Question 1

Punishment for the violation of the mens rea requirement is generally more severe than it is for wrongful behavior.

Accepted Answer

Punishment for wrongful behavior is generally more severe than it is for a violation of mens rea requirement. This is because wrongful behavior may result in harm or damage to others, while violation of mens rea requirement may be a mistake or lack of intent.

Question 2

Which of the following is a remedy for ineffective monitoring by agencies?

Accepted Answer

Increasing the operating budgets of regulatory agencies would provide them with more resources to effectively monitor and enforce regulations. This would also enable them to hire more staff and invest in better technology to aid in monitoring. The other options do not directly address the issue of ineffective monitoring.

Question 3

If the magistrate believes that the defendant has sufficient "ties to the community," the defendant may be released without posting bail.

Accepted Answer

If the magistrate believes that the defendant has sufficient "ties to the community," they may be released on their own recognizance (OR) without the need for bail. OR is a promise that the defendant makes to return for their court appearance without any financial incentive.

Question 4

Under the ________, a successful party may receive 25 percent of the amount recovered if the government chooses to intervene in the action, or 30 percent if the government does not participate in the suit.

Accepted Answer

The False Claims Act includes provisions for whistleblowers to bring qui tam actions on behalf of the government against individuals or companies that have defrauded government programs. Under the FCA, a successful plaintiff may receive a percentage of the amount recovered by the government, either 25% to 30%. The other acts listed do not have provisions for whistleblower rewards related to government fraud.

Question 5

Which of the following statements is true about the Sarbanes-Oxley Act of 2002?

Accepted Answer

The Sarbanes-Oxley Act seeks to eliminate the conflicts of interest that can lead to fraudulent activity. While A is partially true, it is referring to the Whistleblower Protection Act, not the Sarbanes-Oxley Act. C is referring to the Racketeer Influenced and Corrupt Organizations (RICO) Act. D is referring to the False Claims Act.

Question 6

If the defendant is not informed of his or her legal rights at the time of the arrest, any statements the defendant makes at the time of the arrest will be inadmissible at the defendant's trial.

Accepted Answer

This is known as the Miranda warning, and failure to inform the defendant of their rights can lead to a violation of their Fifth Amendment rights. As a result, any statements made by the defendant at the time of the arrest may be deemed inadmissible in court.

Question 7

Which of the following statements is true of the False Claims Act?

Accepted Answer

The False Claims Act allows private citizens (known as whistleblowers) to bring a lawsuit on behalf of the government against individuals or organizations that have defrauded the government. The whistleblower is entitled to a percentage of any settlement or damages awarded. The Act does not provide for lawsuits by private citizens on behalf of the government for misrepresentation of a government employee or for lawsuits by the government against employers for fraud against a private citizen or government official.

Question 8

The grand jury has the power to subpoena witnesses.

Accepted Answer

The grand jury does have the power to subpoena witnesses to appear before them and provide testimony.

Question 9

Plea bargaining benefits a criminal by eliminating the risk of a greater penalty.

Accepted Answer

Plea bargaining allows a criminal to plead guilty to a lesser charge or sentence in exchange for a reduced penalty. This eliminates the risk of a greater penalty that could be imposed if the defendant went to trial and was found guilty.

Question 10

Karen, an employee at a large multinational organization, learnt that the palm oil being imported by her company was resulting in large amounts of illegal deforestation. If Karen decides to blow the whistle on the organization and go public with this information, she will be protected from being fired, demoted, or otherwise discriminated against at the workplace by the provisions in the ________.

Accepted Answer

The Sarbanes-Oxley Act includes provisions to protect whistleblowers from retaliation by their employers. This act was enacted in response to corporate scandals to protect employees who report fraudulent activities or violations of SEC regulations within their company.

Question 11

For the past six months, Julia has been using her video arcade as a front to operate a series of illegal gambling operations. She stays out of trouble by paying local law enforcement officials a certain amount of money every week. Julia is violating the ________.

Accepted Answer

Julia is violating the Racketeer Influenced and Corrupt Organizations Act (RICO) by using her business as a front for illegal activities and paying off law enforcement officials to stay out of trouble. RICO was enacted to combat organized crime and provides for strong penalties for those involved in racketeering activities. None of the other listed acts apply to this scenario.

Question 12

Under the ________, private citizens can sue employers on behalf of the government for fraud against the government.

Accepted Answer

The False Claims Act allows private citizens to sue employers on behalf of the government for fraud against the government. The other options (Sarbanes-Oxley Act, Racketeer Influenced and Corrupt Organizations Act, Whistleblower Protection Act) deal with different issues related to corporate fraud and employee protection but do not have provisions for private citizen lawsuits against employers for fraud against the government.

Question 13

The Convention on Cybercrime paved the way for international rules governing ________.

Accepted Answer

The Convention on Cybercrime, also known as the Budapest Convention, primarily focuses on issues related to cybercrime including copyright infringement, and it establishes a common framework for international cooperation in this area.

Question 14

A pretrial diversion (PTD) participant signs an agreement with the government admitting guilt.

Accepted Answer

A pretrial diversion (PTD) agreement typically allows the participant to avoid prosecution by agreeing to fulfill certain conditions without necessarily admitting guilt.

Question 15

As opposed to civil trials, a defendant in a criminal case can be compelled to testify.

Accepted Answer

In criminal cases, defendants have the right to remain silent under the Fifth Amendment to the U.S. Constitution, meaning they cannot be compelled to testify against themselves.

Question 16

Which of the following statements is true of equity fines?

Accepted Answer

Equity fines involve the corporation paying the fine in the form of stock, which is then used to compensate victims.

Question 17

A grand jury makes a finding of guilt but does not decide whether there is enough evidence that the defendant committed the crime to justify bringing the defendant to trial.

Accepted Answer

A grand jury decides whether there is enough evidence to justify bringing the defendant to trial, but does not make a finding of guilt. That determination is made by a trial jury.

Question 18

Misdemeanors are considered a subcategory of petty crimes.

Accepted Answer

The answer of Misdemeanors are considered a subcategory of petty...

Question 19

Which of the following is a characteristic of the Sarbanes-Oxley Act of 2002?

Accepted Answer

One of the main features of the Sarbanes-Oxley Act of 2002 is the protection it provides for employees who report fraudulent activities, also known as whistleblowers. The act establishes safeguards against retaliation toward employees who provide information about alleged violations of securities laws, rules or regulations, or other federal laws.

Question 20

The magistrate determines whether there was probable cause for the arrest at the time of booking.

Accepted Answer

The magistrate determines whether there was probable cause for the arrest typically during a bail hearing or initial appearance, not at the time of booking. Booking is the process of recording an arrested person's information; probable cause assessments are judicial matters.

Quiz 6: White-Collar Crime and the Business Community