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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: Pluvia who wrote (89857)	1/25/2005 8:02:39 PM
From: olivier asser	Read Replies (1) \| Respond to of 122087

Because you're clearly a member of the "laws as we interpret them crowd," and there's been much talk here of guilt by association having no weight, here's a definition for you: The Racketeer Influenced and Corrupt Organizations Act (“RICO”), 18 U.S.C. §§ 1961-1968, prohibits individuals or entities from engaging in racketeering activity associated with an “enterprise.”4 ------------------------------------------------------------------------ Footnote4 Although RICO was originally enacted to “combat organized crime,” its application has expanded far beyond that arena. See, e.g., H.J. Inc. v. Northwestern Bell Tel. Co., 492 U.S. 229, 248 (1989). ------------------------------------------------------------------------ To successfully state a RICO claim, the Plaintiff must allege “(1) the conduct (2) of an enterprise (3) through a pattern of racketeering activity.” Salinas v. United States, 522 U.S. 52, 62 (1997) (citing Sedima, S.P.R.L. v. Imrex Co., Inc., 473 U.S. 479, 496 (1985)). An enterprise includes “any individual, partnership, corporation, association, or other legal entity, and any union or group of individuals associated in fact although not a legal entity.” United States v. Turkette, 452 U.S. 576, 580 (1981) (quoting 18 U.S.C. § 1961(4)). “Racketeering activity” includes, among other things, acts prohibited by any one of a number of criminal statutes. 18 U.S.C. § 1961(1). A “pattern” is demonstrated by two or more instances of “racketeering activity” (“predicate acts”) that occur within ten years of one another. 18 U.S.C. § 1961(5)...predicate acts [under this section include] violations of 18 U.S.C. §§ 1341 (mail fraud) and 1343 (wire fraud)...two specific subsections of § 1962...[are] subsection (c), which makes it unlawful to “conduct or participate, directly or indirectly,” in an enterprise through a “pattern of racketeering activity”...[and] subsection (d), which makes it unlawful to “conspire to violate” subsection (c). RICO provides both legal and equitable remedies. Plaintiffs may seek treble damages – that is, three times the value of the damages inflicted on them by a efendant’s unlawful racketeering activity. 18 U.S.C. § 1964(c). In addition, the Court may in its discretion order equitable remedies, “including but not limited to” restricting defendants from taking future actions and even dissolving or restructuring the “enterprise.”5 --------------------------------------------------------------------------- Footnote 5 Section 1964(a) states in full: "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." 18 U.S.C. § 1964(a) (emphasis added).

To: Pluvia who wrote (89857)	1/25/2005 8:05:16 PM
From: olivier asser	Read Replies (1) \| Respond to of 122087

Definitions, Part II: “…liability under § 1962(c) is not limited to upper management... An enterprise is ‘operated’ not just by upper management but also by lower rung participants in the enterprise who are under the direction of upper management. An enterprise also might be ‘operated’ or ‘managed’ by others ‘associated with’ the enterprise who exert control over it as, for example, by bribery.” Reves, 507 U.S. 170, 184 (U.S., 1993)."

To: Pluvia who wrote (89857)	1/25/2005 8:11:21 PM
From: olivier asser	Read Replies (2) \| Respond to of 122087

Part III - Front running definitions: Securities Exchange Act of 1934 Section 10 -- Manipulative and Deceptive Devices... Rule 10b-5 -- Employment of Manipulative and Deceptive Devices It shall be unlawful for any person, directly or indirectly, by the use of any means or instrumentality of interstate commerce, or of the mails or of any facility of any national securities exchange, 1. To employ any device, scheme, or artifice to defraud, 2. To make any untrue statement of a material fact or to omit to state a material fact necessary in order to make the statements made, in the light of the circumstances under which they were made, not misleading, or 3. To engage in any act, practice, or course of business which operates or would operate as a fraud or deceit upon any person, in connection with the purchase or sale of any security.