CMDA takes steps to prevent frauds

02 Jun 2009 00:00 IST

New Update

Computers and Media Dealers Association (CMDA), Pune recently conducted its
third annual meeting for distributors. The meeting was attended by 23 regional
and national distributors, and the association claimed that it received a very
positive response from the participants.

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At the meet, the works done during previous meetings were revised. This was
followed by creating a new agenda.

On the agenda

Blank cheque policy: Continue collecting security cheques instead of
blank cheques
Auto reversal: Continue informing channel partners before doing any
auto-reversal for material billed ex-warehouse and not collected
Third-party deliveries: Need to do away with third party deliveries
Standardization of finance charges: Members to work towards avoiding
delay/defaults on payment terms
Code of conduct for operation of distributor accounts: All distis to
tally dealer accounts every quarter. No third-party cheques will be
accepted for operation

Post last year's meeting, distributors had been following the practice of not
collecting blank cheques, and were requested to continue doing so. Instead,
security cheques are now being collected along with a letter, with an agreement
in principal not to deposit the same unless in the rarest of circumstances.

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To ensure that all the points on the agenda are implemented, Karkhanis will
be following up with distributors on a regular basis, with the help of Nahar.