Question 1

Private security firms operating in Iraq have been characterized as committing theft on a grand scale.

Accepted Answer

A) True 
 B)False  True

Question 2

Only a relatively few harsh prison sentences were imposed on S & L fraudsters.

Accepted Answer

A) True 
 B)False  True

Question 3

Once the S & L frauds were revealed, it was possible to prosecute them swiftly
and harshly.

Accepted Answer

A) True 
 B)False  False

Question 4

For many decades, the Savings and Loans were a popular depository for small
savers.

Accepted Answer

A) True 
 B)False

Question 5

Why is finance crime separated from corporate crime and occupational crime as a form of white collar crime? What are some specific activities carried out by or through banks which are either illegal or unethical, or both? What forces or developments in the larger society have contributed to the development of bank or thrifts crime?

Accepted Answer

Finance crime is separated from corporat

Question 6

Which of the following is true with regard to corporate takeovers in the 1980s?

Accepted Answer

A)  They were directly encouraged by an SEC ruling holding that commissions on stock transactions must be fixed, not negotiable 
B)  They were regarded as a very marginal new source of income on Wall Street 
C)  They created unusual opportunities for insider trading profits, as the value of a company's stock invariably rises when it becomes a takeover target 
D)  They led to collusive deals between company management and investors because company management was prohibited from any role in buying out their company 
A)  They were directly encouraged by an SEC ruling holding that commissions on stock transactions must be fixed, not negotiable 
B)  They were regarded as a very marginal new source of income on Wall Street 
C)  They created unusual opportunities for insider trading profits, as the value of a company's stock invariably rises when it becomes a takeover target 
D)  They led to collusive deals between company management and investors because company management was prohibited from any role in buying out their company

Question 7

Predatory lending and money laundering are the only significant finance crimes
discussed in the text.

Accepted Answer

A) True 
 B)False

Question 8

Many of the S & L fraudsters were assisted by highly paid accountants, lawyers
and appraisers.

Accepted Answer

A) True 
 B)False

Question 9

According to a recent California Savings and Loan Commissioner:

Accepted Answer

A)  "You can't own a bank and rob it at the same time." 
B)  "Banks rob more robbers than robbers rob banks." 
C)  "Owners of banks encourage bank robbery because they are so rich." 
D)  "The best way to rob a bank is to own one." 
A)  "You can't own a bank and rob it at the same time." 
B)  "Banks rob more robbers than robbers rob banks." 
C)  "Owners of banks encourage bank robbery because they are so rich." 
D)  "The best way to rob a bank is to own one."

Question 10

Which of the following is not cited as a factor in the major increase of insider trading enforcement actions during the 1980s?

Accepted Answer

A)  The initial introduction of SEC regulations clearly prohibiting insider trading 
B)  The dramatic growth in the trading capacity of institutions and corporations in takeovers 
C)  The introduction of new types of securities 
D)  A broader variety of professionals and new information networks which became involved in securities trading. 
A)  The initial introduction of SEC regulations clearly prohibiting insider trading 
B)  The dramatic growth in the trading capacity of institutions and corporations in takeovers 
C)  The introduction of new types of securities 
D)  A broader variety of professionals and new information networks which became involved in securities trading.

Question 11

The massive looting of the S & Ls was not undertaken for direct personal benefit,
but rather to finance illegal enterprises.

Accepted Answer

A) True 
 B)False

Question 12

Which of the following is not a problem with investment banks as they relate to finance crime?

Accepted Answer

A)  They put people with little experience in charge of billion dollar accounts 
B)  They are ridden with conflicts of interest 
C)  Their own interests and profits come before their clients' 
D)  They are misleading investors 
A)  They put people with little experience in charge of billion dollar accounts 
B)  They are ridden with conflicts of interest 
C)  Their own interests and profits come before their clients' 
D)  They are misleading investors

Question 13

The 23,000 people who bought some $200 million of Lincoln Savings bonds from Charles Keating's outfit:

Accepted Answer

A)  were highly sophisticated investors who expected to make huge profits 
B)  were clearly aware that Lincoln S & L was a fraudulent enterprise but were attracted by high interest rates 
C)  were misled into believing the bonds were guaranteed by the government or absolutely safe. 
D)  were among the benefactors of the S & L scams because the Lincoln bonds were government-insured. 
A)  were highly sophisticated investors who expected to make huge profits 
B)  were clearly aware that Lincoln S & L was a fraudulent enterprise but were attracted by high interest rates 
C)  were misled into believing the bonds were guaranteed by the government or absolutely safe. 
D)  were among the benefactors of the S & L scams because the Lincoln bonds were government-insured.

Question 14

The roles of the international financial institutions have been increasingly 	questioned because the privileged in developing countries have been the principal 	beneficiaries not the poor.

Accepted Answer

A) True 
 B)False

Question 15

Common law always prohibited corporate insiders from trading on the basis of their privileged information.

Accepted Answer

A) True 
 B)False

Question 16

The looting of the S & Ls was carried out by a new breed of promoter and
swindler who took over deregulated thrifts, while traditional thrift executives were not
implicated.

Accepted Answer

A) True 
 B)False

Question 17

Making high-risk loans was attractive to S & Ls in the 1980s because they
increased short-term profits and bonuses.

Accepted Answer

A) True 
 B)False

Question 18

The Insider Trading Sanctions Act, the Insider Trading and Securities Fraud Enforcement Act and the Regulation Fair Disclosure rule were all passed in an 	effort to prevent insider trading.

