White Collar Crime Final
Psychiatrists represent 20% of all doctors suspended from Medicaid for fraudulent practices.
True
Qwest was accused of artificially pumping up its revenue over a period of several years.
True
Reciprocal lending involves loans between insiders at different thrifts to evade regulations pertaining to restrictions on insider loans.
True
Reinsurance companies function outside of the formal regulatory system because they do not directly affect consumers.
True
Services that are designated so that the maximum fees can be charged is called upcoding.
True
Solitary confinement and sensory deprivation are recommended as ways to induce stress and anxiety.
True
Some argue that nursing home abuse occurs because of the vulnerability of its patients, the fact that the institutions are run for profit, and low pay for workers.
True
Taking services or money for referring a business to a certain provider or company would be an example of a kickback scheme.
True
Techniques that nursing homes use to keep patients cooperative include psychotropic substances.
True
The CIA experimented with LSD in the 1950s and one agent even slipped some LSD to mob boss Lucky Luciano.
True
The National Security Agency (NSA. was the most secretive federal agency between 1952 and 1974.
True
The Saturday Night Massacre was Nixon's firing of Justice Department personnel when they would not fire the special prosecutor.
True
The Tuskegee study group was selected based on genetic predisposition for certain behavior.
True
The average computer crime nets $500,000.
True
The broad but somewhat more specific definition of computer crime can be described as destruction, theft, unauthorized or illegal use, modification or copying of information, programs, services, equipment, or communication networks.
True
The deregulation of the energy market in the mid-1990s provided a golden opportunity for Enron
True
The financial press, mesmerized by Enron's dazzling bottom line, missed a critical wake-up call.
True
The insurance industry is largely regulated by individual states.
True
The phrase "cartel-type frauds" used in connection with health care are frauds perpetrated by criminal organizations.
True
The purpose of Fannie Mae is to purchase and securitize mortgages in order to ensure that funds are consistently available to the institutions that lend money to home buyers.
True
The state of Virginia sterilized over 8,300 mentally retarded citizens between 1924 and 1972.
True
The traditional crime of embezzlement by lower-level employees has become overshadowed by concerns with upper-level management mismanaging and looting their own companies.
True
There was only one individual that was sentenced in connection with the Iran-Contra affair.
True
Trap doors or sleepers allow a technique known as salami slicing to loot accounts. This is taking small amounts from a lot of people.
True
Working in close proximity to illegal activities and an abundance of illicit profits represents a structural opportunity explanation of police misconduct.
True
WorldCom cooked its books by classifying ordinary expenses as capital expenditures.
True
President ________ may have criminal charges filed against him to include, but are not limited to, lying to investigators, filing false documents, money laundering, conspiracy, and covering up and colluding with a foreign government.
Trump
The Keating Five were:
United States Senators.
Which of the following is an example of public corruption?
Unskilled relative hired as a policy analyst
Excessive billing can take several forms. What are retainers?
Up-front fees for services covered by Medicare supplemental policies
An unnamed congressman, after receiving a $10,000 check from an organization, did what?
Voted against a regulation requiring disclosure of defects in automobiles
According to the text, all of the following have been invaded to get credit and debit card information except:
Yahoo.com.
Mafiaboy activities affected all of the following except:
Yahoo.com.
WorldCom and Enron had all of the following in common except:
a CFO who was implicated in the scandal simply for not doing his job.
Hacking can include all of the following except:
a bank employee checking credit history of bank customers.
The term "offshore" means:
a location in a place other than the United States.
Enron's limited partnerships were all of the following except:
a mechanism to limit employee losses.
The Nigerian scam involved:
a ploy using deceptive e-mails and stories of sequestered funds.
Unbundling is:
a procedure where one service is divided into many services and billed accordingly.
The term "hacker" can include all of the following except a(n):
accidental tourist.
The company Tyco was plagued by serious ________ problems.
accounting
Back door programs:
allow entry at will.
