There seem to be more and more cases in the news in which defendants are charged with wire fraud. By and large, these are federal prosecutions, and the recent barrage of indictments relates largely to the last presidential election, as well as claims concerning allegedly illegal political fundraising. But just what is “wire fraud”? Is it a federal and state offense, and if so, which statutes define the elements of the crime? While it may sound confusing, this is an area that is actually less complex than most people might think.
Wire fraud is generally prosecuted under federal law, specifically 18 U.S.C. 1343. In Arizona, there is no specific wire fraud law, although fraud accomplished using telecommunications can be pursued by the state just like any other allegation of criminal fraud. Under the federal statute, the elements of the offense are that (a) the defendant took part in a scheme to defraud another out of money or property; (b) the defendant took part in that scheme intending to defraud; (c) it was reasonably foreseeable that foreign or interstate wire communications would be used; and (d) those communications were in fact used. This covers, essentially, any scheme to defraud in which an interstate or foreign telephonic or electronic communication was transmitted in furtherance of the fraud.
Since this is a white collar/non-violent crime, you might expect that the potential sentence would not be harsh. You would be surprised to learn, then, that if you are convicted under the federal law, you can be sentenced to as much as 20 years in prison. In addition, if other circumstances are present, such as fraud that affects a financial institution, the sentence could go as high as 30 years.
With the tremendous growth of computer technology, including text messaging, social media, etc., it is a virtual certainty that the number of wire fraud prosecutions will continue to grow.
Law Offices of David A. Black
40 North Central Avenue #1850
Phoenix, AZ 85004
(480) 280-8028