CAMS - CHAPTER 4 PRACTICE
QUESTIONS – REVIEW CORRECT 100%
According to the EU Directives an independent legal professional is obligated to report
suspicion of money laundering in a client relationship when:
A. Representing a client in a legal matter
B. Ascertaining the legal position for a client
C. Participating in financial or corporate transactions
D. Obtaining information associated with a judicial proceeding - ANSWER C
The FinCEN "Advisory to US Financial Institutions on Promoting a Culture of
Compliance" published in 2014 listed six areas of emphasis. Which three areas below
are included in that list:
A. Leadership Should Be Engaged
B. Information Should Be Shared Throughout the Organization
C. Leadership and Staff Should Understand How Their BSA Reports are Used
D. The Organization must have an Appropriately Qualified Compliance Officer -
ANSWER A B C
Which of the following should a national legislature consider when criminalizing money
laundering in line with the CFAFT 19 Recommendations:
A. Do not limit the number of specific predicate offenses for money laundering
B. Criminalize conspiracy or association to engage in money laundering
C. Indicate whether it is relevant that a predicate offense may have been committed
outside the local jurisdiction
D. Require money laundering offenses to prove that the offender has actual knowledge
of a criminal connection to the funds - ANSWER A B C
According to the FATF40 Recommendations "designated non-financial businesses and
professions" include:
A. Casinos, real estate agents and dealers in precious stones
B. MSBs , gatekeepers and issuers of electronic money
C. Dealers in precious metals, lawyers, commodity futures traders
D. Life insurance companies, real estate agents and notaries - ANSWER A
According to the FATF 405 R, the threshold for identifying occasional customers at
financial institutions is:
A. EURO/USD 5K
B. EURO/USD 10K
QUESTIONS – REVIEW CORRECT 100%
According to the EU Directives an independent legal professional is obligated to report
suspicion of money laundering in a client relationship when:
A. Representing a client in a legal matter
B. Ascertaining the legal position for a client
C. Participating in financial or corporate transactions
D. Obtaining information associated with a judicial proceeding - ANSWER C
The FinCEN "Advisory to US Financial Institutions on Promoting a Culture of
Compliance" published in 2014 listed six areas of emphasis. Which three areas below
are included in that list:
A. Leadership Should Be Engaged
B. Information Should Be Shared Throughout the Organization
C. Leadership and Staff Should Understand How Their BSA Reports are Used
D. The Organization must have an Appropriately Qualified Compliance Officer -
ANSWER A B C
Which of the following should a national legislature consider when criminalizing money
laundering in line with the CFAFT 19 Recommendations:
A. Do not limit the number of specific predicate offenses for money laundering
B. Criminalize conspiracy or association to engage in money laundering
C. Indicate whether it is relevant that a predicate offense may have been committed
outside the local jurisdiction
D. Require money laundering offenses to prove that the offender has actual knowledge
of a criminal connection to the funds - ANSWER A B C
According to the FATF40 Recommendations "designated non-financial businesses and
professions" include:
A. Casinos, real estate agents and dealers in precious stones
B. MSBs , gatekeepers and issuers of electronic money
C. Dealers in precious metals, lawyers, commodity futures traders
D. Life insurance companies, real estate agents and notaries - ANSWER A
According to the FATF 405 R, the threshold for identifying occasional customers at
financial institutions is:
A. EURO/USD 5K
B. EURO/USD 10K
