CAMS · Question #112
A high-volume dealer of precious metals and stones in a high-risk jurisdiction is approached by a new customer interested in selling gold worth $200,000. The customer was referred by a longtime family
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Question
A high-volume dealer of precious metals and stones in a high-risk jurisdiction is approached by a new customer interested in selling gold worth $200,000. The customer was referred by a longtime family friend of the dealer and provides no indication of background or business purpose for the sale. The dealer agrees to make the purchase based solely on the reference. What is the money laundering red flag?
Options
- AThe customer was referred by a longtime friend of the dealer
- BThe precious metals dealer is operating in a high-risk jurisdiction
- CA new customer is selling gold worth $200,000 to a high volume dealer
- DThe customer provides no background information or business purpose for the transaction
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