What is the difference between embezzlement and misappropriation?

Definitions

embezzlement

- Referring to the act of stealing money or property that has been entrusted to one's care, especially by an employer.

- Talking about a white-collar crime where someone in a position of trust takes funds for personal use.

- Describing the illegal appropriation of money or assets by someone who has access to them.

misappropriation

- Referring to the wrongful or illegal use of funds or property that belong to someone else.

- Talking about the act of taking something that does not belong to you without permission.

- Describing the misuse of funds or assets that have been entrusted to one's care.

List of Similarities

• 1. Both involve the illegal or wrongful use of funds or property.
• 2. Both can be considered white-collar crimes.
• 3. Both involve taking something that does not belong to you.
• 4. Both can result in legal consequences and criminal charges.
• 5. Both involve a breach of trust.

What is the difference?

• 1. Scope: Embezzlement typically involves the theft of funds or property that have been entrusted to one's care, while misappropriation can refer to any wrongful or illegal use of funds or property.
• 2. Intent: Embezzlement implies a deliberate and intentional act of stealing, while misappropriation can also include accidental or unintentional misuse of funds or property.
• 3. Severity: Embezzlement is generally considered a more serious offense than misappropriation and can result in harsher legal consequences.
• 4. Context: Embezzlement is often used in the context of corporate or financial crimes, while misappropriation can refer to a wider range of situations.
• 5. Usage: Embezzlement is more commonly used in legal and formal contexts, while misappropriation can be used in both formal and informal settings.

📌

Remember this!

Embezzlement and misappropriation are synonyms that refer to the illegal or wrongful use of funds or property that do not belong to the perpetrator. However, embezzlement specifically refers to the theft of funds or property that have been entrusted to one's care, while misappropriation can refer to any wrongful or illegal use of funds or property.