What constitutes “other fraudulent means” in the context of corporate fraud?
Ontario, Canada
The following excerpt is from Law Society of Upper Canada v. Wayne Fitzroy Leacock, 2012 ONLSHP 170 (CanLII):
Courts have defined the sort of conduct which may fall under the third category of “other fraudulent means” to include the use of corporate funds for personal purposes, non-disclosure of important facts, exploiting the weakness of another, unauthorized diversion of funds and unauthorized arrogation of funds or property. R v. Theroux, supra, at para. 18, citing other authorities
Willful blindness arises when a person becomes aware of the need for some inquiry and deliberately declines to make the inquiry because he does not wish to know the truth. Recklessness is established when the person is conscious of the risk of a result prohibited by the criminal law, but despite that risk, proceeds in the face of it. Sansregret v. The Queen (1985), 1985 CanLII 79 (SCC), 17 D.L.R. (4th) 577 (S.C.C.)
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