The RBI issued a circular updating compliance measures for banks concerning recent sanctions listed under the UNSC's 1267/1989 ISIL (Da'esh) and Al-Qaida sanctions. This includes the implementation of Section 51A of the UAPA, 1967.
Updates on UAPA Compliance Following UNSC Sanctions
On September 7, 2026, the Reserve Bank of India issued circular RBI/2026-27/253, detailing updates relating to the implementation of Section 51A of the Unlawful Activities (Prevention) Act, 1967 (UAPA) in line with amendments to the United Nations Security Council's sanctions list on ISIL (Da'esh) and Al-Qaida. The communication was directed to various banking institutions including commercial banks and financial corporations.
The update highlights the necessity for financial entities to align their operational protocols with international sanctions, thereby enhancing the country's security framework against terrorism financing. Failing to comply may result in significant repercussions, not only for financial institutions involved but also for the broader financial ecosystem.
The RBI reiterated that all significant stakeholders must obtain and maintain updated information about entities listed under the sanctions and ensure that their transaction processes are scrutinised accordingly. This requires adequate training and systems within banks to identify and flag suspicious activities related to these sanctioned entities.
Financial institutions should conduct thorough reviews of their compliance frameworks in light of these recent sanctions to mitigate potential risks. Adopting robust compliance protocols will enable banks to fulfil their regulatory obligations while contributing to national security initiatives.
Citations
- RBI/2026-27/253 DOR.AML.REC.219/14.06.001/2026-27
