White Collar Criminals

The historical development of the marketplace is important to study in relation to white collar crime because it demonstrates how and why white-collar crime was created. For example, when there is no marketplace, there is no white-collar crime. White collar crime is an outgrowth of the market becoming more complex. For example, with the emergence of the middle class, the division of labor was eventually created. The division of labor consisted of labor being divided by different workers or sections. This division creates a compartmentalization of the creation of products and avoids blame on one individual if a product was created faulty.

#5. Identify the principal agents who expose white collar crime in contemporary society. What factors motivate people to expose such crime, and what factors inhibit them from doing so? What specific policy measures can be adopted to encourage exposure of white collar crime?

In his article, Edwin H. Sutherland examines “white-collar crimes.” Sutherland first starts the article off by defining what exactly is a “crime.” Sutherland goes on to describe and discuss the antitrust laws. Next, he describes the Sherman Antitrust Act, and that it states that any violation of the law is a misdemeanor. Then, he discusses the three methods that are used to enforce the Sherman Antitrust Act. He then goes on to explain the laws regarding infringements of the law. He also discusses the law in regard to financial manipulations. He goes on to discuss the stigma on white-collar crimes and juvenile delinquency. He the discusses the laws for business regulations, and the consequences in violating this laws. Next, he explains the three

Edwin H. Sutherland is given credit for introducing the term white collar crime during the late 1930’s. However, in today’s times there is still confusion on the specific definition of what qualifies as a white collar crime and how it should be defined. In addition, there are key differences between conventional crimes and white collar crime in age, race, class, and other various factors. The media has added to these differences by portraying these two crimes quite differently. In regards to Sutherland, I found his study on 70 of the largest U.S. manufacturing, mining, and mercantile corporations and their wrongdoings. Sutherlands study confirmed that 97 percent of these corporations were criminal recidivists. Yet, in these corporations view

Until the early 1970s, the sentencing of crime convicts was based on the principle of rehabilitation of juvenile and adult offenders. Legislatures set maximum authorized sentences for various types of crimes and judges decided on the prison term or probation or fines. Correctional officials and parole boards had the powers to reduce the time served for good behavior and release prisoners early. In the 1980s and 1990s, the emphasis shifted to deterrence by imposing mandatory minimum sentences for certain types of crime, heavier sentences for habitual offenders and the “three-strike” rule for felony convictions. Public opinion supported these changes in the belief that prison terms were just retribution for crimes and incarceration kept criminals off the streets (Mackenzie, 2001).

It is thought that punishment prevents an individual from committing a future crime, or reoffending. Despite this belief, research examining the effects of incarceration and prison conditions has demonstrated

White-collar crime poses a vexing problem for the criminal justice system (CJS). It is an

White-collar crimes are just as prevalent today as ordinary street crimes. Studies show that criminal acts committed by white-collar criminals continue to increase due to unforeseen opportunities presented in the corporate world, but these crimes are often overlooked or minimally publicized in reference to criminal acts on the street. Many street crimes are viewed as unnecessary, horrendous crimes because they are committed by lower class citizens, whereas white collar crimes are illegal acts committed by seemingly respectable people whose occupational roles are considered successful and often admired by many (Piquero, 2014). These views often allow white collar crimes to “slip through the cracks” and carry lesser charges or punishment.

Social Learning Theory and Neutralization can be useful explanations for white collar crimes. Operant Conditioning first identified by B.F. Skinner, suggests that changing a behavior is determined by the use of reinforcement (increase the likelihood the behavior will be repeated), punishment (decreases the likelihood the behavior will be repeated), and a neutral operant (neither increase of decrease the likelihood of the behavior being repeated). In order to reinforce the behavior positively an individual would require a reinforcement that the individual feels is rewarding. In most white collar crimes money is the reinforcer or incentive, whether that is for the individual or the group. Psychologically, white collar criminals share the same

Organizational crime is criminal actions taken by large groups such as companies, businesses, or organizations. White-collar criminals are responsible for more deaths per year than all murderers combined (Barkan, 2012). Overall, white-collar criminals are less easily detected by law enforcement than street criminals.

White collar crime is often associated with crimes committed within businesses. These include different forms of fraud such as tax fraud, welfare fraud, money laundering, and property crime (Simpson & Benson, 2009: 42). These forms of white collar crime often have a huge impact on the welfare of the society in profound ways. For instance, according to an article authored by McGrath, a company that suffers losses from fraud must make up for this loss by for example raising the prices of its products. Hikes in prices would mean that consumers would be required to dig dipper into their pockets thus affecting their finances. The loss from fraud could also make the affected company to take drastic measures such as layoffs or implementing salary cuts for the employees (McGrath, n.d).

For this assignment I will examine a company that committed a white-collar crime and explain what that company did or how they were caught. Then, I will describe the impact that crime had on our society. Also, how do white-collar crimes differ from other forms of crimes and deviant behavior.

White-Collar Crime consists of occupational crime and corporate crime. Occupational crime refers to offences committed against legitimate institutions businesses or government by those with "respectable" social status. It includes the embezzlement of corporate funds, tax evasion, computer crime and expense-account fraud. It is not every day that we hear about white-collar crimes but these non-violent crimes are on the rise to the top. Federal Bureau of Investigation states that USA, for example recorded white collar crimes amounting $300 billion every year (Cornell University, 2010). White-collar crime is relatively a new idea. It has many aspects that are practical for study and further interpretation to clear some of its dark areas. White-Collar Crime was once introduced by Edwin Sutherland in 1939 during his speech in American Sociological Society. The following crimes actually performed are Bribery, Extortion, Insurance, Fraud, Embezzlement, Cybercrime etc. People who participate in these criminal activities are highly powerful and respectful among the society. The following activities include description about White-collar Crime, Investigation of White Collar Crime and The Consequences of committing a White-collar Crime.

In this day and age, a corporation, family, or individual always has a potential risk of encountering fraud within their money supply. On average, fraud and abuse costs U.S. organizations more than $400 billion annually (Federal Bureau Investigation, 2010). Many may think that white collared crime is only money laundering or stealing, but that is only two out of the sum that countless culprits get away with. The term “white-collar crime,” originally coined in 1939 is synonymous with the full range of frauds committed by business and government professionals (Federal Bureau Investigation, 2010). These frauds include anything from bankruptcy fraud, money laundering, identity theft, corporate fraud to a wide number of threats all circling

Quinney (1964), “Because the validity of white collar crime as a form of crime has been a subject of severe controversy, the question of conceptual clarity has largely been ignored. Today, as a result, the meaning of the concept is not always clear” (p208).