Anti-money laundering watchdog AUSTRAC reported yesterday that ING Bank Australia is not fully compliant with the rules of the Anti-Money Laundering and Counter-Terrorism Financing Act and needs to take action to ensure it does not contravene the Act in future.
The ING Bank Australia Group (ING Bank Australia Ltd and ING Bank NV Sydney Branch) has given AUSTRAC an enforceable undertaking to improve its compliance with Australia’s AML/CTF laws.
AUSTRAC chief executive Nicole Rose said in a statement that ING voluntarily reported the shortcomings and then AUSTRAC conducted its own investigation last year.
“The resulting regulatory inquiries identified concerns in relation to ING’s AML/CTF program, monitoring systems and controls, and reporting to AUSTRAC,” Rose said.
The enforceable undertaking requires the bank to overhaul its AML/CTF program, risk assessments, suspicious matter reporting and transaction monitoring.
An external auditor will have oversight of the project and report back to AUSTRAC. The auditor will review the governance and assurance controls for all new designated services prior to them going to the market, all new methods of service delivery and all new technologies for the provision of designated services.
Rose said ING has co-operated with AUSTRAC throughout its regulatory inquiries, demonstrated a commitment to addressing concerns and has already done significant work to implement improvements.