Criminal Defense Attorneys Near You

Our lawyers focus on federal white collar crimes like extortion, fraud, racketeering, and other government investigations.

Below, we will discuss:

  1. The different federal statutes that discuss extortion;
  2. Crimes related to extortion;
  3. Penalties for committing extortion; and
  4. Possible defenses to extortion

If you are currently under investigation for, or have already been charged with, extortion or any of the related crimes listed below, contact an experienced federal white collar crime attorney today.

What is Extortion?

Extortion is codified under two federal statutes – 18 U.S.C. §872 and 18 U.S.C. §1951.

Generally, extortion is the act of obtaining money, property, or services from another through the use of threats of force and violence or by abuse of authority. The threats may include:

  • The possibility of harm to one’s reputation;
  • Possibility of physical harm;
  • Possibility of Harm to property; or
  • Possibility of unfavorable government action.

This is where Extortion and robbery differ from each other as crimes;  in the case of a robbery, the threat made means that the person is in imminent danger whereas in the case of extortion if is merely a threat to cause danger.

Extortion by an Employee or Officer of the United States – 18 U.S.C. §872

Under this statute, only a person who is an employee or agent, or someone who presents themselves as such, of the United States, or one of its governmental agencies, can be found guilty of extortion.

Here, the apparent employee or agent must be acting under the color of office (with the appearance of authority) when the act of extortion is committing or attempted.

This statute is applicable if extortion if it was actually committed or if extortion was attempted by the employee or agent.

Interference with Commerce by Threats or Violence – 18 U.S.C. §1951

This statute was originally signed into law as a part of the Hobbs Act in 1946 in an effort to stop the pervasive racketeering that was occurring labor unions.

Up until 1976, federal prosecutors had to prove that the extortion claim was a piece of a larger racketeering scheme in order to get a conviction under this statute. In 1976 the Supreme Court of the United States held that proof of a racket was not necessary to get a conviction for extortion under this statute.

Under this statute, the definition of extortion is, specifically, “the obtaining of property from another, with his consent, induced by wrongful use of actual or threatened force, violence, or fear, or under color of official right.”

Legal Elements of Extortion

In a case for extortion under this statute, there are several elements that must be shown in order for there to be a conviction.

These elements are:

  1. If the defendant coaxed or attempted to coax the alleged victim into giving up their property or property rights;

Property, under the Hobbs Act, is not limited to physical or tangible things but has been expanded to include anything considered to be a source or element of wealth.

2. If the defendant exploited or attempted to exploit the alleged victim’s reasonable fear of physical or economic harm to coax the victim’s consent to give up the property in question;

The fear of harm created need not be directly related to the victim’s physical health or economic standpoint at the moment it is exploited. If any harm, physical or economic, could come in the future than it will be considered sufficient.

As an example, if a defendant threatens to release information that would embarrass a victim and cause him to lose business clients in the future, there is sufficient harm present.

Another example is if a defendant, or group of defendants, offers protection to a victim from some unknown future threat in exchange for money.

3. If the defendant’s alleged conduct actually or potentially obstructed, delayed, or affected interstate or foreign commerce in any way; and

Under the Hobbs Act, the conduct in questions effect on the channels or instrumentalities of interstate or foreign commerce need only be minimal. This is because Congress has found that, when all acts are added all together, the act of extortion and its repetition have a substantial effect on commerce.  

Generally, channels or instrumentalities of interstate or foreign commerce means anything that has to do with commerce. This includes, but is not limited to:

  • Modes of transport (busing, trucking, trains, planes, etc.);
  • Roads, train tracks, waterways, and airways;
  • Price fixing;

Proof of an effect on commerce can be shown directly or indirectly. An example of a direct effect would be that the extortion would stop the interstate movement of goods. An example of an indirect effect would be the depletion of a victims assets and this ability to participate in interstate commerce in the future.

4. If the defendant’s actual or threatened use of force, violence, or fear was wrongful.

The Supreme Court of the United States described, in United States v. Enmons, that wrongful is “those instances where the obtaining of the property would itself be ‘wrongful’ because the alleged extortionist has no lawful claim to that property.”

