AML update

1.

1 point

We use a fraud watch matrix to determine the risk rating of our clients. This risk rating is affected largely by the following variables: (tick the correct answers)

The nationality of the client

Whether a transfer is requested on the "speed service" option

The recipient is flagged as being an existing recipient on our system

The number of debit cards loaded to the profile

2.

1 point

How long must companies keep records of due diligence checks made and information held on customers and their transactions

5 years beginning on the date on which the first transaction with the client is transacted

5 years beginning on the date on which a business relationship with a client ends

5 years beginning on the date on which the first transaction ends

5 years beginning on the date on which a business relationship starts

3.

1 point

Which of the following may we accept as threshold documents for payments exceeding GBP 10,000.00 (equivalent)? Tick the correct answers

A Sale agreement or completion statement from the sale of a property

A bank statement in an excel spreadsheet

P60 (end of year tax certificate)

A last will and testament

4.

1 point

Which factor below will push a client into the EDD (Enhanced Due Diligence) profile? Tick the correct options

Receiving funds from someone other than the registered client

A client loading 3 or more debit cards to their profile

Transfers in excess of GBP 10,000.00 (or equivalent)

A client sending money to Libya

5.

1 point

What is money laundering - choose the correct option

Money laundering is the process of legitimising otherwise dirty funds obtained as a result of criminal activity

Money laundering is the process of funnelling legitimate money into illegal or terrorist financing

6.

1 point

Can the broker/consultant tell a suspicious client that he/she has been reported

No, it amounts to "tipping off"

Yes, they need to know that we are on to them

7.

1 point

Which of the following countries are listed on the OFAC list of sanctioned countries? (tick the correct answers)

Somalia

Libya

Sudan

Afghanistan

8.

1 point

The OFAC ((Office of Foreign Assets Control) is responsible for the administration and enforcement of economic and trade sanctions, based on US foreign policy and national security goals against: (tick the correct answers)

Targeted foreign countries and regimes

Those engaged in activities related to the proliferation of weapons of mass destruction

Politically Exposed Persons (PEPs)

Terrorists

9.

1 point

Who of the following has an obligation to report suspicious transactions?

Client consultants

MLRO

Directors

All of the above

10.

1 point

The MLRO is the only person responsible for money laundering prevention in the organisation

TRUE

FALSE

11.

1 point

We accept the following forms of payment: (tick the correct answers)

Internet banking transfers

Debit cards

Cheque payments

Cash

12.

1 point

A suspicion can be based on speculation

FALSE

TRUE

13.

1 point

What is the purpose of a courtesy call when registering a new client? (tick the correct answers)

It acts as a welcome call and forms part of our service

It doubles up as a security call in order to ask some relevant questions concerning irregularities in documents

It is a "disguise" used to validate the identity of a client

It counts on our telephone stats

14.

1 point

Which of the following are true with regards to our 3:5 rule

The 3:5 rule is our Velocity Checking system and forms part of enhanced due diligence

A profile will be flagged any time a client attempts to upload 3 or more transfers to a single recipient within 48 hours

A profile will be flagged any time a client attempts to upload 5 or more transfers to multiple recipients within 48 hours

All of the above

15.

1 point

The Financial Action Task Force (FATF) is the body who is responsible for promoting policies to combat money laundering and terrorist financing.

TRUE

FALSE