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ANTI-MONEY LAUNDERING AND COUNTER-TERRORISM FINANCING ACT 2006


TABLE OF PROVISIONS

           Long Title

   PART 1--INTRODUCTION

   1.      Short title  
   2.      Commencement  
   3.      Objects  
   4.      Simplified outline  
   5.      Definitions  
   6.      Designated services  
   7.      Services provided jointly to 2 or more customers  
   8.      Person-to-person electronic funds transfer instructions  
   9.      Same-person electronic funds transfer instructions  
   10.     Designated remittance arrangements etc.  
   11.     Control test  
   12.     Owner-managed branches of ADIs  
   13.     Eligible gaming machine venues  
   14.     Residency  
   15.     Shell banks  
   16.     Electronic communications  
   17.     Bearer negotiable instruments  
   18.     Translation of foreign currency to Australian currency  
   19.     Translation of e-currency to Australian currency  
   20.     Clubs and associations  
   21.     Permanent establishment  
   22.     Officials of designated agencies etc.  
   23.     Continuity of partnerships  
   24.     Crown to be bound  
   25.     Extension to external Territories  
   26.     Extra-territorial application  

   PART 2--IDENTIFICATION PROCEDURES ETC.

           Division 1--Introduction

   27.     Simplified outline  

           Division 2--Identification procedures for certain pre-commencement customers

   28.     Identification procedures for certain pre-commencement customers  
   29.     Verification of identity of pre-commencement customer etc.  

           Division 3--Identification procedures for certain low-risk services

   30.     Identification procedures for certain low-risk services  
   31.     Verification of identity of low-risk service customer etc.  

           Division 4--Identification procedures etc

   32.     Carrying out the applicable customer identification procedure before the commencement of the provision of a designated service.  
   33.     Special circumstances that justify carrying out the applicable customer identification procedure after the commencement of the provision of a designated service  
   34.     Carrying out the applicable customer identification procedure after the commencement of the provision of a designated service etc.  

           Division 5--Verification of identity etc

   35.     Verification of identity of customer etc.  

           Division 5A--Use and disclosure of personal information for the purposes of verifying an individual's identity

   35A.    Reporting entities may disclose certain personal information to credit reporting bodies for identity verification purposes  
   35B.    Credit reporting bodies may use and disclose certain personal information for identity verification purposes  
   35C.    Reporting entities to notify inability to verify identity  
   35D.    Verification information not to be collected or held by a credit reporting body  
   35E.    Retention of verification information--credit reporting bodies  
   35F.    Retention of verification information--reporting entities  
   35G.    Access to verification information  
   35H.    Unauthorised access to verification information--offence  
   35J.    Obtaining access to verification information by false pretences--offence  
   35K.    Unauthorised use or disclosure of verification information--offence  
   35L.    Breach of requirement is an interference with privacy  

           Division 6--Ongoing customer due diligence

   36.     Ongoing customer due diligence  

           Division 7--General provisions

   37.     Applicable customer identification procedures may be carried out by an agent of a reporting entity  
   38.     Applicable customer identification procedures deemed to be carried out by a reporting entity  
   39.     General exemptions  

   PART 3--REPORTING OBLIGATIONS

           Division 1--Introduction

   40.     Simplified outline  

           Division 2--Suspicious matters

   41.     Reports of suspicious matters  
   42.     Exemptions  

           Division 3--Threshold transactions

   43.     Reports of threshold transactions  
   44.     Exemptions  

           Division 4--International funds transfer instructions

   45.     Reports of international funds transfer instructions  
   46.     International funds transfer instruction  

           Division 5--AML

   47.     AML/CTF compliance reports  
   48.     Self-incrimination  

           Division 6--General provisions

   49.     Further information to be given to the AUSTRAC CEO etc.  
   49A.    AML/CTF Rules may make provision in relation to reports by registered remittance affiliates  
   50.     Request to obtain information about the identity of holders of foreign credit cards and foreign debit cards  
   51.     Division 400 and Chapter 5 of the Criminal Code  

