To: BNP Paribas acting through its Hong Kong Branch
Trade Services, 6/F Lincoln House,
Taikoo Place, 979 King’s Road,
Quarry Bay,Hong Kong. Hong Kong,
Dear Sirs,
PACKING LOAN APPLICATION FORM
We, the beneficiary of the below described Letter of Credit (L/C), hereby lodge the said L/C with you (enclosed herein) and request you to grant us a loan of $ which said loan is repayable by us not later than the day of together with interest thereon at the interest rate subject to and in accordance with the prevailing terms and conditions set out in the facility letter entered into between the bank and us. It is agreed by you that this loan and interest thereon is to be repaid by us out of, inter alia, the proceeds of:-
- Letter of Credit No. _ opened in our favour by (Issuing Bank) , or
but without prejudice to your right to recover the amount thereof and all interest on due repayment date from us whether or not the said Letter of Credit shall have been negotiated, the said merchandise shall have been sold or any other circumstance whatsoever. It is further agreed that the goods or merchandise which are or become the subject of any Letter of Credit, Godown Warrant or other document of title referred to above will be held by usor, alternatively, that all documents of title relating thereto will be deposited with us immediately they become available and, in either case, the goods or merchandise or the documents of title shall, to the extent of your interest therein, be subject to the above facility letter.
We hereby convey the entire ownership of such goods to you, your full lien on which is hereby acknowledged, and engage ourselves to act as your agent in dealing with and shipping such goods with all the necessary shipping documents in strict compliance with the terms and conditions of the above stated L/C to you as soon as received but not later than the expiry date prescribed in the L/C.
We undertake to keep the said goods fully insured against all risks and to hand you the original relative policies as you may require.
We undertake to deliver all future amendments of the L/C to you immediately upon receipt by us and agree that, subject always to your overriding right of demand. If no shipment is made or any amendment extending the shipment date is not accepted by you, you shall have the right to demand repayment of any such advance made and you are hereby authorized to debit our cash account in respect thereof without prior notice to us.
We promise and agree that this loan shall be applied to no other purpose but for the payment of the acquiring / manufacturing of the goods mentioned in the L/C as well as for freight, insurance and other shipping related charges thereof.
We represent and warrant that the underlying trade transaction and any financing contemplated herein are not in any way related or connected with any sanctioned person or country, and would not result in a violation of any economic or trade sanctions or restrictive measures enacted, administered, imposed or enforced by the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC), the U.S. Department of State, the United Nations Security Council, the European Union and/or any other relevant sanctions authority (“Sanctions”).We further undertake that no amounts due under or in connection with the underlying invoice will be used, lent, contributed or otherwise made available to any person in any manner that would result in the violation of any Sanctions.
TERMS AND CONDITIONS
We further agree to give you, as continuing security for payment of all sums for which we may be indebted to you hereunder, a pledge over all the goods represented thereby (“Goods”), which have been or will be delivered into you or your agent’s possession or control and that any security created over our existing or future property may be utilized for the discharge of any liability arising hereunder. For such purpose you may sell or dispose of all or part of the Goods or related documents as you think fit if and whenever you consider it desirable whether or not any contingent or other liability has matured. You may execute or do, or cause to be executed or done any document or thing for preserving or protecting your rights or selling, disposing of or dealing in the Goods. You will not be liable for the default of any person employed to sell or dispose of the Goods or for the price obtained. Any rights conferred to you at law and in equity shall not be prejudiced or limited in any manner whatsoever.
Without prejudice to any of your rights under law or agreement or otherwise, we also irrevocably authorise you at your sole discretion to debit our account in respect of any amount owing to you, as well as any interest, charges and expenses and generally to set-off any of our liabilities against credit balances in any bank account held in our name by you or any of your branches, agents, successors and/or assigns and for this purpose, we authorize you to effect such currency conversion you may deem fit at your prevailing rate of exchange and we hereby undertake, on demand, to increase the amount standing to the credit of any such account as may be required.
We represent and warrant that all Goods and proceeds thereof are and shall not be subject to any lien, charge or other encumbrance in favour of any other person.
The Goods may at the discretion of you, your correspondent or agent be landed, cleared through customs, transported, warehoused, stored and insured at our expense. The Goods shall be dealt with in accordance with such instructions as you may give and you may take whatever action you may consider appropriate to protect your interest, without obligation to do so. We shall keep the Goods fully insured as you may require.
We hereby irrevocably and unconditionally undertake and agree to indemnify you, your successors and assigns in full and at all times to keep you fully and completely indemnified from and against all liability, claims, demands and actions, proceedings, losses and expenses whatsoever, including but not limited to legal costs as between solicitor and own client, and all other liabilities of whatsoever nature and description which may be made or taken or incurred or suffered by you in relation to this transaction and any Goods.
This letter shall be governed by and construed in accordance with the laws of Hong Kong and we hereby submit to the non-exclusive jurisdiction of the courts of Hong Kong. No person who is not a party to this letter has any right under the Contracts (Rights of Third Parties) Ordinance (Cap 623) to enforce any term of this letter.
Yours faithfully
………………………………………………
Authorised Signature(s) with Company chop
BNP PARIBAS – S.A. au capital de 2 491 915 350 euros - Immatriculée sous le n° 662 042 449 RCS Paris - Identifiant C.E FR76662042449
Siège social : 16, boulevard des Italiens, 75009 Paris - ORIAS n° 07 022 735 –
OD 9288 HK 00 (3,000) AD