Topic 23 - Anti-Money Laundering Flashcards Preview

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Flashcards in Topic 23 - Anti-Money Laundering Deck (14)
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1
Q

What is money laundering

A

Filtering money from illegal activity into accounts so they appear legitimate

2
Q

What is the proceeds of crime act 2002

A

3 principle money laundering offences:

  • concealing criminal property (knowing)
  • arranging (involved in process)
  • acquiring, using or possessing (owning)
3
Q

How does the terrorism act 2000 relate to money laundering

A

The act mentions ‘the retention or control of a terrorist property‘ as an offence

4
Q

What are the money laundering regulations

A

It’s the key EU legalisation relating to money laundering.

5
Q

What is the third money laundering directive (2005)

A

It defines money laundering in detail and is a directive for EU legislation

6
Q

What is the fourth money laundering directive (2017)

A

In response to the (FATF) European Commission adopted a fourth directive. Aim was to strengthen the anti-money laundering regime

7
Q

What is the fifth money laundering directive (2020)

A

This was implemented to include additional entities such as virtual currency providers, art traders and estate agents acting as intermediaries for properties let at 10k PCM

8
Q

Acceptable form of identification

A
  • Passport
  • National identity card with photo
  • Driving license
  • Electoral roll
  • Recent council tax/utility bill
9
Q

What relation do credit reference agencies have to money laundering

A

They conduct the checks on behalf of the financial institutions, will leave a footprint

10
Q

What is the role of the FCA in money laundering

A

They require all authorised firms to have systems and controls in place to mitigate risk of financial crime including money laundering

11
Q

What is the joint money laundering steering group

A

Made up of leading UK trade associates, it’s aim is to promote good practice in countering money laundering

12
Q

What is the role of the money laundering reporting officer (MLRO)

A

Each firm must appoint a MLRO who’s responsible for coordinating the firms anti money laundering activities. Has to be a senior member

13
Q

What are the potential penalties for money laundering offences

A

Anyone convicted under the proceeds of crime act 2002 can face up to 14 years or/and an unlimited fine

14
Q

What is the bribery act 2010

A

An individual offering, promising or giving financial advantage to another to bring out improper performance