Law enforcement (LE) suspects human trafficking to occur during a major sporting event. LE officers asked several financial institutions (FIs) to monitor financial transactions occurring before, during, and after the event.
An investigator identified a pattern linked to a business. The business' account received multiple even dollar deposits between midnight and 4:00 AM. They occurred each day for several days prior to the date of the sporting event. Also, large
cash deposits, typically between 2,000 USD and 3,000 USD. made by a person to the business' account occurred in many branches in the days after the sports event.
There was little information about the company. The company did not have any history of employee payroll expenses or paying taxes. Expenses from the business account included air travel and hotel expenses. Searches about the person
making cash deposits showed little. An online social media platform webpage with the individual's name showed ads for dates" and "companionship."
The Fl receives a keep open' letter from LE for the identified account and agrees to keep the account open. What is the Fl required to do?
A. Contact the client for information relating to the account.
B. Stop filing SAR/STR reports on the account and/or customer.
C. Ensure that the request includes an end date.
D. Notify LE immediately after new transactions.
In a SAR/STR narrative concerning Individual A. which statement indicates a product of analysis rather than a fact or judgement?
A. Individual A was the originator of nine wires totaling 225.000 USD between January and March 2020.
B. Individual A made structured cash deposits possibly to circumvent regulatory reporting requirements
C. Individual A made structured cash deposits on almost consecutive days.
D. Individual A is a college student and employed part-time at a car wash.
An analyst reviews an alert for high volume Automated Clearing House (ACH) activity in an account. The analyst's initial research finds the account is for a commercial daycare account that receives high volumes of large government-funded ACH transactions to support the programs. The account activity consists of checks (cheques) made payable to individual names in varying dollar amounts. One check indicates rent to another business.
An Internet search finds that the daycare company owner has previous government-issued violations for safety and classroom size needs, such as not having enough chairs and tables per enrollee. These violations were issued to a different daycare name.
Simultaneous to this investigation, another analyst sends an email about negative news articles referencing local child/adult daycare companies misusing governmental grants. This prompts the financial institution (Fl) to search all businesses for names containing daycare' or care*. Text searches return a number of facilities as customers at the Fl and detects that three of these businesses have a similar transaction flow of high volume government ACH funding with little to no daycare expenses.
The analyst determines that site visits should be conducted for the three daycare businesses. Which observations at the on-site visits would justify writing a SAR/STR? (Select Three.)
A. Signs of severe wear and poor maintenance at the site
B. A site located in a commercial building
C. Lights turned off at the site during operational hours
D. Visible attendance with children being dropped off by parents
E. Visible signage indicating the purpose of the building
F. A full parking lot of cars with no staff at the site
A client with many personal and business deposits with the financial institution (Fl) seeks a business loan. The client wants to guarantee the loan with a trust for which they are the beneficiary.
An investigator examines the trust. The trust has many layers, including shell companies in known tax havens. The client's ultimate beneficial ownership claim cannot be validated, and the loan is denied.
Two months later, the Fl receives a law enforcement (LE) request on one of the client's business accounts. While reviewing the business account, the Fl receives another LE request on the same account from another agency. The requested information is shared.
Three months later, a branch manager receives a request to open a business deposit account related to a complex trust. The manager forwarded the request because of the complexity. The trust was the same as the previously examined trust, but the request came from a different client. The second client also has many accounts with the Fl. Further inspection finds links between the second client and the Paradise Papers. The Papers state the client led illegal activities and committed tax evasion.
What steps should the investigator take to review the accounts held by the second client who is listed in the Paradise Papers? (Select Two.)
A. Recommend a SAR/STR be filed regarding the second client's use of a questionable trust to open an account.
B. Review all accounts being reviewed by AML investigators over the past year that have opened trust accounts.
C. Inform Fl management of deficiencies in their AML program because the second client's activities were not detected.
D. Monitor all accounts and entities related to the second client
E. Inform Fl management of the start of a serious risk-based investigation that could result in losses and reputation risk.
A client that runs a non-profit organization that aids refugees in leaving their home countries received a remittance from a money services business that was ten times the average. The client was recently detained for providing falsified passports to illegal immigrants. Which predicate offenses could be considered in the SAR/STR? (Select Two.)
