Racketeering in Colorado
Racketeering charges in Colorado are unlike most other criminal accusations. What makes these charges uniquely daunting is their breadth: prosecutors may combine multiple alleged offenses, link them to an “enterprise,” and pursue both criminal penalties and civil remedies in the same case. The consequences can include lengthy prison sentences, steep financial penalties, and forfeiture of property connected to the alleged conduct. For individuals accused, the stakes extend beyond the courtroom, threatening livelihoods, families, and reputations.
Colorado Racketeering Lawyer
Understanding how Colorado law defines racketeering, the elements prosecutors must prove, and the potential defenses available is essential for anyone facing such allegations. The discussion that follows outlines these key issues and explains how Colorado racketeering lawyers at Law Office of Matthew A. Martin, P.C. approach the defense of these cases.
If you have been charged with Racketeering in Colorado, then you need a strong criminal defense attorney. The Law Office of Matthew Martin is prepared to provide full-service legal representation for clients accused of white collar crimes such as racketeering.
Call (303) 725-0017 to set up your first consultation free of charge.
Information Center
- Purpose of the Colorado Organized Crime Control Act
- What Is the Crime of Racketeering in Colorado?
- What Are the Criminal Penalties for Racketeering in Colorado?
- What Key Elements Must the Prosecution Prove in a Racketeering Case?
- What Are Defenses to Racketeering Charges in Colorado?
- Role of a Denver Racketeering Attorney
- Frequently Asked Questions About Racketeering in Colorado
- Resources
Purpose of the Colorado Organized Crime Control Act
The Colorado General Assembly created the Colorado Organized Crime Control Act (COCCA) in 1981, and the law is codified at C.R.S. § 18-17-101 through § 18-17-109. According to C.R.S. § 18-17-102, the General Assembly found that organized crime is sophisticated, widespread, and drains millions of dollars from the state’s economy each year. The law specifically notes that such crime often involves gambling, loan-sharking, theft and fencing of stolen property, drug distribution, and other forms of social exploitation. These unlawful activities not only harm innocent people but also corrupt legitimate businesses, labor organizations, and even political processes. The statute states that organized crime undermines economic stability, endangers domestic security, and threatens the welfare of Colorado citizens. To address these problems, the law strengthens evidence-gathering, establishes new prohibitions, and authorizes tougher penalties and remedies.
What Is the Crime of Racketeering in Colorado?
Unlawful Investment of Proceeds — Under C.R.S. § 18-17-104(1)(a), it is unlawful for a person who knowingly receives money or property from a pattern of racketeering activity, or from the collection of an unlawful debt, to use or invest any of that money or property in real estate or in the establishment or operation of an enterprise. The law is broad and covers both direct and indirect investments. There is a narrow exception for ordinary purchases of securities on the open market if the purchase is solely for investment and does not confer control over the company.
Acquiring Control of an Enterprise — § 18-17-104(2) makes it a crime to knowingly acquire or maintain an interest in or control of any enterprise or real property through racketeering activity or through the collection of an unlawful debt. This provision targets individuals who seek to take over businesses, partnerships, or other organizations by using profits from crime.
Conducting Business Through Racketeering — C.R.S. § 18-17-104(3) prohibits a person employed by or associated with any enterprise from knowingly conducting or participating in that enterprise through a pattern of racketeering activity or unlawful debt collection. This offense applies to insiders who use their role in a business or group to carry out criminal activity.
Conspiracy or Attempt to Violate Racketeering Laws — Finally, under C.R.S. § 18-17-104(4), it is unlawful to conspire or even attempt to commit any of the other prohibited acts. This makes it possible for prosecutors to pursue charges even when the racketeering scheme has not yet been completed, as long as there is evidence of an agreement or effort to commit the crime.
What Are the Criminal Penalties for Racketeering in Colorado?
Class 2 Felony Classification — Under C.R.S. § 18-17-105(1), anyone convicted of violating Colorado’s racketeering statute commits a class 2 felony. This is one of the most serious categories of crimes under Colorado law. A class 2 felony carries a presumptive prison sentence of 8 to 24 years, with the possibility of an even longer aggravated sentence in certain circumstances. The court also has discretion to impose a substantial fine, adding to the weight of the punishment.
Fines and Financial Penalties — According to § 18-17-105(1)(a), a person convicted may be fined up to twenty-five thousand dollars. Beyond that, subsection (2) authorizes fines that can reach three times the amount of money gained from the crime or three times the loss caused to victims, whichever amount is greater. These enhanced fines are designed to strip away any financial incentive for racketeering. The law also allows the state to recover the costs of investigation and prosecution.
Forfeiture of Assets — § 18-17-105(1)(b) requires convicted individuals to forfeit to the state any interest, proceeds, or property obtained through racketeering. This includes not only money but also any ownership interests, securities, or claims tied to enterprises that were corrupted by illegal activity. Courts may authorize the seizure of personal property, real estate, vehicles, and other valuable items. The law ensures that property seized is either destroyed, sold by the sheriff, transferred for law enforcement use, or otherwise disposed of according to strict statutory procedures.
