What changed
RBI has received from the Government of India (Ministry of External Affairs) a copy of a note dated April 12, 2010, from the UN Security Council 1267 Committee with changes to the consolidated list of Al-Qaida and Taliban-linked individuals and entities. RRBs must now update their internal lists accordingly and ensure compliance with the updated list.
What it means for you
RRBs must immediately update their customer screening databases with the revised UN list and verify all new account openings against it. Existing accounts must be scanned to identify any matches, and if found, freezing actions as per the UAPA Order of August 27, 2009 must be initiated. Non-compliance could lead to regulatory action.
What you must do
- Update the consolidated list of terrorist individuals/entities with the latest UNSC 1267 changes received from the Government of India.
- Screen all new account applications against the updated list before opening accounts.
- Scan all existing accounts to identify any linked to listed individuals/entities.
- Freeze funds and assets of designated entities as per paragraph 6 of the November 5, 2009 circular.
- Acknowledge receipt of this circular to your Regional Office through the Compliance/Principal Officer.
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 is from the UN Security Council's 1267 Committee, forwarded by the Ministry of External Affairs via a note dated April 12, 2010. The full list is available on the UN website.
What action is required for existing accounts that match the list?
RRBs must freeze the funds, financial assets, or economic resources of such accounts as per the procedure in paragraph 6 of the November 5, 2009 circular, following the UAPA Order.
Who should acknowledge receipt of this circular?
The Compliance Officer or Principal Officer of the RRB must send an acknowledgment to the concerned Regional Office of RBI.