The International Financial Services Centres Authority (IFSCA) (hereinafter referred to as the “Authority”) vide Circular bearing reference number F. No. IFSCA-DAC/7/2024-AMLCFT/01 dated 05th June 2025 has issued a Circular on “Modifications under the International Financial Services Centres Authority (Anti Money Laundering, Counter-Terrorist Financing and Know Your Customer) Guidelines, 2022” (“Circular”), along with a List of AML Compliance on the same date.
The key modifications introduced in the International Financial Services Centres Authority (Anti Money Laundering, Counter-Terrorist Financing and Know Your Customer) Guidelines, 2022 (“Guidelines”) are as follows:
- Omission of words in Clause 1.3.30 of the Guidelines
The words “city council tax receipts” and the punctuation mark “,” have been omitted from sub-point (ii) of the third proviso to Clause 1.3.30 of the Guidelines.
- Substitution of Guidance Note (3) to Clause 5.4.3 of the Guidelines
Where a customer submits documents other than a Post Office Savings Bank Account Statement or a Bank Statement (including foreign bank statements) as proof of address, the customer shall submit an updated Officially Valid Document (OVD) or equivalent electronic document containing the current address within three months.
Explanation:
A Post Office Savings Bank Account Statement or a Foreign Bank Account Statement may be accepted as proof of address under simplified measures only when such documents are submitted in accordance with Clause 1.3.30 of the Guidelines.
- Substitution of Sub-clause (b) to Clause 11.6 of the Guidelines
While establishing an account-based relationship, verifying the identity of a customer, or carrying out ongoing due diligence, the Regulated Entity shall either obtain the customer’s Know Your Customer (KYC) information directly from the customer or retrieve the customer’s KYC information from the Central KYC Registry (CKYCR) using the KYC Identifier.
Fresh or additional KYC records may be obtained in the following situations:
- Where there is any change in the customer’s information available in the CKYCR.
- Where the KYC record is incomplete or does not comply with the applicable KYC requirements.
- Where the validity of the downloaded KYC documents has expired.
- Where the Regulated Entity considers it necessary to verify the customer’s identity or address or undertake enhanced due diligence to establish an appropriate risk profile.
- Insertion of a new Sub-clause (b) under Clause 11.6 of the Guidelines
Where a Regulated Entity obtains updated information from a customer, it shall submit the updated information to the Central KYC Registry (CKYCR) within seven days or within such period as may be prescribed by the Central Government.
Upon updating the KYC record, the CKYCR shall electronically notify all Regulated Entities that have previously dealt with the customer. Such Regulated Entities shall retrieve and update the revised KYC information in their own records.
These requirements are applicable to Payment Service Providers, Finance Companies (Core), IFSC Banking Units, Bullion Trading Members, Bullion Clearing Members, Broker Dealers, Depository Participants, Investment Advisers, Fund Management Entities, General Insurance Companies, and Life Insurance Companies.
- Substitution of the Guidance Note to Clause 11.6 of the Guidelines
Under Rule 9A, Regulated Entities are required to upload the KYC records of Indian nationals to the Central KYC Registry (CKYCR). This requirement is not mandatory for foreign nationals.
However, where a Regulated Entity voluntarily uploads the KYC records of a foreign national, documents issued by a foreign government department or a letter issued by a Foreign Embassy or Mission in India may be accepted as proof of the customer’s current address.
In such cases, one of the following Officially Valid Documents (OVDs) shall also be obtained as proof of identity and address:
- Passport
- Driving Licence
- Voter Identity Card
Source category: IFSC Insurance Office
Attachments
- Modifications under the IFSCA Anti Money Laundering Counter Terrorist Financing and Know Your Customer Guidelines 2022
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