The RBI has directed regulated entities to implement amendments to two entries in the UNSC ISIL (Da’esh) and Al-Qaida Sanctions List, reinforcing compliance measures under UAPA. This directive emphasizes stringent adherence to anti-terror financing regulations.
RBI Mandates Compliance Update on ISIL and Al-Qaida Sanctions
The Reserve Bank of India has issued a directive instructing regulated entities to implement amendments related to two entries in the UNSC 1267/1989 ISIL (Da’esh) and Al-Qaida Sanctions List. This notification reinforces compliance measures under the Unlawful Activities (Prevention) Act, 1967.
The RBI's emphasis on compliance with the sanctioned list seeks to prevent the misuse of financial systems for terrorist financing and ensures that institutions remain diligent in their anti-money laundering (AML) practices. Entities are obligated to promptly adapt their compliance protocols to reflect these changes and avoid potential legal consequences.
With heightened international efforts to counter terrorism financing, this directive serves as a reminder to financial entities of the ongoing obligations to monitor and restrict transactions involving sanctioned individuals and organizations. Practitioners are advised to guarantee that their clients' activities comply with the latest updates to the sanctions regime.
As financial scrutiny increases globally, ensuring compliance will be paramount to avoid penalties and uphold regulatory standards.
Citations
- RBI Directive (2026) 1 RBI 305
