In exercise of the powers conferred by section 30 of the Securities and Exchange Board of India Act

EXTRAORDINARY PART III—Section 4 PUBLISHED BY AUTHORITY No. 466] NEW DELHI, MONDAY, JULY 3, 2023/ASHADHA 12, 194 5 CG-MH-E-04072023-247017 SECURITIES AND EXCHANGE BOARD OF INDIA NOTIFICATION Mumbai, the 3rd July, 2023 SECURITIES AND EXCHANGE BOARD OF INDIA (ALTERNATIVE DISPUTE RESOLUTION MECHANISM) (AMENDMENT) REGULATIONS, 2023 SEBI/LAD –NRO/GN/2023/137 .—In exercise o f the powers conferred by section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following regulations to further amend the Securities and Exchange Board of India (Merchant Bankers) Regulations, 1992, Se curities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993, Securities and Exchange Board of India (Debenture Trustees) Regulations, 1993, Securities and Exchange Board of India (Mutual Funds) Regulations, 199 6, Securities and Exchange Board of India (Custodian) Regulations, 1996, Securities and Exchange Board of India (Credit Rating Agencies) Regulations, 1999, Securities and Exchange Board of India (Collective Investment Schemes) Regulations, 1999, Securities and Exchange Board of India {KYC (Know Your Client) Registration Agency} Regulations, 2011, Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012, Securities and Exchange Board of India (Investment Advisers) Regulations, 2013, Securities and Exchange Board of India (Research Analysts) Regulations, 2014, Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014, Securities and Exchange Board of India (Real Estate Investment Trusts) Regulat ions, 2014, Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, Securities and Exchange Board of India (Foreign Portfolio Investors) Regulations, 2019, Securities and Exchange Board of India (Portfoli o Managers) Regulations, 2020, Securities and Exchange Board of India (Vault Managers) Regulations, 2021, namely , — 1. These regulations may be called the Securities and Exchange Board of India (Alternative Dispute Resolution Mechanism) (Amendment) Regulatio ns, 2023. 2. They shall come into force on the date of their publication in the Official Gazette. Amendments to the Securities and Exchange Board of India ( Merchant Bankers) Regulations, 1992 3. In the Securities and Exchange Board of India ( Merchant Bankers) R egulations, 1992 , after regulation 28A, the following regulation shall be inserted, namely, — “Dispute Resolution. 28B. All claims, differences or disputes between a merchant banker and its client arising out of or in relation to the activities of the merc hant banker in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Bo ard of India ( Registrars to an Issue and Share Transfer Agents) Regulations, 1993 4. In the Securities and Exchange Board of India ( Registrars to an Issue and Share Transfer Agents) Regulations, 1993 , after regulation 15A, the following regulation shall be in serted, namely, — “Dispute Resolution. 15B. All claims, differences or disputes between a registrar to an issue and share transfer agent and its client and investor arising out of or in relation to the activities of the registrar to an issue and share transfer agent in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Boa rd of India ( Debenture Trustees) Regulations, 1993 5. In the Securities and Exchange Board of India ( Debenture Trustees) Regulations, 1993 , after regulation 14, the following regulation shall be inserted, namely, — “Dispute Resolution. 14A. (1) All claims, di fferences or disputes between a debenture trustee and a body corporate which has appointed the debenture trustee, arising out of or in relation to the activities of the debenture trustee in the securities market shall be submitted to a resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. (2) No loss or damage or expenses incurred by the debenture trustee or the body corporate which has appointed the debenture trustee sh all be met out of the trust property. ” Amendments to the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996 6. In the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996, (i) after regulation 59A, the following regula tion shall be inserted, namely, — “Dispute Resolution. 59B. All claims, differences or disputes between the asset management company and investors arising out of or in relation to the activities of the asset management company in the securities market shal l be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” (ii) in the Fourth Schedule, in clause (vi), after the words “ delegated by the asset management company ” the words, figures and symbols “ , including those in relation to resolution of claims or disputes of investors in terms of regulation 59B, ” shall be inserted. Amendments to the Securities and Exchange Board of India (Custodian) Regu lations 1996 7. In the Securities and Exchange Board of India ( Custodian) Regulations, 1996 , after regulation 17, the following regulation shall be inserted, namely, — “Dispute Resolution. 17A. All claims, differences or disputes between a custodian and its c lient arising out of or in relation to the activities of the custodian in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Board of India (Credit Rating Agencies) Regulations, 1999 8. In the Securities and Exchange Board of India ( Credit Rating Agencies) Regulations, 1999 , after regulation 14, the following regulation shal l be inserted, namely, — “Dispute Resolution. 14A. All claims, differences or disputes between a credit rating agency and its client arising out of or in relation to the activities of the credit rating agency in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Board of India (Collective Investment Schemes) Regulations, 9. In the Securities and Exchange Board of India (Collective Investment Schemes) Regulations, 1999, (i) after regulation 14, the following regulation shall be inserted, namely, — “Dispute Resolution. 14A. All claims, differences or disputes between the Collective Investment Management Company and investors arising out of or in relation to the activities of the Collective Investment Management Company in the securities market shall be submitted to a resolution mechanism that includes mediation and/or con ciliation and/or arbitration, in accordance with the procedure specified by the Board.” (ii) in the Fifth Schedule, in clause 3, after the words “ delegated by the Collective Investment Management Company ” the words, figures and symbols “ , including those i n relation to resolution of claims or disputes of investors in terms of regulation 14A, ” shall be inserted. Amendments to the Securities and Exchange Board of India {KYC (Know Your Client) Registration Agency} Regulations, 2011 10. In the Securities and Exchan ge Board of India {KYC (Know Your Client) Registration Agency} Regulations, 2011 , after regulation 16A, the following regulation shall be inserted, namely, — “Dispute Resolution. 