Running head: THE ISSUE OF CONTRACTOR FRAUD
The Issue of Contractor Fraud
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THE ISSUE OF CONTRACTOR FRAUD
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Abstract
Criminal fraud in the practice of contracting is an issue that can be devastating to a homeowner
who may not be aware of it until it is too late to stop it. Contractor fraud can cost a homeowner
tens of thousands of dollars with little chance of recovering any of the money stolen from them.
This research paper will help to educate the homeowner on the impact of contractor fraud, the
different types of fraud that can occur, and ways the homeowner can protect themselves from
becoming the next victim.
THE ISSUE OF CONTRACTOR FRAUD
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The Issue of Contractor Fraud
Criminal fraud in the contractor business is something every homeowner should be aware
of so they do not become the next victim. The average homeowner is very trusting when it
comes to hiring a contractor to build or make improvements to their homes. After all, the
homeowner typically allows the contractor free reign of their homes, sometimes even in the
absence of the homeowner. There are five key things that the homeowner should understand
about contractor fraud:
1. Most properly licensed contractors are honest and hardworking.
2. Billions of dollars are taken fraudulently each year by unscrupulous contractors.
3. There are many ways that the dishonest contractor can commit fraud.
4. There is a tremendous impact on a homeowner who has been the victim of contractor
fraud.
5. There are a number of things a homeowner can do to protect themselves from contractor
fraud.
Addressing each of these key items will educate the homeowner and make the building of a
home or the improvement of their current home an event they will be able to oversee with the
knowledge required to protect themselves. When the homeowner does fall victim, law
enforcement agencies will investigate and pursue criminal charges against the contractor as the
Code of...