Australia’s financial crime watchdog said on Thursday it had ordered an audit of payment platform Airwallex for suspected anti-money laundering and counter-terrorism financing compliance failures.
The Australian Transaction Reports and Analysis Centre (AUSTRAC) said in a statement it is concerned that Airwallex’s transaction monitoring program has not been attuned to the full range of risks it faces, given the fintech facilitates the transfer of funds to multiple jurisdictions.
The Australia-founded fintech has also not defined who its customers are and what reporting may be required, it added.
“Our concerns also extend to how well Airwallex identifies and reports on suspicious matters and the effective oversight of these important obligations,” said AUSTRAC Chief Executive Officer Brendan Thomas.
The payment platform said on Wednesday it had acquired South Korea’s Paynuri Co Ltd, securing local payments licences and a foreign-exchange business registration that will allow it to operate directly in the country as it expands in Asia.
Airwallex, which is co-headquartered in San Francisco and Singapore and is backed by investors including Tencent 0700.HK, DST Global, and Hillhouse did not immediately respond to Reuters’ requests for comment.
Reuters
