The Securities Exchange Board of India (SEBI) on April 30, 2026, notified regarding the Fast-Track Mechanism for Processing of Placement Memorandum of AIFs filed with SEBI.
The following has been stated:
• The SEBI has introduced a fast-track mechanism for processing Private Placement Memorandums (PPMs) of Alternative Investment Funds (AIFs) to improve ease of doing business and enable quicker fund launches. Under the revised framework, Angel Funds and other non-LVF AIF schemes can launch their schemes and circulate PPMs after 30 days of filing with SEBI (or from registration date for first schemes), without waiting for prior approval, though any SEBI comments must be complied with.
• The first close must be achieved within 12 months of eligibility to launch. The responsibility for accuracy and completeness of disclosures is placed on the Merchant Banker and AIF Manager, and detailed filing requirements (including due diligence certificates, declarations, and PAN details) are prescribed.
• Mandatory disclaimers clarify that SEBI does not approve PPMs and is not responsible for disclosures. Any lapses or misstatements may attract regulatory action, while other provisions of the existing AIF Master Circular remain unchanged.
[Notification no. - HO/19/19/11(2)2026-AFD-RAC2 I/10624/2026]
