The Australian Government has introduced significant reforms to the Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) frameworks, with wide-reaching effects for industries handling high-risk services. Here’s a quick breakdown:
Key changes:
Expanded Coverage: New sectors including real estate, precious metals dealers, and professional service providers (like lawyers, accountants, and conveyancers) are now subject to the AML/CTF Act.
Digital Currency Regulation: The reforms strengthen regulation of the virtual assets sector, including services like safekeeping and transfers of virtual assets on behalf of customers.
Streamlined Compliance: New, simplified rules for customer due diligence (CDD), allowing for more flexible risk mitigation and enhanced compliance.
AUSTRAC Powers: The reforms grant AUSTRAC greater powers to obtain information and enforce compliance with AML/CTF laws, ensuring tighter controls on financial crimes.
What this means for you:
• New reporting requirements for high-risk businesses and industries.
• Tighter due diligence and risk management practices, especially in the growing digital asset space.
• Increased regulatory oversight for financial institutions.
These changes will affect all businesses involved in financial services, virtual assets, and high-risk sectors. Make sure your AML/CTF compliance programs are up to date to meet these new obligations.
