PayPal Australia is on track with its project to improve its risk assessment procedures to comply with Anti Money Laundering and Counter Terrorism Financing laws.Frerk-Malte Feller, Managing Director, PayPal Australia, said the company was taking the issue very seriously and wanted to be seen as good corporate citizens."Our independent experts Ernst and Young are making good progress and we are on track to report back to Austrac mid-year."AML regulator Austrac issued a special declaration to PayPal in October 2009 regarding the way in which PayPal assesses the risk associated with new customers towards money laundering or terrorism financing, prior to determining if the $1000 identification threshold applies.PayPal made an enforceable undertaking to Austrac to strengthen its risk assessment systems and controls and submit an independent expert report detailing PayPal Australia's compliance with AML/CTF laws, together with a plan to remedy identified deficiencies.Feller said PayPal was willing and able to make local changes to the way PayPal accounts and identification systems work, to fit in with Australian law."We are now a very localised operation, our fee structure varies from market to market, the way we handle bank debit transactions is different here to the US and other countries," he said. "We are localised in many markets to the local regulations and our customers' needs."