{"id":2033,"date":"2025-08-26T10:48:00","date_gmt":"2025-08-26T08:48:00","guid":{"rendered":"https:\/\/www.dr-buchert.de\/?page_id=2033"},"modified":"2025-08-26T10:58:08","modified_gmt":"2025-08-26T08:58:08","slug":"fraud-breach-of-trust-and-white-collar-crime-defence-in-frankfurt-and-germany","status":"publish","type":"page","link":"https:\/\/www.dr-buchert.de\/en\/fraud-breach-of-trust-and-white-collar-crime-defence-in-frankfurt-and-germany\/","title":{"rendered":"Fraud, Breach of Trust and White-Collar Crime Defence in Frankfurt and Germany"},"content":{"rendered":"\n\n\n<div class=\"hero-group hero-bg2 alignfull has-buchert-gradient-gradient-background has-background has-global-padding is-layout-constrained wp-block-group-is-layout-constrained\">\n\n    <div class=\"hero-wrapper\">\n\n        <div class=\"hero-content\">\n\n            <h1>Specialist Criminal Defence for International Clients<\/h1>\n\n            <p>Our law firm in Frankfurt am Main is specialised in <strong>white-collar crime, fraud, breach of trust, document forgery and corporate investigations<\/strong>. With over 25 years of experience in criminal defence, we represent private individuals, executives, board members and companies throughout Germany.<\/p>\n\n        <\/div>\n    <\/div>\n\n<\/div>\n\n\n<div class=\"wp-block-columns alignwide is-layout-flex wp-container-core-columns-is-layout-28f84493 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:20%\"><\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:80%\">\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h1 class=\"wp-block-heading\">Fraud under German Criminal Law (\u00a7 263 StGB)<\/h1>\n\n\n\n<p>Fraud (<em>Betrug<\/em>) is one of the core economic crimes in Germany. It applies whenever a person suffers a financial loss due to deception and disposes of assets to their own disadvantage.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Key Elements of Fraud<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Deception of another person<\/li>\n\n\n\n<li>Error (misconception)<\/li>\n\n\n\n<li>Asset disposal based on this error<\/li>\n\n\n\n<li>Financial loss<\/li>\n\n\n\n<li>Intent and unlawful enrichment<\/li>\n<\/ul>\n\n\n\n<p>The courts use an <strong>economic evaluation<\/strong>: what matters is the objective or market value at the time of the transaction.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">Entry Fraud (<em>Eingehungsbetrug<\/em>)<\/h2>\n\n\n\n<p>Entry fraud occurs when a party enters into a contract based on deception, leading to an immediate <strong>economic risk equivalent to financial loss<\/strong>.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Typical Examples<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Loan agreements<\/strong> where the borrower lacks creditworthiness (the bank suffers a loss at contract conclusion).<\/li>\n\n\n\n<li><strong>Subscription traps<\/strong> or false promises of services.<\/li>\n\n\n\n<li><strong>Ponzi schemes<\/strong> where early investors are paid with new investors\u2019 money \u2014 courts usually treat the entire deposit as a loss.<\/li>\n\n\n\n<li><strong>Insurance fraud<\/strong>, where policies are taken out with the intention of faking claims.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Defence Strategy<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Challenging whether the contract truly created a measurable loss.<\/li>\n\n\n\n<li>Demonstrating value equivalence (performance vs. obligation).<\/li>\n\n\n\n<li>Attacking causation between deception and loss.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">Credit Fraud<\/h2>\n\n\n\n<p><strong>Credit fraud<\/strong> is a sub-category of fraud where financial institutions are deceived about a borrower\u2019s ability or willingness to repay.<\/p>\n\n\n\n<p>Courts calculate damage based on the <strong>increased default risk<\/strong> at the time of the loan agreement, considering:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Actual financial situation of the borrower,<\/li>\n\n\n\n<li>Adequacy of securities provided,<\/li>\n\n\n\n<li>Cashflow or business model projections.<\/li>\n<\/ul>\n\n\n\n<p><strong>Defence<\/strong> focuses on disputing these calculations and questioning whether there was an actual risk difference compared to normal credit risks.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">Investment Fraud and Capital Market Offences<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">Capital Investment Fraud (\u00a7 264a StGB)<\/h3>\n\n\n\n<p>This offence criminalises misleading a broad group of investors by making false claims or concealing negative facts in prospectuses or public offerings.<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Applies to securities, company shares and investment schemes.<\/li>\n\n\n\n<li>Classified as an <strong>abstract endangerment offence<\/strong>: no actual loss is required; the deception itself is punishable.<\/li>\n\n\n\n<li>Sanctions: fines or imprisonment of up to three years.<\/li>\n<\/ul>\n\n\n\n<p><strong>Examples:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>False information in investment prospectuses.<\/li>\n\n\n\n<li>Concealing risks in financial products.<\/li>\n\n\n\n<li>Promises of unrealistic returns.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Ponzi Schemes and High-Risk Models<\/h3>\n\n\n\n<p>In Ponzi schemes or manipulated betting systems, courts typically regard the <strong>entire investment<\/strong> as a loss because the promise of repayment is worthless from the beginning.