RICO & Racketeering Defense Attorney NC

Largest Federal RICO Case in U.S. History

82-Defendant Federal RICO Prosecution — Damon Chetson defended a client in what the DOJ described as the largest federal RICO prosecution ever brought. In a two-year, 82-defendant case, he was the only defense attorney to win a suppression motion — directly protecting his client when all others faced the full evidentiary record of the prosecution.

Federal Court — Western District of North Carolina · 2019

What Is RICO?

The Racketeer Influenced and Corrupt Organizations Act (18 USC §§ 1961–1968) was enacted in 1970 to target organized crime. Today it is used in cases involving drug trafficking organizations, financial fraud, gang activity, political corruption, and any enterprise engaged in a pattern of criminal activity.

A RICO conviction carries up to 20 years per count and mandatory forfeiture of all proceeds and property connected to racketeering activity. In large conspiracies with multiple RICO counts, potential sentences can reach decades. RICO also creates civil liability — the government and private parties can seek treble damages and attorney's fees.

18 USC § 1962 — Four Elements of RICO

What the Government Must Prove

1. Enterprise — a group associated for criminal purposes
2. Interstate commerce — the enterprise affects interstate commerce
3. Participation — defendant participated in conducting the enterprise's affairs
4. Pattern of racketeering — at least two predicate acts within 10 years, related and continuous

RICO Predicate Acts

RICO requires a "pattern of racketeering activity" — at least two predicate acts from 35+ state and federal crimes defined in 18 USC § 1961(1). Common predicates in NC cases:

Drug Trafficking

Violations of federal drug laws under 21 USC §§ 841, 846, 848. The most common RICO predicate in organized crime cases.

Wire Fraud

18 USC § 1343 — used in financial crime RICO cases involving email, wire transfers, or electronic communications in furtherance of a fraud scheme.

Money Laundering

18 USC § 1956 — financial transactions involving proceeds of unlawful activity. Often charged alongside drug trafficking predicates.

Extortion (Hobbs Act)

18 USC § 1951 — obtaining property through actual or threatened force. Common in organized crime and public corruption cases.

Murder

State law murder as a RICO predicate — allows federal prosecution of state homicides connected to an enterprise.

Bribery

Bribery of public officials — used in public corruption cases involving elected officials, law enforcement, and government contractors.

RICO Defense Strategies

Challenge the enterprise — the government must prove an enterprise distinct from the pattern of racketeering. Challenging whether the alleged group constitutes an "enterprise" under the statute can dispose of the RICO charge entirely.
Challenge the pattern — two predicate acts alone do not create a pattern. The acts must be related and continuous. Challenging relatedness and continuity can defeat the pattern element.
Attack individual predicate acts — each predicate must be proven beyond a reasonable doubt. Suppression motions, statute of limitations, and insufficiency arguments apply to each predicate individually.
Challenge "conducting" the enterprise — Reves v. Ernst & Young (1993) requires participation in the "operation or management" of the enterprise. Peripheral actors have a strong argument that they did not "conduct" the enterprise's affairs.
Pursue severance — in large multi-defendant RICO prosecutions, evidence about co-defendants is often dramatically prejudicial. Motions to sever protect defendants from guilt by association.
Contest forfeiture — RICO forfeiture is broad but contestable. Not all property claimed by the government is legitimately connected to racketeering activity.

Frequently Asked Questions

What makes RICO different from an ordinary conspiracy charge?+

RICO requires proof of an "enterprise" and a "pattern of racketeering activity" — two elements ordinary conspiracy does not require. But RICO carries far higher penalties (up to 20 years per count), mandatory civil forfeiture, and the ability to admit evidence of wide-ranging criminal conduct by all enterprise members. The government uses RICO when it wants to tell a broad story of organized criminal activity and hold all participants responsible.

Can a legitimate business be a RICO enterprise?+

Yes. RICO explicitly covers infiltration of legitimate enterprises by racketeers. A corporation, partnership, union, or other legitimate entity can be an "enterprise" if its affairs are conducted through a pattern of racketeering activity. Some of the largest federal RICO prosecutions have involved legitimate businesses alleged to be vehicles for fraud.

What is civil RICO?+

Criminal RICO is prosecuted by the government and carries prison sentences and forfeiture. Civil RICO can be brought by private parties injured by racketeering activity. A civil RICO plaintiff can recover treble damages (three times actual damages) plus attorney's fees. Civil and criminal RICO often proceed simultaneously.

I was peripherally involved with people charged under RICO — am I at risk?+

Potentially. Federal prosecutors use RICO to sweep in participants at every level. However, to convict you must have participated in the "operation or management" of the enterprise — not merely provided services or had associations with members. If you have any reason to believe you may be implicated in a RICO investigation, contact an attorney immediately before any agents contact you.

Federal RICO Defense AttorneyEastern District of North Carolina

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