EMT Practice Test

1. Question Content...

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Question1: What are two legal risks of having inadequate privacy policies and procedures? (Choose two.)

Question2: Which three definitions of money laundering are included in the expanded definition of the European Union Fourth Directive? (Choose three.)

Question3: What are the regulatory risks to a bank employee who willfully violates anti-money laundering laws?

Question4: An anti-money laundering specialist at a large institution is responsible for information senior management about the status of the anti-money laundering program across the organization.
Which report is the most useful?

Question5: Which situations would require a financial institution (FI) to update its ML/TF risk assessment? (Choose two.)

Question6: In the summer, an institution identifies anti-money laundering concerns regarding a customer's account activity.
The customer, an ice cream, has deposited a lot of checks drawn on banks in foreign countries, sent large number of high dollar international wires to different countries, made cash deposits of a few hundred dollars every few days and written multiple checks for a few hundred dollars to the same dozen payees every two weeks.
Which two transaction types warrant investigation? (Choose two.)

Question7: What should law enforcement provide when asking an institution to keep an account open?

Question8: Which method do terrorist financiers use to move funds without leaving an audit trail?

Question9: Following a recent exercise which explained how a correspondent banking operation could be used by money launderers, an anti-money laundering specialist decided to re-write the due diligence procedures for entering into agreements with foreign financial institutions. Which of the following information should be included to establish a rigorous "Know Your Respondent" procedure?
1. Respondent's management, nature of license, and major business activity.
2. Computer equipment and software capability.
3. The quality of supervision in the home country.
4. Respondent's location, in particular the existence of a real physical presence.

Question10: A compliance officer is reviewing transactions related to a company suspected of being involved in wildlife trafficking. Which of activities below are common in wildlife trafficking schemes? (Select Two.)

Question11: An anti-money laundering specialist at a financial institution has received a legal request to provide all transaction records for a specific individual since 2004. Which three items should be delivered?

Question12: A company service provider in Country A sets up a corporate structure for a client from Country B, which is known for corruption. The corporate structure includes a holding company in Country A with a bank account in one of the international banks located there.
During on-boarding, the client's wealth was estimated at $7 million. Shortly thereafter, the client's father became president of Country
B. During a routine client review two years later, it was identified that client's wealth had grown to $510 million.
What are two red flags that indicate money laundering or financial terrorism? (Choose two.)

Question13: When an institution files an STR with regard to a particular account, what steps should the institution take via account?

Question14: Which response represents a high-level principle for FATF-Style Regional Bodies (FSRB)?

Question15: A retail bank has just acquired a credit card business. The bank's anti-money laundering policy requires that new employees are trained within 30 days of their hire date and refresher training is delivered to all employees on an annual basis.
Is the bank's existing anti-money laundering training adequate to be delivered to employee of the newly acquired credit card business?

Question16: An institution is about to release a new peer to peer (P2P) funds transfer product to provide much needed remittance services to an under-banked population segment in the country.
The service allows customers to transfer funds through a mobile banking application to individuals worldwide entering only a name and mobile number. The new service charges less than comparable market solutions and offers real time transfer of funds. The customer onboarding process is conducted at branch locations with identity verification.
Which three present the highest anti-money laundering or sanctions risk and will require controls prior to launch? (Choose three.)

Question17: Which should be provided to the board of directors or designated specialized committee when reporting SARs/STRs?

Question18: A popular restaurant in town has begun depositing less cash than it has in prior years. In a review of the customer's accounts, you notice that credit card receipts have increased with no explanation.
The account officer discovers that the restaurant has installed a privately-owned automated teller machine (ATM) onsite and has begun construction of a patio dining area.
Which red flag should trigger additional investigation?

Question19: A bank teller receives a written request from a police officer to review a previous customer's account on a pre-populated form with the officer's official letter head. The officer suspects the previous customer is engaging in smurfing. Which action should the bank teller perform?

Question20: An internal investigation log is primarily intended to:

Question21: How should a compliance officer respond to law enforcement agencies' request for information on a customer undergoing an investigation?

Question22: 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.)

Question23: Which are the two most common controls a financial institution (FI) uses to identify suspicious money-laundering activity? (Choose two.)

Question24: A non-US bank is implementing a sanctions compliance program. Which extraterritorial reach of Office of Foreign Assets Control (OFAC) regulations would matter the most to the foreign bank?

Question25: Bank A is located in Country A. A wire transfer from Bank B located in Country B is processes by Bank A,where the funds are being moved to a customer at Bank C located in Country C. The wire transfer isdeemed suspicious by Bank A.

Question26: A close relative of a privately-owned bank's senior manager requests to open an account. Because of this relationship, the staff expedites the opening of the account without following established account-opening procedures. Applying the Basel Committee on Banking Supervision principles, which of the following poses the highest operational risk?

Question27: An anti-money laundering specialist has just developed and implemented an anti-money laundering program. What is the most effective resource to evaluate the effectiveness of the program?

Question28: Which statement is true about when an institute becomes aware that a particular employee is under investigation by law enforcement as a result of a subpoena or warrant?

Question29: Which are primary purposes of Financial Action Task Force {FATF)-Style Regional Bodies? (Select Two.)

Question30: A compliance officer was recently reviewing transactional data for an international charity and found transactions that present a higher risk.
Which reason is cause for terminating the banking relationship?

Question31: What is a key element required to ensure an anti-money laundering compliance program is effectively embedded into an institution's culture?

Question32: Why do governments and multi-national bodies impose economic sanctions?

Question33: Which of the following provides anti-money laundering specialists information related to money laundering trends?

Question34: Which three areas do FATF's 40 recommendations cover? Choose 3 answers

Question35: An account officer who maintains an excellent relationship with the finance manager for a correspondent bank customer learns that many records for the correspondent bank have been requested by law enforcement. In the interest of maintaining a good relationship with the customer, the account officer sets up a meeting to discuss the legal request with the customer. The account officer intends to discuss points related to the investigation during the meeting.
What should an anti-money laundering specialist recommend?

Question36: A bank located in Arizona is considering a loan application for a new client. The collateral for the loan is a property in Florida.
The loan will be in the name of a limited company (LLC) whose ownership is not disclosed to the bank. The LLC was established by a New York-based attorney.
The loan will be repaid by the LLC in monthly wire transfers of $9,000 which is more than the required monthly payment.
Which aspect indicates the potential for money laundering?

Question37: Which are key objectives of the Egmont Group? (Select Two.)

Question38: A branch manager for a small community bank has a new customer who deposits for EUR 50,000 checks into one account. Shortly thereafter, the customer goes to another branch and asks to transfer all but EUR 1,500 to three accounts in different foreign jurisdictions.
Which suspicious activity should be the focus of the suspicious transaction report?

Question39: A compliance officer at a large financial institution has been tasked by senior management to lead a team in an internal review and potential revision of the institution's customer onboarding program following a regulatory enforcement action of another institution.
Which step should the compliance officer perform first?

