Securities and Exchange Board of India (SEBI) vide notification / Circular No. SEBI/HO/MIRSD/CRADT/CIR/P/2021/597 dated 20th July 2021, has introduced 'Relaxation in timelines for compliance with regulatory requirements by Debenture Trustees due to Covid-19' in exercise of power conferred under Section 11 (1) of the Securities and Exchange Board of India Act, 1992 read with the provisions of Regulation 2A of the Securities and Exchange Board of India (Debenture Trustees) Regulations, 1993.
The Circular was addressed to
- All Debenture Trustees registered with SEBI
- All Recognized Stock Exchange
Need of the Circular
To protect the interest of investors in securities and to promote the development of, and to regulate, the securities market SEBI has provided Relaxation in timelines for compliance with regulatory requirements by Debenture Trustees due to Covid-19 pandemic. Debenture Trustees expressed the challenges faced in complying with the requirements within the applicable timelines due to the difficulty in information sharing, limited functioning of the various offices and travelling restrictions and imposition of lock down in most states due to Covid-19
Previous Relaxations
SEBI had earlier provided relaxations in timelines for compliance with certain regulatory provisions of SEBI Circular No. SEBI/HO/MIRSD/CRADT/CIR/ P/2020/230 dated November 12, 2020 vide Circular no. SEBI/HO/MIRSD/CRADT/CIR/P/2021/561 dated May 03, 2021.
SEBI Relaxations
SEBI has decided to extend the timelines for compliance with the following regulatory requirements of the SEBI circular dated November 12, 2020 for the quarter/ half year/ year ending March 31, 2021, as under:
|
S. No. |
Regulatory requirements of SEBI circular dated November 12, 2020 |
Current timeline |
Extended Timeline |
|
|
1. |
Submission of reports/ certifications to Stock Exchanges as per clause 2.1 of the circular |
July 15, 2021 |
||
|
a. |
Asset Cover Certificate |
August 31, 2021 |
||
|
b. |
A statement of value of pledged securities |
August 31, 2021 |
||
|
c. |
A statement of value for Debt Service Reserve Account (DSRA) or any other form of security offered |
August 31, 2021 |
||
|
d. |
Net worth certificate of guarantor (secured by way of personal guarantee) |
October 31, 2021 |
||
|
e. |
Financials/ value of guarantor prepared on basis of audited financial statement etc. of the guarantor (secured by way of corporate guarantee) |
October 31, 2021 |
||
|
f. |
Valuation report and title search report for the immovable/ movable assets, as applicable. |
October 31, 2021 |
||
|
2. |
Following disclosures on the website as per clause 4 of circular:
|
July 15, 2021 |
August 31, 2021 |
|
Link: Click Here
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