SEBI Directs Market Intermediaries to Verify Client Accounts to Eliminate Terror Links

This article covers SEBI’s directive mandating all market intermediaries — including brokers, depositories, and mutual-fund houses — to re-verify client accounts in light of updated UN sanctions lists involving ISIL (Daesh) and Al-Qaida entities. The step follows amendments to the ISIL-Daesh sanctions regime by the UN Security Council. SEBI has asked intermediaries to ensure compliance with PMLA and KYC norms, freeze or report any accounts linked to designated individuals, and maintain due-diligence records. The article highlights India’s commitment to global counter-terror financing standards and the importance of enhanced surveillance in capital markets. It stresses how SEBI’s circular integrates international obligations with domestic securities-law enforcement.