Multiple Choice Questions on Money Laundering:
1. What is Money Laundering?
A. The goal of a large number of criminal activities is to generate profit for an individual or a group.
B. Money laundering is the processing of these criminal proceeds to disguise their illegal origin.
C. Money laundering is an unlawful act committed on the premise that a criminal act has been committed and stolen money is obtained
D. All of these
2. AML Stands for_________
A. Anti Monitory Limit
B. Anti Money Laundering
C. Always money laundering
D. Anytime Money Laundering
3. Money laundering is related to—————————
A. To reduce the number of families which lives below poverty line
B. To reduce the NPA of Banks
C. To reduce the Black Money
D. To reduce the umemployment rate.
E. None of these
4. The Three Stages of Money Laundering are:
A. Layering, Placement, Refining
B. Placement, Refining, Integration
C. Layering, Placement, Integration
D. Layering, Refining, Integration
5. ———— is an anti money laundering measure specified in the prevention of money laundering act 2002.
6. When did the Prevention of Money Laundering Act come into force?
A. The Prevention of Money Laundering Act, 2002
B. The Prevention of Money Laundering Act, 2005
C. The Prevention of Money Laundering Act, 2009
D. None of these
7. Anti-money laundering methods are based on________
8. Who can investigate a case of Money Laundering ?
D. none of these
9. Which of the following is NOT one of the stages of the money laundering process?
10. What are the powers available to the Investigating Officers under the Act ?
A. To conduct survey of a place (Section 16)
B. To conduct search of building, place, vessel, vehicle or aircraft & seize records & property (Section 17)
C. To conduct personal search (Section 18)
D. All of these
11. Banks are required to monitor transactions of suspicious nature for reporting to the authorities under anti- money laundering measures. The purpose of reporting is:
A. Combating finance of terrorism
B. To check hawala transactions
C. To check the inflow of crime money
D. All the above
12. The legislative purpose of the Anti-Money Laundering Law is to_________
A. Prevent money laundering activities, maintain financial order, curb money laundering crimes and related crimes
B. Combat money laundering, maintain financial order, and curb money laundering and related crimes
C. Prevent and combat money laundering, maintain financial order, and curb money laundering and related crimes”
D. Prevent or combat money laundering, maintain financial order, and curb money laundering and related crimes
13. Among the following statements about the basic connotation of money laundering, which is false_______
A. Money laundering is an unlawful act committed on the premise that a criminal act has been committed and stolen money is obtained
B. Money launderers launder the illicit money that they know is the proceeds of crime. “Knowingly” means knowing, excluding the illicit money that may be known to be the proceeds of crime.
C. The transfer or transformation of criminal proceeds through financial institutions or other means”
D. Attempts to cover up the crime and make the proceeds of crime appear legitimate
14. What is the behavior of the anti-money laundering administrative department to verify and verify suspicious transactions suspected of money laundering in accordance with the law?
A. On-site inspection
B. Site visit
C. Anti-money laundering investigation”
D. Executive interview