Fraud: By False Representation Flashcards
(10 cards)
The actus reus of fraud by false representation under s 2 FA 2006 requires:
A. A representation that is false or misleading, express or implied
B. A representation that must actually deceive someone
C. A representation only as to a person’s state of mind
D. A representation solely by written statement
A. A representation that is false or misleading, express or implied
Explanation: Section 2(2) defines a false representation as “untrue or misleading,” and s 2(4) confirms it may be “express or implied”
Which of these is not a valid form of representation under s 2(3) FA 2006?
A. A statement of fact about a product’s origin
B. A statement of law about applicable tax rates
C. A statement of intent to perform future work
D. Pure silence without action
D. Pure silence without action
Explanation: Representations can be of fact, law or state of mind (including intent)
; but pure silence without conduct cannot amount to a representation (R v Twaite)
Fatima orders and eats a meal at a restaurant, then leaves without paying. What representation has she made?
A. No representation, as nothing was spoken
B. A representation of the menu’s accuracy
C. A direct verbal promise to pay
D. An implied representation by conduct that she will pay
D. An implied representation by conduct that she will pay
Explanation: In DPP v Ray [1974], eating a meal implied a representation that one had the means and intention to pay
Jamal uses a stolen card and PIN at an unmanned ATM. Under s 2(5) FA 2006, is this a false representation?
A. No—only human victims count
B. Yes—but only if he enters the wrong PIN deliberately
C. No—machines cannot be deceived
D. Yes—representation may be made to a device designed to receive communications
D. Yes—representation may be made to a device designed to receive communications
Explanation: Section 2(5) states that a representation can be made to any system or device, so inputting card details to an ATM qualifies
Under s 2(2)(b) FA 2006, “knowledge” that the representation is false requires:
A. Mere carelessness about the truth
B. Belief it might be false, but uncertainty is allowed
C. Indifference or disregard to its truth or falsity
D. Proof that D intended no loss
C. Indifference or disregard to its truth or falsity
Explanation: R v Staines held that recklessness demands indifference to whether a statement is true or false; mere negligence won’t suffice
The trial judge directs jurors on dishonesty by asking: “Did D’s conduct fall below the standards of ordinary decent people?” Which case sets out this test?
A. R v Clarke
B. Edgington v Fitzmaurice
C. Ivey v Genting Casinos
D. R v King
C. Ivey v Genting Casinos
Explanation: Ivey v Genting Casinos [2017] provides the two-stage test: (i) D’s actual belief in the facts; (ii) whether that conduct is dishonest by ordinary standards
Under s 2(1)(b) FA 2006, D need only intend to:
A. Actually obtain property from V
B. Temporarily or permanently gain or cause loss, even if it does not materialize
C. Make the victim believe something false
D. Commit theft under the Theft Act 1968
B. Temporarily or permanently gain or cause loss, even if it does not materialize
Explanation: The FA 2006 omits any requirement of actual gain or loss; D need only intend it, including keeping what one has or not getting what one might
A builder knowingly overcharges elderly clients in “mutual trust” circumstances. Which representation applies?
A. An express contract term
B. An implied representation that the charge is fair
C. A special statutory notification
D. A fiduciary omission
B. An implied representation that the charge is fair
Explanation: In R v Silverman [1988], a builder in a position of mutual trust impliedly represented that his charges were fair, despite no express statement
Under s 2 FA 2006, for fraud by false representation, is it necessary that the victim actually relies on the false representation?
A. Yes – without reliance there is no causation
B. Yes – reliance is implied by any representation
C. No – actual reliance by a victim is not required
D. No – but only if the victim is a machine
C. No – actual reliance by a victim is not required
Explanation: The offence is complete once D makes a false representation dishonestly with intent to gain or cause loss; there is no requirement that any person (or device) has actually acted on or relied upon it
Which of the following statements is true under s 2(3) FA 2006?
A. Representations of law cannot be false representations
B. Only representations of fact count; law is excluded
C. Representations as to the legal effect of one’s actions may be false representations
D. Representations as to future law (legislation) are valid
C. Representations as to the legal effect of one’s actions may be false representations
Explanation: Section 2(3) explicitly includes representations as to fact or law; thus a false statement about the legal consequences of an action (e.g. “you have a right to this benefit”) can constitute a false representation
