ACAMS ACAMS Certifications CAMS Questions & Answers

• Question 211:

  Which of the following provides anti-money laundering specialists information related to money laundering trends?

  1.

  Egmont Group's 100 Cases

  2.

  Financial Action Task Force Typologies

  3.

  FinCEN's SAR Activity Review

  4.

  The Wolfsberg Principles

  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: C

• Question 212:

  What types of things should an institution incorporate in it AML policies and procedures? Choose 3 answers

  A. On-going training, as well as initial training of new employees

  B. Periodic audits, to be performed by independent staff at least once a year

  C. Ability to incorporate relevant legislative and regulatory AML changes

  D. Review of the AML policy by the Board of Directors

  Correct Answer: ABC

• Question 213:

  Which scenario is closest to the definition of money laundering the United Nations Convention against Transnational Organized Crime and Other Protocols provided?

  A. Filing a suspicious transaction report when you know or suspect money laundering is taking place

  B. Knowingly financing a resort development with the proceeds of arms trafficking

  C. Assisting a client in a property conveyance by effecting the transfer of ownership from the seller to the purchaser when you don't know the purchaser

  D. Discussing your suspicions with a client, thus giving the client the opportunity to switch service providers and to cover his tracks in future transactions

  Correct Answer: B

• Question 214:

  A suspicious transaction report has been filed on an account owned by the wife of the bank's ChiefExecutive 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 215:

  Why are Money Services Business (MSBs) frequently accused of being high risk for money laundering?

  A. A MSB should be used to hide money from a regulated entity

  B. MSBs generally charge lower commission rates than banks charge making them attractive to criminals

  C. MSBs can route funds to more high risk countries than banks

  D. MSBs are subject to regulatory scrutiny which varies greatly from country to country

  Correct Answer: B

• Question 216:

  A European Union (EU) bank has a correspondent banking relationship with a U.S. bank. Under USA PATRIOT Act Section 311, the U.S. government has enacted special measures against a designated entity that has a payable-through account with the EU bank.

  Which of the following actions might the U.S. bank be required to take regarding the EU bank's services for the designated entity?

  A. Ensure the designated entity's confidential information is not shared with other entities.

  B. Obtain additional information about customers permitted to use this account.

  C. Verify that the EU bank serves the designated entity.

  D. Perform enhanced due diligence on the EU bank.

  Correct Answer: C

• Question 217:

  The Basel Committee on Banking Supervision issued a paper in October 2001 in which it presented a Know Your Customer framework and recommended standards applicable to:

  A. Offshore banking supervisors.

  B. Financial Intelligence Units.

  C. banks in all countries.

  D. European Financial Institutions.

  Correct Answer: D

• Question 218:

  When an institution receives a document request from law enforcement with regard to an STR that the institution has filed, what should institution do?

  A. It should turn over the documents that were previously collected to support the STR

  B. It should request a written subpoena or court order before turning over any documents

  C. It should have its outside counsel review the request and the documents before doing anything

  D. It should politely decline to provide the requested documents until the law enforcement agency can explain the nature and purpose of its inquiry

  Correct Answer: A

• Question 219:

  Which method is indicative of potential money laundering and terrorist financing activity?

  A. Client converts 500 Euro in mixed denomination notes to small denomination U.S. bills in a single transaction

  B. A commercial client in the export business regularly receives wire transfers from high risk countries

  C. An unknown client purchases multiple monetary instruments for one person during the course of one day

  D. An unknown client pays $1,000 in cash for an urgent transfer to a high risk country

  Correct Answer: D

• Question 220:

  A close relative of a privately-owned bank's senior manager requests to open an account. Because of this relationship, the staff expedites the opening of the account without following established account-opening procedures. Applying the Basel Committee on Banking Supervision principles, which of the following poses the highest operational risk?

  A. Failure to conduct proper due diligence.

  B. The possibility of lawsuits that adversely affect the operations of a bank.

  C. The bank's exposure to politically exposed persons.

  D. Not having appropriate information to share with Financial Intelligence Units.

  Correct Answer: D