Federal Defenders of New York Second Circuit Blog


Sunday, August 14th, 2011

What’s In A “Same”?

United States v. Feldman, No. 10-2275-CR (2d Cir. August 1, 2011) (McLaughlin, Pooler, Sack, CJJ)

Defendant Feldman sought appellate review of four sentencing enhancements. The government argued that the court should not review them because the district court had indicated that it would impose “the same sentence” even without some of the errors. The circuit rejected this argument, reviewed the claims, found no error, and affirmed.

Background

The facts of the case are particularly unpleasant. Feldman was a psychiatrist who, in the 1990’s, operated mental health facilities in Florida. These facilities proved to be Medicare/Medicaid fraud mills and, just as Feldman was negotiating a plea agreement, he fled to the Philippines.

There, he set up an even more egregious scheme. Through a website called www.liver4you.org, he fraudulently offered kidney and liver transplants in the Philippines. Desperate patients and their families wired him tens of thousands of dollars and traveled to …


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Categories: harmless error, Uncategorized

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Saturday, August 13th, 2011

Insurance [Snow] Job

United States v. Ferguson, No. 08-6211-cr (2d Cir. August 1, 2011) (Jacobs, Kearse, Straub, CJJ)

For 3Q of 2000, the insurer AIG’s stock price dropped significantly, even though its earnings were satisfactory. The company concluded that the cause was a $59 million decline in its loss reserves – a measure of the company’s risk exposure.

In the true spirit of 21st Century American business ingenuity – the same, it seems, that caused the company to all but collapse entirely, and require a $90 billion government bailout, in 2008 – AIG, or at least some of its principals, decided that the best course would be – rather than actually increasing its loss reserves and satisfying its stockholders – to engage in an accounting fraud. The company accordingly entered into a sham reinsurance contract with General Re. The deal was structured to look – to AIG’s investors and auditors – like it …


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Categories: stipulations, Uncategorized, willful causation

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Point of Controversy

United States v. Lee, No. 10-493-cr (2d Cir. July 26, 2011) (Parker, Chin, CJJ, Korman, DJ)

For the many years, the third acceptance of responsibility point – although to be completely faithful to guideline lingo, it is a “level,” not a “point,” since “points” are for criminal history – was something of a given. As long as the defendant either confessed early on or pled guilty timely, the reduction was granted. Effective November 1, 2003, however, the Commission amended the language of this adjustment, guideline section 3E1.1(b), to require a government motion for the third point. The amended section indicates that such a motion should state “that the defendant has assisted authorities in the investigation or prosecution of his own misconduct by timely notifying authorities of his intention to enter a plea of guilty, thereby permitting the government to avoid preparing for trial and permitting the government and the court …


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Categories: acceptance of responsibility, Uncategorized

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Sunday, August 7th, 2011

Trace Amounts

United States v. Gonzalez, 10-2202-cr (2d Cir. July 22, 2011) (Kearse, Miner, Chin, CJJ)

Former state senator Efrain Gonzalez, Jr., pled guilty to various fraud-related charges in connection with two sham charities that he set up while in office. This opinion contains an interesting discussion of the concept of “tracing” criminal proceeds. In it, the court concludes that tracing is not required to determine the number of victims under § 2B1.1, but is required, to some degree at least, to calculate the actual loss for restitution purposes.

The case arose from the actions of two supposed charities, West Bronx Neighborhood Association (WBNA) and United Latin American Foundation (ULAF). Each received both public money and private donations, and each – although supposed to be engaged in charitable activities – instead spent most of its money enriching Gonzalez by paying his personal bills – and those of some of his cronies – …


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Categories: restitution, Uncategorized, victim enhancement

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Saturday, August 6th, 2011

PC World

United States v. Vilar, No. 10-521-cr (2d Cir. July 19, 2011) (Jacobs, CJ, Rakoff, DJ)

Defendant Vilar and his co-defendant Tanaka were convicted of fraud-related charges after a jury trial. Both filed timely notices of appeal and the appeals were consolidated. Vilar, represented by new counsel, decided to develop a claim that his trial counsel was ineffective, and make a motion under 18 U.S.C. § 2255. This per curiam resolves his motion to dismiss the appeal without prejudice, with leave to reinstate it after completing the 2255. The circuit denied the motion, but granted Vilar a six-month extension of time to perfect his appeal.

The court noted that Vilar’s request was somewhat unusual. Usually, a defendant first pursues a direct appeal then, if he wishes, a 2255 motion. Vilar’s application would allow a collateral attack first and a direct appeal second, a route that “raises concerns both jurisdictional and practical.”…

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Summary Summary

At last – more summary orders of interest.

In United States v. White, No. 10-2631-cr (2d Cir. July 18, 2011) (summary order), the circuit vacated the district court’s decision denying resentencing under 18 U.S.C. § 3582(c)(2).

