Topic 7 - Fraud

Question 1

What are the three types of fraud offenses under the Fraud Act 2006?

Answer 1

1. Fraud by false representation (Section 2)
2. Fraud by failing to disclose information (Section 3)
3. Fraud by abuse of position (Section 4)

Question 2

What are the key elements of fraud by false representation under Section 2?

Answer 2

• Actus Reus: Making a false representation (untrue or misleading), which can be expressed or implied, verbal, written, or by conduct.
• Mens Rea:
  
  1. Defendant knows the representation is false or may be false.
  2. Defendant is dishonest (using case law, not the Theft Act).
  3. Intent to gain money/property or cause loss.

Question 3

Is it necessary for a victim to believe a false representation for fraud by false representation to occur?

Answer 3

No, it is irrelevant whether the victim believes the false representation.

Question 4

In fraud by false representation, is it necessary for the defendant to actually gain from the representation?

Answer 4

No, it is irrelevant whether any gain is made from the false representation.

Question 5

What are the two key elements of mens rea for fraud by failing to disclose information under Section 3?

Answer 5

1. Dishonesty.
2. Intent to make a gain or cause a loss.

Question 6

What is the actus reus for fraud by failing to disclose information under Section 3?

Answer 6

Failure to disclose information where there is a legal duty to do so, such as statutory, contractual, fiduciary duty, or in good faith transactions like insurance.

Question 7

What legal duties can create a requirement to disclose information in fraud by failing to disclose information?

Answer 7

• Statutory duty.
• Contractual duty (express or implied).
• Fiduciary duty (e.g., trustee-beneficiary relationship).
• Good faith transaction (e.g., insurance applications).

Question 8

What are the key elements of fraud by abuse of position under Section 4?

Answer 8

• Actus Reus: Abuse of a position where the defendant is expected to safeguard or not act against the financial interests of another.
• Mens Rea:
  
  1. Dishonesty.
  2. Intent to make a gain or cause a loss.

Question 9

What types of positions are considered where fraud by abuse of position may apply?

Answer 9

Positions where the defendant is expected to safeguard or not act against the financial interests of another, such as trustees, solicitors, and agents.

Question 10

What are the common mens rea elements across all three types of fraud offenses under the Fraud Act 2006?

Answer 10

• Dishonesty.
• Intent to make a gain or cause loss (financial).