Spellissy v. United States

103 Fed. Cl. 274, 2012 U.S. Claims LEXIS 43, 2012 WL 366915
CourtUnited States Court of Federal Claims
DecidedFebruary 2, 2012
DocketNo. 11-205 C
StatusPublished
Cited by10 cases

This text of 103 Fed. Cl. 274 (Spellissy v. United States) is published on Counsel Stack Legal Research, covering United States Court of Federal Claims primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Spellissy v. United States, 103 Fed. Cl. 274, 2012 U.S. Claims LEXIS 43, 2012 WL 366915 (uscfc 2012).

Opinion

OPINION AND ORDER

GEORGE W. MILLER, Judge.

On April 4, 2011, plaintiff Thomas F. Spel-lissy filed this military pay action against [276]*276defendant, the United States, alleging that the Army Board for Correction of Military Records (“correction board”) improperly denied plaintiffs application to correct his military records to reflect that he retired in the grade of Colonel, 0-6. See Compl. (docket entry 1). Specifically, plaintiff alleges that the United States Army, following plaintiffs post-retirement criminal conviction, improperly reopened his retirement grade determination and improperly found that plaintiff failed to serve “satisfactorily” in the grade of Colonel, 0-6, for three years. Defendant filed a motion to dismiss for failure to state a claim upon which relief can be granted pursuant to Rule 12(b)(6) of the Rules of the Court of Federal Claims (“RCFC”) on the ground that plaintiffs claim is non-justicia-ble1 or, alternatively, for judgment on the administrative record pursuant to RCFC 52.1 (docket entry 9, Sept. 16, 2011). Plaintiff filed a response in opposition to defendant’s motion (docket entry 10, Oct. 17, 2011), and defendant filed a reply in support of its motion (docket entry 11, Nov. 3, 2011). For the reasons stated below, the Court DENIES defendant’s motion to dismiss for failure to state a claim because the Court concludes that plaintiffs claim is justiciable, and the Court GRANTS defendant’s alternative motion for judgment on the administrative record.

I. Background

A. Events Preceding Retirement and Retirement from Active Duty

In March 2004, plaintiff, a Colonel in the Army, received a notice informing him that he would be “retired from active duty, released from assignment and duty, and ... placed on the retired list” on December 31, 2004. Administrative R. (“AR”) 000220 (docket entries 9-4 to 9-6). Plaintiffs retirement was voluntary and based on length of service. Id. In plaintiffs last assignment, he was the Program Executive Officer for Special Programs with the United States Special Operations Command (“USSOCOM”) at MacDill Air Force Base in Tampa, Florida. See AR 000225-26.

Plaintiff filed an application for permission from the Army to act as president of, and to engage in business development and consulting for, a company plaintiff had formed called Stratec Defense International, Inc. (“Strategic Defense”) during plaintiffs impending “terminal leave”2 before retirement. See AR 000183. Plaintiff represented that his work during “terminal leave” would “[i]n-volve working for a firm ... that is engaged, or is endeavoring to engage, in business transactions ... with an agency of the Department of Defense.” Id. Plaintiffs application noted that he understood that he “w[ould] not be able to represent any Department of Defense Contractor to solicit business to [sic] the United States Government until after [plaintiffs] retirement date, 31 December, 2004.” AR 000184. Plaintiffs application to work for Strategic Defense in the manner indicated was approved on July 23,2004. See AR 000183.

Although plaintiff would not be officially retired until December 31, 2004, plaintiffs last assignment ended on July 31, 2004. See AR 000225-26. Plaintiff was on “permissive temporary duty,” “ordinary leave,” and “terminal leave” from August 1 to December 31, 2004. See AR 000133-34, 000226. Plaintiff worked for a contractor for USSOCOM from October 21 to November 26, 2004. See AR 000134, 000157-58. Plaintiff also was paid by USSOCOM to attend meetings overseas to [277]*277discuss USSOCOM ammunition programs. See AR 000134, 000189. In October and November 2004, e-mails suggest that plaintiff was working as president of his newly formed company, Strategic Defense. See AR 000099-124.

