SEBI extends compliance deadline for debenture trustees

The Securities and Exchange Board of India (SEBI) has extended the deadline for debenture trustees to comply with regulations regarding activities conducted outside their SEBI-regulated scope. Under Regulation 9C, introduced in 2025, trustees are required to transfer non-regulated activities to separate business units (SBUs).

Following industry feedback regarding operational challenges in establishing necessary systems and processes, SEBI has granted an extension. While a previous extension had moved the deadline to October 2026, the new deadline for compliance is now April 27, 2027. This decision follows a comprehensive review by an Expert Working Group constituted in June 2026 to examine the regulatory framework for debenture trusteeship.