FINANCIAL TRANSACTION REPORTS ACT 1988

PART II - TRANSACTION REPORTS  

Division 1 - Cash transaction reports by cash dealers  

SECTION 11   FINANCIAL INSTITUTION MAY ENTER TRANSACTIONS IN EXEMPTION REGISTER  

11(1)  
Where:


(a) a financial institution is a party to a significant cash transaction;


(b) the institution believes that the transaction is eligible for exemption in accordance with section 10 ; and


(c) if the other party to the transaction is not a financial institution - the other party signs a written statement to the effect that:


(i) the party believes that the transaction is eligible for exemption in accordance with section 10 ; and

(ii) the information provided by the party to the institution in relation to the transaction is, to the best of his or her knowledge and belief, true and correct in all material particulars;

the institution may enter the transaction in its exemption register.

11(2)  
Where:


(a) a financial institution is a party to a significant cash transaction;


(b) the institution believes that the transaction is eligible for exemption in accordance with section 10 ;


(c) the institution believes that:


(i) the other party to the transaction is likely to enter, on a regular basis, into transactions of a similar kind with the institution; and

(ii) all cash transactions of that kind are eligible for exemption in accordance with section 10 ; and


(d) if the other party to the transaction is not a financial institution - the other party signs a written statement to the effect that:


(i) the party believes that the transaction and proposed transactions of that kind are eligible for exemption in accordance with section 10 ; and

(ii) the information provided by the party to the institution in relation to the transaction and in relation to proposed transactions of that kind is, to the best of his or her knowledge and belief, true and correct in all material particulars;

the institution may enter the class of transactions consisting of transactions of that kind, against the name of the other party, in its exemption register.

11(2A)  


Despite subsections (1) and (2), a financial institution must not enter a designated service transaction, or a class of designated service transactions, in its exemption register after 11 March 2010.

11(3)  


Where a financial institution has entered a class of transactions in its exemption register against the name of a person, the AUSTRAC CEO may, by written notice to the institution, direct the institution:


(a) to delete the entry from the exemption register; or


(b) to amend the entry so that it ceases to apply to transactions of a kind specified in the notice.

11(4)  


Where the AUSTRAC CEO gives a financial institution a direction under subsection (3), the institution:


(a) shall forthwith comply with the direction;


(b) if the direction is given under paragraph (3)(a) - shall not enter in its exemption register, against the name of the person concerned, the same or substantially the same class of transactions, or transactions falling within the same or substantially the same class of transactions, while the direction remains in force; and


(c) if the direction is given under paragraph (3)(b) - shall not enter in its exemption register, against the name of the person concerned, transactions of the kind, or a class of transactions of the kind, specified in the notice.

11(5)  


A financial institution that contravenes subsection (4) commits an offence against this subsection punishable, upon conviction, by a fine not exceeding 50 penalty units.

11(6)  
Subject to subsection (4), a financial institution may, at any time, delete an entry from, or amend an entry in, its exemption register.




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