ACAMS QUESTIONS AND ANSWERS
A bank account is established for a new business customer. The business was
established five years ago with an address in another state. The business website
contains few details other than stating it is a real estate business.
One principal has an international telephone number and appears to be living in another
country. The other principal works out of a recreational vehicle.
What warrants enhanced due diligence in this scenario? - Answers - Shell Company
A branch manager for a small community bank has a new customer who deposits four
EUR 50,000 checks into one account. Shortly thereafter, the customer goes to another
branch and asks to transfer all but EUR 1,500 to three accounts in different foreign
jurisdictions.
Which suspicious activity should be the focus of the suspicious transaction report? -
Answers - The customer asks to transfer funds to accounts in three different foreign
jurisdictions
A government has instituted new anti-money laundering laws which require all financial
institutions to obtain certain information from its customers.
Which step should an institution located in this jurisdiction take to ensure compliance? -
Answers - Change procedures and systems as necessary and provide employee
training
An anti-money laundering audit identifies a significant weakness in how transaction
monitoring alerts are cleared. Audit sampling identified potentially suspicious activity
that was cleared as not suspicious. Management accepts the audit finding and develops
a remediation plan.
What is the role of the auditor during the correction phase? - Answers - Validating the
successful remediation of the issue once management indicates the issue is resolved
Which method to launder money through deposit-taking institutions is closely associated
with international trade? - Answers - Using Black Market Peso Exchange
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.
The compliance officer receives a query regarding the movement of funds. Within a
month of account opening, the customer depletes the account.
Which two red flags should prompt the firm's compliance officer to take action? -
Answers - - The compliance officer receives the query regarding the movement of funds
- The customer's stated investment goal is not reflective of account activity
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
A bank account is established for a new business customer. The business was
established five years ago with an address in another state. The business website
contains few details other than stating it is a real estate business.
One principal has an international telephone number and appears to be living in another
country. The other principal works out of a recreational vehicle.
What warrants enhanced due diligence in this scenario? - Answers - Shell Company
A branch manager for a small community bank has a new customer who deposits four
EUR 50,000 checks into one account. Shortly thereafter, the customer goes to another
branch and asks to transfer all but EUR 1,500 to three accounts in different foreign
jurisdictions.
Which suspicious activity should be the focus of the suspicious transaction report? -
Answers - The customer asks to transfer funds to accounts in three different foreign
jurisdictions
A government has instituted new anti-money laundering laws which require all financial
institutions to obtain certain information from its customers.
Which step should an institution located in this jurisdiction take to ensure compliance? -
Answers - Change procedures and systems as necessary and provide employee
training
An anti-money laundering audit identifies a significant weakness in how transaction
monitoring alerts are cleared. Audit sampling identified potentially suspicious activity
that was cleared as not suspicious. Management accepts the audit finding and develops
a remediation plan.
What is the role of the auditor during the correction phase? - Answers - Validating the
successful remediation of the issue once management indicates the issue is resolved
Which method to launder money through deposit-taking institutions is closely associated
with international trade? - Answers - Using Black Market Peso Exchange
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.
The compliance officer receives a query regarding the movement of funds. Within a
month of account opening, the customer depletes the account.
Which two red flags should prompt the firm's compliance officer to take action? -
Answers - - The compliance officer receives the query regarding the movement of funds
- The customer's stated investment goal is not reflective of account activity
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
