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In Rem: “against a thing”
SEBI UPDATES
- SEBI introduces fast-track mechanism for processing of PPMs of AIFs
- SEBI modifies norms for nomination in demat accounts and mutual fund folios
RBI & IFSC UPDATES
- RBI revises framework for outward remittance services facilitated through third-party platforms
- IFSCA introduces trust and company services provider framework under TechFin and Ancillary Services Regulations, 2025
- IFSCA clarifies scope of implementation services by investment advisers in IFSC
- IFSCA advises financial institutions to await further instructions on FLA FAQs
CORPORATE UPDATES
- MCA enables CSR funding through Social Stock Exchange instruments
LABOUR UPDATES
- Interest rate prescribed for delayed contributions under SS Code
- Ceiling on continuous working hours notified under OSH Code
- Wage ceiling clarification – ESI coverage continues until end of contribution cycle
- Worker Re-skilling Fund constituted under IR Code
- ESI hospitals now open to non-ESI beneficiaries
- Haryana labour welfare board revises LWF contribution ceiling
- Haryana Government exempts OSH Code-registered establishments from duplicate registration requirements under the Shops and Commercial Establishments Act
OTHER UPDATES
- DPIIT issues revised SOP for processing FDI proposals
SEBI INTRODUCES FAST-TRACK MECHANISM FOR PROCESSING OF PPMS OF AIFs
Securities and Exchange Board of India (“SEBI”), vide its circular dated April 30, 2026, has introduced a fast-track mechanism for the processing of private placement memorandums (“PPMs”) filed by alternative investment funds (“AIFs”) with SEBI, as an ease of doing business measure. The fast-track mechanism is applicable to angel funds and AIF schemes other than large value funds for accredited investors (“LVFs”) (hereinafter collectively referred to as “Non-LVF Schemes”), including PPMs of Non-LVF Schemes pending with SEBI.
The key highlights of the circular are as follows:
- Launch of scheme/ circulation of PPM: Under the fast-track mechanism, AIFs may proceed with launch of Non-LVF Schemes and circulate the PPM to investors for soliciting funds after 30 days of filing the application with SEBI, unless otherwise advised by SEBI. In case of first scheme of an AIF, the launch may proceed from the date of grant of SEBI registration or after 30 days of filing the application with SEBI, whichever is later. Any comments provided by SEBI during the period of 30 days shall be complied by the merchant banker (“MB”) and/or the AIF prior to launch of scheme or circulation of PPM.
- Timeline for first close: The first close of the scheme shall be declared not later than 12 months from the date on which the AIF becomes eligible to launch its scheme.
- Responsibility: The MB and the investment manager (“IM”) of the AIF are jointly responsible for ensuring the accuracy and completeness of all disclosures made in the PPMs and declarations submitted by Non-LVF Schemes.
- Filing requirements: The PPM of the Non-LVF Scheme shall be filed on SEBI intermediary portal along with the following documents, in addition to payment of the applicable scheme fee:
- duly signed MB due diligence certificate;
- duly signed fit and proper declarations with respect to the AIF, sponsor, IM of the AIF as specified in Schedule II of the SEBI (Intermediaries) Regulations, 2008;
- sponsor/IM declarations with respect to minimum continuing interest commitment in AIF/scheme; and
- copies of PANs of AIF, its scheme (if available), sponsor, IM, trustee, directors/ partners of sponsor, IM & trustee, key investment team members.
- Mandatory disclaimer in PPMs: Every Non-LVF Scheme PPM shall include a disclaimer confirming that:
- the MB has independently exercised due diligence regarding the information in the PPM;
- filing of the PPM with SEBI shall not be construed as its approval by SEBI. SEBI does not assume any responsibility for the accuracy of disclosures or the capability of the IM; and
- the IM and MB are responsible for ensuring that the PPM is true, accurate and compliant with the SEBI (AIF) Regulations, 2012 and other applicable laws.
To read the circular click here.
SEBI MODIFIES NORMS FOR NOMINATION IN DEMAT ACCOUNTS AND MUTUAL FUND FOLIOS
SEBI, vide its circular dated May 29, 2026, has modified the nomination framework for demat accounts and mutual fund folios to enhance the ease of investor on-boarding and ease the nomination process to prevent generation of unclaimed assets.
Investors have been mandated to provide nomination for all single accounts/ folios opened on or after the date of implementation of the circular, unless declaration form for ‘opt-out’ is submitted in the prescribed format. For jointly held demat account/ folios, nomination has been made optional. Investors can provide up to 3 nominees, with an option to submit the nomination either online or offline. For online nomination, validation shall be through digital signatures, Aadhar-based e-sign, or two factor authentication, and offline nomination can be completed with a wet signature or thumb expression.
While the name of the nominee, nature of relationship of the nominee with the investor, and date of birth in case of minor nominee are mandatory details required to be captured in the nomination form, providing contact details like mobile number, e-mail address of nominee and percentage share of each nominee is optional.
Investors may opt-out, change or cancel nominations any number of times, with regulated entities providing an acknowledgement for each and every instance of nomination/ subsequent change by the investor.
Regulated entities are required to display nomination status in periodic account/ holding statements, either by mentioning the nominee(s) or indicating whether nomination has been provided. Further, for accounts/ folios without nomination (including those where investors have
opted out), regulated entities shall: (a) send bi-annual e-mail and SMS communications encouraging investors to provide nominations; and (b) display pop-up messages on the benefits of nomination on the investor’s first login of the day.
The circular shall come into effect from September 1, 2026, and supersedes all the earlier circulars issued by SEBI with respect to nomination for demat accounts and mutual fund folio.
To read the circular click here
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
