What is RICO?

What are RICO charges? Per the Findlaw website (quoting the Department of Justice): "It is unlawful for anyone employed by or associated with any enterprise engaged in, or the activities of which affect, interstate or foreign commerce, to conduct or participate, directly or indirectly, in the conduct of such enterprise’s affairs through a pattern of racketeering activity or collection of unlawful debt."¹

RICO (Federal): The Racketeer Influenced and Corrupt Organizations Act of 1970

The Racketeer Influenced and Corrupt Organizations Act of 1970 is a powerful set of laws used specifically to combat organized crime and criminal operations. RICO laws are often used to prosecute the Mafia, cartels, and lesser organized criminal enterprises.

The federal Organized Crime Control Act (RICO), enacted in 1970, has been a highly effective way to dismantle and prosecute even sophisticated criminal enterprises. This article presents the essence of RICO law, including its origins, structure, and effectiveness in fighting organized crime.

RICO (Georgia): The Racketeer Influenced and Corrupt Organizations of 1980

The State of Georgia has its own version of RICO laws. The Georgia RICO Act was enacted to prosecute criminal racketeering enterprises outside of any federal RICO prosecution. Georgia RICO laws are more encompassing than federal RICO laws. For example, Georgia law enables criminal charges for individuals and/or schemes without the federal 1-year requirement.

RICO: Origins and Purpose

These laws emerged as a direct response to the growing problem of organized crime and criminal schemes. The purpose of RICO legislation was to empower law enforcement with measures to attack the structure and methods used by criminal organizations.

Racketeering laws specifically target major organized criminal activities such as bribery, drug trafficking, money laundering, racketeering, extortion, fraud, and other major criminal acts.

Racketeering laws also make it illegal to invest income derived from racketeering activities in any enterprise affecting interstate or foreign commerce.

The statute was initially intended to target traditional Mafia-style criminal enterprises. Over time, the application of racketeering laws has been expanded to curtail new forms of organized crime, at both the federal and state levels.

RICO: Key Provisions

What makes a case fall under racketeering laws? For a State or Federal government to prosecute a case using racketeering laws, certain criteria must be shown. Per the Department of Justice website; "A more expansive view holds that in order to be found guilty of violating the RICO statute, the government must prove beyond a reasonable doubt: (1) that an enterprise existed; (2) that the enterprise affected interstate commerce; (3) that the defendant was associated with or employed by the enterprise; (4) that the defendant engaged in a pattern of racketeering activity; and (5) that the defendant conducted or participated in the conduct of the enterprise through that pattern of racketeering activity through the commission of at least two acts of racketeering activity as set forth in the indictment. "²

The following is an overview of key provisions with brief descriptions. Here are the specific aspects that must be clearly shown to exist:

1. Criminal Enterprise exists. This could be formal (unions, corporations, etc.) or informal (Mafia, cartels, street gangs, etc.). For federal charges, a certain level of conspiracy between parties must exist. This means that federal racketeering laws can not be used to prosecute a single person. Georgia racketeering laws can be used against individuals or enterprises.

2. Pattern of Racketeering Activity exists. The prosecution must demonstrate that at least two predicate acts were carried out by the accused. Additionally, the alleged predicate acts must have occurred within 10 years. The alleged acts must be shown to be related and committed repeatedly over time, or give a strong indication that the same acts will be committed in the future. Georgia RICO laws do not have any time threshold requirement.

3. Predicate Acts exist (two or more instances must be shown). RICO laws identify racketeering activity.

Drug Crimes

RICO (Racketeer Influenced and Corrupt Organizations Act) can be applied to drug crimes when organized criminal enterprises engage in a pattern of racketeering activity related to the production, distribution, or trafficking of illegal drugs.

