Passing exam with CFCS latest training materials

You work in a federal government agency processing benefits for millions of people who meet a specified sell of conditions (e. g, age, business size, medical necessity). The requests for benefits are filed electronically. Knowing that Fraudsters often falsely claim eligibility you have been asked to recommend analytical solutions to reduce the fraud across the agency's operations.
Which analytical or investigative method would MOST effectively identify potential fraudsters at the agency's enterprise level of operations?

• A. Proactively screen transactions or claim requests against established business rules or criminal patterns prior to payment
• B. Check for negative news information about applicants
• C. Begin reviewing historical tax information to possibly conduct an audit of all suspicious applicants
• D. Partner will a law enforcement agency to review each applicant prior to paying any benefits

Which suggests that countries review the adequacy of laws and regulations that relate to non-profit organizations because they are vulnerable to misuse that may further financing ol terrorism?

• A. Wolfsberg Principles
• B. UN Security Council Resolution 1373
• C. OECD Guidelines
• D. FATF Recommendations

InvestPlus was a securities trading firm that purportedly specialized in high-risk high-reward investment opportunities in developing countries. InvestPlus was losing money on many of its products and began to take funds from new clients to repay earlier investors. The scheme was eventually revealed and InvestPlus collapsed leaving behind numerous defrauded investors InvestPlus is now bankrupt.
A group of investors who lost money has hired your law firm to recover assets InvestPlus had complex holdings and investments in many different countries worldwide Without access to the company s financial records it has been difficult to trace them. The owners of InvestPlus reaped substantial profits but led lavish lifestyles and are thought to have burned through most of their assets.
Which is the BEST way your firm could pursue recovery of damages?

• A. Contact other defrauded investors to see if they have further information on the location of recoverable assets
• B. Request a summons for the owners of InvestPlus to provide testimony on their financial status
• C. File mutual legal assistance treaty requests in the jurisdictions where InvestPlus is thought to have assets
• D. Investigate whether third parties have facilitated the scheme and, if so, pursue legal action against them

You are an investigator at a small bank Your transaction monitoring system alerts you to unusual activity happening in a business account for a consulting firm ABC Consulting.
The account activity consists of incoming wires from a personal account at another institution there are three to four incoming wires each week from one individual. The next day an outgoing check would be issued to the same person for a slightly larger amount with the memo "Wire reimbursement + fee " Web searches indicate that this person is employed by your customer ABC Consulting Additional activity consists of small cash deposits.
Which are Ihe red flags in this scenario? Choose 2 answers

• A. The customer is a marketing consulting firm which is always considered a high-risk industry
• B. The customer does not appear to be operating a legitimate business
• C. Money being wired into this account from a personal account may constitute complying of funds
• D. The customer may be layering transactions to conceal the source or purpose of funds

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