A compliance officer is looking to update an institutions private bank procedures. What should be included as recommended by the Wolfsberg AML Principles on Private Banking?

The correct answer is A. Approval of Politically Exposed Persons (PEPs) by at least one person other than the relationship. The bank's internal policies should indicate whether, for any one or more among these categories, Senior Management must approve entering into new relationships. Relationships with Politically Exposed Persons may only be entered into with the approval of Senior Management.

AML/CFT Compliance Programs

Question

Options

AApproval of Politically Exposed Persons (PEPs) by at least one person other than the relationship
BDedicated automated AML monitoring of client activity
CReview of client files annually if there are unusual transactions
DThe institution's senior management has primary responsibility for the relationship

How the community answered

(31 responses)

A
74% (23)
B
3% (1)
C
10% (3)
D
13% (4)

Explanation

The bank's internal policies should indicate whether, for any one or more among these categories, Senior Management must approve entering into new relationships. Relationships with Politically Exposed Persons may only be entered into with the approval of Senior Management.

Topics

#Wolfsberg Principles#private banking#PEP approval#due diligence procedures

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