What is the intentional evasion of a reporting or recordkeeping requirement?

The correct answer is D. Structuring. Structuring is the intentional evasion of a reporting or recordkeeping requirement by breaking down a large transaction into smaller ones, or by using multiple accounts, institutions, or persons to avoid triggering the threshold for reporting or recordkeeping. Structuring is…

Risks and Methods of Money Laundering and Terrorist Financing

Question

Options

AMoney laundering
BLayering
CPlacement
DStructuring

How the community answered

(47 responses)

A
15% (7)
B
4% (2)
C
9% (4)
D
72% (34)

Explanation

Structuring is the intentional evasion of a reporting or recordkeeping requirement by breaking down a large transaction into smaller ones, or by using multiple accounts, institutions, or persons to avoid triggering the threshold for reporting or recordkeeping. Structuring is also known as smurfing, and it is a common technique used by money launderers to conceal the source, ownership, or control of illicit funds.

Topics

#structuring#smurfing#reporting evasion#recordkeeping

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