95TH GENERAL ASSEMBLY
State of Illinois
2007 and 2008
HB0409

 

Introduced 01/26/07, by Rep. Linda Chapa LaVia

 

SYNOPSIS AS INTRODUCED:
 
See Index

    Creates the Organized Crime Control Act. Provides that a person who has received any proceeds with knowledge that they were derived, directly or indirectly, from a pattern of racketeering activity may not use or invest, whether directly or indirectly, any part of the proceeds or the proceeds derived from the investment or use thereof in the acquisition of any title to, or any right, interest, or equity in, real property or in the establishment or operation of any enterprise. Provides that a person, through a pattern of racketeering activity, may not acquire or maintain, directly or indirectly, any interest in or control of any enterprise or real property. Provides that a person employed by, or associated with, any enterprise may not conduct or participate, directly or indirectly, in the enterprise through a pattern of racketeering activity. Provides that any person convicted of engaging in racketeering activity is guilty of a Class 1 felony. Provides that any person who engages in a continuing criminal enterprise is guilty of a Class 1 felony. Requires the court to order forfeiture to the State of all real or personal property used in the course of, or intended for use in the course of, derived from, or realized through such criminal conduct. Provides for other civil remedies. Provides that the Attorney General and the State's Attorneys of this State have concurrent authority to institute criminal proceedings under the Act, except that a State's Attorney may institute proceedings only with the prior written approval of the Attorney General. Effective immediately.


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CORRECTIONAL BUDGET AND IMPACT NOTE ACT MAY APPLY
FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

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1     AN ACT concerning criminal law.
 
2     Be it enacted by the People of the State of Illinois,
3 represented in the General Assembly:
 
4     Section 1. Short title. This Act may be cited as the
5 Organized Crime Control Act.
 
6     Section 5. Intent. The General Assembly finds that a severe
7 problem is posed in this State by the increasing organization
8 among certain criminal elements and the increasing extent to
9 which criminal activities and funds acquired as a result of
10 criminal activity are being directed to and against the
11 legitimate economy of the State. The General Assembly declares
12 that the intent of the Organized Crime Control Act is to impose
13 sanctions against this subversion of the economy by organized
14 criminal elements and to provide compensation to private
15 persons injured thereby. It is not the intent of the General
16 Assembly that isolated incidents of misdemeanor conduct be
17 prosecuted under this Act, but only an interrelated pattern of
18 criminal activity the motive or effect of which is to derive
19 pecuniary gain.
 
20     Section 10. Definitions. For the purposes of this Act:
21     (1) "Commission of a crime" means being accountable for the
22 commission of a crime under Article 5 of the Criminal Code of

 

 

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1 1961.
2     (2) "Enterprise" means any sole proprietorship,
3 partnership, limited liability company, corporation, business
4 trust, union organized under the laws of this State or other
5 legal entity or any union not organized under the laws of this
6 State, association or group of individuals associated in fact
7 although not a legal entity. "Enterprise" includes illicit and
8 licit enterprises and governmental and other entities.
9     (3) "Pattern of racketeering activity" means engaging in at
10 least 3 incidents of racketeering activity that have the same
11 or similar intents, results, accomplices, victims, or methods
12 of commission or otherwise are interrelated by distinguishing
13 characteristics, provided that at least one of the incidents
14 occurred after the effective date of this Act and that the last
15 of the incidents occurred within 7 years after the first
16 incident of racketeering activity. Acts occurring at the same
17 time and place which may form the basis for crimes punishable
18 under more than one statutory provision may count for only one
19 incident of racketeering activity.
20     (4) "Racketeering activity" means any activity specified
21 in: (i) 18 U.S.C. 1961 as in effect on the effective date of
22 this Act or (ii) the attempt, conspiracy to commit, or
23 commission of any of the felonies specified in: Article 10, 11,
24 20, 20.5, 21, 24, 26, 28, 29A, 30, 31, 32, 33, or 33E, Section
25 9-1, 12-4.2, 12-4.2-5, 12-4.3, 12-9, 12-13, 12-14, 12-14.1,
26 12-15, 12-16, 12-16.2, 12-33, subsection (a) or (d-5) of

 

 

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1 Section 12-4 of the Criminal Code of 1961, the Illinois
2 Controlled Substances Act, the Methamphetamine Control and
3 Community Protection Act, the Cannabis Control Act, the Wrongs
4 to Children Act, Article VIIIA of the Illinois Public Aid Code,
5 Section 22 of the Cigarette Tax Act, or the Illinois Securities
6 Law of 1953.
 
7     Section 15. Prohibited activities.
8     (a) A person who has received any proceeds with knowledge
9 that they were derived, directly or indirectly, from a pattern
10 of racketeering activity may not use or invest, whether
11 directly or indirectly, any part of the proceeds or the
12 proceeds derived from the investment or use thereof in the
13 acquisition of any title to, or any right, interest, or equity
14 in, real property or in the establishment or operation of any
15 enterprise.
16     (b) A person, through a pattern of racketeering activity,
17 may not acquire or maintain, directly or indirectly, any
18 interest in or control of any enterprise or real property.
19     (c) A person employed by, or associated with, any
20 enterprise may not conduct or participate, directly or
21 indirectly, in the enterprise through a pattern of racketeering
22 activity.
 