Accepted Answer

A) True 
 B)False

Question 19

What were the "junk bonds" so closely associated with Michael Milken?

Accepted Answer

A)  Bonds issued by smaller, less established companies, but paying a higher interest 
B)  Bonds issued by blue chip corporations, paying a very small interest 
C)  Bonds issued by corporations attempting to defend themselves from takeover bids 
D)  Bonds issued by bankrupt businesses 
A)  Bonds issued by smaller, less established companies, but paying a higher interest 
B)  Bonds issued by blue chip corporations, paying a very small interest 
C)  Bonds issued by corporations attempting to defend themselves from takeover bids 
D)  Bonds issued by bankrupt businesses

Question 20

According to the text, banks have unethically and illegally deprived customers of
far more money than bank robbers and embezzlers have stolen from banks.

Accepted Answer

A) True 
 B)False

Private security firms operating in Iraq have been characterized as committing theft on a grand scale.

Only a relatively few harsh prison sentences were imposed on S & L fraudsters.

Once the S & L frauds were revealed, it was possible to prosecute them swiftly and harshly.

For many decades, the Savings and Loans were a popular depository for small savers.

Which of the following is true with regard to corporate takeovers in the 1980s?

Predatory lending and money laundering are the only significant finance crimes discussed in the text.

Many of the S & L fraudsters were assisted by highly paid accountants, lawyers and appraisers.

According to a recent California Savings and Loan Commissioner:

Which of the following is not cited as a factor in the major increase of insider trading enforcement actions during the 1980s?

The massive looting of the S & Ls was not undertaken for direct personal benefit, but rather to finance illegal enterprises.

Which of the following is not a problem with investment banks as they relate to finance crime?

The 23,000 people who bought some $200 million of Lincoln Savings bonds from Charles Keating's outfit:

The roles of the international financial institutions have been increasingly questioned because the privileged in developing countries have been the principal beneficiaries not the poor.

Common law always prohibited corporate insiders from trading on the basis of their privileged information.

The looting of the S & Ls was carried out by a new breed of promoter and swindler who took over deregulated thrifts, while traditional thrift executives were not implicated.

Making high-risk loans was attractive to S & Ls in the 1980s because they increased short-term profits and bonuses.

The Insider Trading Sanctions Act, the Insider Trading and Securities Fraud Enforcement Act and the Regulation Fair Disclosure rule were all passed in an effort to prevent insider trading.

What were the "junk bonds" so closely associated with Michael Milken?

According to the text, banks have unethically and illegally deprived customers of far more money than bank robbers and embezzlers have stolen from banks.

The Discovery of White Collar Crime

Studying White Collar Crime and Assessing Its Cost

Corporate Crime

Occupational Crime and Avocational Crime

Governmental Crime: State Crime and Political White Collar Crime

Enterprise Crime, Contrepreneurial Crime, and Technocrime

Explaining White Collar Crime: Theories and Accounts

Law and the Social Control of White Collar Crime

Policing and Regulating White Collar Crime

Prosecuting, Defending, and Adjudicating White Collar Crime

Responding to the Challenge of White Collar Crime

Filters

Exam 6: State-Corporate Crime, Crimes of Globalization, and Finance Crime

Private security firms operating in Iraq have been characterized as committing theft on a grand scale.

Only a relatively few harsh prison sentences were imposed on S & L fraudsters.

Once the S & L frauds were revealed, it was possible to prosecute them swiftly and harshly.

For many decades, the Savings and Loans were a popular depository for small savers.

Which of the following is true with regard to corporate takeovers in the 1980s?

Predatory lending and money laundering are the only significant finance crimes discussed in the text.

Many of the S & L fraudsters were assisted by highly paid accountants, lawyers and appraisers.

According to a recent California Savings and Loan Commissioner:

Which of the following is not cited as a factor in the major increase of insider trading enforcement actions during the 1980s?

The massive looting of the S & Ls was not undertaken for direct personal benefit, but rather to finance illegal enterprises.

Which of the following is not a problem with investment banks as they relate to finance crime?

The 23,000 people who bought some $200 million of Lincoln Savings bonds from Charles Keating's outfit:

The roles of the international financial institutions have been increasingly questioned because the privileged in developing countries have been the principal beneficiaries not the poor.

Common law always prohibited corporate insiders from trading on the basis of their privileged information.

The looting of the S & Ls was carried out by a new breed of promoter and swindler who took over deregulated thrifts, while traditional thrift executives were not implicated.

Making high-risk loans was attractive to S & Ls in the 1980s because they increased short-term profits and bonuses.

The Insider Trading Sanctions Act, the Insider Trading and Securities Fraud Enforcement Act and the Regulation Fair Disclosure rule were all passed in an effort to prevent insider trading.

What were the "junk bonds" so closely associated with Michael Milken?

According to the text, banks have unethically and illegally deprived customers of far more money than bank robbers and embezzlers have stolen from banks.

The Discovery of White Collar Crime

Studying White Collar Crime and Assessing Its Cost

Corporate Crime

Occupational Crime and Avocational Crime

Governmental Crime: State Crime and Political White Collar Crime

Enterprise Crime, Contrepreneurial Crime, and Technocrime

Explaining White Collar Crime: Theories and Accounts

Law and the Social Control of White Collar Crime

Policing and Regulating White Collar Crime

Prosecuting, Defending, and Adjudicating White Collar Crime

Responding to the Challenge of White Collar Crime

Filters