ACAMS ACAMS Certifications CAMS Questions & Answers

• Question 411:

  Who has the day-to-day responsibility of communicating and reinforcing the established anti-money laundering compliance culture and program?

  A. Business lines

  B. Senior management

  C. Board of directors

  D. Compliance officer

  Correct Answer: D

  Reference: http://files.acams.org/pdfs/English_Study_Guide/Chapter_4.pdf

• Question 412:

  The compliance officer for a private bank has been tasked with reviewing the procedure for authorized signatories on customer accounts to ensure it is in line with relevant Wolfsberg Anti-Money Laundering Principles for Private Banking. Which three statements from the procedure are in line with Wolfsberg? (Choose three.)

  A. Where the Authorized Signatory is not a lawyer or accountant, due diligence as to the source of funds and wealth of the Authorized Signatory should be undertaken.

  B. The responsible private banker must establish the identity of a holder of general powers over an account (e.g. a signatory for the account) and, as appropriate, verify that identity.

  C. Where due diligence has been satisfactorily completed on all authorized signers, the responsible private banker may reduce the due diligence performed on the account holder and/or beneficial owner.

  D. The responsible private banker must obtain the necessary documentation establishing the authorized signer's authority to act on behalf of the account holder or beneficial owner (e.g. a Power of Attorney).

  E. If an individual has signing authority over an account but does not act on a professional basis as a manager of funds, the responsible private banker must understand and document the relationship between that authorized singer, the account holder, and, if different, the beneficial owner of the account.

  Correct Answer: BDE

  Reference: https://www.wolfsberg-principles.com/sites/default/files/wb/pdfs/faqs/20.%20Wolfsberg-FAQs-on-Intermediaries-May-2012.pdf

• Question 413:

  What is a method of placement that can be used by a money launderer in a deposit taking institution?

  A. Depositing cash into the money launderer's account

  B. Sending a large number of funds transfers between accounts

  C. Withdrawing large amounts of cash from the money launderer's account

  D. Depositing cashier's checks and money orders into the money launderer's account

  Correct Answer: A

  Reference: https://www.investopedia.com/terms/m/moneylaundering.asp

• Question 414:

  The board of directors receives notice from the primary regulator of the bank that potentially suspicious activity has been identified and the bank president appears to be involved. The Board asks the compliance officer for advice. Which action should the compliance officer take when informed?

  A. Destroy all records relating to the matter

  B. Insist on the president's immediate resignation

  C. Inform the bank's legal counsel and follow their instructions

  D. Inform the president of the regulator's suspicions and ask for his advice

  Correct Answer: C

• Question 415:

  In which two ways do Financial Action Task Force-style regional bodies influence anti-money laundering and terrorist financing standards within their respective regions? (Choose two.)

  A. They issue typologies specific to their geographical region.

  B. They administer mutual evaluations of participating members.

  C. They enforce the laws of the member countries in their geographic region.

  D. They require participating countries to adopt laws in line with their recommendations.

  Correct Answer: AB

• Question 416:

  Which action should financial institutions with cross border correspondent banking activity be required to perform according to the Financial Action Task Force 40 Recommendations?

  A. Gather a list of their politically exposed customers

  B. Identify natural persons who own or control more than 5%

  C. Obtain senior management approval before establishing the relationship

  D. Obtain a third party independent review of the respondent's anti-money laundering program

  Correct Answer: C

  Reference: https://www.fatf-gafi.org/media/fatf/documents/recommendations/pdfs/FATF%20Recommendations%202012.pdf (15)

• Question 417:

  A local law enforcement officer, who is conducting a criminal investigation, requests information about a customer. Which two actions should the bank take? (Choose two.)

  A. Close the account immediately

  B. File a suspicious transaction report

  C. Monitor the account for suspicious activity

  D. Review the money laundering risk posed by the account

  Correct Answer: CD

• Question 418:

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

  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.

  Correct Answer: AC

  Reference: https://www.wolfsberg-principles.com/sites/default/files/wb/pdfs/wolfsberg-standards/8.%20Wolfsberg-Correspondent-Banking-Principles-2014.pdf

• Question 419:

  A financial institution has expanded its scope of services so that it is attracting the business of politically exposed persons (PEPs) who had previously never been part of the customer base. Which two courses of action should the compliance officer include in the institution's procedures for considering PEPs as customers? (Choose two.)

  A. Conduct enhanced ongoing monitoring of the business relationship

  B. Expedite due diligence when a PEP is pre-approved by a member of senior management

  C. Obtain appropriate senior management approval for establishing a business relationship with a PEP from a high risk country

  D. Take adequate measures to establish the source of wealth and source of funds which are involved in the business relationship or occasional transaction

  Correct Answer: AD

• Question 420:

  Which information must a United States financial institution retain for having foreign correspondent accounts as part of the USA PATRIOT Act record keeping requirements?

  A. Records identifying the owners of each foreign bank

  B. Section 314(b) information sharing results related to foreign correspondent accounts

  C. Purchase of monetary instruments of $3,000 or more involving foreign correspondent accounts

  D. A suspicious activity report filed and the supporting documentation involving foreign correspondent accounts

  Correct Answer: A

  Reference: https://www.moneylaunderingnews.com/2017/10/aml-information-sharing-in-the-u-s/