Fraud

Question 1

3 ways of committing fraud

Answer 1

Set out in s1 Fraud Act 2006
Fraud by false representation
Fraud by failing to disclose information
Fraud by abuse of position

Question 2

Fraud level of offence

Answer 2

Either way

Question 3

Dishonesty

Answer 3

For all frauds D’s conduct must be dishonest to cause a gain or loss
Ivey test - were Ds actions dishonest according to the objective standards of ordinary decent people?

Question 4

Gain or loss

Answer 4

D must intent to cause a gain for himself/another or a loss to another
The gain or loss must be in terms of money or other property
Gain or loss can be permanent or temporary
Gain - keeping what one has or getting what one does not have
Loss - not getting what one might get or parting with what one has

Question 5

Fraud by false representation

Answer 5

S2 Fraud Act 2006

Question 6

Fraud by false representation definition

Answer 6

D dishonestly makes a false representation and intends by making it to make a gain for himself/another or cause a loss to another.

Question 7

False representation

Answer 7

A representation is false if it is untrue or misleading and the person making it knows this or knows this might be the case.
The representation may be express or implied through words or conduct.
The offence is complete the moment the false representation is made. If by post it would be complete when the letter is posted.

Question 8

Are phishing emails committing fraud by false representation?

Answer 8

Yes

Question 9

Does it apply where the representation is made to a machine?

Answer 9

Yes e.g. when D puts pin in a chip and pin machine

Question 10

Fraud by failing to disclose

Answer 10

S3 Fraud Act 2006

Question 11

Fraud by failing to disclose definition

Answer 11

A person is guilty if he dishonestly fails to disclose information which he is under a legal duty to disclose and intends by the failure to disclose to cause a gain for himself/another or a loss for another.

Question 12

Legal duty to disclose

Answer 12

Might arise from-
Statute
Where transaction is one of the upmost good faith
Express or implied terms of a contract
Custom of a particular trade or market
Existence of a fiduciary relationship between the parties (individual has a position of trust)

Question 13

Fraud by abuse of position

Answer 13

S4 Fraud Act 2006

Question 14

Fraud by abuse of position definition

Answer 14

D occupies a position in which he is expected to safeguard, or not act against the financial interests of another, and dishonestly abuses that position, and by that abuse intends to cause a gain for himself or another or a loss to another.

Question 15

Examples of relationships for fraud by abuse of position

Answer 15

Trustee and beneficiary
Employee and employer
Professional person and client e.g. solicitor

Question 16

Possession/control of articles for use in frauds

Answer 16

S6 Fraud Act 2006
Either way
A person is guilty is he possesses or controls anything whatsoever anywhere to use in the FUTURE to commit or help to commit a fraud offence
E.g. having skimming machines that go over cash points
Guilty if it is found in your house as you don’t have to prove gain/loss has taken place, just that you intended to cause gain/loss

Question 17

Making or supplying articles for use in frauds

Answer 17

S7 Fraud Act 2006
Either way
A person is guilty if he makes, adapts, supplies or offers to supply anything whatsoever knowing that it is designed or adapted for use in fraud or connection with fraud or intending it to be used in or to assist fraud.
Includes offer to supply - so don’t need to be in possession of the article
E.g. selling the firesticks with all the films on

Question 18

Making off without payment

Answer 18

S3 Theft Act 1978
Either way
D must have known payment was required or expected
Must be for goods and services that are legal and legally enforceable e.g. couldn’t be not paying a prostitute.
D must have dishonestly made off - Ivey test - If D was not happy with the quality then that is not dishonest and as long as they left their details then it is a civil matter
E.g. dining and dashing, not paying for petrol, not paying for taxi

Question 19

Obtaining services dishonestly

Answer 19

S11 Fraud Act 2006
Either way
Similar to making off without payment
Different is around mens rea - when was the dishonesty?
If the dishonesty was when you have entered the taxi and obtained the service this would be obtaining services dishonestly
If the dishonesty was at the point of making off it would be making off without payment

Question 20

False accounting

Answer 20

S17 Theft Act 1968
Either way
2 offences-
Destroying, defacing etc. accounts and documents
Using false or misleading accounts and documents in furnishing information