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<h1>Lead managers must avoid fraud in debt securities issuance and ensure 100% security cover for principal and interest.</h1> The lead manager must not engage in fraudulent activities related to the issuance, subscription, or distribution of debt securities and non-convertible redeemable preference shares intended for listing on a recognized stock exchange. They must ensure that secured debt securities have a security cover of at least 100% or higher, as specified in the offer document or Debenture Trust Deed, to cover the principal and interest. Additionally, the lead manager is responsible for ensuring the issuer pays extra interest if there is a failure to allot these securities as per the regulations.