White Collar Crime Convictions for June 2016
The latest available data from the Justice Department show that during June 2016 the government reported 485 new white collar crime convictions. According to the case-by-case information analyzed by the Transactional Records Access Clearinghouse (TRAC), this number is up 3.2 percent over the previous month.
White Collar Crime
This report summarizes the government's recent efforts when it comes to combating white collar crime — the number of such cases, the investigative agencies involved, the laws cited, the busiest federal districts and the busiest federal judges.
See more...The comparisons of the number of defendants convicted for white collar crime-related offenses are based on case-by-case information obtained by TRAC under the Freedom of Information Act from the Executive Office for United States Attorneys (see Table 1).
When monthly 2016 convictions of this type are compared with those of the same period in the previous year, the number of convictions was down (-9.2%). Convictions over the past year are still much lower than they were five years ago. Overall, the data show that convictions of this type are down 24.1 percent from levels reported in 2011.
The dip in these cases is partly related to increases in the matters filed in U.S. Magistrate Courts. If magistrate cases are excluded and only Federal District Court cases are counted, the overall decrease in white collar crime convictions is 12.5 percent instead of 24.1 percent. The evidence suggests that part of the difference may be the result of improvements in the recording of the magistrate cases by the Justice Department.
The decrease from the levels five years ago in white collar crime convictions for these matters is shown more clearly in Figure 1. The vertical bars in Figure 1 represent the number of white collar crime convictions of this type recorded on a month-to-month basis. Where a prosecution was initially filed in U.S. Magistrate Court and then transferred to the U.S. District Court, the magistrate filing date was used since this provides an earlier indicator of actual trends. The superimposed line on the bars plots the six-month moving average so that natural fluctuations are smoothed out. The one and five-year rates of change in Table 1 and in the sections that follow are all based upon this six-month moving average. To view trends year-by-year rather than month-by-month, see TRAC's annual report series for a broader picture.
Within the broad category of white collar crime, cases were classified by prosecutors into more specific types.
Case types within white collar crime are
• Federal Procurement Fraud • Federal Program Fraud • Tax Fraud • Arson for Profit • Other Insurance Fraud • Financial Institution Fraud • Bankruptcy Fraud • Advance Fee Schemes • Other Fraud Against Businesses • Consumer Fraud • Securities Fraud • Commodities Fraud • Other Investment Fraud • Antitrust Violations - Other • Computer Fraud • Health Care Fraud • Fraud Against Insurance Providers • Intellectual Property Violations • Insider Fraud Against Insurance Providers • MEWA (Multiple Employer Welfare Arrangements) Fraud/MET • Antitrust Violations - Airlines • Antitrust Violations - Banking • Antitrust Violations - Defense Procurement • Antitrust Violations - Extraterritorial Application Of • Antitrust Violations - Finance Markets, Other than Banking • Telemarketing Fraud • Corporate Fraud • Identity Theft • Aggravated Identity Theft • Other White Collar Crime/Fraud The largest number of convictions of these matters in June 2016 was for "Fraud-Tax", accounting for 19.6 percent of convictions. Convictions were also filed for "Fraud-Other" (17.3%), "Fraud-Federal Program" (14.2%), "Fraud-Financial Institution" (9.7%), "Fraud-Identity Theft-Aggravated" (6.8%), "Fraud-Health Care" (6.6%), "Fraud-Identity Theft-Other" (6.4%), "Fraud-Other Business" (3.7%), "Fraud-Securities" (3.1%), "Fraud-Mortgage" (2.5%), "Fraud-Other Investment" (2.3%). See Figure 2.
The lead investigative agency for white collar crime convictions in June 2016 was FBI accounting for 31 percent of convictions. Other agencies with substantial numbers of white collar crime convictions were: IRS (19% ), SecServ (13%), Postal (9%), DHS (6%). See Figure 3.
White Collar Crime Convictions in U.S. Magistrate Courts
Top Ranked Lead Charges
In June 2016, 3 defendants in white collar crime cases for these matters were filed in U.S. Magistrate Courts. These courts handle less serious misdemeanor cases, including what are called "petty offenses." In addition, complaints are sometimes filed in the magistrate courts before an indictment or information is entered. In these cases, the matter starts in the magistrate courts and later moves to the district court where subsequent proceedings take place.
In the magistrate courts in June the most frequently cited lead charge was Title 18 U.S.C Section 641 involving "Public money, property or records". This was the lead charge for 33.3 percent of all magistrate convictions in June.
White Collar Crime Convictions in U.S. District Courts
In June 2016, 482 defendants in new cases for these matters were charged in the U.S. District Courts. In addition during June there were an additional 0 defendants whose cases moved from the magistrate courts to the U.S. district courts after an indictment or information was filed. The sections which follow cover both sets of cases and therefore cover all matters filed in district court during June.
Top Ranked Lead Charges
Table 2 shows the top lead charges recorded in the convictions of white collar crime matters filed in U.S. District Court during June 2016.
Lead Charge Count Rank 1yr ago 5yrs ago 18 USC 1343 - Fraud by wire, radio, or television 57 1 1 3 More 18 USC 641 - Public money, property or records 39 2 5 8 More 18 USC 1029 - Fraud and related activity - access devices 39 2 7 7 More 18 USC 1349 - Mail Fraud - Attempt and Conspiracy 37 4 3 5 More 18 USC 1341 - Mail Fraud - Frauds and swindles 28 5 6 2 More 18 USC 371 - Conspiracy to commit offense or to defraud US 24 6 2 4 More 26 USC 7206 - Fraud and False statements 24 6 10 11 More 18 USC 1344 - Bank Fraud 23 8 4 1 More 18 USC 1084 - Gambling ships - transmit of wagering information 20 9 76 - More 18 USC 1028 - Fraud and related activity - id documents 19 10 8 6 More 18 USC 1347 - Health Care Fraud 19 10 9 9 More Table 2. Top Charges for Convictions
"Fraud by wire, radio, or television" (Title 18 U.S.C Section 1343) was the most frequent recorded lead charge. "Fraud by wire, radio, or television" (Title 18 U.S.C Section 1343) was ranked 1 a year ago, while it was ranked 3 five years ago.
