CMFAS Anti-Money Laundering

Question 1

What is money laundering?

Accepted Answer

The process of making illegally obtained money appear legitimate

Answer

Washing money in a machine

Answer

Depositing money in a bank

Answer

Converting currency at an exchange

Question 2

What are the three stages of money laundering?

Accepted Answer

Placement, layering, integration

Answer

Deposit, transfer, withdrawal

Answer

Collection, distribution, investment

Answer

Earning, saving, spending

Question 3

What is the purpose of the Corruption, Drug Trafficking and Other Serious Crimes (Confiscation of Benefits) Act (CDSA)?

Accepted Answer

To provide the legal framework for confiscating proceeds of crime and criminalising money laundering

Answer

To promote drug use

Answer

To regulate banking operations

Answer

To manage government finances

Question 4

What is Customer Due Diligence (CDD)?

Accepted Answer

The process of verifying a customer's identity and assessing the risk they pose

Answer

A customer satisfaction survey

Answer

A credit check

Answer

A marketing strategy

Question 5

What is a Suspicious Transaction Report (STR)?

Accepted Answer

A report filed with authorities when a transaction is suspected to involve proceeds of crime

Answer

A credit report

Answer

A monthly bank statement

Answer

A tax return

Question 6

Who is responsible for filing STRs in Singapore?

Accepted Answer

Financial institutions and designated non-financial businesses and professions

Answer

The police only

Answer

Only banks

Answer

Individual citizens only