New AML/CTF requirements: What you need to know about engaging with Best Hooper

Important Information About Australia’s New Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) Requirements

A change to Australia’s AML/CTF laws

From 1 July 2026, significant changes to Australia’s Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) laws come into effect.

These reforms extend AML/CTF obligations to legal practitioners and require law firms to undertake client identification, verification and ongoing due diligence for certain legal services.

These requirements are imposed by law and apply across the legal profession. They are designed to help prevent money laundering, terrorism financing and other serious financial crime.

What this means for you

If we provide legal services that are covered by the AML/CTF legislation, we may be required to collect and verify additional information before we can act, or while we continue to act, on your behalf.

Depending on the circumstances, we may ask you to provide information or documentation such as:

• proof of your identity;
• your residential or business address;
• details of the source of funds or source of wealth relevant to a transaction;
• information about companies, trusts or other entities, including ownership or beneficial ownership details;
• information about the purpose and nature of a transaction or our engagement.

The information we request will depend on the type of legal service being provided and the level of verification required by law.

Why we need this information

The AML/CTF legislation requires law firms to verify the identity of their clients and, in some cases, obtain additional information about the individuals or entities involved in a matter.

These verification processes are a standard legal requirement and do not reflect any concern about you or your transaction.

How your information will be used

Any personal or business information you provide will be used solely for the purposes of complying with our legal obligations under the AML/CTF legislation, including:

• verifying your identity;
• undertaking customer due diligence;
• assessing and managing AML/CTF risks; and
• meeting our ongoing compliance and record-keeping obligations.

We will handle your information in accordance with applicable privacy laws.

How long we keep your information

Where required by law, we will retain AML/CTF identification and verification records for the period prescribed under the AML/CTF legislation, which is generally 7 years after the relevant business relationship or transaction has ended.

Records are stored securely and are only accessible by authorised personnel or service providers engaged to assist us in meeting our legal obligations.

Any information you provide is handled in accordance with Australian privacy law, our professional confidentiality obligations and the AML/CTF requirements. It is used only for identity verification, due diligence and compliance, and is not used for marketing or sold to anyone. These requirements are also set out in our Costs Agreement.

Our Process

Step		What happens
1	Scope the engagement	We confirm your matter and whether it is a designated service. If so, the process continues.
2	Request your details	You receive a secure request from us through InfoTrack for identity information and any relevant documents.
3	Verify your information	Your identity and ownership details are checked through InfoTrack.
4	Clarify anything outstanding	We let you know if we need any further documents or explanations.
5	Receive the report	We receive a verification report from InfoTrack.
6	Complete our assessment	We review the report, assess risk and finalise the required AML/CTF checks.
7	Begin your matter	Once the checks are complete, we proceed with your work.

What you need to do

At this stage, no action is required.

If we need additional information or documentation from you, we will contact you directly and explain what is required. We appreciate your prompt assistance, as delays in receiving the necessary information may affect our ability to continue acting for you or complete your matter within the required timeframe.

Thank you for your cooperation and understanding as we implement these important legal requirements.