Document ID: chunk:federal_register_of_legislation:F2024C01198:body:0:p52
Version: federal_register_of_legislation:F2024C01198
Segment Type: other
Provision Reference: 
Character Range: 144877–147904

of table 1 in section 6 of the AML/CTF Act. The sole or primary purpose of a special program is to set out the reporting entity's applicable customer identification procedures. Chapter 5 does not apply to pre‑commencement customers.
          Part 5.2 Applicable customer identification procedures in relation to special AML/CTF program

    5.2.1 The requirements with which a special AML/CTF program must comply are the requirements that are specified in the Rules in Chapter 4 for an AML/CTF program.

    5.2.2 For the avoidance of doubt, the requirements specified in the Rules in Chapter 4 apply with respect to a special AML/CTF program as if any reference in those paragraphs to an AML/CTF program includes a reference to 'a special AML/CTF program'.

    5.2.3 Paragraphs 4.11.1 and 4.11.5 of the Rules in Chapter 4 apply with respect to a special AML/CTF Program as if the rule were made under paragraph 89(3)(b) of the AML/CTF Act.

Reporting entities should note that in relation to activities they undertake to comply with the AML/CTF Act, they will have obligations under the Privacy Act 1988, including the requirement to comply with the Australian Privacy Principles, even if they would otherwise be exempt from the Privacy Act. For further information about these obligations, please go to http://www.oaic.gov.au or call 1300 363 992.

CHAPTER 6  Verification of identity
          Part 6.1 Re-verification of KYC information

    6.1.1 This Part is made for subparagraph 35(1)(b) and subsection 35(2) of the Act.

    6.1.2 A reporting entity must take the action set out in paragraph 6.1.3 if:

          1.                the reporting entity suspects on reasonable grounds that the customer is not the person that customer claims to be; or

          2.                the reporting entity has doubts about the veracity or adequacy of documents or information previously obtained for the purpose of identifying or verifying:

             (a) the customer; and

             (b) the beneficial owner of the customer (if any); and

             (c) a person purporting to act on behalf of the customer (if any).

    6.1.3 The reporting entity must, as soon as practicable, take reasonable measures to:

          1.                obtain and verify additional KYC information; or

          2.                update and verify existing KYC information;

    so that the reporting entity is reasonably satisfied that the customer, beneficial owner or person purporting to act on behalf of the customer is the person that the customer, beneficial owner or person purporting to act on behalf of the customer claims to be.

         Note: A reporting entity is not required to take any measures that would contravene the tipping off offence in section 123 of the Act.
          Part 6.2 Verification of identity of pre-commencement customers

    6.2.1 This Part is made for subsection 29(2) of the Act.

    6.2.2     If a suspicious matter reporting obligation arises for a pre-commencement