Our practice areas

Fraud offences in Canada are governed primarily by the Criminal Code of Canada. Fraud is broadly defined as using dishonesty, deceit, falsehood, or other fraudulent means to deprive someone of money, property, or a financial interest.

Fraud charges can arise in both personal and business contexts, including online transactions, employment, banking, real estate, and investment activity. A conviction can result in:

• A permanent criminal record
• Jail time
• Heavy fines and restitution orders
• Professional licensing consequences
• Severe employment and travel restrictions, especially to the United States

Because many fraud cases involve complex financial evidence, early legal intervention is critical.

What Counts as Fraud?

Fraud does not require physical theft. It occurs whenever the Crown alleges that:

• There was dishonesty or deception, and
• The conduct caused actual or potential deprivation
  
  

Common examples include:

• Using false information to obtain money or credit
• Misuse of company funds or expense fraud
• Online scams and identity-based fraud
• Investment and securities fraud
• Benefit and insurance fraud
  
  

The Crown must prove both the dishonest act and the intent to defraud.

Types of Fraud Charges in Canada

Fraud Under $5,000

Applies where the total value of the alleged fraud is less than $5,000. This is a hybrid offence, meaning the Crown may proceed by summary conviction or indictment.

Fraud Over $5,000

Applies where the alleged value exceeds $5,000. This is always prosecuted as an indictable offence and is treated far more seriously by the courts.

Related Financial Offences

Fraud charges are often accompanied by additional Criminal Code allegations, including:

• Forgery and use of forged documents
• Identity theft and identity fraud
• Possession of property obtained by crime
• Criminal breach of trust
• Conspiracy to commit fraud
• Proceeds of crime and money laundering
  
  

These companion charges greatly increase sentencing exposure and case complexity.

Penalties and Sentencing for Fraud

Fraud offences carry serious criminal penalties, especially where large sums of money, multiple victims, or breach of trust is alleged.

• Fraud Under $5,000:
  • Up to 2 years less a day in jail
  • Or a fine, probation, or both
• Fraud Over $5,000:
  • Maximum sentence: 14 years in prison
    
    

In addition to imprisonment, courts frequently impose:

• Restitution orders (repayment to alleged victims)
• Substantial fines
• Probation with strict financial reporting conditions
• Prohibition orders related to financial employment
  
  

Aggravating factors include:

• Large dollar values
• Multiple victims
• Sophisticated schemes
• Breach of trust (employees, managers, professionals)
• Use of identity-based fraud
  
  
  

Life Consequences of a Fraud Conviction

Beyond jail, a fraud conviction can permanently impact your:

• Employment and professional licensing
• Ability to work in banking, finance, accounting, or management
• Immigration status for non-citizens
• International travel
• Reputation within your industry and community
• Access to credit and financial services
  
  

For many clients, the collateral damage is more severe than the criminal penalty itself.

Fraud and the Courts

Fraud cases often involve:

• Banking and electronic records
• Computer and phone data
• Forensic accounting analysis
• Long-term police investigations
• Search warrants and production orders for private financial information
  
  

Because of this complexity, fraud prosecutions are document-heavy and technically demanding, and they require a defence strategy specifically tailored to financial crime.

Defending Fraud Charges

Strong fraud defences frequently focus on:

• Whether the conduct was truly dishonest or merely a civil or contractual dispute
• Whether there was actual intent to defraud
• Errors in forensic accounting analysis
• Unlawful searches or seizures of financial or electronic data
• Charter violations involving:
  • Production orders
  • Bank records
  • Digital searches
• Whether the alleged loss is exaggerated or unproven
  
  

At KJR, we conduct a meticulous review of every fraud case, including:

• Full document disclosure analysis
• Expert financial review where required
• Charter litigation at the earliest stage
• Strategic negotiations to reduce or eliminate criminal exposure
  
  

Many fraud cases resolve without jail through early Charter challenges, evidentiary weaknesses, or carefully structured resolutions.