10 September, 2020

What Practical CAMS Samples Is

Want to know Exambible CAMS Exam practice test features? Want to lear more about ACAMS Certified Anti-Money Laundering Specialist (the 6th edition) certification experience? Study 100% Guarantee ACAMS CAMS answers to Latest CAMS questions at Exambible. Gat a success with an absolute guarantee to pass ACAMS CAMS (Certified Anti-Money Laundering Specialist (the 6th edition)) test on your first attempt.

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Total 190 questions Full Exam Access

Question 1

Under which two circumstances may law enforcement be given access to a financial institution customer’s financial records? (Choose two.)

If the person is named in a suspicious transaction report

If law enforcement serves a legal summons or subpoena

If the investigation of a customer is made public in the media

If law enforcement has circumstantial evidence to suspect money laundering

Question 2

A bank employee reviews wire transactions looking for indications of wire stripping.
Which two actions should the employee take to complete appropriate bank procedures? (Choose two.)

Compare the wire transaction as it enters and after it leaves the bank

Check for suspicious phrases usually used to conceal originator or beneficiary identity

Identify large incoming wire transactions received on behalf of a foreign client with no explicit reason

Identify wire transaction activity to or from a financial institution located in a higher risk jurisdiction

Question 3

A customer has held an account at a bank and has lived locally for over 25 years. Historically he has come into the bank monthly to deposit a $1,500 retirement check from the company where he worked. He is well known at the bank and often brings the staff cookies. Over the past four months, he has come into the bank every Monday, Wednesday, and Thursday to make $3,000 cash deposits into his account. A review of his account shows that an $8,500 check made out to cash clears his account each week. The bank has decided to file a suspicious transaction report (STR).
What is the important fact to include in the STR?

The recent change in the timing of deposits and withdrawals in the account

The customer’s work history and the amount of his monthly retirement check

The fact that the account holder is well known to the bank staff

The fact that the customer has lived in the area and has banked at this bank for 25 years

Question 4

A customer opens a corporate account with a broker-dealer on behalf of several beneficial owners, with a stated long-term investment goal. The customer deposits $25.5 million into the account and three days later transfers $5 million to an overseas bank. Shortly thereafter, the customer begins making numerous purchases of pesos. The compliance officer receives a query regarding the movement of funds. Within a month of account opening, the customer depletes the account.
Which two red flags should prompt the firm’s compliance officer to take action? (Choose two.)

The new account deposit is $25.5 million

A corporate account is opened on behalf of several beneficial owners

The compliance officer receives the query regarding the movement of funds

The customer’s stated investment goal is not reflective of account activity

Question 5

A customer living in a high-risk jurisdiction makes frequent, large cash deposits at a bank. The same customer sends small wire transfers to unrelated parties in other high-risk jurisdictions. What are two red flags that may indicate money laundering? (Choose two.)

The bank allows cash deposits

The client resides in a high-risk jurisdiction

Wire transfers are to high-risk jurisdiction

Large cash deposits are from a high-risk jurisdiction

Question 6

The compliance officer for a bank is reviewing on-boarding documents for a new business account for a domestic corporation. The officer is unable to verify the identity of the beneficial owners of the company. Only information on the nominee owners was provided, and none of the listed addresses are local. The purpose of the business and future expected activity were disclosed to include cash letters, money orders and international remittance transfers.
Which red flag identifies a heightened money laundering risk?

Expected activity was advised to include cash letter and money orders

The nature and purpose of the business include international remittance transfers

The names provided at account opening are identified as the corporation’s representative nominees

Account signer’s government issued identification lists addresses outside of where the branch account was opened

Question 7

What do Financial Action Task Force (FATF)-style regional bodies do for their members to help combat money laundering and terrorist financing?

They provide technical assistance to members in implementing FATF recommendations

They assist member countries in penalizing entities that violate FATF standards and recommendations

They work with members on areas of concern outside of anti-money laundering and terrorist financing

They supervise member country financial institutions relating to anti-money laundering and terrorist financing

Question 8

What is an essential element of Know Your Customer (KYC) standards according to the Basel Committee’s Customer Due Diligence for Banks paper?

Annual staff training

A customer acceptance policy

The same KYC requirements must be applied in all cases

All completed KYC documents must be reviewed by a senior manager not involved in the account opening process

Question 9

A foreign bank operating under an offshore license wants to open a correspondent account with a United States (U.S.) bank. The foreign bank plans to provide payable through account services to some of its customers. What must the foreign bank provide to the U.S. bank under the USA PATRIOT Act?

A list of politically exposed persons who are owners of the correspondent bank

A list of account holders at the financial institution who will use the payable through account

The person in the United States who can receive service of legal process for the correspondent bank

A list of anti-money laundering training records for the financial institution employees monitoring payable through account transactions

Question 10

What are two reasons physical certificates present a money laundering risk to broker-dealers? (Choose two.)

The trade information on a physical certificate can be easily altered

Physical certificates do not expire and may be held by the owner for perpetuity

There is little information readily available to the broker confirming the source of the funds

Physical certificates may be provided to nominees for deposit or settled in off-market transactions

Question 11

What are two requirements of United States financial institutions when conducting business with an international institution as a result of the USA PATRIOT Act? (Choose two.)

Performing enhanced due diligence on shell banks

Performing due diligence on correspondent accounts

Visiting the head office of the international financial institution

Complying with Special Measures issued under the USA PATRIOT Act

Question 12

A bank employee recently opened an account for a new restaurant. Daily cash deposits over a three-month period are close to $9,500. What are two red flags that indicate possible money laundering or terrorist financing? (Choose two.)

The restaurant is located in a different city

The daily cash deposits are so close in amount

It is a new account that has daily cash deposits

The new account demonstrates a steady flow of income

Question 13

The branch manager notices that a number of customers come in weekly and always use the same teller to process their deposits. The manager notices that the customers and the teller, who are from the same ethnic group, are speaking in a foreign language and every once in a while the customers from local ethnic restaurants will bring the teller lunch. The commercial customers that visit the teller generally deposit the same amount of cash each time they come in.
How should the branch manager respond to this activity?

Transfer the teller to another branch

Conduct further investigation before taking any other action

Encourage the teller to bring in more business from the ethnic community

Suggest to the teller to send the customers to other tellers to avoid the opportunity for collusion

Question 14

An organization’s automated surveillance system identifies large fluctuations in customer activity. As a result of an audit, the compliance officer is informed that the system is not generating alerts when activity is consistently abnormal over a long period of time. Currently the organization is evaluating new alert scenarios in an attempt to address this problem.
Which type of scenario is helpful in mitigating this weakness?

Peer

Income

Mapping

Below-the-line

Question 15

An institution has made the decision to exit a client relationship due to anti-money laundering concerns. Prior to starting the close out process, the institution receives a written request from a law enforcement agency to keep the account open. The client is the subject of an ongoing investigation and law enforcement wants the institution to continue to monitor the account and report any suspicious activity.
What is primary consideration the institution should keep in mind when deciding whether to agree to this request?

The anticipated cost of complying with the law enforcement request

The number of suspicious transaction reports previously filed on the client

The fact that the institution has a solid record in complying with law enforcement requests

Whether the institution can continue to meet its regulatory obligations with the accounts open

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Total 190 questions Full Exam Access