Section 25 in The Securities and Exchange Board of India (Issue and Listing of Securitised Debt Instruments and Security Receipts) Regulations, 2008
25. Credit rating.
(1)No special purpose distinct entity shall offer securitised debt instruments to the public unless credit rating is obtained from not less than two registered credit rating agencies.(2)All credit ratings obtained by a special purpose distinct entity on the securitised debt instruments shall be disclosed in the offer document, including unaccepted credit ratings.(3)A credit rating agency rating the securitised debt instruments issued by a special purpose distinct entity shall include reference to the following in the rating rationale:(a)quality of the asset pool and the strength of cash flows;(b)payment structure;(c)adequacy of credit enhancements;(d)originator profile;(e)risks and concerns for investors and mitigating factors;(f)quality and experience of the servicer;(g)terms of the servicer contract;(h)provision for appointment of back-up servicer, if any;(i)any other relevant information.