Drug-related offenses fall within the scope of racketeering activities outlined in RICO, making it a potent legal tool for addressing complex drug conspiracies and organizations. Here’s how RICO may apply to drug crimes:

Criminal Liability for Individuals. Individuals involved in the management or operation of the enterprise and who participate in the pattern of racketeering activity can be held criminally liable. This includes individuals responsible for coordinating drug trafficking, overseeing distribution networks, or managing the financial aspects of the criminal enterprise.

Enhanced Penalties including extended prison sentences and substantial fines, for those convicted of participating in a criminal enterprise. The severity of these penalties serves as a deterrent and reflects the gravity of engaging in organized criminal activities, such as drug trafficking.

Forfeiture of Assets acquired through or used in connection with racketeering activities. This includes assets gained from drug trafficking, and the government can seize properties, funds, or other assets linked to the criminal enterprise.

Conspiracy Charges can be applied to individuals involved in a conspiracy to commit racketeering activities. This means that even those indirectly involved in the enterprise or its criminal activities may face RICO charges if they conspired to further criminal objectives. In summary, RICO provides a powerful legal mechanism for law enforcement to target and dismantle organized criminal enterprises involved in drug-related activities. By focusing on patterns of racketeering activity within these enterprises, RICO aims to disrupt and prosecute those responsible for the complex web of organized drug crimes.

Human Trafficking

The Racketeer Influenced and Corrupt Organizations Act can be applied to human trafficking cases, providing law enforcement with a powerful tool to combat organized criminal enterprises involved in this heinous activity. Human trafficking involves the recruitment, transportation, harboring, or receipt of people through force, fraud, or coercion for exploitation. Here’s how this may apply to human trafficking:

Enterprise Involvement targets individuals or entities involved in an "enterprise," which can include human trafficking networks, organized crime groups, or other entities engaged in exploiting individuals through forced labor or commercial sex. The enterprise may be formal or informal, and its structure allows for ongoing criminal conduct related to human trafficking.

Pattern of Racketeering Activity requires at least two instances of criminal conduct within ten years. Human trafficking offenses, including recruitment, transportation, and exploitation, can constitute the required racketeering activities.

Criminal Liability for Individuals. Individuals involved in the management or operation of the enterprise and who participate in the pattern of racketeering activity related to human trafficking can be held criminally liable. This includes traffickers, organizers, recruiters, and individuals responsible for overseeing various aspects of the human trafficking enterprise.

Enhanced Penalties possibly including extended prison sentences and substantial fines, for those convicted of participating in a criminal enterprise involved in human trafficking. The severity of these penalties reflects the gravity of engaging in organized criminal activities that exploit and harm individuals.

Forfeiture of Assets acquired through or used in connection with racketeering activities. This can include assets gained from human trafficking, and the government can seize properties, funds, or other assets linked to the criminal enterprise.

Conspiracy Charges can be applied to individuals involved in a conspiracy to commit racketeering activities, including human trafficking. This means that even those indirectly involved in the enterprise or its criminal activities may face racketeering charges if they conspired to further the criminal objectives of the human trafficking network.

By applying RICO to human trafficking cases, law enforcement agencies can target and dismantle the organized criminal enterprises behind these heinous acts, aiming to disrupt the entire network and hold accountable those responsible for exploiting vulnerable individuals.

Government Corruption

The Racketeer Influenced and Corrupt Organizations Act (RICO) can be applied to cases of government corruption, providing a potent legal tool to combat organized criminal enterprises involved in corrupt activities within government institutions. Government corruption encompasses various offenses, such as bribery, extortion, embezzlement, and abuse of power. Here’s how this may apply to government corruption:

Enterprise Involvement targets individuals or entities involved in an "enterprise," which, in the context of government corruption, can refer to criminal organizations or networks operating within government institutions. The enterprise may involve public officials, law enforcement personnel, or individuals working in collaboration with corrupt government officials.

Pattern of Racketeering Activity requires a "pattern of racketeering activity," typically involving at least two instances of criminal conduct within ten years. Racketeering activities in the context of government corruption can include bribery, kickbacks, fraud, and other corrupt practices.

