Computer related economic crimes in Hungary

UNIVERSITY OF TIMISOARA FACULTY OF LAW UNIVERSITY OF PÉCS FACULTY OF LAW JOURNAL OF EASTERN-EUROPEAN CRIMINAL LAW No. 2 / 2 0 1 5 E d ite d b ia n n u a lly b y c o u r te s y o f th e C rim in al Law D e p a rtm e n ts w ith in th e L aw F a cu ltie s o f th e W e s t U n iv e rsity o f T im is o a ra a n d th e U n iv e rsity o f P é cs 2015 A HEINONLINE The journal is indexed in databases SSRN, EBSCO, HeinOnline UNIVERSITY OF TIMISOARA FACULTY OF LAW UNIVERSITY OF PÉCS FACULTY OF LAW JOURNAL OF EASTERN-EUROPEAN CRIMINAL LAW O BOARD OF EDITORS O Editors-in-Chief Prof. dr. VIOREL PASCA West University o f Timisoara Faculty o f Law Prof. dr. ISTVÁN GÁL University o f Pécs Faculty o f Law Editors Dr. FLAVIU CIOPEC Dr. CSONGOR HERKE Dr. VOICU PUSCASU Dr. MIHÁLY TÓt H Dr. MAGDALÉNA ROIBU Dr. IOANA-CELINA PASCA Dr. ZOLTÁN ANDRÁS NAGY Dr. LÁSZLÓ KŐHALMI Dr. LAURA MARIA STÁNILÁ Dr. ANDREEA VERTES-OLTEAN Dr. CSABA FENYVESI Dr. DOREL JULEAN Dr. ADRIAN FANU-MOCA Dr. LIVIA SUMANARU Advisory B oard Prof. dr. VIOREL PASCA - W est University of Timisoara, Faculty of Law Prof. dr. ISTVÁN GÁL - University of Pécs, Faculty of Law Prof. dr. Zoran Pavlovic, University of Novi Sad, Faculty of Law SCIENTIFIC BOARD Prof. dr. Ulrich Sieber, director Max Planck Institute f o r Internationa! Criminal Law; P ro f dr. Ye Qing. Director Law Institute o f SASS, Shanghai; Prof. Dr. Zoran Stojanovic, University o f Belgrade Faculty o f Law; Prof. dr. Vid Jakulin, University Lublijana Faculty o f Law; Prof. dr. Roberto E. Kostoris, Ordinario di Diritto processuale pen ale nell’Universita di Padova; P r o f dr. Zoran Pavlovic, University o f Novi Sad, Faculty o f Law; Prof. dr. Tudorel Toader, University A.I. Cuza Iasi, Faculty o f Law; Prof. dr. Florin Streteanu, University Babes-Bolyai Cluj-Napoca, Faculty o f Law; P ro f dr. Valerian Cioclei, University Bucuresti, Faculty o f Law; Prof. dr. Elek Balazs, Debrecen University, Faculty o f Law. The board o f editors shall not take responsibility fo r the authors' opinions therefore the authors are exclusively responsible fo r the form er. Universul Juridic Publishing House Edited by Universul Juridic Publishing House Copyright © 2 0 1 5 , S.C. UNIVERSUL JURIDIC S.R.L. All rights on this edition are reserved to Universul Juridic Publishing House No p a rt o f this volum e can ’t be copied w ithou t the su bscription o f Universul Juridic Publishing House Editorial office: Phone/fax: 0 2 1 .3 1 4 .9 3 .1 3 Phone: 0 7 3 4 .3 0 3 .1 0 1 E-mail: redactie@universuljuridic.ro Distribution: Phone: 0 2 1 .3 1 4 .9 3 .1 5 Phone/fax: 0 2 1 .3 1 4 .9 3 .1 6 E-mail: distributie@universuljuridic.ro www.universuljuridic.ro ISSN 2 3 6 0 - 4 9 6 4 CONTENTS I. UNIVERSITY EVENTS LAUDATIO Magistri YE QING et operum suorum ......................................................................... 9 Dr. Ye. Quing - A Discussion on the Provisions of the Exclusionary Rule Against Illegally Obtained Evidence in China’s Criminal Procedure Law.........................................13 II. FORMS OF ECONOMIC CRIME Dr. Roberto E. Kostoris - A European Public Prosecutor Office against Euro­ financial Crimes: Which Future?...................................................................................................27 Dr. László Kőhalmi, Dr. Kitti Mezei - The Concept and Typical Forms of Economic Crime................................................................................................................................33 Dr. István László Gál - The Criminal Law Protection of the Stock Market in Hungary.............................................................................................................................................. 43 Dr. Magdalena Roibu - All Eyes on Market: Abuse, Misuse and Insider Dealing............50 Dr.Vid Jakulin - Money Laundering in the legal instruments of the European Union and Council of Europe........................................................................................................ 61 Dr. Raimundas Jurka - Combating Money and Property Laundering in Lithuania: Fundamental issues of Economic Crime Prevention............................................ 70 Dr. Zoran Pavlovic, Dr. Aleksandar Boskovic - Place of the Crime of Money Laundering within the Criminal Law of Serbia.......................................................................... 81 Dr. Endre Nyitrai - Money Laundering and Organised Crime............................................ 92 Dr. László Schubauer - Modifications of the Provisions of the Hungarian Criminal Code Related to Money Laundering and Compliance with International Requirements of Combating Money Laundering.................................................................... 