What changed
RBI has forwarded eight new UN Security Council 1267 Committee notes (dated August 6, September 13 & 28, October 21, November 4, December 1, 16 & 17, 2010) updating the consolidated list of individuals/entities linked to Al-Qaida and Taliban. Banks must now incorporate these updates into their screening processes.
What it means for you
UCBs must immediately update their internal watchlists with the latest UN-designated names and entities. Before opening any new account, banks must verify the proposed customer is not on this list. Existing accounts must also be scanned to ensure none are linked to listed individuals/entities. Non-compliance could lead to regulatory action.
What you must do
- Update your bank's consolidated list of terrorist individuals/entities with the eight new UN notes enclosed in this circular.
- Screen all new account applications against the updated list before account opening.
- Scan all existing accounts to identify and flag any linked to listed individuals/entities.
- Follow the freezing procedures detailed in paragraph 6 of RBI circular dated November 16, 2009 for any designated accounts.
- Acknowledge receipt of this circular to your respective RBI Regional Office via the compliance/principal officer.
Who it affects
All Primary (Urban) Co-operative Banks, Compliance Officers / Principal Officers of UCBs, Branch managers handling account opening and KYC
What is the source of the updated list?
The list is based on notifications from the Government of India, Ministry of External Affairs, reflecting changes made by the UN Security Council's 1267 Committee regarding individuals and entities linked to Al-Qaida and Taliban.
What action is required for existing accounts?
Banks must scan all existing accounts to ensure no account is held by or linked to any entity or individual on the updated consolidated list. If found, freezing action must be taken as per paragraph 6 of the November 16, 2009 circular.
Where can I find the complete consolidated list?
The full list is available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml.