. (Self
Attested copies of Appointment Letters/
Agreements/ Work Orders issued by such
Abs/PSUs along with proof of claim to be
furnished).
No. of Staff of the Firm (Self-Attested
08 copy of documentary evidence in this
respect to be furnished.)
Date of Registration under IT PAN /
09 Goods & Service Tax Act. (Self-Attested
IT PAN/Goods and Service Tax Registration
Certificate to be attached.)
Annual Income of the Firm for last 3 F.Y. Income (Rs. In Lakh)
Financial Years i.e. from 2016-17 to
2018-19. (Self- Attested copies of 2016-17 -
10 Audited Profit & Loss Accounts and
Balance Sheets to be attached. 2017-18 -
Provisional Profit & Loss Accounts and
Balance Sheets will not be considered.) 2018-19 -
Any other details the Firm would like to
11 furnish (Example: Awards &
Accreditations)
Note:
(i) Information may be furnished in separate sheet (s) wherever necessary.
(ii) In case of documents, they should be self-attested photocopies.
Undertaking
I / We do hereby declare that the above-mentioned information are true and correct and
I/ We hereby agree with all the terms and conditions of the NIT and we hereby
undertake to abide by same.
Date:
Authorized Signatory
Place: (Signature and seal of the authorized signatory)
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ANNEXURE-II
FINANCIAL PROPOSAL
(To be furnished in Cover "B" on the Letter Head of the Firm)
Name and Address of the Bidder:
Price Details:
Rate per Annum (Rs.)
Sl. No Particulars
(Excluding GST)
01 Audit Fees for the scope of work as per NIT
Total
The Consolidated Audit fee should be quoted inclusive of TA/DA/Boarding/Lodging etc.
Total Price Excluding GST: Rs.................
(in words)_____________________________________________________________.
GST will be paid at the applicable rate.
Note: If there is a discrepancy between words and figures, the amount in words shall
prevail.
We hereby agree with all the terms and conditions of the NIT and we hereby undertake to
abide by same.
Date:
Authorized Signatory
Place: (Signature and seal of the authorized signatory)
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ANNEXURE-III
Standard Format for Evaluation of Technical Proposal
Sl. Max. Marks
Criteria Remarks
No. Marks Obtained
01 No. of years of Registration with the Institute of 10
Chartered/Cost Accountants of India:
a) Between 5 to 7 years: 5 marks
b) Above 7 years, up to 10 years: 7 marks
c) Above 10 years: 10 marks
02 No. of FCA/FCMA Partners: 15
a) Between 2 to 4 nos.: 10 marks
b) Between 5 to 8 nos.: 12 marks
c) Above 8 nos.: 15 marks
03 Years of Experience in conducting Internal Audit 30
of Central or State Autonomous Bodies with
annual income/receipts exceeding Rs. 15Crores:
a) Between 3 to 5 years: 15 marks
b) Above 5 years, up to 10 years: 20 marks
c) Above 10 years: 30 marks
04 Experience in Internal Audit of Central or State 30
Autonomous Educational Bodies:
a) Between 2 to 3 nos.: 15 marks
b) Above 3 nos., up to 5 nos.: 20 marks
c) Above 5 nos.: 30 marks
05 Average Annual Income (last three Financial 15
Years i.e. 2016-17 to 2018-19:
a) Between Rs. 15.00 Lakh to Rs. 25.00 Lakh:
10 marks
b) Above Rs. 25.00 Lakh, up to Rs. 50.00 Lakh:
12 marks
c) Above Rs. 50.00 Lakh:15 marks
Total 100
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Annexure-IV
Format for Experience
(On the Letter Head of the bidder)
Format for Experience in Autonomous Bodies/Statutory Bodies/Educational
Institution /PSU (Not including Banking Companies) on or after financial year 2014-
15.
Turnover of
No. of
Period for that period
Name of the Client Nature of Branches
Sl.No. which (FY)
/ Auditee Audit / Units
audited (Rs. in
audited
Lakhs)
Date:
Authorized Signatory
Place: (Signature and seal of the authorized signatory)
Page 17 of 18
ANNEXURE-V
SELFDECLARATIONNO BLACK LISTING
(On the Letter Head of the bidder)
To
The Registrar
Central University of Tamil Nadu,
Tiruvarur-610005
Sir,
In response to the selection of Internal Auditors for CUTN for the financial year
2019-20, I/We hereby declare that presently our Chartered Accountant /Cost
Accountant ...................is having unblemished record and is not declared
ineligible for corrupt & fraudulent practices either indefinitely or for a particular
period of time by any State/ Central Government/PSU/Autonomous Body.
We further declare that presently our firm..................is not black listed and not
declared ineligible for reasons other than corrupt & fraudulent practices by any
State/ Central Government/ PSU/ Autonomous Body on the date of Bid
Submission.
If this declaration is found to be incorrect then without prejudice to any other
action that may be taken, my/ our security may be forfeited in full and the tender if
any to the extent accepted may be cancelled.
Thankingyou,
Yoursfaithfully,
Date:
Authorized Signatory
Place: (Signature and seal of the authorized signatory)
Page 18 of 18
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