Embezzlement is not always easy to identify

On Behalf of | Sep 23, 2019 | Financial Crimes |

There are many kinds of fraud that can occur in the business world, and all of them are typically more complex than they seem at first glance. Embezzlement is one of the most commonly misunderstood forms of fraud, which can quickly lead to unfair allegations. If you face accusations of embezzlement, it is crucial to understand the circumstances that surround these allegations and the regulations that apply to you.

In many instances, legal transactions may look like embezzlement to someone with incomplete information or a misunderstanding of the complicated rules and regulations that govern business practices. Before you take actions that may harm your personal and professional life, it is wise to build a strong legal strategy to keep your rights secure.

Embezzlement requires several components

For embezzlement to occur, there must typically be at least four components present:

  • The accused party must have a fiduciary relationship with some other party, where the other party depends on the accused
  • The accused must obtain property through their fiduciary relationship
  • The accused must personally take ownership of the embezzled property or transfer ownership to some other party or entity
  • The accused must act intentionally

In circumstances where only some of these components exist, it is difficult to prove embezzlement occurred. To understand how your own situation may or may not qualify as embezzlement, it is important to review Tennessee laws that regulate these issues.

Also, it is crucial to examine whether you had intent to embezzle and if your intent is provable. Understanding the intentions of others is not as easy as we often assume, and simple misunderstandings can often result in serious accusations.

Remain silent for greater safety

For many of us, our first instinct is to push back and defend our innocence when confronted with accusations like embezzlement or other types of fraud. It is important to acknowledge this response, but keep it in check. When it comes to fraud allegations, courts often have broad power to compel anyone who has information to testify.

To keep yourself protected, and to protect the people around you, it is wise to remain calm and avoid talking about embezzlement accusations and the circumstances surrounding them. In fact, it is wise to simply avoid speaking about the matter unless you have your attorney present. An attorney can moderate your conversation and keep you from saying something that may cause problems later on in your defense.

Building a strong legal defense takes time and involves careful review of all of the information relevant to the accusations against you. To keep your rights and priorities secure, make sure to use all the legal resources and guidance you need to build sturdy defense that can help guide you through this difficult season.