Agency
In NJ, a licensee who knowingly participates in a transaction they suspect involves money laundering may be subject to:
AOnly a civil fine from the NJREC
BCriminal prosecution for money laundering, NJREC license revocation, and federal penalties under Bank Secrecy Act/FinCEN regulations✓ Correct
COnly a warning from the broker
DNo consequence if the commission was received lawfully
Explanation
Real estate transactions are a known vehicle for money laundering. A licensee who knowingly facilitates such a transaction faces serious criminal liability under NJ and federal law (BSA, 18 U.S.C. 1956), NJREC discipline, and potential FinCEN reporting violations.
Related New Jersey Agency Questions
- In NJ, a seller's agent who simultaneously represents a buyer in the same brokerage as a designated agent (not dual agent) owes to the seller:
- In NJ, a buyer's agent who also sells a property to their buyer and earns a commission from the seller must ensure:
- A NJ real estate agent who markets a property by describing it as 'in a great neighborhood for families' could be:
- A NJ buyer's agent accompanies their buyer to view a property and notices the seller has patched and painted over an apparent foundation crack. The agent should:
- A NJ seller's agent who discloses to the buyer that the seller must sell quickly due to financial hardship has violated the duty of:
- A New Jersey real estate agent who has completed all 12 topics in a comprehensive exam prep course has demonstrated understanding of which overarching principle that governs all licensed real estate activity in New Jersey?
- The New Jersey Consumer Information Statement (CIS) must be provided to a prospective buyer or seller:
- Under New Jersey law, the duty of 'obedience' in a fiduciary relationship requires the agent to:
Practice More New Jersey Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free New Jersey Quiz →