The Australian Transaction Reports and Analysis Centre (AUSTRAC) has ordered Airwallex Designated Business Group (Airwallex DBG) to appoint an external auditor to assess whether it is meeting its anti-money laundering and counter-terrorism financing (AML/CTF) obligations, following concerns about potential non-compliance. AUSTRAC’s concerns include whether Airwallex’s transaction monitoring program is appropriately calibrated to the full range of risks arising from its cross-border payments activity, whether the company has an acceptable understanding of its customers, and how effectively it identifies and reports suspicious matters and oversees these obligations. Appointed under section 162 of the Anti-Money Laundering and Counter-Terrorism Financing Act 2006, the auditor will examine compliance with key requirements including maintaining and complying with an AML/CTF program, operating an ongoing customer due diligence program, and meeting suspicious matter reporting obligations. The auditor must report findings to AUSTRAC within 180 days of appointment, with the scope set by AUSTRAC and the audit conducted at Airwallex DBG’s expense. The audit outcomes will also inform AUSTRAC on whether further regulatory action is required.