Honestly speaking, “White Collar Crime” refers to a long list of offenses that point to using deceit for financial gains. It means all those crimes normally identified as scams and frauds including embezzlement, money laundering, and tax evasion fall under the category of White Collar Crimes. Additionally, Ponzi schemes, fraud in the securities market and insider trading, and tax evasion and insurance fraud, constitute white-collar crimes.
It’s safe to say all fraudulent dealings are part of the larger White Collar Crimes. Fraud is any activity that entails deceiving an individual or the masses for monetary gains. Scams typically happen in the stocks and securities market.
Securities fraud comes in a plethora of forms, although it seems the most common one is that which involves “insider trading.” In insider trading, someone privy to valuable business information regarding a company or investment partakes the data for his or her personal gains. It entails buying or selling an enormous amount of stocks to get a lot more in profits while duping buyers or sellers (for that matter).
Another form of White Collar Crime is when an individual in the securities sector seeks investment while knowing well that the figures and facts he or she is using are wrong. By luring investors using “cooked” prospects and financial information, such an individual will be committing securities fraud.
Some executives are fond of making false and misleading statements in their company’s regular public reports. They also fall under the category of securities fraud just because they are portraying a false image to spur sales and investments.
As mentioned, mortgage fraud and insurance fraud constitute common fraudulent schemes. Insurance scams are rife because most of the insurance industry’s players strive to deceitfully and improperly siphon funds from clients or insurers. Customers present false documents to get their compensations, pretty much like the managers defrauding their clients or their competitors.
Ponzi schemes have been there for some time, and it’s their proponents that reap huge benefits at the expense of unsuspecting investors.
It is the common and improper practice of taking money from someone’s account while you still owe them a particular duty. The most common malpractice is when a company employee steals money from the enterprise. Embezzlement takes many forms and varies in magnitude.
Another white-collar crime that involves an individual evading paying taxes, tax evasion is a common practice today. A person may choose not to file his or her tax returns, offer false information or just transfer assets to others to evade responsibility. According to the definition of this crime, the evasion of tax payments takes infinite forms.
There’s a common practice of filtering illegally obtained money in legitimate transactions so the cash looks clean. The process takes three steps with the final one turning the money into assets. And, yeah, Money laundering is as alive as it is illegal nowadays.
Unlike other types of crimes, a white collar crime can include a lot of state and federal laws and end with many punishments. That’s why you need an experienced Orange County criminal lawyers; someone who understands the ins and outs of the industry and who can help you win the case.