External auditors
AUSTRAC can require a reporting entity to appoint an external auditor in accordance with directions we give in notices and remedial directions or as required in an enforceable undertaking.
We authorise an individual to be the external auditor for a particular audit. The auditor conducts an audit and prepares an accompanying report as directed by AUSTRAC.
Authorisation process
We only authorise an external auditor when we require a reporting entity to appoint one.
The reporting entity must provide AUSTRAC with each of the following three documents about the proposed external auditor/s. When an external audit is required, we will provide the reporting entity with templates of the first two documents.
- A capability statement, to show that the proposed auditor has relevant qualifications, experience and skills
- A signed Statutory Declaration to outline the character of the individual proposed as the auditor, including a declaration that they will inform the AUSTRAC CEO no later than seven days after becoming aware of any actual or perceived conflict of interest
- A resume with an overview of the individual’s employment and education history, and any other information they consider relevant to their application.
AUSTRAC will consider these documents when we make a decision about whether or not to authorise an individual as an external auditor.
Authorisation is valid for the duration of the audit unless it is revoked by AUSTRAC.
This guidance sets out how we interpret the Act, along with associated Rules and regulations. Australian courts are ultimately responsible for interpreting these laws and determining if any provisions of these laws are contravened.
The examples and scenarios in this guidance are meant to help explain our interpretation of these laws. They’re not exhaustive or meant to cover every possible scenario.
This guidance provides general information and isn't a substitute for legal advice. This guidance avoids legal language wherever possible and it might include generalisations about the application of the law. Some provisions of the law referred to have exceptions or important qualifications. In most cases your particular circumstances must be taken into account when determining how the law applies to you.