Question40: An offshore company is owned by four equal partners that reside in separate jurisdictions. One partner presents an authenticated power of attorney apparently executed by the remaining three partners in his favor and requests that a bank account be opened on behalf of all partners. He needs this done quickly because there is a large deposit pending. The account-opening officer contacts the bank's anti-money laundering officer for advice. Which of the following should the anti-money laundering officer advise as an initial step?

Question41: Which action should financial institutions with cross border correspondent banking activity be required to perform according to the Financial Action Task Force 40 Recommendations?

Question42: How do payable through accounts (PTAs) differ from normal foreign correspondent accounts?

Question43: When creating an anti-money laundering program for a foreign bank with branches in the United States, which of the following are included among the four minimum elements required under the USA PATRIOT Act?

Question44: Which three stages of money laundering are on-line banking vulnerable to?

Question45: Bank A is a non-United States (U.S.) bank that has $5 million in a correspondent account at a bank in New York City. The Worldwide Terrorist Syndicate (WTS) has $1 million in its account at a non-US branch of Bank A.
The U.S. government has initiated forfeiture action against the WTS.
Which potential action can the U.S. take under the USA PATRIOT ACT pursuant to the issuance seizure warrant?

Question46: Which three measures are contained in Financial Action Task Force 40 Recommendations for reporting suspicious activity? (Choose three.)

Question47: A quarterly review is conducted on a retail customer's account at a bank located in a jurisdiction with currency reporting thresholds. A number of large deposits of financial instruments drawn on other institutions in amounts under thresholds were noted. This activity did not fit the account's historical profile. A suspicious transaction report will most likely be filed if what also occurred?

Question48: Can trading in antiques be useful for money laundering?

Question49: You are designing an AI solution in Azure that will perform image classification.
You need to identify which processing platform will provide you with the ability to update the logic over time.
The solution must have the lowest latency for inferencing without having to batch.
Which compute target should you identify?

Question50: What national agency is responsible for analyzing and assessing the information it receives to substantiate possible existence of money laundering or terrorist financing activities?

Question51: Which statement identifies one of the duties of a government Financial Intelligence Unit?

Question52: Financial Action Task Force (FATF)-style regional bodies are created and obliged to understand the inherent money laundering and terrorist financing risks in the region of the world they serve.
What is one of the methods they use to understand these risks?

Question53: Which two methods have terrorist groups used to diversify their revenue stream and to fund their operations?
(Choose two.)

Question54: 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?

Question55: Which action should countries take related to the financing of terrorist acts in accordance with the Financial Action Task Force 40 Recommendations?

Question56: A financial institution (FI) is being investigated for possible money laundering. When cooperating with law enforcement agencies, which additional steps should the FI ensure are taken? (Choose two.)

Question57: Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution that might meet the stated goals. Some question sets might have more than one correct solution, while others might not have a correct solution.
After you answer a question, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
You have an app named App1 that uses the Face API.
App1 contains several PersonGroup objects.
You discover that a PersonGroup object for an individual named Ben Smith cannot accept additional entries.
The PersonGroup object for Ben Smith contains 10,000 entries.
You need to ensure that additional entries can be added to the PersonGroup object for Ben Smith. The solution must ensure that Ben Smith can be identified by all the entries.
Solution: You modify the custom time interval for the training phase of App1.
Does this meet the goal?

Question58: In the FATF 40 recommendations, the focus of AML efforts has been expanded beyond Financial Institutions.
Which three businesses and/or professions are covered? Choose 3 answers

Question59: According to the Financial Action Task Force 40 Recommendations, Designated Non-Financial Businesses and Professionals include which entities?

Question60: A European Union (EU) bank has a correspondent banking relationship with a U.S. bank. Under USA PATRIOT Act Section 311, the U.S. government has enacted special measures against a designated entity that has a payable-through account with the EU bank. Which of the following actions might the U.S. bank be required to take regarding the EU bank's services for the designated entity?

Question61: A profitable commercial customer who operates an import-export business has multiple accounts with the same institution at branches m different locations. The customer receives funds from a jurisdiction perceived as highly corrupt according to Transparency International ratings. The customer makes frequent transfers among the accounts and prefers to manage the accounts separately. What should the institution do to mitigate the risk associated with these accounts?

Question62: According to the Financial Action Task Force 40 Recommendations, to fulfill identification requirements concerning legal entities, financial institutions should take measures to verify

Question63: A quarterly review is conducted on a retail customers account at a bank located in a jurisdiction with currency reporting thresholds. A number of large deposits of financial instruments drawn on other institutions in amounts under thresholds were noted. This activity did not fit the accounts historical profile. A suspicious transaction report will most likely be filed if what also occurred?

Question64: Which principles should be included in a FATF-Style Regional Body (FSRB) update? (Choose two.)

Question65: What are some of the methods for sharing information and cooperating on an international basis? Choose 3 answers

Question66: The Board of Directors and the senior management of a financial institution should ensure that which three are established and followed with regard to an effective AML program?

Question67: Which of the following is the most common risk with a Personal or Private Investment Company (PIC)?

Question68: Which action should an FIU consider taking when it has information that might be useful to another FIU?

Question69: What are three risk factors a financial institution should examine with regard to a proposed new product?

Question70: A compliance officer is looking to update an institution's private bank procedures. What should be included as recommended by the Wolfsberg AML Principles on Private Banking?

Question71: Which red flags should be considered prior to establishing a relationship with a third party? (Select Two.)

Question72: Which requirement is included in the Fourth European Union Directive on money laundering?

Question73: An anti-money laundering analyst is reviewing a new customer list to confirm potentially high risk customers have been identified and subject to enhanced due diligence.
Which new customer warrants enhanced due diligence?

Question74: Which method is indicative of potential money laundering and terrorist financing activity?

Question75: A bank receives a wire transfer that references the sale of equipment to a sanctioned company. The bank's operations team removes the sanctioned company reference and allows the wire transfer to process. This is a description of what type of activity?

Question76: What is the main role of the Egmont Group in combating money laundering and terrorist financing?

Question77: Which three procedures should a compliance officer looking to revise an institution's CTF efforts include in accordance with the Wolfsberg Group's Statement on the Suppression of the Financing of Terrorism?

Question78: Which activity would require an update to the first line training program?

Question79: According to the Second European Union Money Laundering Directive, what may knowledge of criminal conduct be inferred from?

Question80: What might limit a compliance officer's ability to respond to a foreign law enforcement official's request to provide information with regard to an anti-money laundering investigation?

Question81: Which principles should be included in a FATF-Style Regional Body (FSRB) update? (Choose two.)

Question82: A customer comes into the bank and appears to be ill-at-ease waiting in the teller line. When the customer gets to the teller, he become exceedingly nervous and asks for a large cashier's check to be cashed and disbursed to him in $100 bills.
What should the teller do after completing the transaction?

