White Collar Crime Examples in New York (2024)

White collar crimes are continually evolving as technology allows criminals to impersonate legitimate businesses as a means of stealing personal identification information and other forms of private information. White collar crimes refer to illegal activity that is non-violent in nature but uses business transactions for nefarious purposes.

Common White Collar Crime Examples in New York

The term white collar crime was first coined by the FBI in 1939 to describe fraud, money laundering, and other crimes committed under the guise of legitimate business transactions. Unlike traditional crimes where the perpetrator uses violence or the overt threat of violence to steal money, white collar criminals may appear to be legitimate business employees. They rely on deception and coercion to defraud people of assets and property.

White collar crimes are often complex. Individuals who are charged with the crimes listed below may face criminal charges ranging from misdemeanors to serious felonies.

• Fraud: When someone engages in deceitful practices for the purpose of financial gain, they may be committing fraud. Credit card fraud, mortgage fraud, and insurance fraud are some of the more common forms of deceptive practices committed by perpetrators of these types of white collar crimes. Perpetrators use false information or misrepresentations to gain access to funds or benefits. Penalties can include fines, restitution, and imprisonment.
• Embezzlement: Embezzlement occurs when someone uses funds they are entrusted with for personal purposes. One example could be a public official who uses city resources to support the official’s private business interests. Even when the funds are returned and used for their intended purposes, a crime is still committed. When someone is found guilty of fraud, they are often required to pay restitution to their victims.
• Money laundering involves the transfer of money for the purpose of concealing the origins of illegally obtained money — typically by channeling it through legitimate businesses or financial institutions. The goal is to make illicit funds appear legitimate and avoid detection by law enforcement. Money laundering is often used to conceal funds used to buy large quantities of drugs. Penalties for money laundering can be severe, including lengthy prison sentences and substantial fines.
• Insider trading: People who are entrusted with private details of business dealings are not allowed to use that insider information for personal gain. When they do, they can be charged with insider trading. The criminal penalties for these forms of misconduct are often serious because the illegal activity undermines the fairness and integrity of financial markets. Those engaged in insider trading can face civil and criminal penalties, including fines and imprisonment. Enforcement agencies closely monitor financial transactions to detect and prevent insider trading.
• Identity theft: Identity theft can be highly lucrative. People who steal IDs can use that information to request credit cards. In other cases, they may sell the personal information to a third party. Identity theft occurs when someone unlawfully acquires and uses another person’s personal information, such as Social Security numbers or credit card details, to commit fraud. Victims may face financial loss and damage to their credit history. Various methods, including hacking and phishing, may be used to commit the crime, which can result in heavy fines, restitution, and prison time.
• The crime of tax evasion involved deliberately avoiding paying taxes owed to the government through illegal means. Criminal intent often plays a role in prosecuting these types of white collar crimes. People who commit these offenses may underreport income, inflate deductions, or hide money in offshore accounts. This crime deprives the government of revenue and can lead to significant legal consequences, including fines, penalties, and imprisonment.
• Bribery: One of the oldest forms of white collar crime may be bribery. The crime often involves people in positions of power who solicit or accept a quid pro quo offer of taking money in exchange for rendering some type of service at the expense of taxpayers. Heavy fines and jail or prison time are often part of any conviction.
• Securities Fraud: Securities fraud includes a range of deceptive practices related to securities trading, such as misrepresenting information or manipulating stock prices. Common forms of securities fraud include Ponzi schemes, false statements about a company’s financial status, and unauthorized trading.

No matter what type of white collar crime someone is charged with, they can hire a criminal defense attorney who can customize a strong defense strategy. Criminal intent plays a significant role in white collar crime cases, and business transactions can be misinterpreted as something nefarious.

FAQs

What Is a Real-Life Example of White Collar Crime?

One example of a real-life white collar crime would be an email sent by someone posing as a representative from your bank asking you for password and account information. White collar crimes increasingly rely on emails, texts, and even social media to trick victims into providing personal information that is either sold by the white collar criminal or used to purchase goods with credit cards that are opened with stolen identification information.

What Are the Top Three White Collar Crimes?

Three of the most common white collar crimes are fraud, embezzlement, and money laundering. Drug cartels, for example, use money laundering to take cash used in drug sale transactions and exchange the funds for currency that is not tied to illegal activity. Online fraud is increasingly common due to the large amounts of time people spend online and emailing.

What Crimes Are Considered White Collar?

Any crimes that use business transactions to deceive and defraud victims could be classified as white collar crimes. Common examples include securities fraud, insider trading, and wire fraud. Although white collar crimes vary widely, they all share a few things in common. All white collar crimes are non-violent in nature.

Who Typically Commits White Collar Crimes?

White collar criminals are more likely to be educated and tech-savvy than criminals who engage in arson, theft, and violent crimes. In some cases, white collar criminals may believe that they are engaging in legitimate business practices. When a business person misrepresents their services or intentions, they may be crossing the line from business to criminal activity.

Schedule Your White Collar Crime Consultation Today

A conviction for a white collar crime comes with the potential for serious jail time. If you were recently charged with committing a business-related crime, you can rely on the services of a criminal defense attorney to protect your rights and fight the accusations that you are facing.

The Vitaliano Law Firm has many years of experience helping clients resolve their criminal cases on favorable terms. Due to the complexity of prosecuting white collar crimes, there are many defense strategies that can serve your interests. To schedule your consultation, contact our office today.