True or False? “A bank is required to identify and verify the beneficial owners of a public company listed on the Australian Stock Exchange.”

True.

In Australia, under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (AML/CTF Act), banks and other financial institutions are indeed required to identify and verify the beneficial owners of a public company listed on the Australian Stock Exchange (ASX). This requirement is part of the broader framework aimed at preventing money laundering and terrorism financing.

The identification and verification process ensures that the bank understands the ownership structure of the company and can assess the risks associated with potential money laundering activities. Although public companies often have a wide range of shareholders, the bank must still have accurate and up-to-date information about who ultimately owns or controls the company.

The verification process can involve gathering information from various sources, including the company’s public filings and shareholder register, and may include checks against government-issued identification or other forms of verification for the individuals identified as beneficial owners. This helps maintain transparency and accountability in the financial system.