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Sedima, S.P.R.L. v. Imrex Co.

law case

Quick Summary

The case of Sedima, S.P.R.L. v. Imrex Co. (1985) significantly broadened the scope of the Racketeer Influenced and Corrupt Organizations Act (RICO). The U.S. Supreme Court ruled that RICO is not limited to organized crime but can also be applied to legitimate businesses involved in racketeering activities. This decision led to an increase in the use of RICO for prosecuting white-collar and corporate crimes. The RICO Act, enacted in 1970, targets organized and white-collar crime by prohibiting the acquisition or operation of an enterprise through a pattern of racketeering activity. A pattern is defined as at least two criminal offenses within a 10-year period, encompassing a wide range of crimes from murder to fraud.12

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