BEST to join SBI for fundraising

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The management committee of the Brihanmumbai Electricity Supply and Transport (BEST) company approved a contract with the State Bank of India (SBI) for the regular withdrawal of money from various BEST depots and bus stations and the distribution of wages to employees BEST. Currently, BEST earns around 2 crore rupees regularly through ticket sales. The company signs a memorandum of understanding with a bank, which regularly withdraws cash from deposits and deposits it into their account.

Previously, BEST had the same contract with another private bank, however BEST committee chairman Praveen Shinde said that the previous bank had stopped withdrawing money from BEST deposits, amid the pandemic outbreak.

“Since the previous bank stopped lifting the cash lockdown after the lockdown, BEST employees have been managing the finances keeping track of daily income since then,” Shinde told the FPJ.

According to members of the BEST committee, the company regularly generates around Rs 7 lakh in the form of coins which ultimately accumulates between Rs 1.5 crore and Rs 2 crore in coins each month. To date, BEST employees would receive a portion of their pay in coins, as most of the company’s transactions are done in coins.

Now that a new bank has been set up, BEST employees will now have their salaries credited to their bank accounts. Senior committee member Sunil Ganacharya said that BEST had launched its bid three times, however, no bank came forward for the tender.

“The proposed contract with SBI has been on hold for a long time and the new contract will be concluded maintaining the same terms and conditions that BEST had with previous banks,” Ganacharya told FPJ.

However, during the meeting, Ganacharya pointed out a number of issues and urged BEST management to consider reformulating the policy.

“There must be a policy regarding counterfeit and forged banknotes in the contract, because if the bank does not take responsibility for evaluating the tickets, drivers can fall prey to management policies,” Ganacharya said. , he also urged the best management not to sign a long-term contract and start with a one-year contract instead, on a pilot basis.

Committee members also pointed out that there are a total of 170 cash collection points in the BEST, including all depots and bus stations, but the new contract states that the new bank will collect cash from only 100 depots.

“The members have given their opinion on the matter, management will evaluate them and may submit them to the committee for further evaluation if necessary,” said Shinde.


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