Acams Exam CAMS Topic 4 Question 64 Discussion

Actual exam question for Acams's CAMS exam

Question #: 64
Topic #: 4

[All CAMS Questions]

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?

AExpected activity was advised to include cash letter and money orders

BThe nature and purpose of the business include international remittance transfers

CThe names provided at account opening are identified as the corporation's representative nominees

DAccount signer's government issued identification lists addresses outside of where the branch account was
opened

Show Suggested Answer

Suggested Answer: A

by Catarina at Jan 06, 2023, 02:40 PM

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6 days ago

I think option A is also a red flag, as cash letters and money orders can be used for money laundering.

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8 days ago

I agree with Mitsue, because the addresses listed should match where the account was opened.

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12 days ago

I think the red flag is option D.

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