ACCA Applied Knowledge · Business and Technology · Regulation and financial crime
Which of the following is the standard offence of failing to act when money laundering is suspected, as applied to a professional accountant?
The offence is failing to report knowledge or suspicion of money laundering obtained during professional work. Accountants must pass such concerns to the firm's nominated officer or the authorities; reporting, doing due diligence or declining risky clients are proper actions, not offences.
- ANot reporting knowledge or suspicion of money laundering gained in the course of business to the nominated officer or authorityCorrect
- BReporting a suspicion to the nominated officer
- CRefusing to accept a client with a high risk profile
- DCarrying out customer due diligence on a new client
Explanation
Professionals in the regulated sector commit an offence if they fail to report knowledge or suspicion, or reasonable grounds for it, arising in the course of business. Reporting, performing due diligence and declining high-risk clients are lawful and expected steps, not offences.
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