AGREEMENT DEED

This agreement made on 20th day of August 2002,

between
A. Ehsal Ilahi Industries (Pvt.) Ltd., 61-Industrial Estate,
Multan (hereinafter called the “COMPANY” which
expression, where the contract so admits, includes the
persons deriving title under it) party of the ONE PART;
AND
B. Muhammad Nawaz S/o Ahmad Ali, R/o Chak No.
38/G.B, Tehsil Jaranwala, District Faisalabad (hereinafter
called the “CONTRACTOR” which expression where
the contract so admits includes the person deriving the
title under him) party of the OTHER PART.
Now therefore, this agreement witnesses as follows: -
1. That the contractor will take operation of the Cone
Winding Section of the company on a contract basis.
2. That the contractor will be responsible for maintaining
full account of his employees as required under Labour
Laws and other statutory acts in force or enforced from
time to time and company shall not interfere in the
supervision by the contractor of his employees.
3. That the rate of execution of the contract shall be as
under and which can be changed after mutual agreement.
Rate @ Rs. 2.75 per cone of 38 (PC).
4. That the payment will be made at the rate stipulated in
para 3 above.
5. That the contractor will maintain the full manpower
strength to meet the required jobs in the department.
6. That the company whenever, stops the working of this
section wholly or partially due to any reason beyond the
control of the management for any period or periods
without notice, contractor will be paid an amount equal
to one half of daily wages of his workers during the first
fourteen days of lay-off as compensation. However, when
the lay-off is for any indefinite period beyond the first
fourteen days, it will be the discretion of contractor to
hold or terminate his labour as he deems fit.
7. That the contractor only shall be responsible for all his
dues including wages allowances, notice pay, gratuity,
old age benefit scheme, worker education cess, Social
Security Contribution, bonus, leaves, insurance against
hazards (if any) under the current/future labour laws. The
company shall not be responsible for the same.
8. That the contractor is solely responsible for accident, or
any loss to the workers employee on the work by him and
the contractor shall pay compensation payable under the
law. The contractor shall not allow his workers to
interfere with the company’s worker. Any damage other
than normal running caused by contractor’s worker i.e.
breakage of parts, mishandling of machine etc. for any
reason whatsoever shall be set right by the contractor at
his own risk and costs.
9. That the contractor will submit his bills for payment on
the basis of physical weight received by the company and
is received by the company shall be considered final.
However, if contractor so wishes he may have his
representative posted at Cone winding section to
authenticate weight received. Moreover, company will
make payment of the bill submitted by the contractor
within one week from the submission of such bills after
proper checking/scrutiny.
10. That in order to have proper quality control, the company
will maintain its own quality department. The reports
prepared by quality department should be signed by the
contractor as an evidence of acceptance of the quality
checked and reported. The management shall have the
right to impose penalty equivalent to the actual loss
caused by such defective production and shall recover the
same from the contractor’s bill.
11. That the company will maintain necessary general
maintenance staff for heavy break down at each of the
section i.e. Cone Winding and company will have the
right to do any maintenance work in any manner as
company feels best.
However, the contractor will be responsible to keep
necessary technical staff to run machinery efficiently
during production. The contractor will also ensure that
the cleaning of section is maintained to a reasonable
extent.
12. That the company, if not satisfied with the operation of
the contractor or quality of production, or percentage of
waste or maintaining and handling of the machinery
during running, the company can terminate the contract
earlier without assigning any reason and the contractor
will have no objection whatsoever against such
termination of contract.
13. That the contractor undertakes to keep the company
indemnified and to save the company harmless for loss
occasioned to the company by reason of the contractor
failing to discharge his liabilities to his employees to
other statutory liabilities that are related to the
 employment of the contractor’s employees engaged to
execute the works herein contracted.
14. That this contract will be for a period of eight months
commencing from 20th August, 2002 to 19th of April,
2003. The contract can be terminated by giving one (1)
month’s notice, by either side and the contract can be
renewed after eight months by mutual consent.
15. That if the contractor damages the image of the company
by his action or deeds the company has reserve the right
to cancel his contract immediately without giving any
notice.
16. That the contractor will take prior permission to do
similar work with a similar industry, failing which the
company has the right to terminate the contract without
prior notice.
In witness whereof the parties have set their respective hands
for the deed on the day and year mentioned first.

Occupier Contractor

ATEEQ-UR-REHMAN MUHAMMAD
NAWAZ
Director, S/o Ahmad Ali, R/o Chak
Ehsan Ilahi Industries (Pvt.) Ltd. No. 38/G-B, Tehsil Jaran
Wala, Distt. Faisalabad.

Witnesses: -
1. Name: MOHAMMAD KHALIL
Address: 18-Q-Z, Multan.
N.I.C. No. 323-50-051323
_______________

2. Name: NASIR ALI

Address: Chiwand P.O. same Tehsil Wazir Abad,
District Gojranwala.
N.I.C. No. 288-94-308094
_______________
Mr. Syed Sakhawat Ali Shah
S/o Syed Imran Ali Shah,
Proprietor of M/s Skahawat Shah & Co.
Bastee Khudadad Colony,
Multan.

Subject: - TERMINATION OF CONTRACT.

Dear Sir,

We have been informed that your

operation regarding contract is not satisfactory
and you have not been able to handle the
production and quality properly. We are, therefore,
not in a position to continue this contract for any
further period. We regretfully terminate the
contract deed signed between, the parties on
.

You should settle your full and final

accounts and ensure us that you have paid all the
Govt. due pertaining to Contribution, Education
Cess and fulfilled other liabilities towards your
employees as un independent contractor.

Kindly acknowledge the receipt of this

letter by the return of post.

Yours Sincerely,

for PAKISTAN POLYPROPYLENE PACKAGES

LTD.

FACTORY MANAGER