MODULE 4 TEST ASSESSMENT
An Assessment Test of 25 multiple choice questions that are based on the learning objectives of the Anti-Money Laundering & the Countering of Terrorist Financing (AML/CFT) course Module 4. The passing grade is 60%. The Test can be taken up to three times. Failure results in an additional AML/CFT Training session with the Compliance Unit.
Assessment Questions (copy)
Place the stages of Money Laundering in the correct order:
Which of the following is the purpose of the FATF?
- To monitor trade on a Global scale.
- To monitor the creation of new currency in Europe.
- To develop policies that combat money laundering & terrorist financing on a Global scale.
- To monitor financial crimes in Asia.
Which statements about Terrorist Financing are True?
- Funding can only come from an illegitimate source.
- It is used to finance illicit activities.
- Funding can come from both legitimate & illegitimate sources
- It has an ideological purpose.
Which of the following is not Tipping Off?
- Communicating to the Compliance Officer a suspicious activity you observe.
- Discussing with your colleague that you have observed suspicious activity on a customer's account.
- Telling a customer that a report was made to the FIU about their transaction.
- Telling a customer that the FIU has requested information on their account.
How long are customer records to be retained by Massy United?
- 6 years.
- 6 years after the relationship has ended.
- 7 years.
- 5 years after the relationship has ended.
The 40 Recommendations recognized as the international standards for AML/CFT was developed by:
- Financial Action Task Force
- Financial Acting Test Force
- Final Aging Task Force
- Financial Laundering Task Force
An Internal Suspicious Reporting Form must be submitted to the CO/ACO within:
- 3 days from the date of the suspicious transaction.
- 5 days from the date of the suspicious transaction.
- 10 days from the date of the suspicious transaction.
- 14 days from the date of the suspicious transaction.
If you see a suspicious Activity in Massy United, you should:
- Say nothing and hope that it will go away.
- Contact the FIU.
- Inform the Compliance Officer/ Alternate Compliance Officer immediately.
- Contact the Central Bank.
Which of the following statement(s) is NOT a Red Flag
- Customers who purchase insurance using a credit card.
- Customers who are reluctant to provide identification information when purchasing Massy United insurance.
- Customers who failed to give their correct name when purchasing a policy.
- Customers who use their passport as their identification verification.
A Suspicious Activity Report is completed and submitted to the FIU by:
- The Compliance Officer.
- The General Manager.
- The Customer.
- The Underwriting Supervisor
Which entity is an AML/CFT regulator for Massy United?
- Central Bank of Trinidad & Tobago
- Financial Obligations Regulations
- Ministry of Finance
- Securities & Exchange Commission
The stage where illicit funds first enter the financial system is called:
Which of the following statements are TRUE?
- The identity of the Compliance Officer & Alternate Compliance Officer must never be shared with individuals outside of Massy United.
- The Compliance Policies and Procedures are found in Massy United's Compliance Programme.
- Massy United staff should always tip off customers when a suspicious transaction occurs.
- Only the Compliance Officer & the Alternate Compliance Officer are required to adhere to the AML/CFT Laws.
What is the term used for breaking up large sums of money into smaller quantities to make deposits undetected?
If you fail to report a suspicious activity, Massy United can be fined or penalized.
A Source of Fund Form is never required for wire transfers.
Match the type of Customer Due diligence with the level of risk:
Enhanced Due Diligence
Standard Due Diligence
Simplified Due Diligence
A Source of Funds Declaration Form must be completed for which of the following transaction(s):
- Massy Technologies fire insurance policy, where premiums amounted to TT$100,000.
- A direct customer who pays his TT$16,000 motor premiums in cash.
- Johnson's Inc. premium payments of TT$60,000 and TT$70,000 for Fire and Money policies.
- Mr. Jones who wired premium payment of TT$7,000 for his Homeowner's policy.
Connect the Corporate Customer Due Diligence documents to their verification methods:
Name of Corporate Entity
Certificate of Incorporation
Name of Directors
Articles of Incorporation
Proof of Income/Wealth
Identity of Beneficial Owners
Connect the Individual Customer Due Diligence requirements to their related verification methods:
National Identification Card
Permanent Residence/ Proof of Address
Occupational Income/ Proof of Income
Mr. Tom a first time customer, purchases a Massy United policy for TT$30,000. The premiums are paid using LINX. Mr. Tom is also the son of the Prime Minister of Barbados. What CDD/KYC documents must he submit before completing this transaction:
- Fully completed KYC Form
- Fully completed PEP Form
- Proof of Income
- Proof of Address
- SOFD Form
- PEP Form
- Customer Finger Prints
Which TWO customers would be considered high risk?
- A clerk at the Ministry of Finance & A Office cleaner
- A Massy United employee & A Bank employee
- Prime Minister of Trinidad & Minister of Health
- A Casino owner & A Housewife
Massy United does not do business with Casinos & Shell Banks.
Which is NOT an acceptable for of identification?
- Bank Card
- National Identification card
- Driver's Permit
Verifying the Customer's Source of Funds/Wealth is a critical step in managing AML/CFT.