What does RICO stand for?
RICO stands for "Racketeer Influenced and Corrupt Organizations."
What is the purpose of the
RICO Act?
The RICO Act is a law "designed to attack organized criminal activity and
preserve marketplace integrity by investigating, controlling, and prosecuting
persons who participate or conspire to participate in racketeering." Black’s
Law Dictionary 1286 (8th ed. 2005).
What is racketeering as
defined under the RICO Act?
Racketeering is understood in the RICO statutes as follows: a pattern of illegal activity carried out as part of an enterprise (such as but not limited to a crime syndicate) that is owned or controlled by those engaged in the illegal activity.
Under the RICO Act, is
racketeering only limited to crimes such as briberyt, extortion, fraud, and
murder?
No. Racketeering as it is understood under the RICO Act now encompasses
such crimes as mail fraud and securities fraud, which puts the RICO statutes
squarely in the arena of white-collar crime.
The law defines "racketeering activity" as any
act or threat involving:
| murder |
kidnapping |
gambling |
arson |
| robbery |
bribery |
extortion |
dealing in obscene matter |
A racketeering activity is also defined as any
act that is indictable under any of a number of other areas of the criminal code. Here are a few examples:
- sports
bribery
- embezzlement from pension and welfare funds
- transmission of gambling information
- reproduction of naturalization
or citizenship papers
- obstruction of justice
- the misuse of a passport
- criminal
infringement of a copyright
So, just how does somebody violate one of
the RICO statutes?
Under the RICO provisions of the United States
Code, there are three different crimes someone can commit:
(1)
It is a crime for
anyone who has received money through racketeering activity or the collection of
an unlawful to use or invest the money, in part or in whole, in the acquisition
of any interest in an enterprise that affects interstate or foreign commerce.
(2) It
is a crime to
acquire or maintain any interest in or control of an enterprise affecting
interstate commerce through a pattern of racketeering activity or through the
collection of an unlawful debt.
(3) It
is a crime for
anyone employed by or associated with such an enterprise to conduct or
participate in the affairs of the enterprise through a pattern of racketeering
activity or the collection of an unlawful debt.
Lastly, it is a crime for anyone to conspire to
violate any provision of this code.
What are the possible punishments for
violating one of the RICO statutes?
Violation can result in a fine, imprisonment up
to 25 years, or both.
Life imprisonment is also a possibility when
the violation involves a racketeering activity whose maximum penalty includes
life imprisonment. Forfeiture to the government of any interest in a criminal
enterprise can result as well.
Prosecutors are always adding RICO
charges—why is that?
The broad nature of the RICO statutes allows
them to be applied in very general, some might even say, creative ways.
Furthermore, RICO statutes allow for not only criminal prosecution, but also
civil lawsuits that allow the plaintiff to sue for treble damages. | 
