White collar crime more dangerous than ordinary crimes: Court

'White collar crimes' are more dangerous to the society than ordinary crimes as they involve much higher financial losses and inflict public morale, a special court said today.
The court's observations came as it awarded four year jail term to Jharkhand Ispat Pvt Ltd (JIPL) Directors, R S Rungta and R C Rungta, in a coal block allocation scam case.
Special CBI Judge Bharat Parashar noted in his order that of late, the anti social activities of persons of the upper socio-economic strata of the society have attracted attention.
"White collar criminals have come to be defined as a person of the upper socio-economic class who violates the criminal law in the course of his occupational or professional activities. Such 'white collar crimes' are in fact more dangerous to the society than ordinary crimes firstly because the financial losses are much higher and secondly because of the damages inflicted on public morale," the judge said.

The court observed that the average loss from ordinary crimes such as burglaries or robberies may run into a few thousand rupees, but the loss caused by white collar crimes may run not only in lakhs but in crores.
It noted that to find criminality in such acts committed by 'white collar criminals' is often a difficult task because they are committed after much deliberations and planning.

"Moreover the criminal behaviour of such 'white collar criminals' which may include businessmen, industrialists, entrepreneurs, traders, politicians, bureaucrats or well- qualified professionals cannot be simply explained on the basis of various theories developed to explain causation of traditional crimes such as poverty or lack of infrastructural facilities or recreational facilities or feeble mindness or emotional instability.

"On the other hand, such persons are not only capable but are also emotionally balanced and in no sense pathological. The only reason which may however explain such behaviour of 'white collar criminals' is their greed or lust to acquire maximum material resources in the name of their business, taking benefit of open competition, economy and individual freedom," it said.
It further said that "the inevitable result of all the aforesaid acts is the large scale exploitation of the public by the businessmen and professionals in the course of their occupational activities.