CAMS Practice Test practice questions, page 23 of 26, with answer review and explanations.
Question 111
What are two requirements of United States financial institutions when conducting business with an international financial 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 112
What are two risks to institutions for violating anti-money laundering laws as demonstrated by the 2012 HSBC settlement with United States authorities? (Choose two.)
Forfeiture of assets
Civil money penalties
Loss of bank charter/license
Imprisonment of bank employees
Question 113
When must a United States (U.S.) bank block or reject an international funds transfer when there is an Office of Foreign Assets Control designated party to the transaction?
Only if the U.S. bank is involved in the funds transfer
Only if a U.S. person or entity is the ultimate beneficiary
Only if a non-U.S. person or entity is the ultimate beneficiary
Only if the U.S. bank's correspondent informs it of the involvement of the designated party
Question 114
A law enforcement agent calls a bank anti-money laundering investigator for supporting information about a suspicious transaction report that was filed the previous month. How should the investigator respond?
Refer the agent to the bank's compliance officer
Send the information to an address provided by the agent
Share the requested information during the telephone call
Require a search warrant before releasing the information
Question 115
Which action should countries take related to the financing of terrorist acts in accordance with the Financial Action Task Force 40 Recommendations?