The CIA's abuse of power included of all of the following except:
always staying just inside the law.
Insider thrift fraud took all of the following forms except:
borrowing up.
The phrase "cartel-type frauds" used in connection with health care refers to frauds perpetrated by:
criminal organizations.
Unlike the captain and the officers of the Titanic, Enron leadership:
grabbed the first lifeboat.
The eight-year, four-month sentence given to arch-conservative Duke Cunningham was ironic because:
he had argued for tougher sentences.
Federal District Judge Alcee Hastings was impeached and removed from office after:
he was acquitted of conspiracy to commit bribery.
Stealth programs:
hide from virus protection programs.
First Pension went so far as to ________ to fool an employee who questioned company investments.
hire an actress to impersonate an auditor
Oliver North became a:
host of a nationally syndicated daily radio program.
The Defense Department has engaged in questionable radiation experiments on:
humans.
Actions by the government that contributed to the collapse of the savings and loan industry included all of the following except:
increasing down payment requirements.
Boiler rooms with slick telemarketers offered full physicals for a little or no fee. This free diagnostic service turned out to be very costly because:
information was used to file claims against insurance companies and government insurance.
Reasons for the Nigerian scam include all of the following except:
it is an oil-rich country with a healthy economy.
Giving money to an elected official is bribery when:
it is done in return for vote on a piece of legislation.
The ABSCAM operation was criticized because:
it was not targeted at wrongdoing that was already occurring.
The Enron whistleblower was concerned about advice from a certain law firm because of:
its conflict of interest because of partnership fees.
Alan Bond was convicted and sentenced to prison for cheating retirees and workers by "cherry-picking." This term involves:
keeping profitable investments and investing others money in unprofitable ones.
Nixon's imperious assault on the Constitution caused a crisis of:
legitimacy.
The object of depatterning is the disintegration of a subject's personality and one way to do this is through:
lengthy periods of drug-induced sleep
Police officers could be the greatest ________ in the world.
moochers
Health Maintenance Organizations (HMOs. are the new model for providing medical care. Criticisms of HMOs include all of the following except:
multiple trips to many specialists.
Viruses:
multiply.
Steve Wymer's Institutional Treasury Management lost $174 million. Investors were mainly:
municipalities and government agencies.
The use or encouragement of torture by the CIA has a document history going back how long?
nearly 50 years
The primary investment vehicle for First Pension was:
nonexistent mortgages.
Prominent universities and institutions have also been involved in Medicare/Medicaid fraud and abuse. Their activities include all of the following except:
not following guidelines and underpricing services.
Medicare is an easy mark for fraudulent equipment sales because:
of failure to account for the legitimacy of suppliers.
Explanations of the Enron collapse include all of the following except:
over-analysis by stock analysts.
In some instances, the equipment is not only nonessential, it is also:
overpriced.
Arthur Andersen demonstrated its culpability when it suddenly:
paid an unusual amount of attention to its document retention policy.
Physicians are not the only ones involved in Medicaid fraud. Investigators have recently been looking into services offered by:
pediatric dentists.
Bounty hunters in the medical fraud area are:
people who collect a fee for patient referral.
PAC stands for:
political action committee.
Experiments conducted using prisoners have included all of the following except:
prisoners being given large doses of vitamins and minerals.
Melvyn Paisley was an Assistant Secretary of the Navy for six years and was in charge of:
procurement.
Like other criminogenic cultures, the savings and loan industry placed a heavy emphasis on:
profit.
When the CIA began experimenting with LSD in the early 1950s, the subjects included: included:
prostitutes.
When Ken Lay stepped down as CEO in 2000, he planned to:
pursue political office.
"Little corruption" in the highest level of federal executive office has been:
rare.
Dr. Olga Romani was involved in all of the following except:
refusing to treat a patient for diaper rash.
Reinsurance is a legitimate business practice in the insurance industry. It becomes a problem when:
reinsurers are undercapitalized.
