Banking Crimes

What was the most banking cases that involve criminal cases? Is it robbery? Yes, its correct, but don’t you know these days robbery, is not by pointing guns on the clerk, and running with speed cars.

Nope it isn’t, most criminal cases in crimes banking involve inside men. Ironically, in cases like that, which first became the focus of attention is the bank. The banks were targeted for blame, while customers who become victims of crime just often overlooked.

In scientific work, entitled The Cost of Accident: Legal and Economic Analysis, Calabresi discusses in detail the crime (fraud) in economic activity, particularly in the banking world. His analysis became the basis of the theory of economics and law relating to banking crimes.

Base on Tort Law, crimes which are micro or individual from an economic standpoint is not a primary target, but the aggregate losses, ie the combined loss of actual and potential losses that may occur. To achieve an aggregate loss of data, case by case basis with the disadvantages of crime must also be calculated.

This is necessary so that the cost required to cover losses from banking crimes can be known with certainty. Banking cases involving bank employees would always have implications for the payment of compensation to customers of the bank itself. If the crime had reached the systemic risk, the payment mechanism had to be done through the mechanism of state budget revenues and expenditures.

Crimes involving the Irish banking sector in the property business is one of the proof. In the United States, its government was forced to investigate specific crimes in the banking sector so that no systemic risk of this happening. For the micro level does not pose a systemic risk analysis related to the reduction in costs due to public distrust of banks.

Not a few banking crimes happen due to the behavior of its own employees and those banks have to pay damages suffered by its customers. Countries such as Singapore, Hong Kong, Switzerland and even Britain and the U.S. tend to indemnify customers who own employees resulting from the action. Unless the bank is insolvent then the compensation for damages done by a specialized institution clients, such as escrow deposits (FDIC) in the U.S..

Later we’ll discuss about bank clients protection against banking crimes

Published under Crime, Law



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