What changed
The UNSC Committee under resolution 1718 has amended certain entries on its Sanctions List for individuals and entities related to DPRK. These changes are reflected in the 'designated list' under the WMD Act Order dated September 1, 2023. RBI has communicated these amendments via this circular, replacing the previous update from January 6, 2024.
What it means for you
Banks and other regulated entities must immediately update their internal sanctions screening systems to reflect the latest UNSC 1718 list amendments. Failure to screen against the current list could result in non-compliance with anti-money laundering and counter-proliferation financing obligations. This is a routine but critical update to ensure alignment with international sanctions.
What you must do
- Download the latest UNSC 1718 Sanctions List from the UN Security Council website or MEA page.
- Update your AML/KYC screening systems with the amended entries (strikethrough/underline changes).
- Verify daily the UNSC 1718 Sanctions List for any further modifications.
- Ensure compliance with the WMD Act, 2005, Section 12A, as per the Master Direction on KYC.
Who it affects
All regulated entities (banks, NBFCs, payment systems, etc.), AML/KYC compliance teams, Sanctions screening operations
What is the source of the updated sanctions list?
The UN Security Council Committee established pursuant to resolution 1718 (2006) has amended its Sanctions List for DPRK. The latest version is available on the UN website at https://www.un.org/securitycouncil/sanctions/1718/materials.
How often should we check the list?
RBI requires regulated entities to verify the UNSCR 1718 Sanctions List every day to account for any additions, deletions, or other changes.
What happens if we don't comply?
Non-compliance with the WMD Act and related KYC directions can lead to regulatory action, including penalties. Meticulous compliance is mandatory.