CGSS CERTIFICATION EVALUATION TEST
2026 FULL QUESTIONS AND ANSWERS
EXPERT VERIFIED
●● 1-2 What is sanctions compliance?.
Answer: 1-2 Sanctions compliance is the act of adhering to the
sanctions-related legislation, regulations, rules, and norms that make up
the complex sanctions landscape.
●● 1-3 Define embargo..
Answer: 1-3 An embargo is an official government action to ban trade or
commercial activity with a specific country, sometimes involving a
specific trade product (e.g., a grain embargo or an oil embargo).
●● 1-4 How do blockades differ from sanctions?.
Answer: 1-4 Blockades involve the deployment of military resources by
land, air, or sea, by a country or coalition to prevent the movement of
goods or people into or out of a targeted country. Sanctions, on the other
hand, involve legal actions that are punitive or restrictive.
●● 1-5 What is the intended impact of economic sanctions on targets?.
Answer: 1-5 Economic sanctions, which can include trade sanctions and
financial sanctions, are intended to impact targets by limiting the target
country's exports, restricting its imports, or impeding finance (including
,reducing aid). Economic sanctions apply to property, a term that is very
broadly defined to include much more than money and trade goods. In
the US, the terms "property" and "property interest" include checks,
merchandise, trademarks, annuities, and a broad array of other interests,
as defined in US law. This broad definition includes virtually all
financial or commercial activity. Although there are sanctions, such as
travel bans, that do not involve property, economic sanctions have by far
the most implications for sanctions compliance programs.
●● 1-6 How do thematic sanctions differ from economic sanctions?.
Answer: 1-6 Sanctions can target activities or geography. Thematic
sanctions focus on particular issues or concerns that may cut across
geographic boundaries, such as counter-narcotics sanctions. In contrast,
geographic sanctions target specific countries or regions, such as North
Korea and Crimea. Examples of thematic sanctions include the
strengthening of human or labor rights, freeing of captured citizens, and
reversal of land captures. Although the EU has historically imposed
geographic sanctions, in recent years, it has also adopted thematic
sanctions, including those promoting human rights.
●● 1-7 What is a sanctions regime?.
Answer: 1-7 A sanctions regime is a set of sanctions that have a common
nexus or theme. Sanctions regimes are either referred to by the issuer of
the set of sanctions or by the intended purpose of the set of sanctions.
For example, the "OFAC sanctions regime" or the "North Korea
sanctions regime." Depending on the context, a sanctions regime may be
limited to unilateral sanctions or may include multilateral sanctions.
,●● 1-8 What is the role of the International Atomic Energy Agency
(IAEA)?.
Answer: 1-8 The UN's Treaty on the Non-Proliferation of Nuclear
Weapons (NPT) established the International Atomic Energy Agency
(IAEA) to monitor compliance with the terms of the treaty. The IAEA
periodically inspects the facilities and operations of member nations that
have concluded nuclear safeguards agreements with the Agency. It seeks
to build confidence and trust among member nations, which helps to
prevent the development of fissile material for military use.
●● 1-9 What is the Non-Proliferation Treaty (NPT)?.
Answer: 1-9 The UN's Treaty on the Non-Proliferation of Nuclear
Weapons, commonly known as the Non-Proliferation Treaty (NPT), was
signed in 1968 and went into effect in March 1970. The NPT solidified
the commitment of signing countries to prevent the spread nuclear
weapons. Its goal was to minimize the risk of the use of nuclear weapons
in conflict, which could result in significant destruction. Likewise, the
NPT sought to keep the weapons out of the hands of rogue nations and
terrorists.
●● 1-10 What is the goal of the Kimberley Process Certification
Scheme?.
Answer: 1-10 The Kimberley Process Certification Scheme was
established by the UN in 2003 to establish trade controls over conflict
diamonds (i.e., uncut diamonds mined in an area of armed conflict and
traded illicitly to finance the fighting). Within the process, governments
, are required to implement controls on the import and export of diamonds
to certify and control the trade, as well as create a documentary trail as
to the extraction and refinement processes.
●● 1-11 What precipitated passage of the Magnitsky Act in the US?.
Answer: 1-11 In the US, the Magnitsky Act allows for unilateral, global
sanctions to be imposed on human rights offenders and corrupt actors.
Assets can be frozen and offenders can be barred from entering the US.
The act originated from the mistreatment of attorney and auditor Sergei
Magnitsky by Russian officials while he was in a Moscow prison for
investigating fraud related to Russian tax officials. The law allows the
US to sanction foreign government officials involved in human rights
abuses anywhere in the world, including those found involved with the
assassination of the Washington Post reporter Jamal Khashoggi in 2018.
●● 1-12 Define the concept of money laundering..
Answer: 1-12 Money laundering is the process of concealing or
disguising the existence, source, movement, destination, or illegal
application of illicitly derived property or funds to make them appear
legitimate. Money laundering typically involves a three-part system:
placement of funds into a financial system; layering of transactions to
disguise the source, ownership, and location of the funds; and
integration of the funds into society in the form of holdings that appear
legitimate. The definition of money laundering varies in each country
where it is recognized as a crime.
