A Debenture in its simplest form is a written acknowledgement of indebtedness by the company issuing the debenture to the various subscribers. By operation of law, every company issuing debenture stocks to the public for subscription is required to execute a Debenture Trust Deed in respect of the transaction. Here, the law also requires the appointment of a Trustee.


The Trustee is required to execute the Debenture Trust Deed on behalf of the Debenture Holders and also act in the interest of the Debenture Holders.