The term “white-collar crime” was first applied in 1930s by Edwin Sutherland (Friedrichs, 2009). He coined the word to refer to crimes committed by people of integrity and higher social status in the society. Nowadays, white-collar crimes involve business-related criminal offenses that apply deception; deceit and dishonesty tin the advancement of criminal enterprises. There are various components of white collar crimes used by the criminals to succeed in their illegal actions.
Some use their positions in the business or institutions to deceive others wile others use security fraud and professional chiseling to deceive people of their money. Others may bribe or peddle and use their positions to provide favors or sell sensitive organizational information in the business or government (AutoAdmit. com, 2006). While white collar crime continues to be a problem globally, it has received little attention and thus difficult to detect or track. This paper will explore white collar crime as an example of enterprise crime.
The various components of white collar crime will be discussed and means to control white collar crimes will be identified. Enterprise Crime: White Collar Crime Introduction Enterprise crime comprises of a combination of illegal and business tactics for the purpose of financial gains (AutoAdmit. com, 2006). It is a type of crime committed by enterprises or business entities with separate legal personality from the individuals who manage its activities. It is a type of crime that has become problematic in many countries in the world as it has been seen to cost a lot of money in measures to control it.
Enterprise crime does not involve violent means in its operations but mostly involves fraudulent means to commit crimes of theft and many more. A crime is referred to as enterprise crime if it is outlined to be illegal in the specific system of laws (Friedrichs, 2009). For instance, insider trading is not a crime in other states while in some states it is regarded as a crime. Types of Enterprise Crime Activities Examples of enterprise crime include white collar crime, organized crime and even state-enterprise crime.
White collar crime encompasses a number of nonviolent criminal activities that involve illegal and fraud cash transactions. These crimes include bribery, bank fraud, counterfeiting, blackmail, forgery, embezzlements, money laundering, antitrust violations, tax evasion and insider trading (Simpson & Weisburd, 2009). Organized crime relates to enterprise crime because a number of criminals in organized crimes have had the capacity in the past to organize enterprises for one main objective of doing criminal offenses.
An example of organized crimes includes vehicle laundering. Lastly, enterprise crime has relations with state-corporate crime simply because in many circumstances, enterprises have been seen to collude with the state in order to manage their crimes with no fear of being arrested (Friedrichs, 2009). White Collar Crimes White collar crime is a type of crime committed by a person of morality and uprightness (Friedrichs, 2009). The people involved in white collar crimes are of a high social class in the society and mostly in their fields of occupation.
It rarely involves violent means and it is believed that criminal behavior is learnt through interpersonal interaction with other people in the society. Examples of white collar crime include bribery, fraud, copyright infringement, identity theft, forgery, computer crime, money laundering, insider trading and embezzlement among others. It is evident that in all these crimes, there is no application of forceful means but it is all about doing what is illegal by white collar personalities. White collar crimes are common to people with white collar jobs in the society (Friedrichs, 2009).
These are people of high esteem in the society and they work in big offices with great positions. Components of white collar crime White collar crimes have been widespread with the growing technological advancements. Most of the criminals of white collar crimes are individuals who are well educated and are well trained and sound professionalism (Simpson & Weisburd, 2009). Some of them have the accounting knowledge, some are well equipped with the computer knowledge, and some just use their creativity and many more mechanisms of ensuring they have really achieved what they want.
In the historic periods, this was not really regarded as a crime; it was first defined by Professor Edwin Southerland of the Indiana University. The professor was a sociologists and he used his psychological techniques to come up with proves to explain the white collar crimes (AutoAdmit. com, 2006). One of the components that white collar criminals use in their criminal activity is fraud. It is clear that the white collar crime does not involve any violent means. Fraud is one mechanism used widely by the white collar criminals in order to get people into their traps.
They take advantage of the difficulties the legal representatives can have in dealing with fraud since it is really hard to establish a criminal who has used fraud to steal money from a business enterprise. More often, even the legal bodies employ psychologists to help them in identifying the criminals since they are not in a position to do so themselves. This is one mechanism that is so rampant among the white collar criminals. Fraud involves the faking of documents or disguise to make one the legal individual to be given whatever is to be given or owned (National Check Fraud Center, 2006).
Technology is another important component of the white collar crimes. With technological advancement in the entire world, criminals have decided to use the computers and the internet in obtaining information and data serials to help them get money from banks and other corporations. Some of the legal representatives have often lacked enough knowledge regarding technology so as they can use it to deter internet crimes from happening. The criminals use this as an advantage to hack into people’s personal computers and get the information they want from there.
