Date: 2023-08-18Category: Not ApplicableState: Union GovernmentCountry: India
Implementation of Section 12A of the Weapons of Mass Destruction and their Delivery Systems (Prohibition of Unlawful Activities) Act, 2005: Designated List (Amendments)
Executive Summary:
This circular from the Reserve Bank of India (RBI) addresses amendments to the designated list under Section 12A of the Weapons of Mass Destruction and their Delivery Systems (Prohibition of Unlawful Activities) Act, 2005. It references previous circulars and orders regarding compliance with UNSC sanctions, particularly those related to North Korea (DPRK) and Iran. Regulated Entities (REs) are advised to note the communications and ensure meticulous compliance with the updated sanctions lists.
Key Points / Main Content:
* **Compliance with WMD Act, 2005:**
* REs must comply with the procedure for implementing Section 12A of the WMD Act, 2005, as per the Ministry of Finance Order dated January 30, 2023.
* **Verification of UNSCR 1718 Sanctions List:**
* REs shall verify the UNSCR 1718 Sanctions List daily for modifications (additions, deletions, or changes).
* Compliance with the Implementation of Security Council Resolution on DPRK Order, 2017, as amended, is mandatory.
* **Amendments to UNSC Designated Sanctioned Individuals and Entities List:**
* MEA has informed of amendments (strikethrough/underline) to entries on the UNSC Sanctions List.
* The designated list referenced in the Order dated January 30, 2023, is amended according to these changes.
* **Access to Latest UNSC Sanctions Lists:**
* The latest UNSC Sanctions lists on DPRK and Iran are accessible on the UN Security Council's website.
* **Action Item**
* REs are advised to take note of the communications and ensure meticulous compliance.
Impact Analysis:
* **Regulated Entities (REs):**
* Impact: REs are obligated to update their screening processes and ensure compliance with the amended sanctions lists to avoid penalties and legal repercussions.
* Action Required: REs must review the updated UNSC Sanctions lists, modify their internal monitoring systems accordingly, and ensure staff are aware of the changes.
Key Entities Referenced
Weapons of Mass Destruction and their Delivery Systems Prohibition of Unlawful Activities Act, 2005: An act of the Indian Parliament prohibiting unlawful activities related to weapons of mass destruction and their delivery systems.
Section 12A of the Weapons of Mass Destruction and their Delivery Systems Prohibition of Unlawful Activities Act, 2005: A specific section of the WMD Act, 2005, related to the implementation procedures.
Master Direction on Know Your Customer: A regulatory document issued by the RBI providing guidelines on KYC norms for Regulated Entities.
Ministry of Finance: The ministry responsible for financial matters of the Government of India.
UNSCR 1718 Sanctions List of Designated Individuals and Entities: A list maintained by the United Nations Security Council (UNSC) under Resolution 1718, designating individuals and entities subject to sanctions.
Implementation of Security Council Resolution on Democratic Peoples Republic of Korea Order, 2017: An order related to the implementation of UN Security Council resolutions concerning North Korea (Democratic People's Republic of Korea).
Ministry of External Affairs: The Indian government ministry responsible for foreign affairs.
Mumbai, Maharashtra: Location of Central Office, Central Office Building. City in Maharashtra, India
RBI/2023-24/56
DOR.AML.REC.33/14.06.001/2023-24 August 18, 2023
The Chairpersons/ CEOs of all the Regulated Entities
Madam/Dear Sir,
Implementation of Section 12A of the Weapons of Mass Destruction and their
Delivery Systems (Prohibition of Unlawful Activities) Act, 2005: Designated List
(Amendments)
Please refer to Section 52 of our Master Direction on Know Your Customer dated
February 25, 2016 as amended on May 04 , 2023 (MD on KYC), in terms of which, inter
alia, “REs shall ensure meticulous compliance with the “Procedure for Implementation of
Section 12A of the Weapons of Mass Destruction (WMD) and their Delivery Systems
(Prohibition of Unlawful Activities) Act, 2005” laid down in terms of Section 12A of the
WMD Act, 2005 vide Order dated January 30, 2023, by the Ministry of Finance,
Government of India (Annex III of the Master Direction on Know Your Customer).”
2. Further, in terms of Section 53 of our MD on KYC, “REs shall verify every day, the
‘UNSCR 1718 Sanctions List of Designated Individuals and Entities‘, as available at
https://www.mea.gov.in/Implementation-of-UNSC-Sanctions-DPRK.htm, to take into
account any modifications to the list in terms of additions, deletions or other changes and
also ensure compliance with the ‘Implementation of Security Council Resolution on
Democratic People’s Republic of Korea Order, 2017’, as amended from time to time by
the Central Government”.
3. A reference is also invited to our circular DOR.AML.REC.23/14.06.001/2023-24 dated
July 04, 2023, communicating thereby the Consolidated List of UNSC Designated /
Sanctioned Individuals and Entities under the UNSC Resolutions relating to non-
proliferation. Certain amendments to the entries in the List were notified vide our circular
DOR. AML.REC.24/14.06.001/2023-24 dated July 04, 2023.
िविनयमन िवभाग, क�द्रीय काया�लय, क�द्रीय काया�लय भवन, 12वी/ं 13वी ं मंिज़ल, शहीद भगत िसंह माग�, फोट�, मुंबई- 400001
टेलीफोन/ Tel No: 22661602, 22601000 फै�/ Fax No: 022-2270 5691
Department of Regulation, Central Office, Central Office Building, 12th/ 13th Floor, Shahid Bhagat Singh Marg, Fort, Mumbai - 400001
"Caution: RBI never sends mails, SMSs or makes calls asking for personal information like bank account details, passwords, etc. It never keeps or offers funds to anyone. Please
do not respond in any manner to such offers."-2-
4. In this regard, Ministry of External Affairs (MEA), GoI has informed that the UNSC
Committee established pursuant to resolution 1718(2006) enacted the amendments,
specified with strikethrough and/or underline in certain entries on its Sanctions List of
individuals and entities (enclosed with this circular). Hence, the ‘designated list’ (as
referred in Para 2.1 and other relevant paras of the aforementioned Order dated January
30, 2023) communicated vide our circular DOR.AML.REC.23/14.06.001/2023-24 dated
July 04, 2023 is amended in accordance with the changes in these relevant entries.
5. The latest version of the UNSC Sanctions lists on DPRK & Iran are accessible on the
UN Security Council’s website at the following URLs:
https://www.un.org/securitycouncil/sanctions/1718
https://www.un.org/securitycouncil/content/2231/list
6. The REs are advised to take note of the aforementioned communications and ensure
meticulous compliance.
Yours faithfully,
(Santosh Kumar Panigrahy)
Chief General Manager
Encl: As above