Court Hearings and Enforcement — Before fines are finalized, C.R.S. § 18-17-105(3) requires the court to hold a hearing to determine the appropriate financial penalties. During this process, the value of the unlawful gain or loss is carefully assessed. The law defines “pecuniary value” broadly in subsection (4), meaning anything of value over one hundred dollars, whether money, negotiable instruments, commercial interests, or services. Once a conviction occurs, subsection (6) directs the court to authorize the seizure and forfeiture of all property linked to the crime. The proceeds from property sales are applied to costs of sale, expenses of prosecution, and finally to the state’s general fund.
What Key Elements Must the Prosecution Prove in a Racketeering Case?
Definition of Enterprise — According to C.R.S. § 18-17-103(2), an enterprise can include an individual, corporation, partnership, association, or even a loosely organized group of individuals. The law makes clear that both legal and illegal entities can qualify, as well as governmental and nongovernmental organizations. This means the prosecution does not need to show that the group was formally incorporated or registered; even an informal association can be considered an enterprise under the law.
Pattern of Racketeering Activity — § 18-17-103(3) defines a pattern as at least two acts of racketeering activity related to the conduct of the enterprise. At least one act must occur in Colorado after July 1, 1981, and the second act must occur within ten years of the first, excluding any time spent in prison. This element is central to the charge because a single isolated act is not enough; the law requires an ongoing relationship between multiple criminal acts and the enterprise.
Racketeering Activity — Under C.R.S. § 18-17-103(5), racketeering activity includes a long list of crimes. These range from serious violent offenses, such as murder, kidnapping, and assault, to property crimes like burglary, robbery, theft, and arson. It also covers financial and fraud-related crimes including forgery, money laundering, bribery in sports, identity theft, and securities fraud. Other categories include drug crimes, gambling, weapons offenses, cybercrime, and crimes involving child exploitation. The list is extensive, and prosecutors only need to prove two qualifying acts to establish a pattern.
Unlawful Debt — § 18-17-103(6) explains that racketeering also includes debts that arise from illegal gambling or debts that are unenforceable due to usury laws. This means that loan-sharking and similar practices fall directly under the racketeering statute.
Connection to the Enterprise — The prosecution must show that the pattern of racketeering activity was connected to the operation or control of the enterprise. This link is crucial for proving that the criminal acts were not random but were carried out as part of the enterprise’s affairs. Without this connection, a jury may not find the defendant guilty under racketeering laws.
What Are Defenses to Racketeering Charges in Colorado?
Challenging the Existence of an Enterprise — A central requirement in racketeering cases is proof that an enterprise existed as defined in C.R.S. § 18-17-103(2). A defense strategy may involve arguing that no such enterprise was present, or that the alleged group was not functioning as a unified organization. If the prosecution cannot establish an ongoing structure or association, then the racketeering charge may fail.
Attacking the Pattern of Activity — The law requires proof of a “pattern of racketeering activity,” meaning at least two related acts within ten years. Defense counsel may argue that the alleged acts were isolated, unrelated, or outside the statutory time frame. Demonstrating that there was no ongoing relationship between the acts and the enterprise can weaken the state’s case significantly.
Disputing Predicate Offenses — Racketeering charges rely on underlying crimes, known as predicate offenses. A defense may challenge the validity of these predicate offenses, arguing that the prosecution lacks admissible evidence to prove them beyond a reasonable doubt. If the underlying crimes are not proven, the racketeering charge cannot stand.
Lack of Knowledge or Intent — Under C.R.S. § 18-17-104, the accused must act knowingly to be guilty of racketeering. A defense may show that the defendant did not have knowledge of the unlawful activities or did not intend to further the enterprise’s illegal goals. Proving lack of intent can create reasonable doubt for the jury.
Insufficient Evidence of Connection — Even if crimes occurred, the state must show they were tied to the operation or control of the enterprise. A defense may argue that the defendant’s actions were personal, isolated, or unrelated to the enterprise itself. Without this connection, the statutory requirement is not met.
Constitutional Violations — Defense counsel may also challenge how the evidence was obtained. If investigators conducted unlawful searches or seizures, violated the defendant’s right to counsel, or failed to follow proper procedures, evidence may be excluded from trial. Suppression of key evidence can significantly weaken the prosecution’s case.
Overbroad Application of the Law — Because COCCA requires liberal construction under C.R.S. § 18-17-108, there is room to argue that the state is applying the law too broadly. Defense attorneys may assert that the conduct in question does not truly fall within the scope of racketeering as intended by the legislature.
Role of a Denver Racketeering Attorney
Protecting Rights During Investigation — Racketeering investigations often involve search warrants, subpoenas, and seizures of property. An attorney intervenes quickly to challenge overreaching searches, prevent unlawful evidence collection, and ensure the client’s rights are respected at every stage of the process.
Analyzing Predicate Offenses — Because racketeering charges rely on predicate crimes, the lawyer carefully reviews each alleged offense. By examining whether the state can prove these underlying crimes, the attorney works to undermine the foundation of the racketeering case.
Challenging the Enterprise Allegation — Prosecutors must prove an enterprise existed. An attorney questions whether the accused was truly part of an organized group or whether the state is stretching the law to include isolated or unrelated acts.
