What changed
RBI has circulated updated UNSCR 1988 (2011) sanctions list entries from the Government of India, dated June 1 and June 11, 2012, adding or modifying individuals and entities linked to the Taliban. Banks must now use this updated list for account screening and freezing actions.
What it means for you
Urban co-operative banks must immediately update their internal sanctions lists and ensure no new accounts are opened for listed entities. Existing accounts must be scanned, and any matches must be frozen as per the UAPA Order of August 27, 2009, following the procedures in the November 16, 2009 circular.
What you must do
- Update your internal sanctions list with the latest UNSCR 1988 entries from the enclosed government notes.
- Screen all new account applications against the updated list before opening accounts.
- Scan all existing accounts to identify any linked to listed individuals or entities.
- Freeze funds and assets of matched accounts as per paragraph 7 of the November 16, 2009 circular.
- Ensure the Compliance Officer or Principal Officer acknowledges receipt of this circular to the concerned RBI regional office.
Who it affects
Primary (Urban) Co-operative Banks, Compliance Officers and Principal Officers of these banks
What is the source of the updated sanctions list?
The list is from the UN Security Council's 1988 (2011) Committee, forwarded by the Ministry of External Affairs via notes dated June 1 and June 11, 2012.
What action is required if an existing account matches the list?
Banks must freeze the funds, financial assets, or economic resources in that account, following the procedure detailed in paragraph 7 of the November 16, 2009 circular.
Do we need to report compliance to RBI?
Yes, the Compliance Officer or Principal Officer must send an acknowledgment of receipt of this circular to the concerned RBI regional office.