Treasury Enforcement Agent Exam Case Studies & Practical Application 2

Question 1

An IRS-CI agent receives a tip that a restaurant owner deposits exactly $9,800 in cash each week despite reported revenues far exceeding that amount. What crime is most likely indicated?

Accepted Answer

Structuring to avoid Currency Transaction Report requirements

Answer

Deliberately keeping cash deposits just below the $10,000 CTR threshold is called structuring, a federal crime under 31 U.S.C. § 5324.

Question 2

During a financial investigation, an agent discovers that a suspect wired $50,000 to a foreign account the day after a search warrant was issued but not yet executed. This action most likely constitutes:

Accepted Answer

Obstruction of justice and potential money laundering

Answer

Moving assets after learning of a federal investigation can constitute obstruction of justice and potentially money laundering to conceal proceeds.

Question 3

A TEA agent is analyzing bank records and finds 47 cash deposits of $9,500 over six months from different branches of the same bank. The BEST initial investigative step is to:

Accepted Answer

Subpoena all deposits and cross-reference with FinCEN Suspicious Activity Reports

Answer

Subpoenaing records and checking FinCEN SARs provides a legal foundation and may reveal a pattern of structuring across multiple financial institutions.

Question 4

A confidential informant tells an agent that a known drug trafficker is using a car wash to launder money. Before acting on this tip, the agent should FIRST:

Accepted Answer

Corroborate the tip through independent financial records and surveillance

Answer

Informant tips must be independently corroborated before any enforcement action to ensure probable cause and protect against entrapment challenges.

Question 5

During an undercover operation, a Treasury agent is offered a $20,000 bribe by a target to drop the investigation. The agent should:

Accepted Answer

Refuse, document the attempt immediately, and report to a supervisor

Answer

Accepting a bribe is illegal; agents must refuse, immediately document the attempt, and report it as the bribe itself is additional criminal evidence.

Treasury Enforcement Agent Exam Practice Test

Treasury Enforcement Agent Exam Practice Test

Treasury Enforcement Agent Exam Case Studies & Practical Application 2