You have been recently appointed as the Company Secretary of M/s Diamond Teak Tree Plantation Limited. It is a Collective Investment Company, registered with SEBI. It has launched a collective investment management schem

The SEBI has prescribed certain provisions under regulation 35 of the SEBI (Collective Investment Schemes) Regulations, 1999, regarding investment and segregation of funds. These provisions say, the Collective Investment Management Company should: not invest the funds of the collective investment scheme for purposes other than the objective of the collective investment scheme as disclosed in the offer document, segregate the collective investment scheme assets of different collective investment schemes, not invest corpus of a collective investment scheme in other collective investment schemes, not transfer funds from one collective investment scheme to another collective investment scheme. However, it has been provided that inter-scheme transfer of collective investment scheme property may be permitted at the time of termination of the collective investment scheme with prior approval of the trustee and the SEBI. not invest more than 25% of the amount raised by Collective Investment Management Company in projects owned directly or indirectly by Collective Investment Management Company. Accordingly, M/s Diamond Teak Tree Plantation Limited can deploy the fund of the scheme in the manner as stated above.