Criminology 2011
Chapter 13
WHITE-COLLAR
AND ORGANIZED
CRIME
Class Name,
Instructor Name
Date, Semester
CHAPTER OBJECTIVES
13.1
13.2
Understand the relationship between the work of Edwin Sutherland
and white-collar crime.
Be able to define white-collar crime, including the conceptual
problems involved.
13.3
Be acquainted with the different forms of occupational crime:
employee theft (pilferage and embezzling), collective
embezzlement in the savings and loan industry, fraud in the
professions, health-care fraud (including improper billing and
unnecessary surgery), financial fraud, and police/political
corruption
13.4
Be familiar with organizational criminality and corporate crime,
including corporate financial crime (corporate fraud, cheating and
corruption, price-fixing, price-gouging, and restraint of trade), and
false advertising.
© 2012 by Pearson Higher Education, Inc
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CHAPTER OBJECTIVES
13.5
13.6
13.7
Understand how corporate violence poses threats to health and
safety: workers and unsafe work places, consumers and unsafe
products (the automobile, pharmaceutical, and food
industries), and environmental pollution.
Appreciate the economic and human costs of white-collar
crime.
Be familiar with the various explanations of white-collar crime,
including similarities and differences with street crime, cultural
and social bases for white-collar crime, and lenient treatment.
13.8
Be acquainted with how white-collar crime might be reduced.
13.9
Be familiar with organized crime, including its history, the alien
conspiracy model (and myth), and its control.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.1
Understand the relationship between
the work of Edwin Sutherland and
white-collar crime.
© 2012 by Pearson Higher Education, Inc
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13.1
Edwin Sutherland
5
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Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.2
Be able to define white-collar crime,
including the conceptual problems
involved.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
13.2
“A crime committed by a person of
respectability and high social status in
the course of his occupation”
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13.2
Occupational
Crime
8
Corporate
Crime
© 2012 by Pearson Higher Education, Inc
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Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.3
Be acquainted with the different forms of
occupational crime: employee theft (pilferage and
embezzling), collective embezzlement in the savings
and loan industry, fraud in the professions, healthcare fraud (including improper billing and
unnecessary surgery), financial fraud, and
police/political corruption
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
13.
3
Different Forms of Occupational Crime
Employee
Theft
Collective embezzlement in the
savings and loan industry
Healthcare
Fraud
Financial
Fraud
Fraud in the
Professions
Police/
Political
Corruption
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.4
Be familiar with organizational criminality
and corporate crime, including corporate
financial crime (corporate fraud, cheating
and corruption, price-fixing, price-gouging,
and restraint of trade), and false
advertising.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
13.4
Organizational crime: Crime can be done by and on
behalf of organizations
Organizational Crime
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13.4
Cheating/
Corruption
Corporate
Fraud
Restraint
of
Trade
Financial
Crime
Price
Gouging
False
Advertising
Price Fixing
Corporate Crimes
13
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.5
Understand how corporate violence
poses threats to health and safety:
workers and unsafe work places,
consumers and unsafe products (the
automobile, pharmaceutical, and food
industries), and environmental pollution.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
13.5
Threats to Health and Safety
Workers
and Unsafe
Work
Places
Consumers
and Unsafe
Products
Environmental
Pollution
© 2012 by Pearson Higher Education, Inc
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Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.6
Appreciate the economic and
human costs of white-collar crime.
© 2012 by Pearson Higher Education, Inc
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13.6
Property/Street Crime
$18 Billion
Annually
White Collar-Crime
vs.
$564.5 Billion
Annually
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.7
Be familiar with the various
explanations of white-collar crime,
including similarities and differences
with street crime, cultural and social
bases for white-collar crime, and
lenient treatment.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
13.7
Why Do People Engage in White-Collar Crime?
Learned
Behavior
Cultural and
Social Bases
Self-Interest,
Pursuit of
Pleasure,
Avoidance
of Pain
Disparity
Between
Corporate
Goals and
Means to
Achieve
Them
Lenient
Treatment
© 2012 by Pearson Higher Education, Inc
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13.7
White-Collar
Criminality
vs.
Lower-Class
Criminality
© 2012 by Pearson Higher Education, Inc
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Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.8
Be acquainted with how white-collar
crime might be reduced.
© 2012 by Pearson Higher Education, Inc
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13.8
Regulatory Agencies
Need Larger Budgets
More Media Attention
More Severe
Punishments
Self-Regulation and
Compliance Strategies
Emphasizing Informal
Sanctions
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
Learning Objectives
After this lecture, you should be able to complete the following Learning Outcomes
13.9
Be familiar with organized crime,
including its history, the alien
conspiracy model (and myth), and its
control.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
13.9
Brief Early History of the Mafia
Hundreds
of Years
Late 19th–
Early 20th
Century
Early 20th
Century
Prohibition
1930s–
1940s
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After WWII
13.9
Increase Law Enforcement Authority
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13.9
Reduce Economic Lure of Involvement in
Organized Crime
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13.9
Decrease Organized Criminal Opportunity
Through Decriminalization or Legalization
of Activities from Which Organized Crime
Draws Income
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
CHAPTER SUMMARY
13.1
13.2
Understand the relationship between the work of Edwin Sutherland
and white-collar crime.
Be able to define white-collar crime, including the conceptual
problems involved.
13.3
Be acquainted with the different forms of occupational crime:
employee theft (pilferage and embezzling), collective
embezzlement in the savings and loan industry, fraud in the
professions, health-care fraud (including improper billing and
unnecessary surgery), financial fraud, and police/political
corruption
13.4
Be familiar with organizational criminality and corporate crime,
including corporate financial crime (corporate fraud, cheating and
corruption, price-fixing, price-gouging, and restraint of trade), and
false advertising.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved
CHAPTER SUMMARY
13.5
13.6
13.7
Understand how corporate violence poses threats to health and
safety: workers and unsafe work places, consumers and unsafe
products (the automobile, pharmaceutical, and food
industries), and environmental pollution.
Appreciate the economic and human costs of white-collar
crime.
Be familiar with the various explanations of white-collar crime,
including similarities and differences with street crime, cultural
and social bases for white-collar crime, and lenient treatment.
13.8
Be acquainted with how white-collar crime might be reduced.
13.9
Be familiar with organized crime, including its history, the alien
conspiracy model (and myth), and its control.
© 2012 by Pearson Higher Education, Inc
Upper Saddle River, New Jersey 07458 • All Rights Reserved