AUSTRAC Begins Fines for Businesses Missing AML Enrolment

Australia’s financial crime regulator, AUSTRAC, has begun issuing infringement notices to businesses that failed to enroll under the country’s anti-money laundering and counter-terrorism financing laws.

The regulator announced the enforcement action on September 30, 2026, after identifying businesses that appeared to be providing designated services without completing the required enrollment.

The action highlights the importance of understanding regulatory scope and completing enrollment requirements under Australia’s expanded AML/CTF framework.

Businesses Facing Enforcement

AUSTRAC said the infringement notices were issued to businesses operating in the real estate, accounting and jewellery sectors.

The businesses had received formal requests for information from AUSTRAC in August after the regulator identified them as potentially providing designated services without being enrolled.

According to AUSTRAC, businesses subject to the relevant AML/CTF requirements were required to enroll within 28 days of providing a designated service.

The infringement notices were issued at $21,840 for corporate entities and $4,368 for individuals. AUSTRAC said the amounts can accrue on a daily basis.

The regulator also said that approximately 90% of the businesses initially identified had either enrolled or attempted to enroll.

Australia’s Expanded AML/CTF Framework

The enforcement action follows a significant expansion of Australia’s AML/CTF regime.

AUSTRAC said the regime expanded on July 1, 2026, to cover additional sectors including real estate, legal services, accounting, conveyancing, trust and company services, and dealing in precious stones and metals.

Businesses covered by the AML/CTF laws must be enrolled and take steps to understand their obligations, assess their financial crime risks and implement appropriate controls.

The expansion therefore affects businesses that may not historically have operated under the same AML/CTF requirements as banks and other traditional financial institutions.

Why Enrollment Matters

AUSTRAC emphasized that enrollment is only the first step in meeting AML/CTF obligations.

Businesses covered by the framework must understand which designated services they provide, assess their money laundering and terrorism financing risks and establish controls appropriate to those risks.

Failure to complete enrollment can therefore create a regulatory issue before an organization’s broader AML/CTF control framework is even assessed.

AUSTRAC said it is continuing to work with industry to clarify the scope of designated services.

Why This Matters for AML and KYC Professionals

The development is particularly relevant to compliance professionals supporting newly regulated businesses.

KYC and AML teams should ensure that their organizations understand whether their activities fall within the definition of designated services. This assessment should be documented and connected to the organization’s risk assessment and AML/CTF program.

Where enrollment is required, firms should also maintain evidence that the relevant regulatory requirements have been addressed.

The enforcement action demonstrates that regulators can move from education and requests for information to financial penalties where businesses fail to meet basic regulatory obligations.

Key Takeaways

AUSTRAC began issuing infringement notices on September 30, 2026.
Notices targeted businesses that failed to enroll under Australia’s AML/CTF laws.
Real estate, accounting and jewellery businesses were among those identified.
Penalties were listed at $21,840 for companies and $4,368 for individuals and can accrue daily.
Australia’s AML/CTF regime expanded to additional sectors on July 1, 2026.
Businesses must understand their obligations, assess risks and implement appropriate controls.

SOURCE

AUSTRAC official announcement