Breach of Trust and Debts as the Base of Corporate Crime

Crime is no more than the exclusivity of criminally motivated elements, where the development in science and technology has paved the way for white-collar people to be criminals, intentionally or by ignorance. It is an established principle of jurisprudence recognized throughout the world that ignorance of the law is not an excuse.

The traditional crimes have comparatively come down by the exposure of civilizations and the science and technology has equally contributed to preventing the crime in social parlance.

In the meantime, a new form of criminality emerged within the white-collar community which has no precedent in history. Corporate crime has a major impact on the business and development of every sector, financial crime, corporate fraud and cyber crimes are the major corporate crimes committed by the corporate entities or individuals.

Money laundering and corruption is another threat to sovereign states while controlling the corporate world. Therefore, the states are more vigilant against the violators of Anti-Bribery and Corruption (ABC) and Anti Money Laundering (AML) Legislation.

Regulators and enforcement agencies are also now cooperating and sharing more intelligence with each other, in a system known as mutual legal assistance. The countries are becoming more willing to work together to prosecute companies for financial crime.

Bilateral agreements between the countries expanded the way for the smooth detection of corporate criminals. As a flag bearer against the corporate and financial crimes, the UAE has smooth bilateral agreements with foreign countries to prosecute the financial crime in the region.

Criminal Breach of trust and fleeing with financial liability has very wide connotations, the proper reading of law may presupposes the breach of trust, cheating, check fraud, inordinate delay and later fleeing from the financial liability, All coming under the ambit of corporate and financial crime.

The UAE has strong laws to prosecute the criminals and get the money with compensation however high they are because it is a country of rule of law. But it requires proper follow-up and constructive action by resorting to the right action.

It is relevant to highlight here that rarely the innocent corporate professionals may be trapped in the prosecution on the basis of assumptions and presumptions. The proper defence through efficient lawyers may help to prove their innocence.

Written by:

Abduraheem Padinhare Kayakalil | Hamdan AlShamsi Lawyers & Legal Consultants