United States v. Brand

224 F. Supp. 3d 437, 2016 U.S. Dist. LEXIS 176201, 2016 WL 7826698
CourtDistrict Court, E.D. Pennsylvania
DecidedDecember 20, 2016
DocketCRIMINAL ACTION NOS. 15-346-3, 15-346-4
StatusPublished

This text of 224 F. Supp. 3d 437 (United States v. Brand) is published on Counsel Stack Legal Research, covering District Court, E.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Brand, 224 F. Supp. 3d 437, 2016 U.S. Dist. LEXIS 176201, 2016 WL 7826698 (E.D. Pa. 2016).

Opinion

MEMORANDUM

Bartle, Judge.

Before the court are the motions of defendants Robert Brand and Karen Nicholas, pursuant to the Bail Reform Act of 1984, 18 U.S.C. § 3143, for bail pending appeal. The facts of this case are set forth in detail in the court’s Memorandum in support of its Order addressing post-trial motions. See generally United States v. Fattah, 223 F.Supp.3d 336, 2016 WL 7839022, 2016 U.S. Dist. LEXIS 145833 (E.D. Pa. Oct. 20, 2016).

Defendants Robert Brand and Karen Nicholas were each found guilty by a jury of conspiracy to commit racketeering and conspiracy to commit wire fraud, along with co-defendant then-Congressman Cha-ka Fattah, Sr. The facts underlying these convictions are described in detail in the court’s Memorandum in support of its Order addressing the defendants’ post-trial motions. See id. at *2-4, 2016 U.S. Dist. LEXIS 145833, at *6-11. The charged offenses concerned illegal actions taken by Brand and Nicholas in conspiracy with Fattah to conceal and repay an illegal campaign loan from a wealthy donor to the unsuccessful primary campaign of Fattah in 2007 to become Mayor of Philadelphia. When the donor sought repayment of $600,000 of that loan, Nicholas misappropriated $500,000 from a charitable grant that Sallie Mae had provided to the non[440]*440profit, Educational Advancement Alliance (“EAA”), where she served as the chief executive officer. She sent that money to Brand’s company, Solutions for Progress (“SFP”). Brand then sent $600,000 to co-conspirator Thomas Lindenfeld so that he could pay back the wealthy donor. Nicholas also defrauded the National Aeronautics and Space Administration of $100,000 so that she could make Brand whole. Nicholas and Brand thereafter drafted a sham contract between EAA and SFP to conceal their illegal activity. That contract was not executed until after the Department of Justice had begun to audit EAA and the Office of the Inspector General of the Department of Justice had served a subpoena on SFP.

Nicholas was also found guilty of two counts of wire fraud and two counts of falsification of records to impede a federal investigation. These counts related to her theft of $50,000 in funds received by EAA from the National Oceanic and Atmospheric Administration. See Fattah, 2016 WL 7839022, at *9-10, 29-30, 2016 U.S. Dist. LEXIS 145833, at *29-31, 88-90. In her post-trial motion, she did not challenge the sufficiency of the evidence against her on these four counts.

The evidence of the guilt of Nicholas and Brand as to all of the counts in issue was overwhelming.

On December 13, 2016, the court sentenced Brand to two concurrent 30-month terms of imprisonment. Nicholas was sentenced to six concurrent 24-month terms of imprisonment. Both defendants are scheduled to self-surrender on January 26, 2017.1

The Bail Reform Act provides that the court must detain pending appeal a defendant who has been found guilty and sentenced unless that defendant proves: (1) “by clear and convincing evidence that the person is not likely to flee or pose a danger to the safety of any other person or the community if released” and (2) that his or her “appeal is not for the purpose of delay and raises a substantial question of law or fact likely to result in—(i) reversal, (ii) an order for a new trial, (iii) a sentence that does not include a term of imprisonment, or (iv) a reduced sentence to a term of imprisonment less than the total of the time already served plus the expected duration of the appeal process.” See § 3143(b).

Our Court of Appeals has explained that under § 3143(b) there is a presumption against bail pending appeal. To overcome the presumption, the defendant must establish:

(1) that the defendant is not likely to flee or pose a danger to the safety of any other person or the community if released;
(2) that the appeal is not for purpose of delay;
(3) that the appeal raises a substantial question of law or fact; and
(4) that if that substantial question is determined favorably to defendant on appeal, that decision is likely to result in reversal or an order for a new trial of all counts on which imprisonment has been imposed.2

United States v. Miller, 753 F.2d 19, 24 (3d Cir. 1985). The Court recognized that “[o]nce a person has been convicted and [441]*441sentenced to jail, there is absolutely no reason for the law to favor release pending appeal or even permit it in the absence of exceptional circumstances.” See id. at 22 (quoting H.R. Rep. No. 91-907, at 186-87 (1970)).

We find that both Nicholas and Brand have established by clear and convincing evidence that they áre not likely to flee or pose a danger to any person or the community. Further, we do not view their appeals as being filed for purposes of delay.

Section 3143(b) also requires the court to determine whether any questions to be raised on appeal are substantial. To be substantial, our Court of Appeals “requires that the issue on appeal be significant in addition to being novel, not governed by controlling precedent or fairly doubtful.” See United States v. Smith, 793 F.2d 85, 88 (3d Cir. 1986). The absence of controlling precedent is not itself enough to meet this test. See id. A question is substantial if the defendant can demonstrate that it is “fairly debatable” or is “debatable among jurists of reason.” See id. at 89 (quoting Barefoot v. Estelle, 463 U.S. 880, 893 n.4, 103 S.Ct. 3383, 77 L.Ed.2d 1090 (1983)); United States v. Handy, 761 F.2d 1279, 1281-82 (9th Cir. 1985). A substantial question is “one of more substance than would be necessary to a finding, that it was not frivolous.” See Smith, 793 F.2d at 89 (quoting Handy, 761 F.2d at 1282 n.2). Whether a question is substantial should be made on a case-by-case basis. Id. (quoting Handy, 761 F.2d at 1281-82).

Brand describes what he deems to be four substantial questions under § 3143(b) as follows:

(1)whether the preclusion of any mention of the longstanding and serious mental illness of the key cooperating witness (rapid cycling bipolar disorder) which was undiagnosed and untreated but manifesting severe symptoms at the relevant time period—as well as his current medication regime that includes lithium, a drug widely known to impair memory and perception—-was improper;
(2) whether fundamentally flawed instructions to the jury regarding the alleged acts of Mr. Brand’s co-defendants unduly prejudiced Mr. Brand;
(3) whether the compelled dismissal of a juror who vigorously disagreed with the ultimate verdict and sought acquittal of Mr. Brand and other defendants was improper; and
(4) whether the individualized voir- dire of multiple jurors as to the dismissed juror’s conduct disrupted and/or tainted the deliberation process and severely prejudiced Mr. Brand.

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Related

Barefoot v. Estelle
463 U.S. 880 (Supreme Court, 1983)
Zafiro v. United States
506 U.S. 534 (Supreme Court, 1993)
United States v. Stanton Miller and Robert Miller
753 F.2d 19 (Third Circuit, 1985)
United States v. Connie M. Handy
761 F.2d 1279 (Ninth Circuit, 1985)
United States v. Kemp
500 F.3d 257 (Third Circuit, 2007)
United States v. Fattah
223 F. Supp. 3d 336 (E.D. Pennsylvania, 2016)

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Bluebook (online)
224 F. Supp. 3d 437, 2016 U.S. Dist. LEXIS 176201, 2016 WL 7826698, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-brand-paed-2016.