Instances in which corporations have been found in serious breach of accounting ethics by falsifying or manipulating information so that financial statements do not give a true and fair view of the company's performance.
A Blanket Fidelity Bond is an insurance policy that protects businesses from losses caused by fraudulent acts committed by employees.
A con artist, also known as a con man, is a practitioner of fraud or theft by deception who first wins the confidence of a victim. Con artists usually play on the victim's desire to get something for nothing.
A confidence game is a scheme by which a swindler, commonly referred to as a con artist, wins the confidence of their victim and then cheats them out of their money by exploiting the trust placed in them.
Counterfeit refers to items or documents that are forged, imitated, or fabricated without authorization, usually with the intent to deceive and pass the imitation off as genuine.
Defalcation is a financial crime that involves the embezzlement of property or funds by an individual entrusted with its custody or control.
Embezzlement is the fraudulent appropriation, for one's own use, of property lawfully in one's possession. It is a type of larceny often associated with bank employees, public officials, or officers of organizations, who in the course of their lawful activities, come into possession of property, such as money, actually owned by others.
Falsify refers to the act of intentionally altering or distorting true information, statements, representations, or acts to deceive others, commonly seen in unauthorized alterations of documents like contracts.
The legal offence of making a false instrument intending it to be accepted as genuine, causing harm to others. Under the Forgery and Counterfeiting Act 1981, an instrument may be a document or device on which information is recorded.
Intentional deception resulting in injury to another. Fraud usually consists of a misrepresentation, concealment, or nondisclosure of a material fact, or at least misleading conduct, devices, or contrivance.
Graft involves the fraudulent obtaining of public money through the corruption of public officials, often entailing the use of money as a payoff or the dishonest advantage one person gains over another due to their position, influence, or trust.
A legal doctrine meaning 'equally at fault', where neither party in an illegal contract or transaction is able to obtain legal relief if both parties are equally culpable. Exceptions exist if the parties are not equally at fault.
Lapping is a fraudulent accounting practice in which an employee conceals a shortage of cash by delaying the recording of cash receipts, often involving the use of subsequent receipts to cover earlier thefts.
Misrepresentation refers to an untrue statement, whether unintentional or deliberate. It can involve nondisclosure where there is a duty to disclose or the deliberate creation of a false appearance. When there is misrepresentation of material fact, the injured party may sue for damages or rescind the contract.
A provision in an insurance policy that precludes the insurer from disputing the validity of the policy on the basis of fraud or mistake after a specified period, typically two years.
Operational risk refers to the risk of direct or indirect loss resulting from inadequate or failed internal processes, systems, or from a wide variety of external events. It is a significant focus in financial regulation and has influenced several important guidelines such as the Basel Accords and the Turnbull Report.
A type of fraud in which victims are tricked into disclosing bank-account or credit-card details, passwords, or other sensitive information by bogus emails or text messages, usually purporting to be from a bank or other trustworthy source.
Reformation is an equitable remedy consisting of a court-ordered revision of a contract to accurately reflect the true intentions of the parties involved, primarily used when the written terms do not match what was actually agreed upon.
Rescinding a contract entails the cancellation or annulment of the agreement, returning both parties to their pre-contractual status. The Truth in Lending Act provides a 'Right of Rescission' which allows signers to nullify the contract within a specified period.
Rescission refers to the cancellation of a contract and the return of the parties to their pre-contractual positions. It may occur due to various reasons including fraud, failure of consideration, or a material breach.
A comprehensive guide on the multifaceted usage and implications of the term 'run' across different domains such as banking and computers.
Scienter refers to prior knowledge of operative facts, frequently signifying guilty knowledge. In pleadings, the term indicates that the alleged crime or tort was committed intentionally or with awareness of its illegality. In the context of fraud, scienter denotes the knowledge that an individual was making false representations with the intent to deceive.
A slush fund is a financial stash reserved for illicit purposes, such as bribery or unethical activities, often without an accurate accounting record.
Penalties imposed by tax authorities for failing to meet statutory tax requirements, differing for income tax, corporation tax, and value-added tax (VAT).
White-collar crime encompasses a variety of non-violent offenses committed by businesspersons, confidence men, and public officials, characterized by deceit and misrepresentation. Examples include consumer fraud, bribery, and stock manipulation.
