Sebi launches settlement scheme for venture capital funds
SEBI just rolled out the VCF Settlement Scheme 2025, kicking off July 21.
It's a one-time chance for Venture Capital Funds (VCFs) that moved to the new Alternative Investment Funds (AIF) system but missed their deadline to close things up.
The goal? Help these funds sort out leftover investments and finally wrap up, with the scheme open until January 19, 2026.
Who can apply? Settlement fee details
Only VCFs that switched to the AIF framework and still have unliquidated assets can apply.
The settlement fee starts at ₹1 lakh for delays up to a year, plus ₹50,000 for every extra year.
There's also a slab fee from ₹1 lakh to ₹6 lakh based on how much is left over.
VCFS must finish migrating by July 19, 2025
Fund managers or sponsors have to pay all costs themselves.
VCFs must finish migrating by July 19, 2025—or risk SEBI stepping in with enforcement if they don't settle or wind up in time.
This scheme is SEBI's way of giving funds a final shot at getting compliant under updated rules.