Final answer:
The correct option is C). The Patriot Act is the legislation that sets the framework for universal Anti-Money Laundering (AML) efforts, especially with its Title III focusing on economic transactions related to criminal activities.
Step-by-step explanation:
Among the options provided, the Patriot Act is the legislation that sets the framework for universal Anti-Money Laundering (AML) efforts. The Patriot Act, passed in the aftermath of September 11, 2001, contains provisions specifically targeting money laundering and the financing of terrorism. It expanded the powers of law enforcement agencies for the surveillance and interception of communications, as well as the regulation and oversight of financial transactions. Particularly, its Title III, the International Money Laundering Abatement and Financial Anti-Terrorism Act of 2001, focuses on strengthening measures against economic transactions related to criminal activities.
The Dodd-Frank Act, in contrast, while a significant piece of financial regulation, was aimed primarily at reforming the financial system following the 2008 financial crisis, to increase transparency and accountability, and to prevent the too-big-to-fail phenomenon. The Basel III, another framework mentioned, refers to international regulatory standards on bank capital adequacy and stress testing but is not specifically an AML framework. Finally, the Glass-Steagall Act was an earlier piece of legislation that separated commercial and investment banking but was repealled in 1999 and is unrelated to contemporary AML efforts.