Tuesday, 24 July 2018

UAPA 1967

The Unlawful Activities (Prevention) Act, 1967 (UAPA) has been amended and notified
on 31.12.2008, which, inter-alia, inserted Section 51A to the Act. Section 51A reads as under:-
"51A. For the prevention of, and for coping with terrorist activities, the Central
Government shall have power to –
(a) freeze, seize or attach funds and other financial assets or economic resources
held by, on behalf of or at the direction of the individuals or entities Listed in the Schedule
to the Order, or any other person engaged in or suspected to be engaged in terrorism;
(b) prohibit any individual or entity from making any funds, financial assets or
economic resources or related services available for the benefit of the individuals or
entities Listed in the Schedule to the Order or any other person engaged in or suspected
to be engaged in terrorism;
(c) prevent the entry into or the transit through India of individuals Listed in the
Schedule to the Order or any other person engaged in or suspected to be engaged in
terrorism",

The Unlawful Activities (Prevention) Act define "Order" as under:-

"Order" means the Prevention and Suppression of Terrorism (Implementation of Security
Council Resolutions) Order, 2007, as may be amended from time to time.
In order to expeditiously and effectively implement the provisions of Section 51A, the
following procedures shall be followed:-
Appointment and Communication of details of UAPA nodal officers
2. As regards appointment and communication of details of UAPA nodal officers -
(i) The UAPA nodal officer for IS-I division would be the Joint Secretary (IS.I),
Ministry of Home Affairs. His contact details are 011-23092736(Tel), 011-
23092569(Fax) and e-mail.
(ii) The Ministry of External Affairs, Department of Economic Affairs, Foreigners
Division of MHA, FIU-IND; and RBI, SEBI, IRDA (hereinafter referred to as Regulators)
shall appoint a UAPA nodal officer and communicate the name and contact details to
the IS-I Division in MHA.
(iii) The States and UTs should appoint a UAPA nodal officer preferably of the rank
of the Principal Secretary/Secretary, Home Department and communicate the name
and contact details to the IS-I Division in MHA.
(iv) The IS-I Division in MHA would maintain the consolidated list of all UAPA nodal
officers and forward the list to all other UAPA nodal officers.
(v) The RBI, SEBI, IRDA should forward the consolidated list of UAPA nodal officers
to the banks, stock exchanges/depositories, intermediaries regulated by SEBI and
insurance companies respectively.
(vi) The consolidated list of the UAPA nodal officers should be circulated to the nodal
officer of IS-I Division of MHA in July every year and on every change. Joint


Secretary(IS-I), being the nodal officer of IS-I Division of MHA, shall cause the
amended list of UAPA nodal officers to be circulated to the nodal officers of Ministry of
External Affairs, Department of Economic Affairs, Foreigners Division of MHA, RBI,
SEBI, IRDA and FIU-IND.
Communication of the list of designated individuals/entities
3. As regards communication of the list of designated individuals/entities-
(i) The Ministry of External Affairs shall update the list of individuals and entities
subject to UN sanction measures on a regular basis. On any revision, the Ministry of
External Affairs would electronically forward



this list to the Nodal Officers in Regulators, FIU-IND, IS-I Division and Foreigners'
Division in MHA.
(ii) The Regulators would forward the list mentioned in (i) above (referred to as
designated lists) to the banks, stock exchanges/depositories, intermediaries regulated
by SEBI and insurance companies respectively.
(iii) The IS-I Division of MHA would forward the designated lists to the UAPA
nodal officer of all States and UTs.
(iv) The Foreigners Division of MHA would forward the designated lists to the
immigration authorities and security agencies.
Regarding funds, financial assets or economic resources or related services held in the
form of bank accounts, stocks or insurance policies etc.
4. As regards funds, financial assets or economic resources or related services held in
the form of bank accounts, stocks or insurance policies etc., the Regulators would forward the
designated lists to the banks, stock exchanges/depositories, intermediaries regulated by SEBI
and insurance companies respectively. The RBI, SEBI and IRDA would issue necessary
guidelines to banks, stock exchanges/depositories, intermediaries regulated by SEBI and
insurance companies requiring them to -
(i) Maintain updated designated lists in electronic form and run a check on the given
parameters on a regular basis to verify whether individuals or entities listed in the
schedule to the Order (referred to as designated individuals/entities) are holding any
funds, financial assets or economic resources or related services held in the form of bank
accounts, stocks or insurance policies etc. with them.
(ii) In case, the particulars of any of their customers match with the particulars of
designated individuals/entities, the banks, stock exchanges/ depositories, intermediaries
regulated by SEBI and insurance companies shall immediately, not later than 24 hours
from the time of finding out such customer, inform full particulars of the funds, financial
assets or economic resources or related services held in the form of bank accounts,
stocks or insurance policies etc. held by such customer on their books to the Joint


