1. White Collar Crime

2. White Collar Crime components
A fraud
Involves the violation of a social relationship of trust
Involves some measure of surreptitious activity
Involves some measure of creativity

3. Ermann and Lundman typology
Deviance Against Owners Deviance Against Employees Deviance Against Customers Deviance Against the Public

4. Deviance Against Owners
1. Constitution Foods, Lumber, and Mint 2. Travel Chalet 3. Enron 4. Equity Funding

5. Deviance Against Owners
Lessons learned:
Appeal to the greed of the mark
Difficult and costly to prosecute, so cases are often not pursued, and if pursued hard to win
a. often complex; difficult for prosecutor to
explain things to the jurors
b. very easy for defense to confuse jurors
c. defendants are often “upstanding citizens”

6. Deviance Against Employees
Unsafe working conditions (OSHA)
Coal mines
Asbestos
Meat packing plants
Raiding pension funds
Enron
Hoffa
Deposit/loan kickback schemes

7. Deviance Against Customers
*Filing false financial reports (Enron; Equity Funding) *Sale of defective products (Corvair; Pinto) *Dumping defective products *Manufacturing & sale of counterfeit products *Stock and bond fraud (Ponzi scams; insider trading) *Bid rigging and price fixing (TVA scandal)

8. Deviance Against the Public
* Environmental degradation (Bhopal: Love Canal; Rocky Flats) *Tax fraud/tax evasion (Times Mirror) * Identity theft * General financial fraud (land fraud, oil fraud, check kiting, illegal campaign contributions, medical fraud, contract fraud) * Money laundering