   PART 3A--REPORTING ENTITIES ROLL

   51A.    Simplified outline  
   51B.    Reporting entities must enrol  
   51C.    Reporting Entities Roll  
   51D.    Enrolment  
   51E.    Applications for enrolment  
   51F.    Enrolled persons to advise of change in enrolment details  
   51G.    Removal of entries from the Reporting Entities Roll  

   PART 4--REPORTS ABOUT CROSS-BORDER MOVEMENTS OF PHYSICAL CURRENCY AND BEARER NEGOTIABLE INSTRUMENTS

           Division 1--Introduction

   52.     Simplified outline  

           Division 2--Reports about physical currency

   53.     Reports about movements of physical currency into or out of Australia  
   54.     Timing of reports about physical currency movements  
   55.     Reports about receipts of physical currency from outside Australia  
   56.     Obligations of customs officers and police officers  
   57.     Movements of physical currency out of Australia  
   58.     Movements of physical currency into Australia  

           Division 3--Reports about bearer negotiable instruments

   59.     Reports about movements of bearer negotiable instruments into or out of Australia  
   60.     Obligations of customs officers and police officers  

           Division 4--Information about reporting obligations

   61.     Power to affix notices about reporting obligations  
   62.     Notice about reporting obligations to be given to travellers to Australia  

   PART 5--ELECTRONIC FUNDS TRANSFER INSTRUCTIONS

           Division 1--Introduction

   63.     Simplified outline  

           Division 2--2 or more institutions involved in the transfer

   64.     Electronic funds transfer instructions--2 or more institutions involved in the transfer  
   65.     Request to include customer information in certain international electronic funds transfer instructions  

           Division 3--Only one institution involved in the transfer

   66.     Electronic funds transfer instructions--only one institution involved in the transfer  

           Division 4--General provisions

   67.     Exemptions  
   68.     Defence of relying on information supplied by another person  
   69.     Division 400 and Chapter 5 of the Criminal Code  
   70.     Required transfer information  
   71.     Complete payer information  
   72.     Tracing information  

   PART 6--THE REMITTANCE SECTOR REGISTER

           Division 1--Simplified outline

   73.     Simplified outline  

           Division 2--Restrictions on providing certain remittance services

   74.     Unregistered persons must not provide certain remittance services  

           Division 3--Registration of persons

   75.     Remittance Sector Register  
   75A.    Information to be entered on the Remittance Sector Register  
   75B.    Applications for registration  
   75C.    Registration by AUSTRAC CEO  
   75D.    Spent convictions scheme  
   75E.    Registration may be subject to conditions  
   75F.    When registration of a person ceases  
   75G.    Cancellation of registration  
   75H.    Suspension of registration  
   75J.    Renewal of registration  
   75K.    Removal of entries from the Remittance Sector Register  
   75L.    AML/CTF Rules--general provision  
   75M.    Registered persons to advise of material changes in circumstance etc.  
   75N.    AUSTRAC CEO may request further information  
   75P.    Immunity from suit  
   75Q.    Steps to be taken by AUSTRAC CEO before making certain reviewable decisions  

           Division 5--Basis of registration

   75T.    Basis of registration  

   PART 7--ANTI-MONEY LAUNDERING AND COUNTER-TERRORISM FINANCING PROGRAMS

           Division 1--Introduction

   80.     Simplified outline  

           Division 2--Reporting entity's obligations

   81.     Reporting entity must have an anti-money laundering and counter-terrorism financing program  
   82.     Compliance with Part A of an anti-money laundering and counter-terrorism financing program  

           Division 3--Anti-money laundering and counter-terrorism financing programs

   83.     Anti-money laundering and counter-terrorism financing programs  
   84.     Standard anti-money laundering and counter-terrorism financing program  
   85.     Joint anti-money laundering and counter-terrorism financing program  
   86.     Special anti-money laundering and counter-terrorism financing program  
   87.     Revocation of adoption of anti-money laundering and counter-terrorism financing program  
   88.     Different applicable customer identification procedures  
   89.     Applicable customer identification procedures--agent of customer  
   90.     Applicable customer identification procedures--customers other than individuals  
   91.     Applicable customer identification procedures--disclosure certificates  

