S.O. 850(E) In exercise of the powers conferred by section 30 of the Securities and Exchange Board of India Act, 1992 (15 of 1992) the Securities and Exchange Board of India hereby, makes the following regulations.

1 Short title and commencement

(2) They shall come into force on the date of their publication in the Official Gazette.

2. Definitions

1. "Act" means the Securities and Exchange Board of India Act, 1992 (15 of 1992);


[(aa) "associate company" means a company in which a director or trustee or sponsor or settlor of the venture capital fund or asset management company holds either individually or collectively, equity shares in excess of 15% of its paid-up equity share capital of venture capital undertaking".]1

2. "certificate" means a certificate of registration granted by the Board under regulation 7 ;
3. "company" means a company incorporated under the Companies Act, 1956 (1 of 1956);
4. "economic offence" means an offence to which the Economic Offences (Limitation of Prosecutions) Act, 1974 (12 of 1974) applies for the time being;
5. "enquiry officer" means an enquiry officer appointed by the Board, under regulation 33 ;


[(ee) `equity linked instruments� includes instruments convertible into equity shares or share warrants, preference shares, debentures compulsorily convertible into equity.]2

6. "Form" means any of the forms set out in the First Schedule;
7. [***]3

1. "Schedule" means a schedule annexed to these regulations;

11. "trust" means a trust established under the Indian Trusts Act, 1882 (2 of 1882) [or under an Act of Parliament or State Legislation};7

1. has a dedicated pool of capital,
2. raised in a manner specified in the regulations, and
3. invests in venture capital undertaking in accordance with the regulations.]10
[(n) `venture capital undertaking� means a domestic company �
1. whose shares are not listed on a recognised stock exchange in India;
2. which is engaged in the business for providing services, production or manufacture of article or things or does not include such activities or sectors which are specified in the negative list by the Board with the approval of the Central Government by notification in the Official Gazette in this behalf. ]11

1. who, directly or indirectly, by himself, or in combination with relatives, exercises control over the venture capital fund; or
2. in respect of whom the venture capital fund, directly or indirectly, by itself, or in combination with other persons, exercises control;
3. or whose director, is also a director, of the venture capital fund ."