New Delhi, 21 April 1967
In order to establish an exchange of Money Orders between India and Bhutan, the undersigned, duly authorised for that purpose
HAVE agreed upon the following articles :
There shall be a regular exchange of money orders between India and Bhutan. This exchange will not cover money orders
from Bhutan to third countries through India and vice-versa.
The money order business between the two countries shall be performed exclusively through offices of exchange communicating with each
other bymeans of lists, as explained below, the money orders being made out and forwarded to the payees by the office of exchange
of the country in which the orders are payable. The offices of exchange shall be, on the side of India, Calcutta and on the side
of Bhutan, Phuntsholing.
The amount of orders exchange in both directions shall be expressed in Indian currency. This Agreement is valid as long as Indian
currency is the legal tender in Bhutan.
The maximum amount for which a money order may be drawn in either country upon the other shall be Rupees 600 or such other amounts
as may be mutually agreed upon by the two Postal Administrations.
The money order shall be either for whole rupees or multiples of ten paise.
The manner and conditions of issuing money orders in either country shall be governed by the regulations in force for the time being
in the country of issue.
The Indian and Bhutanese Postal Administrations shall each have power to fix, from time to time, the rate of commission to be charged
on all money orders which they may respectively
Each country shall communicate to the other the regulations relating to the charges for money orders issued, in force for the time
Applications by remitters for the alteration or correction of the name of the payee shall be received under the regulations of the
country of issue, and forwarded to the country of payment for disposal under its regulations, accompanied by each information as
may be necessary for the identification of the particular orders referred to.
Applications by remitters for repayment of orders shall be received and forwarded in like manner, the repayment being made only under
the authority of the country of payment, and according to the regulations of the country of issue.
The manner and conditions of paying orders, including stoppage of payment, renewal or orders, issue of duplicate orders, and other
services affecting payment, shall be governed by the regulations in force for the time being in the country of payment.
The amount of money order not ultimately paid i.e. of orders, which become void under the regulations of the country of payment, shall
belong to the country of issue.
The country of issue which collects the money from remitters shall account to the country of payment for the total amount of the order
The two offices of exchange shall communicate to each other by each mail the particulars of money orders issued, by means of lists
in the annexed form FMO-1 and give all particulars for which provision is made in the form.
The particulars as to names shall include the surname and at least the initial of one Christian name, both of the remitter and of
the payee or the name of the firm or company who are the remitters or payees. The address of the payee must be given fully and precisely
as on it depends the determination by the receiving office of exchange of the office where the order shall be made payable.
Besides the particulars of money orders issued, the lists mentioned in Article 12 shall contain particulars of orders authorised to
be repaid to the remitters.
Blank lists shall be forwarded in case there shall be no money orders to communicate.
Should any list fail to be received in due course, the despatching office shall, on receiving information to that effect, transmit
without delay a duplicate thereof.
The lists despatched from each office of exchange shall be numbered consecutively, commencing with No. 1 for the first list of each
calendar year, and these numbers shall be termed the “List Numbers”.
The entries in the lists in respect of orders issued shall also bear consecutive numbers, commencing with No. 1 for each list, and
these numbers shall be termed the “International Numbers”.
Each list shall be accompanied by a transmitting letter of the form annexed, bearing the same number and date as the list. This transmitting
letter shall mention the number of applications forwarded from remitters affecting orders previously issued. It shall give information
respecting the disposal of similar applications received from the other office of exchange, and it shall contain an acknowledgement
of the list or lists received since the date of the previous letters.
Each list shall be carefully verified by the receiving office of exchange, and corrected when it contains simple errors, such corrections
being noted at the foot of the transmitting letter containing the acknowledgement of the receipt of the list.
If a list contains errors or irregularities which cannot be rectified without previous communication with the despatching office,
the receiving office shall, at the time of acknowledging the receipt request an explanation from the despatching office. This explanation
shall be given with as little delay as possible, and meantime the payment of orders dependent on the irregular entries shall be suspended.
As soon as the Indian office of exchange shall have received from Bhutan acknowledgements of the receipt of all the lists bearing
dates in any month, these lists, as well as the Bhutan lists bearing dates in the same months, shall be made the subject of a quarterly
account in the annexed Form FMO-10.
The account mentioned in Article 21 shall be based on the lists as corrected by the receiving office, any entries at the time under
suspension, pending explanation, being executed.
The account shall also include under the head of “Special items” any necessary adjustments of previous account (such as adjustments
on account of suspended entries) as well as any other items of account not otherwise provided for; a detailed statement of such special
items being annexed to the account, and the correspondence or other documents forming the authority for each special item being quoted
opposite to it in the statement.
The account mentioned in Article 21 shall be prepared by the office of the Director General, Posts & Telegraphs (DDA Section),
New Delhi, showing the balance of the lists exchanged during the quarters and two copies thereof forwarded to the Bhutanese Office
of Exchange. The Bhutan Office, shall, after verification, return one copy to the former office with their acceptance.
The actual payment will be made to the creditor Administration in the manner agreed to between the two Postal Administrations before
the expiry of six months following the quarters to which the account relates.
Each Administration shall have authority to suspend temporarily the exchange of money orders, in case the course of exchange or any
other circumstances shall give rise to abuses or cause detriment to the revenue.
For ordinary correspondence affecting the preparation, transmission, or correction of lists, accounts, etc, the offices of exchange
shall be the medium; but in matters involving questions other than detail, the offices of correspondence shall be the Director General
of Posts and Telegraphs, New Delhi, on the one hand, and the head of the Postal Department of the Government of Bhutan, on the other
The Department charged with the control of money orders in either country shall have authority to adopt any additional rules (if not,
repugnant to the foregoing) for the greater security against fraud or for the better working of the system generally. All such additional
rules, however, shall be communicated by the one Department to the other.
The present arrangement shall take effect on the 1st May 1967. It shall then continue in force until one year after the date at which
one of the contracting parties shall have notified the other of its intention to terminate it.
EXECUTED in duplicate and signed at New Delhi, this 21st day of April 1967.
For the Indian Posts and Telegraphs Department
Senior Member (Posts)
Posts and Telegraphs Board
and Ex-officio Additional Secretary
to the Government of India.
For the Postal Administration of Bhutan
DASHO TANJU JAGGAR
Chief Secretary, Bhutan
DASHO DAWA TSERING
Development Wing, Bhutan
Member, Royal Advisory Council
DURGA DASS LAMA
Member, Royal Advisory Council
List No. Despatched from
Dated the 19
I transmit to you herewith a list bearing the above mentioned number and date, containing a detailed statement of money orders payable
by your Department, and also to void orders, and of money orders drawn by your Department and now authorised to the repaid to the
I forward herewith, for disposal by you, applications, on each of which there has been noted :
1. A serial “Application No.” (which can be quoted by you in any reference thereto) ;
2. The No. and date of the list in which the order referred to was originally entered; and
3. The entry No. under which it was entered in the list.
Since the despatch of my last list, I have received your list, No............ dated................., which was found to be correct,
with the exception noted below.
To the Officer-in-Charge