Key Changes Effective Now:
- Businesses and individuals bound by AML/CTF laws must now assess whether disclosing information could prejudice an investigation before sharing it (other than with AUSTRAC).
- The updated tipping off offence focuses on potential harm, with penalties remaining severe (up to $39,000 or 2 years’ imprisonment).
Purpose:
- Balances intelligence gathering with practicality to enhance crime detection while preventing criminals from being alerted.
- Encourages legitimate information sharing within and between businesses to combat money laundering and terrorism financing.
AUSTRAC’s Stance:
- Reforms modernize outdated laws ahead of expanding coverage to 100,000+ new businesses (e.g., real estate, accountants) in 2026.
- Goal: Strengthen collaboration between industry and law enforcement without compromising investigations.
Next Steps:
- Current sectors (banks, casinos, remitters, etc.) must comply immediately.
- Additional AML/CTF obligations for newly regulated industries take effect in 2026.
Action Required: Review disclosure protocols to ensure compliance with the harm-based test.
Apr 2025