Fraud

Question 1

List the 3 types of fraud

Answer 1

•Section 2
Fraud by false representation

•Section 3
Fraud by failing to disclose information

•Section 4
Fraud by abuse of position

Question 2

Define “Fraud by false representation”.

Answer 2

Section 2 Fraud Act 2006

A person is in breach of this section if he:

dishonestly makes a false representation,
and

intends, by making the representation to make a gain for himself or another, or

to cause loss to another or to expose another to a risk of loss.

Question 3

Define “Fraud by failing to disclose information”

Answer 3

Section 3 Fraud Act 2006

A person is in breach of this section if he

(a)dishonestly fails to disclose to another person information which he is under a legal duty to disclose, and

(b) intends, by failing to disclose the information
(i) to make a gain for himself or another, or
(ii) to cause loss to another or to expose another to a risk of loss.

Question 4

Define “Fraud by abuse of position”

Answer 4

Section 4 of the Fraud Act 2006

1. A person is in breach of this section if he:

a. occupies a position in which he is expected to safeguard, or not to act against, the financial interests of another person,

b. dishonestly abuses that position, and

c. intends, by means of the abuse of that position:

i. to make a gain for himself or another, or
ii. to cause loss to another or to expose another to a risk of loss.

d. A person may be regarded as having abused his position even though his conduct consisted of an omission rather than an act.

Question 5

Define “Possession of articles for use in frauds”

Answer 5

Section 6 Fraud Act 2006

A person is guilty of an offence if:

•he has in his possession or under his control
•any article for use in the course of or in connection with
•any fraud