Fixed deposit receipts not treated as debentures; regulatory stance preserves deposit-raising practice pending evidence of abuse. After legal consultation, the department acknowledged doubt arising from the inclusive statutory definition but decided that, presently, a fixed deposit receipt should be regarded as a security and not as a debenture to avoid disrupting an established method of raising company finance, subject to reconsideration if widespread abuse is observed.
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Provisions expressly mentioned in the judgment/order text.
Fixed deposit receipts not treated as debentures; regulatory stance preserves deposit-raising practice pending evidence of abuse.
After legal consultation, the department acknowledged doubt arising from the inclusive statutory definition but decided that, presently, a fixed deposit receipt should be regarded as a security and not as a debenture to avoid disrupting an established method of raising company finance, subject to reconsideration if widespread abuse is observed.
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