The Securities and Exchange Board of India (“SEBI”) on April 7, 2021 issued circular no. SEBI/HO/IMD/IMD-I/DOF6/CIR/2021/549 (“Circular”) containing guidelines to ease and rationalise the existing regulatory reporting by Alternate Investment Funds (“AIFs”). The Circular introduces the following changes: 

1. All AIFs now have to submit reports on their activities as an AIF to SEBI on a quarterly basis and within 10 (ten) calendar days from the end of each quarter as per a revised format. Category III AIFs have to additionally submit, on a quarterly basis, a report on leverage undertaken. All of such reports have to be submitted to SEBI online through SEBI’s intermediary portal.
2. In the event there are any changes to the private placement memorandum and in the documents of the fund/ scheme, such changes shall be intimated to the investors and SEBI on a consolidated basis, within 1 (one) month of the end of each financial year. Further, such intimation shall specifically mention the changes carried out in the private placement memorandum and the documents of the fund/ scheme, along-with the relevant pages of revised sections/ clauses. 

While the modified reporting requirements under paragraph 1 hereinabove shall come into effect from the quarter ending December 31, 2021, the provisions of paragraph 2 hereinabove shall come into effect immediately. 

Please find a copy of the Circular here.

This update has been contributed by Protiti Basu (Associate).