[Q75-Q95] Get up-to-date Real Exam Questions for CFE-Law UPDATED [2025]

CFE-Law ACFE

admin -

August 8, 2025

Rate this post

Get up-to-date Real Exam Questions for CFE-Law UPDATED [2025]

Pass ACFE CFE-Law Exam in First Attempt Guaranteed

ACFE CFE-Law certification exam is a challenging and prestigious credential for professionals seeking to enhance their knowledge and skills in the field of fraud examination. Passing CFE-Law exam demonstrates a commitment to ethical and professional standards in the prevention, detection, and deterrence of fraud.

ACFE CFE-Law (Certified Fraud Examiner) Certification Exam is a highly respected certification that equips professionals with the knowledge and skills necessary to become experts in preventing and investigating fraud. Certified Fraud Examiner certification exam is administered by the Association of Certified Fraud Examiners and covers four main areas: Fraud Prevention and Deterrence, Financial Transactions and Fraud Schemes, Investigation, and Legal Elements of Fraud. Becoming a Certified Fraud Examiner-Law can lead to increased career opportunities and earning potential.

NEW QUESTION 75
Which of the following is an example of a trade-based money laundering scheme?

An importer and an exporter conspire to conceal illicit funds by creating invoices that understate the quantity of goods shipped internationally

An accountant overstates a restaurants revenues to hide illegal funds that are secretly laundered through the business

A drug cartel outside of the United States launders illicit funds by hiring runners to deposit small amounts of money in bank accounts throughout the United States

A businessperson deposits illicit funds into the bank account of a company they secretly own which then lends the funds back to them

NEW QUESTION 76
Which of the following statements concerning civil trials in common law jurisdictions is MOST ACCURATE?

Civil jury trials must have the same number of jurors as in criminal jury trials.

Neither side may appeal an adverse judgment in a civil case

Jury verdicts m civil trials must always be unanimous

in most civil cases, the standard of proof is the preponderance of the evidence

This question tests your knowledge of Domain 1.
In the context of Overview of the Legal System, specifically relating to criminal, civil, common law, the question asks about MOST ACCURATE, civil trials in common law jurisdictions is MOST ACCURATE.
The correct answer is C: Jury verdicts m civil trials must always be unanimous.
This question relates to the legal system framework. Understanding the distinction between different legal systems and processes is crucial for fraud examiners. The correct answer accurately describes the relationship between different legal entities and their jurisdictions.

NEW QUESTION 77
Which of the following is a method of disguising money acquired from illegal sources by recording more income on a business’s books than the business actually generates?

Overstating revenues

Reporting real estate purchases

Recording but not depositing revenue

None of the above

This question tests your knowledge of Uncategorized.
the question asks about the core concepts in this area.
The correct answer is A: Overstating revenues.
This question tests your understanding of key fraud examination concepts and legal principles.

NEW QUESTION 78
Which of the following is a requirement of the European Union’s (EU) General Data Protection Regulation (GDPR)?

An organization must obtain a data subject’s consent before collecting or processing personal data about that individual.

An organization must refrain from confirming or denying whether it is in possession of a data subject’s personal data even if the data subject requests this information.

An organization must provide a data subject’s personal data upon that individual’s request for a reasonable fee.

An organization must notify all affected data subjects within six months when a data breach occurs that is likely to result in a high risk to their rights and freedoms.

This question tests your knowledge of Domain 7.
In the context of Individual Rights During Examinations, specifically relating to GDPR, the question asks about EU, GDPR.
The correct answer is A: An organization must obtain a data subject’s consent before collecting or processing personal data about that individual..
This question relates to individual rights during examinations. The correct answer accurately describes the legal protections, obligations, or privacy considerations that apply in workplace investigations. Fraud examiners must balance investigative needs with legal protections for individuals.

