AUSTRAC can require a reporting entity to appoint an external auditor in accordance with directions we give in notices and remedial directions or as required in an enforceable undertaking. 

We authorise an individual to be the external auditor for a particular audit. The auditor conducts an audit and prepares an accompanying report as directed by AUSTRAC.

Authorisation process

We only authorise an external auditor when we require a reporting entity to appoint one.

The reporting entity must provide AUSTRAC with each of the following three documents about the proposed external auditor/s. When an external audit is required, we will provide the reporting entity with templates of the first two documents.

1. A capability statement, to show that the proposed auditor has relevant qualifications, experience and skills
2. A signed Statutory Declaration to outline the character of the individual proposed as the auditor, including a declaration that they will inform the AUSTRAC CEO no later than seven days after becoming aware of any actual or perceived conflict of interest
3. A resume with an overview of the individual’s employment and education history, and any other information they consider relevant to their application.

AUSTRAC will consider these documents when we make a decision about whether or not to authorise an individual as an external auditor.

Authorisation is valid for the duration of the audit unless it is revoked by AUSTRAC.