That suit could be conspiracy, it could be RICO applied rightly or wrongly or it could be some other broad and vague statute out there.
Example: Zenefits
Edit: And vulnerable doesn't mean doomed. Plenty of folks continue the approach of skirting the law until they don't have to anymore (Youtube etc). But skirting the law forever it is not a good business plan.
Is it still not RICO?
Edit: Im pretty sure they could get money laundering related charges to stick well enough to charge (and settle or bring to trial, rather than dismissed), based on banking with money they know was earned in violation of various state and city laws. Money laundering law is bad (and so is RICO), and often can be applied in counter-intuitive ways by aggressive DAs.
With all due respect, unless you are a practicing attorney, you are not qualified to make statements like this.
I have tried to be polite, but you are either incredibly ignorant or you are a troll. There is simply no way that it is acceptable to accuse any company of money laundering unless you have a serious amount of evidence.
I am disengaging from this 'conversation' as it is completely useless.
Companies undervalue low-probability, high-risk events like that.