101 Dr. Yuri Pudovochkin, Dr. Nikolay Pikurov - Criminal Law Nature of Criminal Incomes Legalization....................................................................................................111 Dr. Wei Changdong - The Strategic Choice of Criminal Legislation of Anti­ bribery in the Transition Countries........................................................................................... 120 Dr Osman Jasarevic - Strategic Planning and Directing the Fight against Economic Crime............................................................................................................................. 138 6 Laudatio Dr. Lucija Sokanovic - Subsidy Fraud in Protection of Financial Interests of European Union: Achievements and Challenges.................................................................... 142 Dr. Laura Stánilá - The Legal person and the Tax Evasion Offences. From Theory to Practice.......................................................................................................................... 153 Dr. Zoltán Nagy, Drd. Dávid Tóth - Computer related Economic Crimes in Hungary............................................................................................................................................165 Dr. Flavius Ciopec - Follow-the-Money! Criminal Confiscation in Economic Crime......................................................................................................................... 175 Dr. Melinda Mátyás - The Edge of Rationality: Permitted Risk in the Criminal Law....................................................................................................................... 182 Drd. Darian Rakitovan, Drd. Aleksandra Dabic - Criminal Offense of Embezzlement in the Criminal Code of the Republic of Serbia. Specifics of Detection and Proving.................................................................................................................. 191 Dr. Silvia Signorato - ICT, Data Retention, and Criminal Investigations of Economic Crimes............................................................................................................................204 Dr. Snezana Mojsoska, Dr. Nikola Dujovski - Recognizing of Forensic Accounting and Forensic Audit in the Southeastern European Countries........................212 Com puter related econom ic crim es in Hungary ASSOCIATE PROFESSOR, DR. PH. D. HABIL. ZOLTÁN NAGY University o f Pécs, F acu lty o f L a w D ep a rtm en t o f C rim inal L a w PH.D. STUDENT, DR. DÁVID TÓTH University o f Pécs, F acu lty o f L a w D ep a rtm en t o f C rim inology a n d P en a l L a w Abstract: The revolution o f information technology (e.g. Computer technology) have changed the conditions and possibilities concerning econom ic crime. For exam ple nowadays criminals with high tech printers can easily produce counterfeit money with g o o d quality. The aim o f this article is to analyse the Hungarian regulation o f som e com puter related econom ic crimes. In this article the follow ing crimes will b e analysed which are closely related to each other: - counterfeiting currency - counterfeiting o f cash-substitute paym ent instruments and the aiding in counterfeiting cash-substitute paym ent instruments - cash-substitute paym ent instrument fraud. Keywords: econom ic crimes, com puter related crimes, counterfeiting currency, credit card fraud, counterfeiting o f credit card. I. crimes Introduction - concept of economic crim es and com puter related It is a very difficult task to give an exact definition of economic crime. There is no consensus in the legal literature as well. Under Anne Alvesalo and Steve Tombs1 economic crime is: “a criminalized act or neglect which is committed in the framework of, or using a corporation or other organisation. The act is done with the aim of attaining unlawful direct or indirect benefit. A criminalized, systematic act that is analogous to entrepreneurship and has the aim point of considerable benefit is also defined as economic crime.” We agree with the definition of Professor Tóth: “In a criminological aspect economic crime is a form a crime which is realised in the economic process (or closely related to it). This form of crime is able to - in the aspect of perpetration behaviour (often with the use of legal forms of business or with the abuse of it) and in the aspect of the result of the crime - breach or endanger the fair and legal order of the economy.”2 The revolution of information technology (e.g. Computer technology) has changed the conditions and possibilities concerning economic crime. For example nowadays 1 http://www.britsoccrim.org/volum e4/001.pdf (date of download: 10. 