Question83: In 2004, Consolidated KYC Risk Management was issued by the Basel Committee on Banking Supervision (BCBS). What is a key message in this document?

Question84: What was the topic the Wolfsburg Group's first guidance addressed?

Question85: The Egmont Group is a worldwide organization of

Question86: Which method to launder money through deposit-taking institutions is closely associated with international trade?

Question87: You deploy an infrastructure for a big data workload.
You need to run Azure HDInsight and Microsoft Machine Learning Server. You plan to set the RevoScaleR compute contexts to run rx function calls in parallel.
What are three compute contexts that you can use for Machine Learning Server? Each correct answer presents a complete solution.
NOTE: Each correct selection is worth one point.

Question88: How can a 'free-look provision' as part of a life insurance policy help criminals to launder money?

Question89: In relationship to life insurance business, the third European Directive states that Member States may allow the identity verification of the beneficiary under the policy after the business relationship has been established, but before which events?

Question90: A startup virtual currency exchange has registered as a money services business and will commence operations in six months. The company will provide digital wallets to customers to hold their virtual currency after purchase. Customers will have the option to conduct purchases of the virtual currency and transfer the currency to and from the digital wallet. The startup must develop an anti-money laundering compliance program prior to launch.
Which two anti-money laundering responsibilities should be considered before business launch? (Choose two.)

Question91: Which customer transaction with a securities dealer would indicate the highest supicion of money laundering?

Question92: A financial institution receives a regulatory enforcement action because of deficiencies in its anti-money laundering program.
Which action should the board of directors take?

Question93: What is a key objective of the Egmont Group?

Question94: What are three factors a financial institution should examine with regard to a new customer who is opening up a new account? Choose 3 answers

Question95: An anti-money laundering consultant audits a bank's current anti-money laundering policies, procedures and controls. The bank serves high-income, high net-worth clients who include non-residents and offshore businesses. During a review of the customers list, the anti-money laundering consultant determines that he and the bank have mutual clients. The bank's written anti-money laundering program includes a process for the bank to establish the identity of the person with whom they conduct business, but does not address monitoring of customer account activity.
The consultant should recommend the bank:

Question96: Which is the main objective when a financial institution (FI) conducts an investigation?

Question97: The USA PATRIOT Act requires United States (U.S.) financial institutions to collect certain information from non-U.S. banks that hold a correspondent account.
Which two pieces of information must a non-U.S. bank provide to its U.S. correspondent to enable them to comply with this requirement? (Choose two.)

Question98: A large cash deposit most likely reflects money laundering when it is:
1. from a customer who has never conducted a transaction in cash before.
2. transacted in segments smaller than the reporting thresholds at various times during the day.
3. followed by an immediate wire transfer to an offshore secrecy haven.
4. by a customer who operates a cash-based business.

Question99: A compliance officer is looking to modify procedures covering correspondent banking relationships. Which three would be recommended under the Wolfsburg Principles on Correspondent Banking? Choose 3 answers

Question100: Which three circumstances are indicators for defining a customer as required additional diligence according to the Wolfsberg Principles on Private Banking? Choose 3 answers

Question101: Why do governments and multi-national bodies impose economic sanctions?

Question102: The branch manager calls the compliance officer and informs her that a law enforcement officer has just left the branch and was asking a lot of questions and left a business card.
What should the compliance officer do?

Question103: What are some red flags pertaining to potentially suspicious transactions by a customer? Choose 3 answers

Question104: Which safeguard is in place for Financial Intelligence Units (FIUs) to share information securely according to Egmont?

Question105: Your company has 1,000 AI developers who are responsible for provisioning environments in Azure.
You need to control the type, size, and location of the resources that the developers can provision.
What should you use?

Question106: Upon a routine account review a money laundering investigator identified a number of large round dollar wire transfer deposits into a business account owned by a local auto repair shop. The wire transfers all originated from a country that is a known financial secrecy haven with poor anti-money laundering controls. The investigator concludes there appears to be no legitimate business purpose for the wire transfers and files a suspicious transaction report. The owner of the auto repair shop is popular in the community and is a wellknown philanthropist.
To whom should the investigator escalate these concerns?

Question107: Which is a key goal of EU Directives on money laundering?

Question108: An institution receives a request for credit from a local company that has been a client for many years. The information provided by the company indicates that its assets have increased substantially with the addition of several new subsidiaries. Further research performed by the institution indicates the new subsidiaries are recently created shell companies.
Could this indicate potential money laundering?

Question109: Financial institutions (FIs) perform AML risk assessments to ensure:

Question110: On who does the ultimate responsibility for an institution's anti-money laundering program rest?

Question111: What is a major economic consequence of money laundering through the use of front companies?

Question112: You plan to implement a new data warehouse for a planned AI solution.
You have the following information regarding the data warehouse:
* The data files will be available in one week.
* Most queries that will be executed against the data warehouse will be ad-hoc queries.
* The schemas of data files that will be loaded to the data warehouse will change often.
* One month after the planned implementation, the data warehouse will contain 15 TB of data.
You need to recommend a database solution to support the planned implementation.
What two solutions should you include in the recommendation? Each correct answer is a complete solution.
NOTE: Each correct selection is worth one point.

Question113: 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?

Question114: A compliance officer provides an overview of the bank's anti-money laundering program to a group of new tellers during employee orientation.
Which training element should be delivered to this audience?

Question115: A bank is preparing for its anti-money laundering independent review, which is performed every two years under the direction of the compliance officer. The bank's corporate audit department will conduct the review. The compliance officer will review the final report before it is released to the Board of Directors.
What is the issue with this situation?

Question116: A government has instituted new anti-money laundering laws which require all financial institutions to obtain certain information from its customers.
Which step should an institution located in this jurisdiction take to ensure compliance?

Question117: What action should a bank CEO's assistant take when the bank CEO expenses large sums of money to a charitable organization run by the bank CEO's direct family member?

Question118: In relationship to life insurance business, the third European Directive states that Member States may allow the identity verification of the beneficiary under the policy after the business relationship has been established, but before which events?

Question119: Which are social/economic consequences of money laundering? (Choose two.)

Question120: Which are the two most common controls a financial institution (FI) uses to identify suspicious money-laundering activity? (Choose two.)

Question121: Which three statements are true regarding the extraterritorial reach of laws and legislation of the U.S.?

Question122: One key aspect of the Office of Foreign Assets Control's extraterritorial reach includes the blocking of certain non-United States initiated transactions for or through the United States (U.S.) for benefit of a restricted person or entity.
Under which three circumstances are U.S. banks required to block transactions? (Choose three.)

Question123: The bank's Compliance Officer is tasked with designing standards based on Basel's KYC principles. Which essential elements should be included in the program? (Choose two.)

Question124: Who has the ultimate responsibility within a bank for ensuring that the bank has a comprehensive and effective Bank Secrecy Act / anti-money laundering (BSA/AML) program and oversight framework that is reasonably designed to ensure compliance with applicable regulations?

