
AUSTRAC Outlines Common Reporting Mistakes at Industry Outreach Event

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Australian regulator, AUSTRAC, highlighted important reporting errors in AML/CFT programmes of reporting entities, suggesting key improvement practices.
The Australian Transaction Reports and Analysis Centre (AUSTRAC) in an industry outreach event highlighted basic reporting deficiencies by obligated entities. The report detailed specific inadequacies while filing suspicious matter reports (SMRs) and submitting transaction threshold reports (TTRs).
The event took place with AUSTRAC collaborating with ACAMS (Association for Certified Anti-Money Laundering Specialist) which is the biggest membership organisation of professionals working towards detection and prevention of financial crime.
A report compiled by the Australian Financial Review, states that AUSTRAC cites the following concerns regarding reporting standards:
Apart from these, the Australian regulator pointed out that a common deficiency in AML/CFT programmes is when organisations appoint subject-matter-experts (SMEs) and consultants in place of in-house compliance teams. Jack Haldane, the AUSTRAC director of supervision, stated that:
“These are resources that are there to supplement what you’re already doing, not replace or outsource what that compliance function should be doing. If you are sitting down on day one of a compliance assessment, and we’ve got a better handle on your program than you, that’s probably not a good sign of how the rest of your assessment is going to go.”
He further elaborated that there are numerous organisations undergoing business changes and introducing products without pre-release due diligence.