Fraud Offences
FRAUD
There are a variety of fraud offences which can have wide ranging implications on the individual. Depending on the type and seriousness of the allegation, a person could face a fine or even imprisonment if found guilty. A range of governmental agencies could be involved in a fraud prosecution such as Serious Fraud Office, Revenues and Customs Prosecutions Office, Financial Services Authority and The City of London Police.
The Fraud Act [2006] created three ways of committing the offence of fraud. These are:
FRAUD BY FALSE REPRESENTATION
This is when a person or company lies on purpose or distorts the truth during business dealings to financially benefit from it and/or cause loss to another. This includes acts such as using someone else’s credit card to buy something when you have not been given allowed, selling goods without the owner’s permission, lying on forms for financial gain.
FRAUD BY FAILURE TO DISCLOSE INFORMATION
This is when a person causes a breach of his legal duty by not disclosing information where there is a requirement to do so, and a person intends to gain from not disclosing this information or intends to the causing of loss to someone else.
FRAUD BY ABUSE OF POSITION
This is where a person in a position of authority uses his position to gain financially from it rather than acting in the best interest of his organisation or individuals he represents. Examples of this includes a trustee of a charity embezzling donations, a company director using information gained in the course of the directorial duties to benefit himself financially, rigging bids for financial contracts to manipulate bids.