Anti-Money Laundering and Counter-Terrorism Financing (Iran Countermeasures) Regulation 2014

Anti‑Money Laundering and Counter‑Terrorism Financing (Iran Countermeasures) Regulation 2014

Select Legislative Instrument No. 35, 2014 as amended

made under the

Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006

Compilation start date:  1 April 2014

Includes amendments up to: SLI No. 42, 2014

About this compilation

This compilation

This is a compilation of the Anti-Money Laundering and Counter-Terrorism Financing (Iran Countermeasures) Regulation 2014 as in force on 1 April 2014. It includes any commenced amendment affecting the legislation to that date.

This compilation was prepared on 15 April 2014.

The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of each amended provision.

Uncommenced amendments

The effect of uncommenced amendments is not reflected in the text of the compiled law but the text of the amendments is included in the endnotes.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Modifications

If a provision of the compiled law is affected by a modification that is in force, details are included in the endnotes.

Provisions ceasing to have effect

If a provision of the compiled law has expired or otherwise ceased to have effect in accordance with a provision of the law, details are included in the endnotes.

Contents

1 Name of regulation

2 Commencement

3 Authority

4 Schedule(s)

5 Definitions

6 Declaration of prescribed foreign country

7 Prohibition of transactions

8 Transaction exemption

9 Personal exemption

10 Transitional—exemptions in force before 1 April 2014 etc.

Schedule 1—Repeal

Anti‑Money Laundering and Counter‑Terrorism Financing Regulations 2008

Endnotes

Endnote 1—About the endnotes

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history

Endnote 5—Uncommenced amendments [none]

Endnote 6—Modifications [none]

Endnote 7—Misdescribed amendments [none]

Endnote 8—Miscellaneous [none]

1  Name of regulation

  This regulation is the Anti‑Money Laundering and Counter‑Terrorism Financing (Iran Countermeasures) Regulation 2014.

2  Commencement

  This regulation commences on 1 April 2014.

3  Authority

  This regulation is made under the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006.

4  Schedule(s)

  Each instrument that is specified in a Schedule to this instrument is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this instrument has effect according to its terms.

5  Definitions

  In this regulation:

Act means the Anti‑Money Laundering and Counter‑Terrorism Financing Act 2006.

Foreign Affairs Department means the Department administered by the Foreign Affairs Minister.

Secretary means the Secretary of the Foreign Affairs Department.

Note: A number of expressions used in this Regulation are defined in the Act, including the following:

(a) designated service;

(b) person;

(c) reporting entity;

(d) transaction.

6  Declaration of prescribed foreign country

  Iran is declared to be a prescribed foreign country for the purposes of the Act.

7  Prohibition of transactions

 (1) For subsection 102(1) of the Act, a transaction is prohibited if:

 (a) it is a transaction that involves the provision by a reporting entity of one or more of the designated services mentioned in any of items 17, 29, 30, 31, 32 and 34 of table 1 in section 6 of the Act; and

 (b) the reporting entity is aware, or ought reasonably to be aware, at the time of the transaction, that a party to the transaction is:

 (i) an individual who is physically present in Iran; or

 (ii) a corporation incorporated in Iran; and

 (c) the value of the money or property involved in the transaction is not less than $20 000; and

 (d) none of the parties to the transaction is:

 (i) the Commonwealth, a State or a Territory; or

 (ii) a person exempted under section 9; and

 (e) the transaction does not relate to:

 (i) the Iranian Embassy in Australia; or

 (ii) the head or a member of the diplomatic staff of the Iranian Embassy who is entitled to any privileges or immunities under the Diplomatic Privileges and Immunities Act 1967; or

 (iii) the head or a member of staff of a consular post operated by Iran in Australia or an external Territory who is entitled to any privileges or immunities under the Consular Privileges and Immunities Act 1972; or

 (iv) the Australian Embassy in Iran; or

 (v) the head or a member of the diplomatic staff of the Australian Embassy who is entitled to any privileges or immunities under the Vienna Convention on Diplomatic Relations; and

 (f) the transaction is not exempt under section 8.

 (2) A reporting entity must not provide a designated service in relation to a transaction prohibited under subsection (1).

Penalty: 50 penalty units.

8  Transaction exemption

 (1) A person may apply for a transaction to be exempt from section 7.

 (2) The application must be made to the Foreign Affairs Department in a form approved by the Secretary.

 (3) The Secretary may exempt the transaction from section 7 if the Secretary considers it appropriate to do so having regard to:

 (a) the objects of the Act; and

 (b) whether the transaction is necessary for the provision of a basic expense, including the following:

 (i) foodstuffs;

 (ii) rent or mortgage;

 (iii) medicines or medical treatment;

 (iv) taxes;

 (v) insurance premiums;

 (vi) public utility charges;

 (vii) reasonable professional fees;

 (viii) reimbursement of expenses associated with the provision of legal services; and

 (c) whether the transaction is legally required because it is necessary to satisfy a judicial, administrative or arbitral lien or judgment that was made before 1 March 2012; and

 (d) whether the transaction is contractually required under a contract, agreement, or obligation made before 1 March 2012; and

 (e) whether the transaction is a significant trade transaction that, if not completed, would have an adverse effect on Australia’s trade relationship with Iran or the viability of an Australian business; and

 (f) whether the transaction is a humanitarian transaction related to the provision of aid or humanitarian services.