Plaintiff officially retired from active duty on December 31, 2004. See AR 000219; Compl. ¶ 9. Plaintiff was retired in the grade of Colonel, 0-6, after more than twenty-five years of active duty service, with plaintiff achieving his most recent promotion on December 1, 2001. See AR 000219-20, 000233.

B. Plaintiffs Post-Retirement Criminal Conviction

In November 2006, a federal grand jury indicted plaintiff and Strategic Defense on charges related to plaintiffs alleged attempt to induce a public official at MacDill Air Force Base to award work to Strategic Defense’s clients. See Def. Mot. Ex. C. Plaintiff and Strategic Defense each were charged with one count of conspiracy to defraud the United States and to commit offenses against the United States in violation of 18 U.S.C. § 371, two counts of bribery in violation of 18 U.S.C. §§ 2 and 201(b)(l)(A)-(B), and two counts of wire fraud in violation of 18 U.S.C. §§ 2, 1343, and 1346. Id. In May 2006, the trial jury found plaintiff and Strategic Defense guilty on all five counts. See AR 000082-85.

Plaintiff and Strategic Defense moved for a judgment notwithstanding the verdict and, in the alternative, a new trial on all five counts. See AR 000198-215. In July 2006, the district court judge denied the motion on the conspiracy count, but granted the motion on the remaining counts. The district court judge cited e-mails from October and November 2004 — prosecution exhibits 10,11,12, and 28 in the criminal case — as “ample” evidence from which the jury could find plaintiff and Strategic Defense guilty of conspiracy. See AR 000201-04, 000208; see also AR 00099-104 (prosecution exhibits 11 and 12), 000122 (prosecution exhibit 28). E-mails between plaintiff and William Burke, an employee of USSOCOM, suggest that plaintiff and Mr. Burke agreed that Mr. Burke would give preferential treatment to Strategic Defense’s clients. AR 000099-104 (prosecution exhibits 11 and 12). One e-mail from Mr. Burke to a contractor showed Mr. Burke encouraging the contractor to retain Strategic Defense. See AR 000122 (prosecution exhibit 28). As noted by defendant, the emails on which the district court judge relied were transmitted before plaintiff officially retired on December 31, 2004. See Def.’s Mot. 6.

In August 2006, criminal judgments were entered and plaintiff was, inter alia, sentenced to fifteen months imprisonment. See AR 000072-78. Plaintiffs conviction was affirmed by the United States Court of Appeals for the Eleventh Circuit in September 2007. United States v. Spellissy, 243 Fed.Appx. 550, 550-51 (11th Cir.2007) (per cu-riam) (stating that “[t]he convictions arose out of the alleged general services agreement between [plaintiff], who was on ‘terminal leave’ from the military, and [Mr.] Burke, a civilian contractor, to obtain preferential treatment for their clients”).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Manker v. United States
Federal Claims, 2025
Awdykowyz v. United States
Federal Claims, 2025
Exnicios v. United States
Federal Claims, 2018
Emoto v. United States
Federal Claims, 2017
Barna v. United States
127 Fed. Cl. 253 (Federal Claims, 2016)
Thomas v. United States
122 Fed. Cl. 53 (Federal Claims, 2015)
Stein v. United States
121 Fed. Cl. 248 (Federal Claims, 2015)
McClellan v. United States
119 Fed. Cl. 494 (Federal Claims, 2015)
Miller v. United States
119 Fed. Cl. 717 (Federal Claims, 2015)
Adams v. United States
117 Fed. Cl. 628 (Federal Claims, 2014)

Cite This Page — Counsel Stack

Bluebook (online)
103 Fed. Cl. 274, 2012 U.S. Claims LEXIS 43, 2012 WL 366915, Counsel Stack Legal Research, https://law.counselstack.com/opinion/spellissy-v-united-states-uscfc-2012.