What changed
RBI has circulated updated Al-Qaida sanctions list entries received from the Ministry of External Affairs via multiple UN notes dated between January 15 and March 25, 2013, along with the consolidated list as of April 8, 2013. This updates the list previously circulated in the circular dated April 4, 2013.
What it means for you
UCBs must immediately update their internal watch lists with the new names and entities. Failure to screen and freeze accounts as per the UAPA Order could lead to regulatory action. This is a recurring compliance obligation to prevent financing of terrorism.
What you must do
- Update your internal sanctions list with the new UN Al-Qaida entries from the enclosed notes.
- Screen all new account applications against the updated list before opening accounts.
- Scan all existing customer accounts to identify any matches with the list.
- Freeze funds and economic resources of any matched individuals/entities as per paragraph 7 of the November 16, 2009 circular.
- Acknowledge receipt of this circular to your Regional Office.
Who it affects
Primary (Urban) Co-operative Banks, Compliance Officers / Principal Officers of UCBs
What is the source of the updated list?
The list comes from the UN Security Council's 1267/1989 Committee, forwarded by the Ministry of External Affairs through multiple notes dated between January and March 2013, and a consolidated list via Note Verbale dated April 8, 2013.
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. If found, funds and economic resources must be frozen as per the procedure in the UAPA Order.
Where can we find the complete list?
The complete list is available on the UN website at the URLs provided in the circular: http://www.un.org/sc/committees/1267/pressreleases.shtml and http://www.un.org/sc/committees/1267/pdf/AQList.pdf.