You are an investigator in a country that has a money laundering law that uses the list approach to identify the predicate offenses. There are 12 crimes on this list of predicate offenses. You are currently investigating a public official for suspected money laundering, and the source of the official's illegal income is not yet known You have just discovered a hidden bank account owned by the official in which $5 million has been transacted in the past year.
Which is Ihe MOST important in order to prove money laundering?

• A. Analyze the disbursements from the bank account to prove Ihe integration phase
• B. Establish the layering phase of the transactions
• C. Trace the source of the deposit into the bank account
• D. Identify all cash transactions within the account

One of the tasks for an employee of a U S bank is to administer overseas large value drafts. The employee receives a draft from Country X that is identified as a high-risk and non-cooperative jurisdiction by the FATF According lo the FATF 40 Recommendations, which action should the employee take?

• A. Conduct an investigation according to the money laundering and the financing of terrorism norms/rules enforced and adopted by Country X
• B. Verify the transaction's basic data according to the bank's international operations manual
• C. Request additional documentation to get a deeper understanding about the payer and the origin of the funds
• D. Since the draft was issued in a non-cooperative country block the transaction

You are a money laundering investigator at a financial institution. You discover that the target of one of your cases was your direct supervisor during previous employment.
How should you proceed?

• A. Stop investigating the case and have it assigned to a coworker or supervisor
• B. Continue working the case because the target of the investigation is not a family member or close associate
• C. Use your inside information to build a stronger case
• D. Notify your current supervisor and assure him or her you will maintain confidentiality on the case

ABC LLC is a company that is incorporated in an offshore jurisdiction Bank A opens an account for ABC LLC after completing a standard Customer Due Diligence questionnaire ABC LLC is a holding company for another firm that does business with arms companies in North Korea that are rumored to supply a number of militant groups.
Which two statements may be true about Bank A? Choose 2 answers ^

• A. It may be liable (or opening an account for an offshore holding company
• B. It may be absolved of liability by way of conducting initial due diligence
• C. It may be aiding in money laundering and terrorist financing
• D. It may be subject to sanctions for ultimately dealing with North Korea

You have been askedtoreview Ihe annual report lor astartupcompanythatprovides digital identity verification services to online merchants. The company's founder has recently approached several groups of investors to sell a portion of his shares in the company, but after reviewing financial statements the investors had concerns over potential improper accounting to misrepresent the company's position and have asked you to review further.
Based on Ihe annual report it appears the company's total net position has increased each quarter for the past year Looking at sales records you determine a significant portion of the company's revenue comes from one client, a contract with a software development firm for $800,000 each quarter.
Whichfurtherfinding from the annual report and financial statements is Ihe BEST focus for your investigation?

• A. The company s largest expense is a quarterly payment of $790,000 for coding services
• B. The company has a 10% increase in accounts payable year over year
• C. The company lists an increase in expenses this year due to changes in overtime payment policies
• D. The company incurred a tax charge this year of over $120,000