According to the Anti-Money Laundering Specialist (the 6th edition) study guide, individuals who violate anti- money laundering laws can face severe consequences, such as imprisonment, fines, asset forfeiture, and sanctions. These penalties can apply not only to the perpetrators of money laundering, but also to the employees, managers, directors, and officers of financial institutions or other entities that fail to comply with their anti-money laundering obligations. Therefore, violations of anti-money laundering laws can pose a significant risk to individuals, both personally and professionally.
Anti-Money Laundering Specialist (the 6th edition) study guide, page 9
ACAMS website, section on CAMS certification
Money Laundering website, article on "The Consequences of Non-Compliance with Anti-Money Laundering Laws"

OFAC sanctions apply extraterritoriallyto ensureU.S. financial and economic interests are protected.
Option A (Correct):U.S. citizensmust comply with OFAC sanctionsregardless of where they are located.
Option D (Correct):U.S.-incorporated entities and their foreign branchesare required to followOFAC restrictions.
Option E (Correct):Permanent U.S. resident aliensare subject toOFAC complianceeven outside the U.S.
Option B (Incorrect):Non-U.S. financial institutionsare notdirectly subject to OFACunless they have aU.S.
presenceordeal in USD transactions.
Option C (Incorrect):Selling U.S.-origin goods does not automatically subject merchants to OFAC laws, unless they are in asanctioned jurisdiction.
Reference:OFAC Regulations, U.S. Treasury Guidance on Sanctions Compliance, USA PATRIOT Act Section 311.

Application Programming Interfaces (APIs)are tools that enableinterconnectivity and data exchangebetween different software applications. In AML contexts, APIs are commonly used tointegrate third-party systems, such as screening tools, customer databases, and transaction monitoring platforms, ensuring real-time and accurate flow of information.
This technological capability supports enhancedautomation, agility, and efficiencyin AML processes.
Reference: ACAMS CAMS Study Guide - 6th Edition, Chapter:Technology and AML- Section:Emerging Technologies and APIs in Compliance

A personal banking customer who simultaneously opens several accounts with almost identical names will most likely cause further inquiry, as this could indicate an attempt to evade transaction monitoring, reporting, or identification requirements. For example, a customer could open accounts with slight variations of their name, such as John Smith, Jon Smith, J. Smith, or John Smyth, to avoid detection or aggregation of their transactions. This could also be a sign of identity theft, fraud, or money muling. Therefore, the bank should verify the customer's identity and the purpose of the accounts, and monitor the activity for any suspicious patterns or behaviors.
ACAMS CAMS Certification Study Guide, 6th Edition, Chapter 4, Section 4.2.2, p. 1051 ACAMS CAMS Certification Exam Outline, 6th Edition, Domain 2, Task 2.1, p. 52 FATF Guidance on the Risk-Based Approach for the Banking Sector, October 2014, p. 353