Latest KYC amendment related to Customer Due Diligence (CDD)

The Customer Due Diligence (CDD) measures in the case of non-individual customers, individual customers, and Sole Proprietary Firms have been amended in the latest Master Direction dated April 28, 2023, on KYC to include certain additional information/document requirements.

(a) Companies:

(i) The names of the relevant persons holding senior management positions; and

(ii) The registered office and the principal place of its business, if it is different.

(b) Partnership firms:

(i) The names of all the partners; and

(ii) Address of the registered office, and the principal place of its business, if it is different

(c) Trusts:

(i) The names of the beneficiaries, trustees, settlor, and authors of the trust

(ii) The address of the registered office of the trust; and

(iii) List of trustees and documents, as specified in Section 16, for that discharging role as trustee and authorised to transact on behalf of the trust.

Further, Section 33B has been amended to extend its applicability to a customer who purports to act on behalf of a juridical person or individual, or trust.

Customer Due Diligence (CDD) of Individuals:

Section 16 has been amended to specifically provide that REs can obtain KYC Identifier with explicit customer consent to download KYC records from CKYCR, for the purpose of CDD. CDD Measures for Sole Proprietary Firms: Section 28 has been amended to clarify that “Registration certificate” as a proof of business/ activity in the name of the proprietary firm includes “Udyam Registration Certificate (URC) issued by the Government”.

To know the ‘Video based Customer Identification Process’ click:’V-CIP‘

To know the ‘AMENDMENT TO PREVENTION OF MONEY LAUNDERING ACT AND IMPACT’ click Prevention of Money Laundering

To know the latest changes in KYC click: Amendment

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