Test 2 13 8 9 10 11 Chapter 13 Criminal Law and Business Crimes Wrongs against society Criminal law punishes wrongdoers who affect the ownership of property Federal and state penal codes define criminal acts and omissions Malum in se evil in itself Crimes that are Inherently wrong and universally recognized as such rape and murder Ex Sherman Antitrust Act made price fixing illegal when it became apparent that such behavior was an impediment to fair competition White collar crime Any illegal offense that occurs in a business or professional setting coined by Edwin H Sullivan in the 1930 s Committed to harm the business or for personal gains money property service or business advantage Such crimes cost over 100 billion annually and target both the targeted companies and the consumers who must pay higher prices to make up for the losses Ex Accounting fraud bankruptcy fraud bribery conspiracy larceny etc Classification of Criminal Conduct Felonies punishable by fine or imprisonment in a penitentiary for a period of one year Commenced by a grand jury indictment Misdemeanors Punishable by a fine or jail sentence of less than one year Commenced when government files a charge called information Basic Concepts Criminal Intent to do something accident conduct Pleas in Criminal Cases Guilty Willfully committed voluntarily and purposefully with the specific intent Knowingly voluntarily and intentionally not because of mistake or Reckless disregard for the truth is often the basis of white collar criminal Not guilty Nolo Contendere no contest Allows sentencing just as if the defendant pleaded guilty or was found guilty Advantages the defendant by avoiding the cost of trial and avoiding the effect of a guilty plea or finding in a subsequent civil action as criminal convictions may provide basis for civil damage suits Sidebar 13 2 Bernard J Ebbers the former chief executive officer president and director of WorldCom Inc was convicted of securities fraud conspiracy and filing false documents with regulators Ebbers was sentenced to serve 25 years in prison This 11 billion accounting scandal also resulted in nearly 17 000 employees losing their job Grand Jury Fifth Amendment to the U S Constitution Before a trial for capital or infamous crime there must be presentment or an indictment by a grand jury Prevents political trials and unjustified prosecutions by placing a group of citizens between prosecutors and the accused Comprised of 23 citizens who live within the jurisdiction of the court at least 16 persons must be present for grand jury to to hear evidence and vote on cases returned majority vote of the grand jury must be returned for an indictment to be this determination is probable cause standard for grand jury action that the accused committed the crime Do not need to determine if the accused is guilty only that probable cause exists to believe the accused committed the crime Presumption of innocence presuming that an indicted person is innocent until found guilty by a petit jury Serve as an investigative body Persons who are targets of investigations may be called before a Grand Jury and be questioned under oath however such persons are entitled to invoke their 5th Amendment privilege against compulsory self incrimination and refuse to answer Defense counsel is not allowed to accompany a witness before a grand jury However counsel may be outside the grand jury room and therefore available for consultation whenever the witness desires Functioning depends upon the secrecy of the proceedings protects the innocent accused from disclosure of the accusations made against him or her before the grand jury The disclosure of the grand jury transcript is appropriate only in those cases where the need for it outweighs the public interest in secrecy and the burden of this balance rests upon a private party seeking disclosure Fourth Amendment Illegal Search and Seizure Protects individuals and corporations from unreasonable searches and seizures by the government Requires the police to obtain a search warrant prior to search Before court issues a search warrant the police must offer evidence that a crime has been committed and there is cause to believe that the intended search will assist in its investigation Officers are given more latitude in searching an automobile than a person home or building The right to search for evidence also extends to premises of persons not suspected of criminal conduct newspaper offices attorneys Warrants are not necessary To search an individual and the immediate area around that person for weapons when making an arrest in the interest of the officer s safety When exigent circumstances exist Police believe that the evidence may be destroyed Expectation of privacy Many business operations do not have an expectation of privacy Warrantless inspection Commercial premises is reasonable junkyard Presenting oneself at an airport checkpoint Sidebar 13 3 Kentucky v King 2011 Facts Issue Holding Police officers followed a suspected drug dealer to an apartment complex and smelled marijuana outside an apartment door The police announced their presence but once they heard noises sounding like the destruction of evidence they kicked open the door and saw the drugs in plain view Does the rule of exigent circumstances apply when police by knocking on the door and announcing their presence cause the occupants to destroy the evidence Warrantless entry to prevent the destruction of evidence is allowed where the police do not create the exigency through an actual or threatened 4th Amendment violation In this case the police actions were lawful and did not violate the 4th Amendment Riley v California pg 386 In general police must obtain a warrant to search a cell phone In cases involving exigent circumstances such as when there is an immediate risk to public safety or a loss of evidence police may be able to act without a warrant The digital data stored in cell phones involve a more substantial privacy interest that other items that may be found in an arrestee s pocket Sidebar 13 4 Miranda v Arizona 1966 Ruled that if you are taken into custody the law enforcement officer must read you your Miranda Rights and make sure that you understand them Fifth Amendment Protection against Self Incrimination and Double Jeopardy Protects the accused from being compelled to testify against self Does not protect Against being required to produce physical evidence Ex Fingerprints voice samples and bodily