Certified Anti-Money Laundering Specialist Certification (CAMS) Practice Exam

What action should countries take regarding requests from foreign countries about property related to money laundering?

1. Conduct detailed public hearings

2. Take expeditious action to identify, freeze, seize, and confiscate the property

3. Report to the United Nations for sanctions

4. Engage in long negotiations over evidence

The correct answer is: Take expeditious action to identify, freeze, seize, and confiscate the property

The appropriate action for countries to take in response to requests from foreign countries concerning property linked to money laundering is to take expeditious steps to identify, freeze, seize, and confiscate the property. This approach aligns with international best practices and legal obligations under frameworks such as the United Nations Convention Against Transnational Organized Crime and the Financial Action Task Force (FATF) recommendations. By acting promptly to freeze or seize assets, countries not only fulfill their responsibilities in the global fight against money laundering but also help prevent the continuation of illicit activities. Swift action can impede the financial networks that support criminal enterprises and ensure that stolen or laundered funds are not available for further use in illegal activities. Additionally, the quick identification and confiscation of assets serve as a deterrent to future offenses, reinforcing the integrity of the financial systems involved. In contrast, lengthy public hearings, negotiations, or reporting solely to the United Nations would delay necessary actions and potentially allow for the dissipation of those assets, undermining the effectiveness of anti-money laundering measures.