Q76: To minimize the risk of "Money Mules," banks must strictly adhere to instructions on opening accounts. If an account is established to be a Money Mule account, but the bank failed to file a Suspicious Transaction Report (STR), what is the consequence?

The bank is fined ₹50,000 per account.

The bank is deemed to have not complied with the KYC Directions.

The account is frozen for 30 days.

The branch license is revoked.

✅ Correct Answer: B

If a Money Mule account is established and no STR was filed, the bank shall be deemed to have not complied with the KYC Directions.

This reinforces the importance of STRs in the IIBF AML KYC Exam 2026.

Bank Promotion Exam Guide