Federal Fraud Defense Lawyer in Kansas City

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Being accused of fraud is serious. In addition to affecting your professional reputation and ability to maintain a career, the penalties upon conviction may include a long prison sentence, substantial fines, and more.

If you are charged with a federal crime involving fraud, it is imperative that you retain skilled legal counsel for your defense. Find out why Kansas City defendants turn to Joseph, Hollander & Craft. Regardless of the charges against you or the evidence that prosecutors claim to possess, you have the right to put forth a compelling legal defense – and we can help.

What Does “Federal Fraud” Include?

“Fraud” is a broad term that can cover a number of different criminal activities. Fraud generally involves an intentional action that deceives another person, entity, or government, and that results in financial or personal gain. Our firm has experience representing clients who have been investigated for and charged with an array of different federal crimes, including but not limited to:

• Mail fraud: The crime of mail fraud is defined at 18 U.S.C. 1341 via a paragraph-long sentence. The United States Postal Inspection Service provides a much simpler explanation: “Any fraud that uses the U.S. Mail®—whether it originates in the mail, by phone, or online—is mail fraud.”
• Wire fraud: Similar to the simple definition of mail fraud, wire fraud (defined at 18 U.S.C. 1343) can be most easily defined as any fraud that involves the use of electronic communications (including communications via telephone or the internet).
• Bank fraud: The bank fraud statute at 18 U.S.C. 1344 prohibits the execution (or attempted execution) of schemes to defraud financial institutions of money or property.
• Mortgage fraud: Depending on how it is perpetrated, mortgage fraud can be charged under the bank fraud statute (18 U.S.C. 1344) or under the loan and credit application statute (18 U.S.C. 1014).
• Healthcare fraud: The health care fraud statute at 18 U.S.C. 1347 criminalizes knowingly and willfully executing a scheme to defraud a health care benefit program or obtain money through false pretenses. Related statutes that may be involved in a health care fraud case include the False Claims Act (31 U.S.C. §§ 3729–3733), which targets false claims for payment, and the Anti-Kickback Statute (42 U.S.C. § 1320a-7b), which prohibits kickbacks for referrals in federal health care programs.
• Insurance fraud: 18 U.S.C. 1033 defines activities by or affecting persons engaged in the insurance business that are subject to federal criminal prosecution.
• Securities fraud: Securities fraud is the general term for deceptive conduct that induces action related to the stock or commodities market. The term may be applied to insider trading, Ponzi schemes, and market manipulation.
• Tax evasion: A person may be convicted of tax evasion (26 U.S.C. 7201) if they deliberately mislead the IRS about their income or other tax matters, or refuse to file or pay their taxes.
• Fraud against the United States: Fraud against the United States (18 U.S.C. 1031) encompasses frauds perpetrated in any grant, contract, subcontract, subsidy, loan, guarantee, insurance, or other form of Federal assistance.

What Are the Potential Penalties for Federal Fraud Crimes?

The above, and other, forms of federal fraud all carry their own possible punishments. The exact sentence that will come with a conviction will depend on various facts such as the amount of money involved, the number of victims and how the fraud affected them, and the court’s interest in deterring future fraud. Defendants should expect the following if they are found guilty:

• Prison: The length of any prison sentence imposed will depend on the unique circumstances of each case and how those circumstances are reflected in the U.S. Sentencing Guidelines. The maximum prison sentence for mail fraud, wire fraud, and bank fraud (the most commonly prosecuted fraud offenses) is 30 years.
• Fines: The maximum prison sentence for mail fraud, wire fraud, and bank fraud is $1,000,000. If the applicable fine is not specified in the statute that defines the offense, then it will be governed by 18 U.S.C. 3571, which allows a fine to be calculated based on a multiplier of the gross gain or loss or no more than $250,000.
• Restitution: Restitution will be ordered as part of a sentence for a fraud conviction; it is an order to pay back the victims for the amount of the loss.
• Forfeiture of assets: Any ill-gotten gains will have to be forfeited because the government does not want anyone to profit off of fraud. These assets may be applied to the restitution order under certain circumstances.
• Supervised release: Similar to probation, this is essentially a period of oversight that follows (not replaces) a prison sentence. It is not parole, which was abolished for federal crimes, and the supervised release period may last for several years.

How to Defend Against Federal Fraud Charges

The nature of your defense will depend on the charges you face, their potential penalties, and the strength of the prosecution’s evidence against you. These are some possible defenses to discuss with your attorney:

• Lack of intent: To secure a fraud conviction, the government must show that the defendant intentionally acted to deceive. Mistake can be a defense.
• Inadequate evidence: The government has the burden of proof, meaning prosecutors must present sufficient evidence and prove guilt beyond a reasonable doubt. Vague, unreliable, contradictory, weak, or illegally obtained evidence will undermine the government’s case.
• No reliance by the victim: Some fraud crimes require that the victim rely on a falsehood to their detriment. If there was no reliance, the prosecution cannot meet its burden to prove all the elements of the crime.
• Statute of limitations: If a prosecution is not initiated within the time period required by the applicable statute of limitations, then it cannot proceed. Your attorney can advise whether any of the charges are time barred. Your attorney can also advise you if a discovery rule applies, such that the time to bring an action is delayed by conduct that makes the fraud difficult to discover.

Should You Accept a Plea Deal?

The government may offer or entertain a plea deal, also known as a plea bargain. This is an agreement between the defendant and the prosecution by which the defendant agrees to plead guilty to a charge (usually a less serious charge or to fewer charges) in exchange for a benefit (usually a more lenient sentence than would apply if convicted at trial). Whether you should accept a plea bargain is a serious question that you will want to discuss extensively with your lawyer.

The decision to accept or reject a plea deal is complex, but usually entails consideration of:

• The charges against you and the potential penalties you face
• The attitudes of the judge and prosecutors
• The strengths and weaknesses of the government’s evidence and witnesses
• The strengths and weaknesses of your evidence and witnesses
• The benefits and risks of going to trial
• What you may be able to offer the prosecution (e.g. testimony or evidence that could convict another defendant)
• Mitigating factors like the lack of prior criminal history
• How a plea bargain may affect your and your family’s life and future

Negotiating a plea bargain is a process that takes time and patience. An attorney will assist by:

• Conducting a total evaluation of the case, which includes the evidence, the witnesses, and how strong or weak the government’s case is
• Explaining the federal sentencing guidelines so you are aware of you potential sentence and other possible consequences that you could be facing upon conviction
• Communicating effectively and building a relationship with the prosecutors, especially where your cooperation could help them secure convictions of other individuals
• Emphasizing the mitigating factors and keeping these central to the government’s consideration of a plea deal

Start Building Your Legal Defense Today

The strongest defenses are those that begin early. So if you have been charged with a federal fraud crime, reach out to Joseph, Hollander & Craft. You can find us at the corner of 10th & Cherry Street in Kansas City, MO, near the Jackson County Courthouse. For your convenience we also have offices in Overland Park, Lawrence, Topeka, and Wichita.