CFE – Financial Transactions and Fraud Schemes — Question 70

Which of the following statements is MOST ACCURATE regarding the methods used for making corrupt payments in corruption schemes?

Answer options

• A. Payers cannot use their credit cards to make corrupt payments because of anti-money laundering rules.
• B. Payers often make corrupt payments by providing loans to recipients on favorable terms.
• C. Payers’ promises of favorable treatment are not considered corrupt payments under bribery laws.
• D. Payers often make corrupt payments by selling property to recipients at prices higher than the property’s market value.

Correct answer: D

Explanation

Option D is correct because selling property at inflated prices is a common method of facilitating corrupt payments. Option A is incorrect as credit cards can sometimes be used, although there are regulations; Option B is misleading since favorable loans may not always constitute corruption; and Option C is incorrect because promises of favorable treatment can indeed be classified as corrupt payments under bribery laws.