The RICO Act & White Collar Crime
What Is the RICO Act?
The RICO Act refers to a set of anti-racketeering laws which were intended to eradicate organized crime by establishing strong sanctions and forfeiture provisions. Passed in 1970, it stands for Racketeer Influenced and Corrupt Organizations Act.
The term "racketeering" was coined by the Employers' Association of Chicago (now replaced by the more recent Management Association of Illinois) in June 1927 in a statement about the influence of organized crime in the Teamsters union. If a person or group committed two or more of a pre-determined group of white collar crimes within a 10-month period, the RICO Act allowed law enforcement to charge that person or group with racketeering.
The RICO Act was significant in case law because it effectively redefined the crime of racketeering in all federal and state jurisdictions.
In its original wording, the purpose of the RICO Act was to "eliminate the infiltration of organized crime and racketeering into legitimate organizations operating in interstate commerce." Section 1961(10) of Title 18 grants authority to the Attorney General to designate any department or agency to conduct investigations authorized by the RICO Act.
What Is White Collar Crime?
White Collar Crime is a broad term that usually refers to crimes of a non-violent nature perpetrated by or against corporate institutions. Examples of white collar crimes include investment fraud, tax fraud, accounting fraud, forgery, and in some cases identity theft. Often white collar crimes involve some degree of fraudulent financial transactions or illegal record-keeping from individuals inside an organization. Embezzlement, purposeful corporate stock mismanagement, and money laundering can also be considered white collar crime in certain circumstances.
White collar crime costs taxpayers millions of dollars per year. Certain white collar crimes – often those characterized as racketeering or organized theft – are especially dangerous because they can cripple entire segments of the economy.
Unfortunately, innocent people can be entangled in a white collar crime scheme without their knowledge. A prime example of this occurred during the Enron Scandal of 2004. Many mid- and low-level accounting people, as well as other record-keeping professionals, were falsely and unjustly implicated in that scandal.
Protecting Your Legal Rights
If you were the unsuspecting victim of a white collar crime, The Law Offices of Gregory Robey are committed to providing you with all available legal options. Regardless of the crime, we believe that you have legal rights. Whether you have been charged with a white collar crime, are a suspect, or have already been convicted and wish to appeal, contact one of our Cleveland Ohio criminal attorneys today by calling 216-581-8200 or by filling out our online form. All information about your case is kept strictly confidential.
