White-Collar Crime Industrial Revolution – Captains of Industry: Andrew Carnegie (Steel) J.P. Morgan (Banking) John D. Rockefeller (Oil) Cornelius Vanderbilt (Railroads) Muckrakers - Robber Barons, Criminaloids
White-Collar Crime Edwin Sutherland – 1940’s coined the term “White-Collar Crime.” “…a crime committed by a person of respectability and high social status in the course of his occupation.” “…respectability and high social status” “…course of his occupation”
White-Collar Crime White-Collar Crime – (Siegel) …illegal acts that capitalize on a person’s status in the marketplace. Illicit Entrepreneurship – Difference between White-collar crime and Organized Crime?
Illicit Entrepreneurship White-Collar Crime- …illegal activities of people/institutions whose acknowledged purpose is profit through legitimate business transactions Organized Crime – …illegal activities of people/organization whose acknowledged purpose is profit through illegitimate business enterprise.
White-Collar Crime Clinard & Quinney – Types of WCC Occupational Crime – “…is committed by individuals in the course of their occupation for personal gain.” Corporate Crime – “…crime committed by corporations.”
Occupational Crime Law Breaking for Personal Gain – Employee Theft – Pilferage Embezzling Fraud – (Professions) Physicians – Health care, improper billing, Medicaid Fraud, unnecessary surgery.
Occupational Crime Fraud – (Professions) Cont’d Lawyers – Billing clients for more time--- (Local examples) Computer Crime -
Corporate Crime Organizational Criminality Corporate Violence- Workers and Unsafe Workplaces Consumers and Unsafe Products Automobile Industry Pharmaceutical Industry Food Industry Public and Environmental Pollution
Components of White-Collar Crime Other divisions of White-Collar criminality – Herbert Edelhertz Ad-hoc violations – Committed episodically for personal gain.(Welfare fraud, tax cheating) Abuses of trust – Committed by a person in a place of trust in an organization against the organization. (Embezzlement, bribery,taking kickbacks)
Components of White-Collar Crime Collateral Business Crimes- Committed by organizations to further their business interests. (Antitrust violations, use of false weights/measures,concealment of environmental crimes) Con Games – Committed for the sole purpose of cheating clients. (Fraudulent land sales, sales of bogus securities, sales of questionable tax shelters)