Developing Targeted Defense Strategies — Every racketeering case is unique. The lawyer tailors defenses to the facts, whether by disputing the “pattern” element, exposing lack of intent, or presenting evidence that separates the client from the enterprise’s unlawful activity.
Fighting for Property and Assets — Because racketeering cases often include forfeiture, the attorney aggressively contests the state’s attempt to seize homes, vehicles, or bank accounts, ensuring that clients are not unjustly stripped of their property while fighting criminal charges.
Frequently Asked Questions About Racketeering in Colorado
What is racketeering in Colorado?
Racketeering in Colorado refers to participating in an enterprise through a pattern of criminal acts, as defined by the Colorado Organized Crime Control Act. It includes activities like fraud, theft, gambling, or drug crimes committed to support the enterprise.
What are racketeering charges in Colorado?
Racketeering charges in Colorado are felony accusations brought under C.R.S. § 18-17-104. Prosecutors must show at least two related criminal acts within ten years, tied to an enterprise. These charges carry severe penalties, including prison, fines, and asset forfeiture.
What are the penalties for racketeering in Colorado?
Penalties for racketeering in Colorado include conviction of a class 2 felony, prison sentences from 8 to 24 years, and significant fines. Defendants also risk asset forfeiture, restitution orders, and civil lawsuits from victims seeking treble damages and attorney’s fees.
What crimes fall under racketeering in Colorado?
Racketeering in Colorado includes violent crimes like assault, kidnapping, and murder, property crimes such as burglary and arson, financial crimes like fraud and money laundering, drug trafficking, gambling, and weapons violations. A wide range of criminal activity can serve as predicate acts.
How does Colorado define a racketeering enterprise?
Colorado defines a racketeering enterprise as any legal or illegal entity, including corporations, partnerships, associations, and informal groups. Even governmental bodies may qualify. The key factor is an organized association functioning together, even if not formally incorporated or legally recognized.
Can someone be charged with racketeering without committing a crime?
No, racketeering requires proof of at least two specific crimes known as predicate offenses. However, someone can be charged if prosecutors prove conspiracy, participation, or control of an enterprise engaged in racketeering, even without directly committing the underlying crimes.
What is a pattern of racketeering activity in Colorado?
A pattern of racketeering activity requires at least two related predicate crimes committed within ten years. The acts must demonstrate continuity and a relationship to the enterprise’s operations. Isolated or unrelated criminal conduct does not satisfy this statutory requirement under Colorado law.
What are civil penalties for racketeering in Colorado?
Civil penalties for racketeering in Colorado include forfeiture of property, dissolution of businesses, injunctions, and restrictions on future activity. Victims may sue for treble damages, attorney’s fees, and investigation costs. Civil remedies are supplemental to criminal penalties under the statute.
What defenses exist for racketeering charges in Colorado?
Defenses to racketeering charges in Colorado include challenging the existence of an enterprise, disputing the alleged predicate crimes, attacking the continuity of a pattern, asserting lack of intent, or excluding evidence obtained through constitutional violations such as unlawful searches or seizures.
Why hire a Colorado racketeering lawyer immediately?
Hiring a Colorado racketeering lawyer quickly is crucial because these cases are complex and heavily prosecuted. A defense attorney can evaluate charges, identify weaknesses in the state’s case, protect rights, and develop strategies to challenge both criminal and civil claims.
Resources
Colorado Revised Statutes § 18-17-104 — This source details the prohibited activities that form the basis of racketeering charges in Colorado. It explains unlawful use of proceeds, acquiring or maintaining control of enterprises, conducting business through racketeering, and conspiring to commit racketeering acts.
Colorado Revised Statutes § 18-17-105 — This source outlines the criminal penalties for racketeering in Colorado. It explains sentencing ranges, fines, asset forfeiture, and how courts determine financial penalties based on the value of unlawful gains or losses.
Colorado Department of Local Affairs Fraud Prevention — This source comes from the Colorado Department of Local Affairs. It offers information about preventing and reporting fraud in Colorado. It also connects users with the Attorney General’s Office consumer protection efforts and provides resources for reporting fraud, waste, and abuse.
Congress.gov RICO: A Sketch — This source is a Congressional Research Service report that provides an overview of the federal Racketeer Influenced and Corrupt Organizations (RICO) Act. It explains the elements of RICO, predicate offenses, criminal and civil penalties, and constitutional questions that have been raised about the law.
Colorado Bureau of Investigation Economic Crimes — This source is from the Colorado Bureau of Investigation. It provides information on identity theft, fraud, cybercrimes, and prevention resources. It also explains opportunities offered by the CBI to businesses, schools, and organizations for improving awareness and preventing economic crimes.
Hire a Racketeering Criminal Defense Attorney in Denver, Colorado
If you have been charged with Racketeering, or any white collar crime in the state of Colorado, call (303) 725-0017 to set up your first consultation free of charge.
Matthew Martin accepts clients throughout the greater Denver area including Jefferson County, Douglas County, Arapahoe County, Broomfield County, Adams County, and Boulder County.