Common White Collar Crimes that You Definitely Need an Attorney For

Common White Collar Crimes that You Definitely Need an Attorney For

White-collar crime is a name given to a kind of non-violent illegal activity that is committed to achieving a financial or personal benefit. Although these crimes are non-violent, punishment can be severe if a person is found guilty, including several years in prison and a huge amount to be paid in fine.

Although a white-collar crime can be committed by anyone, it is usually committed by people involved in business and corporate sectors and government institutions because such people have access to the required resources needed to pull of such kinds of criminal activity.

A lot of people who face investigations and charges for white-collar crimes don’t think a lawyer would be able to help their cause – they can do it themselves – or they hire a lawyer when it’s already too late.

To make sure that you don’t commit the same mistakes if you ever face a complication of such kind, below we have a list of most white collar crimes that you definitely need an attorney for to help you prevent conviction.

1. Fraud

Fraud can be defined as a crime of non-violent nature committed to getting the personal or financial benefit. The primary purpose of committing fraud is usually to obtain money or property or to avoid losing existing money or property that isn’t rightfully yours. Fraud can also be committed to gain a commercial or personal advantage, such as framing someone else for a crime you committed to saving your reputation.

Usually, fraud is committed in a corporate or business setting for monetary gain. But it can also be committed in a government institute.

Other kinds of frauds are public corruption, mail fraud, debit and credit card fraud, healthcare fraud, stolen tax refund fraud, internet fraud, mortgage fraud, and more. However, the most common kinds of fraud are corporate, bank, and bankruptcy.

2. Corporate fraud

Corporate fraud is the most common kind of white collar crime. Corporate fraud includes criminal activities committed by large-scale organizations or individuals or groups within a certain organization.

  • Bank fraud

Bank fraud is one of the most common white collar crimes. Bank fraud is committed when a person scams the bank for financial gain. Using fake or fraudulent checks, not paying commercial loans, depositing counterfeit money, shady mortgage, misrepresentation of credit score, and other different ways are adopted by the frauds to commit bank fraud.

It is also possible that you wind up and face charges for a bank fraudthat someone else committed with your bank account under your name – this becomes a case of another white collar crime, identity theft.

  • Bankruptcy fraud

When an individual or a business organization is deep in debt and has no way to pay off the loans, they announce bankruptcy – showing that they have no way to pay.

However, even if businesses and individuals have money to continue their business and pay off the money, they commit bankruptcy fraud by misrepresenting their financial state and their assets and announce bankruptcy wrongfully to get out of paying their loans off to creditors.

3.  Securities Fraud

Since white collar crimes usually occur in a business or corporate setting, it is common for frauds and Ponzi schemes to take place in such an environment. One of the most common white collar crimes and a redundant kind of fraud is securities fraud.

Securities fraud is said to have been occurred when a person gets an advantage unrightfully on their stocks, bonds, and securities – most probably because of insider trading, which is one of the most common types of white collar crime.

There is two very common securities fraud that is committed in modern times.

  • Insider Trading

Insider trading occurs when there is someone in the company who has confidential information about the company’s operating state and they sell this information to outside sources; thus, committing a legal crime and violating their contractual duty to the organization.

  • Misrepresentation

Misrepresentation is also a kind of securities fraud that occurs when a person who has accurate information about the company’s operation (investment and finances) intentionally misrepresents the information to certain investors to lure them into investing in the company.

The person who commits misrepresentation knowingly makes up misleading or false information and causes the investors to rely on that information and invest their hard-earned money in the company that is not actually doing well.

4. Money Embezzlement

Money embezzlement is a kind of white-collar crime where a person who has been legally responsible and entrusted to look after a significant amount of money or a property goes against the law and uses that money or property for their own financial and personal gain.

For instance, an accountant in the office transfers office money into their own personal account without the permission of the supervisor and writes it in the book as some other kind of expense.

If a money embezzler is caught embezzling up to $100,000, they can face up to 15 years in prison with an up to $25,000 fine.

5. Money Laundering

Money laundering is a scheme to turn illegal money into legal. If the money is obtained by illegal means, such as corruption, stealing, bribery, or extortion, it becomes nearly impossible for the obtainer to spend this money in huge amounts without leaving a paper trail.

Therefore, money laundering is a process adopted to convert the “dirty” money into “clean” by filtering it through a series of complicated transactions.

For instance, if money is made through the sale of illegal drugs, a drug dealer would do money laundering in a way that he would establish a small business and would make it appear that the money is made through the business and not some illegal way.

If the federal money launderer faces the guilty verdict, they can face a prison time of up 20 years with a fine of up to $500,000. Sometimes, prison time is reduced due to good behavior and overcrowded prisons. But nothing is guaranteed.

However, with an expert money laundering attorney, prison time and fine amount can be reduced significantly.

6. Tax Evasion

Tax evasion is another white collar crime people commit to get out of paying taxes. Tax is money that the person owes to the IRS (Internal revenue service), a tax collecting and reporting authority in the USA.

If a person plays an elaborate scheme intentionally to avoid the tax, it is known as tax evasion and it is prohibited by the law.

7. Bribery

Bribery is very common in governmental institutes. When the money or property is offered to influence the decision, which would be otherwise fair, it is known as bribery.

It is not necessary for bribery that only money or property is offered. If any physical object or favor is offered to influence the decision in your favor, it is known as bribery. Both parties are condemnable by the law, the person who offers the bribe and the one who takes it. The money or asset taken as a bribe is illegal.

For example, a bribe is said to be offered when a defendant offers the judge a million dollars to announce the “not guilty” verdict.

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