Gadens

Gadens Financial Services Regulation Team discuss the Scams Prevention Framework, the regulatory structure that underlies the Framework, and what it means for regulated entities captured by the Framework.

Who does the Framework apply to?

The Framework will initially apply to banks, telecommunication providers, and digital platform services (being social media, paid search engine advertising, and direct messaging services). While the Framework only applies to these sectors initially, further sectors may be brought into the Framework over time depending on shifts in the volume of scam activity. It may be the case that the Framework will be expanded to include additional areas, such as superannuation funds, digital currency exchanges, payment providers, and transaction-based digital platforms. This decision is likely to be based on scam activity, efficacy of existing industry initiatives, the best interests of consumers, and the risks and benefits of expanding the scope of the Framework.

Read the article in full here.