What changed
RBI forwarded a UN Security Council 1267 Committee note dated January 26, 2010, with changes to the Consolidated List of individuals and entities linked to Al-Qaida and Taliban. RRBs must update their records accordingly and ensure compliance with earlier circulars on account screening and asset freezing.
What it means for you
RRBs must immediately update their internal terrorist lists and verify all new and existing accounts against the revised UN list. Failure to comply could lead to regulatory action, as the directive mandates strict adherence to UAPA Order procedures for freezing funds and assets of designated entities.
What you must do
- Update the consolidated list of terrorist individuals/entities as per the UN 1267 Committee changes received from Government of India.
- Screen all new account openings against the updated list before onboarding customers.
- Scan all existing accounts to identify and report any links to listed individuals or entities.
- Follow the freezing procedures outlined in paragraph 6 of the November 5, 2009 circular for any designated accounts.
- Acknowledge receipt of this circular to your respective RBI Regional Office via the Compliance Officer/Principal Officer.
Who it affects
All Regional Rural Banks (RRBs), Compliance Officers and Principal Officers of RRBs
What is the source of the updated list?
The list is based on a note dated January 26, 2010, from the Chairman of the UN Security Council's 1267 Committee, forwarded by the Ministry of External Affairs. The full consolidated list is available on the UN website.
What actions are required for existing accounts?
RRBs must scan all existing accounts to ensure none are held by or linked to any individual or entity on the updated list. If found, freezing of funds and assets must follow the procedure in paragraph 6 of the November 5, 2009 circular.
Who should acknowledge receipt of this circular?
The Compliance Officer or Principal Officer of each RRB must acknowledge receipt to the concerned RBI Regional Office.