According to Cressey, embezzlers go through a process that includes all of the following except:
remorse.
Hackers first targeted:
schools.
At the core of the Nazi atrocities was eugenics, which includes:
selective breeding and compulsory sterilization.
All of the following lead to an "us versus them" mentality on the part of officers except:
the large amount of time officers spend with civilian public.
After numerous tries, the government finally convicted Governor Edwin Edwards of Louisiana based on testimony from:
the owner of a professional football team.
Prosecutions of corrupt federal legislators have been divided into three categories. They include all of the following except:
theft.
The traditional crime of embezzlement by low-level employees has been replaced by:
thefts masterminded by outsiders. mismanagement and looting by upper-level management.
A gift becomes a bribe when:
there is a quid pro quo.
Nixon and his cohorts engaged in all of the following except:
threatening candidates' family members.
Oliver North was a Marine Major who was responsible for putting together the arms-for-hostages deal with Iran for President Regan.
False
Over the years, the definition of what constitutes a phishing attack has been narrowed down to a few specific computer crimes.
False
Regulation of the thrift industry in the early 1980s, combined with continued deposit insurance, were key elements of a criminogenic industry environment.
False
Salami slicing techniques divert very large amounts of assets from private accounts.
False
So-called first generation phone "phreaks" used their talents to steal from checking accounts.
False
The ABSCAM operation was criticized because the amount of money involved was miniscule.
False
The DEA has a long history of medical abuse.
False
The First Pension Corporation investments was an insider trading scam.
False
The Multiple Employer Welfare Agreement enables employers to meet welfare payment requirements for healthcare.
False
The SEC also suspected Quest of collusion with its customers.
False
The division of the DHS into multiple agencies with overlapping responsibilities has meant coordinated approaches to investigations.
False
The government won 17 guilty pleas from HealthSouth executives, including all three chief financial officers since the company was founded.
False
The investigation of Martin Luther King began in earnest in 1962 with the knowledge and tacit approval of President John Kennedy, who publicly claimed he did not support King.
False
The most effective computer crimes are those perpetrated by experts.
False
The most sickening medical experiments conducted by the military involved subjects being exposed to torture devices.
False
The motivation for the Masters of Destruction was money.
False
The traditional embezzler is usually seen as a high-level employee working alone to steal from a large organization.
False
To put spam attacks into numerical perspective, there are more than 10 billion electronic mailboxes in the world.
False
Using animals to test harmful drugs would be an activity that could constitute research fraud.
False
White-collar crime was not a key instrument in the savings and loan debacle.
False
William Jennings Bryan was a famous orator who threatened to withdraw his legislative services if the bank did not refresh his retainer.
False
________ is the process of progressively increasing the sales price of real estate and the size of the loan and defaulting on the final loan.
Land flips
Years before its demise, this company had established working relationships with some of the sleaziest firms in the mortgage business:
Lehman Brothers.
________ refers to loans conditioned on receipts of deposits. The loan then goes into default and deposits can be withdrawn.
Linked financing
President ________ ordered J. Edgar Hoover to conduct surveillance programs against American citizens.
Franklin Roosevelt
Federal authorities have agreed that which of the following was a major contributing factor to the savings and loan implosion?
Fraud and insider abuse
The whistleblower in the Enron case was:
Sherron Watkins.
The Masters of Destruction (MOD) corrupted the databases of all of the following companies except:
Sprint.
Working in close proximity to illegal activities and an abundance of illicit profits represents which explanation of police misconduct?
Structural opportunity
Which one of the following would be part of a kickback scheme?
Taking money from arranging contracts with the city
In the 1946 movie, It's a Wonderful Life, George Bailey inherits the leadership of a small savings and loan institution from his father. In the 1980s it might have been known as:
George Bailout.
Who is the predecessor to Governor Rod Blagojevich? This individual was serving a 6-1/2-year prison sentence the day Blagojevich was arrested.
