Current · Source: Reserve Bank of India · RBI/2012-13/305 · issued 22 Nov 2012 · ~1 min read
Quick answerRBI directs all NBFCs to update their records with the latest UNSCR 1988 Taliban sanctions list (updated Oct 19 & 25, 2012) and screen new and existing accounts against it.
Sanctions-list safety note. This circular refers to a specific UN Security Council / UAPA designated-entities list update as it stood on the date above — sanctions lists change often, and a newer update almost certainly exists today. Never use this page, or any single dated circular, as your current screening list. Always screen against the live, current list at the official UAPA proscribed-organisations list and the UN Consolidated List, and confirm the obligations for your bank on the official rbi.org.in source below.
The rule, in the simplest words
NBFCs (companies that give loans but are not banks) must get the newest UN list of people linked to the Taliban (a group the UN says is bad) and check all customers against it.
Before opening any new account, you must look at the customer's name on the updated list to make sure they are not on it.
You must also check all your existing accounts to see if any match names on the updated list.
If you find a match, you must follow the law (Section 51-A of UAPA, 1967) and tell the right authorities.
How it plays out — a real example
An NBFC compliance officer in Indore, Priya, receives the updated UN Taliban sanctions list from her NBFC's compliance team. Before approving a new loan for a customer named Ahmed, she screens his name against the list and finds no match, so she proceeds. Later, she reviews her existing accounts and spots a name that matches the list; she immediately flags it and reports it to her manager as required by the RBI rule.
What changed
The UN Security Council's 1988 Committee issued two notes (dated October 19 and 25, 2012) making changes to the '1988 Sanctions List' of individuals and entities linked to the Taliban. RBI has communicated these updates to all NBFCs and RNBCs, requiring them to incorporate the revised list into their compliance checks.
What it means for you
NBFCs must immediately update their internal sanctions screening systems with the latest UN list. Before onboarding any new customer, you must verify the proposed name against this updated list. Additionally, you are required to review all existing accounts to identify and flag any matches with the listed individuals or entities.
What you must do
Update your internal sanctions list with the latest UNSCR 1988 Taliban list as of October 25, 2012.
Screen all new account applications against the updated list before opening accounts.
Conduct a one-time review of all existing accounts to check for matches with the updated list.
Ensure compliance with Section 51-A of UAPA, 1967, and report any matches to the appropriate authorities.
Who it affects
All Non-Banking Financial Companies (NBFCs), Residuary Non-Banking Companies (RNBCs)
❓ Common questions
Where can I find the complete updated sanctions list?
The full list is available on the UN website at http://www.un.org/sc/committees/1988/list.shtml.
Do I need to screen only new customers or also existing ones?
Both. You must screen new customers before opening accounts and also scan all existing accounts to ensure none are held by or linked to listed individuals or entities.
What is the legal basis for this requirement?
This directive is issued under Section 51-A of the Unlawful Activities (Prevention) Act, 1967 (UAPA), which empowers the government to prevent financing of terrorism.
📜 Read the original circular — full text as issued by RBI
RBI/2012-13/305
DNBS(PD).CC. No. 310/03.10.42 /2012-13
November 22, 2012
All Non Banking Financial Companies /
Residuary Non Banking Companies
Dear Sir,
Implementation of Section 51-A of UAPA, 1967-Updates of the UNSCR 1988 (2011) Sanctions List
Please refer to DNBS(PD).CC.No 305/03.10.42/2012-13 dated October 3, 2012 . The Chairman of UN Security Council's 1988 Committee has issued notes dated October 19, 2012 and October 25, 2012 (copies enclosed) regarding changes made in the “1988 Sanctions List”, i.e. list of Individuals and entities linked to Taliban.
2. All NBFCs are required to update the list of individuals/entities as circulated by Reserve Bank and before opening any new account, it should be ensured that the name/s of the proposed customer does not appear in the list. Further, NBFCs should scan all existing accounts to ensure that no account is held by or linked to any of the entities or individuals included in the list.
3. The complete details of the said list are available on the UN website : http://www.un.org/sc/committees/1988/list.shtml
Yours faithfully,
(Chandana Dasgupta)
Deputy General Manager
Encl: as above
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2012-13/305 · issued 22 Nov 2012. The plain-English explanation above is BankPulse’s own independent summary.
Screen all new account applications against the updated list before opening accounts.
📜 Compliance
Update your internal sanctions list with the latest UNSCR 1988 Taliban list as of October 25, 2012.
Conduct a one-time review of all existing accounts to check for matches with the updated list.
Ensure compliance with Section 51-A of UAPA, 1967, and report any matches to the appropriate authorities.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template
Example: if you are a Compliance officer at a bank this circular applies to (All Non-Banking Financial Companies (NBFCs), Residuary Non-Banking Companies (RNBCs)), your first concrete step on “NBFCs Must Update UN Taliban Sanctions List” is: “Update your internal sanctions list with the latest UNSCR 1988 Taliban list as of October 25, 2012.” (RBI issued this 22 Nov 2012).
Circular: RBI/2012-13/305 -- NBFCs Must Update UN Taliban Sanctions List
Issued: 22 Nov 2012
Action required: Update your internal sanctions list with the latest UNSCR 1988 Taliban list as of October 25, 2012.
Action required: Screen all new account applications against the updated list before opening accounts.
Action required: Conduct a one-time review of all existing accounts to check for matches with the updated list.
Action required: Ensure compliance with Section 51-A of UAPA, 1967, and report any matches to the appropriate authorities.
Owner: ____________ Target date: ____________
Board/committee approval needed? Y / N
Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.
💬 Banker Discussion
Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.
BankPulse Compliance Evidence Pack — generated 03 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=7709&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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