Obligations of trustees

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

..... ^1[(3) A trustee shall,- (a) supervise the implementation of the covenants regarding creation of security for the securitised debt instruments; (b) do such acts as are necessary in the event the security becomes enforceable and supervise the enforcement of the security in the interest of the investors; (c) carry out such acts as are necessary for resolving the grievances of the investors and for the protection of interest of the investors; ensure on a continuous basis that the trust property of a particular scheme/tranche is available at all times to pay the securitised debt instruments holders of that particular scheme/tranche; (e) exercise due diligence to ensure compliance by the originators, with....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ument; ^7[(l) call a meeting of all the investors on- (i) a requisition in writing signed by at least one-tenth of the investors in value for the time being outstanding; or (ii) the happening of any event, which constitutes a servicer default or breach of covenants as specified in the trust deed or transaction documents, or which in the opinion of the trustee affects the interest of the investors;] ^8[(la) call a meeting of the investors, if required in the opinion of the trustee; (lb) call and conduct the meeting of investors in such manner as may be specified by the Board from time to time, subject to the following conditions: (a) in order to facilitate wider participation and collecti....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ee under any of the applicable regulations] or any material change in financial position ^10[of the trustee] which may adversely affect the interests of investors is promptly informed to the investors; (o) not relinquish responsibility as trustee in respect of the issue, unless and until another trustee is appointed in its place; (p) have necessary infrastructure to discharge its duties including the following: (i) collecting information and reports from servicers/originator; (ii) generating cash flow reports, payment reports and meet all reporting requirements required under the Board's or Reserve Bank of India's guidelines/circulars; (iii) recording investor information; (iv) e....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....f the regulated activities carried on by the special purpose distinct entity.]     ************* NOTES:- 1. Inserted vide Notification No. SEBI-NRO/OIAE/GN/2015-16/001 dated 09-04-2015 2. Inserted vide Notification No. SEBI/LAD-NRO/GN/2023/146 dated 16-08-2023 3.  Inserted vide F. No. SEBI/LAD-NRO/GN/2025/247 dated 05-05-2025 4.  Substituted vide F. No. SEBI/LAD-NRO/GN/2025/247 dated 05-05-2025 before it was read as, "take appropriate measures for protecting the interest of the investors including informing" 5.  Substituted vide F. No. SEBI/LAD-NRO/GN/2025/247 dated 05-05-2025 before it was read as, "thereof" 6.  ....