CAFCA Manual with all Correct & 100% Verified
Answers |Guaranteed to Pass
What is financial crime? ✔Correct Answer-Illegal activities that are usually economically motivated.
What is money laundering? ✔Correct Answer-The process of concealing or disguising the
existence, source, movement, destination, or illegal application of criminally derived property or
funds to make them appear legitimate.
Three stages of money laundering ✔Correct Answer-- Placement
- Layering
- Integration
What is terrorist financing? ✔Correct Answer-Involves fund for an illegal political purpose to
support terrorist activities. However, money is necessarily derived from the proceeds of illegal
activity.
Hawala system plays a big roles in moving terrorist related funds.
What are sanctions? ✔Correct Answer-Political decision made as part of diplomatic efforts by
countries, regional organization, and international bodies. Sanctions are primarily a foreign policy
and security tool. Sanctions are intended to affect behavioral change through deterrence,
prevention, or punishment.
What is fraud? ✔Correct Answer-An International act of criminal deception in order to obtain an
unjust or illegal advantage. Usually for personal gain.
Reasons people commit fraud ✔Correct Answer-- Pressure
- Opportunity
- Rationalization
4th Capacity
What is anti-bribery and corruption? ✔Correct Answer-Bribrery is the giving or receiving of a
financial or other advantage in connection with the improper performance of a position or trust, or a
function that is expected to be performed impartially, or in good faith.
Anti-bribery and Corruption Law? ✔Correct Answer-- The Foreign Corrupt Practices Act US
- The UK Bribery Act 2010
What is tax avoidance? ✔Correct Answer-The legal means to reduce the tax owed.
What is tax evasion? ✔Correct Answer-The illegal means to avoid paying tax owed.
Regulation to combat tax evasion? ✔Correct Answer-The Foreign Account Tax Compliance Act
(FATCA)
Types of financial crime risks? ✔Correct Answer-- Regulatory
- Legal
- Financial
- Reputational
Answers |Guaranteed to Pass
What is financial crime? ✔Correct Answer-Illegal activities that are usually economically motivated.
What is money laundering? ✔Correct Answer-The process of concealing or disguising the
existence, source, movement, destination, or illegal application of criminally derived property or
funds to make them appear legitimate.
Three stages of money laundering ✔Correct Answer-- Placement
- Layering
- Integration
What is terrorist financing? ✔Correct Answer-Involves fund for an illegal political purpose to
support terrorist activities. However, money is necessarily derived from the proceeds of illegal
activity.
Hawala system plays a big roles in moving terrorist related funds.
What are sanctions? ✔Correct Answer-Political decision made as part of diplomatic efforts by
countries, regional organization, and international bodies. Sanctions are primarily a foreign policy
and security tool. Sanctions are intended to affect behavioral change through deterrence,
prevention, or punishment.
What is fraud? ✔Correct Answer-An International act of criminal deception in order to obtain an
unjust or illegal advantage. Usually for personal gain.
Reasons people commit fraud ✔Correct Answer-- Pressure
- Opportunity
- Rationalization
4th Capacity
What is anti-bribery and corruption? ✔Correct Answer-Bribrery is the giving or receiving of a
financial or other advantage in connection with the improper performance of a position or trust, or a
function that is expected to be performed impartially, or in good faith.
Anti-bribery and Corruption Law? ✔Correct Answer-- The Foreign Corrupt Practices Act US
- The UK Bribery Act 2010
What is tax avoidance? ✔Correct Answer-The legal means to reduce the tax owed.
What is tax evasion? ✔Correct Answer-The illegal means to avoid paying tax owed.
Regulation to combat tax evasion? ✔Correct Answer-The Foreign Account Tax Compliance Act
(FATCA)
Types of financial crime risks? ✔Correct Answer-- Regulatory
- Legal
- Financial
- Reputational
