CAMS · Question #718
Which of the following indicates potential money laundering activity by a lawyer?
The correct answer is A. A lawyer's trust account regularly receives wire transfers from unknown remitters from a higher-. Lawyers and legal professionals are frequently used in money laundering schemes, particularly through trust accounts that offer anonymity and client privilege protections. Option A (Correct): Repeated wire transfers from unknown sources followed by immediate outward transfers…
Question
Which of the following indicates potential money laundering activity by a lawyer?
Options
- AA lawyer's trust account regularly receives wire transfers from unknown remitters from a higher-
- BA lawyer located in a higher-risk country deposits their firm's bank draft issued from their trust
- CA lawyer's trust account receives a large-value wire transfer from a regulated insurance company
- DA lawyer's trust account receives a large wire transfer deposit from a client that wanted to
How the community answered
(68 responses)- A79% (54)
- B12% (8)
- C6% (4)
- D3% (2)
Explanation
Lawyers and legal professionals are frequently used in money laundering schemes, particularly through trust accounts that offer anonymity and client privilege protections. Option A (Correct): Repeated wire transfers from unknown sources followed by immediate outward transfers suggest that the lawyer's trust account is being used as a pass-through account for laundering funds.
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