NCJ Number
30862
Journal
University of Pennsylvania Law Review Volume: 124 Issue: 1 Dated: (NOVEMBER 1975) Pages: 192-222
Date Published
1975
Length
31 pages
Annotation
ANALYSIS OF THE SCOPE OF TITLE IX OF THE ORGANIZED CRIME CONTROL ACT OF 1970 WHICH IS DESIGNED TO PREVENT INFILTRATION THROUGH THE USE OF CIVIL REMEDIES OF THE TYPE TRADITIONALLY USED AGAINST ANTITRUST VIOLATORS.
Abstract
TITLE IX WAS DESIGNED TO PREVENT THE INFILTRATION OF LEGITIMATE BUSINESS ENTERPRISES BY ORGANIZED CRIME THROUGH THE USE OF CIVIL REMEDIES. IT PROHIBITS THE USE OF PROCEEDS DERIVED FROM A PATTERN OF RACKETEERING ACTIVITY OR FROM COLLECTION ON AN UNLAWFUL DEBT TO ACQUIRE INTEREST IN A BUSINESS. TITLE IX'S CRIMINAL FORFEITURE PROVISION AND ITS CIVIL REMEDIES--ESPECIALLY DIVESTITURE AND DISSOLUTION--ARE DIRECTED TOWARDS REDUCING THE POWER OF PEOPLE ENGAGED IN ORGANIZED CRIME THROUGH RESTRAINT OF THEIR ECONOMIC ACTIVITY. TITLE IX METHODS OF ATTEMPTING TO CONTAIN ORGANIZED CRIME THROUGH CIVIL REMEDIES, HOWEVER, PRESENT SOME TROUBLESOME ISSUES: (1) DOES SECTION 1964 REFER TO THE OPERATION OF WHOLLY ILLEGITIMATE ENTERPRISES AS WELL AS THE INFILTRATION OF LEGITIMATE BUSINESS, AND (2) DOES USE OF CIVIL ACTIONS TO COMBAT SELECTED 'CRIMINAL' ACTIVITY DEPRIVE DEFENDANTS OF CONSTITUTIONAL PROTECTIONS--RIGHT TO COUNSEL, BURDEN OF PROOF ON COURT, RIGHT TO REFUSE TO BE A WITNESS AGAINST ONESELF. ANALYSIS OF THE HISTORY AND LANGUAGE OF THE STATUTE REVEALS THAT, ALTHOUGH NO DISTINCTION IS DRAWN BETWEEN LEGITIMATE AND ILLEGITIMATE OPERATIONS, NEITHER DOES THE STATUTE EXPLICITLY ENCOMPASS ILLICIT ENTERPRISE. CONGRESS' SOLE TARGET WAS INFILTRATION OF LEGITIMATE BUSINESS. TO APPLY THE STATUTE TO BEHAVIOR THAT HAS TRADITIONALLY BEEN CONTROLLED THROUGH CRIMINAL REMEDIES (RACKETEERING AS A BUSINESS IN ITSELF) WOULD BE STRETCHING IT BEYOND ITS INTENDED LIMITS. FURTHERMORE, DESPITE THE CRIMINAL NATURE OF THE UNDERLYING PROBLEM, THE GRANT OF REGULATORY POWER UNDER TITLE IX'S SECTION 1964 IS SUFFICIENTLY UNBURDENSOME TO JUSTIFY USING EQUITABLE CIVIL REMEDIES WITHOUT AT THE SAME TIME GRANTING THE SPECIAL PROTECTIONS GIVEN TO CRIMINAL DEFENDANTS. TITLE IX TARGETS PERPETRATORS OF ECONOMIC CRIMES WHO ARE SEEKING PROFIT. TRANSFER OF THEIR OFFENSES TO CRIMINAL PROCEEDINGS WOULD PROVIDE A CONSTITUTIONAL SHIELD DENIED TO MORE CONVENTIONAL BUSINESS PERSONS. FOOTNOTES ARE PROVIDED.