Legal Definitions - criminal fraud

Definition: Criminal fraud is a type of fraud that is illegal and can result in criminal penalties such as fines and imprisonment. It involves knowingly misrepresenting the truth or concealing a material fact to induce another person to act to their detriment. Fraud can also be a tort, which is a civil wrong that causes harm to someone, but in some cases, it can be a crime.

Examples:

• Bank fraud: This is the criminal offense of knowingly executing or attempting to execute a scheme or artifice to defraud a financial institution or obtain property owned by or under the control of a financial institution by means of false or fraudulent pretenses, representations, or promises.
• Bankruptcy fraud: This is a fraudulent act connected to a bankruptcy case, such as concealing assets or destroying, withholding, or falsifying documents in an effort to defeat bankruptcy-code provisions.
• Tax fraud: This is the willful evasion of taxes accomplished by filing a fraudulent tax return.

These examples illustrate criminal fraud because they involve intentionally deceiving others for personal gain, which is illegal and can result in criminal penalties.