History of Economic Crimes
Economic crime is a phenomenon that has existed with human society from
the very beginning. Along with the development of trade and industry, the
wrongdoings of stealing, cheating, and lying have been through. Nowadays,
these crimes are taking the forms of shoplifting, stealing money from the
company, fraud in the corporation, and polluting the environment, among
others. The internet and global trade have created even more sophisticated
ways for criminals to operate, hence making economic crime more complex
and widespread.
Blue-Collar Theft
A blue-collar crime is generally understood to mean any theft or property
crime that is done by people in their daily environments; thus, it usually
refers to crimes of lower seriousness. The following are examples
highlighting the same:
Larceny: this is basically the criminal act of taking someone else's property
without their consent.
Shoplifting: This is one of the main forms of retail theft, which in turn has
different types like "boosters" (professionals) and "snitches" (amateurs).
Burglary: This is the act of trespassing into a building with the intention of
committing a crime.
Motor Vehicle Theft: This consists of joyriding, short-term use, and
professional resale operations.
When it comes to blue-collar thefts, they can be either opportunistic or
premeditated. There are a lot of offenders who are habitual criminals, while
others resort to such crimes because of poverty, drug addiction, etc.
Amateur vs. Professional Thieves
Theft can be divided into two broad categories:
Amateur thieves: those who take advantage of any opportunity, act
impulsively, and are mostly inexperienced.
Professional thieves: they are very skilled, and their operations are well-
planned. They take stealing as a job, carrying out the theft silently with
maximum profit and minimum loss.
The textbook cites as an example the Cuban Mob, a group that is behind a
huge pharmaceutical theft in Connecticut. Their activities—watching the
place, disabling alarms, and precise entry—demonstrate a very high level of
criminal skill.
White-Collar Crime
White-collar crime, a term introduced by Edwin Sutherland, denotes illicit
acts carried out by people in power “during the course of their occupation.”
Such crimes are usually non-violent in nature but still cause great financial
and social damage.
Some of the examples are
Corporate fraud
Embezzlement
Insider trading
Bribery
Insurance fraud
Ponzi schemes (e.g., Bernie Madoff)
White-collar criminals use various methods involving deceit, guile, or insider
info rather than the old-fashioned way of the gun. The reporting of these
crimes and the punishment consequently given are less than expected
because, in most cases, the culprits are powerful and have resources at their
disposal.
Green-Collar Crime
Green-collar crime is a modern term that signifies environmental infractions
by the industry or individuals. The following are examples:
Illegal disposal of poisonous waste
Contamination of the atmosphere and water
Unethical exploitation and destruction of habitats for profits
Noncompliance with environmental laws
Green-collar crimes are often the result of corporate greed and poor
regulations. Their impact is not just long-term but also widespread, thus
affecting the environment and public health along with the communities and
wildlife.
Enforcement and Challenges
It is very difficult to detect and prosecute white- and green-collar crimes
compared to street crime. Some of the reasons are:
Complex paper trails
Well-funded legal defenses
Difficulty proving intent
Political and economic influence
The FBI, SEC, EPA, and IRS are some of the agencies that investigate these
crimes. The punitive measures can be in the form of fines, imprisonment,
and restitution, but the enforcement is often erratic.
Control Strategies
Different strategies are in place to deal with economic crimes:
Compliance programs within corporations
Regulatory oversight (e.g., audits, inspections)
Whistleblower protections
Public awareness campaigns
Use of technology and data analytics to detect fraud
Nonetheless, still, many experts say that the system is rigged in favor of
white-collar criminals and that reforms are needed to bring about equal
justice.