In 2021, AUSTRAC’s Child Sexual Exploitation Response Team identified an Australian man as a person of interest due to transaction activity consistent with child sexual exploitation financial indicators.

The man was sending funds to a known child sexual exploitation facilitator residing in the Philippines. Further analysis of his financial activity showed he had spent more than $50,000 over six years to purchase child sexual exploitation material. 

The man was intercepted in May 2023 returning from Bali and searched by the Australian Border Force and Australian Federal Police. He was subsequently arrested for possession and production of child sexual exploitation material on his electronic devices. AUSTRAC provided additional financial intelligence to assist in his prosecution and identification of linked network members.

In March 2024, he pleaded guilty to seven charges of child abuse. Two of his victims were rescued from an alleged brothel in the Philippines and work continues to identify other offenders who provided him with access to children online and in person.

This investigation also triggered an overseas investigation into sex slavery, which resulted in the arrest of a Philippines-based mother as a facilitator of child sexual exploitation.

“Child sexual exploitation is a heinous crime against some of the most vulnerable members of our community,” says Jon Brewer, AUSTRAC’s Acting Deputy CEO for Intelligence.

“Cases like this highlight the role financial intelligence plays when it comes to detecting crimes – and the importance of working with law enforcement agencies and international partners to stop them.”

How does AUSTRAC help

AUSTRAC is a member of the Australian Centre to Counter Child Exploitation (ACCCE), led by the Australian Federal Police (AFP). The ongoing Operation Huntsman, a joint operation between the AFP and AUSTRAC, detected and disrupted thousands of Australian bank accounts being used to transfer the proceeds of child sexual extortion scams to offshore criminal syndicates. 

The AUSTRAC-led public-private partnership, Fintel Alliance, developed the ‘Financial crime guide - Combating the sexual exploitation of children for financial gain’. This guide provides indicators and behaviours to help financial service providers identify signs of the purchase of child sexual exploitation material. 

AUSTRAC also helps businesses including financial service providers to detect suspicious transactions by providing updated financial and environmental indicators. 

How can I help combat crimes like this

You have an important role to play in helping protect the vulnerable members of our community. If you identify any suspicious activity, you must submit a suspicious matter report to AUSTRAC.