Deck 7: Business Crime

Question 1

A preliminary hearing requires that the defendant take the stand.

Answer 1

False

Question 2

RICO is a federal criminal statute.

Answer 2

True

Question 3

Directors are liable for a crime if the corporation is found guilty of the crime.

Answer 3

False

Question 4

RICO applies only to corporations.

Question 5

The exceptions for obtaining warrants include evidence in "plain view."

Question 6

Corporate managers have the right to remain silent when questioned about criminal matters.

Question 7

Mens rea is the particular mental state required to establish a crime.

Question 8

Racketeering acts under RICO include theft, burglary, and arson.

Question 9

The defendant enters his/her plea at the arraignment.

Question 10

For document destruction under SOX, the potential penalty is 20 years in prison and fines.

Question 11

Probable cause is required only for warrantless searches.

Question 12

Embezzlement is theft by an employee.

Question 13

The Fourth Amendment privacy protections do not apply to business records.

Question 14

A preliminary hearing is the same proceeding as an arraignment.

Question 15

The Fourth Amendment is the Miranda warning amendment.

Question 16

Plea bargaining is done only before the arraignment.

Question 17

Corporate officers cannot invoke the Fifth Amendment for a corporation.

Question 18

Some crimes do not carry a mens rea requirement.

Question 19

The Sixth Amendment is the right-to-speedy trial amendment.

Question 20

Bond or bail is established at the initial appearance.

Question 21

Under CADCFA, access to institutional financial information is not a violation.

Question 22

A grand jury is comprised of judges.

Question 23

Mens rea can be established without a confession.

Question 24

Under RICO, business owners can be criminally liable for violations even though they were not directly running the business.

Question 25

Corporate officers are not liable for acts delegated to subordinates.

Question 26

An employee who is following orders cannot be held liable for any criminal charges that result from that conduct.

Question 27

The USA Patriot Act requires those handling large sums of cash to verify the sources of those funds.

Question 28

Mens rea is the conduct required for a crime.

Question 29

Commercial bribery is only criminal for the recipient.

Question 30

The failure to follow crime prevention programs can result in harsher sentences under the U.S. corporate sentencing guidelines.

Question 31

Voluntary reporting of criminal violations reduces a company's fines under the federal sentencing guidelines.

Question 32

The white-collar kingpin statute imposes mandatory sentences on the executives who mastermind criminal activity.

Question 33

Mens rea is not a required element of a crime.

Question 34

Corporate integrity agreements are treated as an admission of guilt.

Question 35

Bribery is an ethical violation, but is not a crime.

Question 36

The transfer of copyrighted material worth over $1,000 over the Internet is a crime.

Question 37

RICO applies only to repeat offenders.

Question 38

The Counterfeit Access Device and Computer Fraud and Abuse Act applies only to federal employees.

Question 39

"Know Thy Customer" is a training program for employees on preventing money laundering.

Question 40

The Economic Espionage Act makes it a crime to take trade secrets by computer.

Question 41

In order to establish criminal liability of the directors of a corporation:

A)a prosecutor need only establish that the corporation committed a crime.
B)a prosecutor must establish that the directors had criminal intent.
C)the corporation is liable for criminal acts but the directors are not liable.
D)None of the above

Question 42

Involvement of the top officers in corporate crimes increases the penalty under the U.S. sentencing guidelines.

Question 43

Servers are always required to reveal the identity of their customers and users.

Question 44

Some existing criminal statutes apply to activity over the Internet, such as statutes that prohibit money laundering.

Question 45

A virus is not a trespass under the Federal Computer Fraud and Abuse Act.

Question 46

Fourth Amendment rights still apply on the Internet.

Question 47

Which of the following is not a requirement of mens rea ?

A)A specific act
B)The state of mind required for the crime
C)The intent to deprive
D)All of the above are required for mens rea .

Question 48

Monitors are often required by the Justice Department as part of a settlement of charges of corporate violations of criminal law.

Question 49

Conscious avoidance is a valid defense.

Question 50

Under the Federal Computer Fraud and Abuse Act, unauthorized access to government computers is a felony.

Question 51

All 50 states have passed cyberbullying statutes that make taunting or hate crimes a felony when using the Internet.

Question 52

Tapping into federal income tax returns to get information is a violation of the Counterfeit Access Device and Computer Fraud and Abuse Act.

Question 53

Warrants are not required in cyberspace.

Question 54

The key to imposing criminal liability on a company's employees is proving their active involvement or their actual knowledge of wrongdoing.

Question 55

The collapses of Enron, WorldCom, Adelphia and other companies in 2001-2002 led to Congress passing the Sarbanes-Oxley Act.

