From: tcmay@sensemedia.net (Timothy C. May)
Date: Sun, 16 Jul 95 09:35:05 PDT
To: cypherpunks@toad.com
Subject: RICO and Asset Forfeitures
Message-ID: <ac2e8d33170210048e56@[205.199.118.202]>
MIME-Version: 1.0
Content-Type: text/plain


At 12:59 PM 7/16/95, Andrew Spring wrote:
>>ranked as a mobster subject to RICO.  My guess is that the intent is that
>>from one placement on an FTP server or one posting to a newsgroup, the
>>perpetrator of that heinous act will have passed his RICO qualification and
>>therefore be subject to having all he owns taken from him.
>
>RICO question:  i thought that the idea of RICO is to confiscate assets of
>racketeers that are derived from criminal activities.  PGP and remailer
>software is distributed free.  so would RICO seizures even apply (yes I
>know this doesnt' always stop the FBI)?

As I understand RICO (Racketeer-Influenced and Corrupt Organizations Act,
though the euphonious "Rico," a la South American drug kingpins, is the
real reason for the name), only the assets imputed to the illegal act can
be seized. Thus, boats, factories, houses, etc., that are imputed
(believed, claimed) to have been bought partially or wholly from funds from
illegal acts can be seized.

Civil penalties are another matter. If you're charged with distributing
something illegal and a fine of $250,000 is levied, then you may have to
sell everything you own to pay it, but it's not a RICO seizure.

--Tim May

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