Faceless Criminals: Fraudulent Business Practices of American Express

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In the last year there has been an alarming trended of fraudulent business practices by some of the biggest companies in the business world. In Sept 2013, JP Morgan was hit with a multi-Billion dollar fine for home loan scandals involving Fannie Mae and Freddie Mac. In the most recent mega corporation settlement American Express (AMEX) settled its latest of two cases over the last 16 months for deceptive billing practice. Why are companies knowingly deceiving the American public for financial gain? Could this practice be lucrative enough that companies will assume the risk of fines and damaging their corporate reparations? We will examine the details of the AMEX case, and determine what type of crime has been committed and at why these companies continue to take advantage of the consumers that serve.

We must understand the differences between White and Blue collar crime. Stated on the FBI website (2013), White Collar crime is synonymous with the full range of frauds committed by business and government professionals. These crimes are not victimless and they can be devastating to the families and business. Past examples that are well known to the American public were ENRON, Bernie Madoff, Martha Stewart and WorldCom. Blue collar crimes are typically referred to as street crimes. They are committed by a lower class of people and examples of these crimes and kidnapping, thief, murder, rape and vandalism.

In this case American Express is clearly conducting White-Collar criminal activity, as defined above. Let us examine the details of the case to determine how criminal law was applied. In 2012 the Bureau of Consumer Financial Protection (CFPB) filed and claim against American Express (AMEX) taking issue with how AMEX ...

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... I believe that large corporations will continue to fraudulent billing practices taking advantage of the consumers as long as it is still lucrative to do so. If the government put a face to the criminal activity these practices would at a minimum slow down!

Works Cited

Abrams, R. (Dec 24, 2013). American Express to Pay $75 Million over Credit-Card Practices. Retrieved for this paper Dec 27th,

FBI website (2013). White-Collar Crime. Retrieved from Dec 27th,

Prial, D. (Dec 24, 2013). American Express Units Settle Charges Over Deceptive Practices. Retrieved for this paper Dec 27th,
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