NEW QUESTION 79
IBC Manufacturing is a private company in a jurisdiction in which the public has the legal right to be free from unreasonable search and seizure by government authorities. An investigator at IBC searches the desk of Denise an IBC employee and finds illegal narcotics. The investigator seizes the narcotics and turns them over to members of law enforcement. The investigator violated Denises rights by failing to obtain a search warrant before conducting the search

True

False

This question tests your knowledge of Domain 7.
In the context of Individual Rights During Examinations, specifically relating to employee, the question asks about IBC.
The correct answer is A: True.
This question relates to individual rights during examinations. The correct answer accurately describes the legal protections, obligations, or privacy considerations that apply in workplace investigations. Fraud examiners must balance investigative needs with legal protections for individuals.

NEW QUESTION 80
IBC Manufacturing is a private company in a jurisdiction in which the public has the legal right to be free from unreasonable search and seizure by government authorities. An investigator at IBC searches the desk of Denise an IBC employee and finds illegal narcotics. The investigator seizes the narcotics and turns them over to members of law enforcement. The investigator violated Denises rights by failing to obtain a search warrant before conducting the search

True

False

NEW QUESTION 81
The Financial Action Task Force (FATF) Recommendations slate that a financial institution s customer due diligence (COD) procedures should include continued monitoring of a customer’s business relationships and transactions.

True

False

This question tests your knowledge of Domain 5.
In the context of Money Laundering, specifically relating to FATF, the question asks about COD, FATF.
The correct answer is A: True.
This question addresses money laundering concepts. The correct answer correctly identifies the stage, method, or regulatory framework related to money laundering or anti-money laundering efforts. Understanding these processes is critical for fraud examiners working to detect and prevent financial crimes.

NEW QUESTION 82
A custodial arrest occurs when a law enforcement officer informs the suspect of their rights as a criminal defendant

True

False

This question tests your knowledge of Domain 1.
In the context of Overview of the Legal System, specifically relating to criminal, the question asks about the core concepts in this area.
The correct answer is A: True.
This question relates to the legal system framework. Understanding the distinction between different legal systems and processes is crucial for fraud examiners. The correct answer accurately describes the relationship between different legal entities and their jurisdictions.

NEW QUESTION 83
Ellis works for a business that filed for bankruptcy. The administrator presiding over the bankruptcy contacts Ellis and requests information regarding his employer’s financial affairs Assuming the administrator has all of the powers recommended in the World Bank Principles for Effective Insolvency and Creditor/Debtor Regimes (World Bank Principles) which of the following is TRUE?

The administrator may only seek information regarding the bus ness that filed bankruptcy if Ellis consents to providing it.

The administrator has no power to obtain the information under any circumstances

The administrator may compel Ellis to provide the information despite Ellis’s relationship to the business

The administrator may not obtain the information unless the business agrees in writing

This question tests your knowledge of Domain 3.
In the context of Bankruptcy Fraud, specifically relating to bankruptcy, administrator, the question asks about TRUE, his employer’s financial affairs Assuming the administrator has all of the powers recommended in the World Bank Principles for Effective Insolvency and Creditor/Debtor Regimes (World Bank Principles) which of the following is TRUE.
The correct answer is C: The administrator may compel Ellis to provide the information despite Ellis’s relationship to the business.
This question focuses on bankruptcy fraud concepts. The correct answer correctly identifies the relevant bankruptcy process, filing type, or fraud scheme. Understanding bankruptcy proceedings and the roles of various parties is essential for fraud examiners investigating these cases.

NEW QUESTION 84
Which of the following is NOT an element that must be proven to establish a penury offense?

The defendant made a false statement that was material

The defendant made a false statement white under oath.

The defendant made the statement with knowledge of its falsity

The defendant made a false statement in a court of law.

This question tests your knowledge of Uncategorized.
the question asks about NOT.
The correct answer is D: The defendant made a false statement in a court of law..
This question tests your understanding of key fraud examination concepts and legal principles.

