RICO -- the Racketeering Influenced and Corrupt Organizations Act -- is a federal statute originally enacted in 1970 to control organized crime (such as the Mafia). In the early 1990s, however, this law was expanded to target non-traditional organized crime groups.

The statute makes it unlawful to conduct or conspire to conduct an enterprise whose activities affect interstate commerce by committing or agreeing to commit a pattern of racketeering activity.

To establish violations of the RICO statute, four elements must be proven.

First, the prosecution must demonstrate that the defendants were associated with an enterprise as defined in the U.S. Code 18, Section 1961(4).

The term "enterprise" is given a broad meaning under RICO. It can include any group of individuals whose association, however loose or informal, furnishes a vehicle for the commission of two or more "predicate crimes." The enterprise requires an ongoing structure of persons associated with time, joined in purpose, and organized in a manner amenable to hierarchic or consensual decision-making. It is not necessary to show that each member of the enterprise participated in or knew about all the enterprises' activities.

Second, the government must prove that the enterprise engages in, or its activities affect, interstate commerce. It is not necessary that the racketeering activities themselves directly affect interstate commerce. The enterprise need have only a minimal connection with or effect on interstate commerce. (Example: Interstate travel or the use of interstate facilities such as banks, telephones, and wire transfers for drug trafficking.)

Third, the government is required to prove that each defendant agreed to participate in the enterprise through a pattern of racketeering. A "pattern of racketeering" activity requires two or more predicate acts within a 10-year time frame, and they must be connected with each other in some logical manner for an unlawful end.

Fourth, the government must prove that each defendant agreed to participate in the affairs of the enterprise by actually committing or agreeing to commit at least two predicate offenses. The defendant need not agree to participate in or have knowledge of all the activities of the enterprise -- the defendant is criminally responsible if he (or she) is aware of the basic structure of the enterprise.

RICO includes provisions that allow prosecutors to seize criminally gained assets and provide long prison sentences -- 20 years to life.