Securities And Exchange Board Of India - Subsection
Section 9(11) in The Securities and Exchange Board of India (Issue and Listing of Securitised Debt Instruments and Security Receipts) Regulations, 2008
(11)The special purpose distinct entity shall not carry on any activity other than regulated activities and those incidental thereto and it shall not engage in :(a)business of lending or investment except making passive financial investments required in accordance with the scheme;(b)activities of an asset management company or portfolio manager or a mutual fund :Provided that the restriction provided in clause(a) shall not apply to -(i)any trust or other body promoted by the National Housing Bank, in respect of activities undertaken by it in terms of the National Housing Bank Act, 1987 (53 of 1987);(ii)any trust or other body promoted by the National Bank for Agriculture and Rural Development, in respect of activities undertaken by it in terms of the National Bank for Agriculture and Rural Development Act, 1981 (61 of 1981);(iii)any trust set up by a securitisation company or reconstruction company in respect of activities undertaken by it in terms of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 (54 of 2002);(iv)any securitisation undertaken by a special purpose distinct entity, which involves private placement of any instruments representing securitised debt which are not proposed to be listed on any recognised stock exchange.
