Compliance Reporting

AUSTRAC Compliance Reporting period is approaching, and it’s time to start thinking about conducting an independent annual review.

Who needs to report?

Compliance Reporting is required for:

  • Venues that are licensed for 16 or more electronic gaming machines, who do not provide any other designated services.
  • Member of a designated business group (DBG)

What is an Independent Review?

An independent review is an assessment of Part A of your AML/CTF compliance program. Additionally, it checks that you’re complying with your program, and the program is still suitable for your business.

Some areas the review examine should include:

  • whether Part A of your AML/CTF compliance program is current and adequately assesses that your policies and procedures are adequate to manage your money laundering/terrorism financing risks
  • any changes to your money laundering/terrorism financing risk profile
  • any changes to your AML/CTF compliance practices and policies
  • how well your employees understand and comply with your AUSTRAC program
  • how well the business responded to previous recommendations
  • whether your AML/CTF employee training program (Staff Awareness Training Program) is adequate and effective
  • whether your compliance officer has enough seniority and authority
  • how well your transaction monitoring systems are working in identifying suspicious matters

Compliance report

All questions in the compliance report refer to your business activities from 1 January to 31 December. Most importantly, once your independent review has been conducted, you must complete and submit the AUSTRAC compliance report between 2 January and 31 March.

Do penalties apply for failing to submit an AML/CTF compliance report?

Yes. Failure to submit an AML/CTF compliance report can result in:

  • an infringement notice of up to $12,600 if the owner is a company or $2,520 if the owner is an individual; or
  • a civil penalty order of up to $21 million for a company or up to $4.2 million for an individual.

Provision of false or misleading information in an AML/CTF compliance report is a criminal offense and can incur a penalty of imprisonment for ten years or $2.1 million, or both.

RCA Group can assist you with your annual Compliance Report.