Sebi's norms for debenture trustees do not have "express provision" for regulating the activities of security, share or escrow trustees, the watchdog said today.

The regulator also made it clear that the role of debenture trustee is limited to issue of debentures, protecting interest of the debenture holders and matters incidental thereto.

The opinion has been given in response to a query by BOI Merchant Bankers on whether activities that involve acting as a security, share or escrow trustee requires a separate registration under Sebi Debenture Trustee (DT) regulations.

As per these norms, a debenture trustee is a "trustee of a trust deed for securing any issues of debentures of a corporate body".

BOI Merchant Bankers had sought an informal guidance on whether undertaking trusteeship business for banks or financial institutions for their credit business which involves acting as a security, share or escrow trustee would require a separate registration under DT regulations or any other Sebi norms.

"There is no express provision in the Sebi (Debenture Trustee) regulations to regulate the activities of security trustee, share trustee or escrow trustee," Sebi said.

On whether any other Sebi regulations would be applicable, the watchdog said it is not in a position to respond in this regard as the query is general and not interpretative.

Noting that its response is based on representation made in the letter, Sebi said different facts or conditions might call for a different advice.

"The letter does not express the decision of the Board on the questions referred," it added.

BOI Merchant Bankers, a wholly-owned subsidiary of Bank of India (BOI), is a merchant banker registered with Sebi.