The Racketeer Influenced and Corrupt Organizations Act—commonly referred to as the RICO Act or simply RICO—is a federal law that provides for criminal prosecution of racketeering activities as part of an ongoing criminal organization. 18 U.S.C. §1961. RICO is designed to address the infiltration of legitimate business enterprises by organized crime and other illegal ventures—such as laundry services, retail stores, restaurants, nightclubs, and labor unions—to commit gambling, money laundering, loan sharking, or extortion.

Under RICO, leaders of criminal organizations can be held liable for crimes they order others to commit, or assist them in committing, in furtherance of the ongoing criminal organization. Section 1962 sets forth three substantive offenses and makes it a crime to conspire to commit any of the three substantive offenses. Section 1961 provides definitions for terms used in the RICO statute. And section 1963 establishes criminal penalties, including imprisonment, fines, and criminal forfeiture.

The Racketeer Influenced and Corrupt Organizations Act (RICO) is a federal law that targets organized crime by allowing for the prosecution of individuals involved in ongoing criminal enterprises. In New Jersey, as in other states, RICO is used to combat organized crime that infiltrates legitimate businesses and commits offenses such as gambling, money laundering, loan sharking, and extortion. Under RICO, leaders of criminal organizations can be prosecuted for crimes they directed or aided, even if they did not personally execute the criminal act. The law is codified at 18 U.S.C. § 1961-1968, with § 1961 providing definitions, § 1962 outlining the prohibited activities, and § 1963 detailing the penalties, which can include imprisonment, fines, and forfeiture of assets. While RICO is a federal statute, New Jersey law enforcement and prosecutors often work in conjunction with federal agencies to investigate and prosecute RICO violations that occur within the state.