Legislations & Regulations

Question 1

other important regulations impacting Dealing Representatives are…..

Answer 1

*Anti-Money Laundering (AML)
*Privacy (PIPEDA)
*The Do Not Call List (DNCL)

Question 2

AML, PEPEDA, & DNCL impact ………,………., and……….

Answer 2

*how to interact with your clients
*what kind of information to collect
*certain reporting requirements

Question 3

………… provides Dealing Representatives with more detailed information and their responsibilities

Answer 3

compliance department

Question 4

PCMLTFA is the abbreviation of ………

Answer 4

proceeds of crime (money laundering) and terrorist financing act

Question 5

what is PCMLFTA?

Answer 5

it’s an act to combat the laundering of money and financing of terrorist activities

Question 6

PCMLFTA is a ………

Answer 6

legislation

Question 7

why is PCMLTFA is introduced?

Answer 7

*to help detect and deter the money laundering and financing of terrorist activities
*to provide law enforcement officials with tools to investigate and prosecute money laundering and financing of terrorist activities
*response to Canada’s International commitments, participate in fighting against multinational crime

Question 8

PIPEDA implements ……… and ………… for ………….. which are being used for money laundering and financing of terrorist activities.

Answer 8

reporting
other requirements
entities susceptible

Question 9

The entities susceptible includes…..

Answer 9

*financial entities
*life insurer
*money services businesses
*business related with real estate
*securities dealers
*those dealing with precious stones/metal, or casinos

Question 10

FINTRAC is the abbreviation of …….

Answer 10

Financial interactions and reporting analysis centre of Canada

Question 11

FINTRAC is a …………

Answer 11

Canada’s financial intelligence unit

Question 12

FINTRAC …..,……, and ……….to detect and deter money laundering and financing of terrorist activities

Answer 12

collects
analyzes
disclose the information

Question 13

FINTRAC mission is to help in ………., and ………..

Answer 13

public safety
integrity of Canada’s financial system

Question 14

What is money laundering?

Answer 14

Money laundering is any act intended to disguise the source of money, derived from criminal activities outside or inside of Canada

Question 15

process of money laundering is as follows. Dirty money is transformed into ……….. by making its …………………, and integrating it into …………..
when the money enters the financial system. it is usually kept in …………. and used to buy …………

Answer 15

clean money
criminal origin hard to trace
legitimate economy
cash accounts
securities

Question 16

terrorist financing ………. terrorist activities

Answer 16

funds

Question 17

terrorist groups try to ………. the link of …………

Answer 17

obscure
funding sources

Question 18

main primary source of financing of terrorist activities are ………

Answer 18

*countries, organizations, individuals
*revenue-generated activities

Question 19

main responsibilities of Dealing representative under PCMLTFA are to …….

Answer 19

*record-keeping
*confirm client’s identity
*identify politically exposed foreign person
*report to FINTRAC

Question 20

As a Dealing Representative, you must ………your dealer of ……… and ………………. and other …………
Then, the dealer must report ………. to ………

Answer 20

advise
completed and attempted suspicious transactions
other financial transactions
suspicious transactions
FINTRAC

Question 21

FINTRAC provides guidelines of ………….. and provides instructions of …………..

Answer 21

how to file reports
when to file reports

Question 22

Investment ………., ………. managers, …….. dealers must keep these records:

Answer 22

counselor
portfolio
securities
*large cash transaction records, cash transactions of $10,000 or more
*account-related records, account opening records and clients statements
*other records, records designated by your compliance departments such as the records of suspicious transactions

Question 23

Records must be presented to FINTRAC within ……………. of request to ……. them

Answer 23

30 days
examine

Question 24

who must confirm the client’s identity?

Answer 24

Dealing Representatives and their employer

Question 25

when the client’s identity must be confirmed?

Answer 25

*when a client conducts a large cash transaction if you can’t recognize a client
*when a client conducts or attempt to conduct a suspicious transaction
*opening non-registered accounts
*when an individuals is authorized to give instruction for the account about which you should keep record

Question 26

the individuals identity can be confirmed through …….

Answer 26

*his/her north certification
*passport
*record of landing
*social security number
*driver’s license
*old age security card
*permanent resident card
*provincial identification card
*certificate of Indian status
*other certificates

Question 27

the documents for identification purposes can be …….. or …………

Answer 27

Canadians
foreign equivalents

Question 28

In …….., ………, and …….., health card are not allowed to be used for identification purposes

Answer 28

Ontario
Manitoba
PEI

Question 29

In ……… you are not allowed to ask client’s health card for identification purposes, unless they volunteers to use it for identification purposes

Answer 29

Quebec

Question 30

At the time of opening the account, if you can identify clients, you may ……………, but you are not allowed to …………….. till when the client identity can be confirmed

Answer 30

accept initial deposit
carry out any further transactions

Question 31

If a client is …….. or ……… to provide …….. information for identification purposes, you must ……….

Answer 31

evasive
unwilling
adequate
inform your compliance department

Question 32

you are considered politically exposed foreign person, if you or your immediate family hold/held these positions:

Answer 32

*head of state or government
*deputy minister
*military general
*president or leader of political party in a legislator
*president of state-owned bank or organization
*head of government agency
*ambassador or ambassador of attache or counsellor
*member of an executive council or legislator
*judge