OR · 18usc1962:racketeering.securities-fraud
Criminal RICO and pre-PSLRA civil RICO include fraud in the sale of securities under § 1961(1)(D); note 18 U.S.C. § 1964(c) (added 1995) bars civil RICO claims relying on conduct actionable as securities fraud absent a criminal conviction.
Exact element source
racketeering activitySource:
docroot/ir/usc/title18.jsonl#title18_sec1962; Unicode character offsets [148:169] (end exclusive); SHA-256 6caae47f43b5ab0899b660616e298363bd36f9f540d915c2be11eb7126f5e27d.Routes and case patterns
| Route | Definition | Merits instance blocks | Distinct merits cases | Examples (up to 3 cases per count group) |
|---|---|---|---|---|
| _whole accepted; provisional (1 case) | The element is decided as a whole: the reasoning turns on no narrower doctrinal sub-question that distinguishes it from any other application of this element. | 0 Satisfied 0; not satisfied 0; excluded context 1 | 0 | Used only in non-merits blocks (1). Excluded context examples:United States v. Weisman — 624 F.2d 1118 (1980) · United States Court of Appeals for the Second Circuit · 1980 — satisfied · proved (18usc1962: author: Fable · historical QA: PASS (QA2, neov2/qa/cases-QA2.md) · changed after review; current content not independently reviewed) · applied/lower-court · not counted |
How courts decided this element
| Case | Element | Holding and scope | Pattern | Exact source quotations |
|---|---|---|---|---|
| United States v. Weisman — 624 F.2d 1118 (1980) · United States Court of Appeals for the Second Circuit · 1980 — satisfied · proved (18usc1962: author: Fable · historical QA: PASS (QA2, neov2/qa/cases-QA2.md) · changed after review; current content not independently reviewed) | Fraud in the sale of securities predicate (§ 1961(1)(D)) | satisfied Excluded from merits counts applied / lower-court basis: proved; claim: (c); party: Weisman; count: 1973 public offering (nine securities counts); subject: party=Weisman; count=1973 public offering (nine securities counts) Nine securities counts from one offering = ONE predicate act (district court's charge, not disturbed). Sufficiency not contested by Weisman. Jury verdict and district-court counting ruling, reported but not reviewed by the panel. | securities-fraud/false-prospectus-and-secret-purchase-arrangements | Weisman and his co-defendants filed with the Securities and Exchange Commission a prospectus that contained false and misleading statements and that failed to disclose material facts, including DePalma’s and Fusco’s role in the project and their beneficial ownership of a large portion of the Theatre’s stock.Source: docroot/ir/caselaw/f2d_624.jsonl#/f2d/624/1118-01; Unicode character offsets [2258:2567] (end exclusive); SHA-256 9f02652be952ebf06fe5bc7850efdd6237ac4cd8110d7ce9690b75ad54eaa6ed.made secret arrangements through which various individuals agreed to purchase stock in the Theatre in return for promises of eventual cash payoffs, transfers of portions of Weis-man’s interest in the Theatre, and other forms of inducement or remunerationSource: docroot/ir/caselaw/f2d_624.jsonl#/f2d/624/1118-01; Unicode character offsets [2783:3037] (end exclusive); SHA-256 9f02652be952ebf06fe5bc7850efdd6237ac4cd8110d7ce9690b75ad54eaa6ed.The district court concluded that the specific violations of securities laws charged elsewhere in the indictment could only constitute a single predicate act of racketeering because they arose “out of the same episode.”Source: docroot/ir/caselaw/f2d_624.jsonl#/f2d/624/1118-01; Unicode character offsets [50990:51209] (end exclusive); SHA-256 9f02652be952ebf06fe5bc7850efdd6237ac4cd8110d7ce9690b75ad54eaa6ed. |
Court interpretations
interpretation
This language is certainly broad enough on its face to include conspiracies involving securities and bankruptcy fraud and drug related offenses.
United States v. Weisman — 624 F.2d 1118 (1980) · United States Court of Appeals for the Second Circuit · 1980 (18usc1962: author: Fable · historical QA: PASS (QA2, neov2/qa/cases-QA2.md) · changed after review; current content not independently reviewed)
This language is certainly broad enough on its face to include conspiracies involving securities and bankruptcy fraud and drug related offenses.Source:
docroot/ir/caselaw/f2d_624.jsonl#/f2d/624/1118-01; Unicode character offsets [14879:15023] (end exclusive); SHA-256 9f02652be952ebf06fe5bc7850efdd6237ac4cd8110d7ce9690b75ad54eaa6ed.Criminal RICO and pre-PSLRA civil RICO include fraud in the sale of securities under § 1961(1)(D); note 18 U.S.C. § 1964(c) (added 1995) bars civil RICO claims relying on conduct actionable as securities fraud absent a criminal conviction.