23     Section 20. Penalties.
24     (a) Any person convicted of engaging in racketeering

 

 

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1 activity in violation of Section 15 is guilty of a Class 1
2 felony.
3     (b) In lieu of a fine under subsection (a), any person
4 convicted of engaging in conduct in violation of Section 15,
5 through which he or she derived pecuniary value, or by which he
6 or she caused personal injury or property damage or other loss,
7 may be fined not to exceed 2 times the gross value gained or 2
8 times the gross loss caused, whichever is the greater, plus
9 court costs and the costs of investigation and prosecution,
10 reasonably incurred. In calculating the amount of a fine based
11 on personal injury, any measurement of pain and suffering shall
12 be excluded.
13     (c) The court shall hold a hearing to determine the amount
14 of the fine authorized by subsection (b).
15     (d) In subsection (b), "pecuniary value" means: (1)
16 anything of value in the form of money, a negotiable
17 instrument, or a commercial interest or anything else the
18 primary significance of which is economic advantage; or (2) any
19 other property or service that has a value in excess of $100.
 
20     Section 25. Continuing criminal enterprise.
21     (a) Any person who engages in a continuing criminal
22 enterprise is guilty of a Class 1 felony.
23     (b) In this Section a person is considered to be engaged in
24 a continuing criminal enterprise if he or she engages in a
25 prohibited activity under Section 15; and

 

 

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1         (1) the activity is undertaken by the person in concert
2     with 5 or more other persons, each of whom acted with
3     intent to commit a crime and with respect to whom the
4     person occupies a supervisory position; and
5         (2) the person obtains gross income or resources in
6     excess of $25,000 from the activity.
 
7     Section 30. Criminal forfeitures.
8     (a) In addition to the penalties under Sections 20 and 25,
9 the court shall order forfeiture, according to the procedures
10 set forth in subsections (b), (c), and (d), of all real or
11 personal property used in the course of, or intended for use in
12 the course of, derived from, or realized through conduct in
13 violation of Section 15 or 25. All forfeitures under this
14 Section shall be made with due provision for the rights of
15 innocent persons. Property constituting proceeds derived from
16 conduct in violation of Section 15 or 25 includes, but is not
17 limited to, any of the following:
18         (1) Any position, office, appointment, tenure,
19     commission, or employment contract of any kind that the
20     defendant acquired or maintained in violation of Section 15
21     or 25, through which the defendant conducted or
22     participated in the conduct of the affairs of an enterprise
23     in violation of Section 15 or 25, or that afforded the
24     defendant a source of influence or control over the affairs
25     of an enterprise that the defendant exercised in violation

 

 

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1     of Section 15 or 25.
2         (2) Any compensation, right, or benefit derived from a
3     position, office, appointment, tenure, commission, or
4     employment contract that accrued to the defendant during
5     the period of conduct in violation of Section 15 or 25.
6         (3) Any interest in, security of, claim against, or
7     property or contractual right affording the defendant a
8     source of influence or control over the affairs of an
9     enterprise in which the defendant participated in
10     violation of Section 15 or 25.
11         (4) Any amount payable or paid under any contract for
12     goods or services that was awarded or performed in
13     violation of Section 15 or 25.
14     (b) Any criminal complaint alleging a violation of Section
15 15 or 25 shall allege the extent of property subject to
16 forfeiture under this Section. At trial, the trier of fact
17 shall return a special verdict determining the extent of
18 property, if any, to be subject to forfeiture under this
19 Section. When a special verdict contains a finding of property
20 subject to forfeiture under this Section, a judgment of
21 criminal forfeiture shall be entered along with the judgment of
22 conviction.
23     (c) If any property included in a special verdict of
24 criminal forfeiture cannot be located, has been sold to a bona
25 fide purchaser for value, has been placed beyond the
26 jurisdiction of the court, has been substantially diminished in

 

 

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1 value by the conduct of the defendant, has been commingled with
2 other property that cannot be divided without difficulty or
3 undue injury to innocent persons, or is otherwise unreachable
4 without undue injury to innocent persons, the court may order
5 forfeiture of any other property of the defendant up to the
6 value of the property that is unreachable.
7     (d) Any injured person has a right or claim to forfeited
8 property or the proceeds derived therefrom superior to any
9 right or claim the State has under this Section in the same
10 property or proceeds. This subsection (d) does not grant the
11 injured person priority over State claims or rights by reason
12 of a tax lien or other basis not covered by this Act. All
13 rights, titles, and interest in property described in
14 subsection (a) vest in the State upon the commission of the act
15 giving rise to forfeiture under this Section.
 
