Content sourced from and aligned with AUSTRAC guidance and regulatory requirements.
Legal • ARCaml • AUSTRAC Tranche 2
ARCaml for Legal: Compliance Without the Headache
If you're a lawyer or conveyancer, Tranche 2 probably feels like one more thing on an already full plate. You didn't train for years to become a compliance officer. Starting July 2026, you'll need to:
Verify every client's identity Check for PEPs and sanctions exposure Assess money laundering risk on each matter Keep records for seven years
Legal Professionals: Gatekeeper Obligations with LPP Protection
From 1 July 2026, lawyers and conveyancers providing designated services have AML/CTF obligations. AUSTRAC states criminals have taken advantage of 'gatekeeper professions' to facilitate money laundering. The reforms include explicit LPP protections.
9 Designated Services
- • Buying or selling real estate on behalf of clients
- • Managing client money, securities or property
- • Managing bank or securities accounts
- • Organising investments for companies/entities
- • Creating/restructuring companies or legal entities
- • Selling shelf companies
- • Arranging nominee directors/secretaries
- • Arranging nominee shareholders
- • Acting as registered office or business address
Litigation, criminal law, family law & tax advice are NOT designated
Legal Professional Privilege Protected
- • Act explicitly preserves LPP
- • Your right to refuse privileged information is not affected
- • If withholding on LPP grounds, submit LPP form to AUSTRAC
- • Privilege does not apply to furthering crime/fraud
Note: Your duty of confidentiality to clients regarding privileged matters remains intact.
Client Behaviour Red Flags
- • Avoids face-to-face meetings
- • Ends relationship when CDD requested
- • Excessive concern about confidentiality
- • Pays higher fees without clear reason
- • Unusual knowledge of AML/CTF rules
Client Profile Red Flags
- • Foreign political figures (PEPs)
- • Frequent change of lawyers
- • No established office, high-risk country
- • Business with no online presence
- • Structure doesn't make commercial sense
Complex Structure Red Flags
- • Requests structures to hide ownership
- • Requests to use your trust account
- • Large volume company/trust creation
- • Use of shell/shelf companies
- • Transfers with no apparent purpose
Key Dates for Legal Professionals
- 31 March 2026: AUSTRAC enrolment opens
- 1 July 2026: AML/CTF obligations commence
- 29 July 2026: Enrolment deadline (within 28 days of first designated service)
How ARCaml Solves Your Compliance Challenge
ARCaml is a CDD as a Service platform that handles your customer due diligence obligations while respecting the unique requirements of legal practice.
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Identity Verification
Automated KYC for clients before opening matters—government ID verification
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Beneficial Ownership
Identify who really owns and controls corporate clients, trusts, and partnerships
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Source of Funds
Verify where client funds come from—property purchases, trust accounts
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PEP & Sanctions
Screen all parties against global PEP and sanctions lists—AUSTRAC compliant
Legal Professionals Starter Kit
Download your sector-specific starter kit to help you meet your AML/CTF obligations under AUSTRAC.
Compliance Roadmap
Your AML/CTF Compliance Journey
Step-by-step guidance for legal professionals.
Subscribe to ARCaml
Step 1Sign up for ARCaml's CDD as a Service. We'll configure your account for legal services compliance requirements.
Send your clients link from ARCaml
Step 2Before opening a matter, send your clients through our secure portal. We handle the entire KYC/KYB verification process.
Verify identity & ownership
Step 3ARCaml verifies identities, checks beneficial ownership structures, screens against PEP & sanctions lists — all AUSTRAC compliant.
Get compliance pack
Step 4Receive an audit-ready compliance pack confirming your due diligence is complete. Store it with your matter files.
Focus on your practice
Step 5Proceed with confidence on your matters. ARCaml retains records for 7 years — audit and regulator ready.
Annual Subscription
Simple, transparent pricing with flexible credit-based usage.