This is one mechanist that has been so wide spreads with the growing technology all over the globe. However much the governments have tried to stop internet crimes with their technology, criminals also come up with more efficient means and ways to still conduct their crimes (Blindell, 2003). Another component that the white collar criminals use is the state. Most of the white collar personalities are people well known in the society and hence they often have well established connections with the government.
In most countries, when you have good connections with the government, one can do whatever he or she wills and goes through with it without being arrested. Corporations with the government are one component that the white collar criminals use as they demand favors from prominent personalities of the government (Kari Sable Burns, 2006). Crimes like funds embezzlement, goods smuggling and many more, are enhanced by the good relations with the government.
Even governments take part in the commitment of white collar crimes as it is often seen embezzling the citizens tax and making it their money for own personal use (National Check Fraud Center, 2006). Blackmail is another component that white collar criminals use to get whatever they want (National Check Fraud Center, 2006). Blackmail is a situation where one knows something about the other that he once did in his life. When a white collar criminal gets to know about something weird an enterprise did, the criminal can use this most frequently to demand a lot of money or any other favors from the enterprise.
This is something that the victim might have done so many years ago but he or she fears of what might happen if the government, his or her workmates or his or her family can do when they get to learn about that thing. When a criminal gets to know this thing, he goes further to threaten in telling on the victim if he or she does not submit to the demands of the criminal (Blindell, 2003). Examples of white collar criminals There are so many examples of white collar crimes that are being committed in the modern society. Insider trading is one of the examples of white collar crime (O’Connor, 2009).
Insider trading is the trading of the company’s stock, bonds, or even shares by personalities who have the capacity to access the company’s information that is non-public. This is mostly done by individuals who are so close to the management of the company for instance the directors, key employees and even shareholders. In the USA, legal trading of the company’s shares or stock must be reported to the regulator of the company (AutoAdmit. com, 2006). This is a crime and very punishable under the company’s act in the constitution of America. Another example of the white collar crimes is copyright infringement.
This is the use of someone’s work that is covered by copyright law without his or her permission to do so in a manner that will go against the rights of the real owner (O’Connor, 2009). This happens mostly in the works or art, writing and even in the music industry. As technology improves, the crime of copyright infringement goes to greater extents. Currently, music producers and artists are really suffering since the music they produce is copied and sold at cheaper prices thus rendering their work useless since they get very less returns as to their expectations are.
This is one crime the white collar criminals do and it really affects the rights of the owners. Similarly, some writers have had the habit of producing another writer’s work to make it their own so as to gain fame and money. Money laundering is another example of white collar crime (National Check Fraud Center, 2006). This is where an individual engages in several money transactions with the aims of hiding his or her identity, destination and the source of the illegally gained money.
In the legal, financial and even political debates, the topic of money laundering is so repetitive and measures that have been put in place have never been efficient in stopping this type of crime. Combating White Collar Crimes There are some particular measures that have been put in place to deter white collar crimes from happening over and over again. There are clearly outlined punishments in the constitutions to the criminals found to have committed white collar crimes. Despite the fact that the crimes involve no violent means, white collar crimes are treated as just other forms of crimes such as robbery (Blindell, 2003).
These law enforcement procedures have helped a great deal in reducing the cases of white collar crimes. One way to help control the white collar crimes in the society is through government interventions. The government should take up the initiative and give a good example to the citizens. Some of the government officials should provide a good example to the citizens in reducing the white collar crimes. For instance, crimes like money laundering and embezzlement of fund are mostly committed by the government officials (Kari Sable Burns, 2006).
Further still, the government should cease to collude with other white collar criminals and helping them in achieving their criminal activities. It is also a challenge to the citizens in general to report any activity within their vicinity that looks like an instance of white collar crime. Reporting to intelligence agencies will help in a great deal as it will help in arresting the criminal and ensuring punishment for such people (National Check Fraud Center, 2006). Conclusion In conclusion, enterprise crime is the type of crime that has increasingly become a global problem.
It has become difficult to deal with these kinds of crimes as the criminals are those people wearing suits to workplaces, sometimes company executive who assumed the jobs of gangsters. The executives rob the people of their money in the official way. These types of crimes cost America a significant amount of money in million dollars every year in trying to control it but to no avail. The only best way to stop enterprise crime and other related crimes is for corporate and individuals to take the initiative in the fight against white collar jobs.
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- Friedrichs, D. O (2009). Trusted criminals: white collar crime in contemporary society. Belmont, CA: Wadsworth.
- Kari Sable Burns (2006). White collar crime. Retrieved July 24, 2010 from http://karisable. com/crwc. htm