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<h1>Issuers Must Meet SEBI Regulations for Municipal Debt Securities: Eligibility, No Defaults, Compliance Required</h1> Issuers seeking to issue municipal debt securities under the SEBI regulations must meet specific criteria. These include eligibility to raise funds under their constitutional documents and adherence to prescribed accounting standards. Issuers must not have defaulted on debt repayments in the past year, and there should be no active prohibitions or debarments by SEBI against them or their affiliates. Additionally, issuers and their directors must not be listed as willful defaulters or declared as fugitive economic offenders. If the issuer is a corporate entity or a Special Purpose Vehicle, certain compliance requirements apply to the financed entity.