George Ryan
During the Cold War, the CIA tested knockout drugs and incapacitating substances at:
Georgia Tech.
Showoffs have which of the following qualities?
Goal is fun, not profit
Which of the following would be associated with grass-eaters?
Graft
In 1994, two computer hackers broke into the computers at:
Griffiss Air Force Base.
Which of the following activities would not constitute payroll fraud?
Hillary Rodham Clinton hired to advise a congressional committee
Of all the federal government agencies, which one keeps the most data on Americans?
IRS
Fastow would eventually cooperate with the government and testify against Lay and Skilling for which reason?
Indictment of wife
Abu Ghraib is a prison located in:
Iraq.
Fragmentation is where a number of charges can be made from what is usually one single less-expensive charge for services or procedures.
True
Giving money to an elected official is bribery when in return you receive a favorable vote on a piece of legislation.
True
Global Crossing executives walked away from the bankruptcy with personal fortunes.
True
Gulf Oil Corporation maintained a multimillion-dollar secret fund used to make illegal campaign contributions. It appeared the Gulf though the United States Senate was for sale.
True
Helen Keller at one time was a surveillance target of the FBI.
True
Hiring an unskilled relative as a policy analyst would be an example of public corruption.
True
In 1972, Carl Bernstein and Bob Woodward reported in the Washington Post that a check for Nixon's campaign had been deposited in the account of one of the Watergate burglars.
True
In 1993, it was disclosed that the government had injected 18 civilians who may or may not have known of the risks with radioactive plutonium.
True
In Chile, the CIA and ITT, an American corporation, worked to try and defeat Salvador Allande during the 1970 elections. When Allende was assassinated, his government was replaced by a military junta friendly to American interests.
True
In the 1980s, the savings and loan debacle resulted in almost $200 billion in short-term losses to taxpayers.
True
Jeff Skilling was the Enron executive who received the longest prison sentence.
True
Limited partnerships are typically set as a perfectly legal way to raise venture capital.
True
Medicare can be an easy mark for fraudulent equipment sales because it often fails to account for the legitimacy of suppliers.
True
Melvyn Paisley was an Assistant Secretary of the Navy who was in charge of procurement.
True
Merrill Lynch was a key player in the subprime mortgage collapse. It had been securitizing subprime loans and then selling them to investors who had borrowed the money to purchase them from Merrill Lynch itself.
True
Michael Bloomberg was the subject of a computer crime. He was asked to pay a sum of money in return for being advised as to the perpetrator's methods that were used to invade his system. In street crime terms this would be extortion.
True
Money for not making an arrest could be part of a shakedown.
True
More often than not, running afoul of the Internal Revenue Service puts elected officials on the fast track for prosecution.
True
Nominee loans involve loans on real estate to borrowers that do not exist or are not in fact real borrowers.
True
One of the most callous forms of white-collar predication entails the looting of money from retirees and workers who have deposited their savings in pension funds.
True
Only five of the twenty-one business executives sanctioned for illegal presidential campaign contributions by the Watergate Special Prosecutor were convicted of "willful violations"; one of them being George Steinbrenner.
True
Playpen-mentality hackers have the goal of breaking in.
True
Jeff Skilling's reign as a successful CEO came to an end with his resignation after only:
five months.
Enron may have been involved in ________ limited partnerships and shell companies.
3000
It is estimated that ________ have been sterilized under statutes permitting the procedure.
63,000
Psychiatrists represent what percentage of all doctors?
8
Enron, the seventh-largest corporation in the United States, laid off thousands of employees, and most of them had lost ________% of their 401k retirement savings.
99
The magnitude of Mafiaboy damage was estimated to exceed at least:
$1 billion.
Twenty-nine executives and directors sold ________ worth of stock knowing Enron was in danger of collapse.
$1.1 billion
Estimates of the cost of the savings and loan disaster range from a mere ________ to ________.
