Bruce Bereano v. United States

706 F.3d 568, 2013 WL 474344, 2013 U.S. App. LEXIS 2732
CourtCourt of Appeals for the Fourth Circuit
DecidedFebruary 8, 2013
Docket12-6417
StatusPublished
Cited by43 cases

This text of 706 F.3d 568 (Bruce Bereano v. United States) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bruce Bereano v. United States, 706 F.3d 568, 2013 WL 474344, 2013 U.S. App. LEXIS 2732 (4th Cir. 2013).

Opinion

Affirmed by published opinion. Judge KING wrote the opinion, in which Judge MOTZ and Judge DIAZ joined.

OPINION

KING, Circuit Judge:

Bruce C. Bereano appeals from the district court’s denial of his petition for a writ of coram nobis. The petition, filed pursuant to the All Writs Act, 28 U.S.C. § 1651(a), alleged that the Supreme Court’s decision in Skilling v. United States, — U.S. -, 130 S.Ct. 2896, 177 L.Ed.2d 619 (2010), requires vacatur of Bereano’s 1994 mail fraud convictions in the District of Maryland. Pursuant to the Fifth Amendment’s Due Process Clause, the Skilling decision limited application of the statutory term “intangible right of honest services,” found in 18 U.S.C. § 1346, solely to those mail fraud prosecutions involving bribery or kickbacks. See 130 S.Ct. at 2931.

Bereano’s coram nobis petition was denied on February 28, 2012, when the district court concluded that no relief could be granted even though Bereano’s honest services fraud scheme did not involve bribery or kickbacks. See Bereano v. United States, No. 1:11-cv-00961, 2012 WL 683545 (D.Md. Feb. 28, 2012) (the “Opinion”). 1 That was so, the court reasoned, because Bereano had also executed a fraud scheme involving money and property, implicating the pecuniary fraud theory of mail fraud, which was not affected by the Skilling decision. See United States v. Black, 625 F.3d 386, 387 (7th Cir.2010) (deeming pecuniary fraud theory of mail fraud to be unaffected by Supreme Court’s decision in Skilling). Although the Gov *570 ernment has conceded the existence of a Skilling error, the court satisfied itself that the error, though constitutional in nature, is harmless beyond a reasonable doubt. As explained below, we agree with the district court and affirm.

I.

A.

On May 26, 1994, the grand jury in the District of Maryland returned an indictment against Bereano, then a Maryland lawyer and lobbyist, charging him with eight counts of mail fraud, in violation of 18 U.S.C. §§ 1341 and 1346. The scheme underlying the charges was predicated on two separate theories of mail fraud, one derived from § 1341 and the other from § 1346. 2 More specifically, Paragraph 7 of Count One (in the portion of the indictment captioned “The Scheme and Artifice to Defraud”) alleged that Bereano had devised a scheme and artifice to do the following:

(a) defraud his lobbying clients of money and property by means of false and fraudulent pretenses, representations and promises, by submitting to his lobbying clients bills which included false statements of expenses incurred [the “pecuniary fraud theory”]; and
(b) defraud his lobbying clients of their right to the loyal, faithful, honest, and unbiased service and performance of the duties of the defendant in his capacity as agent of said lobbying clients, free from willful omission, deceit, dishonesty, misconduct, fraud, self-dealing and conflict of interest [the “honest services fraud theory”].

J.A. 20. 3

Paragraphs 8 through 18 of Count One (the balance of that portion of the indictment captioned “The Scheme and Artifice to Defraud”) further described the scheme in some detail. Therein, the grand jury alleged that, during the relevant period, Bereano requested that employees of his Annapolis law firm, Bereano & Resnick, make contributions to various political candidates. Those contributions were reimbursed through law firm checks, often designated with false notations to conceal their true purposes. In addition, Bereano caused firm checks to be issued to certain of the firm’s employees, ostensibly for office expenses. Those checks were then cashed and the proceeds delivered to Bereano. Bereano distributed such proceeds to various members of his family, who used the money for contributions to his political action committee (the “Bereano PAC”). Finally, Bereano falsely billed his firm’s lobbying clients for such expense items as “legislative entertainment,” thereby recovering the political contributions into the firm’s coffers by disguising their true nature.

The scheme and artifice to defraud, described as aforesaid in Count One, was realleged by the grand jury in each of Counts Two through Eight. Thus, all eight counts relied on the same fraud scheme, and the charges were identical in all respects save one. That is, the final paragraph of each count, commonly char *571 acterized as the “charging paragraph,” identified a specific mailing that was used to execute and attempt to execute the fraud scheme. 4 Specifically, in September and October of 1990, four bills, ostensibly including charges for the law firm’s expenses, were submitted to four of the firm’s lobbying clients. The four clients allegedly responded by mailing checks back to the firm in payment of those bills. Bereano was charged with two mail fraud offenses relating to each of the four clients, one for the fraudulent bill mailed to the client and another for the client’s check mailed back to the firm in payment of the bill. More particularly,

• Counts One and Two alleged that, for the purpose of executing and attempting to execute the scheme and artifice to defraud, a law firm bill was caused to be delivered by mail to, and a check thereafter received by the firm from, a client called Phillips Publishing;
• Counts Three and Four alleged that, for the purpose of executing and attempting to execute the scheme and artifice to defraud, a law firm bill was caused to be delivered by mail to, and a check thereafter received by the firm from, a client called Dental Benefit Providers;
• Counts Five and Six alleged that, for the purpose of executing and attempting to execute the scheme and artifice to defraud, a law firm bill was caused to be delivered by mail to, and a check thereafter received by the firm from, a client called Medical Mutual Liability Insurance Society of Maryland (“Medical Mutual”); and
• Counts Seven and Eight alleged that, for the purpose of executing and attempting to execute the scheme and artifice to defraud, a law firm bill was caused to be delivered by mail to, and a check thereafter received by the firm from, a client called Maryland Saltwater Sportsfisherman’s Association (“MSSA”).

During pretrial proceedings in the district court, Bereano sought dismissal of the indictment, contending, inter alia, that the “intangible right of honest services” provision of 18 U.S.C.

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Bluebook (online)
706 F.3d 568, 2013 WL 474344, 2013 U.S. App. LEXIS 2732, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bruce-bereano-v-united-states-ca4-2013.