United States v. Charles T. Muntain, A/K/A "Red Muntain"

610 F.2d 964, 198 U.S. App. D.C. 22, 1979 U.S. App. LEXIS 10829
CourtCourt of Appeals for the D.C. Circuit
DecidedOctober 31, 1979
Docket78-2150
StatusPublished
Cited by34 cases

This text of 610 F.2d 964 (United States v. Charles T. Muntain, A/K/A "Red Muntain") is published on Counsel Stack Legal Research, covering Court of Appeals for the D.C. Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Charles T. Muntain, A/K/A "Red Muntain", 610 F.2d 964, 198 U.S. App. D.C. 22, 1979 U.S. App. LEXIS 10829 (D.C. Cir. 1979).

Opinion

Opinion for the Court filed by Senior District Judge LARSON.

LARSON, Senior District Judge:

Defendant Charles T. Muntain appeals his conviction on eight counts of a thirteen count indictment charging him with improper conduct, in violation of 18 U.S.C. §§ 201(g), 209, 371, and 1001. At the time of his conviction Muntain was the Assistant to the Secretary for Labor Relations for the United States Department of Housing and Urban Development (HUD). Four of the counts on which Muntain was convicted (Counts 5, 7, 9, and 11) alleged that on several occasions the defendant, “being a public official . . . unlawfully and *966 knowingly did, directly and indirectly, ask, demand, solicit and receive for himself . ” illegal gratuities “for and because of official acts . . .in violation of 18 U.S.C. § 201(g). Under Count 3 of the indictment Muntain was further convicted of having received an illegal contribution to his salary from a source other than the United States Government, in violation 18 U.S.C. § 209.

Count 1 charged defendant with violating 18 U.S.C. § 371 by participating in a conspiracy having two objects: (1) to defraud the United States of the “conscientious, loyal, faithful, disinterested and unbiased services, actions and performances of official acts and duties” by the defendant free from concealed interests; and (2) to violate 18 U.S.C. § 201(g). Finally, defendant was convicted on Counts 4 and 13 of having filed false statements with HUD which concealed his involvement in the automobile insurance venture.

Following his conviction by a jury, defendant moved for a judgment of acquittal or, in the alternative, a new trial. The Court denied both motions and imposed a suspended sentence, placing defendant on five years probation. 1 From that judgment, defendant appeals. For reasons to be discussed, we affirm in part and reverse in part the decision of the Court below.

The Government’s case against Muntain was based upon his involvement in a private scheme to sell group automobile insurance to labor unions as a negotiated benefit in union contracts at a time when he was employed as the Assistant to the Secretary for Labor Relations at HUD. In his capacity at HUD, Muntain functioned as the principal labor relations policy advisor and consultant to the Secretary, the chief liaison between HUD and organized labor and the chief Department spokesman on labor relations matters. His responsibilities at HUD brought Muntain into frequent contact with contractor associations, trade associations and unions regarding labor relations and labor relations policies affecting programs and projects within HUD’s jurisdiction. The Government did not contend and produced no evidence at trial, however, to suggest that automobile insurance as a benefit for labor unions fell within HUD’s jurisdiction.

The plan to sell automobile insurance with which Muntain became involved originated with an agreement negotiated by Charles Cordial, an unindicted coconspirator in this case, with a company called Group Marketing Consultants, Inc. (GMCI). Under this agreement, Cordial and Deryl Fleming, another unindicted coconspirator, became consultants to GMCI to assist in the mass marketing of group auto insurance. Within a month after signing the agreement with GMCI in February 1974, Fleming and Cordial contacted Muntain in Washington to obtain his assistance in marketing group automobile insurance to labor unions. Both Fleming and Cordial testified at trial that they sought Muntain’s help because he knew labor people and they hoped that he would open doors for them by introducing them to these people. In exchange for his assistance, Muntain was to be reimbursed for any expenses he incurred. In addition, he was to share equally in any commissions that might be generated from the sale of insurance. Cordial and Fleming both testified that, pursuant to an oral agreement entered into in early 1974 and later reduced to writing, it was understood that Cordial, Fleming and Muntain were to be equal partners in the group automobile insurance venture.

In the ensuing months during 1974 and 1975, Muntain arranged and participated in a number of meetings around the country with labor officials at which Fleming and Cordial were introduced and the concept of group automobile insurance discussed. Many of these same labor officials, according to testimony, had dealings with HUD concerning official HUD business. In fact, Muntain would frequently combine the pro *967 motion of the automobile insurance with trips taken at government expense for the purpose of conferring with labor officials across the United States concerning official business. In connection with at least some of the trips paid for by the Government, evidence was introduced suggesting that Muntain requested and received supplementary “reimbursement” from Cordial and Fleming for expenses he claimed were incurred in arranging and attending meetings to promote the insurance plan.

In addition to his domestic travels, Mun-tain, accompanied by his wife, took a ten day trip to Ireland in May 1974 as part of a charter tour organized by the International Laborers Union. This trip, which formed the basis for Count 3 of the indictment, was taken at the insistence of Fleming and Cordial who testified that they wanted Mun-tain along to introduce them to the labor officials who would be going on the trip. At the time of the trip, Muntain was on annual leave from his position at HUD.

The final evidence relevant to defendant’s appeal consists of testimony and documentary evidence that in June of 1974 and again in 1975 defendant caused to be filed with the Office of General Counsel at HUD a Confidential Statement of Employment and Financial Interests which failed to disclose defendant’s involvement in the group automobile insurance enterprise.

The first of the statutory provisions under which Muntain was convicted, 18 U.S.C. § 201(g), proscribes the receipt by a public official of anything of value “for or because of an official act performed or to be performed by him.” 2 “Official act” in turn is defined in § 201(a) as:

“any decision or action on any question, matter, cause, suit, proceeding or controversy, which may at any time be pending, or which may by law be brought before any public official, in his official capacity, or in his place of trust or profit.”

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Bluebook (online)
610 F.2d 964, 198 U.S. App. D.C. 22, 1979 U.S. App. LEXIS 10829, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-charles-t-muntain-aka-red-muntain-cadc-1979.