           Division 4--Other provisions

   92.     Request to obtain information from a customer  
   93.     Exemptions  

   PART 8--CORRESPONDENT BANKING

   94.     Simplified outline  
   95.     Prohibition of entry into correspondent banking relationships with shell banks etc.  
   96.     Termination of correspondent banking relationship with shell bank etc.  
   97.     Due diligence assessments before entering into correspondent banking relationships etc.  
   98.     Regular due diligence assessments of correspondent banking relationships etc.  
   99.     Other rules about correspondent banking relationships  
   100.    Geographical links  

   PART 9--COUNTERMEASURES

   101.    Simplified outline  
   102.    Countermeasures  
   103.    Sunsetting of regulations after 2 years  

   PART 10--RECORD-KEEPING REQUIREMENTS

           Division 1--Introduction

   104.    Simplified outline  
   105.    Privacy Act not overridden by this Part  

           Division 2--Records of transactions etc

   106.    Records of designated services  
   107.    Transaction records to be retained  
   108.    Customer-provided transaction documents to be retained  
   109.    Records relating to transferred ADI accounts  
   110.    Retention of records relating to closed ADI accounts  

           Division 3--Records of identification procedures

   111.    Copying documents obtained in the course of carrying out an applicable custom identification procedure  
   112.    Making of records of identification procedures  
   113.    Retention of records of identification procedures  
   114.    Records of identification procedures deemed to have been carried out by a reporting entity  

           Division 4--Records about electronic funds transfer instructions

   115.    Retention of records about electronic funds transfer instructions  

           Division 5--Records about anti-money laundering and counter-terrorism financing programs

   116.    Records about anti-money laundering and counter-terrorism financing programs  

           Division 6--Records about due diligence assessments of correspondent banking relationships

   117.    Retention of records of due diligence assessments of correspondent banking relationships  

           Division 7--General provisions

   118.    Exemptions  
   119.    This Part does not limit any other obligations  

   PART 11--SECRECY AND ACCESS

           Division 1--Introduction

   120.    Simplified outline  

           Division 2--Secrecy

   121.    Secrecy--AUSTRAC information and AUSTRAC documents  
   122.    Secrecy--information obtained under section 49  

           Division 3--Disclosure of information

   123.    Offence of tipping off  
   124.    Report and information not admissible  

           Division 4--Access to AUSTRAC information by agencies

              Subdivision A--Access by the ATO to AUSTRAC information

   125.    Access by the ATO to AUSTRAC information  

              Subdivision B--Access by designated agencies to AUSTRAC information

   126.    Access by designated agencies to AUSTRAC information  
   127.    Dealings with AUSTRAC information once accessed  
   128.    When AUSTRAC information can be passed on by an official of a designated agency  

              Subdivision C--Access by non-designated

   129.    Access by non-designated Commonwealth agencies to AUSTRAC information  
   130.    Dealings with AUSTRAC information once accessed  
   131.    When AUSTRAC information can be passed on by an official of a non-designated Commonwealth agency  

              Subdivision D--Communication of AUSTRAC information to foreign countries etc

   132.    Communication of AUSTRAC information to a foreign country etc.  
   133.    When the Director-General of Security may communicate AUSTRAC information to a foreign intelligence agency  
   133A.   When the Director-General of ASIS may communicate AUSTRAC information to a foreign intelligence agency  
   133B.   When the Director of a defence intelligence agency may communicate AUSTRAC information to a foreign intelligence agency  
   133C.   When the Director-General of ONA may communicate AUSTRAC information to a foreign intelligence agency  

