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Corporate Crime

Definition

Illegal acts committed by or on behalf of a corporate organisation for the organisation's benefit. Distinct from occupational crime because the wrongdoing is a product of organisational decision-making, not individual self-interest. Examples include price-fixing cartels, systematic environmental violations, and product safety fraud.

Beneficiary
The organisation, not the individual
Distinguished from
Occupational crime (individual self-interest)
Source
Organisational decision-making
Examples
Price-fixing cartels, environmental violations, product safety fraud

Common questions

Why does the corporate versus occupational distinction matter for an investigator?+

It changes who is culpable and where evidence of intent must be found: occupational crime is traced to an individual's personal gain, while corporate crime requires establishing that policy, incentives, or decisions at an organisational level directed or tolerated the conduct.

Can a single employee's actions still count as corporate crime?+

Yes, if the employee acted to further the organisation's interests under a policy or culture that encouraged or permitted the conduct, rather than purely for personal benefit, the act can still be classed as corporate rather than occupational crime.

Related terms

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Enterprise Theory
A theoretical framework that analyses organised crime as a rational business enterprise responding to market conditions. Associated with criminologist Dwight Smith, who...
Neutralisation Techniques
The vocabulary of justifications identified by Sykes and Matza (1957) by which offenders deny the wrongfulness of their acts: denial of injury,...
Organised Crime
A structured group of three or more persons that operates continuously, with the aim of committing serious offences for material benefit, and...
White-Collar Crime
Crime committed by a person of respectability and high social status in the course of their occupation (Sutherland, 1939). The category covers...

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