What changed
RBI forwarded a new FATF statement from June 24, 2011, updating the list of jurisdictions with strategic AML/CFT deficiencies. This replaces the earlier April 27, 2011 communication and calls for timely implementation of action plans by listed jurisdictions.
What it means for you
Cooperative banks must consider the updated FATF list as advised by RBI. Non-compliance could expose banks to regulatory action and reputational risk from dealing with high-risk jurisdictions.
What you must do
- Review the enclosed FATF statement and consider the information in your AML/CFT policies.
- Ensure your Principal Officer acknowledges receipt of this circular to the concerned RBI Regional Office.
Who it affects
State Co-operative Banks, Central Co-operative Banks, Principal Officers of these banks
What is the FATF statement about?
It identifies countries with strategic deficiencies in anti-money laundering and combating financing of terrorism frameworks, urging them to complete action plans within set timelines.
Do we need to take any action beyond acknowledging receipt?
Yes, you must consider the information in the statement and adjust your AML/CFT controls as appropriate.