A Law Management Journal production.
Proudly sponsored by: LexisNexis Risk Solutions.
In this important conversation, AUSTRAC CEO Brendan Thomas speaks candidly about what the new anti-money laundering (AML) regime means for law firms – particularly small and medium practices – and how they can prepare now.
Brendan explains AUSTRAC’s consultative approach, the key themes raised by law firms, and how the regulator has shaped rules, guidance and support materials in response. He also provides a clear picture of how AUSTRAC expects firms to comply, what proportionality really looks like, and what happens when a suspicious matter is reported.
Key Insights Covered
1. What AUSTRAC heard from law firms
• Themes emerging from national consultations
• Common concerns about client information and verification
• How lawyer feedback shaped the final rules and guidance
2. Identifying and managing client risk
• What low-risk clients actually require
• When additional checks are necessary
• Practical indicators that create a suspicion
3. Suspicious Matter Reports explained
• What happens after a report is lodged
• Legal protections and confidentiality
• Why your report contributes to national intelligence
4. Proportionality and the small firm reality
• AUSTRAC’s expectations for sole practitioners and small practices
• What proportional compliance looks like
• Why AUSTRAC is not looking to fine firms for paperwork errors
5. Practical compliance without unnecessary cost
• How existing systems can often be adapted
• The role of technology and record-keeping
• The new AML Starter Kit for small practices, developed with the Law Council
6. Key dates and what firms should prepare for
• Registration period: March to July, 2026
• Obligations commencing: July 1, 2026
• When the Starter Kits and updated resources will be released
• What firms can sensibly plan for between now and commencement
7. AUSTRAC’s enforcement posture
• Clear statements on what AUSTRAC will and will not prioritise
• Focus on genuine criminality and serious non-compliance
• Supportive engagement expected throughout the transition period
This episode gives lawyers a rare, direct look at how the regulator is thinking about the profession, what support is coming, and how the new AML obligations can be integrated into existing workflows without overwhelming already stretched practices. Brendan speaks with deep understanding of the pressures on small firms, drawing on his previous roles, including as CEO of Legal Aid NSW.
If your firm wants clarity, reassurance and practical direction, this episode is essential listening.
