WF-06 — PDC Lifecycle
Post-dated cheque recorded → custody → reminders → deposit → clear/return → journal & AR update, with status evidence and due-date controls at every step. Owner: Treasury — Fatima Rashid · workflow definition v1.9 · effective 01 Apr 2026.
WF-06
FIN-05
PDCs in custody
86
Face value AED 9,412,750.00
Due next 7 days
12
AED 1,184,500.00 · deposit list drafted
Returned (last 90d)
4
▼ 1.6% return rate · 3 replaced
Awaiting replacement
1
Falcon Trading FZ-LLC · escalated
Custody audit
30 Jun
Vault count matched register Clean
Process map — happy pathPublished v1.9Simulated 28 Mar 2026 · pass
Cheque recorded (deal / lease payment plan)→
Details verified vs schedule→
Custody — vault register + location→
Reminders (customer & treasury)→
Deposit release (due-date control)→
Bank presentation→
Cleared→
Journal posted · AR allocated
Cheque statuses: recorded → in custody → scheduled → deposited → cleared | returned → replaced / cancelled. Every status change carries evidence (who, when, location or bank reference) and is visible on the PDC diary; deposits before due date are blocked by the due-date control.
Exception paths4 defined
Bank presentation→
Returned — insufficient funds / signature mismatch→
Reverse receipt · AR reopened · fee applied→
Collection escalation — replacement demanded
Customer requests swap→
Manager approval + reason→
Old cheque returned to customer against receipt→
Replacement recorded — new lifecycle starts
Deal cancelled / restructured→
Cancellation approval (Finance Manager)→
Cheque voided — custody exit evidence retained
Replacement overdue > 5 bd→
Dunning + legal notice draft→
Escalated to Legal — Mariam Al Suwaidi
Owner & definition (§8.3 standard)WF-06 v1.9
- Owner
- Treasury — Fatima Rashid (custodian: Daniel Chen)
- Version
- v1.9 · published 01 Apr 2026 by Vikram Nair (Config Admin)
- Trigger
- Post-dated cheque recorded against a deal, lease or invoice payment schedule
- Preconditions
- Payment schedule exists · payer party verified · cheque details (bank, number, date, amount) match schedule line · physical custody confirmed
- States
- recorded · in custody · scheduled · deposited · cleared · returned · replaced · cancelled
- Terminal outcomes
- Cleared — AR allocated Replaced Cancelled Returned — unresolved
- Required evidence
- Cheque image (front/back), custody register entry with vault location, deposit slip, bank clearing/return advice, journal reference, return reason code
- Policy snapshot
- Deposit-release and cancellation authorities resolve from snapshot at recording; due-date control is a named legal re-evaluation rule (always current)
Controls (Table 14, expanded)Audit explorer
| Control | Enforcement point | Evidence retained |
|---|---|---|
| Status evidence | Every transition | Actor, timestamp, location/bank reference; no status change without evidence |
| Due-date control | Deposit release gate | Deposit blocked before cheque date; early presentation requires customer consent record |
| Custody register | Custody / exit | Vault location V-DXB-01 shelf ref; monthly physical count vs register |
| Dual control on exit | Withdrawal for deposit / return | Custodian + supervisor sign-off; courier manifest for bank runs |
| Return handling | Return event | Reason code, receipt reversal journal, AR reopened, bounce fee per policy |
| Replacement approval | Swap request | Manager approval, reason, old-cheque handover receipt signed by customer |
| AR traceability | Clearing | Receipt allocation to invoice/deal in receipts & allocation |
Exception paths & recoveryReasons mandatory
| Exception | Detection | Recovery | Owner |
|---|---|---|---|
| Returned cheque | Bank return advice (e.g. code 01 insufficient funds) | Reverse receipt, reopen AR, apply fee, demand replacement within 5 bd; rescreen payer if repeated | Treasury + collections |
| Replacement request | Customer swap request before due date | Manager approval → controlled handover → record new cheque; schedule updated | Fatima Rashid |
| Cancellation | Deal cancelled / restructured | Void with approval; custody-exit evidence; payment schedule re-issued | Finance Manager |
| Escalation | Replacement overdue > 5 bd | Dunning sequence → legal notice via correspondence → case to Legal | Mariam Al Suwaidi |
| Custody mismatch | Monthly vault count vs register | Immediate investigation, incident record, auditor notified (Grace Okafor) | Treasury + Audit |
Timers & escalation (§8.3)Business calendar: UAE · Mon–Fri
| Timer | Warning | Breach | Escalation |
|---|---|---|---|
| Customer reminder | −7d | — | SMS/email reminder of upcoming cheque date |
| Deposit preparation | −3d | −1d | Treasury deposit list → custodian task in work queue |
| Clearing confirmation | 2 bd | 4 bd | Chase bank advice; unconfirmed → recon exception |
| Replacement due | 3 bd | 5 bd | Collections call → dunning → Legal escalation |
| Return journal posting | same day | 1 bd | Finance Manager notified; AR aging corrected |
Due-date and return analytics: RPT-14 PDC Diary & Returns · AR impact: RPT-12 AR Aging & Collections.
Screens involved4 screens
| Step | Screen | Primary role |
|---|---|---|
| Record · custody · schedule · status | PDC Diary | Treasury custodian |
| Clearing → receipt allocation | Receipts & Allocation | Accountant |
| Return reversal journal | Journal Editor | Accountant |
| Bank statement match | Bank Reconciliation | Treasury |
Worked instance — Amina Noor · payment plan PS-0142PDC 2 of 4 cleared
- 20 May 2026 11:20Trigger — 4 PDCs recorded
- 20 May 2026 11:35Custody confirmed
- 08 Jun 2026 09:00Reminder cycle — cheque 000451 (due 15 Jun)
- 15 Jun 2026 10:12Deposited on due date
- 17 Jun 2026 08:30Cleared · journal · AR allocated
- 08 Jul 2026 09:00Reminder cycle — cheque 000452 (due 15 Jul)
- 17 Jul 2026 14:00Current state
Static render mockup — no live data. Source: ERP Modern Development Specification v2.0 (§8.2 Table 14, §8.3, FIN-05) · Covers: WF-06, FIN-05.