What changed
RBI received a May 18, 2012 note from the UN Security Council's 1267/1989 Committee with changes to the Al-Qaida Sanctions List. Banks must update their records with this revised list and ensure compliance with the UAPA Order of August 27, 2009.
What it means for you
Banks must immediately update their internal sanctions lists with the latest UN Al-Qaida designations. All new account openings require name screening against this list, and existing accounts must be reviewed to identify any linked to listed entities. Freezing of funds and assets must follow the detailed steps in RBI's September 17, 2009 circular.
What you must do
- Update your internal sanctions list with the latest UN Al-Qaida Sanctions List from the UN website.
- Screen all new account applications against the updated list before opening accounts.
- Scan all existing accounts to identify any linked to newly listed individuals or entities.
- Freeze funds, financial assets, or economic resources of designated persons as per paragraph 6 of the September 17, 2009 circular.
- Ensure the Compliance Officer acknowledges receipt of this circular.
Who it affects
All Scheduled Commercial Banks (excluding RRBs), Local Area Banks, All India Financial Institutions
What is the source of the updated sanctions list?
The list is from the UN Security Council's 1267/1989 Committee Al-Qaida Sanctions List, available on the UN website.
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 list.
How should freezing of assets be handled?
Freezing of funds, financial assets, or economic resources in bank accounts of designated individuals/entities must follow the procedure in paragraph 6 of RBI circular dated September 17, 2009.