Understanding the Various Kinds of White-collar Crimes

Posted on: 19 August 2016

Criminal activities have evolved over the years. Technological advancement has widened the scope of crime beyond physical injury and outright violation of the civil rights of another person. A good example is white-collar crime. White-collar crime is a form of non-violent crime that is motivated by the need to make financial gains or cut financial losses. In most cases, people of respectable social status or technical expertise and means to manipulate existing systems and regulations are the ones who commit white-collar crime. Here are some few categories of white-collar crimes that you should be aware of:

Insider Trading

Corporations engage in the sale and purchase of financial securities such as shares and bonds. Just like most investments, there is no certainty of making a profit, as the prices are dependent on the dynamic securities and investments markets. To provide a fair ground for business, investors with an interest in the securities of the firm should not have access to the crucial financial information about their pricing so that they can sell or buy securities spontaneously to make more profit than other investors would. If you have access to such information by virtue of your relationship with the corporation as an employee, business partner, supplier or contractor, keep it private and confidential. Revealing such information to other people with an intention of helping them to maximise their gains amounts to insider trading.

Extortion by Official Cover

Obtaining the property of another should be on mutual agreement with the owner of that property. This could be an ordinary purchase, a lease, or gift where both parties agree to pass the ownership of that property. Extortion by official cover is a means of illegally obtaining the property of another, knowing pretty well that they will not institute legal proceedings against you by virtue of your master-subordinate relationship.

Mobile Phone Fraud

Mobile phone fraud is another form of white-collar crime. It includes tampering, manipulation, and unauthorised use of mobile phone and their associated service providers. Signing up for mobile phone services under false registration, cloning (copying) valid electronic serial numbers, and using computer programs to avoid service charges all add up to the mobile phone fraud docket.


Blackmail is a white-collar crime where the perpetrator demands financial benefits under threat to cause bodily harm and damage property, or even cause reveal information that is private and confidential. You are liable to a legal fine, jail term, or both if proven that your threats were driven by your desire to make financial gain.

For more information, talk to a lawyer.


Selling my house to the kids

I am getting older and the family house is a bit too much for me these days. My daughter has offered to buy the family house from me and will let me continue to live in the granny flat. I want to make sure it's all legal and doesn't impact on my arrangements in my will. I know that there are a lot of older people in the same position as me: looking to keep the house in the family, seeking extra cash, and trying to avoid legal issues later. This blog has the tips on how to make sure the arrangement is legal and suits everyone.