CAMS · Question #723
Which of the following statements best describes the role of the Board of Directors in overseeing an institution's AML governance and compliance framework, according to the Basel Committee on…
The correct answer is D. The Board of Directors should establish a compliance function and approve the bank's policies for. The Basel Committee on Banking Supervision (BCBS) sets global standards for bank governance and states that the Board of Directors plays a critical role in AML oversight. Option D (Correct): The Board is responsible for: Establishing and approving the AML compliance function…
Question
Which of the following statements best describes the role of the Board of Directors in overseeing an institution's AML governance and compliance framework, according to the Basel Committee on Banking Supervision?
Options
- AThe compliance function should report directly to the CEO concerning the bank's compliance with
- BThe compliance function must have sufficient authority, stature, independence, and resources to
- CThe Board of Directors should be responsible for overseeing the management of the bank's
- DThe Board of Directors should establish a compliance function and approve the bank's policies for
How the community answered
(35 responses)- A11% (4)
- B6% (2)
- C6% (2)
- D77% (27)
Explanation
The Basel Committee on Banking Supervision (BCBS) sets global standards for bank governance and states that the Board of Directors plays a critical role in AML oversight. Option D (Correct): The Board is responsible for: Establishing and approving the AML compliance function. Ensuring the compliance function has adequate authority and resources. Overseeing risk management efforts and policies.
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