United States v. Bailey

CourtDistrict Court, District of Columbia
DecidedFebruary 21, 2023
DocketCriminal No. 2019-0156
StatusPublished

This text of United States v. Bailey (United States v. Bailey) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Bailey, (D.D.C. 2023).

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

UNITED STATES OF AMERICA, v. Criminal Action No. 19-156-1 (CKK) BRIAN WINSTON BAILEY,

Defendant.

MEMORANDUM OPINION (February 21, 2023) A jury convicted Defendant Brian Bailey (“Defendant” or “Bailey”) of, among other

things, conspiracy in violation of 18 U.S.C. § 371 and bribery in violation of 18 U.S.C. §

201(b)(1)(C). In his pending [254] Renewed Motion for Judgment of Acquittal or, in the

Alternative, for New Trial, Bailey mainly challenges his convictions for conspiring with Dawne

Dorsey to unlawfully obtain confidential government records known as Tenant Opportunity to

Purchase Act (“TOPA”) Notices ahead of his competition and with access to information that

might otherwise be redacted from public disclosure. He raises four main arguments: (1) section

201(b)(1)(C) is unconstitutionally vague; (2) that he is actually innocent on his section

201(b)(1)(C) conviction because he did not induce Dorsey to violate a lawful duty; (3) that the

Government constructively varied from or amended the indictment; and, probably in the

alternative, (4) the evidence was insufficient to show any duty existed in the first place. 1 Each

argument fails.

1 Defendant does not appear to raise any argument in favor of acquittal or a new trial as to any charge, so the Court does not address any such unadvanced issues. 1 Accordingly, and upon consideration of the briefing, 2 the relevant legal authorities, and the

entire record, Defendant’s [254] Renewed Motion for Judgment of Acquittal or, in the Alternative,

for New Trial is DENIED.

I. BACKGROUND

A jury convicted Defendant of four counts arising from two related conspiracies: (1) the

conspiracy between Bailey and Dorsey, and (2) a conspiracy between Bailey and co-defendant

David Paitsel where Bailey paid Paitsel for tenant contact information only available to Paitsel

by virtue of his position as a Federal Bureau of Investigation (“FBI”) employee. Bailey

explained the pecuniary benefit of these two conspiracies to potential partners in one particularly

incriminating email in evidence. Gov. Ex. 103C. The District of Columbia, in Bailey’s words,

“is unique to any other jurisdiction in the country in that every tenant [who is] renting a

residence has [a] ‘right of [first] refusal’ to purchase the property they live in” when their

landlord puts the property up for sale. Id. This process is governed by the District of

Columbia’s “Tenant Opportunity to Purchase Act” (“TOPA”), codified at D.C. Code § 42-3404.

If a tenant can match the landlord’s “bona fide offer of sale,” the landlord must sell the building

to the tenant. Id. 42-404.02(a). By acquiring these rights, and acquiring them as early as

possible, Bailey earned the opportunity “to purchase the [property], match or re-negotiate the

2 The Court’s consideration has focused on: • Defendant’s Renewed Motion for Judgment of Acquittal or, in the Alternative, for a New Trial, ECF No. 254 (“Motion” or “Mot.”); • The Government’s Opposition to Defendant Bailey’s Renewed Motion for Judgement [sic] of Aquittal [sic] or, Motion for a New Trial, ECF No. 258 (“Opp.”); • Defendant’s Reply in Support of Renewed Motion for Judgment of Acquittal or, in the Alternative, for a New Trial, ECF No. 261 (“Repl.”); and • Trial Transcripts, ECF Nos. 249-253 (“Trial Trans.”). In an exercise of its discretion, the Court has concluded that oral argument would not be helpful in the resolution of the Motion. 2 contract[,] and then sell [Bailey’s newfound rights] to purchase the property to another investor

without actually taking title to the property.” Gov. Ex. 103C. “The difference between the

contract price and the premium amount that an investor is willing to pay is the margin of profit

that’s left over.” Id.

Bailey could only purchase these rights, however, if (1) he knew a property was for sale

and (2) he could contact the tenants to buy their TOPA rights. As a result, he began to pay

Dorsey, usually in cash, for unredacted TOPA “notices,” also termed “offers of sale.” Pursuant

to TOPA, a landlord must first “provide each tenant a written copy of the offer of sale” and, after

doing so, “provide the [District of Columbia Department of Housing and Community

Development (“DHCD”)] with a written copy of the offer of sale” along with a certification that

“each tenant [was] provided [a] cop[y] of the offer of sale on the same day.” D.C. Code § 42-

3404.03. As a DHCD employee, Dorsey had immediate access to these notices as soon as they

were provided to DHCD. See Trial Trans. 9/28/22 at 136-37. As such, Bailey paid Dorsey to

give him these notices as soon as possible. Gov. Ex. 102B. In an email to Dorsey, for example,

Bailey complained that Dorsey was not sending notices fast enough. Id. As he remonstrated her,

“[y]ou [Dorsey] sending files isn’t working out the way I [Bailey] thought it would. Initially I

was getting files almost daily. Now I’m receiving files 2 or 3 times a month.” Id. For Bailey,

that would not do. In his words, “[t]he [TOPA notices] are time sensitive and most of the time I

get them so late that I might only have a week or less to react . . . It doesn’t do me [Bailey] any

good to receive the files with almost no time to react.” Id.

At trial, the Government argued, and the jury found, that Bailey paid Dorsey to give him

these files in violation of Dorsey’s duty to otherwise keep them from Bailey. The Government

relied almost entirely (if not entirely) on a DHCD policy to keep TOPA notices confidential from

3 uninterested third parties, except in a response to a request under the District of Columbia’s

Freedom of Information Act (“FOIA”). Trial Trans. 9/28/22 at 68, 128. Although memorialized

in certain exhibits (with Dorsey copied), e.g., Gov. Ex. 110B, it was conveyed orally from

supervisors to Dorsey (and other DHCD employees), Trial. Trans. 9/28/22 at 137-142.

The Government presented overwhelming evidence of Bailey’s corrupt intent to induce

Dorsey to violate what he understood to be Dorsey’s obligation to keep these TOPA notices

confidential. The Government introduced thousands of communications between Bailey and

Dorsey memorializing and/or effectuating their corrupt bargain. For example, Exhibit 3B

contained thousands of text messages between Bailey and Dorsey and hundreds of messages

from Dorsey promising, conveying, or requesting TOPA notices in exchange for cash or check.

E.g., Text 470 3 (“I [Dorsey] will review your [Bailey’s] request for documents on 211 Morgan

Street NW] once I get in [to the office]”); Text 267 (“I’m about to email the notices”); Text 529

(in response to Bailey telling Dorsey that he would “give [her] cash” after Dorsey did not “cash

[her] check,” Dorsey confirming “ok[,] [w]hat time do you [Bailey] want me [Dorsey] to come”

to Bailey’s house). Exhibit 101A contained an email with the subject line “RE: TOPA Notice”

from Dorsey to Bailey informing Bailey “[j]ust a heads up, you will receive multiple emails from

me.” In Exhibit 101F, which contained multiple TOPA notices, Dorsey told Bailey, “I just tried

sending it [the TOPA notices] from my personal email.

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