What is the Crime of Fraud?
According to the Federal Penal Code, a person commits the crime of fraud by deceiving someone or taking advantage of their error to illicitly acquire something or gain an undue profit.
Example of the Crime of Fraud
The crime of fraud harms individuals in their assets. A person committing fraud relies on deception or exploits the victim’s mistake to obtain a good or right that belongs to them or to gain profit improperly. A classic and easy-to-understand example of fraud is that of a seller who deceives a customer by offering a “gold” chain for sale at a specific price. The customer buys the chain and pays the price; the seller receives the payment. Later, the buyer realizes that the chain is not gold but merely metal painted gold.
