Regulation 61 - Board’s right to inspect and investigate - Securities and Exchange Board of India (Mutual Funds) Regulations, 1996

CHAPTER VIII INSPECTION AND AUDIT Board s right to inspect and investigate 61. (1) The Board may appoint one or more persons as inspecting officer to undertake the inspection of the books of account, records, documents and infrastructure, systems and procedures or to investigate the affairs of a mutual fund, the trustees and asset management company for any of the following purposes, namely :- (a) to ensure that the books of account are being maintained by the mutual fund, the trustees and asset management company in the manner specified in these regulations; (b) to ascertain whether the provisions of the Act and these regulations are being complied with by the mutual fund, the trustees and asset management company ; (c) to ascertain whether the systems, procedures and safeguards followed by the mutual fund are adequate ; (d) to ascertain whether the provisions of the Act or any rules or regulations made thereunder have been violated ; (e) to investigate into the complaints received from the investors or any other person on any matter having a bearing on the activities of the mutual funds, trustees and asset management company ; (f) to suo motu ensure that the affairs of the mutual fund, trustees or asset management company are being conducted in a manner which is in the interest of the investors or the securities market.