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ACAMS Practice Set – 1 Test With Correct Questions And Answers . Which two activities are typically associated with the black market peso exchange (BMPE)  money laundering system? A. Converting illicit drug proceeds from dollars or Euros to Colombian pesos. B. Converting illicit drug proceeds from Colombian pesos to dollars or Euros. C. Facilitating purchases by Colombian importers of goods manufactured in the United  States or Europe through peso brokers. D. Facilitating purchases by European or U.S. importers of goods manufactured in Colombia  through peso brokers. - A C . What is the Right of Reciprocity in the field of international cooperation against money  laundering? A. The legal principle that financial institutions that have referred customers to other  financial institutions can share information about these customers with the other  institutions. B. A rule of the Basel Committee allowing properly regulated financial institutes of another  member state of the Basel Committee to do business without additional supervision to the  degree that the other state grants the same right. C. The right of each FATF member country to delegate prosecution of a case of money  laundering to another member that is already investigating the same case. D. A rule in the law of a country allowing its authorities to cooperate with authorities of  other countries to the degree that their law allows them to do the same. 3 - D The greatest risk for money laundering is for casinos that A. Provide their customers with a wide array of gambling services. B. Operate in a non-Egmont member country. C. Allow customers with credit balances to withdraw funds by check in another jurisdiction. D. Only send suspicious transaction reports to the financial intelligence unit of the country it  operates in. - C 8. Which statement is true regarding the risk of Politically Exposed Persons (PEPs)? A. PEPs provide access to third parties on whom the financial institution has not conducted  sufficient due diligence. B. PEPs have significantly greater exposure to the politically corrupt funds, including  accepting bribes or misappropriating government funds. C. PEPs are foreign customers who inherently present additional risk as they are engaged in  cross-border transactions. D. PEPs generally do not pose enhanced risks to an institution due to their political standing;  rather, PEPs increase the prestige of an institution. - B Dirty money, derived from criminal activities of Belgian Criminal A, is sent to a foreign bank  account of Corporation B. Then in Belgium, a new investment Company C is incorporated.  Criminal A is appointed as a director of Company C. Company C borrows money from the  foreign Company B and buys real estate in Belgium. The real estate is rented to third  parties. Director (Criminal) A also rents an apartment in the building. With the funds  generated by the rent, Company C pays off the loan to Corporation B, and the salary of  Director A. Criminal A now converted his dirty money in legal funds. This laundering method is commonly referred to as what? A. Offsetting real estate transactions. B. Loan back. C. Cuckoo smurfing. D. Loan manipulation - B