Territory kept by brigand or racketeer (7)
I believe the answer is:
andorra
'territory' is the definition.
(Andorra is an example)
'kept by brigand or racketeer' is the wordplay.
'kept by' says the answer is hidden in the clue.
'ANDORRA' is hidden in the letters of 'brigand or racketeer'.
(Other definitions for andorra that I've seen before include "Tax haven" , "Small European country" , "Small republic between Spain and France" , "Autonomous principality in the Pyrenees" , "Land up, perhaps" .)