$200 billion; $1.4 trillion
The average bank robbery nets approximately:
$3,200.
Global Crossing was sold for $250 million to Asian interests in 2002, it was a far cry from the company's peak value of ________.
$50 billion
Enron experienced the beginning of the end with major losses in the third quarter of 2001. The company had to explain a ________ loss to corporate credit-rating agencies.
$638 million
If you send out 30,000 e-mails and get only one response, but you get $40.00 per response and you send out a half a million e-mails, how much money can you make?
$750,000
Lehman Brothers announced it was filing for Chapter 11 bankruptcy protection the day after Bear Stearns was bought out by the Bank of America.
False
Regulator reaction to insurance scams can be very slow. In the case of Martin Bramson and his fake malpractice insurance policies for doctors, an insider had tipped regulators for ________ before action was taken.
10 years
Mafiaboy turned out to be a(n. ________ Canadian.
15-year-old
American dialysis patients are how many times more likely to die in a given year as those in Western Europe or Japan?
2
Psychiatrists represent what percentage of all doctors suspended from Medicaid for fraudulent practices?
20
In 1996 the General Accounting Office said that hackers had targeted the Pentagon ________ times and gained entry 2 of every 3 times.
250,000
Mafiaboy got caught because he was traced through e-mails.
False
Which of the following is true about limited partnerships?
A legal way to raise venture capital
________ treatment accounts for 1/4 of all home infusion services, providing plenty of opportunity for would-be criminals.
AIDS
Which of the following activities could constitute research fraud?
Adjusting findings to support grant applications
In the Tuskegee Study, what population was used in the study?
African Americans
Which of the following would be associated with meat-eaters?
Aggressive corruption
Richard Scrushy founded HealthSouth, one of the nation's largest healthcare service providers. Scrushy was convicted of paying bribes to the governor of ________.
Alabama
During the Andersen criminal trial, the judge made a controversial ruling that was very adverse to the defendant. The court ruled that evidence of ________ could be admitted for consideration by the jury.
Andersen's history of willingness to agree with client demands and approve questionable financial statements
Governor Fife Symington, before he was indicted for defrauding creditors in connection with a savings and loan, was the chief executive for what state?
Arizona
Which one of the following crimes could not be classified as a computer crime?
Assault
FBI surveillance targets included all of the following except:
Attorney General Robert Kennedy.
Lay's paying back loans with questionable assets accomplished which of the following, besides putting money in his bank account?
Avoided alerting regulators
More than 90 percent of the loans issues by Fannie Mae were prime rate due to relaxed underwriting standards.
False
In mid-March 2008, the Federal Reserve took drastic measures and negotiated a bargain-basement sale of ________ for $2.00 a share.
Bear Stearns
Which of the following would be representative of "little corruption"?
Bribery or corruption by individuals
Most states ended their forced sterilization programs by the early 1980s, but we are still living with the legacies of these horrific policies today.
False
Skilling's resignation happened in conjunction with an energy crisis in what area?
California
Though thrift failures occurred nationwide, what two states accounted for the preponderance of the worst thrift frauds?
California and Texas
The acronym CREEP stands for:
Committee to RE-Elect the President.
Malicious hacking, affecting national security, has affected all of the following except:
Congressional committee files.
Crackers break which of the following?
Copy protection codes
WAREZ sites encourage which of the following activities?
Copying of copyrighted programs
What Houston school personnel have been offered rewards to refer troubled students?
Counselors
Post mortems of the Enron collapse have targeted the "Casablanca maneuver" by members of the Enron board of directors. What does this reference mean?
Denying any knowledge of questionable activity despite damming evidence
Which vice president of the United States was a CEO with Halliburton?
Dick Cheney
Ken Lay, in an apparent move toward self-preservation, borrowed $70 million from the company after losses were announced and paid back the money with:
Enron stock.
"Little corruption" in the highest level of federal executive office has been persistent.
