Debenture trustee
Also known as: DT
Definition
A debenture trustee is a trustee appointed in respect of an issue of debentures of a body corporate. It must be registered with SEBI and acts for debenture holders, monitoring the issuer's security, covenants and payments.
More about Debenture trustee
The SEBI (Debenture Trustees) Regulations, 1993 define a debenture trustee and list its duties, including calling for periodical reports from the issuer, communicating defaults to debenture holders and ensuring the issuer's assets are sufficient to discharge interest and principal [1].
SEBI's Master Circular for Debenture Trustees consolidates the operating framework: due diligence, the Security and Covenant Monitoring System, the recovery expense fund, security cover certificates, disclosures and default handling [2].
How this relates to LCode Technologies
LCode Technologies' RTMS is trustee management software that supports debenture trustee, security trustee, escrow trustee, lenders' agent and share pledge trustee services.
Frequently asked questions
What is the difference between a debenture trustee and a security trustee?
A debenture trustee acts for the holders of debentures issued by a company and is regulated by SEBI. A security trustee holds security on behalf of a group of lenders, usually in a loan financing. Many trusteeship companies offer both.
Related reading
Sources
- Securities and Exchange Board of India (Debenture Trustees) Regulations, 1993 [last amended on October 27, 2025] — Securities and Exchange Board of India
- Master Circular for Debenture Trustees (DTs), SEBI/HO/DDHS-PoD-1/P/CIR/2025/117, August 13, 2025 — Securities and Exchange Board of India