Money talks
New anti-money laundering and counter-terrorism financing laws aim to tighten Australia’s financial crime controls — creating fresh opportunities for law firms and consultancies.
The government’s long-awaited anti-money laundering and counter-terrorism financing measures introduced to parliament this month aim to drag Australia into line with international standards. They could also be a boon for risk consultants, as well as law firms and professional services firms offering integrated risk advice.
Grant Thornton partner Neil Jeans described the bill — which includes strict new requirements for “tranche two” businesses such as lawyers, accountants and real estate agents — as a “generational change”.
The legislation comes at a time when major law firms are expanding their consultancy arms to capture more work in adjacent areas. Earlier this year, Ashurst expanded its consultancy arm, as did MinterEllison, which added seven ex-PwC consultants. King & Wood Mallesons launched Owl Advisory in February. On the flip side, KPMG closed its Australian legal practice in July.
Most financial crime work and advice is delivered by risk consultants rather than lawyers. The Big Four accounting firms may still be best positioned to serve major reporting entities like banks, but law firms want their slice of the action too.
