Strengthen your NPO against money laundering and terrorism financing

A recent report released by Australia’s financial intelligence agency, AUSTRAC, and the ACNC identifies significant risks for non-profit organisations in relation to money laundering and terrorism financing.

 

money laundering

The report is the first of its kind in Australia. It found that the risk level for both money laundering and terrorism financing a medium with some vulnerabilities being present. ACNC Commissioner, Susan Pascoe, said, “Charities are crucial in getting funds into conflict zones and other unstable regions, and this is not without heightened risk.

"All charities, whether they operate domestically or internationally, must understand money laundering and terrorism financing risks, and ensure they have robust risk-based governance practices to prevent criminal misuse.”

The report shows that Australian NPO's can better manage these risks through good governance, an understanding of risks, strong internal controls, and good accountability. The assessment also identified the common characteristics of NPOs at higher risk of being misused for terrorism financing. 

The report can be viewed in full online here.