ACAMS ACAMS Certifications CAMS Questions & Answers

• Question 181:

  Historically, which vehicle is most often used to hide beneficial ownership?

  A. Professional association

  B. An offshore company

  C. A limited liability partnership

  D. A charitable organization

  Correct Answer: D

• Question 182:

  The Board of Directors for a small private bank has asked the management to no longer apply the identity requirements for high net worth individuals to protect their privacy. Which of the following Financial Action Task =once 40 Recommendations should cause an anti-money laundering specialist the most concern?

  A. Financial institutions should not warn their customers when information relating to them is being reported to the competent authorities.

  B. Financial institutions should not keep anonymous accounts.

  C. Financial institutions should maintain all necessary suspicious transaction report records on transactions, both domestic are international, for at least 5 years.

  D. If financial institutions suspect that funds stem from criminal activity, they should be required to close the account.

  Correct Answer: C

• Question 183:

  A suspicious transaction report filed on a car dealer structuring deposits initiates a criminal investigation. The dealer changes branches and begins placing transactions with a frontline employee to whom the dealer has given numerous gifts.

  This employee handles all of the dealer's structured deposits and does not report the suspicious activity internally.

  The competent authority has advised the anti-money laundering specialist to avoid tipping off the employee until the investigation is finalized.

  What action should the specialist take next?

  A. Recommend the immediate termination of the employee.

  B. Advise that the dealer's accounts should be closed.

  C. Consult with senior management and the legal advisor.

  D. Inform the institution's regulatory agency of the situation.

  Correct Answer: D

• Question 184:

  Which three conduits for moving terrorist-related funds do terrorist financing generally favor? Choose 3 answers

  A. Banks and/or other formal financial systems

  B. Informal financial systems

  C. Currency exchange firms

  D. Cash couriers

  Correct Answer: BCD

• Question 185:

  A suspicious transaction report has been filed on an account owned by the wife of the bank's Chief Executive Officer. Which of the following is the most important consideration when deciding whether to recommend closing the account?

  A. The institution's anti-money laundering policy

  B. Requests from the competent authority

  C. Customer relations

  D. Chief Executive's reputational risk

  Correct Answer: C

• Question 186:

  According to Basel Committee on Banking Supervision's Customer Due Diligence for Banks, which of the following should provide an evaluation of a bank's policies and procedures independent from its management?

  A. The credit risk department

  B. The Board

  C. A peer institution

  D. The compliance function

  Correct Answer: D

• Question 187:

  Which of the following competent authorities should directly receive suspicious or unusual transaction reports?

  A. law enforcement

  B. an independent judge

  C. financial intelligence unit

  D. central bank

  Correct Answer: D

• Question 188:

  What is the intentional evasion of a reporting or recordkeeping requirement?

  A. Money laundering

  B. Layering

  C. Placement

  D. Structuring

  Correct Answer: A

• Question 189:

  According to the Financial Action Task Force 40 Recommendations, simplified customer due diligence or reduced measures could be acceptable for which of the following types of products or transactions?

  1.

  Life insurance policies where the annual premium is no more than USD/EUR 1,000 or a single premium of no more than USD/EUR 2,500.

  2.

  Insurance policies for pension schemes if there is no surrender clause and the policy cannot be used as collateral.

  3.

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  4.

  Trusts where the settlor, trustee and beneficiaries are identified and the shares are in bearer form.

  A. 1, 2, and 3 only

  B. 1, 2, and 4 only

  C. 1, 3, and 4 only

  D. 2, 3, and 4 only

  Correct Answer: B

• Question 190:

  A businessman requests a European private bank to open a numbered or alternate name account. According to the Basel Committee on Banking Supervision principles, which of the following is the most important question the banker should ask?

  A. Who will control the account?

  B. Who will inherit the proceeds in the event of the businessman's death?

  C. How much money will be deposited into the account?

  D. What account-opening date should I record'!'

  Correct Answer: B