A. Human smuggling/trafficking
B. Terrorist financing
C. Narcotics trafficking
D. Antiques smuggling
E. Tax evasion
An investigator is reviewing an alert for unusual activity. System scanning detected a text string within a company customer's account transactions that indicates the account may have been used for a drug or drug paraphernalia purchase Based on the KYC profile, the investigator determines the customer's company name and business type are marketed as a gardening supplies company. The investigator reviews the account activity and notes an online purchase transaction that leads the investigator to a website that sells various strains of marijuana. Additional account review detects cash deposits into the account at the branch teller lines, so the investigator reaches out to the teller staff regarding the transactions. The teller staff member reports that the business customers have frequently deposited cash in lower amounts. The teller, without prompting, adds that one of the transactors would occasionally smell of a distinct scent of marijuana smoke.
Which are the best next steps for the investigator to take? (Select Three.)
A. Review the customer's transaction history.
B. Request information from the internet service provider who hosts the website.
C. Check internal KYC information.
D. Research other customer accounts for transactions to the same website. E Conduct adverse media and open-source searches on the customer's background.
E. Identify if the customer has opened accounts in an urban city area.
An investigator receives an alert documenting a series of transactions. A limited liability corporation (LLC) wired 59.000,000 USD to an overseas account associated with a state- run oil company. A second account associated with the state-run oil company wired 600,000,000 USD to the LLC. The LLC then wired money to other accounts, a money brokerage firm, and real estate purchases.
The investigator initiated an enhanced KYC investigation on the LLC. The financial institution opened the LLC account a couple of weeks prior to the series of transactions. The names associated with the LLC had changed multiple times since the account opened. A search of those names revealed relations with multiple LLCs. Public records about the LLCs did not show any identifiable business activities.
Open-source research identified mixed reports about the brokerage firm. The firm indicated it purchased mutual funds for its clients and dispensed returns to clients.
Media reports claimed the firm laundered money by holding money for a fee before returning it to investors.
Which information should the investigator review first when examining the wire transaction documentation?
A. The sanctions screening tool to see if the transaction was stopped
B. Whether the wire transfers were initiated domestically
C. The Travel Rule requirements for recordkeeping
D. How the wire transfers were initiated (e.g., phone, online, branch visit)
A financial institution (Fl) has considered the available relevant factors in a transaction and has determined it will file a SAR^STR. Which is needed to support the contents of the report to the financial intelligence unit?
A. Definitive proof that suspicious activity occurred
B. Enough circumstantial evidence about the suspicious activity for a criminal proceeding
C. No factual description of the suspicious activity
D. Low evidentiary threshold about the suspicious activity
A government entity established a trust to provide social welfare programs. The entity wants cash payments made to persons without supporting documentation. These persons would oversee the allocation of funds to beneficiaries without complying with internal disbursement of government funds controls. Which is the main premise for filing a SAR/STR?
A. Trust service providers are not obliged by law to follow government internal controls.
B. Cash disbursements are not allowed for social welfare programs.
C. Social welfare programs are difficult to document because the beneficiaries are from the informal sector.
D. The entity is not implementing adequate internal controls according to what is expected, and mishandling of funds could be occurring.
The law enforcement agency (LEA) of a foreign jurisdiction contacts a financial institution (Fl) regarding one of the Fl's clients. The LEA advises that the client is currently wanted for prosecution as a result of a series of human trafficking charges. What should the Fl do? (Select Two.)
A. Review the client's activity, determine if suspicious activity exists, and report accordingly.
B. Advise the LEA that the government needs to be contacted for extradition.
C. Comply immediately with the foreign jurisdiction and turn over all client information.
D. Inform local LEA and regulator of the request for awareness.
E. Close the clients accounts immediately to avoid any undue risk.
Nowadays, the certification exams become more and more important and required by more and more enterprises when applying for a job. But how to prepare for the exam effectively? How to prepare for the exam in a short time with less efforts? How to get a ideal result and how to find the most reliable resources? Here on Vcedump.com, you will find all the answers. Vcedump.com provide not only ACAMS exam questions, answers and explanations but also complete assistance on your exam preparation and certification application. If you are confused on your CAMS-FCI exam preparations and ACAMS certification application, do not hesitate to visit our Vcedump.com to find your solutions here.