Brief Explanation of Economic and Financial Crime.

Summary

This video delves into the history and concept of economic and financial crime, emerging in the 20th century. It distinguishes between traditional and economic crimes, with the latter often committed by individuals with high social status for financial gain. The video highlights 'white-collar crime', emphasizing that crime is not confined to any social class. Profiling the typical offender as a skilled, financially-focused individual, it critiques the focus on street crime over these white-collar offenses. Economic and financial crimes, as defined by Europol, involve illegal acts for financial or professional advantage, and their growth is linked to economic globalization and inadequate oversight.

Takeaways

• 📚 Economic and financial crimes emerged in the 20th century, distinct from traditional crimes.
• 👔 Bonger in 1905 differentiated economic crime, often committed for property, from traditional crimes.
• 🎩 Sutherland in 1940 highlighted 'white-collar crime', committed by individuals with high social status.
• 🔍 White-collar crime is a research tool to study crimes by the upper classes, not just a description of criminals.
• 💼 These crimes often require access to certain jobs or positions of power to be executed.
• 👤 The typical economic crime perpetrator is a 36-45-year-old male working in finance with a high position.
• 💰 The motive behind economic crimes is usually economic gain, such as financial or professional advantage.
• 🌐 Economic crimes are linked to corruption, tax evasion, fraud, and money laundering, among others.
• 🌐 Europol defines economic crime as illegal acts for financial or professional advantage.
• 🌐 The growth of economic crimes is attributed to economic globalization and lack of oversight.

Q & A

What is the historical context of economic and financial crime?

Economic and financial crimes began to emerge in the 20th century. Bonger in 1905 was among the first to distinguish between traditional crimes and economic crimes, which are committed by businessmen for property derived from capitalism and speculative logic.

How did Sutherland contribute to the understanding of economic and financial crime?

Sutherland, in 1940, addressed the issue of 'white-collar crime', arguing that these crimes are committed by people with high social status and power, showing that crime occurs across all social classes.

What is the purpose of the term 'white-collar crime'?

The term 'white-collar crime' is used as a research tool to guide the study and analysis of crimes committed by individuals belonging to the upper classes of society, rather than to describe crimes or criminals directly.

What are some examples of white-collar crimes mentioned in the script?

Examples of white-collar crimes include fraud, abuse of power, corruption, and mismanagement.

Why does Sutherland criticize the focus on traditional crime over white-collar crime?

Sutherland criticizes the lack of attention on white-collar crime and the fact that efforts are primarily made to abolish scenario or street crime, which is where most convictions and prison sentences occur.

What is the typical profile of a white-collar criminal according to the script?

A study concluded that a typical white-collar criminal is a man aged 36-45, working in the financial area, often an employee of a company, committing crimes against his own employer, usually holding a high position, with high skills and knowledge, and having worked in the same company for more than 10 years.

What motivates white-collar criminals to commit crimes, according to the script?

White-collar criminals commit crimes not as a career goal but due to greed and the benefits they can gain from the weaknesses of the instances of controllers.

How does the script suggest that economic and financial crimes are evolving?

The script suggests that due to constant social and economic changes, new ways of committing white-collar crimes, such as new methods of money laundering, may emerge.

What is the definition of economic crime according to Europol as mentioned in the script?

According to Europol, economic crime, also known as financial crime, refers to illegal acts committed by an individual or a group to obtain a financial or professional advantage, with the main motive being economic gain.

How does the globalization of the economy contribute to the growth of economic and financial crimes?

The evolution and growth of economic and financial crimes are due to the globalization of the economy and the lack of supervision associated with it.

How do economic and financial crimes impact the economy and market rules?

Economic and financial crimes tend to go against the normal functioning of the economy and established market rules, causing disruptions and potentially undermining trust and stability.