Counter-Terrorism Financing Summit
Our region’s first counter-terrorism financing summit will be co-hosted by AUSTRAC and Indonesia’s financial intelligence unit, PPATK, in Sydney in November.
The summit will bring together
- counter-terrorism financing specialists
- law enforcement and national security agencies
- policy-makers and academics from ASEAN countries and other key countries at the forefront of countering terrorism financing and violent extremism.
It will be an opportunity to secure regional undertakings to collaborate and share intelligence. This will help to identify, understand and counter the threats posed by terrorism financing, foreign terrorist fighters and violent extremism.
For more information about the summit view this media release from the Minister for Justice.
Remitter registration cancelled: American Cash Service
AUSTRAC has cancelled the registration remitter Estefa Milka Honores, trading as American Cash Service, due to a significant money laundering risk.
Concerns with Honores were identified through AUSTRAC’s regular industry monitoring, and we endeavoured to work with them to improve compliance with the legislation.
Remitters are required to have systems and controls in place to identify, mitigate and manage the risk of being misused by criminals.
They are also required to submit various reports to AUSTRAC, such as international funds transfer instructions.
It is important that remitters meet their requirements. The money transfer industry is recognised globally as being particularly vulnerable to exploitation by criminals and terrorist groups for money laundering and terrorism financing.
AUSTRAC will continue to remove operators who fail to meet their AML/CTF obligations and put the reputation of the remittance industry, and Australia’s financial system, at risk.
It is now an offence for Honores or American Cash Service to provide a designated
View the media release for more information.
Since the AUSTRAC Remittance Sector Register was established in November 2011:
- 10 entities have had their registration cancelled , including Honores
- seven entities have been refused registration
- 17 entities have had conditions imposed on their registration
- three entities have been suspended.
Industry Contribution
Our consultation program has recently closed and we are currently assessing the four submissions received.
We are working towards having a response to the submissions before the census day for the 2016-16 levy, which is Monday 14 September.
The census information will form the basis of the calculation of invoices to be issued by the end of October.
We value input from our industry partners in protecting our financial system from criminal abuse, and in helping AUSTRAC to discover, understand and respond to criminal threats including serious and organised crime and terrorism financing.
Find more information about the industry contribution here.
New Case Study: Online transactions led to convictions for child sex offences
Information from AUSTRAC helped to identify, charge and convict two people in Australia connected with sexual exploitation of children in the Philippines.
The joint law enforcement investigation had targeted registered sex offenders travelling overseas to commit offences against children. AUSTRAC identified two additional suspects in Australia.
The investigation uncovered pay-per-view child pornography websites and chatrooms which allowed suspects in Australia to view the abuse of children.
Industry regulated by AUSTRAC played an important role in the investigation by reporting suspicious matters and international funds transfer instructions. These included a bank and three major remitters.
Payments were tracked from Australia to the Philippines and the USA.
The suspects attempted to disguise their funds transfers by structuring them as small payments.
All outgoing transfers were sent through remittance services, primarily through online remittance systems.
The suspects were convicted. One was sentenced to a maximum jail term of seven and a half years and ordered to undergo sex offender therapy. The other was sentenced to eleven and a half years.
The case study has been included in AUSTRAC’s online case study hub, available on the website.
Counter-Terrorism Financing Summit Corporate Plan
Our new corporate plan has been published, key priorities and strategic direction for 2015-19. It includes our:
- key performance indicators
- deliverables
- outcomes that we plan to achieve.
As well, our Regulator Performance Framework outlines performance indicators our efficiency and effectiveness as a regulator, while minimising the regulatory burden on industry.
We will report against these plans in our 2016-17 annual report.