The New York Criminal Law Blog

Fraud and White Collar Crime in New York

The con artist has long been a subject of fascination even in places like Park Avenue, but the reality of fraud and white collar crime is almost always less glamorous and causes real pain. The story of jailed investor Bernie Madoff illustrates just how much financial damage one person can inflict through deception. Fraud comes in many forms; insurance fraud, for example, most often occurs when someone makes a false or exaggerated insurance claim for the purpose of collecting excess compensation. But so-called white collar crime covers a broad spectrum of non-violent crimes committed for monetary gain, including money laundering and tax evasion.

White collar crime and fraud usually involve very complicated matters of law best handled by a New York criminal attorney. While such crimes are taken seriously by law enforcement, those convicted of white collar crime typically are not considered dangerous and are seldom placed in prisons alongside violent offenders. In the city that never sleeps, you don’t want to lose sleep. Consulting a New York criminal defense attorney can help someone who has been charged with a white collar crime.

Recently in Fraud & White Collar Crime Category

Online Fraud and Identity Theft: Vigilance and Common Sense

Want to stay safe online? Three words: paranoia and common sense.

Back in the days of dial-up, no one shopped on the Internet. True geeks and crazy collectors would shop on eBay, but your momma certainly wouldn't. Thanks in large part to online security measures such as encryption and secure connections, even Grandma is on Amazon. Even with these protections however, online fraud and identity theft present a surprisingly common problem.

The good news is steps that can be taken to reduce your chances of becoming a victim of cyber-crime. Many of these steps are free. If you have already been hacked, we've also got information on remedying the problem.

It Wasn't Me, it Was Me: NY Doc Blames Multiple Personalities

Dr. Diana Williamson is a controversial figure with a controversial diagnosis. Once lauded for her work in AIDS research, she is now facing up to fourteen years in prison after she participated in a Medicare fraud scheme that distributed nearly 28,000 oxycodone pills and defrauded Medicaid of more than $300,000, reports the Wall Street Journal. What makes her story different from the ordinary “fall from grace” stereotype is her justification for her actions.

She blames two of her other eleven personalities.

State Senator Shirley Huntley Faces Felony Charges for Corruption

She should've seen this coming. Late last year, four associates of Queens State Senator Shirley Huntley were indicted for swiping $30,000 worth of state aid from a nonprofit meant to help parents navigate the inner workings of New York City's school system. According to The New York Times, one of those charged with the theft worked on Huntley's staff. Another lived at Huntley's residence.

The nonprofit that prosecutors say never helped a soul, Parents Workshop, was set up by Huntley. Funding came from earmarks funneled by her from the state's member item fund. Despite the ties to the alleged criminal enterprise and perpetrators, State Senator Huntley was not charged back in December.

Morgan Stanley Broker Identified with Upper East Side Madame

Last week, Anna Gristina was arrested and charged with running a brothel for the rich in the Upper East Side. At the time of her arrest, an unidentified Morgan Stanley broker was allegedly with the accused Madame.

Now, that broker has been identified as David Spencer Walker, a long-time Wall Street veteran, and it is being reported that the two were discussing financing for a new business venture.

So is the newest hot IPO a whore house?

Racetrack Comp Card Scheme Nets Several Arrests

If you've ever been to a casino, you may think that comp cards are a good thing. If a casino gives you one of these cards, this is your key to the front of the lines, free buffets, tickets to shows, and even free hotel rooms.

Comp cards have real value, so a pair of employees at the Aqueduct Racino were caught in a casino comp card scheme where they allegedly traded these cards to gamblers for real money.

And if not for their stupidity, the fraudsters probably would never have been caught.

Credit Suisse Fraud: Two Traders Plead Guilty to Fraud

It's taken some time, but financial executives and traders who have remained largely unscathed following the 2008 financial crisis are finally facing criminal penalties for the role they played in the historic economic collapse.

Two former Credit Suisse Group traders pleaded guilty for the roles they played in the collapse last week. One trader admitted to falsifying books in an effort to artificially supporting the price of securities backed by mortgages and hiding losses as the housing market plunged, reports the New York Post. Another trader admitted to conspiracy. While these traders deal with their criminal charges, the senior executives who oversaw the alleged Credit Suisse fraud have so far not faced criminal charges.

18 New Yorkers Arrested for Workers' Comp Fraud

In a sweeping investigation, 18 people in 13 New York counties were arrested for workers’ comp fraud. None of the fraud cases were related, and anyone who has ever engaged in fraud may want to have their NYC criminal lawyer on speed dial as the investigation targeted everyday employees who allegedly took advantage of the system and not high-level multi-million dollar fraud schemes.

State officials called the workers’ comp fraud a crime against every honest New Yorker who pays taxes and has to bear the higher financial burden due to the fraud, reports the Insurance Journal.

Former Owner of Brooklyn Heights Cinema Guilty of Fraud

Norman Adie, the former owner of Brooklyn Heights Cinema, has pleaded guilty to stealing more than $500,000 from investors and could go to jail for 80 years.

Adie allegedly concocted a scheme where he conned investors to give him their money in bogus development plans including building condos on the site of the twin-screen theater in Brooklyn, reports the New York Post.

Jon Corzine to Plead Fifth Re Missing $1.2 Billion?

Surprisingly, the answer is no. Congress is looking into the Jon Corzine MF Global collapse, but the former New Jersey governor says he will not invoke his Fifth Amendment right to remain silent.

Still, despite not pleading the fifth, it’s unlikely that lawmakers will get any answers from Corzine.

Congress has opened up hearings looking into MF Global’s collapse and the missing $1.2 billion of investor funds, reports the New York Post. The securities firm filed for bankruptcy in October and there are a swarm of questions as to why the firm collapsed and what happened to investors’ money in the firm.

New Assemblyman William Boyland Bribery Charges

Not one month after being acquitted of bribery and corruption, Assemblyman William Boyland is facing a whole new set of bribery charges.

What makes the William Boyland bribery charges so egregious is that he is alleged to have engaged in the illegal activity during his defense of the original bribery charges, reports the New York Post.