Secretary (IS.I), Ministry of Home Affairs, at Fax No.011-23092569 and also convey over
telephone on 011-23092736. The particulars apart from being sent by post should
necessarily be conveyed on e-mail.
(iii) The banks, stock exchanges/ depositories, intermediaries regulated by SEBI and
insurance companies shall also send by post a copy of the communication mentioned in
(ii) above to the UAPA nodal officer of the


state/ UT where the account is held and Regulators and FIU-IND, as the case may be.
(iv) In case, the match of any of the customers with the particulars of designated
individuals/entities is beyond doubt, the banks stock exchanges / depositories,
intermediaries regulated by SEBI and insurance companies would prevent designated
persons from conducting financial transactions, under intimation to Joint Secretary (IS.I),
Ministry of Home Affairs, at Fax No. 011-23092569 and also convey over telephone on
011-23092736. The particulars apart from being sent by post should necessarily be
conveyed on e-mail.
(v) The banks, stock exchanges/depositories, intermediaries regulated by SEBI and
insurance companies shall file a Suspicious Transaction Report (STR) with FIU-IND
covering all transactions in the accounts covered by paragraph (ii) above , carried
through or attempted, as per the prescribed format.
5. On receipt of the particulars referred to in paragraph 3(ii) above, IS-I Division of MHA
would cause a verification to be conducted by the State Police and/or the Central Agencies so as
to ensure that the individuals/entities identified by the banks, stock exchanges/depositories,
intermediaries regulated by SEBI and Insurance Companies are the ones listed as designated
individuals/entities and the funds, financial assets or economic resources or related services,
reported by banks, stock exchanges/depositories, intermediaries regulated by SEBI and
insurance companies are held by the designated individuals/entities. This verification would be
completed within a period not exceeding 5 working days from the date of receipt of such
particulars.
6. In case, the results of the verification indicate that the properties are owned by or held
for the benefit of the designated individuals/entities, an order to freeze these assets under section
51A of the UAPA would be issued within 24 hours of such verification and conveyed electronically
to the concerned bank branch, depository, branch of insurance company branch under intimation
to respective Regulators and FIU-IND. The UAPA nodal officer of IS-I Division of MHA shall also
forward a copy thereof to all the Principal Secretary/Secretary, Home Department of the States or
UTs, so that any individual or entity may be prohibited from making any funds, financial assets or
economic assets or economic resources or related services available for the benefit of the
designated individuals/entities or any other person engaged in or suspected to be engaged in
terrorism. The UAPA nodal officer of IS-I Division of MHA shall also forward a copy of the order
under Section 51A, to all Directors General of Police/Commissioners of Police of all states/UTs
for initiating action under the provisions of Unlawful Activities (Prevention) Act.
The order shall take place without prior notice to the designated individuals/entities.


Regarding financial assets or economic resources of the nature of immovable properties.
7. IS-I Division of MHA would electronically forward the designated lists to the UAPA nodal
officer of all States and UTs with the request to have the names of the designated
individuals/entities, on the given parameters, verified from the records of the office of the
Registrar performing the work of registration of immovable properties in their respective
jurisdiction.
8. In case, the designated individuals/entities are holding financial assets or economic
resources of the nature of immovable property and if any match with the designated
individuals/entities is found, the UAPA nodal officer of the State/UT would cause communication
of the complete particulars of such individual/entity along with complete details of the financial
assets or economic resources of the nature of immovable property to the Joint Secretary (IS.I),
Ministry of Home Affairs, immediately within 24 hours at Fax No.011-23092569 and also convey
over telephone on 011-23092736. The particulars apart from being sent by post should
necessarily be conveyed on e-mail.
9. The UAPA nodal officer of the State/UT may cause such inquiry to be conducted by the
State Police so as to ensure that the particulars sent by the Registrar performing the work of
registering immovable properties are indeed of these designated individuals/entities. This
verification would be completed within a maximum of 5 working days and should be conveyed
within 24 hours of the verification, if it matches with the particulars of the designated
individual/entity to Joint Secretary(IS-I), Ministry of Home Affairs at the Fax telephone numbers
and also on the e-mail id given below.
10. A copy of this reference should be sent to the Joint Secretary (IS.I), Ministry of Home
Affairs, at Fax No.011-23092569 and also convey over telephone on 011-23092736. The
particulars apart from being sent by post would necessarily be conveyed on e-mail. MHA may
have the verification also conducted by the Central Agencies. This verification would be
completed within a maximum of 5 working days.
11. In case, the results of the verification indicate that the particulars match with those of
designated individuals/entities, an order under Section 51A of the UAPA would be issued within
24 hours, by the nodal officer of IS-I Division of MHA and conveyed to the concerned Registrar


