There are an assortment of crimes that fall under the broad category of white collar crime. The term generally applies to all types of financial or economic crimes that do not involve violence or physical force. Most people are familiar with larger scale white collar crimes like corporate embezzlement, insider trading, or ponzi-schemes that make national headlines. However, there are many types of white collar crime that are much more common and will likely require the representation of an experienced white collar criminal defense attorney if you have been charged or find yourself as the target of an investigation. We put together an overview of some of the most common white collar crimes and help lay out when you will need a white collar criminal defense attorney.
Common White Collar Crimes
The term “white collar crime” casts a wide net as we mentioned. However, there are some specific subcategories of white collar crimes that are most common. Here are some basic overviews of a few key areas to understand:
Securities or Investment Fraud
Securities or investment fraud is the practice of getting investors to make decisions on the purchase or sale of securities with fraudulent information. One of the most common terms people generally use for this category of white collar crime is a pump-and-dump scam. Basically, perpetrators will release lots of information making a stock or investment look attractive. Once the price starts to go up, they will sell their holdings for a large gain and leave those unknowing investors holding a worthless stock.
These scams can happen in all types of potential investments from real estate to stocks to cryptocurrency to counterfeit collectables. It is one of the most important reasons to be diligent in your research and investigation of any potential large investment and seek outside counsel if you have suspicions it might be too good to be true. All investments have risk, but many securities and investment fraud scams will not hold up to a thorough review of the potential investment by experienced professionals.
Securities fraud can also include things like stock manipulation, materially false statements from a public company, and false statements to corporate auditors. There are also plenty of cases where investors that lose money will report a company or individuals in the company for securities or investment fraud without clear evidence of wrongdoing.
Tax Evasion and Fraud
Tax evasion and fraud are probably the most common form of white collar crime. Anyone that illegally or intentionally avoids paying taxes can be found guilty of tax evasion. From simply failing to file your returns to making false claims of income and expenses, any attempts to avoid your tax obligations to the government can get you charged with this white collar crime.
Embezzlement
Embezzlement is the broad term for any purposeful misuse of company funds. Most people understand that stealing money or property from their employer or company falls into the category of embezzlement. It is generally not as well understood that any unjustified transfer of funds or property to someone else can be charged as embezzlement as well.
Money Laundering
Money laundering is the act of taking funds received from criminal activity and attempting to “clean” the sources of those funds so they appear legitimate. It is common to see examples of money laundering in movies about drug dealers, but there are many ways that funds can be earned in illegal means and the attempt to route those funds through another company in order to claim them as legal earnings can result in a money laundering charge.
Conspiracy
Any attempt to conspire or organize criminal activity with another person can result in a charge of conspiracy. People can often overlook the fact that you do not need to actually commit the crime yourself to be charged with conspiracy. Any aid or assistance given to a potential crime can get all parties involved charged with criminal conspiracy. It can be a disheartening fact to find out that just having knowledge of a potential crime that is planned by a family member, friend or coworker can get all involved parties charged. This is a reality that must be considered if you find yourself privy to a potential crime.
Fraud
Individuals and organizations can be charged with fraud for a variety of deceptive practices, including false statements, deceptive practices for personal gain, and dishonesty in business practices. Any arrangement or business transaction where one party gains under false pretenses can fall under the category of fraud. It is also a broad enough category that charges of fraud can be leveled against other parties for any situation where a person or company feels cheated.
Steps to Take When Charged with a White Collar Crime
While it is not always the case, many people do not intend to commit a white collar crime from the onset. They are often caught up in a bad situation and feel like they do not have a way out. It is also common that all parties that could have had any knowledge of the crime will be actively investigated by prosecutors. It is vital to understand if you have been contacted by authorities investigating an alleged white collar crime that you will need an experienced white collar criminal defense attorney. Attempting to lie to authorities or ignore the investigation will likely result in additional charges and make it easier for prosecutors to convict you of the initial criminal charges.
Working with experienced business law attorneys and accounting professionals can help avoid many situations that could get you charged with a white collar crime, but when investigators show up at your door that time has passed. Strategic planning and experienced professionals can help you avoid many of these issues before they happen. However, you will need the representation of an experienced criminal defense attorney from the first moment you become aware you are involved in the investigation of a white collar crime. It is advisable to immediately let investigators know that you are invoking your right to remain silent and your right to be represented by counsel. Most white collar crimes come with large fines, restitution to victims, and significant time in prison. Your opportunity to avoid being a target of the investigation has likely passed once authorities contact you. Do not make matters worse by attempting to talk your way out of the potential criminal charge even if you believe you have done nothing wrong.
Find a Skilled White Collar Criminal Defense Attorney
At RSN Law, we believe that everyone is innocent until proven guilty and afforded the right to exceptional legal defense against any criminal charges. RSN attorneys’ have decades of experience with white collar criminal defense in Arizona. Our team is prepared to review your case quickly, assess your potential liability, handle all interactions with any investigative authorities and defend your rights vigorously at trial if necessary. Call us today at 480-712-0035 to schedule an initial consultation or make an appointment on our contact us page.
RSN Law intends this article to be for informational purposes, not to be relied on a specific legal matter, and does not create an attorney-client relationship.