ACAMS ACAMS Certifications CAMS Questions & Answers

• Question 61:

  What are the rules imposed by Office of Foreign Assets Control (OFAC) for legal entities and persons related to the U.S.? (Choose two.)

  A. Any foreign corporation is also penalized if it conducts transactions with sanctioned countries under OFAC rules.

  B. A subsidiary of a legal entity of the U.S., which is formally registered in a foreign country, is exempt from OFAC rules.

  C. A foreign individual visiting the U.S. for a short vacation is obligated to follow OFAC rules.

  D. The head office of a foreign legal entity which has a branch in the U.S. does not need to comply with OFAC rules.

  E. Nationals of the U.S. must comply with OFAC rules, regardless of where they are located in the world.

  Correct Answer: CE

• Question 62:

  The USA PATRIOT Act on correspondent banking requires U.S. FIs that onboard new non-U.S. FIs to address which of the following? (Choose two.)

  A. Determine under a risk-based approach if correspondent accounts require enhanced due diligence (EDD) measures.

  B. Close correspondent accounts that the foreign banks allow other FIs to use.

  C. Ascertain the identity of the owners of the accounts that reside in the U.S.

  D. Perform scrutiny for possible money laundering by obtaining information of the foreign bank's AML program.

  E. Implement monitoring activities in a reasonable manner only for inbound transactions.

  Correct Answer: AD

• Question 63:

  A customer of a bank is an established art dealer. Within KYC due diligence processes, which constitutes a triggering event that requires ongoing due diligence on this client?

  A. The owner wants to exchange some foreign currency for an overseas business travel.

  B. The customer keeps adding artwork service providers to the payment beneficiary list.

  C. The customer specializes in art sale and hire, and recently started an art selection consulting service.

  D. The customer moves their headquarters from New Zealand to China and opens a branch in Malaysia.

  Correct Answer: D

• Question 64:

  Which activities could be considered a potential spear phishing scam? (Choose three.)

  A. Members of a religious organization receive a donation request by email claiming to be from their leader.

  B. Payroll receives an external email from an employee looking to update their bank account information.

  C. A courier delivers a business a duplicate invoice that contains updated payment details of an existing supplier.

  D. An employee receives an email that asks to download an attachment, but the attachment is a malware.

  E. An employee receives a phone call requesting that money be sent to assist someone in trouble.

  F. A business sends its employees an email warning that email passwords must be changed to prevent cyber-fraud.

  Correct Answer: ABC

• Question 65:

  A financial institution (FI) is fined for failure to implement an effective AML program. Which consequences could the regulator impose on the bank's Chief AML Officer? (Choose three.)

  A. Recommend termination of employment from the FI

  B. Civil and criminal prosecution, fines, and imprisonment

  C. Loss of professional accounting and legal designations

  D. Add to the OFAC Specially Designated Nationals (SDNs) list

  E. Ban from employment in the financial services industry

  F. Prohibition from dealing with goods on the Wassenaar List

  Correct Answer: ABE

• Question 66:

  Which approach ensures the successful implementation of a transaction monitoring system?

  A. Ensuring all checks of a transaction monitoring system's rules and parameters use actual live data after the system is operational

  B. Implementing third-party transaction monitoring software, taking great care not to adjust pre-programmed rules and alerting thresholds

  C. Taking great care to minimize changes to transaction monitoring system rules and parameters once these have been certified as accurate

  D. Performing systems integration testing at key steps of development and user acceptance testing prior to going live with the transaction monitoring system

  Correct Answer: D

• Question 67:

  One of the main purposes of FATF-Style Regional Bodies is to:

  A. focus on global fraud typologies.

  B. help jurisdictions implement AML and terrorism financing standards.

  C. determine global watchlist standards and ensure that those lists are maintained accordingly.

  D. set up and maintain a global Politically Exposed Persons (PEPs) database.

  Correct Answer: B

• Question 68:

  A typical red flag regarding potential money laundering in connection with an art purchase occurs when a customer:

  A. pays more at an auction for a painting than the estimated maximum price.

  B. asks to pay a large amount in cash without a comprehensible reason.

  C. buys a painting as an anonymous bidder and provides the source of wealth.

  D. asks to pay in installments and pays from two differently named accounts.

  Correct Answer: B

• Question 69:

  What should be proven about the effectiveness of FATF 40 recommendations during a FATF mutual evaluation of a country?

  A. Money laundering and terrorist financial risks are understood by the FIs in the evaluated country.

  B. The evaluated country has implemented compliant AML/CFT laws and regulations.

  C. There is evidence that the defined outcomes of the evaluated country's AML/CFT system are achieved.

  D. The assessed country has created a Financial Intelligence Unit (FIU) to manage suspicious activities.

  Correct Answer: C

• Question 70:

  Law enforcement is conducting an investigation of a FI and has submitted an overly broad and unduly intrusive request. Which is a FIs most appropriate response?

  A. Contest the request with the company's board of directors and key senior management.

  B. Delay a response until all documents can be gathered regardless of the duration.

  C. Narrow the request through a prompt response to the law enforcement agency.

  D. Ignore the request due to the unacceptable volume of information contained within.

  Correct Answer: C