1. An STR (Suspicious Transaction Report) must be filed with FIU-IND within how many days of arriving at a conclusion that a transaction is suspicious?
7 days
3 days
30 days
15 days
Explanation:
While CTRs are filed monthly (by 15th), STRs must be filed within 7 working days of the bank's Principal Officer determining that a transaction is suspicious.
2. If a customer attempts to open an account but refuses to provide the required KYC documents, the bank should:
Charge a penalty and open the account.
Refuse to open the account and consider filing a Suspicious Transaction Report (STR).
Open the account and give 3 months to submit documents.
Open the account but restrict transactions.
Explanation:
RBI Guidelines are strict: No account can be opened without proper KYC ("No KYC, No Account"). Furthermore, refusal to provide standard information or non-cooperation is a red flag for potential money laundering, warranting the bank to consider filing an STR with FIU-IND.