09. 2015.) 2 Tóth Mihály, Gazdasági bűnözés és bűncselekmények. [Economic crime and offenses] Kjk-kerszöv kiadó, Budapest. 2002. p. 22. 166 Zoltán Nagy, Dávid T óth criminals with high tech printers can easily produce counterfeit money with high quality. The general characteristics of Computer related crimes are the following: 1. anonymity 2. speed 3. high degree of latency 4. the large number of victims 5. international and 6. it is hard to detect the source of the crime.3 The aim of this article is to analyse the Hungarian regulation of some computer related economic crimes. In this article the following crimes will be analysed which are closely related to each other: - counterfeiting currency - counterfeiting of cash-substitute payment instruments and the aiding in counterfeiting cash-substitute payment instruments - cash-substitute payment instrument fraud II. Counterfeiting currency After almost one hundred amendments of the Act IV of 1978 (The previous Hungarian Criminal Code) it was timeous to create a new and coherent Criminal Code to answer the changes in the society. After a long codification process the lawmakers has finally passed the new Criminal Code in 2012. The Act C of 2012, the fourth written Criminal Code of Hungary came into effect on the first of July 2013. In the previous Criminal Code counterfeiting was regulated in the Economic Crimes chapter.4 The new Code regulates counterfeiting currency in a separate Chapter XXXVIII. The title of the chapter is “Criminal offenses relating to counterfeiting currencies and philatelic forgeries.” Even though the Economic Crimes chapter does not exist in the Criminal Code, from a criminological aspect counterfeiting currency is still considered as an economic crime.5 Regarding counterfeiting, the new regulation does not contain significant changes compared to the previous Code. The extent to which this crime is punishable lies on the rules of the international agreement, established in Geneva, on the 20th of April 1929, which came into effect in Hungary in the Act XI of 1933. The legal object of the crime is the trust in the issued money and securities flow, as well as the legal order of the financial management. The object o f perpetration is controversial in the legal literature. According to some views the object of perpetration is money, as well as securities and bank notes that are equivalent to money in the 3 Gyaraki Réka, A számítógépes környezetben elkövetett gazdasági bűncselekmények. [The economic crimes committed in computer environment] In: Gaál Gyula - Hautzinger Zoltán (editors): Pécsi határőr tudományos közlemények XIII. Pécs, 2012. pp. 235-236. 4 About the previous regulation see further in: Kőhalmi László, A pénzhamisítással kapcsolatos bűncselekmények. A pénz büntetőjogi fogalma [Offenses related to counterfeiting currency. The criminal law concept o f money] In: Balogh Ágnes, Büntetőjog II. Különös rész. Dialóg Campus Kiadó, BudapestPécs, 2008. pp. 388-394. 5 About the criminológica aspect of counterfeiting currency see further in: Kőhalmi László, Jogállam és büntetőjog - avagy kételyeim az ezredforduló krimináljoga körül [Rule o f law and criminal law - or my doubts about criminology law int he millenium] In: Karsai Krisztina (Editor), Keresztmetszet: tanulmányok fiatal büntetőjogászok tollából. Pólay Elemér Alapítvány, Szeged. 2005. pp. 121-137. J ournal of Eastern- European C riminal Law no . 2/2015 criminal law, and therefore considered as money.6 Under other views not all criminal conduct counterfeiting currency has a subject of perpetration. In the case of the first perpetration conduct, the imitated money is not the object of perpetration but the product of it.7 A practical change in the new Criminal Code that it states the definition of money within the statutory provisions of counterfeiting currency (In the previous regulation it was found in another Act), furthermore it clarifies the definition on several points. Under the current regulation not only the bulletin of the institution that is authorized to issue money, but also the legislation, and the legal act of the European Union can specify the legal tender (coins and banknotes) and the obligations to exchange the banknotes withdrawn from circulation. The new Criminal Code extends the concept of paper money, however, as opposed to the previous Criminal Code, it not lists the securities that satisfy the criteria to be considered as paper money fully comprehensively (in a holistic way), but only ascertain the printed version of securities issued in a continuous