The Anti-Money Laundering and Counter-Terrorism Financing Amendment Act 2017 (the Act) has been passed by Parliament and received Royal Assent on 13 December 2017. It will commence on 14 June 2018 unless proclaimed earlier. Background.
UPDATE 27 December 2017: the date of Proclamation is expected to be 1 April 2018.
AUSTRAC is drafting AML/CTF Rules that will be published on AUSTRAC’s website on 2 January 2018 for public consultation.
The Act contains the first set of amendments resulting from a statutory review of the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF Act) and related Regulations and rules that was completed by the Attorney-General’s Department (AGD) in 2016.
The Act :
- brings digital currency exchange providers under the regulation of AUSTRAC;
- strengthens AUSTRAC’s investigation and enforcement powers;
- increases police and customs officers’ search and seizure powers at the border; and
- deregulates low-risk industry sectors such as cash-in-transit, insurance intermediaries and general insurance providers.
The Act also extends the powers of the CEO of AUSTRAC to cancel the registration of a remittance service provider (Part 3).
The Act was amended following Senate Committee examination to:
- create a new definition of ‘betting instrument’ in the AML/CTF Act;
- ensure that exchanging money or digital currency for betting instruments, or vice versa, are designated services for the purposes of the AML/CTF Act; and
- clarify that betting instruments are not “stored value cards” as defined in the Act.
A “betting instrument” means a thing (whether real or virtual):
(a) that represents monetary value or digital currency value; and
(b) that is designed to be used for the purpose of, or for purposes which include:
(i) placing or making a bet; or
(ii) paying out winnings in respect of a bet; but does not include:
(c) a gaming chip or token; or
(d) a thing that, under the AML/CTF Rules, is taken not to be a betting instrument.