NEW QUESTION 85
Allison works for a government contractor She informs the government that her employer has been submitting false claims to the government for payment Later it is discovered that Allison has misappropriated more than
$50,000 of her employer’s money Alison qualifies as a whistleblower entitled to anti-retaliation protection under the law because of her report to the government Which of the following statements about Allison is CORRECT?

Allison cannot be fired for misappropriating funds from her employer

Allison cannot be fired for any reason

Alison cannot be fired for informing the government of her employee’s fraud

None of the above

NEW QUESTION 86
Which of the following is an example of a trade-based money laundering scheme?

An importer and an exporter conspire to conceal illicit funds by creating invoices that understate the quantity of goods shipped internationally

An accountant overstates a restaurants revenues to hide illegal funds that are secretly laundered through the business

A drug cartel outside of the United States launders illicit funds by hiring runners to deposit small amounts of money in bank accounts throughout the United States

A businessperson deposits illicit funds into the bank account of a company they secretly own which then lends the funds back to them

This question tests your knowledge of Domain 5.
In the context of Money Laundering, specifically relating to money laundering, the question asks about the core concepts in this area.
The correct answer is A: An importer and an exporter conspire to conceal illicit funds by creating invoices that understate the quantity of goods shipped internationally.
This question addresses money laundering concepts. The correct answer correctly identifies the stage, method, or regulatory framework related to money laundering or anti-money laundering efforts. Understanding these processes is critical for fraud examiners working to detect and prevent financial crimes. Money laundering typically involves three stages: placement (introducing illegal funds into the financial system), layering (creating complex transactions to hide the source), and integration (returning the funds to the launderer in an apparently legitimate form).

NEW QUESTION 87
Which of the following statements about the appeals process in cranial cases is MOST ACCURATE?

In common law jurisdictions, appellate courts are generally not permitted to make their own factual determinations when reviewing a case

In civil law jurisdictions appellate courts are generally not permitted to make their own legal conclusions when reviewing a case

Appellate courts will usually hear an appeal even if the petition was not filed in a timely manner

Appellate courts will usually reverse a conviction even if the trial court’s error did not affect the outcome of the case

This question tests your knowledge of Domain 1.
In the context of Overview of the Legal System, specifically relating to civil, common law, the question asks about MOST ACCURATE, the appeals process in cranial cases is MOST ACCURATE.
The correct answer is A: In common law jurisdictions, appellate courts are generally not permitted to make their own factual determinations when reviewing a case.
This question relates to the legal system framework. Understanding the distinction between different legal systems and processes is crucial for fraud examiners. The correct answer accurately describes the relationship between different legal entities and their jurisdictions.

NEW QUESTION 88
The MOST COMMON bankruptcy fraud scheme is:

Forged filing

A planned bustcut

A credit card bustout

Concealment of assets

This question tests your knowledge of Domain 3.
In the context of Bankruptcy Fraud, specifically relating to bankruptcy, bustout, concealment of assets, the question asks about MOST COMMON.
The correct answer is D: Concealment of assets.
This question focuses on bankruptcy fraud concepts. The correct answer correctly identifies the relevant bankruptcy process, filing type, or fraud scheme. Understanding bankruptcy proceedings and the roles of various parties is essential for fraud examiners investigating these cases.

NEW QUESTION 89
Which of the following is a red flag that might be indicative of an entity operating a security business without the proper license or registration?

There are justified gaps in the work history of promoters at the entity.

The entity is known to have a history of regulatory problems.

There is a lack of customer complaints against the entity.

The entity’s website contains detailed background information.

This question tests your knowledge of Uncategorized.
the question asks about the core concepts in this area.
The correct answer is B: The entity is known to have a history of regulatory problems..
This question tests your understanding of key fraud examination concepts and legal principles.

NEW QUESTION 90
Tatiana is the chief executive officer (CEO) of Mattress World Warehouse, a retail mattress store that has been struggling financially A week before Mattress World Warehouse files for bankruptcy Tatiana sets ten mattresses to her husband at 80% below market value Which type of fraud scheme has Tatiana MOST LIKELY committed?

