SEARCH THE BUSINESS GLOSSARY
- deliberate action by individual or entity to cheat another, causing damage. There is typically a misrepresentation to deceive, or purposeful withholding of material data needed for a proper decision. An example of fraud is when a bookkeeper falsifies records in order to steal money.See also negligence .
- falsification of a tax return by an individual. Examples of tax fraud are intentionally not reporting taxable income or overstating expenses. Tax fraud is a criminal act.
intentional misrepresentation, concealment, or omission of the truth for the purpose of deception or manipulation to the detriment of a person or an organization. Fraud is a legal concept and the application of the term in a specific instance should be determined by a legal expert.
intentional deception resulting in injury to another, as when a person makes false statements, conceals or omits material facts. A false statement is fraudulent if it is made knowingly, without believing it to be true, or carelessly stated, without regard for the truth. Persons suffering a loss from a fraudulent transaction have legal recourse under the Uniform Commercial Code only if the contract is a written agreement, is valued at $500 or more, and is signed by the person owing the money or his agent. Legal protections against consumer credit fraud, for example, credit card fraud, are enforceable under federal and state laws.See also statute of frauds
intentional deception resulting in injury to another. Fraud usually consists of a misrepresentation, concealment, or nondisclosure of a material fact, or at least misleading conduct, devices, or contrivance.
dishonest act. Coverage for loss by fraud (not liability for committing fraud) is provided under the various bonds and crime insurance policies.See also fidelity bond
the intentional use of deception to cause another person to suffer loss.
Example: Abel purchases property from Baker. Abel later discovers that Baker did not hold title to the property and had no right to sell. Baker was guilty of fraud and is liable for damages suffered by Abel in the purchase of the property.
Copyright © 2006, 2003, 1998, 1995, 1991, 1987, 1985 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright c 2006, 2000, 1997, 1993, 1990 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2007, 2000, 1997, 1987, by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2000, 1995, 1991, 1987 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2004, 2000, 1997, 1993, 1987, 1984 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.