Aml Compliance Precious Metals Australia

According to AUSTRAC guidance, aml compliance precious metals australia is a critical requirement for dealers in precious metals, stones and products. AUSTRAC's Money Laundering National Risk Assessment identifies high-value assets and luxury goods as vulnerable to money laundering, as these goods are valued internationally and easily tradable, making them attractive for criminal exploitation.

From 1 July 2026, AML/CTF obligations will apply to businesses that buy or sell precious metals, precious stones or precious products when the transaction involves physical currency, virtual assets or a combination of both at or above the $10,000 threshold. Precious metals include gold, silver, platinum, iridium, osmium, palladium, rhodium, ruthenium or alloys containing at least 2% weight of any of these substances. Precious stones include substances of gem quality with market-recognized beauty, rarity and value such as beryl, corundum, diamond, garnet, jadeite jade, opal, pearl or topaz.

Precious products are items made of, containing, or having attached to them, any precious metals or stones including jewellery, watches and other items whether in manufactured or unmanufactured state. Transactions using only debit or credit cards or bank transfers do not trigger AML/CTF obligations under these reforms. However, businesses dealing in precious metals and stones must establish systems to detect any transactions that are linked or appear to be linked to the sale or purchase of these items using physical currency or virtual assets valued at $10,000 or more.

Bullion dealers who already operate as reporting entities will continue their existing obligations while also adapting to the strengthened expectations under the Tranche 2 reforms. Bullion is generally understood to be gold, silver, platinum or palladium authenticated to a specified fineness, in investment-grade forms such as bars, ingots, plates, wafers or similar mass forms. Buying and selling bullion in the course of carrying on a bullion-dealing business is a designated service that has been regulated for several years.

Businesses must enroll with AUSTRAC between 31 March 2026 and 29 July 2026. Your AML/CTF program must include a documented ML/TF risk assessment, policies and procedures for customer due diligence, transaction monitoring systems to detect suspicious activity and linked transactions, and processes for reporting suspicious matters to AUSTRAC. The program must be appropriate to the nature, size and complexity of your business and be approved by senior management.

Dealers must appoint an AML/CTF compliance officer at management level who is fit and proper, conduct initial customer due diligence before providing designated services, implement ongoing customer due diligence and enhanced due diligence for high-risk customers, report threshold transactions involving physical currency of $10,000 or more, submit suspicious matter reports within three business days of forming a suspicion, and maintain accurate records for at least seven years. Non-compliance carries significant penalties including civil fines and criminal prosecution for serious breaches.