Wire fraud is a type of fraud that involves the use of some form of telecommunications or the internet, such as a phone call, a fax, an email, a text, or social media. It is a federal crime in the United States that occurs when electronic communication is used to further a criminal act. The necessary elements required to constitute an act as wire fraud are:
- The defendant voluntarily and intentionally devised or participated in a scheme to defraud another out of money.
- The defendant did so with the intent to defraud.
- It was reasonably foreseeable that interstate wire communications would be used.
- Interstate wire communications were in fact used.
Wire fraud is punishable by up to 20 years in prison and can result in a fine of up to $250,000 for individuals and $500,000 for organizations. The penalties for wire fraud can go as high as 30 years in prison and a $1 million fine for special circumstances like a state of emergency or targeting financial institutions. Wire fraud can take many forms, including telemarketing fraud, internet scams, phishing, insurance fraud, tax fraud, and bank fraud.