           Division 5--Use of AUSTRAC information in court or tribunal proceedings

   134.    Use of AUSTRAC information in court or tribunal proceedings  

   PART 12--OFFENCES

   135.    Simplified outline  
   136.    False or misleading information  
   137.    Producing false or misleading documents  
   138.    False documents  
   139.    Providing a designated service using a false customer name or customer anonymity  
   140.    Receiving a designated service using a false customer name or customer anonymity  
   141.    Customer commonly known by 2 or more different names--disclosure to reporting entity  
   142.    Conducting transactions so as to avoid reporting requirements relating to threshold transactions  
   143.    Conducting transfers so as to avoid reporting requirements relating to cross-border movements of physical currency  

   PART 13--AUDIT

           Division 1--Introduction

   144.    Simplified outline  

           Division 2--Appointment of authorised officers and issue of identity cards

   145.    Appointment of authorised officers  
   146.    Identity cards  

           Division 3--Powers of authorised officers

              Subdivision A--Monitoring powers

   147.    Authorised officer may enter premises by consent or under a monitoring warrant  
   148.    Monitoring powers of authorised officers  
   149.    Tampering or interfering with things secured in the exercise of monitoring powers  

              Subdivision B--Powers of authorised officers to ask questions and seek production of documents

   150.    Authorised officer may ask questions and seek production of documents  

           Division 4--Obligations and incidental powers of authorised officers

   151.    Authorised officer must produce identity card on request  
   152.    Consent  
   153.    Announcement before entry  
   154.    Details of monitoring warrant to be given to occupier etc. before entry  
   155.    Use of electronic equipment in exercising monitoring powers  
   156.    Compensation for damage to electronic equipment  

           Division 5--Occupier's rights and responsibilities

   157.    Occupier entitled to be present during execution of monitoring warrant  
   158.    Occupier to provide authorised officer with facilities and assistance  

           Division 6--Monitoring warrants

   159.    Monitoring warrants  
   160.    Magistrates--personal capacity  

           Division 7--External audits

   161.    External audits--risk management etc.  
   162.    External audits--compliance  
   163.    External auditor may have regard to the results of previous audit  
   164.    External auditors  

           Division 8--Money laundering and terrorism financing risk assessments

   165.    Money laundering and terrorism financing risk assessments  

   PART 14--INFORMATION-GATHERING POWERS

   166.    Simplified outline  
   167.    Authorised officer may obtain information and documents  
   168.    Copying documents--reasonable compensation  
   169.    Self-incrimination  
   170.    Copies of documents  
   171.    Authorised officer may retain documents  
   172.    Division 400 and Chapter 5 of the Criminal Code  

   PART 15--ENFORCEMENT

           Division 1--Introduction

   173.    Simplified outline  

           Division 2--Civil penalties

   174.    Ancillary contravention of civil penalty provision  
   175.    Civil penalty orders  
   176.    Who may apply for a civil penalty order  
   177.    2 or more proceedings may be heard together  
   178.    Time limit for application for an order  
   179.    Civil evidence and procedure rules for civil penalty orders  
   180.    Civil proceedings after criminal proceedings  
   181.    Criminal proceedings during civil proceedings  
   182.    Criminal proceedings after civil proceedings  
   183.    Evidence given in proceedings for penalty not admissible in criminal proceedings  

           Division 3--Infringement notices for certain contraventions

   184.    When an infringement notice can be given  
   185.    Matters to be included in an infringement notice  
   186.    Amount of penalty--breaches of subsection 53(3) or 59(4)  
   186A.   Amount of penalty--breaches of certain provisions of Part 6 or Part 3A  
   187.    Withdrawal of an infringement notice  
   188.    What happens if the penalty is paid  
   189.    Effect of this Division on criminal and civil proceedings  

           Division 4--Monitoring of compliance

   190.    Monitoring of compliance  

           Division 5--Remedial directions

   191.    Remedial directions  

           Division 6--Injunctions

   192.    Injunctions  
   193.    Interim injunctions  
   194.    Discharge etc. of injunctions  
   195.    Certain limits on granting injunctions not to apply  
   196.    Other powers of the Federal Court unaffected  

