Many people associate racketeering laws with so-called “mobsters.” While it was certainly an important tool in that regard, Morristown criminal defense lawyers note that the New Jersey RICO statute has allowed law enforcement to target a wide range of alleged criminals. It has applied to credit card thieves and gambling rings and even played a role in high-profile divorce cases.
Prior to the federal RICO act, it was difficult for law enforcement to target people who were organizing crime and profiting from it but not necessarily contributing to it directly. This shelter is what made it so challenging to charge mob bosses and have those charges stick. RICO changed the criminal law landscape in the U.S. It was now illegal to coordinate and profit from crimes even if one were not directly responsible. In other words, it let law enforcement target all types of organized crime no matter the shape it took.
The statute that defines racketeering in this state is 2C § 41-1 of the New Jersey Code of Criminal Justice. What the statute makes a crime is receiving income from not just racketeering activity but a pattern of it and then using any of that income to engage in trade or commerce or any activities that affect it. A racketeering activity must be a crime as otherwise defined by New Jersey law. These include but are not limited to:
The language pattern of racketeering in the statute is very purposeful and important. The goal is to prevent district attorneys from applying racketeering to any criminal case. According to the statute, there must be at least two incidents of racketeering that are within 10 years of each other. Furthermore, the state must demonstrate that the incidents are interrelated and not isolated.
The statute also empowers the Attorney General. If that official determines there is reasonable suspicion that a person or enterprise participated in racketeering or is in possession of documents related to racketeering, they can demand that information prior to any criminal or civil proceedings.
The seriousness of the racketeering depends on the seriousness of the crimes that make up the racketeering activities. The racketeering is a crime in the first degree when the racketeering activity is a first-degree crime, is a violent crime or involves the use of firearms. All other incidents of racketeering are crimes in the second degree. First-degree racketeering carries with it a 10- to 20-year prison sentence and a fine up to $200,000. Second degree carries with it a 5- to 10-year prison sentence and a fine up to $150,000.
Anyone convicted of racketeering is also subject to asset forfeiture. The asset seizure is coordinated by the agency prosecuting the defense. It encompasses all money and property that were acquired through the racketeering or used for the purposes of it. This includes any securities.
Racketeering is not limited to criminal cases at either the federal or state level. When used in business divorce litigation, for example, there is often no criminal charge. Civil penalties include forfeiting anything of value that was acquired through the racketeering. This extends to interest in a business enterprise and any properties controlled as a part of that venture. The court also has the right to place restrictions on the individual to prohibit participation in similar ventures in the future.
Any person charged with a pattern of racketeering activity should seek out seasoned defense counsel as soon as possible. Gregg A. Wisotsky has more than 25 years of experience defending clients in criminal cases. If you would like to have your case reviewed by a Morristown criminal defense lawyer, call our office at 973-898-0161, or contact us online.