White Collar Crime Test 1

What is Paper Entrepreneurism?

if the American economy has weakened as a social institution, one factor may be the emergence of a newer, less productive, brand of capitalism.

What is Stock Manipulation and Insider Trading?

insider trading is an example of illegal stock manipulation; but it is not the only form this crime can take. Sometimes it is not just he securities markets that are manipulated, but rather hundreds of thousands of naïve investors as well. any recipients of information not publicly available who take advantage of such limited disclosure for their own benefit.

What is Toxic Terrorism?

America could now expand its program of poisoning the world by engaging in TT, and it can assume any of (3) forms: The Sale of Dangerous Chemicals The Export of Hazardous Waste The Construction of Polluting Factories

What is quackery and its three basic forms?

refers both to medical products that are worthless and to persons who cannot deliver miraculous cures they promise. Nutrition: unsound nutrition claims are made on radio, TV, newspaper, magazines, books, etc. Drugs: the eternal dream of discovering the Fountain of Youth has created a boom market for fake antiaging drugs. Devices: there is a labyrinthine array of quack devices currently available to consumers.

What is an Affinity Scam?

seems especially insidious because it exploits the trust, friendship, and cohesiveness that exists in people sharing a common spiritual identity.

What is water pollution?

some occurs unintentionally, some though are hardly unintentional and can be attributed to illegal practices at privately owned companies/sites. Organic Contamination: linked to various types of cancer Inorganic Contamination: linked to causing developmental problems with children (i.e. metals like lead) Radioactivity: believed to cause prenatal damage

What is Air Pollution?

suggests an outdoor risk to most citizens, but that is false—often times inside (i.e. houses). ***the priority of profits over human life sometimes leads to corporate actions that look like premeditated murder

What is Environmental Racism?

the dangerous facilities are put in communities of people considered to be marginal, but not as 'important.'

What is tax fraud?

the distinguishing feature of tax fraud is a taxpayer's intent to defraud the government by not paying taxes that he knows are lawfully due.

Regulation and Enforcement and does it changes depending on which political party is in power? If so, know how it changes.

Yes, the EPA changes based on who is in power and the political party. Conservative groups want less regulation because they believes companies can regulate themselves while liberal groups believe that government is the best regulator for the environment so the EPA will enforce stricter laws.

History of the 1920's and white collar crime.

a bonanza for white-collar crime the feeding frenzy unleashed by an exploding economy attracted bold predators. Nicky Arnstein went to prison for a bungled $3,000,000 bond swindle (1920). Victor Lustig the man who sold the Eiffel Tower

What are faith healers?

another way in which white-collar crime has insinuated itself into the religious arena is through the practice of fraudulent faith healing.

Difference between street crime and white collar crime.

white collar: mental/intellectual blue collar/street crime: physical labor more visible

What are the five categories of sanctions for environmental crime?

o Fines o Restitution o Probation o Non-traditonal Sanctions o Incarceration

What are the six categories of crimes against consumers and examples of each?

- consumer fraud - false advertising - price-fixing - adulterated food - dangerous drugs and devices - quackery

What is Adulterated Food?

. The Jungle an electrifying expose of unsanitary practices inside the American meatpacking industry). • Meat and chicken mainly

Ponzi Schemes

1919 Charles Ponzi - defrauded general public - paid of early investors - people and organizations invested and lost their money - financial corp- garentees 30% return Largest Ponzi Scheme - 41 billion lost - Bernie Madoff - defrauded movie stars, organizations, etc Alan Stanford - fraud - 2 decade ponzi scheme Use a financial planner---> not a broker

Great Depression through the 1980's

1920s - Great Depression - Stock Market Crash - distrust in Banks and Big Business 1933- closure of 500 banks - before federal insurance WWII - people came together - big business - trust level swung 1960's- not trusting the Gov - vietnam -people anti-war -tv to broadcast trageties 1970's - inflation - shortages of gas - recession - distrust of government and big business - country isn't growing 1980s - video killed a radio star- MTV - shift in gov and parties - business shifts and grows based on political parties decade of growth - trust in gov and big business - stock 2500/1900 -->recorrection to 1000 - fraudlent betting in stock market --> glorified excess

Initial history of white collar crime.

