Overview of Australian AML regulations

Australia's AML framework is built on the Anti-Money Laundering and Counter-Terrorism Financing Act 2006, supervised by AUSTRAC. The framework is undergoing significant expansion through "Tranche 2" reforms that will extend AML obligations to DNFBPs.

Tranche 2 reforms

Australia is one of the last FATF members to extend AML obligations to non-financial businesses. The Tranche 2 reforms will bring lawyers, accountants, real estate agents, and precious metals dealers under AUSTRAC supervision. Businesses should prepare now by implementing screening processes and CDD procedures.

AUSTRAC enforcement

AUSTRAC has imposed some of the largest AML penalties globally, including a $450 million fine against Crown Resorts. The regulator has signalled that Tranche 2 entities can expect the same enforcement intensity. See our Penalty Tracker for details.

Australian sanctions

The Department of Foreign Affairs and Trade (DFAT) maintains Australia's autonomous sanctions list under the Autonomous Sanctions Act 2011. Australia also implements UN Security Council sanctions through the Charter of the United Nations Act.