Fraud Abroad? The Fourth Circuit Clarifies When Defendants May Be Prosecuted In The United States for International Fraud.
This month, the Fourth Circuit issued its decision in United States v. Elbaz, 52 F.4th 593 (4th Cir. 2022) on rehearing. The Fourth Circuit clarified that the federal wire fraud statute does not apply extraterritorially, but that the use of United States wires to conduct foreign fraud can justify U.S. prosecution. This has ramifications for digital fraud and for venue challenges to traditional fraud prosecutions. Background The key conduct in the case occurred in Israel.