16     Section 35. Civil remedies.
17     (a) After making due provision for the rights of innocent
18 persons, any circuit court may enjoin violations of Section 15
19 or 25 and may issue appropriate orders and judgments related
20 thereto, including, but not limited to:
21         (1) Ordering any defendant to divest himself or herself
22     of any interest in any enterprise which is involved in the
23     violation of Section 15 or 25, including real property.
24         (2) Imposing reasonable restrictions upon the future
25     activities or investments of any defendant related to

 

 

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1     enjoining violations of Section 15 or 25, including, but
2     not limited to, prohibiting any defendant from engaging in
3     the same type of endeavor as the enterprise in which he or
4     she was engaged in violation of Section 15 or 25.
5         (3) Ordering the dissolution or reorganization of any
6     related enterprise.
7         (4) Ordering the suspension or revocation of a license,
8     permit, or prior approval granted to any related enterprise
9     by any agency of the State or a county or municipality.
10         (5) Ordering the dissolution of a corporation
11     organized under the Business Corporation Act of 1983, or
12     the revocation of a certificate authorizing a foreign
13     corporation to conduct business within the State, upon
14     finding that the board of directors or a managerial agent
15     acting on behalf of the corporation, in conducting the
16     affairs of the corporation, has authorized or engaged in
17     conduct in violation of Section 15 or 25 and that, for the
18     prevention of future criminal activity, the public
19     interest requires the action under this paragraph (5).
20     (b) (1) All property, real or personal, including money,
21 used in the course of, intended for use in the course of,
22 derived from, or realized through conduct which has resulted in
23 a conviction for violation of Section 15 or 25 is subject to
24 civil forfeiture to the State. The State shall dispose of all
25 forfeited property as soon as commercially feasible. If
26 property is not exercisable or transferable for value by the

 

 

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1 State, it shall expire. All forfeitures or dispositions under
2 this Section shall be made with due provision for the rights of
3 innocent persons. The proceeds realized from the forfeitures
4 and dispositions shall be deposited into the Common School
5 Fund.
6     (2) Notwithstanding paragraph (1), property described in
7 paragraph (1) is subject to forfeiture if the person who
8 violated Section 15 or 25 has not been convicted, but he or she
9 is a defendant in a criminal proceeding, is released, pending
10 trial, on bail, and fails to appear in court regarding the
11 criminal proceeding. However, before making the final
12 determination of any action under this Section, the court must
13 determine that the party bringing the action can prove the
14 person committed the violation of Section 15 or 25.
15     (3) Any injured person has a right or claim to forfeited
16 property or the proceeds derived therefrom superior to any
17 right or claim the State has under this Section in the same
18 property or proceeds. This paragraph does not grant the person
19 priority over State claims or rights by reason of a tax lien or
20 other basis not covered by this Act.
21     (c) The Attorney General or any State's Attorney may
22 institute civil proceedings under this Section. In any action
23 brought under this Section, the circuit court shall proceed as
24 soon as practicable to the hearing and determination. Pending
25 final determination of any action under this Section, the
26 circuit court may at any time enter such injunctions,

 

 

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1 prohibitions, or restraining orders, or take such actions,
2 including the acceptance of satisfactory performance bonds, as
3 the court deems proper. At any time pending final determination
4 of a forfeiture action under subsection (b), the circuit court
5 may order the seizure of property subject to forfeiture and may
6 make such orders as it deems necessary to preserve and protect
7 the property.
8     (d) Any person who is injured by reason of any violation of
9 Section 15 or 25 has a cause of action for 2 times the actual
10 damages sustained and, when appropriate, punitive damages. The
11 person shall also recover attorney's fees and costs of the
12 investigation and litigation reasonably incurred. The
13 defendant or any injured person may demand a trial by jury in
14 any civil action brought under this Section.
15     (e) The burden of proof under this Section is that of
16 satisfying or convincing to a reasonable certainty by a greater
17 weight of the credible evidence that the property is subject to
18 forfeiture under this Section.
19     (f) A final judgment or decree rendered in favor of the
20 State in any criminal proceeding under this Act shall stop the
21 defendant from denying the essential allegations of the
22 criminal offense in any subsequent civil action or proceeding.
 
23     Section 40. Enforcement and jurisdiction.
24     (a) A criminal or civil action or proceeding under this Act
25 may be commenced at any time within 6 years after a violation

 

 

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1 under this Act terminates or the cause of action accrues. If a
2 criminal action or proceeding under this Act is brought, or
3 intervened in, to punish, prevent, or restrain any such
4 violation, the running of the period of limitations with
5 respect to any civil action or proceeding, including an action
6 or proceeding under Section 35, which is based in whole or in
7 part upon any matter complained of in the criminal action or
8 proceeding shall be suspended for 2 years following the
9 termination of the criminal action or proceeding.
10     (b) The application of one civil or criminal remedy under
11 this Act does not preclude the application of any other remedy,
12 civil or criminal, under this Act or any other provision of
13 law. Civil remedies under this Act are supplemental, and not
14 mutually exclusive, except that the State may not proceed under
15 both subsection (b) of Section 20 and subsection (d) of Section
16 35.
17     (c) The Attorney General and the State's Attorneys of this
18 State have concurrent authority to institute criminal
19 proceedings under this Act, except that a State's Attorney may
20 institute proceedings only with the prior written approval of
21 the Attorney General.
 
22     Section 99. Effective date. This Act takes effect upon
23 becoming law.

 

 

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1 INDEX
2 Statutes amended in order of appearance
3     New Act