Assignment 6

Edwin Sutherland and White-Collar Crime Author’s Name The Institutional Affiliation Course Number and Name Instructor Name Assignment Due Date Edwin Sutherland’s Definition of White-Collar Crime White-Collar crime is a felony committed by educated and socially-established individuals. Edward Sutherland identified two elements of white-collared crimes, namely misrepresentation of asset values and duplicity in the manipulation of power. The first element, misrepresentation of asset values, is similar to fraud since skilled individuals use analytical tactics to understate or overstate the asset values. Individuals understate asset values to evade taxes and overstate to attract investors. Most companies practice the first element to increase and overstate stock prices to attract investors (Le Maux & Smaili, 2023). However, the financial books have a different image of the company’s liquidity scenario, which investors avoid being uncovered. Besides, misrepresentation through understatement qualifies businesses to enjoy tax reliefs from the government, leading to minimal economic contributions regardless of profitability. Companies understand the asset values in financial books or import machinery under tax-relief categories to avoid economic costs. The action prevents businesses from paying the actual price of assets and enjoying profits in the long run. The second element is a double-cross approach. Skilled individuals hold antagonistic positions to acquire trust and manipulate the interests of other positions (Le Maux & Smaili, 2023). For instance, a football coach influences the match referee to manipulate decisions. Categories of White-Collar Crime Consumer Fraud Consumer fraud is an example of duplicity in manipulating power since fraudsters deceive buyers to purchase goods or services under legitimacy. For instance, internet scams are consumer fraud, in which buyers are positioned to make transactions with impersonate fraudsters. This fraud has human and economic costs for individuals since people lose valuable information, wealth, and assets due to duplicity of power (Michel & Galperin, 2023). Consumer fraud is life-threatening for individuals since fraudsters gain access to sensitive information to coerce buyers into making u...