Copy link:
Copy

The Patriot act does not require , which of the folllowing as a part of an appropriate AML program ?
Appointment of compliance officer
Written polices and procedures
Independent review of the program
Mandatory drug screening

Money laundering is the process by which the proceeds of illegal activity are introduced into legitimate mainstream of financial commerce.
True
False

What act is aimed at providing stronger surveillance powers, strengthening criminal laws against terrorism and combating money laundering?
OFAC
BSA
Identity theft act
US patriot act

The banking secrecy act requires financial institutions to:
Report suspicious activities
Keep records of all transactions
File currency transaction reports with the IRS
Both 1 & 3

One of the important steps in money laundering is:
Organisation & controlling
Backward & forward integration
Depositing & withdrawing
Placement & layering

Which of the following acts does not constitute a money laundering offence?
Dealing with any property, knowing the property is proceeds of a crime
Dealing with any property, believing the property is proceeds of a crime
Dealing with any property, not knowing the property is proceeds of a crime
Dealing with any property, suspecting the property is proceeds of a crime

Which of the following is not normally required for “Customer Due Diligence”?
Know the spouse of the customer
Residence of the customer
Know the transaction
Know the customer

Your accountancy firm established a trust for Mr. Z a few years ago for charitable purposes. The aim is to provide food and medical care for people who live in the remote and hilly area in western part of the Mainland. Regular donations were made to charitable organisations accordingly. A few years later, you received instructions from Mr. Z to remit US$8,000 to a personal bank account in a jurisdiction in the Middle East which lacks AML/ CFT legislations. Mr. Z explained that the money was for purchasing medicine for the local poor people to cure a mysterious disease. What is the most appropriate course of action?
Refuse Mr. Z’s instruction as it is not in line with the way that the trust has been operated.
Obtain further information from Mr. Z about the proposed transaction (e.g. details of the recipient of the remittance, details of the disease, etc.)
Make a STR to JFIU because the circumstances are suspicious
Simply proceed with the business

A month ago, a Mr. Hui purchased an investment property in the name of a British Virgin Islands (BVI) company, White Power Ltd., through your estate agency. The transaction was completed by means of a cash payment of US$4 million by Mr. Hui. You learned from the newspaper yesterday that Mr. Hui had been arrested for drug trafficking. What is the best course of action to be taken upon knowing the facts?
Make a suspicious transaction report to the JFIU about the transaction and the BVI company
Make a report to the local police station about the transaction and the BVI company
No action is needed as the transaction took place some time ago
Need more details – cannot be answered

The amount beyond which cash transactions (Receipts & Payments) are to be monitored by the Commercial Banks as stipulated by the RBI in its guidelines is
5 lacs & above
8 lacs & above
10 lacs & above
No such limit

Smurfing” means –
Large number of cash deposits into same account
High value deposits in the accounts
Low value denominations of cash
None of the above

While accounts are transferred from one branch to another, the receiving branch is expected to comply with KYC Norms. Which one of the following is/ are correct in this regard?
Detailed verification of Customer Profile as received from the earlier branch is to be done with caution
Detailed verification is not needed but the account is opened immediately and informed to the customer
Fresh details are to be obtained and a fresh customer profile is to be prepared
No transaction is to be permitted for the first six months till the customer is fully know to the bank

Is India a member of FATF?
Yes
No
Has applied for inclusion
Is likely to be made a member

How many recommendations were made by FATF on anti-money laundering ?
65 recommendations
NIL
40 recommendations
Yet to be finalised

Four eyes concept means ?
Opening and verifying of account by one person two times
Opening and verifying of account by electronic device/s
Opening and verifying of account by two different persons
None of the above

Copy link:
Copy

Authored by:

Skills for Banking|Financial Services|Insurance

Tests Created: 9

  • 644 Followers
  • Send message
More Tests By Author:
Test your knowledge on CCRA (50 Questions)
136
attempts
Risk Management - Basics Test (11 Questions)
149
attempts
Fundamental Analysis - Practise test- NCFM (25 Questions)
760
attempts
Discussion

Schandra

The answers are incorrect, INDIAN is a member of FATF (Financial Action Task Force) and in this exam, the review says it is not !! Please do not be blinded with this mock test. These are all fake.

583 days 10 hours 6 minutes ago

Lima Rabha

Hello, After the test do we get any scorecard?

715 days 7 hours 37 minutes ago

Your Facebook Friends on WizIQ

Explore Similar Courses