fraud

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Related to defrauded: fraudulently, finagler

Fraud

Any attempt to deceive another for financial gain. A clear example of fraud is selling a new issue that does not really exist. That is, the company can collect money from investors and, rather than use it to finance operations, pocket the money and do nothing. There are a number of types of fraud. Common types include forgery of documents, false claims in insurance, and filing bankruptcy to avoid debt rather than because of financial hardship.

fraud

Deception carried out for the purpose of achieving personal gain while causing injury to another party. For example, selling a new security issue while intentionally concealing important facts related to the issue is fraud.

fraud

the gaining of financial advantage by a person who deliberately deceives another person or business, by mispresenting himself.

fraud

A deceitful practice. Fraud consists of a misrepresentation of a material fact that is relied upon by another party to his or her detriment.There is no requirement that the misrepresentation be intentional.The thing misrepresented must be a fact; it is very difficult to prove fraud when one fails to fulfill his or her obligations but had good intentions in the beginning.

There are three types of fraud:

1. Intentional fraud. Punitive damages may be assessed for this type of fraud.

2. Negligent fraud. As when one makes a statement recklessly but without any intention to deceive, and someone relies on that statement and is injured when it turns out to be false. One example would be a real estate agent telling a buyer that all appliances are new when, in reality, the agent didn't know but thought they looked new. Depending on the degree of recklessness involved, this type of fraud may or may not support punitive damages.

3. Innocent fraud. As when one takes steps to confirm facts but is perhaps mistaken or given mistaken information, and then relays that information to someone else who relied on it and was injured.

The Statute of Frauds is a rule that says certain contracts must be in writing, including contracts having to do with real estate. It has nothing to do with fraud, per se, except to protect against possible fraud by requiring a writing.

References in periodicals archive ?
The money he defrauded was fees to be paid to barristers and solicitors.
You say to Playa Vista, `You hired someone who abused and misused, who defrauded the city.
Houston, Philadelphia and Seattle, is active in major litigations pending in federal and state courts throughout the United States and has taken a leading role in many important actions on behalf of defrauded investors, consumers, and companies, as well as victims of human rights violations.
In that matter the government alleged that the company defrauded GSA during the negotiation and administration of two procurement contracts, in effect during the period 1984 through 1990, having a combined value of more than five million dollars.
Deo defrauded Medicare by billing for medical equipment, such as wheelchairs, that was never received by the Medicare beneficiary or was not medically necessary, Mrozek said.
According to the indictment, the defendants defrauded Dime by deceiving the bank into believing that buyers of condominium units at a project owned by Furber and Hamel known as Gaslight Village, located at 208-214 Washington St.
The fraudulent activity involves an expanding organization that systematically defrauded the insurers and their customers of millions of dollars per year.
NORTH HOLLYWOOD - State Department of Justice agents raided two of the state's biggest gun shops Tuesday, alleging the shops defrauded gun buyers out of thousands of dollars over the last two years.
This action seeks to recover damages on behalf of defrauded investors who purchased Annuity and Life securities.