Asked by Blake Waldman on Jun 11, 2024
Verified
Bruno buys and sells stocks and bonds. Bruno may be subject to penalties under the Racketeer Influenced and Corrupt Organizations Act
A) for making an unprofitable, but legal, investment.
B) for the commission of securities fraud.
C) only if the situation involves a "racket."
D) only in the circumstances constitute organized crime.
Securities Fraud
A form of white-collar crime that involves deceptive practices in the stock and commodities markets.
Racketeer Influenced
Pertaining to businesses or operations corrupted by criminal activities, often associated with organized crime.
Corrupt Organizations Act
Often refers to laws designed to combat organized crime by allowing for legal actions against individuals and businesses involved in criminal activities.
- Attain familiarity with the legal ideas and specific operations that are recognized as bribery, embezzlement, larceny, robbery, and other expressions of white-collar criminality.
Verified Answer
CG
Caroline GrundyJun 14, 2024
Final Answer :
B
Explanation :
The Racketeer Influenced and Corrupt Organizations Act (RICO) can apply to various criminal activities, including securities fraud. It does not require the situation to involve a traditional "racket" or be limited to organized crime scenarios. Making an unprofitable but legal investment would not subject Bruno to penalties under RICO.
Learning Objectives
- Attain familiarity with the legal ideas and specific operations that are recognized as bribery, embezzlement, larceny, robbery, and other expressions of white-collar criminality.