Look at your business’s money management and financial recordkeeping as you plan for 2027. A North Carolina white-collar defence lawyer can help you understand where criminal risks may arise.

An accusation is not proof of crime, but it may create doubts about your business. Understanding what the law requires can help you determine how to respond and whether your business practices require closer scrutiny.

What qualifies as a white-collar crime?

White-collar crime is a broad term for crimes involving financial dishonesty or breach of trust. It is not a single criminal charge and each offence has its own requirements.

North Carolina General Statutes Section 14-90 covers embezzlement. It may be used where a person deliberately misappropriates money or property that has been entrusted to them to manage for another person or corporation. If a corporate officer pays personal bills with company money without permission, he may be charged with embezzlement.

Section 14-100 deals with obtaining property by false representation. This charge can be brought against someone who knowingly uses a false statement to obtain or attempt to obtain money or property with the intent to defraud.

Can a failed business deal become a criminal case?

A broken promise doesn’t automatically establish a crime. Section 14-100 says that failing to fulfill a contract, standing alone, doesn’t establish intent to defraud.

A customer may claim that you took a deposit for work you never intended to complete. The records of your efforts to get the job done could help to explain what happened. Your conversations with the customer also may show whether you knowingly misled them when you solicited payment.

The same transaction can give rise to both a civil dispute and a criminal investigation. Don’t assume that settling the civil claim will automatically end the criminal investigation.

Can federal charges involve a local business?

A business doesn’t have to operate nationwide to face a federal investigation. Federal wire fraud can involve a scheme to obtain money or property through deception using communications in interstate or foreign commerce.

Emails or electronic transfers used to carry out that scheme may bring federal law into play. Simply using email isn’t wire fraud, however. Prosecutors still need to establish the required fraudulent scheme and intent.

What consequences could you face?

Offences under G.S. 14-90 and G.S. 14-100 involving less than $100,000 are Class H felonies. Offences involving $100,000 or more are Class C felonies, which are punishable more severely.

The sentence depends on the offence and your history. Other factors in the sentencing outcome may also be considered. Conviction can result in a prison sentence or fines. The court may also order restitution, requiring payment for losses resulting from the offence.

And doing business through an LLC or corporation does not protect you from criminal charges for your own illegal conduct. Business owners need to think about their own risk as well as the company’s risk.

What should you do if investigators contact you?

Speak with counsel before agreeing to a voluntary interview about suspected wrongdoing. Don’t guess at answers or assume that an informal conversation can’t be used as evidence.

A North Carolina white collar defence lawyer can review what investigators are asking for and explain your options. If you receive a subpoena, have counsel check its scope and response deadline. Don’t ignore it because you believe the accusation is false.

Preserve relevant financial records and communications. Ask counsel how to suspend automatic deletion where needed. Deliberately destroying or changing records to obstruct a federal investigation can create a separate criminal charge.

How can you protect your business in 2027?

Set clear policies for approving payments and keeping transaction records. Review account activity with someone else to catch errors or suspicious spending early.

Separate your personal and business expenses and maintain records of all approved payments. If you see a transfer you can’t explain, seek advice on how to review it and retain the original records. As your business evolves, update your procedures and ask counsel what laws apply when concerns arise.

If you are facing allegations of financial misconduct in your business, please contact Ryan Willis Law, PLLC on (919) 341-6294. A North Carolina white collar defence lawyer can clarify what the allegations actually mean and can help you to decide how to respond.