Many forms of fraud are illegal at both the state and federal levels. However, those facing white-collar criminal charges often end up in federal court.
Numerous factors contribute to the likelihood of federal prosecution, including which law enforcement agencies investigate the situation and the scope of any conspiracy that may have contributed to the fraud. The location of the person accused and the people affected by the alleged fraud is also a consideration, as interstate offenses are likely federal matters.
Many different types of fraud are likely to trigger federal charges, but the three below are among the most common forms of fraud prosecuted in federal court.
1. Mail fraud
There are many ways for those engaging in fraudulent economic activity to misused the services of the United States Postal Service (USPS) is part of that scheme. The distribution of marketing materials through the mail or a request for someone to send a check in the mail could be adequate reason for federal mail fraud charges.
2. Health care fraud
Health care fraud frequently involves inappropriate insurance billing practices. Especially in scenarios where health care providers, coders or billers allegedly misrepresented matters to government insurance programs, such as Medicare or Medicaid, The people involved in inappropriate medical billing face charges in federal court instead of state charges, even if they didn’t directly profit from their billing practices.
3. Wire fraud
Contrary to what some people assume, wire fraud does not relate to wire transfers through the Federal Reserve. Instead, wire fraud involves the use of telecommunications systems for a fraudulent scheme. Using telephones, fax machines or the internet to manipulate people, spread inaccurate information or transfer money could lead to federal wire fraud charges.
Federal prosecution puts people at risk of lengthy mandatory minimum sentences. They may also face incarceration in a facility far from home.
Those subject to federal investigations or indicted for federal fraud charges need assistance evaluating the state’s case and preparing to fight the charges in federal court. Consulting with an attorney of familiar with the complexities of white-collar crimes and federal prosecution can make a major difference for those implicated in fraud cases.