16B. All claims, differences or disputes between a KRA and an Intermediary ar ising out of or in relation to the activities of the KRA in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 11. In the Securities and Exchange Board of India (Alternative Investment Funds) Regulations, 2012, regulation 25 shall be substituted with the following , namely, — “Dispute Resolution. 25. All claims, differences or disputes between investors and the Alternative Investment Fund or the Manager arising out of or in relation to the activities of the Alternative Investment Fund or the Manager in the securitie s market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board: Provided that if the Alternative Investment Fund has been established as a trust, then no loss or damage or expenses incurred by the Manager or officers of the Manager, including those in relation to resolution of claims or disputes of investors, shall be met out of the trust property. ” Amendments to the Securities and Exchange Board of India (Investment Advisers) Regulations, 2013 12. In the Securities and Exchange Board of India (Investment Advisers) Regulations, 2013, in regulation 21, in sub-regulation (4), the words “ may be resolved through arbitration ” shall be substituted wit h the words and symbols “ shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration in accordance with the procedure specified by the Board ”. Amendments to the Securities and Exchange Board of India (Research Analysts) Regulations, 2014 13. In the Securities and Exchange Board of India ( Research Analysts) Regulations, 2014 , after regulation 26, the following regulation shall be inserted, namely, — “Dispute Resolution. 26A. All claims, differences or disp utes between a research analyst or research entity and its client arising out of or in relation to the activities of the research analyst or research entity in the securities market shall be submitted to a dispute resolution mechanism that includes mediati on and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014 14. In the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014, after regulation 22, the following regulation shall be inserted, namely, — “Dispute Resolution. 22A. (1) All claims, differences or disputes between investors and the investment manager arising out of or in relation to the activities of the investment manager in the securities market shall be submitted to a resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. (2) No loss or damage or expenses incurred by the investment manager or officers of the investment manager, including those in relation to resolution of claims or disputes of investors, shall be met out of the trust property. ” Amendments to the Securities and Ex change Board of India (Real Estate Investment Trusts) Regulations, 15. In the Securities and Exchange Board of India (Real Estate Investment Trusts) Regulations, 2014, after regulation 22, the following regulation shall be inserted, namely, — “Dispute Res olution. 22A. (1) All claims, differences or disputes between investors and the manager arising out of or in relation to the activities of the manager in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and /or conciliation and/or arbitration, in accordance with the procedure specified by the Board. (2) No loss or damage or expenses incurred by the manager or officers of the manager, including those in relation to resolution of claims or disputes of investor s, shall be met out of the trust property. ” Amendments to the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 16. In the Securities and Exchange Board of India (Listing Obligations and Disclosure Requi rements) Regulations, 2015, (i) in regulation 40, in sub -regulation (8), the words and symbols “: Provided further that in case of any claim, difference or dispute under this sub -regulation the same shall be referred to and decided by arbitration as provi ded in the bye -laws and/or regulations of the stock exchange(s) ” shall be omitted. (ii) in regulation 67, sub -regulation (5) shall be substituted with the following , namely, — “(5) All claims, differences or disputes between the listed entity and its inve stor arising out of or in relation to the activities of the listed entity in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration , in accordance with the procedure specifi ed by the Board. ” Amendments to the Securities and Exchange Board of India (Foreign Portfolio Investors) Regulations, 2019 17. In the Securities and Exchange Board of India ( Foreign Portfolio Investors) Regulations, 2019 , after regulation 24, the following re gulation shall be inserted, namely, — “Dispute Resolution. 24A. All claims, differences or disputes between a foreign portfolio investor and a designated depository participant arising out of or in relation to the activities of the designated depository pa rticipant in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Boar d of India (Portfolio Managers) Regulations, 2020 18. In the Securities and Exchange Board of India (Portfolio Managers) Regulations, 2020, after regulation 22, the following regulation shall be inserted, namely, — “Dispute Resolution. 22A. All claims, differe nces or disputes between investors and the portfolio manager arising out of or in relation to the activities of the portfolio manager in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” Amendments to the Securities and Exchange Board of India (Vault Managers) Regulations, 2021 19. In the Securities and Exchange Board of India (Vault Managers) Regulations, 2021, afte r regulation 16, the following regulation shall be inserted, namely, — “Dispute Resolution. 16A. All claims, differences or disputes between a vault manager and a beneficial owner arising out of or in relation to the activities of the vault manager in the securities market shall be submitted to a dispute resolution mechanism that includes mediation and/or conciliation and/or arbitration, in accordance with the procedure specified by the Board. ” BABITHA RAYUDU, Executive Director [ADVT. -III/4/Exty./ 247/2023 -24] Uploaded by Dte . of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi -110064 and Published by the Controller of Publications, Delhi -110054 .