PCI Background Investigation Procedures 3 — Questions and Answers
Question 1: A subject claims to hold a professional license. Which of the following is the MOST authoritative method to verify this claim?
- Reviewing a photocopy of the license provided by the subject
- Checking the issuing state licensing board's official public database (Correct answer)
- Contacting a colleague who works in the same profession
- Searching internet news archives for the subject's name
Correct answer: Checking the issuing state licensing board's official public database
State licensing board databases are primary, authoritative sources that confirm current license status, issue date, and any disciplinary actions.
Question 2: The legal doctrine of 'negligent hiring' holds that an employer may be liable when:
- An employee is injured on the job due to unsafe conditions
- An employer fails to conduct any background check on a new hire who later harms a third party
- A background investigation reveals disqualifying information that the employer ignores
- Both B and C (Correct answer)
Correct answer: Both B and C
Negligent hiring liability can arise both from failing to conduct a background check and from disregarding disqualifying findings, as both reflect a failure of reasonable care.
Question 3: In the context of background investigations, 'red flag' information is BEST described as:
- Any criminal conviction in the subject's history
- Discrepancies or indicators that warrant additional investigation or explanation (Correct answer)
- Information obtained from unofficial sources only
- Any negative reference from a former employer
Correct answer: Discrepancies or indicators that warrant additional investigation or explanation
Red flags are discrepancies, inconsistencies, or indicators that suggest the need for deeper inquiry rather than definitive disqualifying facts.
Question 4: When a background investigation involves a subject who has lived in multiple states, which approach is MOST thorough for criminal history checks?
- Running only a federal criminal database search
- Searching only the state where the subject currently resides
- Conducting county-level searches in every jurisdiction where the subject has lived (Correct answer)
- Relying solely on the national sex offender registry
Correct answer: Conducting county-level searches in every jurisdiction where the subject has lived
County-level criminal searches in each jurisdiction of residence are most thorough because national databases are incomplete and many records exist only at the county level.
Question 5: An investigator is asked to verify a subject's military service. The BEST primary source for this information is:
- The subject's DD-214 form combined with verification through the National Personnel Records Center (Correct answer)
- A letter from a fellow veteran who served with the subject
- The subject's service medals and awards
- An internet search for the subject's unit history
Correct answer: The subject's DD-214 form combined with verification through the National Personnel Records Center
The DD-214 is the official separation document, and the National Personnel Records Center provides authoritative verification of military service records.
Question 6: Which of the following practices BEST protects the integrity of a background investigation file?
- Storing all records in a shared drive accessible to all employees
- Maintaining a clear chain of custody and audit trail for all documents obtained (Correct answer)
- Summarizing source documents verbally rather than retaining copies
- Allowing the subject access to the complete file before the report is finalized
Correct answer: Maintaining a clear chain of custody and audit trail for all documents obtained
A documented chain of custody and audit trail ensures the integrity, authenticity, and legal defensibility of investigation records.
Question 7: Which of the following is NOT a permissible purpose under the FCRA for obtaining a consumer report?
- Employment purposes with the consumer's written consent
- Tenant screening for a rental property
- Satisfying personal curiosity about a neighbor (Correct answer)
- Underwriting for insurance purposes
Correct answer: Satisfying personal curiosity about a neighbor
Personal curiosity is not a permissible purpose under the FCRA; consumer reports may only be obtained for specific legally recognized uses.
PCI Background Investigation Procedures 3
A subject claims to hold a professional license.
Which of the following is the MOST authoritative method to verify this claim?