Commonwealth v. Cook

687 N.E.2d 386, 426 Mass. 174, 1997 Mass. LEXIS 400
CourtMassachusetts Supreme Judicial Court
DecidedNovember 24, 1997
StatusPublished
Cited by12 cases

This text of 687 N.E.2d 386 (Commonwealth v. Cook) is published on Counsel Stack Legal Research, covering Massachusetts Supreme Judicial Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Commonwealth v. Cook, 687 N.E.2d 386, 426 Mass. 174, 1997 Mass. LEXIS 400 (Mass. 1997).

Opinion

Ireland, J.

We granted the Commonwealth’s application for direct appellate review of a judgment entered in the Superior Court in Norfolk County, dismissing two indictments against the defendant, Peter A. Cook, alleging fourteen counts of violating the Commonwealth’s campaign finance laws, G. L. c. 55, §§ 7, 10. Because we conclude that the defendant was deprived of his rights under G. L. c. 55, § 3, to notice and a hearing within the prescribed time period, we affirm.

[175]*1751. Background. General Laws c. 55 governs generally the disclosure and regulation of campaign expenditures and contributions. Of particular relevance here is G. L. c. 55, § 3, which creates the office of director of the Massachusetts office of campaign and political finance (OCPF) and invests the director with certain administrative, investigative, and rule-making powers. Section 3, sixth par., states that the “director shall make available to investigative, accounting and law enforcement agencies of the commonwealth all information necessary or advisable to fulfil their duties, with respect to this chapter.” In addition to this broad injunction, the statute provides specific limitations for referring information to the Attorney General. The eleventh paragraph of § 3 requires that:

“The director shall inform any person . . . under investigation by said director ... of his intention to present to the attorney general evidence of any alleged violation of this chapter. Within ten days of receipt of said notice said alleged violator may request a hearing before the director for the purpose of presenting evidence to the contrary. Said director shall not present evidence of any such alleged violation to the attorney general until after said hearing. Evidence of any such violation of this chapter which has come to his attention shall be presented by the director to the attorney general only after the relevant election involved, but within two years after said election.”

2. Facts. Pursuant to its statutory authority, OCPF initiated an audit in 1991 of all candidates who had sought election to Statewide or constitutional office in 1990. As part of this audit, OCPF used information that two political campaign committees provided voluntarily to create a data base of contributions made to those committees in the form of money orders.1

At some time in early 1992, representatives of OCPF met with the United States Attorney (U.S. Attorney) to discuss the Federal mail fraud statute. At that meeting, the U.S. Attorney asked OCPF whether it had any information that might indicate violations of Federal banking law. The U.S. Attorney specifically identified one area in which such violations potentially [176]*176could occur, namely consecutively numbered money orders totaling more than $10,000. Shortly thereafter, OCPF furnished the information contained in the data base to the Commonwealth’s Attorney General and informed him that the U.S. Attorney had asked for the same information. In the spring of 1992, OCPF gave the information contained in the data base to the U.S. Attorney, along with copies of the money orders themselves.

The information contained in the data base revealed that the two committees had each received donations in the form of sequentially numbered money orders purchased on the same day from the Cohasset Savings Bank. As a group, the money orders totaled $15,000.2 Based on this information, the U.S. Attorney began an investigation and empaneled a Federal grand jury, but declined to indict the defendant. In 1994, the U.S. Attorney referred the matter back to the Commonwealth’s Attorney General, who initiated an investigation of his own. At no time did OCPF notify the defendant or conduct a hearing.

On December 21, 1994, a Norfolk County grand jury returned two indictments against the defendant. The first indictment contained twelve counts of making campaign contributions under a false name, in violation of G. L. c. 55, § 10. The second indictment contained two counts of making campaign contributions for the benefit of any candidate in excess of $1,000 within a single calendar year, in violation of G. L. c. 55, § 7.

The defendant filed two motions to dismiss the indictments. The first motion contended that the Federal District Court had improperly released Federal grand jury materials to the State grand jury that indicted him. The second motion contended that the Commonwealth had violated the notice, hearing, and limitation provisions of G. L. c. 55, § 3. A judge in the Superior Court allowed the second motion and thus took no action on the first. The Commonwealth’s motion for reconsideration was denied. This appeal followed.

3. Discussion. This appeal presents questions of first impression concerning the interpretation of the powers and authority of OCPF under G. L. c. 55, § 3. In particular, the Com[177]*177monwealth raises four issues on appeal. First, the Commonwealth argues that OCPF was not required to give notice to the defendant at the time it furnished its data base to the Attorney General and the U.S. Attorney because (1) the defendant was not under investigation within the terms of the statute and (2) no alleged violation had been identified, as also required by the statute. The Commonwealth thus concludes that the Superior Court judge erred as matter of law in holding that OCPF had violated the notice and hearing requirements of § 3, eleventh par.

The Commonwealth’s argument here is without merit. The Commonwealth is correct in stating that the Superior Court judge’s initial memorandum of decision and order did not explicitly conclude that the defendant was under investigation. However, on reconsideration, the judge stated in her second memorandum of decision and order that she was “unpersuaded that there was no OCPF ‘investigation’ of [the defendant].” Thus, the judge clearly concluded that the defendant was under investigation.

The Commonwealth relies on the judge’s subsequent statement that “OCPF had sufficient information to target [the defendant] as a possible violator of the election laws” to conclude that she viewed this latter statement as the proper legal standard for determining if OCPF had violated G. L. c. 55, § 3. But when the judge’s two statements are read together, it is clear that the second statement was intended simply to elucidate the conclusion that the defendant was under investigation, not to create a legal standard. Accordingly, the judge did not err as matter of law.

The Commonwealth argues further that the judge also erred in concluding that OCPF had sufficient information even to trigger an investigation of the defendant. The Commonwealth argues that at the time OCPF referred information to the Attorney General and to the U.S. Attorney, it possessed nothing more than a data base containing general information. In effect, this is an argument that the judge committed clear- error in her findings of fact. This argument is also without merit. OCPF contacted the U.S. Attorney to discuss possible violations of Federal mail fraud and banking laws. The U.S. Attorney identified one possible area of violation, namely sequentially numbered money orders totaling in excess of $10,000. OCPF in this case had concluded that it had one such collection of money [178]*178orders falling under this description. OCPF had merely to take one additional step to learn if there was a common purchaser and to learn the purchaser’s identity.

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Bluebook (online)
687 N.E.2d 386, 426 Mass. 174, 1997 Mass. LEXIS 400, Counsel Stack Legal Research, https://law.counselstack.com/opinion/commonwealth-v-cook-mass-1997.