What changed
RBI updated the UNSCR 1988 sanctions list based on a June 27, 2013 UN Security Council Committee note. Banks must now incorporate these changes into their screening processes for both new and existing accounts.
What it means for you
Banks must ensure no account is held by or linked to newly designated Taliban-linked entities. This tightens KYC/AML compliance and requires immediate freezing of assets for listed individuals/entities, following the September 2009 circular's procedures.
What you must do
- Update your internal sanctions list with the latest UNSCR 1988 changes from the UN website.
- Screen all new account applications against the updated list before opening.
- Scan all existing accounts to identify and freeze any linked to listed entities.
- Follow the UAPA Order dated August 27, 2009, and circular DBOD.AML.BC. No. 44/14.01.001/2009-10 for freezing actions.
- Acknowledge receipt of this circular via your Compliance Officer/Principal Officer.
Who it affects
All Scheduled Commercial Banks (excluding RRBs), Local Area Banks, All India Financial Institutions
What is the source of the updated sanctions list?
The list is from the UN Security Council's 1988 Committee, forwarded by the Ministry of External Affairs. Full details are on the UN website: http://www.un.org/sc/committees/1988/list.shtml.
What action is required for existing accounts linked to listed entities?
Banks must freeze funds, financial assets, or economic resources in such accounts, following paragraph 6 of the September 17, 2009 circular.
Who must acknowledge receipt of this circular?
The Compliance Officer or Principal Officer of each bank or financial institution must acknowledge receipt.