The case has a long procedural history. White originally rejected a plea offer that included one § 924(c) count while dropping another, but his attorney never told him that the second one carried a mandatory twenty-five year consecutive sentence. White ended up convicted after trial and facing a 570 to 622 month guideline range. On his habeas corpus petition, the district court concluded that his attorney had been ineffective, and fashioned an equitable remedy under which the court sentenced him under the final offer White had rejected – one count of crack trafficking and one § 924(c) count. This produced a 168-month sentence: 108 (a guideline sentence) on the crack count, plus 60 on …

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To The Manner Porn

United States v. Jennings, No. 10-1642-cr (2d Cir. July 22, 2011) (Kearse, Miner, Chin, CJJ)

For defendant Russell Jennings, looking at child pornography was a hard habit to break. He served a twenty-one-month possession sentence in a 2006 case then, in 2009, while on supervised release, did it again. For the 2009 case, he received a long prison sentence, plus a concurrent supervised release violation sentence on the 2006 case, and a lifetime term of supervised release.

His appellate claims related largely to the way the evidence against him in the 2009 case was developed. He argued that his probation officer was improperly involved in the procurement of the search warrant and criminal complaint, and that incriminating statements he made to the officer were obtained in violation of the Fifth Amendment. The circuit affirmed.

For the first argument, Jennings asserted that his probation officer lacked the statutory and constitutional authority …


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Categories: Fifth Amendment, supervised release, Uncategorized

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Sunday, July 10th, 2011

Summers-Time Blues

United States v. Bailey, No. 07-3819-cr (2d Cir. July 6, 2011) (Cabranes, Pooler, Raggi, CJJ)

In Michigan v Summers, 452 U.S. 602 (1981), the Supreme Court held that the Fourth Amendment permitted police officers to detain the occupant of a premises during the execution of a search warrant, without need for individualized suspicion of the person detained. Here, the circuit, joining an issue in which the courts are divided, held that Summers also permits detaining the occupants after they have left the premises.

Background

In July of 2005, Suffolk County detectives obtained a search warrant for a basement apartment in Wyandanch, based on an informant’s tip that there was a gun there. When they arrived at the location to execute the warrant, they saw Bailey and an associate exiting the apartment. They drove off and the officers followed; about a mile from the apartment, the officers stopped Bailey’s car.

The …


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Categories: detention, Fourth Amendment, search warrant, Uncategorized

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Thursday, June 30th, 2011

Summary Summary

It has been a while, but here are three more summary orders of interest.

In United States v. Mancuso, No. 10-2420-cr (2d Cir. June 30, 2011), the court identified several sentencing errors in connection with a prosecution for environmental crimes. First, the district court erred in applying the multi-object conspiracy guideline, U.S.S.G. § 1B1.2(d). When a defendant is convicted of multi-object conspiracy, this section requires the court to sentence as if the defendant had been convicted on a “separate count of conspiracy for each offense that the defendant conspired to commit.” The sentencing court is to sit as the trier of fact and determine, using the reasonable doubt standard, whether it “would convict the defendant of conspiring to commit the particular objects” Here, the district court did not make any specific findings under this section, so the circuit remanded the case for further findings. Second, the district court committed plain …

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Sunday, June 26th, 2011

PC World

United Sates v. Gravel, No. 10-1045-cr (2d Cir. June 20, 2011) (Pooler, Wesley, Chin, CJJ) (per curiam)

The court’s latest per curiam looks at the firearm guideline’s six-level enhancement for “machineguns.” See U.S.S.G. § 2K2.1(a)(5).

The defendant’s gun was a Colt machinegun, initially designed to fire automatically, but had been retrofitted to fire only semi-automatically. Defendant argued that since the definition uses the present tense – a machinegun is “any weapon which shoots, is designed to shoot, or can be readily restored to shoot, automatically more than one shot” – his now semi-automatic weapon should not receive the enhancement. Looking to the dictionary definition of “designed,” the court held that, when applied to a “manufactured object such as a firearm,” the word referred to what the gun was “conceived of and designed for and not to any modifications made afterwards.”

Here, since the gun was made for use as an …

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Circuit Says SDNY Jury Selection Is “Trivial”

United States v. Gupta, No. 09-4738-cr (2d Cir. June 17, 2011) (Walker, Parker, Hall, CJJ)

Anyone who has ever selected a jury in the Southern District knows that the typical voir dire there is a perfunctory affair indeed: a few questions about potential bias, a few about household composition, then you exercise your challenges and open after lunch. Perhaps that’s why the panel majority here held that the exclusion of the entire public for an entire SDNY voir dire was covered by the circuit’s “triviality exception” to the Sixth Amendment right to a public trial.

Before jury selection began at Gupta’s immigration fraud trial, the district court closed the courtroom to the public, preventing – at a minimum – Gupta’s girlfriend and brother from attending. The court acted without notice to the parties and, when later called upon to do so, gave two reasons for the closure: the need to …


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