Financial Crimes and Fraud Under the UCMJ
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Financial misconduct is charged under several punitive articles: Article 121 (larceny and wrongful appropriation), Article 121a (fraudulent use of credit cards, debit cards, and other access devices), Article 121b (false pretenses to obtain services), Article 123a (bad checks), and Article 124 (frauds against the United States), with Article 134’s third clause available for noncapital federal crimes not otherwise covered. The statutes say only that offenders “shall be punished as a court-martial may direct”; the Manual sets maximum punishments that depend on the value involved and, for larceny, on the kind of property taken. Articles 121a and 121b took effect with the Military Justice Act of 2016 reforms on January 1, 2019.
The articles
| Article | What it covers | Source of text |
|---|---|---|
| 121 | Wrongfully taking, obtaining, or withholding property, with intent to permanently deprive or defraud (larceny) or temporarily (wrongful appropriation) | 10 U.S.C. § 921 |
| 121a | Knowingly and with intent to defraud using a stolen, revoked, cancelled, or otherwise invalid access device, or one used without required authorization, to obtain anything of value; "access device" as defined in 18 U.S.C. § 1029 | 10 U.S.C. § 921a, added by Pub. L. 114-328 (2016) |
| 121b | "with intent to defraud, knowingly uses false pretenses to obtain services" | 10 U.S.C. § 921b, added by Pub. L. 114-328 (2016) |
| 123a | Making, drawing, uttering, or delivering a check, draft, or order, knowing funds are insufficient, either to procure anything of value with intent to defraud or for a past-due obligation or other purpose with intent to deceive | 10 U.S.C. § 923a, added in 1961 (Pub. L. 87-385) |
| 124 | Knowingly false or fraudulent claims against the United States; false writings, oaths, or forged signatures to obtain payment of a claim; and related conduct | 10 U.S.C. § 924 |
Maximum punishments
| Offense | Maximum (Manual, Part IV) |
|---|---|
| Larceny, property $1,000 or less | Bad-conduct discharge, total forfeitures, 1 year |
| Larceny, military property over $1,000, or any military motor vehicle, aircraft, vessel, firearm, or explosive | Dishonorable discharge, total forfeitures, 10 years |
| Larceny, other property over $1,000, or any other motor vehicle, aircraft, vessel, firearm, or explosive | Dishonorable discharge, total forfeitures, 5 years (¶64.d(1)) |
| Wrongful appropriation, $1,000 or less | 3 months and forfeiture of two-thirds pay per month for 3 months |
| Wrongful appropriation, over $1,000 | Bad-conduct discharge, total forfeitures, 1 year |
| Wrongful appropriation of any motor vehicle, aircraft, vessel, firearm, explosive, or military property over $1,000 | Dishonorable discharge, total forfeitures, 2 years (¶64.d(2)) |
| Access device fraud, $1,000 or less | Bad-conduct discharge, total forfeitures, 10 years |
| Access device fraud, aggregate over $1,000 in any 1-year period | Dishonorable discharge, total forfeitures, 15 years (¶65.d) |
| False pretenses to obtain services, $1,000 or less / over $1,000 | Bad-conduct discharge, total forfeitures, 1 year / dishonorable discharge, total forfeitures, 5 years (¶66.d) |
| Bad check to procure value with intent to defraud, $1,000 or less / over $1,000 | Bad-conduct discharge, total forfeitures, 6 months / dishonorable discharge, total forfeitures, 5 years |
| Bad check for past-due obligation or other purpose, with intent to deceive | Bad-conduct discharge, total forfeitures, 6 months (¶70.d) |
| Frauds against the United States, Article 124(1)-(2) | Dishonorable discharge, total forfeitures, 5 years |
| Article 124(3)-(4), $1,000 or less / over $1,000 | Bad-conduct discharge, total forfeitures, 6 months / dishonorable discharge, total forfeitures, 5 years (¶71.d) |
In non-capital cases in which all findings of guilty are for offenses committed after December 27, 2023, the military judge sentences within these maxima using the sentencing parameters; see what punishments a court-martial can impose.
Intent decides the offense
Larceny requires “intent permanently to deprive or defraud” the owner or to appropriate the property to one’s own use, while wrongful appropriation requires only the intent “temporarily” to do so (Article 121(a)). Bad-check offenses split on intent to defraud versus intent to deceive (Article 123a). Fraud against the United States requires knowledge that the claim or writing is false or fraudulent (Article 124).
Numbering
- Article 123a has been 10 U.S.C. § 923a since it was added in 1961; there was no later change in its Code section.
- The fraud offense formerly numbered Article 132 (§ 932) was renumbered as Article 124 (§ 924) by the Military Justice Act of 2016; Article 132 is now retaliation, covered in retaliation and whistleblower protections.
Federal crimes through Article 134
Clause 3 of Article 134 covers “crimes and offenses not capital,” which the Manual explains as federal crimes according to the terms of each federal statute and, separately, state laws adopted through the Assimilative Crimes Act in areas of exclusive or concurrent federal jurisdiction (¶91.c(4)(a)). Federal fraud statutes are charged under clause 3 directly, not by assimilation; the preemption doctrine can bar a clause 3 charge where Congress intended a UCMJ article to cover the class of offenses completely (¶91.c(5)(a), Discussion). Misuse of government computers is a separate offense under Article 123, covered in cybercrime and technology-related offenses. See Article 134 as a residual criminal provision.
A false voucher and a misused card (hypothetical)
A member submits a travel voucher claiming $2,400 in lodging that was never incurred. Because the claim is against the United States and knowingly false, Article 124(1) applies, with a maximum of a dishonorable discharge, total forfeitures, and 5 years. If the member instead used a unit government charge card without authorization to buy $800 of personal items, Article 121a could apply, with a maximum of a bad-conduct discharge, total forfeitures, and 10 years under ¶65.d(1).
Sources
- 10 U.S.C. § 921, Article 121 (Cornell LII)
- 10 U.S.C. § 921a, Article 121a (Cornell LII)
- 10 U.S.C. § 921b, Article 121b (Cornell LII)
- 10 U.S.C. § 923a, Article 123a (Cornell LII)
- 10 U.S.C. § 924, Article 124, Frauds against the United States, with renumbering note (Cornell LII)
- 10 U.S.C. § 934, Article 134 (Cornell LII)
- Manual for Courts-Martial, United States (2024 ed.), Part IV, ¶¶ 64-66, 70, 71, 91
This article is general information about military law, not legal advice for any individual case.