Enhancing fund governance for Mutual Funds
Summary
This circular provides a phased transition period of two years for existing independent trustees and directors to comply with tenure limits. It allows auditors who have served for nine or more years to continue until the end of the financial year 2018-19. All other provisions of the referenced November 30, 2017 circular remain unchanged.
Text
Para A (1) (iii) (b) of the aforesaid circular permits existing independent trustees and independent directors, who have held office for 9 years or more (as on November 30, 2017), to continue in their respective position for a maximum of 1 additional year. The aforesaid provision may now be complied with, in a phased manner, within a period of 2 years.
Further, auditors who have conducted audit of the Mutual Fund for 9 years or more, in terms of clause B (2) (iii) (b) of the aforesaid circular, may continue till the end of F.Y. 2018 - 19.
All other provisions of the aforesaid circular remain unchanged.
Source: SecMarx — Enhancing fund governance for Mutual Funds. Verbatim text is public record; SecMarx structuring (linkage to applying orders) is cited to us.