Question125: What is the appropriate compliance control for identifying politically exposed persons (PEPs) according to the Basel Committee's paper on Customer Due Diligence for Banks?

Question126: What is a key element required to ensure an anti-money laundering compliance program is effectively embedded into an institution's culture?

Question127: Which of the following is among the Financial Action Task Force criteria defining non-cooperative countries and territories?

Question128: Which three methods are commonly used by an accountant to launder money? (Choose three.)

Question129: You have Azure IoT Edge devices that collect measurements every 30 seconds.
You plan to send the measurements to an Azure IoT hub.
You need to process events in the cloud.
What should you use?

Question130: In May 2002, the Wolfsberg Principles on Private Banking were revised and included a section that prohibits the use of internal non-client accounts in a manner that would prevent officials from appropriate monitoring movements of funds or keep clients from being linked to the movement of funds on their behalf.
What is another name for these internal, non-client accounts?

Question131: What should senior management do in order to promote a culture of anti-money laundering compliance?

Question132: Which two individuals are ordinarily beneficial owners of a private banking account according to the Wolfsberg Anti-Money Laundering Principles for Private Banking? (Choose two.)

Question133: A bank receives an anonymous tip from an employee about another employee through its confidential hotline.
Which activity warrants further review?

Question134: Which is true about Financial Action Task Force (FATF)-Style Regional Bodies (FSRBs)?

Question135: An oil exploration company based in France does business with oil refineries in Iran, which is subject to comprehensive Office of Foreign Assets Control (OFAC) sanctions. What type of OFAC sanctions should be imposed against the French company?

Question136: The marketing department presents a business plan targeting individuals holding important public positions.
What are some steps the financial institution should implement as part of the plan to target such individuals?

Question137: A customer has held an account at a local credit institution for 10 years. The account has received deposits twice weekly for the same amount and has never shown signs of suspect behavior. Monitoring software indicated that in the past few months the account has received several large deposits that were not in line with the account history.
When asked, the customer states she recently sold a piece of property, which is supported with a proof of sale.
Which of the following should the compliance officer do next?

Question138: What is most valuable when using the internet as an investigative source?

Question139: A well-developed anti-money laundering compliance program is unlikely to achieve institutional goals without

Question140: A corporate services provider in a European Union (EU) country has a prospect from an African country who deals in oil and gas. The prospect intends to develop an oil terminal in his home country with a $75 million dollar loan secured by a third party, which is a trust formed in a Caribbean island with a holding company based in a European secrecy haven. A young lady is presented as an ultimate beneficial owner who has gained her wealth through a fitness studio in her home country.
What are two red flags that could indicate money laundering or financing terrorism? (Choose two.)

Question141: In addition to monitoring for suspicious activity, what are electronic monitoring systems also valuable for?

Question142: In which situation can money laundering adversely affect a country's currencies and interest rates due to launderers investing dirty funds?

Question143: A financial institution recently purchased anti-money laundering software. The software routinely generates more alerts than the anti-money laundering staff can properly analyze as a result of limited staffing. These alerts are generated by default software rules. Which of the following should the individual responsible for setting the anti-money laundering software parameters recommend?

Question144: You are designing a solution that will use the Azure Content Moderator service to moderate user-generated content.
You need to moderate custom predefined content without repeatedly scanning the collected content.
Which API should you use?

Question145: A Money Laundering Reporting Officer's (MLRO) lack of action led to deficiencies in the bank's AML program and a civil monetary penalty being levied against the MLRO. Why was this direct action taken against the MLRO?

Question146: The AML compliance officer of a financial institution (Fl) has been advised that the institution is being investigated by the country's financial intelligence unit (FIU). What should the AML compliance officer do?
(Select Two.)

Question147: When an institution conducts an internal investigation into an account following a law enforcement inquiry, it should consider a number of factors to independently determine if the account should be dosed. Which three considerations should be made when making the determination about closing an account? Choose 3 answers

Question148: Which three do the Office of Foreign Asset Control regulations cover? Choose 3 answers

Question149: What does designing a country as being of "prime money laundering concern" allow the U.S. government to do?

Question150: Upon filing a suspicious transaction report, which of the following elements should be the highest anti-money laundering priority in making the decision to keep the account open?

Question151: An anti-money laundering specialist working at a bank just received a legal request from a law enforcement agency mandating the release of all financial transaction records relating to an account at the bank. The specialist immediately recognizes the account as one owned by the bank Chief Executive Officier's brother. During research to gather the requested documents, the specialist finds several internal memos he had sent to the bank president with concerns regarding possible suspicious activity relating to this account. The specialist recalls the bank president verbally responded to each memo with an explanation of the activity and indicated there was no cause for concern. What should the specialist do with respect to these internal memos?

Question152: In many jurisdictions, financial institutions are prohibited from hiring a person who has been convicted of what type of offense?

Question153: Why do government entities around the world believe that a risk-based approach to AML/CFT compliance is a preferable prescriptive measure?

Question154: Bank A is a non-United States (U.S.) bank that has $5 million in a correspondent account at a bank in New York City. The Worldwide Terrorist Syndicate (WTS) has $1 million in its account at a non-US branch of Bank A.
The U.S. government has initiated forfeiture action against the WTS.
Which potential action can the U.S. take under the USA PATRIOT ACT pursuant to the issuance seizure warrant?

Question155: Based on studies executed by the Organization for Economic Cooperation and Development (OECD), which occupations are particularly vulnerable to the use of false identities and identity theft?

Question156: A U.K. real estate agent has three foreign clients interested in purchasing an apartment building, valued at £30 million, in the outskirts of London as an investment property. The clients are not willing to have their names provided to the bank. The clients want the purchase to be made in the names of three private companies for privacy reasons. The plan is to wire the funds into an account held in the name of another private company at a bank in London.
Which red flag should stop the agent from discussing this potential purchase further?

Question157: What correspondent banking risk factor increases the risk for a Correspondent Bank?

Question158: A U.K. real estate agent has three foreign clients interested in purchasing an apartment building, valued at £30 million, in the outskirts of London as an investment property. The clients are not willing to have their names provided to the bank. The clients want to purchase to be made in the names of three private companies for privacy reasons. The plan is to wire the funds into an account held in the name of another private company at a bank in London.
Which red flag should stop the agent from discussing this potential purchase further?

Question159: Financial Action Task Force (FATF)-style regional bodies are created and obliged to understand the inherent money laundering and terrorist financing risks in the region of the world they serve.
What is one of the methods they use to understand these risks?

Question160: A compliance officer at a small local bank reads in the newspaper that a high ranking local public official, who is a long-standing account holder, is being investigated by the competent authorities for accepting bribes. The compliance officer immediately checks the official's account and new account the official opened at the bank a few weeks ago. The compliance officer's investigation of these accounts discloses that the official's long-standing account had no unusual activity and that the recently opened had no activity since it was opened. What should the compliance officer do next?

