MP channel business gets trade reformation

Seeing the gravity of cheque-bouncing incidents that are
continuously eroding channel business ethics, the Madhya Pradesh Telecom and
Computer Traders Association (MPTCA) has brought in reformation in the channel
community's trade practices. The new trade practices, which have been
implemented through MPTCTA, have come into practice from the start of new
financial year.

DHARMENDRA JAIN: MPTCA has come forward to promote fair business amongst members

Under this initiative the association has laid down certain
rules and regulation for its members. If they fail to adhere to it, they will be
liable to pay some penalties. Divulging more details on trade reform Dharmendra
Jain, President MPTCTA said, "It's not for the first time that our
association has come forward to promote fair business amongst our members. In
fact, we always vouch for transparency. We have been trying to put forth this
business reformation agenda since long. But since our approach was not accurate
we failed in its implementation."

This time around, the association has approached the right
people like regional and sub-distributors of the area who have sizeable impact
on the overall channel business. This should ensure the success of their
endeavors to bring some modicum of transparency in the channel activities.

Some significant points of the Indore trade reformation
circular are:

Payments against bounced cheques should be made immediately with penalty,
failing which delayed payment charges would be imposed on defaulters ranging
from Rs 50, Rs 100 to Rs 200 per day, depending upon the cheque amount; Every
weekend all sub-distributors and regional distributors of the area will compile
data of defaulters and a copy of this will be distributed amongst dealers every
Monday; All transactions and dealing amongst regional distributors,
sub-distributors, retailers and resellers will be done on post-dated cheques;
Any cheque bounce will attract a penalty of Rs 1,000; On failure to produce a
PDC against delivery, the purchaser will be responsible for sending the same to
the supplier within the next working day. Otherwise the buyer is liable to pay a
penalty of Rs 50 to 100, per cheque.

ANJALI CHOUDHARY