WHITE-COLLAR CRIME INVOLVES ILLEGAL ACTS CHARACTERIZED BY DECEIT, GUILE, AND CONCEALMENT. IT IS NOT DEPENDENT ON THE APPLICATION OF PHYSICAL FORCE AND VIOLENCE OR THREATS. WHITE-COLLAR CRIME MAY BE COMMITED BY INDIVIDUAL ACTION OR BY PERSONS WHO ARE PART OF A PLANNED CONSPIRACY AND THE OBJECTIVE MAY BE TO OBTAIN MONEY, PROPERTY, OR SERVICES OR TO SECURE BUSINESS OR PERSONAL ADVANTAGE. THE YEARLY COST OF EMBEZZLEMENT AND PILFERAGE REPORTEDLY EXCEEDS BY SEVERAL BILLION DOLLARS LOSSES SUSTAINED FROM BURGLARY AND ROBBERY. DISHONESTY BY CORPORATE EXECUTIVES AND EMPLOYEES HAS INCREASED THE RETAIL COST OF SOME MERCHANDISE BY AS MUCH AS 15 PERCENT. IN ADDITION TO DIRECT ECONOMIC COSTS OF WHITE-COLLAR CRIME, SOCIAL COSTS INCLUDE THE PERPETUATION OF CRIMINAL ACTIVITY, LOSS OF PUBLIC CONFIDENCE, DEBASEMENT OF COMPETITION, RETARDED ECONOMIC GROWTH, AND PHYSICAL INJURY. WHITE-COLLAR CRIMINALS CONSIDER THEMSELVES HONEST AND ARE USUALLY RESPECTED MEMBERS OF THE COMMUNITY. THIS CRIME IS OFTEN NOT PROSECUTED; AND EVEN CORPORATIONS THAT ARE VICTIMS OF SUCH CRIME OFTEN REFUSE TO INFORM AND PRESS FOR PROSECUTION. THE GROWING CYNICISM OF THE GENERAL PUBLIC ENCOURAGES THIS CRIME. NINE STEPS TO BE TAKEN IN REDUCING WHITE-COLLAR CRIME ARE IDENTIFIED: (1) COMPANIES SHOULD HAVE BONDING AND INSURANCE FOR ANY LOSSES THEY MAY SUSTAIN; (2) RESPONSIBILITY, AUTHORITY, AND ACCOUNTABILITY SHOULD BE CLEARLY DELEGATED TO THE LOWEST LEVEL OF THE ORGANIZATION, CONSISTENT WITH SOUND DECISIONMAKING; (3) STRINGENT HIRING PRACTICES TO ELIMINATE PERSONS WITH A PREDISPOSITION TO CRIME SHOULD BE INSTITUTED; (4) COMPANIES SHOULD PRESS FOR THE PROSECUTION OF ANY INDIVIDUAL COMMITTING A WHITE-COLLAR CRIME; (5) COMPANIES SHOULD ELIMINATE TEMPTATION BY REDUCING THE OPPORTUNITY FOR WHITE-COLLAR CRIME; (6) SPOT CHECKS SHOULD BE CONDUCTED WITHIN COMPANIES BY AN INTERNAL AUDIT SECTION; (7) LEADERSHIP SHOULD BE OF THE HIGHEST INTERGRITY AND CAPABILITY; (8) COMPANIES SHOULD INITIATE A PUBLIC RELATIONS PROGRAM TO EDUCATE THE PUBLIC ABOUT THE IMPACT AND COST OF WHITE-COLLAR CRIME; AND (9) MANAGEMENT SHOULD EXPECT ONLY WHAT IS ATTAINABLE AND REASONABLE IN THE PERFORMANCE OF ITS EMPLOYEES. STATISTICAL DATA ON THE INCIDENCE OF AND EXPENDITURES FOR WHITE-COLLAR CRIME ARE TABULATED. (DEP)