Financial extortion is the process of obtaining money from an individual through coercion. This is regarded as a punishable offense under the United States constitution. So, this means that once found guilty of financial extortion, you could face the wrath of the law.
In this well-written blog post, we would be exploring the topic of financial extortion. You’ll also read about how to report financial extortion in the United States. Let’s get into it.
What Is Financial Extortion?
Financial extortion refers to obtaining of monetary compensation against the will of a person. In some parts of the world, it is labelled as protection racket.
Protection racket is a term used to describe the money paid by an individual in order to avoid violence or destruction of his property.
In some publications, it is likened to exaction. Exaction is described as obtaining of something by first inflicting pain or something unpleasant. In any case, it is done against the ordinary will of the individual involved.
What The US Law Say About Extortion?
The United States law recognizes that financial extortion can be done with or without the use of force or a weapon. In most cases, an extortionist may threaten to reveal information about a victim or their family members.
As a result, the extortionist may require for the victim’s to get money. Sometimes, financial extortion may also occur as a federal crime. The extortionist could send threats via phones, computers, and other digital means.
To be guilty of this crime, an extortionist only have to send a message of threat. If that has been established, then a person can be said to commit extortion.
In legal terms, extortion can involve political corruption, like selling one’s position or trading influence. However, in everyday language, the word is more commonly associated with blackmail or protection rackets.
How Do You File Extortion Charges Against An Individuals
To file an extortion charge against an individual, it is advised that you report the case to a law enforcement agent. This law enforcement agent are usually men of the Police Force.
In addition, bring along proofs that suggest that an extortion attempt was carried out to you. This may be in the form of texts, calls or other written documents that may have been sent to you.
READ THIS: Managed Detection and Response
If a company is found guilty of carrying out extortion, they could be fine up to thousands of dollars. So, you can see that financial extortion is not a thing to be jokes with.
How To Identify Financial Extortion Attempt
Under the Hobbs Act, which deals with interstate and foreign commerce, the Department of Justice outlines four key questions to determine whether extortion has occurred:
1. Did the defendant try to coerce or persuade the victim into giving up property or property rights?
2. Did the defendant use, or attempt to use, the victim’s fear of physical harm or economic loss to force them to surrender property?
3. Did the defendant’s actions obstruct, delay, or impact interstate or foreign commerce in any meaningful way?
4. Was the defendant’s use or threat of force, violence, or fear unjustified?
See Stocktechy for more posts on Finance.
Conclusion
Financial extortion is a crime that is rated very highly in the United States. So, if you’re an extortionist, note that you are committing a crime by sending an extortion message. Refrain from such act!