A customer opens a corporate account with a broker-dealer on behalf of several beneficial owners, with a stated long-term investment goal. The customer deposits $25.5 million into the account and three days later transfers $5 million to an overseas bank. Shortly thereafter, the customer begins making numerous purchases of pesos. The compliance officer receives a query regarding the movement of funds. Within a month of account opening, the customer depletes the account.Which two red flags should prompt the firm's compliance officer to take action? (Choose two.)
A government has instituted new anti-money laundering laws which require all financial institutions to obtain certain information from its customers.Which step should an institution located in this jurisdiction take to ensure compliance?
A customer brings $15,000 worth of chips into a casino and plays various games. The customer redeems all the remaining chips and requests a wire transfer of the proceeds to an unrelated third party.What are two red flags that indicate money laundering? (Choose two.)
When should the anti-money laundering risk assessment be updated?
The vice president of the foreign correspondent banking department at a large United States bank has been notified that a foreign bank with an offshore license wants to open a correspondent account.Which two things must the vice president acquire under the USA PATRIOT Act? (Choose two.)
A customer living in a high-risk jurisdiction makes frequent, large cash deposits at a bank. The same customer sends small wire transfers to unrelated parties in other high-risk jurisdictions.What are two red flags that may indicate money laundering? (Choose two.)
