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AU: AML/CTF Act 2006

Regulator APRA
Jurisdiction AU
Status live
Applicability Platform

The Anti-Money Laundering and Counter-Terrorism Financing Act 2006 is Australia's primary AML/CTF legislation. It requires reporting entities to enrol with AUSTRAC, implement an AML/CTF programme, conduct customer identification, monitor transactions, and report suspicious matters, international funds transfers, and threshold transactions. AUSTRAC is the regulator and supervisor. Major reforms extending the Act to professional services (lawyers, accountants, real estate) progressed through Parliament in 2024–2025 under the AML/CTF Amendment Act 2024.

The Act is closely parallel in structure to New Zealand's AML/CFT Act 2009 but differs in several key areas: AUSTRAC replaces RBNZ as the supervisor; Suspicious Matter Reports (SMRs) replace Suspicious Transaction Reports (STRs); Threshold Transaction Reports (TTRs) apply to cash transactions at or above AUD 10,000; and International Funds Transfer Instructions (IFTIs) are the primary cross-border reporting mechanism, with no equivalent to NZ's CMIRs. Australia is a FATF member — Australia's most recent Mutual Evaluation was 2015 with a follow-up assessment in 2024.

Section references below are indicative — refer to the Act as amended for precise statutory language.


Compliance register

This register maps every material obligation under the Act to the platform control or institutional process that satisfies it. It is the static traceability layer for the Totara compliance report — dynamic data (module build status, test evidence, control test dates) is overlaid at runtime.

Scope legend

Symbol Meaning
🤖 Automated Platform enforces or performs the obligation. Primary control mode is GATE, AUTO, CALC, or ALERT. Human action is not required in the normal case.
📊 Evidenced Platform captures the evidence trail automatically. Human compliance decision sits on top. Primary control mode is LOG.
🏛 Institutional Obligation is met by a process entirely outside the platform — training programmes, board governance, HR, legal. Platform may generate evidence inputs but does not own the process.
N/A Obligation does not apply to this deployment configuration.

Build legend

Symbol Meaning
Module built and deployed
🔨 Module planned — not yet built (build_status: Not started)
Uncontrolled gap — no module attributed

Part 7 — AML/CTF Programme (ss.84–99)

Ref Obligation Scope Policy Platform controls Build
S.84 Maintain an AML/CTF programme — Part A (Board-level governance, risk assessment, oversight) and Part B (customer identification procedures) 📊 Evidenced AML-001 MOD-037 (AUTO) — annual AUSTRAC compliance report data sourced and structured from operational systems; MOD-047 (LOG) — every compliance decision logged; MOD-012 (LOG) — KYC audit trail provides the programme evidence base 🔨
S.85 Risk assessment — conduct and maintain an AML/CTF risk assessment of the reporting entity's ML/TF risk 🤖 Automated AML-001 MOD-039 (AUTO) — customer risk scores computed continuously; MOD-017 (AUTO) — ML behavioural scoring for portfolio-wide risk view 🔨
S.91 Ensure relevant employees trained on AML/CTF obligations 🏛 Institutional AML-010 LMS is an institutional system — not platform scope. MOD-049 (LOG) captures staff consent acknowledgements as a supporting evidence input only.
S.95 Submit annual compliance report to AUSTRAC 🤖 Automated AML-001, REP-003 MOD-037 (AUTO) — annual AML reporting pipeline submits to AUSTRAC automatically; MOD-026 (AUTO) — IFTI data feeds directly into annual compliance report 🔨

Part 2 — Customer Identification and Verification (ss.32–67)

