What is a Scheme to Defraud?

In most types of fraud offenses, whether a person is facing criminal charges under state or federal law, the government usually must prove that the person engaged in, or intended to engage in, some type of “scheme to defraud.” Yet this phrase can seem vague if you have never faced any type of fraud-related investigation or charges, and you may be unsure about what it means specifically if the state or the federal government is alleging that you attempted to or actually engaged in a scheme to defraud.

How do state and federal laws define the term “scheme to defraud”? And, when a person is facing criminal charges for a fraud-related offense, what evidence must the state or federal government provide to show an actual or attempted scheme to defraud? Consider the following information from our Tampa fraud defense lawyers.

“Scheme” and “Defraud” Definitions

According to Merriam-Webster, a scheme is defined as “a plan or program of action, especially a crafty or secret one.” To defraud, according to the dictionary, then means “to deprive of something by deception or fraud.”

Both of these definitions can be helpful to understand what a prosecutor must prove in order to convict a person of a fraud-related offense when the existence of a scheme to defraud is an element of the offense.

Defining a “Scheme to Defraud” Under State Law

Under Section 817.034 of the Florida Statutes, which is also known as the Florida Communications Fraud Act, the state defines a scheme to defraud as:

“[A] systematic, ongoing course of conduct with intent to defraud one or more persons, or with intent to obtain property from one or more persons by false or fraudulent pretenses, representations, endorsements of nonconsenting parties, or promises or willful misrepresentations of a future act.”

The above is what the prosecution must prove, with evidence, that a defendant engaged in a scheme to defraud when it is an element of a particular offense under the Florida Statutes.

Defining a “Scheme to Defraud” Under Federal Law

How does federal law define a scheme to defraud? There are multiple federal fraud statutes that require the government prove a scheme or artifice to defraud, which is defined relatively broadly as:

“A scheme or artifice ro deprive another of the intangible right of honest services.

That is what the government must show, generally, when a scheme or artifice to defraud is an essential element of an offense.

Contact a Tampa Criminal Defense Attorney for Assistance Defending Against Any Type of Federal or State Fraud-Related Charges You Are Facing

Are you currently being investigated for a fraud-related offense, or have you been charged with a fraud-related offense under state or federal law in Florida? If so, the prosecution will likely need to prove the existence of a scheme to defraud in some sense of the term. There are many different types of defense strategies that can be employed in fraud cases, whether you are facing broader charges for wire or mail fraud, or charges under a very specific fraud statute. An experienced Tampa fraud defense lawyer at the Law Offices of Daniel J. Fernandez, P.A. can speak with you today to learn more about your case and to assist you with your defense. Contact us for help with your case.

Sources: 

justice.gov/archives/jm/criminal-resource-manual-942-scheme-and-artifice-defraud

flsenate.gov/Laws/Statutes/2024/817.034