What changed
RBI has forwarded multiple UN Security Council notes from September 5, 27, October 4, 5, and 18, 2012, updating the Al-Qaida Sanctions List. Banks must now incorporate these latest additions and modifications into their screening processes.
What it means for you
Banks and all India financial institutions must immediately update their internal sanctions lists to include the newly designated individuals and entities. Failure to screen new accounts or review existing ones against this list could lead to non-compliance with UAPA, 1967, attracting regulatory action.
What you must do
- Update your internal UNSCR 1267/1989 Al-Qaida Sanctions List with the changes from the five UN notes received between September and October 2012.
- Screen all new account applications against the updated list before opening accounts.
- Conduct a fresh scan of all existing accounts to identify any matches with the newly added names.
- Follow the freezing procedures outlined in paragraph 6 of earlier RBI circulars (dated November 5, 2009, and October 29, 2009) for any matched accounts.
- Acknowledge receipt of this circular to your respective RBI Regional Office.
Who it affects
Regional Rural Banks (RRBs), State and Central Co-operative Banks, All India Financial Institutions
What is the source of the updated sanctions list?
The updates come from the UN Security Council's 1267/1989 Committee, forwarded by the Ministry of External Affairs via five notes dated between September 5 and October 18, 2012.
Do we need to freeze accounts immediately if a match is found?
Yes, follow the freezing procedures detailed in paragraph 6 of the earlier RBI circulars referenced (dated November 5, 2009, and October 29, 2009) for any designated individuals or entities.
Where can we find the complete sanctions list?
The full list is available on the UN website at http://www.un.org/sc/committees/1267/aq_sanctions_list.shtml.