Charges Related to Extortion

Mailing Threatening Communications – 18 U.S.C. §876

Any person who knowingly puts into the mail, or knowingly delivers, with the intent to extort,  any communication that threatens to kidnap any person or threatens to injure the addressee or someone else may be found guilty under this statute.

If found guilty, the defendant could face up to 20 years in prison, a fine (as described below under “penalties”), or both.

Also, any person who places into the mail, or knowingly delivers, with the intent to extort, a communication containing a threat to harm the reputation of the addressee or another or threatens to accuse the addressee or another of a crime may be found guilty under this statute.

If found guilty, the defendant could face up to 2 years in prison, a fine (as discussed below under “penalties”), or both.

If the threats are made to a United States judge or federal law enforcement office then, if found guilty a defendant may face up to 10 years in prison, a fine, or both.

Blackmail – 18 U.S.C.  §873

Any person who, under threat to inform, or as consideration for not informing, demands money or valuables from another.

This is considered a form of extortion.  

If found guilty under this statute, a defendant faces up to 1 year in prison, a fine (discussed below under “penalties”), or both.

Receiving the Proceeds of Extortion – 18 U.S.C.  §880

Any person who knowingly receives, controls, hides, or gets rid of any money or property that was obtained through extortion may be found guilty under this statute.

If found guilty, a defendant faces up to 3 years in prison, a fine (discussed below under “penalties”), or both.  

Other Charges Related to Extortion

Crimes related to extortion include:

  • Fraud
  • Money Laundering
  • Bribery
  • Robbery or other Theft crimes
  • Political Corruption
  • Racketeering/ RICO – Extortion is one of the many acts that make up the components of the more serious offense of racketeering. Therefore, engaging in several acts of extortion as a part of a larger scheme (like organized crime) may lead to more severe criminal charges.

In many cases, extortion can be related to crimes that would harm a person’s reputation like a solicitation or drug possession because these crimes could be used to coerce a victim into giving over their property or property rights.

Investigation and Enforcement

The investigations into and enforcement of federal extortion crimes falls are conducted by several different federal agencies, including:

  • United States Department of Justice (U.S. DOJ);
  • Department of Homeland Security (DHS);
  • Federal Bureau of Investigations (FBI); and
  • United States Postal Service (USPS)

These federal agencies may also, from time to time, work with local and state level law enforcement and investigative agencies when looking into accusations of extortion.

Penalties

Under federal law, extortion is considered a felony. The punishment of which depends heavily on the statute you are being charged under.

“Extortion by Officers or Employees of the United States” (18 U.S.C. §872)

Under “Extortion by Officers or Employees of the United States” (18 U.S.C. §872) there are 2 levels of penalties. If the amount extorted or attempted to be extorted does not exceed $1,000 then you face the possibility of up to 1 year in prison, a fine, or both. If the amount extorted or attempted to be extorted does exceed $1,000 then the penalty possible penalty is up to 3 years in prison, a fine or both.

The fine in question depends on whether the defendant had any pecuniary (relating to or consisting of money) gain, or the alleged victim suffered any pecuniary loss, as a result of the extortion. If either is true then the fine could be up to double what the gross gain or gross loss was.

If there was no monetary loss by the victim or gain by the defendant, then the fine may be no more than $250,000 for an individual and no more than $500,000 for a business or organization.

“Interference with Commerce by Threats or Violence” (18 U.S.C. §1951)

Defendants charged with and found guilty under “Interference with Commerce by Threats or Violence” (18 U.S.C. §1951) face up to 20 years in prison, a fine, or both.

The fine in question depends on whether the defendant had any pecuniary gain, or the alleged victim suffered any pecuniary loss, as a result of the extortion. If either is true then the fine could be up to double what the gross gain or gross loss was.

If there was no monetary loss by the victim or gain by the defendant, then the fine may be no more than $250,000 for an individual and no more than $500,000 for a business or organization.

Additional Consequences

Being convicted of a felony can have long-lasting impacts and broad impacts on your life after conviction.

