Fictitious entities created for the sole purpose of committing fraud are called:
A) Ghost companies
B) Non-accomplice vendors
C) Shell companies
D) "Rubber stamp" companies

Question

Quizplus · Accepted Answer

Shell companies are entities that are created for the purpose of hiding ownership and facilitating financial transactions, including fraudulent activities. They do not have any significant assets or operations and are often used as a front for illegal activities such as tax evasion, money laundering, and fraudulent schemes. Ghost companies and "rubber stamp" companies are similar to shell companies but do not necessarily involve fraudulent activities. Non-accomplice vendors are not fictitious entities and do not relate to this concept.

Fictitious Entities Created for the Sole Purpose of Committing Fraud