False
A reason for the Nigerian scam is that it has a well-educated populace.
False
Abuses in Medicaid may be worse than those in Medicare because it covers more services.
False
After World War II started, President Roosevelt issued a proclamation officially placing the CIA in charge of all investigations of espionage, sabotage, and subversive activities.
False
Aggressive corruption would be associated with grass-eaters.
False
An example of premium diversion would be using premiums collected to pay claims.
False
As a devoted member of the 1970s counterculture, Captain Crunch's favorite activity was spying electronically on the government.
False
Author Andersen was the whistleblower in the Enron case.
False
Bear Stearns shares went from $40 to $2 in a matter of days.
False
Because of public humiliation, liability issues, and security inadequacies, many corporations report computer crime losses.
False
Bob Ebbers was Worldcom and Worldcom was Bob Ebbers.
False
Boiler rooms with slick telemarketers offered full physicals for little or no fee. This free diagnostic service turned out to be very costly because patients were required to furnish bank information and electronic checks were processed by financial institutions.
False
Bounty hunters in the medical fraud area are doctors who receive a fee for a particular diagnosis.
False
Bribery of government officials, helping rebels to overthrow elected officials, and participating in revolution in other countries are outside of United States government control because the activity occurs in a foreign country.
False
Charles Keating contributed $1.4 million to the campaigns and causes of four U.S. Senators, who would later be known as the "Keating Four."
False
Corruption has been attributed to under-representation of the disadvantaged.
False
Dennis Kozlowski was further indicted on more state charges accusing him of looting Tyco of about $600 million.
False
Dennis Kozlowski was the CEO behind Adelphia at the time the company filed for bankruptcy.
False
Dick Cheney was a CEO of Halliburton while serving as Vice President of the United States of America.
False
Directors of privately held corporations' paramount responsibility is to protect the best interests of shareholders.
False
During the 1980s, the United States Congress was willing to authorize funding on behalf of the Contras in Nicaragua.
False
Federal authorities have agreed that careless investment practices were a major contributing factor to the savings and loan implosion.
False
Governor Fife Symington was the chief executive of the state of Texas, before he was indicted for defrauding creditors.
False
HMO selection of specialists and services based on providers in a network is referred to as "self-referral."
False
International cooperation in regards to stealing software has faltered because of minimal economic impact.
False
Jeff Skilling's resignation happened in conjunction with an energy crisis in Texas.
False
Ken Lay borrowed $70 million from the company after losses were announced and paid back the money with MCI stock.
False
Ken Lay stepped down as CEO from Enron to start a new company.
False
In Washington, D.C., what now rivals or exceeds power as the preeminent goal?
Money
Which one of the following could be a part of a shakedown?
Money for not making an arrest
Which of the following is not true about the crimes identifies in the whirlwind tour of financial crimes?
Most of those convicted were mid-level managers.
The most secretive federal agency is the:
NSA.
The Iran-Contra affair was a "gun-for-money" operation designed to assist rebels in:
Nicaragua.
Some of the worst nursing home stories have been reported in:
North Carolina.
One investigator states that catching people who defraud Medicaid is like catching fish that jump into the boat. Why would he say this?
Only the stupid and reckless get caught.
The worst scandal in a scandal-ridden city occurred in the ________ of New York City.
Parking Violation Bureau
Excessive billing can take several forms. What are waivers?
Patients paying directly for services such as calls, refills, and conferences that Medicare considers covered
The ripple effect of false medical diagnoses to get money includes which of the following?
People unable to get life insurance
Though most of the medical experimentation by the military took place decades ago, soldiers in what recent conflict were given an unapproved pretreatment for nerve gas attacks without their knowledge?
Persian Gulf War
Lay's connections and contributions to political candidates resulted in the spouse of what elected official being named to the Enron board?
Phil Gramm
Computer crimes may have begun with the use of the blue box. The blue box involved which instrument?
