What Are the Most Common Financial Fraud Crimes?

One common form of theft that can occur in various settings is fraud. This occurs when a person or business/entity takes money or property and uses them in an illegal manner with the intent to gain some sort of benefit. These crimes usually involve a type of deceit or abuse of a position of trust, which distinguishes it from normal theft or robbery. Employees at a small or big company should know about the common forms of financial fraud so they can spot it if it occurs in their own workplace.

What Are the Types of Financial Fraud That Can Occur?

  • Bribery: This is the act of accepting or offering something of value in exchange for influence or power in connection to an elected or public employment position. They can take the form of gifts or money payments in exchange for favorable treatment.
  • Mortgage fraud: This financial crime includes different kinds of illegal schemes involving some form of misrepresentation or misstatement on mortgage forms and documents. The Fraud Enforcement and Recovery Act, or FERA, helped to expand the reach of federal law enforcement officials in cracking down on mortgage fraud.
  • Embezzlement: This crime happens when an individual steals money or property that he or she has the duty to manage. This is a very common crime in employment and corporate settings since the movement of money in between hands occurs often.
  • Identity theft: This is when someone illegally obtains and uses another person’s personal data and information in some way that involves deception or fraud, typically for economic gain. It’s one of the fastest-growing crimes in America because our sensitive data is being tagged to more and more outlets.
  • Tax evasion: When a person or company purposefully underpays its taxes, tax fraud or evasion is occurring. This crime is purposeful, so it’s important to know that mistakes on your tax returns are not fraudulent, but the IRS will be watching you if you make many errors over time.
  • Securities fraud: This fraud happens when someone makes a false statement about a company or the company’s valued stock, and other people make financial decisions based on that lie. This happens with companies often; an officer or director of a company will not accurately report the company’s financial information to its shareholders.

The criminal lawyers at Spevack Law Firm are ready to fight for your rights if you have been accused of financial fraud. We understand that criminal charges can change your life, so we will passionately represent your position and the needs of your case. Contact us today for a free consultation with one of our attorneys.



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