What changed
RBI forwarded a new UN Security Council 1267 Committee note (dated April 22, 2010) with changes to the consolidated list of individuals/entities linked to Al-Qaida and Taliban. This supersedes the previous list circulated via circular dated April 19, 2010.
What it means for you
UCBs must immediately update their internal screening databases with the revised UN list. Before opening any new account, banks must verify the proposed customer's name against this list, and all existing accounts must be scanned for matches. Freezing of funds and assets of designated individuals/entities must follow the procedure outlined in the November 16, 2009 circular.
What you must do
- Update your internal consolidated list of terrorist individuals/entities with the latest UNSC 1267 Committee changes.
- Screen all new account applications against the updated list before onboarding.
- Scan all existing accounts to identify any linked to listed individuals/entities.
- Freeze funds, financial assets, or economic resources of designated entities as per paragraph 6 of the November 16, 2009 circular.
- Acknowledge receipt of this circular to your respective RBI Regional Office.
Who it affects
All Primary (Urban) Co-operative Banks, Compliance Officers / Principal Officers of UCBs
Where can I find the complete updated list?
The full consolidated list is available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml.
What action is required for existing accounts linked to listed entities?
Banks must freeze funds, financial assets, or economic resources held in such accounts, following the procedure detailed in paragraph 6 of the November 16, 2009 circular.
Do we need to report compliance to RBI?
Yes, the Compliance Officer or Principal Officer must acknowledge receipt of this circular to the concerned RBI Regional Office.