Title 21 — Food and Drugs
Part D · Chapter 13 — Drug Abuse Prevention and Control
§ 854. Investment of illicit drug profits
Statutory text
Prohibition
It shall be unlawful for any person who has received any income derived, directly or indirectly, from a violation of this subchapter or subchapter II punishable by imprisonment for more than one year in which such person has participated as a principal within the meaning of section 2 of title 18, to use or invest, directly or indirectly, any part of such income, or the proceeds of such income, in acquisition of any interest in, or the establishment or operation of, any enterprise which is engaged in, or the activities of which affect interstate or foreign commerce. A purchase of securities on the open market for purposes of investment, and without the intention of controlling or participating in the control of the issuer, or of assisting another to do so, shall not be unlawful under this section if the securities of the issuer held by the purchaser, the members of his immediate family, and his or their accomplices in any violation of this subchapter or subchapter II after such purchase do not amount in the aggregate to 1 per centum of the outstanding securities of any one class, and do not confer, either in law or in fact, the power to elect one or more directors of the issuer.
Penalty
Whoever violates this section shall be fined not more than $50,000 or imprisoned not more than ten years, or both.
“Enterprise” defined
As used in this section, the term “enterprise” includes any individual, partnership, corporation, association, or other legal entity, and any union or group of individuals associated in fact although not a legal entity.
Construction
The provisions of this section shall be liberally construed to effectuate its remedial purposes.
Legislative history
Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.
Comprehensive Drug Abuse Prevention and Control Act of 1970
Pub. L. 91–513 title II § 414 · 84 Stat. 1236
Enacted · 21 U.S.C. § 854
(Pub. L. 91–513, title II, § 414, as added Pub. L. 98–473, title II, § 303, Oct. 12, 1984, 98 Stat. 2049.)
Source evidence
Code source credit
(Pub. L. 91–513, title II, § 414, as added Pub. L. 98–473, title II, § 303, Oct. 12, 1984, 98 Stat. 2049.)
0 of 1 references resolved to an enrolled provision · 1 partial
Credits
(Pub. L. 91–513, title II, § 414, as added Pub. L. 98–473, title II, § 303, , 98 Stat. 2049.)