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What Are Some Common Types of White-Collar Crimes?

On Behalf of | | Criminal Defense

Defined as crimes that have a financial motive or involve a power play, white-collar crimes are on the rise. Even though white-collar crimes are non-violent in nature, white-collar crimes are estimated to cost victims anywhere from $426 billion to $1.7 trillion annually. Offenders may be charged under state or federal laws, facing extensive prison time and steep fines.

If you are facing white-collar crime allegations, our South Carolina criminal defense attorneys are here to protect your civil liberties. Below, we discuss the most common types of white-collar crimes in the Palmetto State.

Wire Fraud

Wire fraud is the act of using electronic communications to defraud someone out of money or property through false pretenses. This fraud can use interstate wire communications to deceive the other person or business entity. Most commonly, wire fraud is committed through the use of the telephone or electronic correspondence.

If you are charged at the federal level, you may be sentenced to 20 years in prison, fined $250,000, or potentially both. If the fraud affects a presidentially declared emergency relief fund or financial institution, then the defendant may be imprisoned for 20 years, fined $1 million, or both imprisoned and fined.

Health Care Fraud

Each year, more than $100 billion is lost due to healthcare fraud. It is characterized by any act that intentionally deceives the healthcare system to gain unlawful benefits or payments. Both providers and recipients can commit this type of fraud.

Provider fraud may include a provider billing for a more expensive service than the patient actually received (upcoding), for services not rendered (phantom billing), or submitting multiple bills for the same service (unbundling).

Recipient fraud may involve a patient sharing their Medicaid card with someone else (identity swapping), duplicating their card for someone else to use, or convincing another person to provide their health insurance identification number to bill for services not provided (bogus marketing).

A federal conviction may result in 10 years in prison, with the potential for 20 years if anyone suffers bodily harm. Under South Carolina law, healthcare fraud is a class A misdemeanor. If prosecuted, an individual will be imprisoned for three years and fined $1,000 per offense.

Mortgage Fraud

The act of intentionally misrepresenting information to an underwriter or lender to secure a loan is known as mortgage fraud. There are two main types of mortgage fraud:

  • Fraud for profit: This involves professionals in the home-buying process (such as real estate agents or brokers) stealing from lenders and homeowners.
  • Fraud for housing: This involves borrowers misrepresenting their income and assets on a mortgage application or influencing an appraiser to manipulate their assessment of a home’s value.

Generally, mortgage fraud is charged as a federal offense. If convicted, you may be imprisoned for 30 years, with individuals facing fines of $1 million and organizations being fined as much as $5 million.

Speak with Our South Carolina White-Collar Crimes Attorneys Today

The financial strain that white-collar crimes place on our economy prompts the legal system to punish offenders harshly. If you have been accused of a white-collar crime, now is the time to speak with our South Carolina criminal defense lawyers. To learn how we can help, contact us by calling (843) 795-9500 or by completing our online intake form.