flow to be considered as equivalent to banknotes, only if the exchange and transfer of such securities is neither limited nor prohibited by legal measures or contracts of those securities. It is also important to note here at the object of perpetration that foreign currencies and securities are granted protection identical with the domestic ones.8 This regulation adapts to the Geneva Convention. There are five perpetration conducts of counterfeiting currency: - imitation, - counterfeiting (or in other word falsification), - the intentional acquisition, - the export, import, or transport through the territory of the country - the distribution of false or falsified money These five are extended with the interpretation section: the application or removal of a sign serving as an indication that the currency is valid only in a specific country, and any alteration of currency that has been withdrawn from circulation to create an impression as if it was still in circulation shall be considered imitation of currency.9 Counterfeiting in the practice is committed typically with highly advanced printers and computers. This crime is a felony and punishable in the basic case by imprisonment between two to eight years. The crime has two aggravated cases when counterfeiting currency - involves a particularly considerable or greater amount of money; or - is committed in criminal association with accomplices. According to the closing provisions of the Criminal Code particularly considerable amount of money is between 50 million plus one and 5 hundred million Forints so the 6 Molnár Gábor, Pénz- és bélyegforgalom biztonsága elleni bűncselekmények. [Criminal offenses relating to counterfeiting currencies and philatelic forgeries] In: Kónya István (Szerk.): Magyar Büntetőjog, Kommentár a gyakorlat számára 3. kiadás. II. Kötet. Hvg-orac Lap és Könyvkiadó Kft, Budapest. 2013. p. 1456. 7 Gál István László, Pénz és bélyegforgalom biztonsága elleni bűncselekmények. [Criminal offenses relating to counterfeiting currencies and philatelic forgeries] In: Polt Péter (Szerk.): Új Btk. Kommentár. 7. kötet, Különös rész. Nemzeti Közszolgálati és Tankönyvkiadó. Budapest, 2013. p. 197. 8 Act C of 2012, Section 389 (6). 9 Karsai Krisztina, Pénz- és bélyegforgalom biztonsága elleni bűncselekmények [Criminal offenses relating to counterfeiting currencies and philatelic forgeries] In: Karsai Krisztina (Szerk.): Kommentár a Büntető Törvénykönyvhöz. Complex Kiadó, Budapest. 2013. p. 818. 167 168 Zoltán Nagy, Dávid T óth aggravated case of counterfeiting currency can be committed above 50 million plus one Forints which is equivalent to about 161235 Euros. Criminal association is formed when two or more persons are engaged in criminal activities in an organized fashion, or they conspire to do so and attempt to commit a criminal act at least once, without, however, creating a criminal organization.10 The state of affairs is stricter compared to previous regulations, in aggravated cases the punishment can be imprisonment for up to 15 years at maximum (previous Criminal Code had 10 years at maximum). The preparation of counterfeiting currency is also punishable by imprisonment not exceeding three years. Under the Criminal Code preparation is committed when someone “provides the means necessary for committing a criminal offense or facilitating that, and who invites, volunteers or undertakes to commit a crime, or agrees to commit a crime in league with others shall be punishable for preparation.”11 The new Criminal Code, as opposed to previous legal traditions, enacts the issue and distribution of counterfeit money not as an independent statutory provision, rather within the act of counterfeiting. The actual difference between the two acts is that, in this case the perpetrator obtains the money legally and „bona fide”, and realizes it's wrong, disingenuous and sophisticated nature only after. Legality refers to the legal pretence of acquisition. Therefore, the acquisition is not legitimate if the person obtains the counterfeit money through a criminal act. The legal tradition measures this act as a privileged case with respect to the cause emerged from the expectations, what the international agreement has made feasible and what it has given potential. For the security of the money flow (the circulation) the initiation of increased protection is reasonable. The distribution of forged or counterfeit money of substantial or greater amount cannot be measured as the lack of expectations, since the perpetrator is aware of the increased risk, therefore the new Criminal Code ensures the possibility for the mitigation of the punishment only in specific cases, tied to a threshold limit (when the value of the money is trivial or even less substantial) and with an unlimited mitigation of the punishment.12 III. Counterfeiting of cash-substitute payment instruments and the aiding in counterfeiting cash-substitute payment instruments The predecessors of the cash replacing plastic cards were introduced by oil companies, hotels in the 1920s. The first credit card was introduced by the Bank of America in 1958, while the first European credit card the so called „Karte Blau” appeared at a Rothschild Bank.13 10 Act C of 2012, Section 459. (1) 2. 