SEBI has constituted an Expert Working Group to review the extant regulatory framework applicable for Debenture Trusteeship activities and other incidental matters, as announced via press release dated June 30, 2026. The group is tasked with evaluating current rules and recommending revisions to the regulatory framework governing debenture trustees.
What Changed
The Securities and Exchange Board of India (SEBI) has formally established an Expert Working Group to conduct a comprehensive review of the regulatory framework for debenture trusteeship. This includes all incidental matters related to the role, responsibilities, and compliance obligations of debenture trustees. No specific amendments have been issued yet — this is the initial step toward potential rule changes.
Who Is Affected
- Debenture Trustees: All registered debenture trustees operating in Indian securities markets.
- Issuers: Companies issuing debentures that rely on trustees for compliance and investor protection.
- Market Intermediaries: Entities involved in debt capital markets, including depositories, rating agencies, and legal advisors.
- Investors: Debenture holders who depend on trustee oversight for timely disclosures and enforcement of covenants.
Operational Impact
The working group’s review may lead to changes in the SEBI (Debenture Trustees) Regulations, disclosure requirements, due diligence standards, and conflict-of-interest rules. Affected entities should track the working group’s findings and subsequent SEBI circulars for specific compliance updates. Until the review concludes, existing obligations under the current regulatory framework remain in force.
Next Steps
Compliance teams and legal advisors should remain alert for consultation papers or discussion drafts that SEBI may release following the working group’s deliberations. No stakeholder submissions deadline has been announced yet.
Source: Constitution of an Expert Working Group on review of extant regulatory framework applicable for Debenture Trusteeship activities and other incidental matters
Domain: sebi.gov.in
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