Annual AML Training And Testing
In this quiz on Annual AML Training and Testing, we’ll be taking a look at a handful of question regarding such topics as exposed persons, suspicious transactions, undue relationships, enhanced due diligence and much more. What can you tell us? Let’s find out right now!
- 1.If wealth is gotten in a foreign jurisdiction by a business activity that is illegal in The Bahamas, but not in the foreign jurisdiction, it would be illegal to accept the funds here
- A.
True
- B.
False
- 2.Which of the following is not considered law subject to penalties, but for advice and direction which if ignored, may lead to sanctions under applicable law?
- A.
A) Laws
- B.
B) Regulations
- C.
C) Guidelines
- 3.What component is the most important element in the prevention of money laundering?
- A.
A) The Laws
- B.
B) The Systems in Place
- C.
C) The People within the System
- 4.Our laws regarding money laundering is not specific to our geographical area, being the Caribbean and Americas, but follows international standards.
- A.
True
- B.
False
- 5.Reputation risk refers to what type of publicity
- A.
A) Positive
- B.
B) Negative
- C.
C) Any kind
- 6.Reputation Risk is measured by
- A.
A) Potential of an event occuring
- B.
B) Unlikelihood of an event
- C.
C) Actual events
- 7.Risk to your reputation may result from a) Business decisions made in good faith b) Poor ethical decisions
- A.
A) A Only
- B.
B) B Only
- C.
C) Both A and B
- D.
D) None of the above
- 8.A bank with a tarnished reputation is more likely to lose customer accounts
- A.
True
- B.
False
- 9.The threats we face as a jurisdiction relate only to accepting the proceeds of crime
- A.
True
- B.
False
- 10.The effort to combat money laundering is cultural and specific to jurisdictions, and there is little global cooperation given the diversity of countries and cultures
- A.
True
- B.
False
- 11.Reputation may be affected by a) Quality of clients accepted b) Quality of service offered
- A.
A) A only
- B.
B) B Only
- C.
C) Both A and B
- 12.International initiatives are issued to achieve all of the following, except
- A.
A) Standard approaches
- B.
B) To engender cooperation
- C.
C) To share information
- D.
D) To impose law across jurisdictions
- 13.The Wolfsberg Principles were composed by a consortium of Compliance Officers
- A.
True
- B.
False
- 14.The Financial Action Task Force (FATF) is
- A.
A) Composed of 25 member countries
- B.
B) Headquartered in Brussels
- C.
C) Made 40 Recommendations in 2003 used to measure effectiveness of AML regimes.
- 15.The group of Financial Intelligence Units who collaborate for information sharing and assistance is called the
- A.
A) Egmont Group
- B.
C) FATF
- C.
C) EU Directive
- 16.The overriding Act which makes money laundering unlawful within The Bahamas is the
- A.
A) Criminal Justice Act
- B.
B) Proceeds of Crime Act
- C.
C) The Evidence Act
- 17.The Acts which do not deal specifically with foreign jurisdictional proceedings are
- A.
A) The Criminal Justice Act
- B.
B) The Evidence Act
- C.
C) The Financial Intelligence Unit Act
- 18.Should a staff member not report a suspicious transaction, they are in contravention of which legislation
- A.
A) The Financial Intelligence Unit Act
- B.
B) The Central Bank of The Bahamas Act
- C.
C) The Financial Transactions Reporting Act
- 19.The regulatory bodies within The Bahamas (for the purpose of Money Laundering does not include
- A.
A) The Gaming Board
- B.
B) The Business Licensing Authority
- C.
C) The Insurance Commission
- 20.How is a prospective client best identified
- A.
A) By a passport
- B.
B) By a Drivers License
- C.
C) By a Credit Card
- 21.Do the regulations allow you to rely on KYC procedures performed by third parties?
- A.
True
- B.
False
- 22.To be classified as an eligible introducer, local entities should be:
- A.
A) Licensed under a financial services regulator
- B.
B) A reputable law firm
- C.
C) Known to the bank
- 23.How does the home address on a utility bill, best assist in identifying the prospect
- A.
A) The bank may want to visit the prospect
- B.
B) The utility bill shows the monthly expenses
- C.
C) The home address coupled with the name is evidence of a place of residence
- 24.Why is it so important to know that your client is the person they claim to be
- A.
A) Because it is the law
- B.
B) Because the relationship is based on the integrity of the representations
- C.
C) Because identity theft is quite common
- 25.Who are categorized as exposed persons?
- A.
A) Persons with credit exposures
- B.
B) Persons whose hidden dealings are discovered
- C.
C) Persons who have a level of influence, and are highly visible and accessible
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