KYC headaches eased under new Australian Government Rules
On 11 September 2016, the Australian Government introduced the Anti-Money Laundering and Counter-Terrorism Financing Rules Amendment Instrument 2016 (No. 1) (the Amendment) which makes important changes to Chapter 4 of the Anti-Money Laundering and Counter-Terrorism Financing Rules Instrument 2007 (No.1) (Rules). The Amendment:
- Allows reporting entities to now collect know your customer (KYC) information "about" a customer rather than requiring KYC information to be collected "from" a customer.
- Eases the KYC headaches many have been facing in relation to electronic-based safe harbour provisions and the requirement to verify both name, address and date of birth (or transaction history) against two separate data sources.