Wire fraud is a serious criminal offense that happens when someone uses electronic communication to trick others and steal money or property. This type of fraud often involves emails, phone calls, or text messages. Because these methods can easily cross state lines, wire fraud is often charged as a federal crime—but it can also be a state crime, depending on the situation.
People accused of wire fraud may face heavy penalties, including years in prison and large fines. Understanding how these charges work and what the law says about them is the first step if you or someone you know is dealing with this issue.
How Wire Fraud Works
Wire fraud usually involves some kind of dishonest plan to get money or something valuable. The person committing the fraud sends false or misleading information through electronic communication. This could be done by phone, internet, or other electronic tools.
For example, someone might pretend to be from a bank and send an email asking you to “confirm” your personal information. Or a person could pose as a company representative and ask for payment over the phone. If they’re lying to trick someone out of money, that could count as wire fraud.
Wire fraud is covered under 18 U.S.C. § 1343, which makes it illegal to use wire communications across state lines as part of a fraud scheme. This includes the use of:
- Emails
- Text messages
- Phone calls
- Online chats
- Social media
If someone lies or misleads others using any of these methods to gain money or personal information, they can be charged.
What the Government Must Prove
To charge someone with wire fraud, the government needs to show four things:
- There was a plan to cheat or deceive someone.
- The person had the intent to trick or steal.
- They expected to use wire communications to carry out the plan.
- They actually used electronic communication across state lines.
It doesn’t matter if the fraud didn’t work or if no one lost money. Just the attempt and use of electronic communication can be enough for charges.
Common Examples of Wire Fraud
Wire fraud can happen in many ways. Some common examples include:
- Phishing scams: Emails or texts that look like they’re from a real business but are designed to steal passwords or credit card numbers.
- Fake investment offers: Promising people large returns if they send money electronically.
- Telemarketing fraud: Calling someone and pretending to be from a charity or government agency.
- Online auction or marketplace scams: Selling items that don’t exist and asking for payment through apps or bank transfers.
- Impersonating a financial institution: Pretending to work for a bank to get sensitive information.
If these actions involve using phones, emails, or the internet—and are used to lie or trick someone—they could be wire fraud.
Federal vs. State Wire Fraud Charges
Wire fraud is usually charged as a federal crime because electronic communications often cross state lines. The federal government has the authority to handle cases that involve more than one state or impact a financial institution.
But some wire fraud cases can also be charged at the state level. In Texas, for example, a person could face charges for fraud-related crimes like identity theft, forgery, or fraud against a financial institution. If a fraud case only involves people or businesses inside Texas, state prosecutors might get involved.
In some situations, a person can face both federal and state charges at the same time.
What Are the Penalties for Wire Fraud?
The penalties for wire fraud are very serious and depend on how the crime was committed and who was affected.
Federal Penalties
- Up to 20 years in prison for standard wire fraud cases
- Up to 30 years in prison and a $1 million fine if the fraud involved a bank or was tied to a major disaster (like a hurricane or pandemic)
- Fines up to $250,000 for individuals and up to $500,000 for organizations
Extra time may be added if:
- The fraud used telemarketing or spam email
- Victims were elderly (over 55)
Texas State Penalties
Texas law allows prosecutors to charge wire fraud under related offenses like theft, identity theft, or forgery. The penalties depend on how much money or property was involved.
- Class A Misdemeanor: Less than $2,500 – Up to 1 year in jail and fines
- Felony charges: For larger amounts or if the fraud involved impersonating a bank, punishable by several years in prison
What to Do if You’re Facing Wire Fraud Charges
Wire fraud charges can change your life quickly. A conviction may lead to time in prison, large fines, and a criminal record that affects jobs and housing. That’s why it’s important to take these charges seriously and act fast.
Even if the fraud didn’t succeed or no one lost money, the attempt and use of electronic communication are enough for the government to step in. The law doesn’t require the plan to work—just that it existed and involved electronic communication.
Talk to a Dallas Wire Fraud Defense Lawyer Today
If you’re being investigated or have been charged with wire fraud in Dallas, don’t wait to get help. The law is complex, and the penalties are tough. You need someone who knows how to challenge the evidence and protect your rights.
The team at Gallian Firm is here to help people who are going through wire fraud charges. Whether your case is in federal court or state court, there are legal defenses that may apply to your situation. Call (214) 432-8860 today to speak with a defense lawyer and schedule a confidential consultation.