AUSTRAC has issued Revolut Payments Australia Pty Ltd (Revolut) with an infringement notice totalling $187,800 after the company notified AUSTRAC it had submitted late reports.

Revolut, a remittance service provider, self-disclosed failures to submit international funds transfer instructions within the timeframe stipulated by the Anti-Money Laundering and Counter Terrorism Financing (AML/CTF) Act.

AUSTRAC CEO Brendan Thomas said after Revolut identified the issue it took the prompt steps to submit its reports and fix its controls.

“Revolut has been co-operative with AUSTRAC and paid the infringement notice in full.

“These are the real-life consequences of failures to report and it’s why failures to report need to have regulatory consequences, even where reporting entities detect, disclose and report the failures.

“Remittance services are attractive to money launderers and other types of criminals because they can move funds cheaply and quickly across borders,” Mr Thomas said.

“We take late reporting seriously because timely reports are critical to help us detect and disrupt financial crime – to strike while the iron is hot.

“If we don’t pick up suspicious movements as soon as possible, it denies law enforcement access to the intelligence that supports criminal investigations.”

AUSTRAC is focussed on payment platforms as part of its 2024 regulatory priorities. In its 2024 national risk assessment, AUSTRAC identified services provided by remitters, including payment platforms, as posing a high and stable money laundering vulnerability.

“The risks in this sector are high and they are consistent. It is not just traditional laundering that we’re concerned about – payment platforms are particularly vulnerable to the movement of funds associated with payments for child exploitation material.

“Timely international funds transfer reports allow us to analyse current activity that points to potential persons of interest.

“We need to get this intelligence to law enforcement so they can act. That’s why it is so important that businesses offering remittance services ensure they are meeting their AML/CTF obligations around reporting.”

Payment of an AUSTRAC infringement notice is not an admission of liability.