Forgery is the process of making, adapting, or imitating objects, statistics, or documents with the intent to deceive. Copies, studio replicas, and reproductions are not considered forgeries, though they may later become forgeries through willful misrepresentations. Forging money or currency is more often called counterfeiting. But consumer goods may also be counterfeits if they are not manufactured or produced by the manufacture given on the label. When the object forged is a record or document it is often called a false document. watch fakes, forgeries and mysteries
Where a forgery is focused on a statement of criticism that is revealed by the reactions it provokes in others, then the larger process is called a hoax. In a hoax, a rumor or a genuine object planted in a concocted situation, may substitute for a forged physical object. In other words, a hoax generally refers to rumor or statements in writing. A good example of a hoax was the infamous Howard Hughes Hoax instigated by one Clifford Irving, an American investigative reporter and author of best-selling novels and nonfiction. watch the hoax
In spite of his personal success, Irving attempted the famous HHH, announcing he interviewed the reclusive HH and was writing his authorized autobiography. On January 7, 1972, Hughes arranged a telephone conference with familiar journalists. A forensic voice analysis (FVA) of the teleconference revealed that the caller was indeed HH. Irving was exposed as a fraud, was convicted, and spent 17 months in a federal prison.
In the 2002 film Catch Me If You Can, directed by Steven Spielberg, based on the real story of Frank Abagnale,played by Leonardo DiCaprio, a con man who stole over $2.5 million through forgery, imposture and other frauds, was dramatized in the film. While in high school, Abagnale successfully personated an airline pilot (yes he flew planes), a medical doctor (worked in a hospital), and a lawyer (represented clients in court) among other professional roles. His career in crime lasted six years from 1963 to 1969. watch frank abagnale from catch me if you can part 1
A Ponzi scheme is a fraudulent investment operation that pays returns to its investors from their own money, rather than from profit earned from the organization running the operation. The scheme is named after Charles Ponzi who became notorious for using the technique in 1920. The Ponzi entices investors by offering higher returns than other investments through short-term returns that are abnormally high or too consistent. A Ponzi is destined to collapse because the earnings are less than the payments to investors. watch standford’s sentence in ponzi scheme
A pyramid scheme is a form of fraud similar to a Ponzi, relying on a mistaken belief in a nonexistent financial reality, including the hope of an extremely high rate of non-taxable return. The way a pyramid works is:
- Unsuspecting “investors” offer the “investor” at the top of the pyramid their cash.
- After all new investors have given their money to the pyramid head, s/he departs from the group, a new investor moves to the top of the pyramid and begins collecting money. The investors are responsible for finding new people to contribute to the scheme. Pyramids collapse much more quickly than Ponzis. watch pyramid scheme
A 21st century example of a Ponzi was constructed by Allen Stanford, who was convicted of fraud through a massive Ponzi scheme, where he stole $7 billion dollars from unsuspecting investors. On June 14, 2012, Stanford was sentenced to 110 years in prison for cheating investors out of more than $7 billion over 20 years in one of the largest Ponzi schemes in U.S. history. Stanford is incarcerated at the Federal Detention Center, Housto. A supreme narcissist, Stanford proudly smirked at photographers as he was detained and brought to prison. watch people’s court lady gets caught trying to scam court with fake documents