The RBI has updated financial institutions on amendments to the UNSC's ISIL (Da'esh) and Al-Qaida sanctions list, adding three entries under Section 51A of the UAPA, 1967. Entities must freeze assets and cease financial dealings with listed individuals.
RBI Implements Updates to ISIL and Al-Qaida Sanctions
In a circular dated October 27, 2026, the Reserve Bank of India directed all financial institutions to amend their records in line with the latest updates to the United Nations Security Council’s 1267/1989 ISIL (Da'esh) and Al-Qaida sanctions list. Three new entries have been added, mandating immediate freezing of assets and prohibition of financial transactions under Section 51A of the Unlawful Activities (Prevention) Act, 1967 (UAPA).
The directive, issued under India’s obligations to implement UNSC resolutions, ensures compliance with global counter-terrorism financing frameworks. Section 51A of the UAPA empowers the Central Government and authorised agencies like the RBI to enforce measures against individuals and entities linked to terrorist organisations listed by the UNSC. Financial institutions are required to screen their databases and report compliance to relevant authorities without delay.
Legal teams advising banks, NBFCs, and payment systems must conduct due diligence to ensure no exposure to listed persons. Non-compliance may result in penalties under UAPA and damage to institutional credibility. This update reflects ongoing international efforts to strengthen financial monitoring of terrorist networks, particularly those associated with ISIL and Al-Qaida.
Citations
- Unlawful Activities (Prevention) Act, 1967, Section 51A
- UNSC Resolution 1267 (1999), 1989 (2015)
