The Securities and Exchange Board of India (SEBI) on May 16, 2024, issued the Master Circular for Debenture Trustees.
The following has been stated namely: -
• The Master Circular has been issued for the effective regulation of the corporate bond market and to enable the Debenture Trustees and other market stakeholders to get access to all the applicable circulars at one place.
• This Master Circular is a compilation of the existing circulars as on May 16, 2024, with consequent changes.
• Debenture Trustees are directed to comply with the conditions laid down in this Master Circular and it is reiterated that Debenture Trustees shall have necessary systems and infrastructure in place for implementation of this circular
• The following has been stated in the Master Circular namely: -
o Terms of Registration
o Due Diligence by Debenture Trustees
o Security and Covenant Monitoring System
o Recovery Expenses Fund
[Notification No. SEBI/HO/DDHS-PoD3/P/CIR/2023/46]
