Month End Sale 70% Discount Offer - Ends in 0d 00h 00m 00s - Coupon code: save70

Selected CAMS AML Certification Questions Answers

Page: 42 / 58
Total 772 questions

Certified Anti-Money Laundering Specialist (the 6th edition) Questions and Answers

Question 165

A company service provider in Country A sets up a corporate structure for a client from Country B, which is known for corruption. The corporate structure includes a holding company in Country A with a bank account in one of the international banks located there.

During on-boarding, the client's wealth was estimated at $7 million. Shortly thereafter, the client's father became president of Country B. During a routine client review two years later, it was identified that client's wealth had grown to $510 million.

What are two red flags that indicate money laundering or financial terrorism? (Choose two.)

Options:

A.

The client is from a country known for corruption.

B.

The substantial growth in wealth during a short period of time.

C.

The client is a family member of a PEP from a country known for corruption.

D.

The holding company is in Country A with a bank account in one of the international banks.

Question 166

What are two aspects of the Wolfsberg Anti-Money Laundering (AML) Principles for Correspondent Banking? (Choose two.)

Options:

A.

At least one person, aside from the person sponsoring the relationship, should approve the correspondent relationship.

B.

Correspondent banking is an inherently high risk business and all correspondent bank relationships should be reviewed on an annual basis.

C.

Factors such as politically exposed person involvement and downstream (nested) correspondents increase the risk inherent in a correspondent relationship.

D.

An Institution may assign a low risk rating to a correspondent bank located in a jurisdiction deemed to have an adequate AML environment (e.g., Financial Action Task Force member country) without needing to consider other factors

Question 167

A compliance officer is looking to update an institutions private bank procedures. What should be included as recommended by the Wolfsberg AML Principles on

Private Banking?

Options:

A.

Approval of Politically Exposed Persons (PEPs) by at least one person other than the relationship manager

B.

Dedicated automated AML monitoring of client activity

C.

Review of client files annually if there are unusual transactions

D.

The institution’s senior management has primary responsibility for the relationship

Question 168

Which unusual or suspicious activity by a financial institution's (FI's) employee requires additional investigation and scrutiny?

Options:

A.

The employee avoids taking periodic vacations despite having accrued vacation time.

B.

The employee assists with transactions of a disclosed ultimate beneficiary.

C.

The employee lives a lavish lifestyle within their means.

D.

The employee is involved in a minimal number of unresolved exceptions.

Page: 42 / 58
Total 772 questions