From 1 June 2014, new AML/CTF Rules require ‘reporting entities’ to implement enhanced customer identification procedures.
Here’s a quick summary of the new requirements and what you need to do about them.
What to do?
The good news is that AUSTRAC won’t be enforcing these requirements until 1 January 2016, provided you take some action now. Here’s what you need to do:
Make sure you document your plan and get it approved by your Board. After that, monitor progress against it on a regular basis as AUSTRAC might ask you for information about how you are getting on!
Remember – if you’re a financial planner you’re only a ‘reporting entity’ if you hold an AFSL, although you will need to meet the new customer identification requirements on behalf of your licensee.
The AML/CTF Rules are complicated - so when in doubt, seek legal advice. We’re always happy to help.
Author: Lesley Hambusch