A felony conviction has several additional consequences outside of the potential jail time, probation, and fines. The possible consequences include:

  • The potential loss of future employment opportunities due to background check requirements
  • Delay in getting or denial of future applications for state licenses
  • Loss of driver’s license
  • Loss of the ability to vote and serve on a jury
  • Loss of the ability to purchase a firearm
  • A prohibition from running for or holding public office
  • Ineligibility to enlist in the armed services
  • Ineligibility for government aid
  • Criminal and civil charges.

In addition to facing criminal charges for extortion, defendants may face the possibility of civil charges which could take the form of injunctions, restraining orders, or restitution (monetary penalties).  

This means that whoever was the victim of your acts of extortion will want their property, or the monetary value of their property returned to them. To do this, they may file civil charges against you for the payment of restitution.

Extortion in the News

The Lindbergh Baby Case

Perhaps the most famous case of extortion is the story of Colonel Charles Lindbergh, his wife Anne and their 20-month-old son, Charles Jr.

In March of 1932 Charles Jr. was kidnapped from the Lindbergh family home. There was a note left on the window sill of the nursery that requested a $50,000 ransom in exchange for the baby.

After an exchange of several ransom notes demanding varying amounts to be exchanged for the living baby $50,000 was given over in exchange for directions to the baby’s location. The baby was not found in the described location.

Instead, in May of 1932, the baby’s lifeless body was found. It was later determined that the baby had been deceased for the entire exchange of ransom letters.

In September of 1934, Bruno Hauptmann was arrested and indicted and charged with extortion and murder in the case of the Lindbergh baby. He was found guilty and sentenced to death in February of 1935.

To read the FBI’s full history of the investigation into the kidnapping, and murder followed by the extortion of the Lindbergh family.

Akron Man Sentenced to Nearly 10 Years in Prison for Extortion

In 2016, a 28-year-old man found guilty of, among other things, one count of violation of the Hobbs Act and one count of interstate communication with intent to extort.

The charges stem from the defendant and another man repeatedly threatening the victim and the victim’s family with death or serious physical harm, for over a year, if he did not introduce the defendant to a source of illegal drugs or give him money.

To view the FBI’s press release in regards to the sentencing.

Establishing a Defense to Extortion

A Benign Comment Taken as a Threat

If a prosecutor is unable to prove a key element of the crime, you cannot be found guilty. A possible to defense to the charge of extortion is that you made a benign, innocent comment to the alleged victim not a threat as necessary under the law. A key element of extortion is a threat to harm the victim physically or emotionally.

As an example, a comment to annoying someone until payment is made would not be a sufficient enough threat in an extortion case.

Insufficient Evidence

In a criminal trial, the prosecution must prove guilt “beyond a reasonable doubt,” meaning that there can be no doubt in the mind of a juror that the defendant is innocent of the charges against them.

A good defense to any criminal charge, including a charge of extortion, is that there is not enough evidence to prove that you, beyond a reasonable doubt, could have committed acts of extortion. A prosecutor cannot win a case, and you cannot be convicted if this standard is not met.  

Frequently Asked Questions

What is the Difference Between Robbery and Extortion?

It is true that the criminal offenses of robbery and extortion are very similar.

The biggest difference is the imminence of the danger or threat posed by the actor. In a robbery, the danger presents or act threatened must create an imminent (that it could happen in that moment) fear in the victim.

An example of this is a masked person, holding a gun, in a bank yelling at the teller to, “Give me the money or I will shoot.”

Whereas, in the case of extortion the threat of danger or harm does not have to be imminent. The threat can be something that could be carried out days, months or even years into the future.

An example of this would be a reporter telling a candidate for public office, “Pay me $100,000 every month, or I will release the photos of you with your mistress.”

Call a Federal White Collar Crime Attorney You Can Trust

Our attorneys are respected federal litigators with knowledge and experience in all federal judicial and investigatory practices and procedures. The attorneys have defended public companies and private individuals and will strive to protect you, your family, and your rights from charges and accusations of extortion.