Milan v. United States

57 F. Supp. 3d 571, 2014 U.S. Dist. LEXIS 152164, 2014 WL 5454394
CourtDistrict Court, E.D. Virginia
DecidedOctober 24, 2014
DocketCriminal No. 1:09cr228; Civil Action No. 1:13cv610
StatusPublished
Cited by1 cases

This text of 57 F. Supp. 3d 571 (Milan v. United States) is published on Counsel Stack Legal Research, covering District Court, E.D. Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Milan v. United States, 57 F. Supp. 3d 571, 2014 U.S. Dist. LEXIS 152164, 2014 WL 5454394 (E.D. Va. 2014).

Opinion

MEMORANDUM OPINION

T.S. ELLIS, III, District Judge.

Petitioner Michael Milan, a federal inmate convicted of conspiracy to commit mail and wire fraud, has filed, by counsel,1 a motion to vacate, set aside or correct his sentence, pursuant to 28 U.S.C. § 2255. Petitioner’s motion is grounded chiefly on alleged errors he contends were made in his sentencing guidelines calculations; he also raises related claims of ineffective assistance of counsel. As both parties have fully briefed the issues presented and neither oral argument nor an evidentiary hearing would aid the decisional process, petitioner’s motion is ripe for disposition.2 [575]*575And, for the reasons that follow, petitioner’s motion must be denied in all respects.

I.

A brief summary of the factual and procedural history of the case places petitioner’s motion in context. Thus, the record reflects that from August 2006 through August 2008, petitioner participated with others in a conspiracy to defraud financial institutions and mortgage lenders through the use of the United States mail system and interstate electronic communications. In essence, petitioner and several co-conspirators provided false and misleading information to various mortgage lenders in order to obtain loan proceeds fraudulently, and/or to collect fees associated with the processing of the fraudulent loan applications. The fraudulent mortgage loans involved properties in Maryland, Virginia, and Florida, and multiple financial institutions were victims of the fraudulent scheme.

On November 30, 2009, petitioner pled guilty to Count One of a twelve-count Superseding Indictment charging him with conspiracy to commit mail and wire fraud, in violation of 18 U.S.C. § 1349.3 As part of the written Plea Agreement, petitioner and the government jointly agreed to recommend to the Court at sentencing that certain guidelines provisions applied to this case, pursuant to Rule 11(c)(1)(B), Fed.R.Crim.P. Specifically, the parties agreed, inter alia, (i) that petitioner’s base offense level should be 7, pursuant to U.S.S.G. § 2B1.1, (ii) that 18 points should be added pursuant to U.S.S.G. § 2Bl.l(b)(l)(J) because the amount of actual loss reasonably foreseeable to petitioner was greater than $2,500,000 but less than $7,000,000, (iii) that 2 points should be added pursuant to U.S.S.G. § 3Bl.l(ej because petitioner was a manager and/or supervisor of criminal activity, and (iv) that 2 points should be added pursuant to U.S.S.G. § 3C1.1 for obstruction of justice.4 See Plea Agreement (Doc. 126),5 at ¶ 4. The parties also expressly agreed in the Plea Agreement that “the United States is free to argue (and the defendant is free to dispute)” the applicability of (i) a 3-point or 4-point role enhancement pursuant to U.S.S.G. § 3Bl.l(a), rather than just the 2-point role enhancement agreed to by the parties; and (ii) a 2-point enhancement for the receipt of more than $1,000,000 in gross receipts from one or [576]*576more financial institutions as a result of the offense, pursuant to U.S.S.G. § 2Bl.l(b)(14)(A). Id.

Prior to sentencing, the Probation Officer conducted a detailed investigation and prepared a Presentence Investigation Report (PSIR)' calculating petitioner’s initial base offense level as 7, pursuant to U.S.S.G. § 2B1.1(a)(1), which was consistent with the parties’ agreed recommendation in the Plea Agreement. The Probation Officer then increased this base offense level by 25 levels in accordance with the following guidelines provisions: (i) 18 levels pursuant to U.S.S.G. § 2Bl.l(b)(l)(J) because the loss was more than $2,500,000 but less than $7,000,000, (ii) 2 levels pursuant to U.S.S.G. § 2Bl.l(b)(14)(A) because petitioner derived more than $1,000,000 in gross receipts from one or more financial institutions, (in) 3 levels pursuant to U.S.S.G. § 3Bl.l(b) because petitioner was a manager or supervisor and the criminal activity involved five or more participants or was otherwise extensive, and (iv) 2 levels pursuant to U.S.S.G. § 3C1.1 for obstruction of justice. Finally, the Probation Officer reduced petitioner’s adjusted offense level by 3 levels pursuant to U.S.S.G. § 3E1.1 for acceptance of responsibility, resulting in a total offense level of 29. This, combined with the Probation Officer’s calculation of a criminal history category IV,6 resulted in a recommended guidelines range of imprisonment of 121 to 151 months in the PSIR.

Following receipt of the PSIR, petitioner, by former retained counsel, filed two lengthy sentencing memoranda raising numerous objections to the factual information and guidelines calculations set forth in the PSIR. For example, petitioner objected to the 2-level enhancement to his offense level pursuant to U.S.S.G. § 2Bl.l(b)(14)(A) for deriving more than $1,000,000 in gross receipts from one or more financial institutions. Petitioner also objected to the government’s request— made in its corresponding sentencing memorandum—for a 4-level role enhancement pursuant to U.S.S.G. § 3B1.1, rather than a 3-level role enhancement recommended in the PSIR. Finally, petitioner objected to the Probation Officer’s calculation of his criminal history category as IV, arguing that he should not have been assessed 2 points for committing the instant offense while serving a California term of unsupervised probation, which term petitioner and the government apparently believed had already concluded at the time of the instant offense. In the alternative, petitioner moved for a downward departure in his criminal history category from IV to III, pursuant to U.S.S.G. § 4A1.3, on the ground that Category IV substantially overstated the seriousness of his criminal history.

In the course of a lengthy sentencing hearing held on March 12, 2010, petitioner’s objections to the factual information and guidelines calculations set forth in the PSIR were sustained in part and overruled in part. Specifically, petitioner’s factual [577]*577objections were sustained insofar as 11 paragraphs of the PSIR were modified in certain respects, and the remaining factual objections were overruled. See United States v. Milan, 1:09cr228 (E.D.Va. Mar. 12, 2010) (Order) (noting that paragraphs 18, 19, 21, 22, 30, 32, 33, 39, 40, 44 and 103 of the PSIR were modified in response to petitioner’s factual objections). With respect to the guidelines calculations, petitioner’s motion pursuant to U.S.S.G. § 4A1.3 for a reduction in his criminal history category was granted, and his criminal history category was accordingly reduced from TV to III. Id. The remainder of petitioner’s objections to the guidelines calculations set forth in the PSIR were overruled. Id. Thus, petitioner’s resulting offense level was calculated as 29, as set forth in the PSIR, and his advisory guidelines range of imprisonment (after the § 4A1.3 criminal history departure from category IV to category III) was 108 to 135 months. In the end, following petitioner’s allocution and the arguments of counsel, petitioner was sentenced to 108 months imprisonment on the instant offense, to be followed by three years of supervised release.

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Cite This Page — Counsel Stack

Bluebook (online)
57 F. Supp. 3d 571, 2014 U.S. Dist. LEXIS 152164, 2014 WL 5454394, Counsel Stack Legal Research, https://law.counselstack.com/opinion/milan-v-united-states-vaed-2014.