What changed
RBI received a note dated September 30, 2010 from the Government of India (Ministry of External Affairs) forwarding changes made by the UN Security Council's 1267 Committee to the Consolidated List of individuals and entities linked to Al-Qaida and Taliban. This supersedes the previous list circulated via circular dated September 13, 2010.
What it means for you
Banks and All India Financial Institutions must immediately update their internal sanctions lists with the latest UNSC 1267 Committee changes. Before opening any new account, banks must verify that the proposed customer's name does not appear in the updated list. Existing accounts must also be scanned to ensure none are held by or linked to listed entities or individuals.
What you must do
- Update your internal consolidated list of terrorist individuals/entities with the latest UNSC 1267 Committee changes from the Government of India note dated September 30, 2010.
- Screen all new account applications against the updated list before account opening.
- Scan all existing accounts to identify and report any matches with the updated list.
- Follow the freezing procedures detailed in paragraph 6 of RBI circular dated September 17, 2009 for any designated accounts.
- Ensure the Compliance Officer/Principal Officer acknowledges receipt of this circular.
Who it affects
All Scheduled Commercial Banks (excluding RRBs), Local Area Banks, All India Financial Institutions
Where can I find the complete updated consolidated list?
The complete details of the consolidated list are available on the UN website at http://www.un.org/sc/committees/1267/consolist.shtml.
What action is required for accounts matching the list?
For freezing of funds, financial assets, economic resources, or related services held in bank accounts of designated individuals/entities, follow the procedure detailed in paragraph 6 of RBI circular dated September 17, 2009.
Do we need to acknowledge receipt of this circular?
Yes, the Compliance Officer/Principal Officer should acknowledge receipt of this circular letter.