In the corporate world, white collar crime is far from sparse. Business people have access to all sorts of insider information, funds, assets, etc. and these crimes can be very scandalous, especially when powerful faces in business are involved. If you take the risk of committing a white collar crime, you can face many years in prison, especially if you are unable to reach a deal with the prosecutor on the case.
From the headlines, you have probably heard of a variety of white collar crimes. However, we are going to go over the most common types below:
As one of the most common types of white collar crimes today, securities fraud is at the top of our list. Securities fraud happens when one person makes a financial decision based on a false statement that another individual made about a company or the value in its stock. The most common form of securities fraud is insider trading. In cases of insider trading, “insiders”, such as execs, board members, etc., will buy or sell stocks based on information that is not public knowledge.
Embezzlement can take on several forms and comes with varied degrees of penalties. It happens when an individual takes money or assets that they’re answerable for at their place of employment. This most ordinarily happens within the corporate world and may be committed by investors, accountants, wealth specialists, cashiers, bank tellers, or anyone else who has access to money. This white collar crime can also happen when the money of clients is misused.
Common in the business world, this crime is also committed by non-business people alike. According to the IRS, tax evasion is failing to pay your taxes or the deliberate underpayment of taxes. This white collar crime can occur in a variety of forms, but the IRS recognizes it in two different categories: evasion of assessment and evasion of payment. An example for each would be submitting false information to the government or hiding assets so that they are not subject to tax.
Another common white collar crime is money laundering. This happens when someone has acquired money illegally and “launders” it by placing it in an account with clean (legal) money. Generally, this crime is committed by pulling money from one account and placing it into another unsuspecting account. This allows the person to hide the money in plain sight.
In America, several Ponzi schemes have been exposed over the years. They tend to dominate the headlines as they involve massive amounts of money and will scorn even the most innocent people. These white collar crimes happen when investors are promised payouts on products or services that don’t actually exist. Sometimes there will be small payouts, but most often, the investors will not see a dime of money.
According to the FBI, mortgage fraud is “any material misstatement, misrepresentation or omission relied upon by an underwriter or lender to fund, purchase or insure a loan.” With that said, there are generally two forms of it. The first, traditional mortgage fraud, is any effort made by someone to defraud the lender. For example, gaining a loan from a lender that you do not qualify for would be a crime. The other form targets consumer and this can include loan modification scams or foreclosure prevention.
Generally, insurance fraud happens when an insured person files an insurance claim and is seeking compensation without actually suffering any kind of injury or loss. Most commonly, this crime involves automotive, workers’ compensation, homeowner’s and renter’s policies. Further, clients can suffer a loss from the sale of phony insurance coverage or from the theft of paid insurance premiums.
Federal Criminal Defense Attorneys with Experience in White Collar Crimes
If you’re facing charges on a white collar crime, we’re the fraud and embezzlement lawyers you can count on to win your case. Contact Premier Federal Criminal Defenders today for a free consultation and learn how our experience will help you maintain control of your freedom.