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Type Of White Collar Crime

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Types of white collar crime: Depending upon the type of people being affect and the methodology used to commit such crimes, white collar crimes can be divided into the following different types. Corporate Crime: Corporate crime can be termed as those crimes that are committed by a corporation or a business entity or by individuals that are acting on behalf of a corporation or business entity. Not necessarily the corporation itself needs to be involved it can also be committed by an employee of the corporation, if it benefits the corporation. Price Fixing: Price Fixing is an important tactic used by corporations when a limited number of controlling companies in a particular market follow the lead of their competitors in price increases. Overt …show more content…

Since the government has no monitoring group to ensure that healthcare companies charge appropriately for their services, those companies will often overcharge or even charge for services they never performed. Additionally, since the government lacks a group of medical professionals, companies will also charge for unnecessary services which the government pays not knowing any better. Here is an example of USA. According to the FBI, fraud committed against government health insurance programs costs the United States over $60 billion each year. Oversight coupled with a lack of medical knowledge is generally said to account for the epidemic of healthcare industry fraud in the United States. Defense Contractor Fraud: Pakistan spends a huge amount of budget on defense. Defense fraud causes great damage to the government. Here are some common methods that are used in this respect: • Cross-charging has been one of the most common types of defense procurement fraud. Cross-charging occurs when a defense contractor improperly shifts costs and expenses from one defense contract to another in order to boost its profits • It is nearly impossible for the government to keep a quality check on the all the defense products due to bulk volume and complexity, sometimes contractors sell substandard products to the government to increase their profit …show more content…

Insider Trading: This crime involves the use of confidential and secret information to trade in shares of public corporation. Insurance Fraud: This crime involves usage of false statement and evidences to get benefits from insurance schemes. Investment Schemes: Investment scheme fraud involves convincing people to invest in a fake or temporary business activity, by ensuring them huge profit margins. Kickback: This crime occurs when a person who sells an item pays back a part of the purchase price to the buyer. Money Laundering: This crime involves hiding of sources of illegal obtained money through foreign banks, overseas companies and illegal transactions so that government could not track the illegal activities and person can get tax exemptions. Telemarketing Fraud: This crime is related to spamming, where a spammer operate several calls a day at random phone numbers and asks for donation for some charity organizations. This is done in another way in which the operator calls random telephone numbers and announces a grand prize through a lucky draw but asks for some amount to confirm registration or to follow any other

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