PRIA, Government Policy, Made Personal

Summary

Federal district courts can stop people from breaking the chapter’s criminal rules. They can order someone to give up any direct or indirect interest in a business, limit what a person may do or invest in later (even bar them from working in the same kind of business that affects interstate or foreign trade), or order a business to be dissolved or reorganized while protecting innocent people’s rights. The Attorney General may start these cases. While a case is pending, the court may issue temporary orders, bans, or accept performance bonds as it thinks fit. Anyone hurt in their business or property by such a violation may sue in federal court and recover threefold the damages they suffered, plus court costs and a reasonable attorney’s fee. Conduct that would only be securities fraud cannot be used to prove a violation, unless the wrongdoer is criminally convicted for that fraud; then the deadline to sue begins when the conviction is final. A final criminal judgment for the United States stops the defendant from denying the main facts in any later civil case the United States brings.

Title 18, §1964

Crimes and Criminal Procedure, Source: USLM XML via OLRC

(a)The district courts of the United States shall have jurisdiction to prevent and restrain violations of section 1962 of this chapter by issuing appropriate orders, including, but not limited to: ordering any person to divest himself of any interest, direct or indirect, in any enterprise; imposing reasonable restrictions on the future activities or investments of any person, including, but not limited to, prohibiting any person from engaging in the same type of endeavor as the enterprise engaged in, the activities of which affect interstate or foreign commerce; or ordering dissolution or reorganization of any enterprise, making due provision for the rights of innocent persons.

(b)The Attorney General may institute proceedings under this section. Pending final determination thereof, the court may at any time enter such restraining orders or prohibitions, or take such other actions, including the acceptance of satisfactory performance bonds, as it shall deem proper.

(c)Any person injured in his business or property by reason of a violation of section 1962 of this chapter may sue therefor in any appropriate United States district court and shall recover threefold the damages he sustains and the cost of the suit, including a reasonable attorney’s fee, except that no person may rely upon any conduct that would have been actionable as fraud in the purchase or sale of securities to establish a violation of section 1962. The exception contained in the preceding sentence does not apply to an action against any person that is criminally convicted in connection with the fraud, in which case the statute of limitations shall start to run on the date on which the conviction becomes final.

(d)A final judgment or decree rendered in favor of the United States in any criminal proceeding brought by the United States under this chapter shall estop the defendant from denying the essential allegations of the criminal offense in any subsequent civil proceeding brought by the United States.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1995—Subsec. (c). Pub. L. 104–67 inserted before period at end “, except that no person may rely upon any conduct that would have been actionable as fraud in the purchase or sale of securities to establish a violation of section 1962. The exception contained in the preceding sentence does not apply to an action against any person that is criminally convicted in connection with the fraud, in which case the statute of limitations shall start to run on the date on which the conviction becomes final”. 1984—Subsec. (b). Pub. L. 98–620 struck out provision that in any action brought by the United States under this section, the court had to proceed as soon as practicable to the hearing and determination thereof.

Statutory Notes and Related Subsidiaries

Effective Date

of 1995 AmendmentAmendment by Pub. L. 104–67 not to affect or apply to any private action arising under title I of the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) or title I of the Securities Act of 1933 (15 U.S.C. 77a et seq.), commenced before and pending on Dec. 22, 1995, see section 108 of Pub. L. 104–67, set out as a note under section 77l of Title 15, Commerce and Trade.

Effective Date

of 1984 AmendmentAmendment by Pub. L. 98–620 not applicable to cases pending on Nov. 8, 1984, see section 403 of Pub. L. 98–620, set out as an

Effective Date

note under section 1657 of Title 28, Judiciary and Judicial Procedure.

Construction

of 1995 AmendmentNothing in amendment by Pub. L. 104–67 to be deemed to create or ratify any implied right of action, or to prevent Securities and Exchange Commission, by rule or regulation, from restricting or otherwise regulating private actions under Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.), see section 203 of Pub. L. 104–67, set out as a

Construction

note under section 78j–1 of Title 15, Commerce and Trade.

§1964 Civil Remedies

Summary

Title 18, §1964

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Effective Date

Effective Date

Effective Date

Construction

Construction

Citations & Metadata