RBI UAPA Terrorist Organisation Designation Notice September 2026

The Reserve Bank of India has issued a crucial regulatory notice regarding the designation of terrorist organizations under the Unlawful Activities (Prevention) Act, 1967. All regulated financial institutions must strictly adhere to the updated compliance guidelines and statutory orders issued by the Ministry of Home Affairs.

Overview of RBI Notice on UAPA Designation

The Reserve Bank of India released notification RBI/2026-2027/270 on September 24, 2026, addressed to all commercial banks, small finance banks, payment banks, co-operative banks, non-banking financial companies, and other financial institutions. This communication directs regulated entities to implement mandatory requirements under international agreements and statutory obligations concerning Know Your Customer frameworks. Financial institutions are required to carefully review customer databases and transactional records to ensure absolute compliance with the statutory orders and amendments notified by the central government.

Key Details Table

Feature	Details
Regulatory Body	Reserve Bank of India (RBI)
Circular Number	RBI/2026-2027/270
Department	Department of Regulation (DOR.AML.REC.233/14.06.001/2026-27)
Notice Subject	Designation of terrorist organisation under UAPA, 1967
Issuance Date	September 24, 2026
MHA Notification Date	September 16, 2026
Official Website	https://www.rbi.org.in

Important Dates

Event Description	Date
MHA Notification Issued	September 16, 2026
RBI Circular Published	September 24, 2026

Compliance Mandates for Regulated Entities

Regulated entities must meticulously follow the procedures outlined in the UAPA Order dated February 2, 2021, incorporated within the Reserve Bank of India Know Your Customer Directions, 2025. Financial institutions are instructed to check for any customer profiles, accounts, or financial relationships that resemble individuals or entities mentioned in the updated statutory lists. If any matching accounts or entities are identified, institutions must report the complete details directly to the Financial Intelligence Unit - India (FIU-IND) while also advising the Ministry of Home Affairs as mandated.

The recent directive emphasizes that the statutory obligations apply directly to amendments carried out in Schedule I and Schedule IV of the Unlawful Activities (Prevention) Act, 1967. Regulated entities must remain vigilant regarding future modifications to these schedules for immediate compliance without delay.

Statutory Order and Entity Details

Based on the Ministry of Home Affairs notifications dated September 16, 2026, specific statutory orders have classified new entities under the First Schedule of the UAPA, 1967, pursuant to clause (a) of sub-section (1) of section 35. The relevant statutory order number and designation detail is outlined below:

• Statutory Order Number 5080(E): Entry number 46, designated as "Shahzad Bhatti Network (SBN)".

Regulated entities are expected to take official note of this Gazette notification published by the Ministry of Home Affairs for immediate execution and necessary compliance across all banking and financial operations.

What Affected Entities and Readers Should Do Next

Financial institutions, compliance officers, and relevant entities should immediately review the official circular published on the Reserve Bank of India web portal. Compliance teams must screen existing customer databases against the newly added entry "Shahzad Bhatti Network (SBN)" under Statutory Order 5080(E). Any suspicious matches or resemblance found in accounts must be reported promptly to the Financial Intelligence Unit - India and the Ministry of Home Affairs in accordance with the standard operating procedures of the KYC Master Directions.