Phones
Enron seemed more interested in selling its own stock than in selling anything else. As a result, the Enron debacle can be characterized as a gigantic version of all of the following except:
Ponzi scheme.
Who was president of the United States during the Iran-Contra Affair?
President Regan
Which of the following is unlikely to be classified as a computer crime?
Public intoxication
________ involve(s) loans between insiders at different thrifts to evade regulations pertaining to restrictions on insider loans.
Reciprocal lending
What happened to President Nixon?
Retired in luxury
One of the busiest border crossings into the United States is:
San Ysidro.
Which of the following is true about the Tuskegee Study?
The only contribution the Tuskegee study ever made to medical science was keeping laboratories supplied with syphilitic blood samples for testing purposes.
Which of the following would not be an example of police corruption?
Theft from a police supervisor's bank account
Not only did certain individuals in the United States government funnel money to the Contras, but "third country" strategy had foreign countries like Saudi Arabia being encouraged to supply aid. The Saudi contribution exceeded $30 million. Why did Saudi Arabia contribute this money to the Contras?
To curry personal favor with the American president
An unauthorized program planted on a computer is known as a(n):
Trojan Horse.
A less formal definition of computer crime would be those crimes using a computer to accomplish its ends.
True
A number of recognized Caribbean nations such as Belize, Dominica, and Grenada have offered economic citizenships, which have a lot in common with the offerings of nonexistent countries.
True
A spokesperson for the Army scientific division argued that its experiments were no more dangerous than an urban bus ride and demonstrated the Army's contempt for humanity.
True
Abu Ghraib, 20 miles outside of Baghdad, was one of the world's most infamous prisons.
True
Alan Teale, in his varied insurance schemes, sold disability policies to professional athletes and liability policies to high-school athletic programs
True
An item that millions use every day that makes it easier to catch psychiatrists in wrongdoing is a wristwatch.
True
At some prisons, pharmaceutical corporations have competed vigorously to purchase exclusive rights to conduct drug toxicity tests on inmates.
True
Citizens of Japanese ancestry in Central America and South America countries were rounded up, handed over to American authorities, transported to the United States, and thrown into concentration camps in the early 1940s.
True
Coasting along looking for doors to open is a quality of cookbook hackers.
True
Computer crime has become increasingly globalized.
True
Contracts that exceed Medicaid limits are called overcharging.
True
Cost-shifting is where hospital room charges are reasonable, but other charges are very high.
True
Deviance in the savings and loan industry is an example of the organization being both victim and perpetrator.
True
During the Kennedy administration, the IRS was encouraged to target right-wing extremists.
True
Enron has been dubbed as "Greed Incorporated" by former employees.
True
Enron's profitability was largely an article of faith.
True
Wymer and others tried to justify their schemes by saying that there was an economic downturn and it was necessary to pursue risky investments and hide information from regulators so they could try to recover. This might have been more believable had it not been for:
amassing of personal fortunes.
Lay told securities analyst that the major loss was caused by:
an accounting error.
Paisley and others committed all of the following except:
arguing for more lenient treatment of government contractors who tried to cheat the government.
Toll fraud is:
avoiding phone charges.
Alan Teale and his far-flung group of companies took advantage of the public in all of the following ways except:
avoiding the reinsurance scam.
Outsider thrift frauds primarily involved all of the following except:
bank examiners.
Justice Louis Brandeis of the United States Supreme Court said that governmental lawlessness was:
contagious.
Home care is a burgeoning business for scam artists. A company called Professional Care was paid for all of the following except:
care for nonexistent patients.
The case of Dr. Jose Manaya was described as shocking by the judge who sentenced him. Dr. Manaya had performed unnecessary ________ on patients.
cataract surgery
The Lockheed corporation:
caused the arrest of a former Italian prime minister.
Financial institutions can include all of the following except:
check-cashing companies.