Question161: To guard against acquisition or control of a financial institution by money launderers or their associates, supervisory agencies should require

Question162: Which of the following provides anti-money laundering specialists information related to money laundering trends?
1. Egmont Group's 100 Cases
2. Financial Action Task Force Typologies
3. FinCEN's SAR Activity Review
4. The Wolfsberg Principles

Question163: A compliance officer receives a report from the institution's monitoring system. One account was identified in multiple alerts for the amount of cash deposited and international wires sent.
Which two sources of information held within the institution will enable the compliance officer to determine whether the activity should be reported? (Choose two.)

Question164: What is the goal of the Egmont Group in providing a forum for Financial Intelligence Units (FIUs) around the world?

Question165: Which methods are typically used to launder money using insurance companies? (Choose two.)

Question166: A comprehensive set of risk-based guidelines for maintaining business relationships is being developed.
Which situation indicates that the institution should terminate the relationship with a client?

Question167: What are two requirements with respect to supporting documentation that is used to identify potentially suspicious activity, according to Financial Action Task Force? (Choose two.)

Question168: What is the primary action a financial institution should take before formulating its anti-money laundering program?

Question169: A compliance officer at a small local bank reads in the newspaper that a high ranking local public official, who is a long-standing account holder, is being investigated by the competent authorities for accepting bribes. The compliance officer immediately checks the official's account and new account the official opened at the bank a few weeks ago. The compliance officer's investigation of these accounts discloses that the official's long-standing account had no unusual activity and that the recently opened had no activity since it was opened. What should the compliance officer do next?

Question170: A key element required to ensure an anti-money laundering compliance program is effectively embedded into an institution's culture is

Question171: Which method most likely indicates the placement stage of laundering dirty money in a land based casino?

Question172: A bank is preparing for its anti-money laundering independent review, which is performed every two years under the direction of the compliance officer. The bank's corporate audit department will conduct the review.
The compliance officer will review the final report before it is released to the Board of Directors.
What is the issue with this situation?

Question173: One of the red flags of microstructuring is:

Question174: Which three methods are commonly used by an accountant to launder money? (Choose three.)

Question175: A compliance analyst is reviewing the account activity of a customer that they suspect may be indicative of money laundering activity. Which is difficult to determine solely from the customer's account activity and KYC file?

Question176: When should new business products to evaluated for AML concerns?

Question177: Since its last regulatory examination, a financial institution has aggressively grown by adding profitable new products and services. The institution has not historically received regulatory criticism regarding its anti-money laundering compliance program. However, a recent regulatory examination cited significant deficiencies in the anti-money laundering program that were attributed primarily to the lack of oversight by the institution's leadership in implementing adequate controls over the new products and services.
Which area of international control should leadership first address to correct the weaknesses in the program?

Question178: What are two sources for maintaining up-to-date sanctions information? (Choose two.)

Question179: A remittance company received a money order from a senior political figure m the Philippines to transfer a large sum of money to a charity group in the Philippines. A review of the charity group revealed a director having dose ties with a known terrorist group primarily financed through kidnapping and extortion. What is a key risk indicator associated with terrorism financing?

Question180: Which statement about U.S. Specified Unlawful Activities (SUA) is true?

Question181: Which statement is true according to the FATF?

Question182: An internal review of anti-money laundering training documentation revealed only new agents employed by a financial institution that sells life insurance products were trained. Additionally, it typically took the institution
8 months to begin training for new actuaries. The compliance officer explained training was limited to actuaries because they perform the only high-risk function. The institution relied on e-learning techniques without follow- up assessment.
Which of the following issues would the internal review most likely recommend?

Question183: Which product type is subject to US extra jurisdictional reach over non-US banks and non-US persons under the USA PATRIOT Act?

Question184: According to the Financial Action Task Force 40 Recommendations, Designated Non-Financial Businesses and Professionals include which entities?

Question185: Which precaution will a money launderer take to avoid detection when sending electronic transfers?

Question186: A compliance officer of a financial institution is reviewing a payment for sanctions compliance between two parties in Europe and Asia. The payment is in Euros and involves the provision of services to a company located in a jurisdiction subject to Office of Foreign Assets Control secondary sanctions. Which factor is most important in determining the compliance officer's response?

Question187: In May 2002, the Wolfsberg Principles on Private Banking were revised and included a section that prohibits the use of internal non-client accounts in a manner that would prevent officials from appropriate monitoring movements of funds or keep clients from being linked to the movement of funds on their behalf.
What is another name for these internal, non-client accounts?

Question188: An anti-money laundering specialist at a large institution is responsible for information senior management about the status of the anti-money laundering program across the organization.
Which report is the most useful?

Question189: Bank A is located in Country A.
A wire transfer from Bank B located in Country B is processes by Bank A,where the funds are being moved to a customer at Bank C located in Country C.
The wire transfer isdeemed suspicious by Bank A.

Question190: The bank's Compliance Officer is tasked with designing standards based on Basel's KYC principles. Which essential elements should be included in the program? (Choose two.)

Question191: Which action should financial institutions with cross border correspondent banking activity be required to perform according to the Financial Action Task Force 40 Recommendations?

Question192: According to the Financial Crimes Enforcement Network, after an initial suspicious activity report has been filed for a customer, a financial institution must perform a continuing review of the account for a period of how many days?

Question193: An anti-money laundering specialist has been hired by an independently-owned community bank to implement an anti-money laundering compliance program. This bank has recently seen a dramatic increase in the number of international electronic fund transfers from its commercial clients. The first thing the anti-money laundering specialist should do is

Question194: In performing a risk analysis, which factor(s) should a financial institution review?

Question195: A customer has held an account at a local credit institution for 10 years. The account has received deposits twice weekly for the same amount and has never shown signs of suspect behavior. Monitoring software indicated that in the past few months the account has received several large deposits that were not in line with the account history. When asked, the customer states she recently sold a piece of property, which is supported with a proof of sale. What should the compliance officer do next?

Question196: What are two purposes of the USA PATRIOT Act? (Choose two.)

Question197: Which three should real estate agents include in the criteria to assess their company's potential money laundering and terrorist financing risks when implementing a reasonable risk-based approach?

Question198: A United States (U.S.) bank was recently alerted by law enforcement of an increase in sale of large denomination U.S. bank notes to casas de cambio. They suspect that a Mexican syndicate is operating a money laundering scheme in the bank's jurisdiction.
Which two steps should be taken to trace funds through the bank to assist law enforcement in their investigation? (Choose two.)

Question199: Which is the first valid step in the Mutual Legal Assistance Treaties (MLAT) international cooperation process?

Question200: What is the appropriate compliance control for identifying politically exposed persons (PEPs) according to the Basel Committee's paper on Customer Due Diligence for Banks?

Question201: What does the Basel Committee's Customer Due Diligence for Banks paper suggest that a bank needs to have in place when establishing an account for a corporate business entity?