Ref Obligation Scope Policy Platform controls Build
S.32 Customer identification procedure (CIP) — complete before providing a designated service 🤖 Automated AML-003, AML-002 MOD-009 (GATE) — no account activates without verified KYC; MOD-010 (AUTO) — CDD tier assigned by rule engine, not agent discretion 🔨
S.35 Verify identity of individuals — using reliable, independent source documents or data 🤖 Automated AML-003 MOD-009 (AUTO) — eIDV extracts and verifies identity from document biometrics automatically 🔨
S.39 Verify beneficial owners of non-individual customers (≥ 25% threshold) 🤖 Automated AML-002 MOD-133 (GATE) — all trustees and beneficial owners ≥ 25% must individually pass eIDV before trust account activates; MOD-134 (GATE) — all authorised signatories pass eIDV before community account activates 🔨
S.40 Simplified verification — permitted for prescribed low-risk customer categories 🤖 Automated AML-002 MOD-010 (AUTO) — simplified CDD tier applied by rule engine where criteria are met; not agent discretion 🔨
S.36 Enhanced customer due diligence — required for PEPs and high-risk customers 🤖 Automated AML-004, AML-002 MOD-010 (ALERT) — PEP detection triggers EDD tier and senior management notification automatically; MOD-153 (GATE) — PEP cannot be accepted without completed EDD on record 🔨
S.36A High-risk jurisdictions — enhanced due diligence for customers from FATF grey/black list countries 🤖 Automated AML-004 MOD-010 (AUTO) — jurisdiction risk tier applied automatically from FATF list configuration; MOD-013 (GATE) — high-risk country flag escalates to EDD gate 🔨
S.48 Correspondent banking — enhanced due diligence before establishing a correspondent relationship 🤖 Automated AML-009 MOD-154 (GATE) — no payment may be routed through a correspondent without completed due diligence and active approval in the correspondent registry 🔨
S.67 Ongoing customer due diligence — monitor customers and transactions and keep records current 🤖 Automated AML-005, AML-002 MOD-011 (AUTO) — periodic CDD review triggered automatically; MOD-016 (AUTO) — all transactions monitored continuously; MOD-017 (AUTO) — behavioural anomaly detection; MOD-039 (AUTO) — live risk score updates trigger monitoring tier changes 🔨

Part 3 — Reporting Obligations (ss.41–51)

Ref Obligation Scope Policy Platform controls Build
S.41 Suspicious Matter Reports (SMRs) — file with AUSTRAC as soon as practicable (3 business days for property dealings, 24 hours for terrorism financing) 🤖 Automated AML-006 MOD-018 (LOG) — alert-to-SMR pipeline; every alert actioned and disposition recorded; MOD-037 (AUTO) — SMR submission automated and tracked from creation to AUSTRAC acknowledgement; MOD-048 (LOG) — alert dismissals logged with analyst ID and reasoning 🔨
S.41(2) Tipping-off prohibition — must not disclose that an SMR has been or may be filed 🤖 Automated AML-006 MOD-052 (AUTO) — SAR/SMR data accessible only to compliance and legal roles; data-layer segregation enforced, not UI-layer only 🔨
S.43 Threshold Transaction Reports (TTRs) — report cash transactions at or above AUD 10,000 to AUSTRAC 🤖 Automated AML-008 MOD-019 (AUTO) — TTR submitted automatically; no manual data extraction or formatting; MOD-129 (GATE) — cash transactions at or above threshold require identity verification and are submitted to the TTR workflow before posting finalises 🔨
S.45 International Funds Transfer Instructions (IFTIs) — report to AUSTRAC within 10 business days; include sender and recipient details 🤖 Automated AML-008, REP-003 MOD-019 (AUTO) — IFTI reports submitted automatically; MOD-026 (AUTO) — threshold check applied to every cross-border event; MOD-154 (LOG) — correspondent-routed cross-border payments flagged for IFTI evaluation 🔨
S.47 Adequate, accurate, and timely information on wire transfers — originator and beneficiary data in payment messages 🤖 Automated AML-008 MOD-026 (AUTO) — originator and beneficiary data populated on every outbound wire automatically; ISO 20022 structured data used 🔨
S.48A Record-keeping — retain CDD records and transaction records for 7 years 🤖 Automated AML-002 MOD-002 (LOG) — immutable transaction log; MOD-012 (LOG) — CDD records retained and immutable; records cannot be deleted or altered 🔨

Sanctions obligations (via AU Autonomous Sanctions Act 2011)

Financial sanctions obligations in Australia arise under the Autonomous Sanctions Act 2011 rather than directly under the AML/CTF Act, but are operationally delivered through the same AML programme. See au-autonomous-sanctions-act.

