ACFCS Financial Crime Specialist : CFCS

Your firm has been retained aspairof a complex internal fraud case for a large corporation.Aspartof the investigation you are seeking to collect transaction records held in a subsidiary office located in another country.
The country has strict laws governing cross-border sharing of its citizens' personally identifiable information It does allow data sharing under sate harbor agreements with companies that meet certain data protection standards but your company does not currently have the criteria for such an agreement.
You are not sure il the records you are seeking would contain personal information subjecttothe country's data privacy laws but the matter is time-sensitive and reviewing these records is considered essential to move forward.
Which is Ihe BEST next step lo lake in your investigation?

• A. Review the transaction records within the subsidiary s country and only transmit relevant non-personal data back to your country
• B. Submit a request to law enforcement in the subsidiary's country to assist with searching and seizing the transaction records
• C. Request that the transaction records be transmitted to your country immediately then delete any personally identifiable information during the review process
• D. Initiate a review of your company's data protection standards lo identify any needed improvements and start the process to applyfora safe harbor agreement

An examiner with a federal regulatory agency has been looking into complaints against a securities broker dealer who is suspected of selling fraudulent high-yield bonds to clients The broker-dealer had been offering these bonds for the last eighteen months.
A few weeks ago when several clients asked to withdraw the funds they had invested in the bonds, they received vague and seemingly evasive responses from the broker. Since then, the broker has been unresponsive and has not returned to her office.
The investigator has obtained the broker-dealer s bank account records for the past two years by court order and is currently analyzing canceled checks written on the account.
What information would the investigator be most likely to learn from reviewing these checks?

• A. Persons who may have received payments (from the broker during the fraud scheme
• B. An approximate amount of funds the broker-dealer obtained via fraud
• C. Payments from the broker's account that were reversed or stopped
• D. The names of persons who invested in the suspected fraud scheme

You are an auditor reviewing the financial statements of a firm that manufactures construction equipment The firm's sales have slowed in recent months. Within the last quarter it has closed one of its lactones, however the firm's management are still reporting a positive outlook. Concerned shareholders have asked you to investigate (or possible signs of improper accounting or fraud.
You are reviewing two balance sheets from the start and end of the quarter below Given this information and your knowledge of the company s status which issue is MOST likely to be a red flag?

• A. Wages payable has reduced by nearly $100,000 in the last three months
• B. The firm's property plant and equipment have dropped substantially in the past three months
• C. Other liabilities have remained roughly the same over the three-monlh period despite a decline in total liabilities
• D. Receivables and inventory levels have increased over three months despite a reduction in sales

You are investigating a steel company that is under suspicion of being used by a mafia organization as a conduit for illicit funds transfers and commodities transactions You come across documents of a len-ton shipment of low-grade industrial steel bars for Thailand divided into one-ton containers.
Which is the BEST indicator that this shipment is suspicious and requires additional investigation?

• A. Because it was most likely destined for trans-shipment to multiple nations or jurisdictions
• B. Because documents show payment for high-grade steel
• C. Because Thailand is well known as a high-risk country for trade-based money laundering
• D. Because metals are a known avenue for money laundering

You are conducting customer due diligence and enhanced due diligence for a correspondent bank with offices in several countries that are suspected of significant money laundering activity. You want to obtain information about the compliance and anti-money laundering programs of the bank as well as general information about its organization and risk management policies.
Which resource is MOST likely to provide this type of information?

• A. Bankers Almanac
• B. World Bank Doing Business Database
• C. Wolfsberg International Due Diligence Repository
• D. The bank's home jurisdiction corporate registry