11 Act C of 2012, Section 11. 12 Based on the justification of the Act C of 2012. 13 Harsányi Gyöngyi, A bankkártyák, és az alapjukat képező szerződéses viszony sajátosságai. [The credit cards, and the characteristics o f the contracts based on them] Gazdaság és Jog, 1996. 10. pp. 10-13. Dulin Tamás - Kő József, A hitelkártya-visszaélésekről. [About the abuses of credit cards] BSZ. 34. 1996. 11. sz. pp. 46 - 50 Huszti Ernő, Banktan. [Banklore]Tas Kft, Budapest, 1996. pp. 125-133. Meir Kohn, Bank- és pénzügyek, pénzügyi piacok. [Financial institutions and markets] Osiris Kiadó, Budapest. 1998. pp. 105-113. J ournal of Eastern-E uropean C riminal Law no . 2/2015 In Hungary the first card which was linked to a foreign currency account appeared in 1988. In the same year appeared the first ATM card as well. The use of credit cards started to spread in the early 90’s. Today in Hungary there are about 8.5 million credit cards which are supposed to perform financial transaction. There also more than 100 thousand plastic cards which are not produced by banks but from the American Express, oil companies, trading companies etc. The numbers of credit cards are decreasing due to the economic situation in Hungary.14 The legislator realized that credit cards are needed to be protected by criminal law measures. There were two crimes introduced in the Hungarian Criminal Code in 1994: - Counterfeiting of credit card - Credit card fraud. Since its introduction the scale of the object of perpetration expanded and thus the name of the crime has changed to counterfeiting of cash-substitute payment instruments, cash-substitute payment instruments fraud.15 These crimes are regulated within the same chapter as counterfeiting currency. The legal object of the crime is the safety of the flow of the cash-substitute payment instruments as well as the legal order of the financial management.16 With this statutory provision not just the interests of the bank account owners are protected but the financial institutes as well.17 The object o f perpetration are the cash-substitute payment instruments which may be in material or electronic form. The definition of these can be found in the closing provisions of the Hungarian Criminal Code: 'cash-substitute paym ent instrum ent shall mean non-cash means of payment provided for in the act on credit institutions, as well as treasury cards, traveller’s checks, credit tokens and bills of exchange made out in accordance with the Personal Income Tax Act, provided they contain protective fixtures, such as coding or signature, against duplication, fraudulent making or forgery, and against unauthorized use.18 'electronic paym ent instrument’ shall mean, in addition to the non-cash means of payment provided for in the act on credit institutions, treasury cards and electronic credit tokens made out in accordance with the Personal Income Tax Act, provided that they are used through the information system.19 These includes credit cards, debit cards meal vouchers, cheques, travellers cheques etc.20 Under the Criminal Code cash-substitute payment instruments and electronic 14 http://hvg.hu/gazdasag/20140703_Egyre_kevesebb_bankszamla_es_bankkartya_v [date of download 2015. 09. 15,]. 15 Tóth Mihály Gazdasági bűnözés és bűncselekmények. [Economic crime and offenses] KJKKERSZÖV Jogi és üzleti kiadó, Budapest. 2002. p. 445. 16 József Gula's opinion is slightly different. See further in: Gula József, A pénz-és bélyegforgalom biztonsága elleni bűncselekmények. [Criminal offenses relating to counterfeiting currencies and philatelic forgeries] In: Horváth Tibor - Lévay Miklós (editors), Magyar Büntetőjog Különös Rész. Wolters Kluwer Kft. Budapest, 2013. p. 592. 17 Polt Péter, Pénz- és bélyegforgalom biztonsága elleni bűncselekmények. [Criminal offenses relating to counterfeiting currencies and philatelic forgeries] In: Blaskó - Hautzinger - Madai - Pallagi - Polt Schubauer, Büntetőjog, Különös rész II. Rejtjel kiadó, Budapest. 2013. p. 288. 18 Act C of 2012 Section 394 (2). 19 Act C of 2012 Section 459. (1) 20. 