- All Exams Instant Download
What should countries do to help prevent non-profit organizations from being abused for the financing of terrorism according to the Financial Action Task Force 40 Recommendations?
What should countries do to help prevent non-profit organizations from being abused for the financing of terrorism according to the Financial Action Task Force 40 Recommendations?A . Allow for freezing assets of non-profit organizationsB . Require all non-profit organizations to register with the country’s financial intelligence unitC . Ensure non-profit...
Which red flag indicates the highest anti-money laundering risk?
The compliance officer at a crowdfunding website is in charge of monitoring new crowdfunding projects. Recently, the number of crowdfunding projects has significantly increased. Which red flag indicates the highest anti-money laundering risk?A . Those with the largest number of donorsB . Projects that get funding within days of their...
Why do governments and multi-national bodies impose economic sanctions?
Why do governments and multi-national bodies impose economic sanctions?A . To impede kleptocracyB . To enforce foreign policy objectivesC . To combat an imminent terrorist threatD . To prevent fraudulent international trade transactionsView AnswerAnswer: B Explanation: Reference: https://en.wikipedia.org/wiki/Economic_sanctions
What is the correct next course of action?
A compliance officer learns from an Information Technology (IT) source of a potential new financial service being discussed by the new product approval committee. What is the correct next course of action?A . Request that the new product approval committee include the compliance officer.B . Go to the board of...
The Wolfsberg Anti-Money Laundering Principles for Private Banking require new clients to be approved by whom?
The Wolfsberg Anti-Money Laundering Principles for Private Banking require new clients to be approved by whom?A . The board of directorsB . Only the private bankerC . The private banker’s supervisorD . At least one person other than the private bankerView AnswerAnswer: D Explanation: Reference: https://www.wolfsberg-principles.com/sites/default/files/wb/pdfs/wolfsberg-standards/10.% 20Wolfsberg-Private-Banking-Prinicples-May-2012.pdf (04)
What do Financial Action Task Force (FATF)-style regional bodies do for their members to help combat money laundering and terrorist financing?
What do Financial Action Task Force (FATF)-style regional bodies do for their members to help combat money laundering and terrorist financing?A . They provide technical assistance to members in implementing FATF recommendationsB . They assist member countries in penalizing entities that violate FATF standards and recommendationsC . They work with...
Which two red flags should prompt the firm’s compliance officer to take action?
A customer opens a corporate account with a broker-dealer on behalf of several beneficial owners, with a stated long-term investment goal. The customer deposits $25.5 million into the account and three days later transfers $5 million to an overseas bank. Shortly thereafter, the customer begins making numerous purchases of pesos....
What are two red flags that indicate how trade-based money laundering could be occurring in this instance?
An automotive parts company in South America sends multiple $500,000 wire transfers per week to ABC Holdings Ltd. in Asia referencing payment for silk flower shipments. Research reveals Sunrise Holdings, Ltd is registered in the British Virgin Islands with no available ownership information. What are two red flags that indicate...
Which transaction is considered a red flag for potential money laundering?
A compliance officer at an insurance company has been reviewing the transaction activity of several clients. Which transaction is considered a red flag for potential money laundering?A . A client paid the quarterly life insurance premium using money orders from two different banks.B . A client from a high-risk jurisdiction...
Which two things must the vice president acquire under the USA PATRIOT Act?
The vice president of the foreign correspondent banking department at a large United States bank has been notified that a foreign bank with an offshore license wants to open a correspondent account. Which two things must the vice president acquire under the USA PATRIOT Act? (Choose two.)A . A list...
