What changed
RBI forwarded a March 29, 2010 note from the UN Security Council's 1267 Committee containing changes to the consolidated list of individuals and entities associated with Al-Qaida and Taliban. RRBs must update their internal lists accordingly and ensure compliance with the UAPA Order dated August 27, 2009.
What it means for you
RRBs must immediately update their sanctions screening databases with the revised UN list. Failure to identify and freeze accounts linked to designated terrorists could lead to regulatory action. This reinforces the zero-tolerance approach to terrorist financing in the Indian banking system.
What you must do
- Update the consolidated list of terrorist individuals/entities as per the UN 1267 Committee changes received from RBI.
- Screen all new account applications against the updated list before opening accounts.
- Scan all existing accounts to identify any matches with the updated list.
- Freeze funds, financial assets, or economic resources of designated individuals/entities as per paragraph 6 of the November 5, 2009 circular.
- Ensure Compliance Officer/Principal Officer acknowledges receipt of this letter to the concerned RBI Regional Office.
Who it affects
All Regional Rural Banks (RRBs), Compliance Officers and Principal Officers of RRBs, Branch managers handling account opening and KYC
What is the source of the updated list?
The list comes from the UN Security Council's 1267 Committee, which maintains a consolidated list of individuals and entities linked to Al-Qaida and Taliban. RBI received the changes via a Government of India note dated March 29, 2010.
What action is required for existing accounts that match the list?
RRBs must freeze all funds, financial assets, or economic resources held in bank accounts of designated individuals/entities, following the procedure detailed in paragraph 6 of the November 5, 2009 circular.
Where can we find the complete consolidated list?
The full list is available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml.