"Bank Exemptions for Companies with Large Cash Deposits"

D

The answer to the question is D. Yes, the bank can exempt this company now. The reason is that the bank conducted due diligence on the customer before opening the account, and it determined that the customer had legitimate large cash transactions.

The bank's due diligence process is a crucial step in preventing money laundering and terrorist financing. This process includes verifying the identity of the customer, understanding the nature of the customer's business, and assessing the risk that the customer may pose to the bank. In this case, the bank performed a background check on the customer before opening the account, which suggests that it followed its due diligence procedures.

Moreover, the fact that the company informed the bank that it would regularly make deposits in excess of $10,000 and that it operates several laundromats in the city suggests that its large cash deposits are a legitimate part of its business operations. As long as the bank continues to monitor the company's transactions and follows its due diligence procedures, it can exempt the company from additional scrutiny.

Answer A is incorrect because whether the customer is a sole proprietorship or a corporation does not impact the bank's ability to exempt the customer from additional scrutiny. Answer B is incorrect because the length of time the customer has maintained an account at the bank is not relevant to whether the bank can exempt the customer from additional scrutiny. Answer C is incorrect because the question does not provide any information to suggest that the company operates an ineligible business.