School of Law and Governance

LLM 552 CORPORATE CRIME/WHITE COLLAR L T P C

CRIME
Versionl.l 2 0 0 0
Pre-requisites//Exposure

co-requisites

1.0 Course Description:

Contemporary societies feel increasingly threatened by crimes carried out by

corporations where
huge amount of embezzlement of fund takes place. Corporate crimes were once
thought of as
Victimless offenses, but now with billions of dollars and an increasingly global
economy at stake
this is understood to be far from the truth. This subject explores the complex
interplay of factors
involved when corporate cultures normalize lawbreaking, and when organizational
behavior is
pushed to unethical (and sometimes inhumane) limits.

2.0 Course Objective

This papers intends to identify the reason and solution of corporate crime.
Corruption induce
informality by acting as a barrier to entry into the formal sector. Firms that
are forced to go
underground operate at a smaller scale and are less productive. Corruption also
affects the growth
of firms in the private sector. This result seems to be independent of the size
of the firm. A channel
through which corruption may affect the growth prospects of firms is through its
negative impact
on product innovation. SMEs pay higher bribes as percentage of revenue compared
with large
companies and bribery seems to be the main form of corruption affecting SMEs.
Bribery is not the
only form of corruption affecting large firms. Embezzlement by a company’s own
employees,
corporate fraud, and insider trading can be very damaging to enterprises too.
There is evidence
that the private sector has as much responsibility in generating corruption as
the public sector.
Particular situations such as state capture can be very damaging for the
economy.

3.0 Course Outcome

(i) After completion of the course student shall have an understanding of
development
and issues related to corporate crime
(ii) The students shall have a working knowledge of global statutes relating to
corporate
crime.
(iii) The students would develop a critical understanding of how to solve issues
related
to corporate crime.

4.0 Evaluation Scheme:

51. Components Weightage

No. (Max. Marks)
1 Project Submission 20

2 Project Presentation 10

3 Seminar 10

4. Teaching Assignment 10

School of Law and Governance

I 5. I Semester End Examination I 50 I

5.0 Pedagogy

A various learning methods will be used which will emphasize a cooperative

learning format.
Student led discussions and presentations will be combined with instructor
facilitated
experiences and lectures. Specific methods include:

0 Class Room Discussion

0 Presentations

0 Case Laws

0 Case Observation

0 Projects

0 Seminar

6.0 Course Contents:

Module I Introduction
1. Definition, nature & forms of corporate crime.
2. Causes of corporate crime.
3. Types of corporate crime.
4. Characteristic of corporate criminals.

Module 11 Economic Offences

1. Definition

2. Introduction of offences as listed in Schedule 13 of Companies Act

3. Securities, Corporate and Fiduciary Frauds
o Insider Trading
4. Environmental Law
5. Crime against Consumers
6. Medical Crime
7. Computer Crime
8. IPR violation
9. Tax & Duties violation

10. Labour Laws violation

0 Payment of wages
0 Minimum wages
o Provident Funds Act, etc.

Module 111

Module IV

Module V

P‘PP’PL‘

P‘PP’PL‘

School of Law and Governance

Liabilities of Corporation & Individuals

Theory of vicarious liability,

0 Concept of Mens- rea /Actus Reus,

o Attribution of Mens-rea to the company

From Individual conduct to Corporate Responsibility

0 Corporate Structure as way of limiting liability

0 Individual Liability for corporate/ collective Action
From Corporate Conduct to Individual Responsibility

0 Willful Blindness

o Whistleblower Protection & Compensation

Corporate Crime and Legal System

Investigation and Policing various types of Corporate Crime

Prosecution & Imprisoning Corporate Criminals

Merits and demerits of the legislation in controlling crime

Role of Regulatory Bodies

Corporate Crime and Reactions of the Criminal Justice System

Socialogical effect of Corporate Crime

Violation of Civil and Human Rights

Victims of Corporate Crimes and its effect
Analysis of Criminal Behaviour

Role of the Mass Media

Damage Control

5.0 Recommended Readings:

Anderson, K. (2006). Utilitarianism: The Greatest Good for the Greatest Number.
Barkan, S. E. (2006). Criminology: A Sociological Understanding (3rd ed.). Upper
Saddle River, NJ: Prentice Hall.

Bass, B. M. Concepts of Leadership. In R. P. Vecchio (Ed.) (1997). Leadership:

Understanding the Dynamics of Power and Influence in Organizations. Notre
Dame, IN:University of Notre Dame.

10.
11.

School of Law and Governance

Chertoff, M. (2002). Testimony of the Honorable Michael Chertoff, Assistant

Attorney General, Criminal Division, United States Department of Justice.
Crawford, C., & Brungardt, C. (1999). Risk Leadership: The Courage to Confront
and

Dotter, D. (2004). Creating Deviance: An Interactionist Approach. New York:

AltaMira Press. Empey, L. T. (1982). Social Control Theory. Republished in
Theories of Deviance (5th ed.). S.H. Traub & C. B. Little (Eds.). Belmont, CA:
Wadsworth.

Yeaqer, Peter & Marshall Clinard. Corporate Crime (Law and Society Series)
Mclean, Bethany & Elkind Peter. The Smartest Guys in the Room: The Amazing
Rise and Scandalous Fall of Enron

Wells, Joseph T. Fraud Casebook: Lessons from the Bad Side of Business

Wells, Joseph T. Corporate Fraud Handbook: Prevention-Detection. 21101 Ed.

Wiley, John & Sons, Incorporated

Pontell, Henry N. International Handbook of White-Collar and Corporate Crime

Bricke, Kathleen F. Corporate and White Collar Crime: Cases and Materials: (5th
Ed.) Aspen Casebook Series Washington University