NCJ Number
95479
Journal
Pace Law Review Volume: 2 Issue: 1 Dated: (1982) Pages: 73-99
Date Published
1982
Length
27 pages
Annotation
A narrow interpretation of the term 'enterprise' in the Racketeering and Corrupt Organizations Act (RICO) is judicially correct.
Abstract
RICO prohibits the acquisition of an interest in an enterprise engaging in or affecting interstate commerce using profits derived from a pattern of racketeering activity or through collection of an unlawful debt. It also prohibits the acquisition of an interest in an enterprise through racketeering activity or loansharking. The law also proscribes the use of racketeering or loansharking in the conduct of such enterprise. The term 'enterprise' is the critical element common to these RICO offenses. Judicial opinion, however, tried to vary its scope. Some circuit courts took a broad view of which enterprises were covered, finding that combinations for clearly illegal purposes came within the scope of RICO's prohibitions. Other circuit courts took a narrow view and found Congress' intent was to proscribe only incursions into otherwise legitimate business. The broad-view courts focused on what has been termed congressional silence and on irrelevant statutory language. In contrast, the narrow-view courts focused upon the specific statutory language and structure of the act. When courts use congressional silence in statutory interpretation, they are stepping into the province of the legislature. Therefore, the narrow view is the acceptable judicial interpretation of the RICO enterprise. A total of 159 footnotes are included.