A fraudulent bankruptcy

A fraudulent conveyance

A planned bustout

A concealed transfer

This question tests your knowledge of Domain 3.
In the context of Bankruptcy Fraud, specifically relating to bankruptcy, bustout, the question asks about CEO, MOST LIKELY.
The correct answer is D: A concealed transfer.
This question focuses on bankruptcy fraud concepts. The correct answer correctly identifies the relevant bankruptcy process, filing type, or fraud scheme. Understanding bankruptcy proceedings and the roles of various parties is essential for fraud examiners investigating these cases.

NEW QUESTION 91
Which of the following can affect the rights that employees may have during an internal investigation?

Existence of fraud risk factors

Existence of violation red flags

Existence of interstate compacts

Existence of an employment contract

NEW QUESTION 92
The same customer comes into a casino each day and deposits a large amount of cash into an account but after very little gambling the customer withdraws the funds The casino employees suspect that the customer may be engaged in money laundering activity Assuming that the anti-money laundering (AML) regulations that govern the casino’s activities correspond to the Financial Action Task Force (FATF) Recommendations the casino:

May, but is not required to file a report of suspicious transactions related to possible money laundering with appropriate authorities

May not file a report of suspicious transactions related to potential criminal activity with appropriate authorities

Is required to file a report of suspicious transactions with appropriate authorities because the employees suspect money laundering violations

Is required to file a cash transaction report for possible criminal activity with appropriate authorities because cash was involved

This question tests your knowledge of Domain 5.
In the context of Money Laundering, specifically relating to money laundering, anti-money laundering, FATF, the question asks about FATF, AML.
The correct answer is C: Is required to file a report of suspicious transactions with appropriate authorities because the employees suspect money laundering violations.
This question addresses money laundering concepts. The correct answer correctly identifies the stage, method, or regulatory framework related to money laundering or anti-money laundering efforts. Understanding these processes is critical for fraud examiners working to detect and prevent financial crimes. Money laundering typically involves three stages: placement (introducing illegal funds into the financial system), layering (creating complex transactions to hide the source), and integration (returning the funds to the launderer in an apparently legitimate form).

NEW QUESTION 93
Tatiana is the chief executive officer (CEO) of Mattress World Warehouse, a retail mattress store that has been struggling financially A week before Mattress World Warehouse files for bankruptcy Tatiana sets ten mattresses to her husband at 80% below market value Which type of fraud scheme has Tatiana MOST LIKELY committed?

A fraudulent bankruptcy

A fraudulent conveyance

A planned bustout

A concealed transfer

NEW QUESTION 94
A company files a civil lawsuit against one of its directors for insider trading. At the end of the trial, a court orders the director to refrain from purchasing or obtaining the stock of a particular corporation. Which of the following BEST describes this type of remedy?

Punitive damages

Declaratory relief

Injunction

Monetary relief

This question tests your knowledge of Domain 1.
In the context of Overview of the Legal System, specifically relating to civil, the question asks about BEST.
The correct answer is C: Injunction.
This question relates to the legal system framework. Understanding the distinction between different legal systems and processes is crucial for fraud examiners. The correct answer accurately describes the relationship between different legal entities and their jurisdictions.

NEW QUESTION 95
The________________requires that an employee act solely in the best interest of their employer, free of any serf-dealing, conflicts of interest, or other abuse that results in a personal advantage

Duty of care

Duty of responsibility

Duty of employee trust

Duty of loyalty

This question tests your knowledge of Domain 7.
In the context of Individual Rights During Examinations, specifically relating to employee, the question asks about the core concepts in this area.
The correct answer is D: Duty of loyalty.
This question relates to individual rights during examinations. The correct answer accurately describes the legal protections, obligations, or privacy considerations that apply in workplace investigations. Fraud examiners must balance investigative needs with legal protections for individuals.

Loading …