HomeCirculars › RBI/2010-11/145

UN Terror List Update for UCBs: Al-Qaida/Taliban Sanctions

Current · Source: Reserve Bank of India · RBI/2010-11/145 · issued 26 Jul 2010 · ~2 min read
Quick answerRBI directs all Primary Urban Co-operative Banks to update their UNSCR 1267/1822 consolidated list of terrorist individuals/entities linked to Al-Qaida and Taliban, screen new and existing accounts, and follow freezing procedures per earlier circulars.
Sanctions-list safety note. This circular refers to a specific UN Security Council / UAPA designated-entities list update as it stood on the date above — sanctions lists change often, and a newer update almost certainly exists today. Never use this page, or any single dated circular, as your current screening list. Always screen against the live, current list at the official UAPA proscribed-organisations list and the UN Consolidated List, and confirm the obligations for your bank on the official rbi.org.in source below.
The rule, in the simplest words
How it plays out — a real example

A co-operative bank branch officer in Indore updates her bank's watchlist with the new UN names from the July 15, 2010 note. She then screens a new customer applying for a loan and finds no match, but later scans old accounts and spots one linked to a listed entity. She freezes that account's funds immediately, following the freezing steps from the November 16, 2009 circular, and reports it to her Compliance Officer.

What changed

RBI received from Government of India (Ministry of External Affairs) a copy of note dated July 15, 2010 from the Chairman of the UN Security Council's 1267 Committee with changes to the consolidated list of individuals/entities linked to Al-Qaida and Taliban. Urban Co-operative Banks must now update their records with these changes and ensure compliance with the procedure laid down in the UAPA Order dated August 27, 2009, as enclosed to the circular dated November 16, 2009.

What it means for you

UCBs must immediately update their internal watchlists with the revised UN list and screen all new account openings against it. Existing accounts must also be scanned to identify any matches, and if found, banks must freeze funds/assets as per paragraph 6 of the November 16, 2009 circular. Non-compliance could lead to regulatory action.

What you must do

Who it affects

All Primary (Urban) Co-operative Banks, Compliance Officers/Principal Officers of UCBs, Branch managers handling account opening and KYC

❓ Common questions

Where can we find the latest consolidated list of terrorist individuals/entities?

The complete details are available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml. RBI has also enclosed a copy of the UN note with changes dated July 15, 2010.

What action should we take if we find an existing account linked to a listed entity?

You must freeze the funds, financial assets, or economic resources held in that account, following the procedure detailed in paragraph 6 of RBI circular dated November 16, 2009.

Do we need to report compliance to RBI?

Yes, the Compliance Officer/Principal Officer of the bank should acknowledge receipt of this circular to the concerned RBI Regional Office.

📜 Read the original circular — full text as issued by RBI
RBI/2010-11/145 UBD. BPD. (PCB).Cir. No. 4/14.01.062/2010-11 July 26, 2010 The Chief Executive Officers of All Primary (Urban) Co-operative Banks Dear Sir / Madam, List of Terrorist individuals/organizations – under UNSCR 1267 (1999) and 1822(2008) on Taliban/Al-Qaida Organisation - UCBs Please refer to our circular UBD (PCB) CO.BPD. Cir. No. 3/14.01.062/2009-10 dated July 23, 2010 on the above subject. We have since received from Government of India (Ministry of External Affairs), copy of note dated July 15, 2010 (copy enclosed) from the Chairman of UN Security Council's 1267 Committee regarding changes made in the Consolidated List of Individuals and entities linked to Al-Qaida and Taliban. 2. Urban Cooperative Banks are required to update the consolidated list of individuals/entities as circulated by Reserve Bank and before opening any new account, it should be ensured that the name/s of the proposed customer does not appear in the list. Further, banks should scan all existing accounts to ensure that no account is held by or linked to any of the entities or individuals included in the list. 3 . Banks are advised to strictly follow the procedure laid down in the UAPA Order dated August 27, 2009 enclosed to our circular UBD.CO.BPD.PCB.Cir.No.21/12.05.001/2009-10 dated November 16, 2009 and ensure meticulous compliance to the Order issued by the Government. 4.  As far as freezing of funds, financial assets or economic resources or related services held in the form of bank accounts of the designated individuals/entities are concerned, action should be taken as detailed in paragraph 6 of the circular dated November 16, 2009, mentioned above. 5.  The complete details of the said consolidated list are available on the UN website:     http://www.un.org/sc/committees/1267/consolist.shtml 6.  The Compliance Officer/Principal Officer of the bank should acknowledge receipt of this circular to our Regional Office concerned . Yours faithfully (M. Nanda Kumar) Deputy General Manager Encl: As above.
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2010-11/145 · issued 26 Jul 2010. The plain-English explanation above is BankPulse’s own independent summary.
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Who does what — compliance checklist
🏦 Branch Manager
  • Update the consolidated list of terrorist individuals/entities from the UN website (http://www.un.org/sc/committees/1267/consolist.shtml) and circulate it to all branches.
💻 IT / Systems
  • Screen all new account applications against the updated list before opening accounts.
📜 Compliance
  • Scan all existing accounts to ensure none are held by or linked to listed individuals/entities.
  • Freeze funds, financial assets, or economic resources of any matched accounts as per paragraph 6 of the November 16, 2009 circular.
  • Acknowledge receipt of this circular to your respective RBI Regional Office through the Compliance Officer/Principal Officer.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template

Example: if you are a Branch Manager at a bank this circular applies to (All Primary (Urban) Co-operative Banks, Compliance Officers/Principal Officers of UCBs, Branch managers handling account opening and KYC), your first concrete step on “UN Terror List Update for UCBs: Al-Qaida/Taliban Sanctions” is: “Update the consolidated list of terrorist individuals/entities from the UN website (http://www.un.org/sc/committees/1267/consolist.shtml) and circulate it to all branches.” (RBI issued this 26 Jul 2010).

  1. Circular: RBI/2010-11/145 -- UN Terror List Update for UCBs: Al-Qaida/Taliban Sanctions
  2. Issued: 26 Jul 2010
  3. Action required: Update the consolidated list of terrorist individuals/entities from the UN website (http://www.un.org/sc/committees/1267/consolist.shtml) and circulate it to all branches.
  4. Action required: Screen all new account applications against the updated list before opening accounts.
  5. Action required: Scan all existing accounts to ensure none are held by or linked to listed individuals/entities.
  6. Action required: Freeze funds, financial assets, or economic resources of any matched accounts as per paragraph 6 of the November 16, 2009 circular.
  7. Action required: Acknowledge receipt of this circular to your respective RBI Regional Office through the Compliance Officer/Principal Officer.
  8. Owner: ____________ Target date: ____________
  9. Board/committee approval needed? Y / N
  10. Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.

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Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=5911&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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