Fraud

Definition

Fraud is a false statement of fact designed to deceive someone, resulting in harm or loss to the victim.

Purpose

The purpose of recognizing and addressing fraud is to protect individuals and organizations from deceptive practices that can lead to financial, legal, and reputational damage.

Examples of Use

• Financial fraud, such as identity theft or embezzlement, involves illegally obtaining money or assets through deceit.
• Consumer fraud includes false advertising or selling counterfeit goods to unsuspecting buyers.

Related Terms

• Deception: The act of causing someone to accept as true or valid what is false or invalid.
• Embezzlement: The fraudulent taking of personal property by someone to whom it was entrusted.
• Forgery: The act of falsely making or altering a document with the intent to defraud.

Notes

Fraud can occur in various forms, including financial, corporate, and online fraud. Legal frameworks and regulations are in place to prevent and address fraudulent activities.