Anthony v. Baker

767 F.2d 657
Court of Appeals for the Tenth Circuit·Decided June 17, 1985·No. Nos. 83-2678, 84-1893·Published·Cited by 60 cases

Opinion

BARRETT, Circuit Judge.

In these consolidated appeals we will review three orders of the district court in which the court dismissed three defendants, granted a directed verdict on behalf of two defendants, and awarded defendants attorneys’ fees under 42 U.S.C. § 1988.

During September, 1980, Robert Carl Anthony (Anthony) was employed as the general manager of the Springs Motor Inn (Inn) in Colorado Springs, Colorado. As manager, Anthony resided at the Inn with his wife and daughter. On September 16, 1980, a serious fire occurred at the Inn, resulting in substantial damage to the Inn and its contents.

On the morning of the fire, Dan Baker (Baker), a detective in the El Paso County Sheriff’s Department, conducted a fire scene investigation. During his investigation, Baker discovered that numerous fires had been set in and about the Inn. Baker also determined, based on the fire scene, that the fire was a “remodeling fire,” i.e., a fire purposefully set for the purpose of obtaining money through insurance fraud.

Thereafter, Baker, with the assistance of Carl Newton, a Bureau of Alcohol, Tobacco and Firearms agent, conducted an extensive investigation into the fire. During the investigation, Baker and Newton interviewed numerous people, including the employees of the Inn. The employees of the Inn submitted to polygraph examinations. All the employees passed their polygraph examinations except Anthony. Anthony did pass subsequent examinations.

As the investigation proceeded, Baker received information indicating that false insurance claims were being submitted for the fire. At that juncture, Baker’s investigation shifted from an arson investigation to an investigation for theft based on insurance fraud. Baker’s investigation then concentrated on Anthony’s potential involvement in the fire and related theft based on insurance fraud.

On April 27, 1981, Anthony was indicted by an El Paso County Grand Jury, for which Baker was appointed special investigator, for felony theft based on insurance fraud, i.e., unlawfully and feloniously taking a thing of value, worth $10,000 or more, from the two insurance companies which had paid on the claims for the fire. The indictment was returned after the Grand Jury, during the course of six sessions, heard the testimony of over twenty witnesses, including Anthony and Baker. The indictment was filed with Judge David Parrish of the El Paso County District Court, who, after concluding that the Grand Jury had probable cause to indict Anthony, nevertheless dismissed the indictment upon determining “that not all of the nine jurors who had voted for the indictment had been present at all the sessions where evidence was presented.” (R., Vol. VIII at 14.)

Immediately thereafter, the district attorney’s office for the Fourth Judicial District of Colorado filed a direct information charging Anthony with felony theft based on insurance fraud. Following a preliminary hearing, Judge Parrish found probable cause, and bound Anthony over for trial. After trial to the court, Anthony was found not guilty. At no time did the insurance companies which had paid the fire [660] claims for the Inn file formal written complaints for fraud. (R., Vol. IV at 250.) Nor did Baker review the insurance policies to determine the coverage afforded the owners of the Inn.

Anthony subsequently filed this action under 42 U.S.C. § 1983 for malicious prosecution and deprivation of his constitutional rights. The named defendants were Baker, Newton, Harold L. Davis, the sheriff of El Paso County (Sheriff), the County of El Paso (County) and the County Commissioners of El Paso County (Commissioners). Within his complaint Anthony alleged, inter alia, that: Baker and Newton conspired to deprive him of his constitutional rights by making him the target of their investigation, giving false information to the Grand Jury and covering up exculpatory information; and that the Sheriff, County and Commissioners were negligent in their supervision of Baker and failed to prevent the conspiracy between Baker and Newton which resulted in the deprivation of his constitutional rights.

Prior to trial the defendants moved to dismiss, or, in the alternative, for summary judgment. The district court denied Baker’s and Newton’s motions, but granted the motions of the Sheriff, County, and Commissioners. In so doing, the court found: Anthony’s complaint “is based on the assertion that his being subject to an allegedly wrongful and malicious investigation and prosecution was so abusive to amount to a violation of due process” (R., Vol. I at 94); since Anthony has alleged that his prosecution was conducted with the intent to deprive him of a constitutionally protected right he must be allowed to present his evidence on this issue at trial, id.; Anthony has alleged sufficient facts which, if proved, would rebut the presumption that the prosecutors exercised independent judgment in filing the complaint against him; Anthony’s complaint cannot be dismissed under the witness immunity holding of Briscoe v. LaHue, 460 U.S. 325, 103 S.Ct. 1108, 75 L.Ed.2d 96 (1983)1 \ because Anthony has alleged other facts which fall outside the scope of the immunity defined therein; and that Anthony’s action against the Sheriff, County, and Commissioners must be dismissed because of his failure to allege any facts supportive of his allegations of negligent failure to supervise Baker.

In dismissing the Sheriff, County, and Commissioners, the district court further observed that these defendants had presented affidavits and deposition excerpts supportive of their position that there was no failure to supervise and that Anthony had failed to come forth with counter-affidavits. The district court did exercise its discretion in retaining Anthony’s pendent state claim of outrageous conduct against Baker and Newton, relying on its earlier determination that Anthony had stated a § 1983 claim against Baker and Newton. As so structured, the case proceeded to trial.

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Anthony v. Baker, 767 F.2d 657 (10th Cir. 1985).

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