Question202: Which statement best describes a key aspect of the AML Directive of the EU regarding business relationships and transactions with high-risk third countries?

Question203: You are developing a mobile application that will perform optical character recognition (OCR) from photos.
The application will annotate the photos by using metadata, store the photos in Azure Blob storage, and then score the photos by using an Azure Machine Learning model.
What should you use to process the data?

Question204: The bank's internal financial intelligence unit (FIU) has reviewed activity related to a politically exposed person (PEP); the activity in the account contains a large, round number, one time wire to an obscure organization. Which would not be a sufficient reason to file a SAR/STR?

Question205: An institution receives a request for credit from a local company that has been a client for many years. The information provided by the company indicates that its assets have increased substantially with the addition of several new subsidiaries. Further research performed by the institution indicates the new subsidiaries are recently created shell companies.
Could this indicate potential money laundering?

Question206: What is operational risk?

Question207: Following a recent exercise which explained how a correspondent banking operation could be used by money launderers, an anti-money laundering specialist decided to re-write the due diligence procedures for entering into agreements with foreign financial institutions. Which of the following information should be included to establish a rigorous "Know Your Respondent" procedure?

Question208: 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.)

Question209: A compliance officer is looking to update an institutions private bank procedures. What should be included as recommended by the Wolfsberg AML Principles on Private Banking?

Question210: Which product is considered to be of highest money laundering risk?

Question211: You plan to deploy two AI applications named AI1 and AI2. The data for the applications will be stored in a relational database.
You need to ensure that the users of AI1 and AI2 can see only data in each user's respective geographic region. The solution must be enforced at the database level by using row-level security.
Which database solution should you use to store the application data?

Question212: With which of the following should an anti-money laundering officer coordinate when implementing anew hire screening program?

Question213: A junior account manager within an international private bank in Country A was asked by one of his valued customers, who has held an account for several years in the institution, about depositing a large sum of cash into her account. The junior account manager informed his customer that his bank does not accept cash. The junior account manager later reviewed a customer activity report and noticed a number of smaller dollar wires from banks in neighboring Country B, which has lax currency controls, that totaled about as much as the customer intended to deposit.
What should the junior account manager do?

Question214: What should a compliance officer do during an ongoing investigation into a client's activities by a competent authority?

Question215: How should a financial institution deter money laundering through new accounts? Choose 3 answers

Question216: A client opens a bank account for a multi-level marketing company. The debits and credits of the account are numerous and very involved. Further, there are a lot of international transactions. Also, funds are being tunneled from the company to the client's personal account in another jurisdiction.
Which two steps should law enforcement take in investigating this matter? (Choose two.)

Question217: What should law enforcement provide when asking an institution to keep an account open?

Question218: Which information must a United States financial institution retain for having foreign correspondent accounts as part of the USA PATRIOT Act record keeping requirements?

Question219: A financial institution's monitoring system triggers an alert and an internal investigation has confirmed the activity as suspicious. Which of the following should an anti-money laundering specialist do before submitting the suspicious transaction report?

Question220: A financial institution accepts new on-line customers. After customers have provided acceptable identification, the institution should next

Question221: An anti-money laundering specialist at a large institution is responsible for information senior management about the status of the anti-money laundering program across the organization. Which report is the most useful?

Question222: To ensure that an institution's anti-money laundering program is current, which step should be taken?

Question223: 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?

Question224: In the summer, an institution identifies anti-money laundering concerns regarding a customer's account activity. The customer, an ice cream, has deposited a lot of checks drawn on banks in foreign countries, sent large number of high dollar international wires to different countries, made cash deposits of a few hundred dollars every few days and written multiple checks for a few hundred dollars to the same dozen payees every two weeks.
Which two transaction types warrant investigation? (Choose two.)

Question225: An existing customer at a bank has recently expanded its services to provide check cashing for its customers.
Which factor indicates the bank should terminate this relationship?

Question226: 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.)

Question227: Which of the following is the financial stage of money laundering?

Question228: Which statement about U.S. Specified Unlawful Activities (SUA) is true?

Question229: On what basis are international sanctions imposed against entities?

Question230: A commission regotorie would be used in which gateway to obtain information from another country?

Question231: Outgoing foreign transactions of similar amounts trigger a monitoring alert for a customer's accounts. During the evaluation of the accounts, the bank discovers the wire transfers were very small amounts and occurred within the last 3 months following a long period of inactivity. The wire transfers appear to originate from legal sources. To assess the potential of terrorist financing, the institution must ensure the:

Question232: A compliance officer is conducting a review of the automated transaction monitoring system. What would be most likely to result in a change in the monitoring system parameters?

Question233: Which statement about a multinational institution's ability to fully investigate unusual activity in all its foreign operations is correct?

Question234: Which scenario should be escalated as potentially suspicious activity?

Question235: Which of the following customer activities poses the highest risk of money laundering?

Question236: What is the currency threshold under the European Union Fourth Anti-Money Laundering Directive?

Question237: The anti-money laundering compliance officer for a small money transmitter has several agent locations in the same geographic area in the United States. The customers are immigrants from Country A and the majority of the funds are remitted to Country A.
In a meeting with one of the agents, it is recently discovered that two new customers have been coming in three times a week and sending funds to the same recipient in Country B. Each cash transaction always totals exactly $8,000.
What should alert the agent to possible money laundering activity by the two customers?

Question238: Which is a key goal of EU Directives on money laundering?

Question239: The Wolfsberg Anti-Money Laundering Principles for Private Banking require new clients to be approved by whom?

Question240: When should the anti-money laundering risk assessment be updated?

Question241: During the course of work on behalf of a client, a lawyer participated in the movement of money. If the lawyer suspects an act of money laundering, which of the following should the lawyer do according to European Union Money Laundering Directives?

Question242: Which of the following competent authorities should directly receive suspicious or unusual transaction reports?

Question243: Under the USA PATRIOT Act, in which scenario would the US not have jurisdiction?

Question244: Which method most likely indicates the placement stage of laundering dirty money in a land based casino?

Question245: Which statement is true regarding the Financial Action Task Force standards for suspicious activity reports (SARs) information sharing within a financial group?

Question246: You are designing an AI solution that will provide feedback to teachers who train students over the Internet.
The students will be in classrooms located in remote areas. The solution will capture video and audio data of the students in the classrooms.
You need to recommend Azure Cognitive Services for the AI solution to meet the following requirements:
* Alert teachers if a student seems angry or distracted.
* Identify each student in the classrooms for attendance purposes.
* Allow the teachers to log the text of conversations between themselves and the students.
Which Cognitive Services should you recommend?

Question247: Which two aspects of the security broker dealer industry increase its exposure to money laundering?
Choose 2 answers

Question248: A new AML Officer for a US-based money service business (MSB) is drafting procedures around types of activity that require further review. Which should be included? (Choose two.)

Question249: An anti-money laundering specialist has been asked to create internal anti-money laundering policies, procedures and controls for a recently chartered offshore financial institution. Which of the following should be included?