 (4) The Secretary is taken to have exempted the transaction if:

 (a) the Secretary does not give the person, within 28 days after the application is made, either:

 (i) written notice of a decision under subsection (3); or

 (ii) written notice that the application is still being considered; or

 (b) the Secretary gives the person written notice (within 28 days after the application is made) that the application is still being considered, but does not give the person written notice of a decision under subsection (3) within 56 days after the application is made.

9  Personal exemption

 (1) A person may apply for exemption from section 7.

 (2) The application must be made to the Foreign Affairs Department in a form approved by the Secretary.

 (3) The Secretary may exempt the person from section 7 if the Secretary considers it appropriate to do so having regard to the objects of the Act.

Note 1: Section 5 of the Act defines person to mean any of the following:

(a) an individual;

(b) a company;

(c) a trust;

(d) a partnership;

(e) a corporation sole;

(f) a body politic.

Note 2: Sections 237, 238 and 239 of the Act provide for the application of the Act to partnerships, unincorporated associations and trusts (with 2 or more trustees) as if they were persons, but with the changes set out in those sections.

10  Transitional—exemptions in force before 1 April 2014 etc.

Exemptions for transactions

 (1) If:

 (a) a transaction had been exempted from regulation 7 of the Anti‑Money Laundering and Counter‑Terrorism Financing Regulations 2008 (the old Regulations) under regulation 8 of the old Regulations; and

 (b) the exemption was in force immediately before 1 April 2014;

then the exemption for the transaction is taken, on and after 1 April 2014, to be an exemption for the transaction from section 7 of this regulation.

Exemptions for persons

 (2) If:

 (a) a person had been exempted from regulation 7 of the old Regulations under regulation 9 of the old Regulations; and

 (b) the exemption was in force immediately before 1 April 2014;

then the exemption for the person is taken, on and after 1 April 2014, to be an exemption for the person from section 7 of this regulation.

Applications for exemptions not decided before 1 April 2014—transactions

 (3) If:

 (a) an application had been made before 1 April 2014 under regulation 8 of the old Regulations for a transaction to be exempt from regulation 7 of the old Regulations; and

 (b) the application had not been decided before 1 April 2014;

then the application is taken to be an application under section 8 of this regulation for the transaction to be exempt from section 7 of this regulation.

Applications for exemptions not decided before 1 April 2014—persons

 (4) If:

 (a) an application had been made before 1 April 2014 under regulation 9 of the old Regulations for a person to be exempt from regulation 7 of the old Regulations; and

 (b) the application had not been decided before 1 April 2014;

then the application is taken to be an application under section 9 of this regulation for the person to be exempt from section 7 of this regulation.

Schedule 1—Repeal

Anti‑Money Laundering and Counter‑Terrorism Financing Regulations 2008

1  The whole of the Regulations

Repeal the Regulations.

Endnotes

Endnote 1—About the endnotes

The endnotes provide details of the history of this legislation and its provisions. The following endnotes are included in each compilation:

Endnote 1—About the endnotes

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history

Endnote 5—Uncommenced amendments

Endnote 6—Modifications

Endnote 7—Misdescribed amendments

Endnote 8—Miscellaneous

If there is no information under a particular endnote, the word “none” will appear in square brackets after the endnote heading.

Abbreviation key—Endnote 2

The abbreviation key in this endnote sets out abbreviations that may be used in the endnotes.

Legislation history and amendment history—Endnotes 3 and 4

Amending laws are annotated in the legislation history and amendment history.

The legislation history in endnote 3 provides information about each law that has amended the compiled law. The information includes commencement information for amending laws and details of application, saving or transitional provisions that are not included in this compilation.

The amendment history in endnote 4 provides information about amendments at the provision level. It also includes information about any provisions that have expired or otherwise ceased to have effect in accordance with a provision of the compiled law.

Uncommenced amendments—Endnote 5

The effect of uncommenced amendments is not reflected in the text of the compiled law but the text of the amendments is included in endnote 5.

Modifications—Endnote 6

If the compiled law is affected by a modification that is in force, details of the modification are included in endnote 6.

Misdescribed amendments—Endnote 7

An amendment is a misdescribed amendment if the effect of the amendment cannot be incorporated into the text of the compilation. Any misdescribed amendment is included in endnote 7.

Miscellaneous—Endnote 8

Endnote 8 includes any additional information that may be helpful for a reader of the compilation.

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history

Endnote 5—Uncommenced amendments [none]

Endnote 6—Modifications [none]

Endnote 7—Misdescribed amendments [none]

Endnote 8—Miscellaneous [none]