Which three statements are true regarding the extraterritorial reach of laws and legislation of the U.S.?

• A.The extraterritorial reach covers all transactions throughout the global economy
• B.The criminal anti-money laundering law can apply to transactions that occur partially overseas
• C.The defendant does not need to know the funds came from an illegal activity under state, federal or foreign law
• D.Economic and trade sanctions by OFAC may pose extraterritorial risks for financial institutions and businesses outside the U.S.

Comment: *

Name: *

Email: *

Verification: *

One key aspect of promoting an enterprise-wide compliance culture within a financial institution (FI) is that the:

• A.first line of defense should establish its own policies independently.
• B.revenue generating business sectors should have precedence over compliance.
• C.relevant information should be shared throughout the organization.
• D.cost of compliance should increase proportionately to revenues.

Comment: *

Name: *

Email: *

Verification: *

The branch manager calls the compliance officer and informs her that a law enforcement officer has just left the branch and was asking a lot of questions and left a business card.
What should the compliance officer do?

• A.Require the branch manager to write a detailed memo about the request
• B.Verify that the reported officer was an actual authorized representative
• C.Follow up to verify that the officer received all necessary information
• D.File a suspicious transaction report

Comment: *

Name: *

Email: *

Verification: *

A recent anti-money laundering audit revealed several regulatory reporting violations and lapses with the organization's anti-money laundering policy. As a result, the compliance officer has created a follow-up matrix to document progress in correcting the identified deficiencies.
To whom should the compliance officer provide regular updates of corrective action to help ensure the appropriate oversight?

• A.Business line managers
• B.Audit management
• C.Human Resources
• D.Designated board committee

Comment: *

Name: *

Email: *

Verification: *

What is suspicious activity or red flag with regard to a customer's activity? Choose 3 answers

• A.Exchanging small denomination bills for large ones
• B.Asking about the bank's fee schedule for a series of transactions
• C.Engaging in wire transactions with an offshore account
• D.Paying the tellers he deals with a regular gratuity

Comment: *

Name: *

Email: *

Verification: *