Question250: How do payable through accounts (PTAs) differ from normal foreign correspondent accounts?

Question251: A bank located in Arizona is considering a loan application for a new client. The collateral for the loan is a property in Florida.
The loan will be in the name of a limited company (LLC) whose ownership is not disclosed to the bank. The LLC was established by a New York-based attorney.
The loan will be repaid by the LLC in monthly wire transfers of $9,000 which is more than the required monthly payment.
Which aspect indicates potential for money laundering?

Question252: You are developing an application that will perform optical character recognition of photos of medical logbooks.
You need to recommend a solution to validate the data against a validated set of records.
Which service should you include in the recommendation?

Question253: Which information must a United States financial institution retain for having foreign correspondent accounts as part of the USA PATRIOT Act record keeping requirements?

Question254: According to the FATF Special Recommendation VII, cross-border wire transfers over 1,000 EUR/USD should be accompanied by what information?

Question255: How can dealers in high-value items be at risk for money laundering?

Question256: Which should authorities do to safeguard AML information exchanged with other countries?

Question257: A company service provider in Country A sets up a corporate structure for a client from Country B, which is known for corruption. The corporate structure includes a holding company in Country A with a bank account in one of the international banks located there.
During on-boarding, the client's wealth was estimated at $7 million. Shortly thereafter, the client's father became president of Country B.
During a routine client review two years later, it was identified that client's wealth had grown to $510 million.
What are two red flags that indicate money laundering or financial terrorism? (Choose two.)

Question258: In some instances, a financial institution may receive a warrant from law enforcement authorities to search its premises. A search warrant is a grant of permission from a court for a law enforcement agency to search certain designated premises and seize specific categories of items or information. Generally, what is the required threshold for the requesting agency to establish in order to obtain a search warrant of a financial institution?

Question259: What describes the Black Market Peso Exchange money laundering method?

Question260: To ensure that an institution's anti-money laundering program is current, which step should be taken?

Question261: In 2004, Consolidated KYC Risk Management was issued by the Basel Committee on Banking Supervision (BCBS). What is a key message in this document?

Question262: The vice president of the foreign correspondent banking department at a large United States bank has been notified that a foreign bank with an offshore license wants to open a correspondent account.
Which two things must the vice president acquire under the USA PATRIOT Act? (Choose two.)

Question263: Which of the following activities conducted at a financial institution is the strongest example of avoiding reporting thresholds?

Question264: An anti-money laundering expert is hired by a new Internet bank to assess the money laundering threat to the bank. What is the most important recommendation for the expert to make given it is an on-line bank?

Question265: Which safeguard is in place for Financial Intelligence Units (FIUs) to share information securely according to Egmont?

Question266: What was the topic the Wolfsberg Group's first guidance addressed?

Question267: In which two ways does a government Financial Intelligence Unit interact with public and private sectors?
(Choose two.)

Question268: Which measure to mitigate risk does the Basel Committee's Customer Due Diligence Principles suggest banks apply when accepting business from non-face-to-face customers?

Question269: As a result of an audit, a policy exception was identified that had been approved by the compliance officer. The auditor determined that the policy exception is a violation of a regulatory requirement.
What should the auditor do?

Question270: In order to protect investigative materials from disclosure when conducting an internal Investigation of any employee of a financial institution, legal counsel of that financial should________?

Question271: When should the anti-money laundering risk assessment be updated?

Question272: Why can terrorist financing be very difficult to identify?

Question273: An audit completed the previous week revealed that a private banking customer submitted incomplete documents when establishing an account earlier in the year. The customer received weekly electronic fund transfers from a narcotic-producing jurisdiction.
While the Relationship Manager who opened the account is on leave for 5 weeks, the customer requests that the institution remit a substantial sum to a country that represents a high risk of money laundering.
The Relationship Manager is a friend of the anti-money laundering specialist. Which of the following should the anti-money laundering officer do first?

Question274: What does designing a country as being of "prime money laundering concern" allow the U.S. government to do?

Question275: In which three situations is correspondent banking most vulnerable to money laundering? Choose 3 answers

Question276: Which event occurs most frequently in money laundering in the insurance industry?

Question277: What should countries do to help prevent non-profit organizations from being abused for the financing of terrorism according to the Financial Action Task Force 40 Recommendations?

Question278: When performing a risk assessment, which factors should be considered when identifying and measuring risk?
(Choose two.)

Question279: A compliance officer provides an overview of the bank's anti-money laundering program to a group of new tellers during employee orientation.
Which training element should be delivered to this audience?

Question280: What is a method of placement that can be used by a money launderer in a deposit taking institution?

Question281: A compliance officer at a financial institution (FI) received an investigation request for a customer from a local law enforcement agency. Which action should be taken by the FI?

Question282: The purpose of an anti-money laundering program should be to do what?

Question283: What is the main role of the Egmont Group in combating money laundering and terrorist financing?

Question284: Which two aspects of precious metals pose the highest risk of money laundering? (Choose two.)

Question285: A bank's transaction surveillance system triggers an alert for a deposit of 250.000 USO into a client's account.
According to the bank's KYC information, the client works for a financial advisory firm, and earns approximately 100,000 USD per year. Which actions should be taken? (Select Three.) File the suspicious transaction immediately to the financial intelligence unit.

Question286: What does the Egmont Group's support for its members include?

Question287: A client is a wholesale auto business that operates as a used car lot. The client regularly ships vehicles internationally. In a four-month period, the client received wires totaling $1,250,000 from a dealer in Benin in West Africa. All wires originated from Benin and were in increments of $50,000.
Account debits made to the account were payable to various transport companies. All incoming checks reference various vehicles purchased. Dock shipping receipts produced by the client to support account activity identify the vehicles but cannot easily be tied to the wires received.
What is the suspicious behavior?

Question288: You are designing an AI solution that will analyze millions of pictures by using Azure HDInsight Hadoop cluster.
You need to recommend a solution for storing the pictures. The solution must minimize costs.
Which storage solution should you recommend?

Question289: A potential client calls a broker-dealer wishing to purchase securities. The client does not appear to be concerned with any fees associated with the account or price of the securities. Further information provided by the potential client indicates the individual may have relatives working for a company in which the potential client wants to invest. Which type of activity is the potential client attempting to commit?

Question290: Which payment method for purchasing luxury items is a red flag for potential money laundering?

Question291: A banker in the credit department wants to assess the risk of all customers, and contacts the compliance officer to request a list of customers with suspicious transaction report filings.
What should be done to protect suspicious transaction report information?

Question292: What are three potential issues for foreign financial institutions maintaining correspondent accounts with U.S.
banks under the Patriot Act?

Question293: The marketing department presents a business plan targeting individuals holding important public positions. What are some steps the financial institution should implement as part of the plan to target such individuals?

