Build the party list from the matter
AUSTRAC's real-estate guidance describes the customer identification expectations for the seller or transferor and buyer or transferee, and the Rules require identification of beneficial owners for entity customers. The program should define the default party list and the risk-based additions.
- The vendor or transferor and purchaser or transferee
- Beneficial owners and controllers for entity parties
- Funders and guarantors where they are parties to the transaction
- Trustees and persons on whose behalf the service is received
- Buyer's agents and other intermediaries the program requires
Verify at the right depth
An individual vendor is verified through identity documents and screening. A corporate purchaser requires registration details, beneficial ownership mapping and verification of the individuals who control it. A trust requires trustees, beneficiaries or classes, and the controllers of any corporate trustee. The depth follows the customer type and the risk, not the fee level.
Record the source for every verification: document type, register, provider and date. A file that says 'verified' without a source is an assertion, not evidence.
The uncooperative counterparty
A counterparty who will not provide identity documents is a red flag, not an inconvenience. The conveyancer should follow the program's escalation path and must not complete the transaction where the legal preconditions are unmet. Record every request and response.
- Request the missing information in writing with a clear deadline
- Escalate to the compliance officer and the settlement timeline
- Apply the delayed-CDD rules only where they permit the timing
- Do not proceed where applicable identification is incomplete
- Assess whether refusal, exit or an SMR is required
What the file shows
The party list is the beginning of the AML file. An examiner should be able to see why the vendor and purchaser were checked, why a guarantor was or was not in scope, and how the file was resolved when a party did not cooperate.
- The party list and the reason each party was included or excluded
- Verification evidence with sources and dates
- Screening results and dispositions
- Requests to uncooperative parties and their responses
- The final onboarding decision and approval
Official sources
Use these primary AUSTRAC pages to confirm the current rules and apply them to your circumstances.
Frequently asked questions
Do we verify both vendor and purchaser?
Yes, where both are parties to the captured real-estate service. AUSTRAC's guidance describes identification of the seller or transferor and the buyer or transferee.
Is a buyer's agent a party who needs verification?
The program should define which intermediaries receive checks. The buyer's agent may need identification where they act for a party, while the underlying purchaser remains the customer to verify.
What if the counterparty will not provide documents?
Escalate, document the requests, apply the timing rules and do not proceed where applicable identification is incomplete. Assess refusal, exit and reporting.
How do we verify a corporate purchaser?
Collect registration details, map the beneficial owners and controllers, and verify the individuals under the customer-type rules, screening each relevant person.
Put it into practice
Cassandra AML turns these obligations into a working system: designated-service decisions, customer due diligence, screening, monitoring and reporting records — hosted in Sydney, free to start.
This guide is general information for Australian professionals. It is not legal advice and does not replace the AML/CTF Act, the AML/CTF Rules or AUSTRAC guidance. Confirm your specific obligations with AUSTRAC or a qualified legal adviser. See our editorial and correction standards.