1939 - Edwin Sutherland coined white collar - higher socioeconomical background - don't get caught/ not in your face White-collar crime refers to financially motivated nonviolent crime committed by business and government professionals.[1] Within criminology, it was first defined by sociologist Edwin Sutherland in 1939 as "a crime committed by a person of respectability and high social status in the course of his occupation". Typical white-collar crimes include fraud, bribery, Ponzi schemes, insider trading, embezzlement, cybercrime, copyright infringement, money laundering, identity theft, and forgery.

What is a whistle-blower?

A whistleblower (whistle-blower or whistle blower)[1] is a person who exposes any kind of information or activity that is deemed illegal, dishonest, or not correct within an organization that is either private or public.[2] The information of alleged wrongdoing can be classified in many ways: violation of company policy/rules, law, regulation, or threat to public interest/national security, as well as fraud, and corruption.[3] Those who become whistleblowers can choose to bring information or allegations to surface either internally or externally.

Three forms that can identify white collar crime and examples of both.

Cross Sectional Studies of large corporations Offenses include adminsitartive violations, such as failure to report information to authorities; financial violations such as illegal payments; labor violations, such as occupational safety and health violations; manufacturing violations, such as the marketing of unsafe products; illegal trade practices, such as price fixing. Industry-Specific Studies-Securities Indsutry. Excessive trading, unsuitable recommendations, unauthorized trading, and improper mutual fund switching. Victimization Surveys—sought to measure the public's exposer to white collar crime.

The three types of embezzler

Embezzlement is an act of dishonestly withholding assets for the purpose of conversion (theft) of such assets, by one or more persons to whom the assets were entrusted, either to be held or to be used for specific purposes.[1] Embezzlement is a type of financial fraud, e.g. a lawyer might embezzle funds from the trust accounts of his or her clients; a financial advisor might embezzle the funds of investors; and a husband or a wife might embezzle funds from a bank account jointly held with the spouse.

What is Pump and Dump?

Microcap stock swindlers post messages on 'investors' bulletin boards and chat rooms, which abound on the internet, about supposedly major developments at small companies. The object is to build interest in and increase buying of the stock so that the price will shoot up. The people behind the fabricated messages then sell their shares on the run-up at an inflated profit and leave other stockholders with near-worthless paper when the tock inenvitably plummets.

What is OSHA stand for?

Occupational Safety and Health Act (1970). to assure as far as possible every working man and woman in the Nation safe and healthful working conditions

What is the EPA stand for?

The United States Environmental Protection Agency Goals of the Agency: Change Perception (local and national) of Love Canal from dangerous to benign Obtain credible data that 50 nation's most dangerous hazardous waste sites have been rendered benign Provide credible proof that industries operating today are not dangerous to the public health.

Why does the government have little oversight on investigating religious organizations?

The government generally has been reluctant to involve itself in the policing of religious commerce because of the First Amendment's protection regarding the free exercise of religion, and thus a considerable reliance has been put on self-regulation. National Religious Broadcasters approved a stronger code of ethics in order to restore credibility in its financial and fundraising activities

Why do churches and religious organizations have poor practices that prevent embezzlement.

is society's consciousness of itself. "it is true that the church is not a company.... But it is comprised of people, finances, and facilities. To thwart embezzlement, parishes and dioceses clearly need to be more vigilant, more transparent in the way they handle money and more accountable for what happens to it.

What is postponed violence?

less obvious, less immediate, less directly traceable to its perpetrators than the violence associated with street crime it is NO less devastating. (example: Tobacco Industry). CHAPTER 3:

What influence does the mass media have?

most influential sources of for the social construction of reality. Since almost all Americans have access to the same media, we tend to construct similar social realities—a process that communication theories George Gerbner has termed worldview cultivation