What changed
RBI forwarded a June 16, 2011 note from the UN Security Council's 1267 Committee with changes to the consolidated list of Al-Qaida and Taliban-linked individuals and entities. This updates the previous list circulated on June 16, 2011 (as per earlier circular DBOD.AML No. 19483/14.06.001/2010-11).
What it means for you
Banks must immediately update their internal sanctions lists and screen all new account openings against the revised UN list. Existing accounts must be scanned to identify any matches, and if found, banks must follow the freezing procedures under the UAPA Order of August 27, 2009.
What you must do
- Update your internal consolidated list of terrorist individuals/entities with the latest UN 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 and assets of matched accounts as per paragraph 6 of the September 17, 2009 circular.
- Ensure Compliance Officer acknowledges receipt of this circular.
Who it affects
All Scheduled Commercial Banks (excluding RRBs), Local Area Banks, All India Financial Institutions
Where can we find the full consolidated list?
The complete list is available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml.
What action is required for existing accounts that match the list?
Banks must freeze the funds, financial assets, or economic resources held in such accounts, following the procedure detailed in paragraph 6 of RBI circular DBOD.AML.BC. No. 44/14.01.001/2009-10 dated September 17, 2009.
Which regulatory order governs the freezing process?
The UAPA Order dated August 27, 2009, enclosed with the September 17, 2009 circular, lays down the procedure for compliance.