ICAEW ARF · Chapter 11 · Question 3 of 10
A criminal deposits cash from drug dealing into several bank accounts in small amounts. Which stage of money laundering does this illustrate?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) Placement
Explanation
Placement is the initial stage, where criminal proceeds, often cash, are introduced into the financial system. Layering involves complex transactions to hide the source of the funds, and integration is when the funds re-enter the legitimate economy appearing clean.
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