Internal versus external detection of white-collar criminals: An empirical study

Abstract

This article addresses the following research question: What differences might be found between white-collar criminals detected by internal procedures versus white-collar criminals detected by external sources? This research is important, as studies of white-collar criminals so far has focused on case studies rather than statistical analysis of a larger sample. Based on articles in Norwegian financial newspapers for one year, a total of 57 white-collar criminals convicted to jail sentence were identified. The average age of the convicted persons was 51 years. 54 out of 57 criminals were men. The average sentence was 3 years imprisonment. The average sum of money involved in the financial crime was 178 million Norwegian kroner (30 million US dollars). 19 crime cases emerged from internal detection, while 38 crime cases emerged from external detection. The average sum of money involved in the financial crime was significantly higher in cases of external detection.