Author Question: List and define three types of financial crimes What will be an ideal ... (Read 194 times)

viki · **on:** Aug 17, 2018

List and define three types of financial crimes

What will be an ideal response?

Question 2

Explain Gary S. Greens typology of organized crime.

What will be an ideal response?

allisonblackmore · **Reply #1 on:** Aug 17, 2018

Answer to Question 1

Answer: The FBI classifies the following types of activities as financial crimes: corporate fraud, securities and commodities fraud, health care fraud, mortgage fraud, insurance fraud, mass-marketing fraud, and money laundering.

Corporate fraud refers to accounting schemes, self-dealing by corporate executives, and obstruction of justice as well as insider trading, kickbacks, and misuse of corporate property for personal gain.

Securities and commodities fraud includes crimes such as stock market manipulation, high-yield investment fraud (Ponzi schemes, pyramid schemes, and prime bank schemes), advance fee fraud, hedge fund fraud, commodities fraud, foreign exchange fraud, and broker embezzlement.

Health care fraud includes fraud directed at health care programs, particularly Medicare and Medicaid.

Mortgage fraud includes corporate fraud involving subprime mortgage-lending companies, such as equity skimming, property flipping, and mortgage debt elimination.

Insurance fraud is fraud targeting the insurance industry, such as insurance fraud involving arson and workers compensation fraud.

Mass-marketing fraud is a general term for any fraud connected with communications media such as telemarketing, mass mailings, and the Internet. Mass-marketing fraud takes a variety of forms that share a common theme: use of false and/or deceptive representations to induce potential victims to make advance fee-type payments to fraud perpetrators.

Money laundering is the process by which illegal gains are discussed as legal income.

Answer to Question 2

Answer: Gary S. Green proposed a four-part typology of occupational crime:

Organizational occupational crime is committed for the benefit of an employer or organization, but only the employer or organizationnot individual employeesbenefits.

State authority occupational crime is committed by people exercising their state-based authority, is occupation specific, and can be committed only by officials in public office or those working for them.

Professional occupational crime is committed by professionals while in their occupational capacity (such as physicians, attorneys, and psychologists).

Individual occupational crime, committed by an individual acting alone, is a kind of catchall category that includes personal income-tax evasion, theft of goods and services by employees, and filing of false expense reports.