Draft AML Rules for Phase 1.5 reforms

AUSTRAC has released proposed amendments to the Anti-Money Laundering and Counter-Terrorism Financing Rules for public consultation:

The Rule changes will implement reforms made by the Anti-Money Laundering and Counter-Terrorism Financing and Other Legislation Amendment Act 2020 (Phase 1.5 reforms). Background.

The changes include changes to Chapter 3 – Correspondent banking, Chapter 6 – Customer identification and verification, Chapter 7 – Reliance on customer identification carried out by another reporting entity, and Chapter 10 – Gambling services.

Customer due diligence
The proposed changes to Chapter 6 specify the requirements for a reporting entity when it has doubts about the veracity or adequacy of previously obtained know your customer information.

The proposed changes to Chapter 7 deal with a reliance agreement or arrangement with another person for the identification and verification of customers, beneficial owners and agents.

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David Jacobson

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.

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