SB234 Alabama 2016 Session

Summary

Primary Sponsor

Arthur OrrSenator

Republican

Session

Regular Session 2016

Title

Crimes and offenses, criminal penalties and sanctions for racketeering and corrupt organizations, forfeiture of property used in racketeering activity, liens, Alabama RICO (Racketeering Influenced and Corrupt Organizations) Act

Summary

SB234 creates the Alabama RICO Act to punish racketeering, allow asset forfeiture, and provide penalties and enforcement tools.

What This Bill Does

If passed, the act would criminalize engaging in a pattern of racketeering activity and allow courts to order divestment, restricted activity, or dissolution of related enterprises. It authorizes the forfeiture of property used or derived from racketeering, and enables civil and criminal actions, injunctions, and penalties funded by the Criminal Organized Activity/RICO Fund. The act also establishes mechanisms to enforce judgments in other states, file and manage RICO liens on property, and protect innocent parties with specific rights. It provides definitions, procedures for liens and forfeiture, and a framework for distributing proceeds to law enforcement and victims.

Who It Affects

• Individuals or entities that engage in racketeering or patterns of racketeering activity would face criminal penalties, potential fines, and property forfeiture, plus court-ordered changes to their assets or business interests.
• Innocent owners, trustees, or other people with legitimate interests in property or enterprises linked to racketeering would have protections and remedies, including notices, potential recovery of their interests, and rules governing how proceeds and liens are handled.

Key Provisions

• Establishes the Alabama RICO Act with defined terms: enterprise, pattern of racketeering activity, and beneficial interest.
• Prohibits acquiring or maintaining interests in enterprises or property through racketeering; prohibits conducting enterprise through pattern of racketeering.
• Allows courts to enjoin violations, divest interests, impose restrictions, dissolve enterprises, or suspend licenses.
• Authorizes forfeiture of property used or derived from a pattern of racketeering; sets civil forfeiture procedures and how proceeds are distributed.
• Provides for enforcement of RICO judgments in other states and allows RICO liens on real property or beneficial interests; permits lis pendens.
• Defines RICO lien notices, trustee duties, rights of innocent parties, and release procedures for liens.
• Creates the Criminal Organized Activity/RICO Fund; funds come from fines and may support investigations, training, and limited rewards; audits required.
• Penalties: conviction for racketeering activity is a Class A felony; fines up to $60,000 or up to three times the pecuniary value gained, with funds directed to the RICO Fund.
• Five-year statute of limitations for civil or criminal actions under the act, tolling during state prosecutions; actions may be pursued in relevant counties.
• Local expenditure note: bill states it is exempt from local expenditure requirements under Amendment 621 because it creates a new crime or amends existing crime, with an effective date following passage.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Crimes and Offenses