AML/CTF: AUSTRAC fires first fines as crackdown begins

AUSTRAC has issued infringement notices to unregistered businesses, carrying fines of up to $21,840 for companies and $4,368 for individuals.

The regulator said penalties will mount each day businesses remain unregistered.  

The enforcement action followed AUSTRAC’s August requests for information to businesses that appeared to provide designated services without enrolling with the regulator. 

The watchdog has now begun issuing the promised infringement notices to businesses that failed to meet the enrolment requirements within the required 28-day period. 

AUSTRAC CEO Brendan Thomas (pictured) said about 90 per cent of the businesses initially identified as having enrolment concerns had since registered or attempted to do so. 

“The small number that continue to ignore their obligations should not expect AUSTRAC to ignore them.

“If you’re required to enrol with AUSTRAC, do it now. If you don’t, you’re not only breaking the law, you risk leaving your business and the sector exposed to criminal exploitation.

“If businesses continue to ignore their obligations, AUSTRAC will take action,” Thomas told Accountants Daily. 

On 20 August 2026, AUSTRAC showed that 13,550 accounting and professional services firms had registered. 

On 1 October 2026, the number of registered firms jumped to 13,780. 

Thomas said that enrolment was a simple first step, and there was no excuse for failing to take it.

“We are actively looking for businesses that haven’t enrolled and we will issue more infringement notices where necessary, so if you have obligations under the scheme, now is the time to come forward, get in touch with AUSTRAC and get enrolled.” 

The AML/CTF regime expanded on 1 July 2026 to include businesses in sectors such as real estate, legal services, accounting, conveyancing, trust, and company services, and dealing in precious stones and metals. 

According to AML Partners founder John Nguyen, the current infringement notices should end any assumption that businesses can keep delaying action, as AUSTRAC has shown its willingness to enforce the law. 

While enrolling with AUSTRAC is the first step, Nguyen said it does not make a business compliant.

"These infringement notices target businesses that failed to enrol with AUSTRAC. But enrolment is only the first step.”

He said that under the regulations, businesses providing designated services must also have an AML/CTF program and risk assessment in place, carry out customer due diligence, report suspicious matters and threshold transactions where they apply, train their staff and keep proper records.

“Businesses need to take their obligations seriously and make sure their compliance measures work in practice. Otherwise, they risk further penalties.”