Honest services fraud is defined as a "scheme or artifice to deprive another of the intangible right to honest services," according to federal law. What exactly does this mean? Unfortunately, it is a broad federal felony that courts may find difficult to define and interpret. Continue reading to learn more, or call Law Office of Michael L. Fell at (949) 585-9055 to speak with a knowledgeable fraud defense lawyer.

What are honest services, exactly?

The definition of "honest services" is not defined in the statute. They have ranged from property to "intangible rights" granted to the people in past court rulings. Although the original statute was intended to give a means of prosecuting corrupt government officials, the difficulty in defining "intangible rights" has permitted those in the private sector to face same charges.

Learning about "intangible rights"

Being denied "intangible rights" meant that government officials were not acting "openly and faithfully" for their constituents when the statute was drafted. People in privileged, fiduciary, or employment relationships can now be found in breach if they would have been covered by tort law. This does not necessitate the exchange of any money or property.

In truth, robbing someone of honest services does not have to be successful. Wire fraud or mail fraud can be charged if there is a violation of fiduciary responsibility or failing to disclose a conflict of interest. As you can see, this is a broad charge that may be applied to practically everyone in a variety of situations.

To prove honest services fraud, the prosecutor must prove several elements

A prosecutor must show that there was a scheme in place with the intent of defrauding people, that the scheme was intended to deny the victims "the intangible right of honest services," that the alleged perpetrator could reasonably foresee that the scheme would cause more than de minimis monetary harm (even if it was unsuccessful), and that the scheme involved the mail or wires in order to get a guilty verdict.

It's worth noting that "honest services" has no specific definition. This is due to the fact that the court has complete discretion over what constitutes "honest service."

An experienced criminal defense attorney's importance

This is a complicated crime that is also poorly understood. As a result, you'll need an experienced criminal defense attorney who knows how to poke holes in the prosecutor's case and defend you effectively. Contact Law Office of Michael L. Fell for a free legal consultation to learn more about your options.