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Anti-money laundering laws not far away

 | By REA

You have probably heard about the Anti-Money Laundering and Countering Financing of Terrorism Act (AML/CFT) recently. REA has been working closely with the Department of Internal Affairs (DIA) - the agency that is the supervisor for real estate agents under the Act - to ensure you and your agency are ready when Phase 2 of the Act comes into effect on 1 January.

Update 22 August 2018: Guidance now available

Guidance for the real estate industry about its obligations under the Anti-Money Laundering and Countering Financing of Terrorism Act (AML-CFT) is now available on the Department of Internal Affairs’ (DIA's) website.

All licensees should read the guidance and make sure you understand your obligations under the Act. Page 4 of the guidance includes an overview of what needs to happen when.

DIA will be hosting information sessions soon. REA continues to work closely with DIA. We will share information about the roadshow sessions as the events are scheduled.

Read the AML-CFT guidance(external link)

What can your agency do now?

It is important to appoint a compliance officer now so they can become familiar with the role and the Act’s obligations. The compliance officer should be someone who has detailed knowledge of the business and a degree of influence within the agency.

There are other steps you can take now to get ready for the new Act, and there are resources and a user guide on the DIA website(external link) to help:

  • assess your agency‘s risk
  • develop a compliance programme
  • understand what customer due diligence will mean for your business
  • plan to meet the annual reporting requirements.

AML/CFT workshops

After the guidance is published, DIA will run roadshows throughout New Zealand to talk with real estate agents about the AML/CFT Act and your obligations. REA will let you know when and where these workshops are happening. 

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