PCI PCI Financial Investigation & Asset Recovery

Question 1

What is the primary purpose of asset tracing in a fraud investigation?

Accepted Answer

To identify and locate assets that may be subject to recovery or forfeiture

Answer

Asset tracing identifies assets acquired through fraudulent means that may be recovered for victims or forfeited to the government.

Question 2

Which financial document is most useful for identifying undisclosed income in a fraud investigation?

Accepted Answer

Bank statements

Answer

Bank statements reveal all deposits and withdrawals, making them essential for identifying income that was not reported or disclosed.

Question 3

What is 'commingling of funds' in the context of financial investigations?

Accepted Answer

Mixing personal and business funds to obscure their origins

Answer

Commingling occurs when a person mixes personal and business funds, often used to disguise theft or embezzlement.

Question 4

In financial fraud investigations, what does 'skimming' refer to?

Accepted Answer

Taking cash before it is recorded in the accounting system

Answer

Skimming is a form of fraud where cash is stolen before it enters the accounting system, making it difficult to detect through normal audits.

Question 5

What is a Suspicious Activity Report (SAR) in financial investigations?

Accepted Answer

A report filed by financial institutions when they suspect money laundering or fraud

Answer

SARs are mandatory reports filed by financial institutions with FinCEN when they detect potentially illegal financial activity, and are valuable tools for investigators.

(PCI) Professional Certified Investigator Practice Test

(PCI) Professional Certified Investigator Practice Test

PCI PCI Financial Investigation & Asset Recovery