26J

26J  Reporting entities must designate an individual as the AML/CTF compliance officer for the reporting entity

 (1) The reporting entity must designate an individual as the compliance officer (the AML/CTF compliance officer) for the reporting entity.

AML/CTF compliance officers must have sufficient authority etc.

 (2) A reporting entity must ensure that the individual designated as the AML/CTF compliance officer for the reporting entity:

 (a) is a person employed or otherwise engaged by the reporting entity at management level; and

 (b) has sufficient authority, independence and access to resources and information to ensure the individual can perform the functions of an AML/CTF compliance officer effectively.

AML/CTF compliance officers must meet certain requirements

 (3) An individual is not eligible to be designated as the AML/CTF compliance officer for a reporting entity unless the individual:

 (a) if the reporting entity provides its designated services at or through a permanent establishment of the reporting entity in Australia—is a resident of Australia; and

 (b) is a fit and proper person; and

 (c) meets the requirements (if any) specified in the AML/CTF Rules.

 (4) The AML/CTF Rules may specify matters to which a reporting entity must have regard in determining whether an individual is a fit and proper person for the purposes of paragraph (3)(b).

Civil penalties

 (5) Subsection (2) is a civil penalty provision.

 (6) A reporting entity contravenes this subsection if:

 (a) the reporting entity designates an individual as its AML/CTF compliance officer; and

 (b) the individual is not eligible under subsection (3) to be designated as the AML/CTF compliance officer for the reporting entity.

 (7) Subsection (6) is a civil penalty provision.