SEBI Imposes ₹2 Lakh Penalty on IDBI Bank Subsidiary ITSL

The Securities and Exchange Board of India (SEBI) has imposed a monetary penalty of ₹2,00,000/- on IDBI Trusteeship Services Limited (ITSL), a subsidiary of IDBI Bank. This penalty was issued via an adjudication order dated May 27, 2026, following a thematic inspection of Debenture Trustees. The inspection, conducted from July 31, 2022, to July 31, 2024, focused on actions taken by trustees in cases of default by issuers. ITSL was found to have committed violations under Regulation 15(1)(d) and 15(2)(b) of the SEBI (Debenture Trustees) Regulations, 2015, and related SEBI circulars. The company has stated that there is no financial or operational impact.