The Securities and Exchange Board of India (SEBI) on November 25, 2025, issued a circular regarding modifications to Chapter IV of the Master Circular for Debenture Trustees (Recovery Expense Fund).
The following has been stated: -
•SEBI has amended Chapter IV of the DT Master Circular to clearly define the purposes for which the Recovery Expense Fund (REF) can be utilized.
•REF may now be used for all enforcement and legal proceedings-related activities without prior debenture holder approval when covered under the specified list.
•The designated stock exchange must release REF amounts within five working days upon DT intimation and verification.
•Other provisions of Chapter IV remain unchanged, and the circular takes immediate effect.
The detailed circular is given in the document below.
[Circular No.: HO/17/11/12(3)2025-DDHS-POD1/I/145/2025]
