Financial Crime World

Austrian Businesses Must Know Their Customers: Understanding AML/CTF Reporting Obligations

The fight against financial crime is a collective effort, and Austrian businesses have a crucial role to play in identifying and reporting suspicious transactions. To comply with Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CTF) regulations, obliged entities must submit reports to the Austrian Financial Intelligence Unit (A-FIU) under specific circumstances.

What Obliged Entities Must Report

According to guidelines, obliged entities must inform the A-FIU if they have:

  • Knowledge that a transaction is related to criminal activities
  • Suspicion that a transaction is related to criminal activities
  • Reasonable grounds to suspect that a transaction is related to criminal activities

This includes transactions involving:

  • Asset components originating from money laundering offences
  • Criminal organisations or terrorist organisations
  • Terrorist financing

Reporting Requirements for All Transactions

Obliged entities are required to report all transactions exceeding EUR 100,000 in value, regardless of whether the originator or beneficiary is a person from a non-cooperative country or territory. This includes transactions executed into or from accounts held at foreign credit institutions or financial institutions incorporated in non-cooperative countries or territories.

Additional Reporting Requirements for Credit Institutions

Credit institutions must inform the A-FIU without delay about all requests to withdraw savings deposits if the customer’s identity has not yet been determined and the payout is intended to be made from a savings deposit with a credit balance of at least EUR 15,000.

Importance of Compliance

By understanding their AML/CTF reporting obligations, Austrian businesses can play a vital role in:

  • Protecting Austria’s financial landscape
  • Upholding international standards for anti-money laundering and combating the financing of terrorism

In conclusion, Austrian businesses must be aware of their AML/CTF reporting obligations to prevent financial crime and maintain the integrity of Austria’s financial system.