Interview Of Advocate Danesh Mehta, Legal Associate, M. Mulla Associates On White Collar Crimes By Madhuparna Ray

Q.1: What is your opinion on the scope of white -collar crimes?

A:        White collar crimes are crimes often committed by people holding top executive positions. In developing nations like India, education levels as well as social status are on a rise. Hence, owing to this fact, these sort of crimes are on a rise too. As people get more educated, they hold good positions in various companies, making it easier for many of them to commit such crimes like financial theft as they have the power of the position as well as the trust of the company.

Q.2: What is your opinion regarding occurrence of white collar crimes?

A:        With the advent of advance technologies, crimes like cyber hacking, online monetary frauds, etc. are on a constant rise. Various sectors including banking and financial sectors are constantly dealing with the demons of white collar crimes. Due to the non-violent nature of these crimes, they remain latent for a long time thus wreaking greater havoc with time. Hence, in my opinion, the occurrence of white collar crimes will increase in the future.

Q.3: How are white collar crimes detected and investigated?

A:        To detect and investigate white collar crimes, Government have come up with stringent procedures. Several legislations are enacted to address this issue. Auditors in companies are the initial detectors of white collar crimes. Then, Governmental bodies like Enforcement Directorate (ED) and Economic Offences Wing (EOW) and other authorities safeguarding the interests of the companies work in order to investigate white collar crimes.

Q.4: What is your view on the prevention of white collar crimes?

A:        Several statutes lay down stringent procedures like the Companies Act, 2013, Income Tax Act 1961. Other deterrent acts include Prevention of Corruption Act, 1988. These prevent white collar crimes like money laundering, bribing, embezzlement, tax evasion and so on to a great extent. These acts are improved and updated as and when required by increasing fines to the accused or making certain rules more stringent thus helping in prevention of white collar crimes.

Q. 5: In your view, how serious is a white collar crime?

A: White collar crime often involves tax fraud. Such crimes along with scams hence, adversely affect the economy of the nation to a great extent. For example, in the PNB Scam case, lot of people lost their hard earned money. Mainly retired people were greatly affected as they lost a major portion of their life’s savings. Hence, in my opinion, white collar crimes are quite serious.

Q. 6: In your opinion, what can be the future challenges with regard to white collar crimes?

A: Considering the present scenario, the instances of white collar crimes are likely to increase in the future. We see those white collar crimes that are reported. But, it is the tip of the ice berg. Many cases go unreported. This pose a great challenge. Also, enforcement of legislations regarding white collar crimes can prove to be a challenge as due to very large population, lot of companies and a growing economy, it becomes difficult to detect each and every case of white collar crime. Hence, with time, the risk of white collar crime might increase.

( This is an adaptation of telephonic interview with Mr. Danesh Mehta)