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Corporate Laws Central Ministry of Finance Securities and Exchange Board of India Act, 1992

Introduction of Security and Covenant Monitoring System

13-Aug-2021 | SEBI/HO/MIRSD/MIRSD_CRADT/CIR/P/2021/618

In order to strengthen the process of security creation, monitoring of security created, monitoring of asset cover and covenants of the non-convertible securities, a working group comprising of officials from SEBI, Depositories, Stock Exchanges and Trustees Association of India (TAI) was constituted by SEBI. Based on the recommendations of the working group, a platform for Security and Covenant Monitoring System, hosted by Depositories shall be developed.

Accordingly, the role and responsibilities of various stakeholders in the system have been defined as per the attached circular.

The above system shall come into effect from April 01, 2022.

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