20 Nagy Zoltán: Pénz- és bélyegforgalom biztonsága elleni bűncselekmények. [Criminal offenses relating to counterfeiting currencies and philatelic forgeries] In: Tóth Mihály - Nagy Zoltán (editors): Magyar Büntetőjog Különös rész. Osiris Kiadó, Budapest. 2014. p. 500. 169 170 Zoltán Nagy, Dávid T óth payment instruments issued in other States shall receive the same protection as those issued in Hungary.21 The statutory provisions consists of three perpetration conducts: - falsification of non-cash payment instruments - manufacturing counterfeits - and recording data stored on electronic payment instruments or the related security features, using technical means. We would like to illustrate the last perpetration conducts with some examples: - ATM frauds: Nowadays more and more people are victimized by ATM frauds. The criminals can plant so-called skimmer devices (electronic card readers, tiny cameras etc.) to ATM slots. After the ATM user puts the credit card into the ATM card reader slot, the skimmer device picks up all the information from the card’s magnetic strip. With miniature cameras offenders can obtain our PIN code as well. After the criminals obtained the data, they can create with these clone credit cards and use it as the original one. - recording radio frequ ency signals. Easy and comfortable payment methods such as paypass has risks. Paypass credit card communicates with the point of sale terminal with radio frequency signals but these can recorded by skimmer devices.22 It is very easy to be victimized of this crime thus we would like to present some prevention proposals: - try to use ATM machines which are inside of a building, - If you notice some problem contact the bank, or the police and do not accept help from third persons. - keep your certificate of the ATM transaction. Lastly it is important to note that the preparation of this crime is also punishable.23 The independent crime of aiding in counterfeiting cash-substitute paym ent instruments is very similar to preparation of the previous crime. This crime is established when somebody: - produces, supplies, receives, obtains, keeps, exports or imports, or - transports in transit through the country, or - distributes any material, means, equipment or computer program intended to be used for counterfeiting cash-substitute payment instruments or - for the recording of data stored on electronic payment instruments or - the related security features, using technical means. This crime is a misdemeanour and punishable by imprisonment not exceeding one year. The most important difference is comparing to the preparation of counterfeiting is that here to effectuate the crime, no intention of use required. The most typical example when someone sells a skimmer device to a criminal. This crime was introduced in the Hungarian Criminal Code in 2003 due to legal harmonization24 and prevention 21 Act C of 2012 Section 392. (3). 22 Nagy, op. cit. pp. 501-502. 23 Polt, op. cit. p. 287. 24 The European Union's regulation can be found in 2001/413/JH A : Council Framework Decision of 28 May 2001 combating fraud and counterfeiting of non-cash means of payment. See further In: Bujáki László, Készpénz-helyettesítő fizetési eszközök védelme.[The protection o f cash-substitute payment instruments] In: Kondorosi Ferenc - Ligeti Katalin (editors), Az Európai Büntetőjogi Kézikönyve. Magyar Közlöny Lap- és Könyvkiadó, Budapest. 2008. p. 493. J ournal of Eastern-E uropean C riminal Law no . 2/2015 purposes. The offence has an aggravated case: if somebody commits the crime in criminal association with accomplices or on a commercial scale and it is punished by imprisonment not exceeding two years.25 The crime is deemed to be committed on a commercial scale if the perpetrator is engaged in criminal activities of the same or similar character to generate profits on a regular basis.26 IV. Cash-substitute payment instrum ent fraud The legal subject and the object o f perpetration of the crime is the same as mentioned at counterfeiting of cash-substitute payment instruments. However there are differences in the perpetration conducts. We can categorize the conducts into three groups. - unlawful obtainment of cash-substitute payment instruments - commandeer cash-substitute payment instruments - and transit type of conducts: o supplies, obtains, exports or imports, or transports in transit through the territory of Hungary any counterfeit or falsified cash-substitute payment instrument o or a cash-substitute payment instrument that has been commandeered or obtained in the manner specified in Paragraph a), o or data stored on electronic payment instruments or the related security features;27 This crime in the basic case is a misdemeanour and punishable by imprisonment not exceeding one year. Types of credit card abuse in the practice: 1. With the use of the stolen credit card: a. “Cloning” b. Withdrawal from an ATM c. Buying in real life (e.g. in department stores.) d. Buying in cyberspace on the internet. 