United States v. David Carlton Arnold, Armando Coto

117 F.3d 1308, 1997 U.S. App. LEXIS 18998, 1997 WL 381269
CourtCourt of Appeals for the Eleventh Circuit
DecidedJuly 25, 1997
Docket93-4713, 95-4649
StatusPublished
Cited by28 cases

This text of 117 F.3d 1308 (United States v. David Carlton Arnold, Armando Coto) 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 v. David Carlton Arnold, Armando Coto, 117 F.3d 1308, 1997 U.S. App. LEXIS 18998, 1997 WL 381269 (11th Cir. 1997).

Opinion

HATCHETT, Chief Judge;

Appellants, David C. Arnold and Armando Coto, appeal their convictions and sentences arising from their participation in a drug conspiracy. Arnold and Coto were tried together before a jury and convicted on Count I for conspiracy to distribute marijuana. The jury also convicted Arnold on three counts of money laundering and two counts of interstate travel in aid of racketeering. Appellants contend that the statute of limitations barred their prosecution, and therefore conviction, on the conspiracy count. In addition, appellants contend that they are entitled to a new trial based on the government’s violation of Brady v. Maryland, 373 U.S. 83, 83 S.Ct. 1194, 10 L.Ed.2d 215 (1963). We affirm the district court’s determination that the statute of limitations did not bar prosecution on the conspiracy count, and reverse the appellants’ convictions on the Brady claim and remand for a new trial. 1

BACKGROUND

A. The District Court Proceedings

On November 5,1991, a federal grand jury in the Southern District of Florida indicted *1310 Arnold for money laundering in violation of 18 U.S.C. § 1957(a). A March 31, 1992 superseding indictment charged Arnold and Coto with conspiracy to distribute marijuana in violation of 21 U.S.C. §§ 841(a)(1) and 846 (Count I). That indictment also charged Arnold with three counts of money laundering in violation of 18 U.S.C. §§ 1957(a) and 2, and two counts of interstate travel in aid of racketeering in violation of 18 U.S.C. §§ 1952 and 2. In September 1992, the prosecution informed the appellants that a romantic affair had occurred between Internal Revenue Service (IRS) case agent Synda Smith and lead government witness Charles Goldman. At this time, the prosecution also disclosed the existence of telephone calls between Smith and Goldman that officials at the Metropolitan Correctional Center (MCC), where Goldman was being held, had taped. In October 1992, appellants filed motions to dismiss the indictment based on government misconduct and a statute of limitations violation. Appellants also requested access to the tapes. At a hearing on December 1, 1992, the district court denied the appellants access to the tapes, relying on the government’s assertion that the tapes contained no discoverable material, and denied the motions to dismiss. The subsequent jury trial ended in a mistrial when the jury could not reach a verdict.

The government retried the appellants in February 1993. 2 The jury in the second trial found the appellants guilty on all counts: After appellants were sentenced, the government inadvertently sent Arnold’s lawyer some of the transcripts of the taped conversations between Smith and Goldman. Thereafter, the appellants moved for a new trial on the ground that the tapes contained favorable material that should have been disclosed to the defense. After an in camera reviéw of the tapes, the district court ordered the prosecution to grant the defense access to the tapes and transcripts for inspection.

On March 25, 1995, the court held a hearing on the motion for a new trial. On May 10,1995, the court signed an order, which the prosecution alone prepared, denying the motion on the ground that the appellants had failed to show that a reasonable probability existed that had the taped conversations been disclosed, the outcome of the trial would have been different. In other words, the district court held that the appellants had failed to satisfy the final prong of the Brady test. Appellants filed the instant appeal.

B. The Conspiracy

In 1979, government witness Charles Goldman became a client of Arnold’s. As Goldman’s attorney, Arnold assisted Goldman in his divorce, the sale of his floor covering business, traffic ticket difficulties, and his arrest for possession of marijuana. From approximately 1980, Goldman derived all of his income from the marijuana business. In 1981, Goldman met and began distributing marijuana for Aequlino Melo, who received large quantities of marijuana from Colombian suppliers. Goldman eventually became Melo’s main distributor in the United States.

Goldman testified that he had discussed his marijuana business with Arnold numerous times since 1981. Additionally, Helen Leith, Goldman’s mother, testified that some time between 1982 and 1986, she accompanied Goldman to Arnold’s office and heard Arnold and Goldman discussing a marijuana shipment. When Goldman started accumulating money from the marijuana business, Arnold handled Goldman’s financial matters through a client trust account as well as various other accounts established on Goldman’s behalf.

On May 31, 1985, Goldman’s largest project with the Melo organization occurred, the off-loading of approximately 45,000 pounds of marijuana in Oregon from a boat named the “Saja.” Goldman called Arnold several times from Oregon to discuss the Saja shipment, particularly the sale of the fish cargo that was used to disguise the marijuana. Goldman’s associate, William Rego, weighed and counted the marijuana, and helped Goldman collect the proceeds. The marijuana was distributed before June 1985, and Goldman had collected the money from the distributors before January 1986. Because Goldman *1311 was a heavy drinker and drug user, Melo sent Armando Coto, his alleged “enforcer,” to Goldman’s residence to ensure that Goldman collected the remainder of the money. 3 Melo instructed Goldman to pay Coto $75,000 in cash for Coto’s services. Goldman earned between $350,000 and $400,000 from the Saja importation, and left some of this money with his mother and some with Arnold. Goldman made approximately $5 million in total while working for the Melo organization.

In the mid-1980s, Arnold was involved in numerous real estate transactions on Goldman’s behalf in Miami and California, including titling certain properties in the names of Goldman’s relatives and associates so as to disguise the identity of Goldman as the true owner. Goldman paid Arnold a six-percent commission for handling the sale of one of Goldman’s houses because of Arnold’s knowledge that drug proceeds were involved in the property. Arnold also handled the legal work for Goldman’s purchase of at least five luxury cars and ten to twelve smaller cars with drug proceeds. Arnold titled the cars and paid for any expenses out of the trust account or other checking accounts that he maintained for Goldman.

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Bluebook (online)
117 F.3d 1308, 1997 U.S. App. LEXIS 18998, 1997 WL 381269, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-david-carlton-arnold-armando-coto-ca11-1997.