United States of America, Cross-Appellee v. Robert Dibernardo, Theodore Rothstein, Cross-Appellants

775 F.2d 1470, 1985 U.S. App. LEXIS 23973
CourtCourt of Appeals for the Eleventh Circuit
DecidedNovember 13, 1985
Docket83-5295
StatusPublished
Cited by29 cases

This text of 775 F.2d 1470 (United States of America, Cross-Appellee v. Robert Dibernardo, Theodore Rothstein, Cross-Appellants) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eleventh Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States of America, Cross-Appellee v. Robert Dibernardo, Theodore Rothstein, Cross-Appellants, 775 F.2d 1470, 1985 U.S. App. LEXIS 23973 (11th Cir. 1985).

Opinion

TJOFLAT, Circuit Judge:

This appeal presents the question of whether, in the absence of an abuse of the grand jury process, a district court may exercise its supervisory power to dismiss an indictment where (1) the grand jury may have heard false testimony or (2) the prosecutor, in advising the grand jury at the end *1472 of its investigation, failed to instruct it to disregard prejudicial evidence irrelevant to the offense eventually alleged in the indictment. The district court dismissed the indictment. We reverse.

I.

In the summer of 1977, the FBI commenced operation “Miporn,” an undercover investigation of the obscenity industry. Posing as pornographers, Special Agents Patrick Livingston and Bruce Ellavsky contacted distributors of pornography throughout the United States ordering sexually explicit magazines, films, and videotapes and arranging to have the merchandise shipped to them in Miami, Florida. After a two-year investigation, the Government presented its case to a grand jury sitting in the Southern District of Florida. Special Agents Livingston and Ellavsky testified extensively about their transactions with the distributors. These witnesses and others who testified before the grand jury described the pornography industry as a tight-knit group, one in which the distributors were well acquainted with one another and were highly suspicious of strangers who attempted to do business with them. The distributors rigidly enforced rules against unauthorized duplication of their videotapes, often resorting to threats and violence. Agent Livingston testified that some of the distributors were members of organized crime families and that the pornography industry was controlled by the “Mafia.”

On February 12, 1980, the grand jury returned an eighteen-count indictment (the original indictment) against forty-five defendants, including appellees Robert DiBer-nardo and Theodore Rothstein. Count one charged the defendants with engaging in a nationwide conspiracy to transport obscene materials in interstate commerce in violation of 18 U.S.C. §§ 371 1 and 1465 2 (1982). The remaining seventeen counts of the indictment charged small groups of defendants with substantive violations of section 1465. After this indictment was returned, the Government apparently concluded that insufficient admissible evidence existed to establish the conspiracy offense alleged in count one. The Government, therefore, dismissed the indictment, pursuant to Rule 48(a) of the Federal Rules of Criminal Procedure, 3 and re-presented the case to the grand jury.

On October 15, 1980, the grand jury returned sixteen superseding indictments *1473 which effectively divided the single conspiracy alleged in the original indictment into a series of small unrelated conspiracies. In one of these superseding indictments (the instant indictment), the appellees, together with codefendant Andrew D’Apice, were charged with conspiring to use an express company or common carrier to transport obscene materials in interstate commerce, in violation of 18 U.S.C. §§ 371 and 1462 4 (1982). They were also charged, in six substantive counts, with knowingly using an express company or common carrier to transport obscene materials, in violation of section 1462, and knowingly transporting obscene materials in interstate commerce, in violation of section 1465. The principal factual allegations in the indictment were that D’Apice, as the operator of KED Productions, Inc., sold obscene films and videotapes to the undercover agents and that the appellees, as the true owners of KED, approved all sales of obscene materials and supervised the activities of D’Apice.

After a severance was granted to code-fendant D’Apice, the case proceeded to a jury trial against the appellees. They were convicted on all counts, and, after sentencing, they appealed.

On February 12, 1982, during the pend-ency of their appeals, the prosecutor wrote a letter to all counsel in the Miporn cases to inform them of an unfortunate development in the case: Special Agent Livingston, one of the two undercover agents in the Miporn investigation, had been arrested for shoplifting and, at the time of arrest, had identified himself using his Miporn undercover identification documents. The prosecutor also stated that psychiatric examinations indicated that Livingston had difficulty distinguishing between his real identity and his undercover identity. Following receipt of the prosecutor’s letter, the appellees moved the district court alternatively to vacate their convictions and dismiss their indictment with prejudice or to grant them a new trial. The defendants in the fifteen companion cases filed similar motions. 5

The court consolidated these motions for disposition and convened an evidentiary hearing which focused primarily on Agent Livingston’s psychiatric problems. Following the hearing and a review of the testimony heard by the grand jury that returned the original and superseding indictments, the district court, in a memorandum opinion, 552 F.Supp. 1315 (S.D.Fla.1982), found that the superseding indictments were significantly “tainted” by two factors: (1) the “subsequent behavior and perjurious propensities” of Special Agent Livingston, 6 id. at 1324, and (2) the failure of the *1474 prosecutor to instruct the grand jury returning the superseding indictments to “disregard the evidence related to organized crime connections and violent activities of other individuals, and additional irrelevant evidence unrelated to the separate defendants involved in the individual conspiracies.” Id. at 1825. Based on these findings, the district court, in an exercise of its supervisory power over the administration of criminal justice in the Southern District of Florida, dismissed without prejudice the superseding indictments in the twelve Miporn cases that had not proceeded to trial. The court took no action in the cases that had been tried. The Government immediately moved the court to reconsider its dismissal of the twelve indictments. The court denied the motion in a second memorandum opinion, 561 F.Supp. 783 (S.D.Fla.1983). In that opinion, the court addressed the instant case, which was still on appeal, instructing the Government to show cause why its indictment should not be dismissed. After the Government responded, the district court requested this court to remand the case so that the indictment could be dismissed. We honored the district court’s request, and, on June 27, 1983, the district court, following the rationale of its two memorandum opinions, vacated appellees’ convictions and dismissed their indictment without prejudice. 7

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Bluebook (online)
775 F.2d 1470, 1985 U.S. App. LEXIS 23973, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-of-america-cross-appellee-v-robert-dibernardo-theodore-ca11-1985.