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

Resources for Trustees of Mutual Funds

26-Jul-2023 | SEBI/HO/IMD/IMD-I-PoD1/P/CIR/2023/126

The Securities and Exchange Board of India (SEBI) has issued a Circular regarding modifications in the Half Yearly Trustee Report provided by the Trustees of Mutual Funds, effective from 26th July 2023.

As part of the modifications, two specific comments in the Half Yearly Trustee Report have been revised as follows:

1. Comment no. 72 has been modified to address compliance with the requirement of standing arrangements with independent firms for special purpose audits and/or seeking legal advice on any other matter the trustees would like to report to SEBI.
2. Comment no. 73 has been added to allow the trustees to report any other matters they deem necessary to inform SEBI about.

Note: As per para 6.8.2 of the Master Circular on Mutual Funds (No. SEBI/HO/IMD/IMD-PoD-1/P/CIR/2023/74) dated May 19, 2023 ("Master Circular"), the Trustees must establish standing arrangements with independent firms for special purpose audits and/or legal advice as needed. The existence of such arrangements should be continuously confirmed by the Trustees in the Half Yearly Trustee Reports submitted to SEBI.

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