Mumbai, Oct 26: The Securities and Exchange Board of India (SEBI) has warned all stock exchanges and other securities intermediaries to stay wary of United Nations-listed terror funding entities, and has directed them to inform the Home Ministry within 24-hours if they learn of any such clients.
"In the event, particulars of any of customers match the particulars of designated individuals or entities, stock exchanges, depositories and intermediaries shall immediately, not later than 24 hours ... inform full particulars ... (to) Ministry of Home Affairs," a statement issued by the market regulator reads.
And if a customer's details match the particulars of designated individuals or entities in the list 'beyond doubt', then the securities intermediaries "would prevent designated persons from conducting financial transactions", under intimation to the Home Ministry, SEBI added.
When the home ministry receives any particulars in connection with the UN-listed terror funding entities which even includes the name of the underworld don Dawood Ibrahim, the ministry will initiate a verification which will be conducted by the state police and central agencies.
And as per the norms the verification process takes five days to complete.