2026 FULL QUESTIONS AND ANSWERS
EXPERT VERIFIED
●● 1-2 What is sanctions compliance?.
Answer: 1-2 Sanctions compliance is the act of adhering to the
sanctions-related legislation, regulations, rules, and norms that make up
the complex sanctions landscape.
●● 1-3 Define embargo..
Answer: 1-3 An embargo is an official government action to ban trade or
commercial activity with a specific country, sometimes involving a
specific trade product (e.g., a grain embargo or an oil embargo).
●● 1-4 How do blockades differ from sanctions?.
Answer: 1-4 Blockades involve the deployment of military resources by
land, air, or sea, by a country or coalition to prevent the movement of
goods or people into or out of a targeted country. Sanctions, on the other
hand, involve legal actions that are punitive or restrictive.
●● 1-5 What is the intended impact of economic sanctions on targets?.
Answer: 1-5 Economic sanctions, which can include trade sanctions and
financial sanctions, are intended to impact targets by limiting the target
country's exports, restricting its imports, or impeding finance (including
,reducing aid). Economic sanctions apply to property, a term that is very
broadly defined to include much more than money and trade goods. In
the US, the terms "property" and "property interest" include checks,
merchandise, trademarks, annuities, and a broad array of other interests,
as defined in US law. This broad definition includes virtually all
financial or commercial activity. Although there are sanctions, such as
travel bans, that do not involve property, economic sanctions have by far
the most implications for sanctions compliance programs.
●● 1-6 How do thematic sanctions differ from economic sanctions?.
Answer: 1-6 Sanctions can target activities or geography. Thematic
sanctions focus on particular issues or concerns that may cut across
geographic boundaries, such as counter-narcotics sanctions. In contrast,
geographic sanctions target specific countries or regions, such as North
Korea and Crimea. Examples of thematic sanctions include the
strengthening of human or labor rights, freeing of captured citizens, and
reversal of land captures. Although the EU has historically imposed
geographic sanctions, in recent years, it has also adopted thematic
sanctions, including those promoting human rights.
●● 1-7 What is a sanctions regime?.
Answer: 1-7 A sanctions regime is a set of sanctions that have a common
nexus or theme. Sanctions regimes are either referred to by the issuer of
the set of sanctions or by the intended purpose of the set of sanctions.
For example, the "OFAC sanctions regime" or the "North Korea
sanctions regime." Depending on the context, a sanctions regime may be
limited to unilateral sanctions or may include multilateral sanctions.
,●● 1-8 What is the role of the International Atomic Energy Agency
(IAEA)?.
Answer: 1-8 The UN's Treaty on the Non-Proliferation of Nuclear
Weapons (NPT) established the International Atomic Energy Agency
(IAEA) to monitor compliance with the terms of the treaty. The IAEA
periodically inspects the facilities and operations of member nations that
have concluded nuclear safeguards agreements with the Agency. It seeks
to build confidence and trust among member nations, which helps to
prevent the development of fissile material for military use.
●● 1-9 What is the Non-Proliferation Treaty (NPT)?.
Answer: 1-9 The UN's Treaty on the Non-Proliferation of Nuclear
Weapons, commonly known as the Non-Proliferation Treaty (NPT), was
signed in 1968 and went into effect in March 1970. The NPT solidified
the commitment of signing countries to prevent the spread nuclear
weapons. Its goal was to minimize the risk of the use of nuclear weapons
in conflict, which could result in significant destruction. Likewise, the
NPT sought to keep the weapons out of the hands of rogue nations and
terrorists.
●● 1-10 What is the goal of the Kimberley Process Certification
Scheme?.
Answer: 1-10 The Kimberley Process Certification Scheme was
established by the UN in 2003 to establish trade controls over conflict
diamonds (i.e., uncut diamonds mined in an area of armed conflict and
traded illicitly to finance the fighting). Within the process, governments
, are required to implement controls on the import and export of diamonds
to certify and control the trade, as well as create a documentary trail as
to the extraction and refinement processes.
●● 1-11 What precipitated passage of the Magnitsky Act in the US?.
Answer: 1-11 In the US, the Magnitsky Act allows for unilateral, global
sanctions to be imposed on human rights offenders and corrupt actors.
Assets can be frozen and offenders can be barred from entering the US.
The act originated from the mistreatment of attorney and auditor Sergei
Magnitsky by Russian officials while he was in a Moscow prison for
investigating fraud related to Russian tax officials. The law allows the
US to sanction foreign government officials involved in human rights
abuses anywhere in the world, including those found involved with the
assassination of the Washington Post reporter Jamal Khashoggi in 2018.
●● 1-12 Define the concept of money laundering..
Answer: 1-12 Money laundering is the process of concealing or
disguising the existence, source, movement, destination, or illegal
application of illicitly derived property or funds to make them appear
legitimate. Money laundering typically involves a three-part system:
placement of funds into a financial system; layering of transactions to
disguise the source, ownership, and location of the funds; and
integration of the funds into society in the form of holdings that appear
legitimate. The definition of money laundering varies in each country
where it is recognized as a crime.