2. With the use of "cloned" credit cards: a. Withdrawal from an ATM b. Buying in real life (e.g. in department stores.) c. Buying in cyberspace on the internet. 3. The use of credit card data: a. Buying in cyberspace on the internet. 4. Unlawful monetary gain, while the owner of the credit card tries use it legally. The form of the crime has changed in the new Criminal Code. Earlier the crime was completed when financial damage was caused by the criminal act. Under the current regulation this is not required, the crime can be established even if the criminal did not cause any financial damage. Moreover if the criminal act caused financial damage not the cash-substitute payment instrument fraud but another crime, information system fraud shall be established by the courts.28 To sum it up cash-substitute payment instrument fraud has become an im m aterial crime. 25 Act C of 2012 Section 459. (1) 20. 26 Act C of 2012 Section 459. ( l ) 28. 27 Act C of 2012 Section 393. ( l ) b. 28 Molnár Gábor, Pénz- és bélyegforgalom biztonsága elleni bűncselekmények. [Criminal offenses relating to counterfeiting currencies and philatelicforgeries] In: Kónya István (editor), Magyar Büntetőjog Kommentár a gyakorlat számára. 3. kiadás. Hvg-orac Lap és Könyvkiadó, Budapest. 2013. p.1493. 171 172 Zoltán Nagy, Dávid T óth The aggravated case of this crime is a felony, and it is established when somebody commits the offence in criminal association with accomplices or on a commercial scale and is punishable by imprisonment at the maximum of three years.29 V. Criminal statistics and Conclusions The following table shows the registered numbers of computer economic related crimes per year. — — .............. counterfeiting currency counterfeiting o f cash-substitute payment instruments cash-substitute payment instrum ent fra u d aiding in counterfeiting cash-substitute payment instruments 2010 2211 2011 1390 2012 1412 2013 920 282 485 246 65 10172 13057 17595 5804 11 3 3 3 The registered numbers o f com puter related econom ic crim es/year We can see from the table that counterfeiting currency has a decreasing tendency. Counterfeiting is not primarily a quantity but a quality problem of crime. The real threat of this crime is the damage it can cause to the economy. High numbers of fake money in the circulation can destabilize the economics relations, and the trust in a country’s money. Under the statistics the crime of the cash-substitute payment instrument fraud has the highest numbers but in 2013 a drastic reduction can be seen. The low numbers of counterfeiting of cash-substitute payment instrument can be misleading because in the legal practice the classification can be controversial. Sometimes the courts classify these crimes as - extortion30 (When the criminal obtains the PIN Code with violence or threat), - fraud31 (when they use clone cards as payment in shops), or - information system fraud32 (when someone pays with the stolen credit card number on the internet). 29 Act C of 2012 30 Act C of 2012 31 Act C of 2012 32 Act C of 2012 Section Section Section Section 393. (2). 367. 373. 375. J ournal of Eastern-E uropean C riminal Law no . 2/2015 173 On one hand these classification options inhibits us to get the true numbers of this crime. On the other hand, latency, can be another reason for the low numbers in statistics. The damage caused to the victims by these crimes are small comparing to the damage caused to the financial institutes good reputation (or good will) and thus the financial institutes are not interested to cooperate with the authorities. Obviously the clients would be mistrustful if the vulnerability of the banks information system is unfolded. Unfortunately due to these reasons it is doubtful that we will get true numbers in the near future of this crime.33 All in all the best way of crime prevention is to pay attention to our everyday financial transaction and thus we can prevent from being victimized. It is expected in the not too distant future, that the chips will be replaced by biometric cards which would increase the financial transaction. Bibliography 1. Bujáki László, Készpénz-helyettesítő fizetési eszközök védelme.[The protection o f cash-substitute paym ent instruments] In: Kondorosi Ferenc - Ligeti Katalin (editors), Az Európai Büntetőjogi Kézikönyve. 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