Question294: Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution that might meet the stated goals. Some question sets might have more than one correct solution, while others might not have a correct solution.
After you answer a question, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
You have an app named App1 that uses the Face API.
App1 contains several PersonGroup objects.
You discover that a PersonGroup object for an individual named Ben Smith cannot accept additional entries.
The PersonGroup object for Ben Smith contains 10,000 entries.
You need to ensure that additional entries can be added to the PersonGroup object for Ben Smith. The solution must ensure that Ben Smith can be identified by all the entries.
Solution: You migrate all the entries to the LargePersonGroup object for Ben Smith.
Does this meet the goal?

Question295: A compliance analyst is reviewing recent activity between a publicly traded company and a company in a high risk jurisdiction. Which detail suggests that escalation is warranted?

Question296: A compliance officer learns from an Information Technology (IT) source of a potential new financial service being discussed by the new product approval committee.
What is the correct next course of action?

Question297: 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.)

Question298: What do Financial Action Task Force (FATF)-style regional bodies do for their members to help combat money laundering and terrorist financing?

Question299: Which three characteristics make non-profit organizations vulnerable to misuse for terrorist financing?

Question300: Which of the following best describes the Black Market Peso Exchange money laundering method?

Question301: A U.K. real estate agent has three foreign clients interested in purchasing an apartment building, valued at E30 million, in the outskirts of London as an investment property. The clients are not willing to have their names provided to the bank. The clients want to purchase to be made in the names of three private companies for privacy reasons. The plan is to wire the funds into an account held in the name of another private company at a bank in London.
Which red flag should stop the agent from discussing this potential purchase further?

Question302: An anti-money laundering specialist notes a significant reduction in suspicious transaction report filings at a particular branch. Which of the following actions is most appropriate?

Question303: Historically, a tour guide has made monthly cash deposits averaging $10,000. Over the past three months, the monthly deposits have averaged $100,000. When the financial institution questions the increased deposits, the tour guide explains that there have been numerous conventions in town so business has increased substantially.
Which further action(s) should the financial institution take?

Question304: Which situation is the highest risk for money laundering and terrorist financing activity?

Question305: Which measure to mitigate risk does the Basel Committee's Customer Due Diligence Principles suggest banks apply when accepting business from non-face-to-face customers?

Question306: In addition to monitoring for suspicious activity, what are electronic monitoring systems also valuable for?

Question307: You have thousands of images that contain text.
You need to process the text from the images to a machine-readable character stream.
Which Azure Cognitive Services service should you use?

Question308: Since its last regulatory examination, a financial institution has aggressively grown by adding profitable new products and services. The institution has not historically received regulatory criticism regarding its anti-money laundering compliance program. However, a recent regulatory examination cited significant deficiencies in the anti-money laundering program that were attributed primarily to the lack of oversight by the institution's leadership in implementing adequate controls over the new products and services.
Which area of international control should leadership first address to correct the weaknesses in the program?

Question309: How should law enforcement obtain documentation from an institution when suspicious activity was identified? (Choose two.)

Question310: A bank maintains a number of United States (U.S.) dollar correspondent accounts for foreign financial institutions. Upon a routine review of a U.S. dollar correspondent account owned by Foreign Bank A, a number of transactions appear to have been originated by Foreign Bank B outside the expected activity for this account.
These transactions appear suspicious and a suspicious transaction report was filed by the compliance officer.
Which step should the compliance officer take?

Question311: In the FATF 40 recommendations, the focus of AML efforts has been expanded beyond Financial Institutions.
Which three businesses and/or professions are covered? Choose 3 answers

Question312: An account officer who maintains an excellent relationship with the finance manager for a correspondent bank customer learns that many records for the correspondent bank have been requested by law enforcement. In the interest of maintaining a good relationship with the customer, the account officer sets up a meeting to discuss the legal request with the customer. The account officer intends to discuss points related to the investigation during the meeting.
What should an anti-money laundering specialist recommend?

Question313: Pursuant to the Third European Union Money Laundering Directive, how long after being out of prominent office should a person NOT be considered to be a Politically Exposed Person (PEP)?

Question314: What is one of the indicia of a Black Market Peso Exchange?

Question315: You have an AI application that uses keys in Azure Key Vault.
Recently, a key used by the application was deleted accidentally and was unrecoverable.
You need to ensure that if a key is deleted, it is retained in the key vault for 90 days.
Which two features should you configure? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

Question316: In general, what is an element that a financial institution or business does not have to specifically address in an anti-money laundering program?

Question317: A quarterly review is conducted on a retail customer's account at a bank located in a jurisdiction with currency reporting thresholds. A number of large deposits of financial instruments drawn on other institutions in amounts under thresholds were noted. This activity did not fit the account's historical profile. A suspicious transaction report will most likely be filed if what also occurred?

Question318: What are three factors a financial institution should examine with regard to a new customer who is opening up a new account? Choose 3 answers

Question319: What describes the Black Market Peso Exchange money laundering method?

Question320: A financial institution opens a mortgage loan for a customer. During a subsequent internal review of the loan, it was noted that the appraisal used to support the loan was performed by an appraiser who was not on the institution's approved appraiser list. This exception was approved by the senior loan underwriter. The reviewer, who had examined other loans from the same general area, noted that the value on the loan appeared significantly higher than on other comparable properties. Which of the following should the anti-money laundering specialist recommend next?

Question321: What do Financial Action Task Force (FATF)-style regional bodies do for their members to help combat money laundering and terrorist financing?

Question322: A financial institution files a suspicious transaction report on a customer as the result of a high volume of large currency deposits to pay off a loan. A law enforcement officer calls the anti-money laundering officer to discuss the suspicious transaction report. Which of the following is the anti-money laundering officer legally permitted to do?
1. Discuss any aspects of the reported activity.
2. Provide copies of the customer's loan documents.
3. Explain the customer's loan payment history.
4. Send the deposit documents referenced in the suspicious transaction report.

Question323: An account officer who maintains an excellent relationship with the finance manager for a correspondent bank customer learns that many records for the correspondent bank have been requested by law enforcement. In the interest of maintaining a good relationship with the customer, the account officer sets up a meeting to discuss the legal request with the customer. The account officer intends to discuss points related to the investigation during the meeting.
What should an anti-money laundering specialist recommend?

Question324: You need to build a solution to monitor Twitter. The solution must meet the following requirements:
* Send an email message to the marketing department when negative Twitter messages are detected.
* Run sentiment analysis on Twitter messages that mention specific tags.
* Use the least amount of custom code possible.
Which two services should you include in the solution? Each correct answer presents part of the solution.
NOTE: Each correct selection is worth one point.

Question325: Who meets the standard to perform the AML audit? (Select Two.)

Question326: Which is an objective of the Financial Action Task Force (FATF)-Style Regional Bodies (FSRBs)?

Question327: To ensure that an institution's anti-money laundering program is current, which step should be taken?

Question328: What are two requirements for monitoring and reporting suspicious activity for correspondent banking according to the Wolfsberg Principles? (Choose two.)