Discuss Acams CAMS Exam Topic 2 Question 102

Which scenario should be escalated as potentially suspicious activity?

AA retail chain deposits cash into several operating accounts and consolidates the funds into one account.

BA domestic business account receives a wire transfer from an international business with no history of such activity or business needs.

CA convenience store makes daily deposits or withdrawals primarily in cash.

DA corporate account deposits large checks and wire transfers on a frequent basis from existing customers.

Suggested Answer: B

A domestic business account receiving a wire transfer from an international business with no history of such activity or business needs should be escalated as potentially suspicious activity. This is because this scenario may indicate an attempt to launder money, evade taxes, or finance terrorism through cross-border transfers that have no apparent economic or lawful purpose. The lack of prior relationship or business justification for the wire transfer may also suggest that the transaction is not consistent with the customer's profile or expected activity. Therefore, this scenario should be investigated further and reported if necessary.

9 Financial & Bank Suspicious Activity Examples, Example 2.

CAMS Study Guide 6th Edition, page 40-41.

Get Premium CAMS Questions as Interactive Web-Based Practice Test or PDF Real Exam Format Detailed Explanations Instant Access Get Your Practice Test

23 comments · newest first

Yolande 10 months ago

Wait, why would a domestic account get a wire from abroad?

Sueann 11 months ago

Definitely B! That international transfer is super sketchy.

Louvenia 11 months ago

Large checks from existing customers? Sounds too good to be true.

Layla 11 months ago

C is just a convenience store doing its thing, nothing suspicious.

Margarett 11 months ago

A retail chain consolidating cash? Seems normal to me.

Jovita 11 months ago

I feel like option D is probably fine since it's from existing customers, but I wonder if the frequency of those transactions could still be a concern.

German 12 months ago

I practiced a similar question where daily cash transactions raised concerns. Option C seems like it could fit that pattern, but I’m not completely convinced.

Sherell 12 months ago

I'm not entirely sure, but I think consolidating cash deposits like in option A could be normal for some businesses. It might not be suspicious unless there's more context.

Tashia 1 year ago

I remember discussing how unusual wire transfers can be a red flag, especially if there's no prior activity. That makes option B seem suspicious.

Lawrence 1 year ago

I think the key is looking for any unusual or unexpected activity. The international wire transfer definitely fits that criteria, so I'd go with that as the potentially suspicious scenario.

Josphine 1 year ago

I'm a little unsure about this one. The cash deposits and withdrawals at the convenience store could also be a red flag, but I'm not totally sure. I'll have to review the details again.

Ty 1 year ago

The wire transfer from an international business with no history seems the most suspicious to me. That's the kind of activity that could indicate money laundering or other illicit financial activity.

Bettina 1 year ago

This seems like a tricky question. I'll need to think through the different scenarios carefully to determine which one is potentially suspicious.

Sharika 1 year ago

Hmm, I'm torn between B and C. Both seem a bit shady, but I'll go with B. Who knew international wire transfers could be so sketchy?

Argelia 1 year ago

I'm going with Option C. A convenience store dealing primarily in cash transactions is pretty common, but it's still worth a closer look.

Yvonne 1 year ago

I see your point, Bonita. Both options B and D raise red flags for potential suspicious activity.

Bonita 1 year ago

But what about option D? Depositing large checks and wire transfers frequently could also be suspicious.

Stefany 1 year ago

I agree with Gianna, receiving a wire transfer from an international business with no history seems suspicious.

Gianna 1 year ago

I think option B should be escalated.

Matthew 1 year ago

Option B seems the most suspicious to me. Receiving a wire transfer from an international business with no prior history is definitely a red flag.

Kaitlyn 1 year ago

↳ replying to Matthew

True, both options B and D raise red flags. It's important to report any suspicious activity to the appropriate authorities.

Dierdre 1 year ago

↳ replying to Matthew

I think option D could also be a cause for concern. Depositing large checks and wire transfers frequently could be a sign of money laundering.

Trinidad 1 year ago

↳ replying to Matthew

I agree, option B does seem suspicious. It's important to investigate further.

Acams CAMS Exam - Topic 2 Question 102 Discussion