Question 56

The mens rea required for theft is:

A)intent to take the property permanently.
B)intent to borrow the property.
C)general intent to commit a crime.
D)none - strict liability crime.
E)None of the above

Question 57

The key to personal liability for business crimes is:

A)your job title.
B)corporate board membership.
C)personal knowledge of wrongdoing.
D)a gray area that is too uncertain to be prosecuted at this time.

Question 58

Which of the following is not a computer crime?

A)Unauthorized use of computer equipment
B)Alteration or destruction of computer files
C)Entering fraudulent data
D)Using computers to convert data
E)All of the above are computer crimes.

Question 59

The White-Collar Criminal Penalty Act of 2002 is known as the King Pin Act.

Question 60

The Dodd-Frank Wall Street Reform and Consumer Protection Act is also known as the Financial Services Reform Act.

Question 61

If a judge requires a guilty defendant to run a newspaper ad stating the defendant is guilty of certain crimes, this is an example of a _____ punishment.

A)community service
B)shame
C)blatant
D)public

Question 62

The purpose of the initial appearance is to:

A)issue an indictment against the defendant.
B)set the terms of release (if any).
C)allow the judge to issue an information.
D)provide the defendant with the opportunity to appear before the grand jury.

Question 63

The Miranda warnings:

A)must be given or the case is dismissed.
B)are based on Fifth Amendment rights.
C)are based on Fourth Amendment rights.
D)None of the above

Question 64

The Economic Espionage Act covers:

A)only international commercial transactions.
B)the copying, downloading or electronic transfer of trade secrets.
C)bribes to obtain government contracts.
D)only national stock exchange companies.

Question 65

The purpose of an arraignment is to:

A)issue an indictment against the defendant.
B)set the trial date.
C)provide the defendant with the opportunity to appear before the grand jury.
D)ensure that the Miranda warnings are given.

Question 66

RICO applies to:

A)only organized crime.
B)only physical force crimes.
C)racketeering activity.
D)only obstruction of justice.
E)None of the above

Question 67

Exceptions to the warrant requirement include:

A)RICO violations.
B)plain view doctrine.
C)no available magistrate.
D)records under the FCPA.

Question 68

Racketeering acts under RICO include:

A)pension fund fraud.
B)bribery.
C)extortion.
D)All of the above

Question 69

The No Electronic Theft Act:

A)prohibits the use of the Internet for personal e-mail on company time.
B)prohibits the transfer of copyrighted material worth over $1,000 over the Internet.
C)prohibits economic espionage.
D)resulted from the Volkswagen/GM espionage case.

Question 70

Which is not covered under the Computer Access Device and Computer Fraud and Abuse Act (CADCFA)?

A)Unauthorized use of federal computers
B)Typewriters
C)Use in excess of authority by a federal employee
D)Consumer financial records
E)All of the above are covered.

Question 71

The Fifth Amendment:

A)affords protection against self-incrimination.
B)can be used by a corporation.
C)can be used by officers to prevent disclosure of corporate records.
D)None of the above

Question 72

The doctrine that states that an executive cannot knowingly try to avoid learning about actions of those within the company is known as:

A)the Ebbers evasion.
B)Enron avoidance.
C)the Fastow facade.
D)conscious avoidance.

Question 73

Most RICO charges involve:

A)mail fraud, wire fraud or securities fraud.
B)organized crime.
C)wage tax violations.
D)individuals and not companies.

Question 74

What is the distinction between theft and embezzlement?

A)The mens rea is different
B)The amount taken
C)The entrustment of the property
D)They are the same crime.

Question 75

An indictment is:

A)a document issued by the grand jury.
B)issued after a preliminary hearing.
C)followed by an information.
D)None of the above

Question 76

The purpose of an omnibus hearing is to:

A)issue an indictment.
B)issue an information.
C)hear evidentiary challenges.
D)have the defendant enter a plea.

Question 77

The Fourth Amendment:

A)is the privacy protection amendment.
B)provides the right for a jury trial.
C)provides the protection against self-incrimination.
D)None of the above

Question 78

Which of the following is not an element of the crime of embezzlement?

A)Intent to take property
B)Taking property permanently
C)No authorization to take the property
D)All of the above are elements of embezzlement.

Question 79

In criminal procedure, the initial appearance:

A)is the preliminary hearing.
B)is where bail is set.
C)follows the grand jury proceedings.
D)is where a plea is entered.

Question 80

The Fifth Amendment protections:

A)apply to corporations.
B)can be used by officers of a corporation to prevent disclosure of corporate records.
C)can be used by officers of a corporation to prevent disclosure of corporate records that incriminate them.
D)None of the above