[Updated] Is Embezzlement a Felony [Florida, California, NC, Ohio]:
What is embezzlement?
The misappropriation of funds is the act of taking money that has been deposited in trust but belongs to another person. For example, a person who works in a bank and steals money in secret that is supposed to be in the vault. The money does not belong to that person, but to the customer of the bank (the customer who gave the money to the cashier).
Embezzlement is a crime that authorities and officials can commit in the performance of their duties. In their capacity as depositories of public resources, they divert funds for private or private purposes.
Therefore, we find a crime of misappropriation, but the fundamental characteristic is that this crime must be committed by a public employee or high-level official. Read also: how much embezzlement is a felony
Types of embezzlement:
You can distinguish between two major types of embezzlement. In both, there must be a malicious behavior.
Appropriative misappropriation: The official or authority in charge of managing public resources applies them to their personal interest and integrates them into their assets.
Embezzlement of use: The official does not appropriate the resources he manages, but instead diverts them for a purpose other than the one for which they were to be used.
Individuals may incur a crime of embezzlement in the following circumstances:
When they are in charge of funds, rents or effects of the Public Administrations.
When they are legally designated as depositories of funds or public funds.
When they are the administrators or depositories of money or property seized, kidnapped or deposited by the public authority, even if they belong to individuals.
What is the white-collar crime of insurance fraud?
Many Americans have different types of insurance designed to protect them from the high financial consequences of certain situations. For example, many Americans pay for car insurance, for homeowners or renters of homes and health insurance.
These types of insurance policies protect their holders in the event of a certain qualified event, such as a traffic accident, a theft in the home or an illness. Insurance companies can pay a lot of money to cover these types of costly incidents. For that reason, some people try to commit the crime of white glove insurance fraud, to try to get the insurance money without the occurrence of the qualified event.
The crime of insurance fraud: is embezzlement a felony?
There are different ways to hold a person who makes a fraudulent insurance claim accountable. The vast majority of states consider insurance fraud to be a state crime, and the federal government considers fraudulent claims filed with an insurer a federal crime.
Some states classify insurance fraud into two categories. The first category is serious fraud, which is defined as a claim made by a person who purposely plans or invents the loss to receive the payment. For example, a person who wants to have a new car destroys their current vehicle to collect the insurance. The second category is light fraud, which is defined as a legitimate claim that is exaggerated in order to obtain an additional economic benefit.
For example, a person who has a broken pipe in his house and claims that the water damaged clothing and valuable books that actually dried up without a problem.
Most professionals are in a unique position to commit insurance fraud. Some professionals regularly bill insurance companies for payments in which they could add some claims for jobs that did not actually occur. Read also: Is embezzlement a felony or misdemeanor in Ohio
Doctors and dentists, for example, can bill insurers for procedures they did not perform or auto mechanics can charge insurance companies for repairs they did not make.
Possible penalties for the commission of insurance fraud:
Most state governments and the federal government impose a fine and a prison sentence on those convicted of insurance fraud. The exact penalties vary between states and depend on the level of fraud for which the defendant is convicted. Read also: is embezzlement a felony or misdemeanor
It is often said that in white-collar crimes there are no victims because they are not violent. However, that description is not exact. We all pay for the crime of insurance fraud by paying higher insurance premiums. It is a real problem that affects all insured Americans, and it is a crime that implies an important punishment for those who commit it.
Therefore, the federal government and state governments have an important responsibility when it comes to bringing a white-collar crime of insurance fraud to trial, to make sure that the insurance system works fairly and efficiently and that the honest Americans can continue to pay for quality insurance policies.
Speak Today with a Qualified Attorney in Embezzlement:
This article aims to be useful and informative. But legal issues can be complicated and stressful. A qualified money laundering attorney can address your particular legal needs, explain the law and represent you in court. Take the first step now and contact a qualified malfeasance attorney near you to discuss your specific legal situation.