The Anti-Money Laundering and Counter-Terrorism Financing and Other Legislation Amendment Bill 2019 has been passed by both houses, without the amendment proposed in the Senate. It is awaiting Royal Assent. Background.
UPDATE: Royal Assent was given on 18 December 2020.
Consequently, the changes to customer identification procedures, correspondent banking, tipping off and secrecy provisions will commence on 18 June 2021.
The Greens’ amendment would have required the inclusion of real estate agents, accountants, and lawyers as designated services regulated by the AML/CTF Act.
The Bill will amend the AML/CTF Act to:
• update provisions relating to reporting entities’ customer due diligence obligations, including by expanding the circumstances under which they may rely on procedures undertaken by third parties;
• place stricter controls around correspondent banking relationships
• update and simplify the ‘tipping off’ offence (the offence is intended to prevent information about a suspicious matter report made by a reporting entity from reaching the person to whom the report related);
• update secrecy offences and provisions regulating access to Australian Transaction Reports and Analysis Centre (AUSTRAC) information; and
• consolidate currently separate reporting requirements for cross-border movements of physical currency and bearer negotiable instruments.
The changes to identification procedures, correspondent banking, the tipping-off offence, and secrecy and access will commence on a day or days to be fixed by proclamation or six months after Royal Assent, whichever occurs first.
The changes to reports about cross-border movements of monetary instruments will commence on proclamation or 18 months after Royal Assent, whichever occurs first.
Money laundering offences in the Criminal Code will commence the day after Royal Assent.
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Author: David Jacobson
Principal, Bright Corporate Law
About David Jacobson
The information contained in this article is not legal advice. It is not to be relied upon as a full statement of the law. You should seek professional advice for your specific needs and circumstances before acting or relying on any of the content.