Online Access Free CGSS Exam Questions

Which are considered essential elements in a sanctions compliance program? (Select Three.)

• A.Loss prevention
• B.Senior management commitment to the program
• C.De-centralized compliance functions
• D.Testing and auditing
• E.Training
• F.Politically exposed persons identification

A bank is offering a credit line for a trade transaction to a commercial client that is based in a country that shares its border with a sanctioned country. To which should a financial institution apply enhanced due diligence? (Select Two.)

• A.The ultimate beneficial owners of the exporter and importer.
• B.The commercial terms of the credit to ensure the terms are not prohibited under Sectoral Sanctions' extension of debit or credit arrangements.
• C.Public domain searches of the client to confirm the client's industry.
• D.The pricing of the goods to see if they are reasonably in line with market value, determined through publicly available sources.
• E.The shipment details because there are countries subject to international sanctions in the client's region.

An EU and US-based retail company sells various goods globally. What product may pose export sanctions violations for the company?

• A.Textbooks
• B.Toys
• C.Cigars
• D.Art reproductions

Those in the virtual currency industry are required to prevent sanctioned persons from exploiting virtual currency to undermine US foreign policy and national security interests. Which internal controls are most appropriate?

• A.Sanctions screening, internal staff training, keyword screening, batch screening of vendors
• B.Sanctions screening, IP blocking, keyword screening, review end-user agreement
• C.Sanctions screening, internal staff training, batch screening of employees, insert restrictions on emails
• D.IP blocking, downsizing compliance staff, keyword screening, updating end-user agreement

An entity not listed by the Office of Foreign Assets Control is attempting to open a bank account in the US. During the screening process, an employee learns that the entity's ownership exceeds the 50% aggregate Specially Designated National ownership threshold. How should the employee proceed?

• A.Authorize the account opening as this entity is not considered to be restricted.
• B.Reject or decline the account opening and add the entity name to the internal watch list to avoid further business activity.
• C.Obtain senior management approval to proceed with the account opening.
• D.Request that the customer alters the ownership percentage to enable them to open the account.