RBI directs financial institutions to amend their records and enforce asset freezes on three newly designated individuals under the UNSC 1267/1989 ISIL (Da'esh) & Al-Qaida sanctions regime via UAPA Section 51A.
ISIL & Al-Qaida Sanctions List Updated: Three Additions
The Reserve Bank of India, on October 27, 2026, issued a circular directing all financial institutions to update their records with the addition of three individuals to the UNSC’s 1267/1989 ISIL (Da'esh) and Al-Qaida sanctions list. The directive invokes Section 51A of the Unlawful Activities (Prevention) Act, 1967, requiring immediate enforcement of asset freezes and prohibition of financial transactions.
The notification applies to a wide range of entities, including commercial banks, small finance banks, payment banks, co-operative banks, regional rural banks, NBFCs, and asset reconstruction companies. The RBI mandates that institutions ensure compliance with the updated Consolidated List published by the UNSC 1267 Committee.
Implication for Practitioners: Compliance officers and legal teams must integrate the latest updates into Know Your Customer (KYC) and suspicious transaction reporting systems. Failure to detect and report interactions with listed persons may expose institutions to regulatory penalties and reputational risk under AML/CFT guidelines.
Citations
- Unlawful Activities (Prevention) Act, 1967, Section 51A
- UNSC Resolution 1267/1989