performing the work of registering immovable properties and to FIU-IND under intimation to the
concerned UAPA nodal officer of the State/UT.
The order shall take place without prior notice, to the designated individuals/entities.
12. Further, the UAPA nodal officer of the State/UT shall cause to monitor the
transactions/accounts of the designated individual/entity so as to prohibit any individual or entity
from making any funds, financial assets or economic resources or related services available for
the benefit of the individuals or entities listed in the schedule to the order or any other person
engaged in or suspected to be engaged in terrorism. The UAPA nodal officer of the State/UT
shall upon coming to his notice, transactions and attempts by third party immediately bring to the
notice of the DGP/Commissioner of Police of the State/UT for also initiating action under the
provisions of Unlawful Activities (Prevention) Act.
Implementation of requests received from foreign countries under U.N. Security Council
Resolution 1373 of 2001.
13. U.N. Security Council Resolution 1373 obligates countries to freeze without delay the
funds or other assets of persons who commit, or attempt to commit, terrorist acts or participate in
or facilitate the commission of terrorist acts; of entities owned or controlled directly or indirectly by
such persons; and of persons and entities acting on behalf of, or at the direction of such persons
and entities, including funds or other assets derived or generated from property owned or
controlled, directly or indirectly, by such persons and associated persons and entities. Each
individual country has the authority to designate the persons and entities that should have their
funds or other assets frozen. Additionally, to ensure that effective cooperation is developed
among countries, countries should examine and give effect to, if appropriate, the actions initiated
under the freezing mechanisms of other countries.
14. To give effect to the requests of foreign countries under U.N. Security Council Resolution
1373, the Ministry of External Affairs shall examine the requests made by the foreign countries
and forward it electronically, with their comments, to the UAPA nodal officer for IS-I Division for
freezing of funds or other assets.
15. The UAPA nodal officer of IS-I Division of MHA, shall cause the request to be examined,
within 5 working days so as to satisfy itself that on the basis of applicable legal principles, the
requested designation is supported by reasonable grounds, or a reasonable basis, to suspect or
believe that the proposed designee is a terrorist, one who finances terrorism or a terrorist
organization, and upon his satisfaction, request would be electronically forwarded to the nodal
officers in Regulators. FIU-IND and to the nodal officers of the States/UTs. The proposed
designee, as mentioned above would be treated as designated individuals/entities.


16. Upon receipt of the requests by these nodal officers from the UAPA nodal officer of IS-I
Division, the procedure as enumerated at paragraphs 4 to 12 above shall be followed.


The freezing orders shall take place without prior notice to the designated persons
involved.
Procedure for unfreezing of funds, financial assets or economic resources or related
services of individuals/entities inadvertently affected by the freezing mechanism upon
verification that the person or entity is not a designated person
17. Any individual or entity, if it has evidence to prove that the freezing of funds, financial
assets or economic resources or related services, owned/held by them has been inadvertently
frozen, they shall move an application giving the requisite evidence, in writing, to the concerned
bank, stock exchanges/depositories, intermediaries regulated by SEBI, insurance companies,
Registrar of Immovable Properties and the State/UT nodal officers.
18. The banks stock exchanges/depositories, intermediaries regulated by SEBI, insurance
companies, Registrar of Immovable Properties and the State/UT nodal officers shall inform and
forward a copy of the application together with full details of the asset frozen given by any
individual or entity informing of the funds, financial assets or economic resources or related
services have been frozen inadvertently, to the nodal officer of IS-I Division of MHA as per the
contact details given in paragraph 4(ii) above within two working days.
19. The Joint Secretary (IS-I), MHA, being the nodal officer for (IS-I) Division of MHA, shall
cause such verification as may be required on the basis of the evidence furnished by the
individual/entity and if he is satisfied, he shall pass an order, within 15 working days, unfreezing
the funds, financial assets or economic resources or related services, owned/held by such
applicant under intimation to the concerned bank, stock exchanges/depositories, intermediaries
regulated by SEBI, insurance company and the nodal officers of States/UTs. However, if it is not
possible for any reason to pass an order unfreezing the assets within fifteen working days, the
nodal officer of IS-I Division shall inform the applicant.
Communication of Orders under section 51A of Unlawful Activities (Prevention) Act.
20. All Orders under section 51A of Unlawful Activities (Prevention) Act, relating to funds,
financial assets or economic resources or related services, would be communicated to all banks,
depositories/stock exchanges, intermediaries regulated by SEBI, insurance companies through
respective Regulators, and to all the Registrars performing the work of registering immovable
properties, through the State/UT nodal officer by IS-I Division of MHA.


Regarding prevention of entry into or transit through India

21. As regards prevention of entry into or transit through India of the designated individuals, the
Foreigners Division of MHA, shall forward the designated lists to the immigration authorities and
security agencies with a request to prevent the entry into or the transit through India. The order
shall take place without prior notice to the designated individuals/entities.
22. The immigration authorities shall ensure strict compliance of the Orders and also
communicate the details of entry or transit through India of the designated individuals as
prevented by them to the Foreigners' Division of MHA.
Procedure for communication of compliance of action taken under Section 51A.
23. The nodal officers of IS-I Division and Foreigners Division of MHA shall furnish the details
of funds, financial assets or economic resources or related services of designated
individuals/entities frozen by an order, and details of the individuals whose entry into India or
transit through India was prevented, respectively, to the Ministry of External Affairs for onward
communication to the United Nations

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