"I wonder if their competition can sue them under RICO laws."
Sue them for what?
If Burtech has photocopies of two forms of ID on file, for each employee, they have complied with the law.
That is the way our elected representatives left this topic, when last visited in 1986, under Reagan.
Between then and this recent increased activity, authorities have done next to nothing regarding enforcement.
From 9/11/2001 to present, it appears most enforcement resources have been deployed checking workforces involving transportation, federal installations (military, other), etc.
If current immigration reform efforts leave gaping holes like the present system, expect little to change.
Unless the employer is FORCED to verify the SSN, for instance, he just makes photocopies for the file, and thereby complies with law.