Acams Advanced-CAMS-Audit Exam - Topic 3 Question 27 Discussion

Actual exam question for Acams's Advanced-CAMS-Audit exam

Question #: 27
Topic #: 3

Which best explains why the auditor rates the audit finding on sanction screening severity high?

AThe efficiency of the sanction screening tool is not properly tuned due to the wrong sanctions lists.

BThe finding is on a different audit topic than the KYC related findings.

CThe tool might miss potential sanction violations given the long intervals before the sanctions lists are updated.

DThe organization might have reported a sanction breach that is not a current sanction violation.
Severity Justification:
Infrequent updates of sanction lists create significant risks of missing sanctioned entities, increasing legal, financial, and reputational risks for the institution.
FATF Recommendations emphasize the need for timely and accurate sanctions screening to prevent facilitation of sanctioned transactions.
Critical Evidence:
A delayed update to sanction lists is cited as a key failure point in regulatory penalties and compliance audits.

Show Suggested Answer

Suggested Answer: C

by Marci at Mar 07, 2026, 02:01 PM

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James

2 days ago

I remember discussing how outdated sanctions lists can really increase risks for organizations, so I think option C makes sense.

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