What changed
RBI has forwarded a fresh UN Security Council 1267 Committee note dated June 25, 2010, with changes to the consolidated list of individuals and entities linked to Al-Qaida and Taliban. RRBs must now update their records with this revised list and ensure compliance with earlier UAPA Order procedures.
What it means for you
RRBs must immediately update their internal databases with the latest UN consolidated list and verify that no new or existing account is linked to any listed entity. Failure to comply could lead to regulatory action, as the directive mandates strict adherence to the UAPA Order of August 27, 2009, and the freezing procedures outlined in the November 5, 2009 circular.
What you must do
- Update the consolidated list of terrorist individuals/entities using the UN website and the enclosed MEA note.
- Screen all new account applications against the updated list before opening accounts.
- Scan all existing accounts to identify and flag any matches with the list.
- Follow the freezing procedures for funds and assets as per paragraph 6 of the November 5, 2009 circular.
- Acknowledge receipt of this circular to your respective RBI Regional Office through the Compliance Officer/Principal Officer.
Who it affects
All Regional Rural Banks (RRBs), Compliance Officers and Principal Officers of RRBs
What is the source of the updated list?
The list is the UN Security Council 1267 Committee's consolidated list of individuals and entities linked to Al-Qaida and Taliban, as updated per a note dated June 25, 2010 from the Government of India (Ministry of External Affairs).
What action is required for existing accounts?
RRBs 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, freezing of funds and assets must follow the procedures in paragraph 6 of the November 5, 2009 circular.
Who should acknowledge receipt of this circular?
The Compliance Officer or Principal Officer of the RRB must acknowledge receipt to the concerned RBI Regional Office.