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CGSS Practice Questions

Certified Global Sanctions Specialist (ACAMS CGSS)

Last Update 4 days ago
Total Questions : 101

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Question # 11

Economic sanctions are used as a foreign policy tool. UN sanctions are imposed:

Options:

A.  

by a single country against a targeted entity or a bloc of nations.

B.  

to call upon Member States to affect UN decisions.

C.  

to maintain international peace, security, and stability.

D.  

to freeze assets, and offenders may be barred from entering the territories of Member States.

Discussion 0
Question # 12

Which technology may enhance an organization's screening of potential customers and transactions against sanctions lists to eliminate the risk of doing business with sanctioned parties?

Options:

A.  

Cryptocurrency mining software

B.  

Artificial intelligence

C.  

Anonymizing tools

D.  

Tuning

Discussion 0
Question # 13

A person designated by the Office of Foreign Assets Control (OFAC) as a Specially Designated National (SDN) sets up a company in a tax haven country to receive income from a consultancy business. Which is correct with respect to the company?

Options:

A.  

It cannot transact through a US Bank, as it is owned by an SDN.

B.  

It cannot be sanctioned by OFAC because it is set up in a tax haven country.

C.  

It can transact freely in USD through a bank account held with a non-US Bank.

D.  

It is not subject to OFAC sanctions

Discussion 0
Question # 14

An EU and US-based retail company sells various goods globally. What product may pose export sanctions violations for the company?

Options:

A.  

Textbooks

B.  

Cigars

C.  

Toys

D.  

Art reproductions

Discussion 0
Question # 15

What makes UN sanctions more difficult to enact? (Select Two.)

Options:

A.  

UN sanctions are multilateral and require consensus among different nations.

B.  

The UN uses sanctions to intervene in the domestic affairs of various states.

C.  

UN sanctions are measures that can threaten international peace and security.

D.  

UN sanctions are autonomous and therefore ineffective.

E.  

All permanent UN Security Council members must vote in favor of sanctions.

Discussion 0
Question # 16

Fuzzy logic uses several common algorithms, including:

Options:

A.  

inequalities lists.

B.  

big data.

C.  

phonetics.

D.  

whitelists.

Discussion 0
Question # 17

A sanctions officer is reviewing a report showing increased activity at an international branch with a large population of expatriates from a newly sanctioned jurisdiction. Which are red flags for identifying clients with increased sanctions or AML risk? (Select Two.)

Options:

A.  

Publicly traded corporate vehicles

B.  

Privately held companies conducting international wire transfers through institutions distinct from company registration

C.  

New accounts that are experiencing a sudden rise in value being transferred to the institution from higher risk countries without clear business rationale

D.  

Established accounts that send or receive funds from non-sanctioned institutions or institutions active on SWIFT

E.  

Regulated entities with a clear web presence with a verifiable business background

Discussion 0
Question # 18

According to the Office of Foreign Assets Control (OFAC), USD can be used in transactions with Cuba when the transaction involves:

Options:

A.  

US companies.

B.  

certain circumstances allowed by OFA

C.  

C.  

both Cuba and other countries as well.

D.  

specific companies.

Discussion 0
Question # 19

According to the Wolfsberg Guidance, the most important factor a financial institution should take into consideration for developing an in-house sanctions screening system is:

Options:

A.  

data quality.

B.  

geographical presence.

C.  

risk appetite.

D.  

information technology capabilities.

Discussion 0
Question # 20

What is the first step a sanctions compliance officer should take when a sham divestment is suspected?

Options:

A.  

Inform management about the customer.

B.  

Terminate the relationship with the customer.

C.  

Report the case to relevant authorities and wait for instructions.

D.  

Perform sufficient due diligence to confirm organizational restructuring occurred.

Discussion 0
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