Fraud is a common form of white-collar crime and it can include a variety of activities. One form of fraud is wire fraud. Wire fraud refers to the use of deceit to secure money or property through the use of interstate wires. This includes the use of television, radio, telephone or computer. The following is a brief account of one man's arrest in California for his alleged involvement in wire fraud and other white-collar crimes.
According to recent news reports, the man was arrested by federal agents in California for allegedly helping the camera company Olympus engage in a billion dollar accounting fraud scheme. According to U.S prosecutors the man's involvement in the scheme began in 2004 and ran until 2010. He is accused of being paid millions of dollars to operate an international shell game with hundreds of millions of dollars in company assets.
The company's fraudulent activities became public in 2011. Shortly after the news broke the company admitted to hiding losses. The reason for the activity was to drive up acquisition costs and evade detection by auditors and shareholders. According to investigators the man who was recently arrested assisted the company by moving assets through various accounts. Federal prosecutors have charged the man with conspiracy to commit wire fraud.
If found guilty of wire fraud the potential penalties the man will face could be very severe. In addition to stiff monetary penalties such as restitution the man will also face prison time. Being found guilty of white-collar crimes such as wire fraud can also have a devastating impact on a person's career. Because of this, it is incredibly important to wage a strong and effective defense the minute the allegations are made.
Source: Bloomberg, "Ex-Singapore Banker Charged in U.S. Over Olympus Fraud," David Glovin, Dec. 20, 2012