SEBI has now allowed vide its circular dated 10th August, 2020 mutual fund trustees to appoint one administrative officer who will be assisting them in fulfilling their duties and obligations under the relevant regulations and who will be reporting to them. The dedicated officer shall have a professional qualification and minimum 5 years experience in finance and financial services related field. The officer will provide administrative assistance to the mutual fund trustees and he will be an employee of the Trustees.
Further the trustees have been also allowed to have standing arrangement with independent firms to carry out special purpose audit and to seek legal advice as and when they consider it necessary.
The cost for the above shall be charged to “fees and expenses of trustees” as per the mutual fund regulations.
However, this arrangement does not absolve the trustees from their liability to discharge fiduciary responsibility under the mutual fund regulations.
Copy of this circular can be accessed here. https://www.sebi.gov.in/legal/circulars/aug-2020/resources-for-trustees-of-mutual-funds_47291.html