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Worksheets

PRE-TEST

Total questions: 25

Worksheet time: 25mins

Name
Class
Date
1.

The three stage of money laundering are:

a)

Placement, Layering, Integration

b)

Deposit, Withdrawal, Investment

c)

Layering, Laundering, Deposit

d)

Remittance, Deposit, Withdrawal

2.

The Financial Intelligence Unit of the Philippines is:

a)

Financial System Integrity Department (FSID)

b)

Bangko Sentral ng Pilipinas (BSP)

c)

Anti-Money Laundering Council (AMLC)

d)

Securities and Exchange Commission (SEC)

3.

The three government agencies that supervise/regulate covered persons are:

a)

Sandiganbayan, Supreme Court, PNP

b)

AFP, COA, Ombudsman

c)

COA, Civil Service, BSP

d)

Insurance Commission, BSP, SEC

4.

International standards to combat money laundering and terrorist financing are issued by:

a)

Bangko Sentral ng Pilipinas

b)

Bank of International Settlements

c)

Financial Action Task Force

d)

Federal Reserve System

5.

A transaction in cash or other equivalent monetary instrument involving an amount in excess of P500,000 within one banking day is a:

a)

Suspicious Transaction

b)

Covered Transaction

c)

Substantial Transaction

d)

Currency Transaction

6.

When the client is not properly identified, the transaction is:

a)

Suspicious Transaction

b)

Covered Transaction

c)

Float Transaction

d)

Fictitious Transaction

7.

The Court of Appeals shall act on the application for Freeze Order within ______________ from filing.

a)

48 hours

b)

7 days

c)

3 days

d)

24 hours

8.

Freeze order is effective for a maximum of:

a)

6 months

b)

1 month

c)

3 months

d)

9 months

9.

The ________________________ is a technical unit in the Philippines that specializes in the assessment of the AML/CFT framework of Banks and Quasi-Banks.

a)

Anti-Money Laundering Council

b)

Financial System Integrity Department

c)

Department of Economic Research

d)

Integrated Supervision Department

10.

Statement 1: One of the functions of the Anti-Money Laundering Council is to require the submission of Covered Transaction Reports and Suspicious Transaction Reports.

Statement 2: One of the functions of the Financial System Integrity Department is to check compliance, in the course of periodic or special examination, of covered persons under its regulation and supervision.

a)

Both statements are TRUE

b)

Only Statement 1 is TRUE

c)

Only Statement 2 is TRUE

d)

Both statements are FALSE

11.

The Circular on AML/CFT rules for BSP supervised and regulated covered persons is:

a)

Circular No. 706 dated 5 January 2011

b)

Circular No. 1022 dated 26 November 2018

c)

Circular No. 950 dated 15 March 2017

d)

All of the above

12.

The __________________ is ultimately responsible for the AML/CFT compliance of BSP supervised and regulated covered persons.

a)

Board of Directors

b)

Senior Management

c)

Internal Auditor

d)

Compliance Officer

13.

Under existing AML/CFT regulations, the Money Laundering and Terrorist Financing Prevention Program (MTPP) should be updated at least ______________.

a)

Six months

b)

One month

c)

Annually

d)

Every two years

14.

_________________ are required to have an electronic monitoring and reporting system for AML/CFT.

a)

All Universal and Commercial Banks and such covered persons considered complex

b)

All covered persons considered complex

c)

All Thrift Banks

d)

All Rural Banks

15.

Under the rules, _______________ is one of the minimum information required for individual customers.

a)

Address

b)

TIN

c)

Civil Status

d)

Capacity to pay

16.

_________________ shall be maintained and safely stored as long as the account exists.

a)

Customer Identification Records

b)

Monthly Statements

c)

Transaction Records

d)

Suspicious Transaction Reports

17.

Covered persons shall designate at least ____________ officer(s) who will be responsible and accountable in the safekeeping of all records and documents required to be retained by the AMLA as amended.

a)

Two

b)

One

c)

Four

d)

Three

18.

As a general rule, no new accounts shall be created without _____________ and personal interview.

a)

Face-to-face contact

b)

Three valid IDs

c)

Personal reference

d)

Proof of billing

19.

Under the exception on third-party reliance, covered institutions shall obtain from the 3rd party a _____________________, containing certain requirements.

a)

Written sworn certification

b)

Service level agreement

c)

Referral statement

d)

Memorandum of understanding

20.

Under existing AML/CFT regulations in the Philippines, the three risk categories for types of customers are:

a)

Weak, Acceptable, Strong

b)

Risky, Vulnerable, Satisfactory

c)

Unacceptable, Fair, Acceptable

d)

Low, Normal, High

21.

The Composite AML Risk Rating System (ARRS) rating is assigned based on a numerical scale of _______.

a)

1 to 5

b)

1 to 4

c)

1 to 6

d)

1 to 3

22.

The ARRS Composite rating generally bears close relationship with the _________.

a)

Individual Component Ratings

b)

Corporate Governance Rating

c)

Compliance Rating

d)

Management Rating

23.

_____________________ is one of the components of the ARRS.

a)

Implementation

b)

Monitoring System

c)

Customer Screening

d)

Covered Transaction Reporting

24.

A composite rating of “2” will require submission of a BOD-approved _________________.

a)

Contract of Undertaking

b)

Memorandum of Understanding

c)

Letter of Commitment

d)

Written Action Plan

25.

Grossly inadequate is the adjectival rating of composite rating of “1”. A composite rating of “2” is also described as _____________.

a)

Vulnerable

b)

Satisfactory

c)

Strong

d)

Sound