Financial crimes investigation agency, the Australian Transaction Reports and Analysis Centre (AUSTRAC), has identified digital currency exchanges (DCEs) and payment platforms as two sectors that will attract more scrutiny under its 2024 regulatory priorities.
Among the other sectors expected to see greater regulatory oversight from AUSTRAC will be bullion, non-bank lenders and financiers, which will serve the agency’s overall remit to uplift the financial sectors’ Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) capability.
AUSTRAC confirmed that its priorities would include an ongoing focus on businesses understanding, mitigating and managing the money laundering and terrorism financing risks they face, “particularly across the banking, gambling and remittance sectors which face higher risks”.
AUSTRAC’s acting chief executive Pete Soros said an important aspect of AUSTRAC’s regulatory work was the engagement with businesses to identify areas for improvement early to prevent problems from becoming systemic.
“These priorities signal our ongoing intent to work with businesses to embed a culture of vigilance, ensuring everyone at every level is aware of the threat of financial abuse and criminal exploitation,” Soros said.
“Criminals target businesses with weak anti-money laundering settings, which is why AUSTRAC’s regulation, through education and supervision, is crucial to safeguarding Australia’s communities and financial systems from financial harm.
“Although today’s announcement calls out certain sectors, all industries sectors should expect interaction and engagement from AUSTRAC.”
AUSTRAC’s regulatory priorities will also include board and senior management oversight around the culture and risk management practices, effective transaction monitoring, and managing outsourcing arrangements.