Obligation Scope Policy Platform controls Build
Screen all customers and transactions against DFAT consolidated sanctions list 🤖 Automated AML-007 MOD-013 (GATE) — no payment to/from a confirmed sanctions match; hard gate, not advisory; MOD-014 (AUTO) — existing customers rescreened on new designations without manual trigger; MOD-015 (LOG) — false positive decisions auditable; MOD-020 (GATE) — sanctions screen is a mandatory pre-payment gate 🔨
Screen correspondent banks and intermediaries 🤖 Automated AML-007 MOD-154 (GATE) — every correspondent and named intermediary screened before routing; sanctions hit blocks payment regardless of prior approval 🔨

Institutional obligations (not platform scope)

The following obligations under the Act are the responsibility of the institution, not the platform. The platform may generate evidence inputs but does not own these processes.

Obligation Owner Platform evidence input
AML/CTF staff training programme design and delivery Chief People Officer / Chief Compliance Officer MOD-049 logs staff training consent acknowledgements
AUSTRAC enrolment and maintenance of reporting entity registration Chief Compliance Officer Institutional process — AUSTRAC online portal; not platform-managed
Board and senior management oversight of AML/CTF programme Board / CEO MOD-037, MOD-047 provide examination-ready data extracts and audit logs
Designation of AML/CTF Compliance Officer Board Institutional HR record; not a platform function
Regulatory examination responses and correspondence with AUSTRAC Chief Compliance Officer MOD-037 provides examination-ready data extracts; MOD-047/MOD-048 provide audit logs
AML/CTF audits (internal and external) Head of Internal Audit MOD-047, MOD-048, MOD-002 provide the audit evidence base
Oversight of AML/CTF reforms (2024 tranche 2 expansion) General Counsel / CCO Legislative monitoring is institutional; platform changes driven by policy changes

Coverage summary

Area Total obligations Platform automated 🤖 Platform evidenced 📊 Institutional 🏛 N/A
AML/CTF Programme 4 2 1 1 0
Customer identification 8 8 0 0 0
Reporting 6 5 1 0 0
Sanctions 2 2 0 0 0
Total 20 17 (85%) 1 (5%) 1 (5%) 0

Of the 19 platform obligations, all have attributed controls. All attributed modules are currently build_status: Not started — the compliance position will update as modules are built and deployed.


Policy Title
AML-001 AML/CFT Programme Policy
AML-002 Customer Due Diligence (CDD) Policy
AML-003 Know Your Customer (KYC) & Identity Verification Policy
AML-004 Politically Exposed Persons (PEP) Policy
AML-005 Transaction Monitoring Policy
AML-006 Suspicious Activity Reporting Policy
AML-007 Sanctions Screening Policy
AML-008 Cross-Border Transfer Reporting Policy
AML-009 Correspondent Banking & Payments Policy
AML-010 AML Training & Awareness Policy
AML-011 Customer Acceptance Policy
AML-012 Customer Risk Rating Policy
AML-013 Onboarding Fraud & Identity Integrity Policy
PAY-004 Cross-Border Payments & FX Policy
REP-003 AML Compliance Reporting Policy

See D03 AML / Financial Crime for the full risk domain.


Official documentation


Policies referencing this standard

  • AML-001 — AML/CFT Programme Policy
  • AML-002 — Customer Due Diligence (CDD) Policy
  • AML-003 — Know Your Customer (KYC) & Identity Verification Policy
  • AML-004 — Politically Exposed Persons (PEP) Policy
  • AML-005 — Transaction Monitoring Policy
  • AML-006 — Suspicious Activity Reporting Policy
  • AML-008 — Cross-Border Transfer Reporting Policy
  • AML-009 — Correspondent Banking & Payments Policy
  • AML-010 — AML Training & Awareness Policy
  • AML-011 — Customer Acceptance Policy
  • AML-012 — Customer Risk Rating Policy
  • AML-013 — Onboarding Fraud & Identity Integrity Policy
  • PAY-004 — Cross-Border Payments & FX Policy
  • PPL-003 — Training & Competency Policy
  • REP-003 — AML Compliance Reporting Policy

Compiled 2026-05-22 from source/entities/regulations/au-amlctf-act.yaml