Most people picture theft as someone physically taking property that belongs to another person. Wisconsin law, however, recognizes that property can be stolen through deception just as easily as it can be taken by hand. Theft by fraud occurs when someone obtains another person’s property by lying to them, and prosecutors across the state pursue these charges aggressively. A conviction can result in jail or prison time, steep fines, and a permanent criminal record that follows you for life. If you are facing a theft by fraud charge, the criminal defense attorneys at Hogan Eickhoff can explain the allegations against you and begin building your defense right away.
Wisconsin’s Theft by Fraud Statute
Theft by fraud is defined in Wisconsin Statute Section 943.20(1)(d). Under this provision, a person commits theft by fraud when they obtain title to the property of another person by intentionally deceiving that person with a false representation. The representation must:
- Be known to be false
- Made with intent to defraud
- Must actually defraud the person to whom it is made
In plain terms, theft by fraud means tricking someone into handing over their money or property through a lie. Unlike ordinary theft, the victim voluntarily gives up the property. The crime lies in the deception that induced them to do so.
Notably, the statute specifies that a “false representation” includes a promise made with the intent not to perform it, as long as that promise is part of a false and fraudulent scheme. This means a person can be charged not only for lying about an existing fact but also for making promises they never intended to keep.
The Elements Prosecutors Must Prove
To secure a conviction for theft by fraud, the State must prove every element of the offense beyond a reasonable doubt. According to the Wisconsin criminal jury instructions, those elements include the following:
- The defendant made a false representation to the owner of the property
- The defendant knew the representation was false
- The defendant made the representation with intent to deceive and defraud the owner
- The owner was actually deceived by the representation
- The owner was defrauded, meaning the deception caused them to transfer title to the property
- The defendant obtained title to the property of another person
Each element presents an opportunity for the defense. If the prosecution cannot prove even one element, the charge fails. For example, if the statement at issue was true, if the defendant genuinely believed it was true, or if the alleged victim did not actually rely on the statement when parting with the property, there is no theft by fraud.
Common Examples of Theft by Fraud
Theft by fraud charges arise in a wide range of situations. Some of the most common scenarios include:
- A contractor who takes a deposit for a home improvement project while never intending to perform the work
- A seller who misrepresents the condition, ownership, or history of an item to close a sale
- A person who obtains a loan or investment by lying about how the money will be used
- Business transactions in which one party conceals or falsifies material facts to induce payment
- Schemes involving fake invoices, phony charities, or misrepresented services
Many of these cases begin as civil disputes. A deal goes bad, a customer feels cheated, and a complaint to law enforcement turns a contract disagreement into a criminal investigation. One of the most important early questions in any theft by fraud case is whether the matter is truly criminal or simply a failed business arrangement.
Penalties for Theft by Fraud in Wisconsin
The severity of a theft by fraud charge depends on the value of the property obtained. Wisconsin classifies the offense as follows:
- Property valued at $2,500 or less is a Class A misdemeanor, punishable by up to 9 months in jail and a fine of up to $10,000
- Property valued at more than $2,500 but not more than $5,000 is a Class I felony, punishable by up to 3.5 years of imprisonment and a fine of up to $10,000
- Property valued at more than $5,000 but not more than $10,000 is a Class H felony, punishable by up to 6 years of imprisonment and a fine of up to $10,000
- Property valued at more than $10,000 but not more than $100,000 is a Class G felony, punishable by up to 10 years of imprisonment and a fine of up to $25,000
- Property valued at more than $100,000 is a Class F felony, punishable by up to 12.5 years of imprisonment and a fine of up to $25,000
Beyond incarceration and fines, a fraud conviction carries lasting collateral consequences. Courts routinely order restitution to the alleged victim. A felony conviction can also cost you professional licenses, employment opportunities, housing, and firearm rights. Because fraud is considered a crime of dishonesty, even a misdemeanor conviction can permanently damage your reputation and credibility.
Defending Against Theft by Fraud Charges
Fraud cases can be very complex. Both you and the prosecutor may rely on forensic evidence to piece together what actually happened. There may be two sides to the story, and you may be able to keep the prosecutor from proving theirs.
Effective defenses may include showing that no false statement was made, that you believed your statements were true, that you fully intended to keep your promises when you made them, or that the alleged victim did not rely on anything you said. Intent is the heart of a fraud prosecution, and intent is difficult to prove. A skilled defense attorney can challenge the State’s evidence, expose weaknesses in the investigation, and in many cases negotiate reduced charges or pursue dismissal.
Charged with Theft by Fraud in Wisconsin? Call Hogan Eickhoff Today
A theft by fraud charge puts your freedom, finances, and future on the line, and the steps you take now matter. The experienced Wisconsin criminal defense lawyers at Hogan Eickhoff know how prosecutors build fraud cases and how to take them apart. We offer free consultations, so there is no risk in learning where you stand. Contact us today at (920) 450-9800 or message us online to schedule your free consultation. Learn more about the ways we can help defend various misdemeanors and felonies including sex offenses, drug offenses, property crimes, domestic violence, and violent crimes.