Racketeering is a term used to describe illegal activities committed through a criminal enterprise for the purpose of profit. It is typically associated with organized crime and can include various activities, from narcotics trafficking to money laundering. Racketeering charges are brought against criminal enterprises that commit, attempt to commit, or conspire to commit, two or more serious crimes such as murder, kidnapping, and arson. Racketeering activity covers a range of crimes that involve committing, attempting to commit, conspiring to commit, or intentionally aiding, soliciting, coercing, or intimidating another person to commit a specified list of crimes.

The Racketeer Influenced and Corrupt Organizations (RICO) Act is U.S. federal legislation that includes 35 offenses under its umbrella of illegal activities, which range from murder and kidnapping to conspiracy and extortion. Prosecutors can charge someone through RICO if they commit at least two acts of racketeering activity, one of which occurred after RICO became law and the last of which occurred within 10 years after the prior act.

Racketeering is a federal crime, and the penalties for racketeering vary depending on the type and severity of the offenses committed. If convicted in federal court on charges related to racketeering under 18 U.S.C., offenders may face up to 20 years in prison and hefty fines of up to $250,000 per count charged against them (or both). Additionally, those convicted may be required to pay restitution costs if they caused any victims financial harm as part of their illegal enterprise activities.