           Division 7--Enforceable undertakings

   197.    Acceptance of undertakings  
   198.    Enforcement of undertakings  

           Division 8--Powers of questioning, search and arrest in relation to cross-border movements of physical currency and bearer negotiable instruments

   199.    Questioning and search powers in relation to physical currency  
   200.    Questioning and search powers in relation to bearer negotiable instruments  
   201.    Arrest without warrant  

           Division 9--Notices to reporting entities

   202.    Notices to reporting entities  
   203.    Contents of notices to reporting entities  
   204.    Breaching a notice requirement  
   205.    Self-incrimination  
   206.    Division 400 and Chapter 5 of the Criminal Code  
   207.    Disclosing existence or nature of notice  

   PART 16--ADMINISTRATION

           Division 1--Introduction

   208.    Simplified outline  

           Division 2--Establishment and function of AUSTRAC

   209.    Establishment of AUSTRAC  
   210.    Function of AUSTRAC  

           Division 3--Chief Executive Officer of AUSTRAC

              Subdivision A--Office and functions of the AUSTRAC CEO

   211.    AUSTRAC CEO  
   212.    Functions of the AUSTRAC CEO  
   213.    Policy principles  

              Subdivision B--Appointment of the AUSTRAC CEO etc

   214.    Appointment of the AUSTRAC CEO etc.  
   215.    Remuneration and allowances of the AUSTRAC CEO  
   216.    Leave of absence of the AUSTRAC CEO  
   217.    Resignation of the AUSTRAC CEO  
   218.    Notification of possible conflict of interest by the AUSTRAC CEO  
   219.    Termination of the AUSTRAC CEO's appointment  
   220.    Other terms and conditions  
   221.    Acting appointments  
   222.    Delegation by the AUSTRAC CEO  
   223.    Secretary may require the AUSTRAC CEO to give information  

           Division 4--Staff of AUSTRAC etc

   224.    Staff of AUSTRAC  
   225.    Consultants and persons seconded to AUSTRAC  

           Division 5--Reports and information

   226.    Annual report  
   227.    Minister may require the AUSTRAC CEO to prepare reports or give information  

           Division 6--Directions by Minister

   228.    Directions by Minister  

           Division 7--AML

   229.    AML/CTF Rules  

   PART 17--VICARIOUS LIABILITY

   230.    Simplified outline  
   231.    Criminal liability of corporations  
   232.    Civil liability of corporations  
   233.    Liability of persons other than corporations  

   PART 17A--REVIEW OF DECISIONS

   233A.   Simplified outline  
   233B.   Reviewable decisions  
   233C.   Giving notice of reviewable decisions  
   233D.   Applications for reconsideration of decisions made by delegates of the AUSTRAC CEO  
   233E.   Reconsideration of reviewable decisions  
   233F.   Review by the Administrative Appeals Tribunal  
   233G.   Failure to comply does not affect validity  

   PART 18--MISCELLANEOUS

   234.    Simplified outline  
   235.    Protection from liability  
   236.    Defence of taking reasonable precautions, and exercising due diligence, to avoid a contravention  
   237.    Treatment of partnerships  
   238.    Treatment of unincorporated associations  
   239.    Treatment of trusts with multiple trustees  
   240.    Concurrent operation of State and Territory laws  
   241.    Act not to limit other powers  
   242.    Law relating to legal professional privilege not affected  
   243.    Validity of transactions  
   244.    Reports to the AUSTRAC CEO etc.  
   245.    Arrangements with Governors of States etc.  
   246.    This Act does not limit other information-gathering powers  
   247.    General exemptions  
   248.    Exemptions and modifications by the AUSTRAC CEO  
   249.    Specification by class  
   250.    Schedule 1 (alternative constitutional basis)  
   251.    Review of operation of Act  
   252.    Regulations  
           SCHEDULE 1 Alternative constitutional basis


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