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Certified Anti-Money Laundering Specialist (CAMS7 the 7th edition) Valid Exam Reference & CAMS7 Free Training Pdf & Certified Anti-Money Laundering Specialist (CAMS7 the 7th edition) Latest Practice Questions
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ACAMS Certified Anti-Money Laundering Specialist (CAMS7 the 7th edition) Sample Questions (Q58-Q63):
NEW QUESTION # 58
Upon learning of a potential weakness through an organization's enterprise-wide sanctions risk assessment relating to a low number of sanctions screening alerts generated compared to the business size and operations identified, which action would best ensure the risk area is properly managed and remediated to the best possible extent?
- A. Enhancing staff training on the documentation of justification on closed alerts
- B. Revisiting the post-transaction monitoring system parameters and thresholds
- C. Reviewing the fuzzy logic currently adopted in the screening system
- D. Reviewing the enterprise-wide risk assessment methodology
Answer: B
Explanation:
A low number of sanctions screening alerts relative to the size and scope of operations may indicate overly restrictive or inappropriate monitoring parameters. Revisiting and adjusting the post-transaction monitoring system parameters and thresholds ensures that the system is calibrated to detect potential sanctions breaches effectively.
NEW QUESTION # 59
What are the roles of a government Financial Intelligence Unit (FIU)? (Select Three.)
- A. Disseminate the analysis of suspicious transaction and suspicious activity reports to local law enforcement agencies and foreign FIUs to combat money laundering
- B. Analyze all suspicious transaction and suspicious activity reports received from reporting institutions or obliged institutions
- C. Disseminate analysis of suspicious transaction and suspicious activity reports to foreign judicial systems to enhance their anti-money laundering and terrorist financing investigations and prosecutions
- D. Investigate and where appropriate prosecute all suspicious transaction and suspicious activity reports received from reporting institutions or obliged institutions
- E. Receive reports of suspicious transactions and suspicious activities from reporting institutions or obliged institutions
Answer: A,B,E
NEW QUESTION # 60
An internal audit team is reviewing the anti-financial crime (AFC) program of its firm. Which of the following attributes of the third line of defense would be most critical to ensure unbiased and effective oversight?
- A. Periodic training of the function
- B. Qualification of the team
- C. Consistency of approach
- D. Independent testing
Answer: D
Explanation:
Independent testing is critical for the third line of defense to provide unbiased and effective oversight, ensuring that reviews and audits are objective and free from influence by the first or second lines of defense.
NEW QUESTION # 61
Professional service providers-including lawyers, accountants, investment brokers, and other third parties-may abuse their positions to facilitate money laundering.
Which financial crime risks are associated with this type of abuse? (Select Three.)
- A. Opening a trust account to facilitate a legitimate real estate transaction
- B. Opening third-party accounts for the primary purpose of masking the underlying client's identity
- C. Establishing shell companies to enable money laundering activities, including placement or layering
- D. Opening an account to settle an estate on behalf of a client
- E. Directing or facilitating the laundering of illicit funds, including structuring transactions
Answer: B,C,E
Explanation:
Professional service providers can be misused as enablers of money laundering when they abuse their trusted positions and expertise. FATF guidance highlights several risks linked to such abuse.
The creation of shell companies is a common method used to obscure beneficial ownership and facilitate placement or layering of illicit funds. Similarly, opening third-party accounts to mask the true client identity directly undermines transparency and due diligence requirements.
Additionally, actively directing or facilitating the structuring or movement of illicit funds constitutes direct involvement in money laundering schemes and is a serious criminal offense.
By contrast, opening estate or trust accounts for legitimate, transparent purposes does not inherently pose a financial crime risk when proper due diligence is applied.
NEW QUESTION # 62
Which red flags apply to trade-based money laundering (TBML) schemes? (Choose three.)
- A. Amended letters of credit without reasonable justification
- B. Non-standard settlement arrangements
- C. Use of wire transfers
- D. Instructions or involvement from third parties
- E. Loitering
Answer: A,B,D
Explanation:
Trade-based money laundering red flags include third-party involvement in transactions, amended letters of credit without clear justification, and non-standard settlement arrangements, all of which can indicate attempts to disguise illicit fund movements or the true nature of the trade.
NEW QUESTION # 63
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