Section 15 in The Securities and Exchange Board of India (Issue and Listing of Securitised Debt Instruments and Security Receipts) Regulations, 2008
15. Servicers.
(1)A special purpose distinct entity may appoint either the originator or any other person as servicer in respect of any of its schemes, subject to the following, namely :-(a)the trustees shall ensure that the servicer keeps proper accounts in respect of the activities delegated to him;(b)the trustees shall ensure that the servicer has adequate operational systems and resources to administer the asset pool in relation to a securitisation transaction.(2)Servicer may be appointed by the special purpose distinct entity to do all or any of the following, namely:-(i)to coordinate with the obligors, manage the asset pool and collections there from;(ii)administer the cash flows of such asset pool, distributions to investors; and reinvestment, if any, in accordance with the scheme; and(iii)manage incidental matters.(3)Where a special purpose distinct entity appoints the originator as servicer, it shall adopt internal procedures designed to avoid conflict of interest.
