NCJ Number
56983
Date Published
1978
Length
20 pages
Annotation
PROBLEMS OF DETECTING WHITE-COLLAR CRIME AND STEPS TAKEN TO REGULATE SUCH CRIME IN THE UNITED STATES AND THE FEDERAL REPUBLIC OF GERMANY ARE OUTLINED.
Abstract
WHILE THE UNITED STATES HAS MADE SOME ATTEMPTS TO CONTROL CRIME IN CERTAIN AREAS, E.G., THROUGH THE SECURITIES AND EXCHANGE COMMISSION, THE GERMAN FEDERAL REPUBLIC HAS TENDED TO DENY THE EXISTENCE OF THE PROBLEM. TWO TYPES OF WHITE-COLLAR CRIME ARE THOSE WHICH CLEARLY INVOLVE FRAUD AND THOSE ON THE BORDERLINE OF THE ILLEGAL (E.G., INSIDER INFORMATION ABUSES IN SECURITIES TRADING, TAX EVASION). THE EXTENT OF MATERIAL DAMAGES ATTRIBUTABLE TO WHITE-COLLAR CRIME REMAINS UNCERTAIN IN ALL COUNTRIES. BECAUSE OF THE MARKED INTEREST OF U.S. AUTHORITIES IN CONTROLLING WHITE-COLLAR CRIME, A GREAT DEAL OF AMERICAN RESEARCH HAS BEEN PRODUCED IN THIS AREA, ALTHOUGH EMPIRICALLY VERIFIABLE RESEARCH HAS NOT APPEARED UNTIL RECENTLY IN EITHER THE UNITED STATES OR WEST GERMANY. RECENT STUDIES SUPPORT THE NOTION THAT WHITE-COLLAR CRIME IS CONTAGIOUS, SPREADING RAPIDLY ESPECIALLY AMONG YOUNG FIRMS JUST STARTING UP AND AFFECTING WHOLE SECTORS OF THE ECONOMY. THE PUBLIC REACTION TO SUCH CRIMES VARIES, BUT IN GENERAL, INDIVIDUALS INVOLVED IN BUSINESS HAVE NO OBJECTIONS TO PROFITS GAINED ILLEGALLY IF THE RISK OF DISCOVERY IS NOT GREAT. INSTRUMENTS OF SOCIAL CONTROL INCLUDE INTERVENTION OF THE STATE IN MARKET MECHANISMS, PRIVATE SUPERVISION OF PRIVATE ENTERPRISE, AND PREVENTIVE USE OF CRIMINAL LAW. U.S. LAWS GOVERNING WHITE-COLLAR CRIME, E.G., MAIL FRAUD STATUTES, POLITICAL CORRUPTION LAWS, AND LAWS PROHIBITING CONSPIRACY TO DEFRAUD THE GOVERNMENT, HAVE BEEN INEFFECTIVE AND ARE POOR MODELS FOR EUROPEAN COUNTRIES. SUCH AMERICAN PRACTICES AS PLEA BARGAINING PREVENT THE ACTIVITIES OF WHITE-COLLAR OFFENDERS FROM BEING DISCOVERED. ON THE WHOLE, HOWEVER, THE AMERICAN SYSTEM OF ECONOMIC CRIME CONTROL BY AGENCIES WITHOUT CRIMINAL INVESTIGATIVE RESPONSIBILITIES, WITH REFERRALS OF MORE SERIOUS CRIMES TO CRIMINAL AUTHORITIES, HAS BEEN SUCCESSFUL. A NUMBER OF NOTES ARE PROVIDED. --IN GERMAN. (KMD)