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">Breach of Trust (\u00a7 266 StGB)<\/h2>\n\n\n\n<p>Breach of trust (<em>Untreue<\/em>) punishes the <strong>disloyal handling of assets<\/strong> by someone entrusted with financial powers.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Two Legal Scenarios<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Abuse of authority<\/strong>: when external legal powers are used against internal rules (e.g. exceeding mandate).<\/li>\n\n\n\n<li><strong>Violation of fiduciary duty<\/strong>: when a person with an obligation to manage assets acts disloyally and causes financial loss.<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Typical Cases<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Unauthorised use of company property.<\/li>\n\n\n\n<li>Granting unsecured loans.<\/li>\n\n\n\n<li>Misuse of budget funds.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\">Document Forgery (\u00a7 267 StGB)<\/h2>\n\n\n\n<p>Document forgery protects the <strong>integrity and authenticity of documents<\/strong> in legal transactions. It is not about whether the content is true, but whether the document itself is genuine.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Types of Forgery<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Creating a false document<\/strong> (e.g. signing under another\u2019s name).<\/li>\n\n\n\n<li><strong>Altering a genuine document<\/strong> (changing the content afterwards).<\/li>\n\n\n\n<li><strong>Using a forged or altered document<\/strong> (submitting it as genuine).<\/li>\n<\/ul>\n\n\n\n<h3 class=\"wp-block-heading\">Penalties<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Basic offence: fines or imprisonment up to 5 years.<\/li>\n\n\n\n<li>Serious cases (e.g. organised or commercial forgery): 6 months to 10 years.<\/li>\n<\/ul>\n\n\n\n<p><strong>Examples:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Fake medical certificates.<\/li>\n\n\n\n<li>Altered contracts or invoices.<\/li>\n\n\n\n<li>Misuse of official stamps and seals.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h1 class=\"wp-block-heading\">Defence Strategies in White-Collar Crime<\/h1>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Challenging financial loss calculations<\/strong> (market value, securities, risk assessment).<\/li>\n\n\n\n<li><strong>Attacking causation<\/strong> between alleged deception and economic disadvantage.<\/li>\n\n\n\n<li><strong>Questioning intent and unlawful enrichment<\/strong>.<\/li>\n\n\n\n<li><strong>Clarifying overlaps with tax law or insolvency law<\/strong>, where different legal standards apply.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h1 class=\"wp-block-heading\">Frequently Asked Questions (FAQ)<\/h1>\n\n\n\n<p><strong>\u2753 What is entry fraud (<em>Eingehungsbetrug<\/em>)?<\/strong><br>It is fraud committed at the moment of contract conclusion, when the deceived party already faces a significant economic risk.<\/p>\n\n\n\n<p><strong>\u2753 How is credit fraud punished?<\/strong><br>If convicted, courts look at the increased risk of default at the time of loan approval. Penalties can reach up to five years imprisonment.<\/p>\n\n\n\n<p><strong>\u2753 What is the difference between fraud and breach of trust?<\/strong><br>Fraud requires deception, while breach of trust arises from misusing entrusted powers without necessarily deceiving anyone.<\/p>\n\n\n\n<p><strong>\u2753 Is investment fraud punishable even without loss?<\/strong><br>Yes. Capital investment fraud (\u00a7 264a StGB) is an abstract endangerment offence. Misleading statements or concealing facts is sufficient.<\/p>\n\n\n\n<p><strong>\u2753 What counts as document forgery?<\/strong><br>Any creation, alteration or use of documents that appear genuine but are not, including signatures, contracts or certificates.<\/p>\n\n\n\n<p><strong>\u2753 How can a defence lawyer help in fraud cases?<\/strong><br>By challenging damage calculations, causation and intent \u2014 often decisive in avoiding conviction.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Final Call to Action<\/h2>\n\n\n\n<p>Looking for an English\u2011speaking <strong>criminal law lawyer<\/strong> in Frankfurt?<br>Speak to our team today.<\/p>\n\n\n\n<p><strong>Phone:<\/strong> <a href=\"tel: +496971033330\">+496971033330<\/a><br><strong>Email:<\/strong> <a href=\"mailto:kanzlei@dr-buchert.de\">kanzlei@dr-buchert.de<\/a><\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n<\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Fraud under German Criminal Law (\u00a7 263 StGB) Fraud (Betrug) is one of the core economic crimes in Germany. It applies whenever a person suffers a financial loss due to deception and disposes of assets to their own disadvantage. Key Elements of Fraud The courts use an economic evaluation: what matters is the objective or [&#8230;]<\/p>\n","protected":false},"author":3,"featured_media":1291,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"class_list":["post-2033","page","type-page","status-publish","has-post-thumbnail","hentry"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/pages\/2033","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/comments?post=2033"}],"version-history":[{"count":3,"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/pages\/2033\/revisions"}],"predecessor-version":[{"id":2063,"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/pages\/2033\/revisions\/2063"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/media\/1291"}],"wp:attachment":[{"href":"https:\/\/www.dr-buchert.de\/en\/wp-json\/wp\/v2\/media?parent=2033"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}