S. 30 AND RELATED BILLS WEDNESDAY, MAY 20, 1970 HOUSE OF REPRESENTATIVES, SUBCOMMITTEE No. 5 OF THE The subcommittee met at 10 a.m., pursuant to notice, in room 2141, Rayburn House Office Building, Hon. Emanuel Celler (chairman of the subcommittee) presiding. Present: Representatives Čeller, Donohue, McCulloch, McClory, Poff, and Hutchinson. Staff members present: Benjamin L. Zelenko, general counsel, and Franklin G. Polk, associate counsel. The CHAIRMAN. The committee will come to order. This morning Subcommittee No. 5 begins several days of hearings to examine measures intended to strengthen the Federal effort to eliminate organized crime. Principal among these measures is S. 30. the proposed Organized Crime Control Act of 1969 offered by the distinguished Senator from Arkansas present this morning, who has through the most painstaking way devoted great time toward fashioning this bill. The subcommittee will also consider companion omnibus measures introduced in the House, as well as other proposals designed to revise procedural aspects of the criminal law and to establish new Federal substantive crimes. Included among these measures are several bills introduced by members of this subcommittee. S. 30 will be placed in the record at this point, and the other related measures will be placed in the appendix to these hearings. (S. 30 follows:) (1) Relating to the control of organized crime in the United States. 1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 3 That this Act may be cited as the "Organized Crime Control 4 Act of 1969." 5 6 STATEMENT OF FINDINGS AND PURPOSE The Congress finds that (1) organized crime in the 7 United States is a highly sophisticated, diversified, and wide8 spread activity that annually drains billions of dollars from 9 America's economy by unlawful conduct and the illegal use. 10 of force, fraud, and corruption; (2) organized crime derives 11 a major portion of its power through money obtained from I (2) 2 1 such illegal endeavors as syndicated gambling, loan sharking, 2 the theft and fencing of property, the importation and dis3 tribution of narcotics and other dangerous drugs, and other 4 forms of social exploitation; (3) this money and power are 5 increasingly used to infiltrate and corrupt legitimate business 6 and labor unions and to subvert and corrupt our democratic 7 processes; (4) organized crime activities in the United States. 8 weaken the stability of the Nation's economic system, harm 9 innocent investors and competing organizations, interfere 10 with free competition, seriously burden interstate and foreign commerce, threaten the domestic security, and undermine the 12 general welfare of the Nation and its citizens; and (5) or13 ganized crime continues to grow because of defects in the 14 evidence-gathering process of the law inhibiting the develop15 ment of the legally admissible evidence necessary to bring 16 criminal and other sanctions or remedies to bear on the 17 unlawful activities of those engaged in organized crime and 18 because the sanctions and remedies available to the Govern19 ment are unnecessarily limited in scope and impact. 20 222 It is the purpose of this Act to seek the eradication of 21 organized crime in the United States by strengthening the legal tools in the evidence-gathering process, by establishing 23 new penal prohibitions, and by providing enhanced sanctions 24 and new remedies to deal with the unlawful activities of those 25 engaged in organized crime. 3 TITLE I-SPECIAL GRAND JURY 1 2 SEC. 101. (a) Title 18, United States Code, is 7 14 "(a) In addition to such other grand juries as shall be 8 called from time to time, each district court which is located 9 in a judicial district containing more than four million 10 inhabitants or in which the Attorney General, the Deputy 11 Attorney General or any designated Assistant Attorney 12 General, certifies in writing to the chief judge of the district 13 that in his judgment a special grand jury is necessary because of criminal activity in the district shall order a special 15 grand jury to be summoned at least once in each period 16 of eighteen months unless another special grand jury is then 17 serving. The grand jury shall serve for a term of eighteen 18 months unless an order for its discharge is entered earlier 19 by the court upon a determination of the grand jury by 20 majority vote that its business has been completed. If, at the 21 end of such term or any extension thereof, a grand jury 22 determines by majority vote that its business has not been |