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SEBI: Enhanced disclosure in case of listed debt securities

SEBI vide its circular SEBI/HO/MIRSD/DOS3/CIR/P/2019/68 dated 27th May, 2019, in order to secure investor’s interest and enhance transparency, has issued following guidelines for amendment to existing regulatory framework for Debenture Trustees (DT):

  1. DTs shall disclose the nature of compensation arrangement with its clients on their websites
  2. DTs shall display on their website the ISIN wise details of interest/ redemption due to the debenture holders within 5 working days of start of financial year
  3. DTs shall also update the status of payment ISIN-wise against such issuers not later than 1 day from the due date
  4. RTA / Issuers shall henceforth forward the details of debenture holders to the DT at the time of allotment and thereafter by the seventh working day of every next month
  5. In privately placed issues, additional Covenants as to additional interest for delayed payment of interest/principal amount and for delayed listing of debt securities shall be included in Summary Term Sheet

For detailed content, refer the attached circular-

SEBI_Disclosure

 

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