What changed
RBI amended instructions in F-Part-II of the Annex to A.P. (Dir Series) Circular No. 17 dated November 27, 2009, effective November 15, 2012, based on representations from FFMCs. The revised guidelines clarify that any one document from the existing list (e.g., telephone bill, bank statement) suffices for address proof, and add a provision for foreign tourists: if passport lacks address or tourist cannot provide address proof, APs may obtain passport copy, visa stamped by Indian immigration, and a signed declaration of permanent address.
What it means for you
Banks and FFMCs can now accept a single document for address verification, as per the existing list, with added flexibility for foreign tourists. This addresses difficulties in obtaining documents beyond passports, as noted in the source.
What you must do
- Update internal KYC policies to reflect the revised document list for money changing transactions.
- Train staff on accepting any one valid address proof from the expanded list (e.g., telephone bill, bank statement).
- Ensure agents and franchisees are notified and comply with the revised guidelines.
- Advise your Principal Officer to acknowledge receipt of this circular.
Who it affects
Full Fledged Money Changers (FFMCs), Authorised Persons in foreign exchange, Banks handling forex transactions, Agents and franchisees of Authorised Persons
What documents are now acceptable for address proof under the revised KYC norms?
Any one document from the list: telephone bill, bank account statement, letter from a recognized public authority, electricity bill, ration card, or letter from employer, provided it satisfies the Authorised Person.
Do these relaxed norms apply to foreign tourists?
Yes, for foreign tourists, copies of passport containing identification and address details may be accepted as both identity and address proof. Additionally, a copy of the visa of non-residents, duly stamped by Indian Immigration authorities, may be obtained and kept on record. If the passport does not contain an address or the tourist cannot produce address proof, APs may obtain a copy of passport and visa stamped by Indian Immigration and a signed declaration from the tourist regarding the permanent address.
Are agents and franchisees of Authorised Persons covered by these guidelines?
Yes, the guidelines apply mutatis mutandis to all agents and franchisees, and the franchiser is solely responsible for ensuring their compliance.