Think You’ve Been Defrauded? Understanding the RICO Framework
- Yakup Sari, Esq.
- Nov 4, 2025
- 4 min read
The Racketeer Influenced and Corrupt Organizations Act (RICO), enacted by Congress in 1970, was originally aimed at dismantling the Mafia and organized criminal networks. Over time, it has evolved into one of the most powerful tools available to victims of systemic fraud, corruption, and organized deception—whether committed by individuals, corporate entities, or professional syndicates.
At Sari Law Firm, we regularly assist clients in understanding and pursuing claims under RICO, ensuring that complex patterns of misconduct are met with equally sophisticated legal remedies.
What Is a RICO Claim?
A RICO claim targets patterns of racketeering activity carried out by or through an “enterprise.” This enterprise can take many forms: a corporation, LLC, partnership, or even an informal group working together for unlawful purposes.
To establish a civil RICO claim, the plaintiff must prove several critical elements:
Existence of an Enterprise:
The plaintiff in a civil case must prove that there exists an “enterprise.” An enterprise may be a person, partnership, corporation, association, or group of individuals functioning with a common purpose. It can be formal (like a company) or informal, but it must have an ongoing structure.
Pattern of Racketeering Activity:
The defendant must have engaged in at least two predicate acts of racketeering activity within a 10-year period. Predicate acts include serious crimes such as bribery, extortion, mail fraud, wire fraud, money laundering, robbery, or drug trafficking.
Participation or Operation of the Enterprise:
The defendant must have conducted or participated in the enterprise’s affairs through the pattern of racketeering. This means having a role in managing, directing, or operating the enterprise’s illegal conduct.
Connection to Interstate Commerce:
The enterprise’s activities must affect interstate or foreign commerce, even indirectly. This jurisdictional link gives federal courts authority under Title 18.
Causation and Injury (for Civil RICO):
In a civil RICO case, the plaintiff must show a direct causal connection between the defendant’s racketeering conduct and injury to their business or property. Emotional harm or reputational injury alone is not enough.
If successful, a civil RICO plaintiff may recover treble damages (three times the actual loss), attorney’s fees, and court costs.
Who Can Bring a RICO Action?
Under 18 U.S.C. § 1964(c), a broad range of plaintiffs have standing to pursue RICO claims, including individuals, consumers, shareholders, business partners, and employees. However, courts strictly evaluate standing at the outset—without it, a RICO case can be dismissed before reaching discovery.
To have standing, the plaintiff must show:
They are a “person” under the statute;
They sustained an actual, tangible injury;
The injury affected business or property; and
The harm resulted directly from racketeering activity.
Current RICO Trends: DOJ Data 2012–2022
According to the U.S. Department of Justice’s Bureau of Justice Statistics (2024 Report), federal prosecutors continue to use RICO to combat both traditional and emerging criminal enterprises. Between 2012 and 2022, U.S. Attorneys concluded 1,131 RICO investigations involving 4,698 individuals. From 2018 to 2022, approximately 1,740 individuals were investigated, 1,214 prosecuted, and 1,224 sentenced to prison—with a median sentence of 87 months.
The most common predicate offenses were: Bribery (66%); Fraud (10%); Extortion (6%). Additionally, most defendants were male (92%), with a median age of 33, and 86% were U.S. citizens. Notably, Maryland, Massachusetts, and New York recorded the highest conviction rates per capita, highlighting regions where complex financial and public corruption cases are most frequently prosecuted.
Why RICO Matters More Than Ever:
RICO is no longer limited to mob activity. It applies to white-collar fraud, cybercrime, real estate schemes, corrupt business practices, and transnational money laundering. For victims, RICO provides a powerful means to trace, expose, and recover losses tied to organized misconduct. For businesses, it acts as a deterrent and safeguard, reinforcing that even sophisticated schemes cannot hide behind layers of corporate structure or shell entities.
At Sari Law Firm, our attorneys and legal team have the experience to:
Identify whether your case qualifies under RICO laws;
Evaluate evidence of wire transfers, communications, and fraudulent inducement;
File claims demanding full recovery under treble damages provisions; and
Pursue injunctive relief where criminal or civil misconduct continues.
Call to Action: Protect Your Rights Under RICO
If you suspect that you, your business, or your investments have been harmed by coordinated fraudulent activity, time is critical. RICO claims are subject to strict federal limitations and require strategic early action.
Contact Sari Law Firm today for a confidential consultation.
Our legal team will assess your situation, determine whether a RICO claim is viable, and help you pursue justice against individuals or organizations engaged in racketeering activity.
📞 Contact us at (949) 426-5071 or visit www.sarilaw.us to schedule a consultation.
FAQ
1. What is a RICO claim?
A RICO claim targets patterns of racketeering activity—such as fraud, bribery, or money laundering—conducted through an enterprise under 18 U.S.C. §1961 et seq.
2. What qualifies as “racketeering activity”?
Predicate acts include mail and wire fraud, extortion, bribery, money laundering, and similar offenses committed within a 10-year period.
3. Can individuals bring a civil RICO lawsuit?
Yes. Victims can file a civil RICO claim if they suffered business or property injury directly caused by racketeering conduct.
4. What damages are available under RICO?
Successful plaintiffs may recover treble (triple) damages, attorney’s fees, and court costs.
5. How is a RICO “enterprise” defined?
An enterprise may be a company, partnership, or any group of people acting together for a common unlawful purpose.
6. What’s the difference between criminal and civil RICO?
Criminal RICO is prosecuted by the government and can lead to imprisonment; civil RICO is filed by private parties seeking monetary recovery.
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