WorldCom has cooked its books by ________. The net effect of this was to make a huge loss look like a sizeable profit.
classifying ordinary expenses as capital expenditures
The SEC investigated another major telecom company, Quest Communications, and suspected them of ________ with its competitors.
collusion
Enron limited partnerships were named after all of the following except:
constellations.
The ________ hypnotized by Enron's success missed a critical wake-up call with the Skilling resignation.
financial press
According to the text, the broad but somewhat more specific definition of computer crime can be described as:
destruction, theft, unauthorized or illegal use, modification or copying of information, programs, services, equipment, or communication networks.
The term "self-referral" stands for the practice of:
doctor selection of specialists and services based on financial connections.
In 1958, the CIA prepared a report which suggested to intelligence agencies that they might be able to control people through:
drug addiction.
Prison studies are:
economical.
The acronym EFT stands for:
electronic funds transfer.
The Multiple Employer Welfare Arrangement was created by Congress to:
enable employers to provide group medical insurance.
Periodic corruption scandals have plagued ________ major urban police department(s. in the United States.
every
In the 1970s a Los Angeles-based insurance company programmed its computers to do all of the following except:
fail to pay legitimate claims.
Inspectors in the Department of Agriculture have done all of the following except:
failed to condemn beef infected with e. Coli bacteria.
Doctors referring patients to labs and other institutions in which they have partial ownership is problematic for all of the following reasons except:
failure to make a referral if it is no benefit to doctor.
Andrew Fastow made more than $30 million while at Enron based on a ________ investment.
few thousand dollar
Phishng comes from a metaphor describing how early computer criminals used e-mails to lure fish for passwords and:
financial data.
An Enron executive would eventually plead guilty to price manipulation related to the energy crisis referenced previously. The following are all elements of Enron machinations in the energy crisis except:
selling the same store of emergency power to three different communities.
Upcoding is:
services designated so that maximum fees can be charged.
Ghost services are:
services that never happened.
Computers can be used to commit all of the following kinds of espionage except:
social.
In the Tuskegee Study, study subjects failed to receive treatment for:
syphilis.
The biggest losers in the Institutional Treasury Management case were:
taxpayers.
Mentally retarded ________ at the Fernald State School in Massachusetts were used as guinea pigs in radiations studies sponsored by the Atomic Energy Commission between 1946 and 1956.
teenage boys
Doctors at a clinic at the University of California-Irvine abused fertility patients in all of the following ways except:
terminating pregnancies without patient consent.
Arthur Andersen, the accounting firm who audited Enron and was also paid for consulting work, met shortly before Jeff Skilling became CEO and agreed that all of the following were matters of concern about Enron except:
the cash flow was the only accurate part of the annual report.
Representative Daniel Flood of Pennsylvania flooded his home district with federal funds and numerous public institutions carried his name. He took money from businessmen to do all of the following except:
to contribute campaign funds to a personal charity.
Unscrupulous insurance companies can also cheat the public by claiming to have assets they do not have, or assets that are worth more than they really are. The reason companies do this is:
to meet capitalization requirements.
What remains a popular method of repression and punishment in totalitarian regimes and terrorist organizations?
torture
Enron's annual report issued in late 2000 proudly claimed to have ________ in two years.
tripled its revenue
Financial institutions handle other people's money and they all have one thing in common: they have to get the public to ________ them.
trust
Some argue that nursing home abuse occurs for all of the following reasons except:
unreasonable expectations of family members.
Soft money is:
unrestricted.
When it comes to the insurance industry, the public is in most danger from:
unscrupulous insurance companies.
The Nixon administration and CREEP were involved in all of the following except:
use of funds to facilitate the China trade proposal.
An example of premium diversion would be:
using premiums to pay excessive salaries to executives.
In 1995, it was disclosed that the government had conducted 4,000 radiation experiments between 1945 and 1974. Most of these experiments were conducted using ________ populations as subjects.
vulnerable
What may be the most important factor at the core of corruption surrounding some Border Patrol Agents?
weak internal controls