White-collar crime is essentially an umbrella term that encompasses different types of criminal offenses. What all these crimes have in common is that the person who commits the offense typically hopes to gain financially from their actions. Generally, these crimes are nonviolent. They often involve deception or complex tactics to gather information or resources.
What are the most common white-collar crimes?
White-collar crimes have taken a variety of new forms as technology has evolved. Technological advancements have allowed people to commit white-collar crimes across the world. Some of the most common white-collar crimes are:
- Money laundering: When a person obtains money from illegal sources, they need to find a way to make the cash appear legitimate. Otherwise, they have no way to use the money without risking detection. First, the person will place the funds into a bank account. Then, they will transfer the money using a complicated method to make it harder to trace the source. Lastly, they will mix the funds with legally obtained funds.
- Securities fraud: While there are many types of securities fraud, insider trading is among the most well-known types. Insider trading occurs when a person has confidential information that could affect stop prices. Next, they either buy or sell more company stocks to capitalize on this insider knowledge.
- Tax evasion: Tax evasion transpires when a person is attempting to elude paying their taxes. They can do this in a number of ways, including falsifying their tax records.
- Embezzlement: This white-collar crime is conducted by someone who has a fiduciary duty to another person. An example of this is when a financial advisor takes cash meant for investment and uses it for their own personal gain.
Reaching out to an experienced criminal defense attorney as soon as possible is recommended if you are facing a charge related to white-collar crime. A lawyer will understand the federal and state laws relating to your specific case, and they can also outline the legal defenses that are available to you.