What changed
RBI has forwarded a fresh UN Security Council 1267 Committee note (dated July 9, 2010) with changes to the consolidated list of terrorist individuals and organisations linked to Al-Qaida and Taliban. This supersedes the earlier list circulated via the July 22, 2010 circular. RRBs must now use this updated list for all customer screening.
What it means for you
RRBs must immediately update their internal sanctions screening systems with the revised UN list. Failure to identify a match could lead to regulatory action. The circular reinforces that both new account openings and existing account reviews must be checked against this list, and any matches require freezing of assets as per the UAPA Order of August 27, 2009.
What you must do
- Update your internal database with the latest UN 1267 Committee consolidated list available at the UN website.
- Before opening any new account, verify the proposed customer's name against the updated list.
- Scan all existing accounts to identify any account held by or linked to listed individuals/entities.
- If a match is found, freeze funds, financial assets, or economic resources as per paragraph 6 of the November 5, 2009 circular.
- Ensure the Compliance Officer/Principal Officer acknowledges receipt of this circular to the respective RBI Regional Office.
Who it affects
All Regional Rural Banks (RRBs), Compliance Officers and Principal Officers of RRBs, Branch managers handling account opening and KYC
Where can we find the latest consolidated list?
The complete list is available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml. RBI has also enclosed a copy of the UN note dated July 9, 2010 with this circular.
What action is required if an existing account matches the list?
You must freeze the funds, financial assets, or economic resources held in the account, following the procedure detailed in paragraph 6 of RBI circular dated November 5, 2009, which is based on the UAPA Order of August 27, 2009.
Do we need to acknowledge receipt of this circular?
Yes, the Compliance Officer or Principal Officer must send an acknowledgement to the concerned RBI Regional Office.