13 Questions
What is the main goal of money laundering?
To disguise the source of funds
What activities can lead to money laundering?
Illegal arms sales and narcotics trafficking
What role does the Financial Action Task Force (FATF) play in combating money laundering?
Setting standards and fostering international action against money laundering
How does money laundering help criminals achieve their goals?
By disguising the source of funds
What is the purpose of disguising the source of funds in money laundering?
To make dirty money look clean
What are some criminal activities that lead to money laundering?
Embezzlement, insider trading, and computer fraud schemes
What does the Palermo Convention define as money laundering?
The conversion or transfer of property, knowing it is derived from a criminal offense
What is an important prerequisite in the definition of money laundering?
Knowledge
What do FATF’s 40 Recommendations on Money Laundering and Terrorist Financing state about proving the offense of money laundering?
The intent and knowledge required to prove the offense includes the concept that such a mental state may be inferred from objective factual circumstances
What legal principle do several jurisdictions use in money laundering cases to prove knowledge?
Wilful blindness
What did FATF expand its mandate to address after the events on September 11, 2001?
Terrorist financing (CFT)
What can both terrorists and money launderers use to move their money in ways to avoid detection?
Structuring payments to avoid reporting and use of underground banking or value transfer systems
What distinguishes terrorist financing from funds destined for money laundering?
Terrorist financing involves perfectly legitimate funds
Test your knowledge about the risks and methods of money laundering and terrorist financing with this quiz. Learn about the process of making dirty money look clean and the implications of criminal proceeds in financial crimes.
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