ACH kiting: In a variation on check kiting -- a scam in which funds are juggled back and forth between bank accounts at separate banks -- a criminal moves funds between accounts or financial institutions and then withdraws all the funds before the theft can be detected by the victim (usua...
During the financial crisis of 2008, failures to deliver increased. Much the same as checkkiting, where someone writes a check but has not yet secured the funds to cover it, sellers did not surrendersecuritiessold on time. They delayed the process to buy securities at a lower price for del...
What Do Forgery, Defalcation, Pretexting, and Check Kiting Have in Common? Forgery, defalcation, pretexting, and check kiting are all forms of financial fraud. Forgery is the creation or alteration of documents. Defalcation occurs when funds are misused or misappropriated. Pretexting takes place...