Active Incident: VYP-IR-20260926 FIU-IND Suspicious Transaction Risk

Regulatory Compliance & Incident Audit Center

Continuous compliance validation powered by IBM Bob 2.0 Document Understanding (`RISK_SCORING.md`).

Jurisdiction
Reserve Bank of India (RBI) / FIU-IND

Statutory Penalty & Regulatory Exposure Calculator

Under PMLA 2002 & RBI KYC Master Directions Section 29, failure to file STRs incurs direct statutory penalties.

Computed by replaying 500 historical settlement transactions through the pre-fix scoring engine — see replay_audit.py (8 suppressed transactions identified).

Estimated Maximum Fine
₹5.00 Crore
50
Statutory Fine per Violation:
₹10,00,000 / occurrence
RBI Master Direction Rule 29(c)
Regulatory Action Category:
Formal Supervisory Sanction
Mandatory Board of Directors disclosure
P0 CRITICAL KYC §29

Structuring Threshold Narrowing

The Defect: Upper bound capped at ₹49.5L instead of ₹51L.

Compliance Violation:
Transactions averaging ₹49.5L to ₹51L (including ₹50.0L) are NOT flagged. Suspicious Transaction Reports (STRs) to FIU-IND are silently suppressed.
Fix: 49_50_000 → self.STRUCTURING_UPPER_BOUND
P0 CRITICAL PMLA 2002

Velocity Monitoring Suppression

The Defect: `compute_time_span_hours()` divides by 60 instead of 3600.

Compliance Violation:
Calculated velocity is 60x too low. Multi-crore rapid transfers exceeding ₹1 Cr/hr never trigger rapid succession or time compression controls.
Fix: delta_seconds / 60 → delta_seconds / 3600
P1 HIGH RBI Typology

Circular Flow Comparator Bug

The Defect: Checks `first.sender == last.sender` instead of receiver.

Compliance Violation:
Circular RTGS money laundering patterns (A → B → C → A) go undetected. Fails RBI anti-fraud circular guidelines.
Fix: chain[-1].sender → chain[-1].receiver

Tri-Party Compliance Sign-Off Workflow

Required prior to deploying remediation patches to production RTGS settlement nodes.

PENDING SIGN-OFF
1. Chief Compliance Officer
FIU-IND STR Disclosure Verification
Awaiting digital approval...
2. Lead Systems Architect
Code Fix Verification (12/12 Green)
Awaiting digital approval...
3. Chief Information Security Officer
Production Gate & Deployment Release
Awaiting digital approval...

Formal Incident Transcript (COMPLIANCE_INCIDENT_REPORT.txt)

============================================================================ VYAAPTI COMPLIANCE INCIDENT REPORT Auto-generated by Test-Triage Copilot (IBM Bob 2.0) ============================================================================ Report ID : VYP-IR-20260926-012608 System : Vyaapti RTGS Risk-Chain Analyzer Severity : CRITICAL (P0) Status : OPEN - Requires Immediate Remediation ---------------------------------------------------------------------------- EXECUTIVE SUMMARY ---------------------------------------------------------------------------- Automated test-triage analysis detected 2 COMPLIANCE-RELEVANT regressions. These bugs silently disable mandatory fraud-detection controls required by RBI Master Directions and the Prevention of Money Laundering Act (PMLA). Remediation Code Fixes Generated: 1. chain_scoring.py:55: delta_seconds / 60 -> delta_seconds / 3600 2. chain_scoring.py:82: 49_50_000 -> self.STRUCTURING_UPPER_BOUND (51_00_000) 3. chain_scoring.py:67: chain[0].sender == chain[-1].receiver ---------------------------------------------------------------------------- REGULATORY CITATIONS: - RBI Master Direction on KYC, Section 29 (Structuring Avoidance) - Prevention of Money Laundering Act, 2002 (Velocity Controls) - FIU-IND Circular on Suspicious Transaction Reporting Obligations ============================================================================