Compliance resources adequate
Compliance officers in Australia are experienced and well educated, and have sufficient resources to perform their job effectively, according to an AUSTRAC survey.
However, the survey of 150 anti-money laundering and counterterrorism financing (AML/CTF) compliance officers from organisations with obligations under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 also found that half of the respondent compliance officers spent less than 10 per cent of their time on compliance-related duties.
This was despite the finding that the majority of AML/CTF-related functions were the responsibility of the compliance officer rather than being dispersed across other positions.
Almost all respondents said their position was set at an appropriately senior level to identify major deficiencies in their AML/CTF program and to effect change where required, and many officers reported directly to the board or to another executive position or committee.
The roles and responsibilities of the position were consistent across reporting entities, and compliance officers generally looked after the majority of compliance functions, rather than the duties being spread across positions.
There was a concern over a lack of reporting of AML/CTF matters to the board, with some 28 per cent of respondents not reporting a single matter in the last financial year.
AUSTRAC urged entities to review the criteria for reporting AML/CTF matters to their board or equivalent executive body to ensure appropriate oversight arrangements were in place.
Recommended for you
The FSCP has announced its latest verdict, suspending an adviser’s registration for failing to comply with his obligations when providing advice to three clients.
Having sold Madison to Infocus earlier this year, Clime has now set up a new financial advice licensee with eight advisers.
With licensees such as Insignia looking to AI for advice efficiencies, they are being urged to write clear AI policies as soon as possible to prevent a “Wild West” of providers being used by their practices.
Iress has revealed the number of clients per adviser that top advice firms serve, as well as how many client meetings they conduct each week.
