2.1.2 Detailed Flow
-
First beneficiary of Export LC will be counterparty of Transfer LC with party type FBN.
-
New party type FBN-First beneficiary will be introduced. FBN will be applicable only for Transfer LCs. Appropriate error messages to be provided for other LCs.
-
Charges applicable for Transfer LC will be borne by first beneficiary. Charges include advice, amendment, cancel, close and reopen charges.
-
Advices of transfer LC will be sent to first beneficiary.
RTRA will be non-version creation event. Charges and tax will not be applicable. Outstanding Amount of export LC to be increased to the tune of OS amount of transfer LC Outstanding Liability of export LC to be increased to the tune of OS liability of transfer LC Available units in export LC to be increased to the tune of Available units of transfer LC Transferrable amount in Parent to be increased to the tune of available units * price per unit of transfer LC
Existing Functionality
| Existing Functionality | |
|---|---|
| Advise Export LC | |
| BEN(Counter Party) | 001043 |
| APP | 001044 |
| ISB | 001045 |
Table 2-1 Initiate Transfer
| Export LC (Parent) | Transfer LC (Child) | ||
|---|---|---|---|
| BEN | 001043 |
BEN (Counter Party) |
001046 |
| B00 | 001046 | APP | 001044 |
| APP | 001044 | ISB | 001045 |
| ISB | 001045 | -- | -- |
| 1. | First beneficiary of parent LC not available in child LC. |
| 2. | Charges of child LC is borne by second beneficiary. |
| 3. | Advices are sent to second beneficiary. |
Proposed Changes
| Proposed Changes | |
|---|---|
| Advise Export LC | |
| BEN(Counter Party) | 001043 |
| APP | 001044 |
| ISB | 001045 |
Table 2-2 Initiate Transfer
| Export LC (Parent) | Transfer LC (Child) | ||
|---|---|---|---|
| BEN | 001043 |
FBN (Counter Party) |
001043 |
| B00 | 001046 | BEN | 001043 |
| APP | 001044 | APP | 001044 |
| ISB | 001045 | ISB | 001045 |
| 1. | First beneficiary of parent LC will be counter party of child LC. |
| 2. | Charges of child LC is borne by first beneficiary (001043). |
| 3. | Advices to be sent to first beneficiary (001043). |
- Advice generation for Transfer LC:
Table 2-3 Advice generation for Transfer LC
Transfer LC Export LC Sl. No Life cycle Event Advice Party Type Event Advice Party Type 1. Transfer LC creation BADV TRNF TRANSFER_LC ABK, BEN -- -- -- -- -- TRNF TRANSFER_ORGBE N BEN 2. Transfer LC amendment without confirmation AMND AMD_IMP_CR FBN -- -- -- -- -- AMND LC_AM_INST_COPY FBN -- -- -- 3. Transfer LC amendment with confirmation – Initiation AMNV AMD_IMP_CR FBN -- -- -- -- -- AMNV LC_AM_INST_COPY FBN 4. Transfer LC amendment confirmation AMND LC_AMD_RESPOSNE FBN -- -- -- 5. Transfer LC amendment Rejection AREJ LC_AMD_RESPOSNE FBN -- -- -- 6. Transfer LC Cancellation without confirmation CANC LC_CANCEL_ADV FBN -- -- -- 7. Transfer LC Cancellation confirmation initiation AMNV LC_CANCEL_ADV FBN -- -- -- 8. Transfer LC Cancellation confirmation CANC LC_AMD_RESPOSNE FBN -- -- -- 9. Transfer LC Cancellation Rejection CANC LC_AMD_RESPOSNE FBN -- -- -- 10. Transfer LC Close CLOS LC_CLOSE_ADV FBN -- -- -- - Advice format
AMD_IMP_CR.txt
LC_AMD__COPY.txt
- Source Code and Source Reference Number for Transfer initiated from external
system OBTFPM:
- Source Reference Number to be populated with Process Reference Number fromOBTFPM. New tag <EXTREFNUM> introduced for the same in Transfer LC APIs.
- Source Code will be populated as OBTFPM for Transfer LC as per existingfunctionality
-
System will not allow to add, delete or modify first beneficiary during Transfer LC amendment/ Transfer LC Cancellation. Appropriate error will be provided.
-
New advice LC_AMD_RESPONSE introduced, in mail format, to be sent to first beneficiary during confirmation / rejection of Transfer LC amendment or cancellation with appropriate responsemessage.
LC_AMD_RESPONSE.FMT
- Above changes will be applicable for Islamic TransferLCs.
- Simulation and handoff APIs enhanced to support the same.