Ranked 2nd in frequency were the lead charges "Public money, property or records" under Title 18 U.S.C Section 641 and "Fraud and related activity - access devices" under Title 18 U.S.C Section 1029. "Public money, property or records" under Title 18 U.S.C Section 641 was ranked 5 a year ago, while it was ranked 8 five years ago."Fraud and related activity - access devices" under Title 18 U.S.C Section 1029 was ranked 7 a year ago, while it was ranked 7 five years ago.
Among these top ten lead charges, the one showing the greatest increase in convictions — up 900 percent — compared to one year ago was Title 18 U.S.C Section 1084 that involves " Gambling ships - transmit of wagering information ". Compared to five years ago, the largest increase — 35.3 percent — was registered for convictions under " Fraud by wire, radio, or television " (Title 18 U.S.C Section 1343 ).
Again among the top ten lead charges, the one showing the sharpest decline in convictions compared to one year ago — down 33.5 percent — was " Conspiracy to commit offense or to defraud US " (Title 18 U.S.C Section 371 ). Compared to five years ago, the most significant decline in convictions — 46.2 percent — was for convictions where the lead charge was " Mail Fraud - Frauds and swindles " (Title 18 U.S.C Section 1341 ).
Top Ranked Judicial Districts
In June 2016 the Justice Department said the government obtained 180 white collar crime convictions for every ten million people in the United States.
Understandably, there is great variation in the per capita number of white collar crime convictions in each of the nation's ninety-four federal judicial districts.
The districts registering the largest number of convictions per capita for these matters last month are shown in Table 3. Districts must have at least 5 white collar crime convictions to receive a ranking.
Judicial District Percapita Count Rank 1yr ago 5yrs ago Okla, W 1,253 22 1 67 57 More W Virg, N 773 6 2 57 58 More Fla, S 597 36 3 1 1 More Mo, E 572 14 4 32 15 More Ind, N 464 10 5 72 33 More Fla, N 460 7 6 44 62 More Kansas 412 10 7 31 22 More Virg, W 384 7 8 46 52 More Wash, E 383 5 9 67 91 More La, E 359 5 10 46 21 More Table 3. Top 10 Districts (per ten million people)
The Western District of Oklahoma (Oklahoma City) — with 1253 convictions as compared with 180 convictions per ten million population in the United States — was the most active during June 2016.
The Northern District of West Virginia (Wheeling) ranked 2nd.
Southern District of Florida (Miami) is now ranking 3rd. The Southern District of Florida (Miami) was ranked 1 a year ago, while it was ranked 1 for most frequent use five years ago.
Recent entrants to the top 10 list were Kansas , now ranked 7th , and Eastern District of Missouri (St. Louis) at 4th In the same order, these districts ranked 31st and 32nd one year ago and 22nd and 15th five years ago.
The federal judicial district which showed the greatest growth in the rate of white collar crime convictions compared to one year ago — 226.7 percent — was Western District of Oklahoma (Oklahoma City). This was the same district that had the largest increase — 113 percent — when compared with five years ago.
In the last year, the judicial District Court recording the largest drop in the rate of white collar crime convictions — 48.8 percent — was Kansas . This was the same district that had the largest increase — 57.7 percent — when compared with five years ago.
Top Ranked District Judges
At any one time, there are about 680 federal District Court judges working in the United States. The judges recorded with the largest number of new white collar crime crime cases resulting in convictions of this type during June 2016 are shown in Table 4.
Judge Count Rank 1yr ago 5yrs ago Friot, Stephen P. Okla, W 20 1 448 640 More Walker, Mark Eaton Fla, N 6 2 91 - More Melgren, Eric F. Kansas 6 2 118 - More Gayles, Darrin Phillip Fla, S 5 4 43 - More Fitzwater, Sidney Allen Texas, N 5 4 349 219 More Lazzara, Richard A. Fla, M 4 6 448 75 More Martinez, Jose E. Fla, S 4 6 159 24 More Williams, Kathleen Mary Fla, S 4 6 14 - More Norgle, Charles Ronald, Sr. Ill, N 4 6 55 300 More Lozano, Rodolfo Ind, N 4 6 - 219 More Hillman, Timothy S. Mass 4 6 55 - More White, Ronnie Lee Mo, E 4 6 448 - More Kays, David Gregory Mo, W 4 6 24 219 More Reidinger, Martin Karl N Car, W 4 6 31 300 More Seybert, Joanna N. Y., E 4 6 349 157 More Cerezo, Carmen Consuelo Puer Rico 4 6 159 640 More Jones, James Parker Virg, W 4 6 197 59 More Table 4. Top Ten Judges
A total of 9 out of the "top ten" judges were in districts which were in the top ten with the largest number of white collar crime convictions per capita, while the remaining 8 judges were from other districts. (Because of ties, there were a total of 17 judges in the "top ten" rankings.)
Judge Stephen P. Friot in the Western District of Oklahoma (Oklahoma City) ranked 1st with 20 convicted in white collar crime convictions.
Judges Mark Eaton Walker in the Northern District of Florida (Pensacola) and Eric F. Melgren in the District of Kansas ranked 2nd with 6 convicted in white collar crime convictions.
Report Generated: August 5, 2016
