Business fraud is much more common than people think. This type of fraud can include criminal offenses people, often employees, commit against businesses. The main reason people commit business fraud is to steal property or money from a business, customers, or employees. Business fraud can take many forms. Below, our Ouachita Parish theft crime lawyer outlines the six main types of this offense.
Business managers and owners may falsify income information so the business is in a lower tax bracket and therefore, are not liable for paying as many taxes. Business owners may also include illegal deductions on their tax return. In some cases, business owners may refuse to pay their taxes, which is tax evasion.
Financial Statement Fraud
Financial statement fraud occurs when a business owner or manager attempts to inflate assets or income, or tries to make debts appear less serious. People commit financial statement fraud for a number of reasons. They may want to hide the fact that they failed to reach their goals, or use fraudulent information to obtain a loan.
Like other types of business fraud, corruption can also take many forms. Money laundering, accepting bribes, failing to report transactions, manipulating elections, and dealing with criminals are just a few types of corruption classified as business fraud.
Asset misappropriation is a type of business fraud that is often committed by employees of a company. Like other types of fraud, asset misappropriation is considered a white collar crime. When committing this offense, employees may steal property or assets from a business. For example, an employee may steal inventory items or expensive equipment so they can sell it and keep the proceeds for themselves.
Payroll fraud occurs when an individual illegally obtains company profits and attempts to make it appear as though it was payment for work. Falsifying timesheets, issuing bonuses without proper authorization, and making payments to an employee who does not exist are all common types of payroll fraud. Employees sometimes commit this type of fraud when they have access to the payroll system. Other times, though, this criminal offense is committed by hackers who illegally obtain access to the payroll system.
Identity theft happens in a number of different ways. Hackers may access information about the business or its customers and employees and misuse it for personal financial gain. Employees may also steal a customer’s personal information and use it to steal from them. With the right type of information, employees can also steal from the businesses they work for.
Our Theft Crime Lawyer in Ouachita Parish Can Defend Your Case
Being charged with business fraud can result in a forfeiture of your freedom, your reputation, and future opportunities. At Whiddon Criminal Defense, our Ouachita Parish theft crime lawyer can prepare the strong defense you need to beat your charges and retain your freedom. Call us now at 318-594-3592 or contact us online to schedule a free consultation and to learn more about how we can help.