Criminal Liability for Individuals. Individuals involved in the management or operation of the enterprise and who participate in the pattern of racketeering activity related to government corruption can be held criminally liable. This includes government officials, private individuals conspiring with public officials, and those orchestrating corrupt schemes within or outside government agencies.

Enhanced Penalties, including extended prison sentences and substantial fines, for those convicted of participating in a criminal enterprise involved in government corruption. The severity of these penalties reflects the gravity of engaging in organized criminal activities that undermine the integrity of government institutions.

Forfeiture of Assets acquired through or used in connection with racketeering activities. This can include assets gained through corrupt practices within government, and the government can seize properties, funds, or other assets linked to the corrupt enterprise.

Conspiracy Charges can be applied to individuals involved in a conspiracy to commit racketeering activities, including government corruption. This means that even those indirectly involved in the enterprise or its corrupt activities may face RICO charges if they conspired to further the criminal objectives. By applying RICO to cases of government corruption, law enforcement agencies can target and dismantle organized criminal enterprises that exploit public offices for personal gain, thereby helping to restore public trust and accountability within government institutions.

RICO Sentences and Penalties

The Racketeer Influenced and Corrupt Organizations Act (RICO) provides for significant penalties and sentences for individuals convicted of racketeering activities. RICO was enacted to combat organized crime, and its penalties are designed to be severe to deter individuals from participating in criminal enterprises. Here are some key aspects of RICO penalties and sentences:

Criminal Penalties. Individuals convicted under RICO can face substantial criminal penalties, including imprisonment and fines. RICO provides for a maximum prison sentence of up to 20 years for each racketeering count.

Fines. RICO imposes fines on individuals convicted of racketeering activities. The fines can be substantial, often reaching up to $25,000 per violation. Additionally, the court may order the forfeiture of assets gained through or used in connection with racketeering activities, further impacting the financial standing of the convicted individuals.

Restitution. Courts may order convicted individuals to pay restitution to victims of the racketeering activities. This is intended to compensate victims for any losses suffered as a result of the criminal enterprise.

Civil Remedies. In addition to criminal penalties, RICO allows for civil remedies. Individuals, businesses, or government entities harmed by racketeering activities can file civil RICO lawsuits to seek damages. Successful plaintiffs in civil cases may be entitled to treble damages, meaning the court can award three times the amount of actual damages suffered.

Civil cases are usually based on mail fraud and wire fraud. Per the DoJ’s Office of Justice Programs; "Civil litigation under RICO can usually be brought in the following general case classes: securities fraud, bankruptcy fraud, commercial bribery, and frauds that violate RICO mail and wire fraud provisions."

Enhanced Sentences based on the number of racketeering acts committed by the defendant. Extensive patterns of racketeering activity can potentially result in a longer prison sentence. Individuals involved in a criminal enterprise found guilty under RICO may face additional penalties for specific criminal acts committed as part of the racketeering pattern. This includes, but is not limited to, sedition, treason, crimes against humanity, and international crimes.

Conspiracy Charges can be applied to individuals involved in a conspiracy to commit racketeering activities. Even if the defendant did not directly engage in the criminal acts, they can be held responsible for the conspiracy and face similar penalties. It’s important to note that the specific penalties and sentences can vary based on the details of each case, the severity of the offenses, and the discretion of the court. Given the complexity of RICO cases, individuals facing charges under this act are strongly advised to seek legal counsel to navigate the legal process and build a robust defense.

RICO: High Risk Legal Problems

RICO charges, whether State or Federal, are very serious and potentially bring harsh consequences. RICO trials have high conviction rates because the government has usually conducted extensive investigations for a long period of time. Federal prosecution is especially tough because the federal government has unlimited staff, lawyers, and financial resources.

If you are facing RICO charges, you should contact a top Federal crimes defense lawyer.