The RBI has updated its guidance related to the implementation of Section 51A of the UAPA, 1967, concerning sanctions linked to Al-Qaida and ISIL. This amendment will impact financial institutions in their compliance efforts regarding anti-terrorism financing.
Updates on UAPA Implementation Related to Al-Qaida and ISIL Sanctions
The Reserve Bank of India (RBI) has disseminated updates for financial institutions regarding the implementation of Section 51A of the Unlawful Activities (Prevention) Act, 1967 (UAPA). This pertains to updates on the United Nations Security Council's 1267/1989 sanctions list concerning ISIL (Da'esh) and Al-Qaida.
This recent communication emphasizes that all commercial banks, cooperative banks, and financial institutions must adhere to the amended requirements outlined. The RBI has specified the critical importance of these measures in combatting terrorism financing.
Practitioners in financial compliance and regulatory affairs should familiarize themselves with these updates as they reinforce the necessity of rigorous monitoring and due diligence practices in transaction screenings against the sanction lists. Non-compliance with these amendments may result in significant legal and financial repercussions for the institutions involved.
Citations
- RBI Notification (2026) RBI/2026-27/253
