Does Independent review of AML/CTF program apply to banks and ADIs?
A computed answer from the Rules Mate applicability engine, with the exact condition, the outcome for every structure and size, and the primary source.
Short answer: Yes
Yes. This obligation applies to banks and ADIs whatever their structure or size. The deciding fact: Authorised deposit-taking institution — AML/CTF reporting entity.
The obligation in brief
Independent review of AML/CTF program. Under the reformed AML/CTF Act, the former independent review of a Part A program has been replaced by an independent evaluation of the whole AML/CTF program (ML/TF risk assessment and AML/CTF policies). It must happen at least once every 3 years, at a frequency set in your AML/CTF policies.
Trigger: Having an AML/CTF program in place.
Why banks & adis get a different answer
Rules Mate runs its applicability engine across 9 business structures and 6 size bands for each of the 35 industries it maps. For 27 of those industries the answer for "Independent review of AML/CTF program" is no. Banks & ADIs is one of the 8 where the answer is different: yes.
The deciding fact for banks and ADIs: Authorised deposit-taking institution — AML/CTF reporting entity.
About the industry: Authorised deposit-taking institutions regulated by APRA under the Banking Act 1959.
Compare a professional services (general) business with 6–19 employees structured as a Pty Ltd company: the obligation does not apply (Requires an AML/CTF designated service).
Answer by business structure and size
Each cell is the engine's outcome for a business in banks & adis with that structure and size, assuming it sells to consumers and small businesses and holds customer contact details. "Check" means the obligation turns on a fact the industry does not settle.
| Structure | No employees | 1–5 employees | 6–19 employees | 20–99 employees | 100–499 employees | 500+ employees |
|---|---|---|---|---|---|---|
| Sole trader | Yes | Yes | Yes | Yes | Yes | Yes |
| Partnership | Yes | Yes | Yes | Yes | Yes | Yes |
| Trust | Yes | Yes | Yes | Yes | Yes | Yes |
| Pty Ltd company | Yes | Yes | Yes | Yes | Yes | Yes |
| Public company | Yes | Yes | Yes | Yes | Yes | Yes |
| Not-for-profit (unregistered) | Yes | Yes | Yes | Yes | Yes | Yes |
| Registered charity | Yes | Yes | Yes | Yes | Yes | Yes |
| Super fund | Yes | Yes | Yes | Yes | Yes | Yes |
| Foreign company | Yes | Yes | Yes | Yes | Yes | Yes |
What the obligation requires
- When due
- At least once every 3 years, at the frequency set in your AML/CTF policies. Newly regulated entities: first evaluation due 30 June 2029 – 31 December 2030 depending on AUSTRAC account number.
- Evidence to keep
- Independent evaluation scope, evaluator independence record, evaluation report, governing body response, remediation tracker.
- Maximum penalty
- Civil penalty of up to $36.4M (body corporate) or $7.28M (individual), maximum per contravention, under the general AML/CTF Act civil penalty regime
- Regulator
- AUSTRAC
- Jurisdiction
- Commonwealth (national)
Other obligations where banks & adis differ from the norm
- Customer due diligence (KYC) on every customer: Yes
- Designate an AML/CTF Compliance Officer: Yes
- Detect + enhance due diligence on Domestic + Foreign PEPs: Yes
- Enrol with AUSTRAC as a reporting entity: Yes
- Maintain a written AML/CTF program: Yes
- Suspicious matter, threshold, and IFTI reporting to AUSTRAC: Yes
- All 32 answers for banks & adis
Other industries with a non-default answer
Questions
- Does Independent review of AML/CTF program apply to banks and ADIs?
- Yes. This obligation applies to banks and ADIs whatever their structure or size. The deciding fact: Authorised deposit-taking institution — AML/CTF reporting entity.
- Is the answer the same for every industry?
- No. For 27 of the 35 industries Rules Mate maps, the answer is no. Banks & ADIs is one of 8 industries with a different answer.
Related
Sources
- AUSTRAC: official source
- Anti-Money Laundering and Counter-Terrorism Financing Act 2006
- AUSTRAC guidance
Computed by the Rules Mate applicability engine from the published obligation corpus; facts last checked 3 October 2026. Rules Mate is not a law firm and this is general information, not legal advice. Confirm your position with the regulator source or a qualified adviser before acting.