United States v. Eldabbagh

District Court, District of Columbia·Decided August 19, 2026·No. Criminal No. 2021-0523·Published

Opinion

UNITED STATES DISTRICT COURT FOR THE DISTRICT OF COLUMBIA

UNITED STATES OF AMERICA,

v.

Case No. 1:21-cr-00523 (TNM)

ELIAS ELDABBAGH,

Defendant.

MEMORANDUM ORDER

As America grappled with a once-in-a-lifetime health crisis, Elias Eldabbagh saw a business opportunity and built it on fraud. Using various stolen identities, Eldabbagh fraudulently applied for over $31 million in emergency COVID-era loans and successfully directed $2 million into his coffers. Sentencing Tr. at 72:12–72:17, ECF No. 67.

In 2022, the Court sentenced Eldabbagh to 120 months’ imprisonment for his scheme.

Judgment at 2, ECF No. 57. Now, Eldabbagh moves this Court to either reduce his sentence due to changes to the Guidelines impacting criminal history “status points,” see Amend. 821 (Part A), U.S.S.C. (eff. Nov. 1, 2023), or to grant him compassionate release under 18 U.S.C. § 3582(c)(1)(A). See Mot. Sentence Reduction (“Mot.”) at 3, ECF No. 70.

Eldabbagh prevails on neither request. On the first, Eldabbagh’s original sentence falls below his amended Guidelines range, which alone precludes relief. See U.S.S.G. § 1B1.10(b)(2)(A). On the second, Eldabbagh has not established extraordinary and compelling reasons justifying a sentence reduction. The Court thus denies Eldabbagh’s motion.

I.

Eldabbagh planted the seeds for his multi-million-dollar fraud scheme in 2018, when he stole his roommate’s identification and social security card. Presentence Report (“PSR”) ¶ 45,

ECF No. 38. After stealing a company’s documents containing more unsuspecting victims’ personal information, id. ¶ 46, Eldabbagh cashed in. With the stolen identities, he submitted no fewer than 25 applications to COVID-era loan programs and sought no less than $31 million in “relief.” Id. ¶¶ 47–50; Sentencing Tr. at 72:12–72:17. His efforts successfully directed $2 million into his bank accounts. PSR ¶ 52. While other Americans used the same federal loan programs to save their small businesses and cover rent, Eldabbagh used his fraudulently obtained proceeds to buy a Tesla, designer clothes, electronics, and to pay attorney’s fees. Sentencing Tr. at 72:21–72:23. Eventually, federal officers put a stop to Eldabbagh’s initial activity when he was arrested in August 2021. PSR at 1. Even while under strict pretrial conditions, however, Eldabbagh persisted and tried to defraud a bank of more than $230,000. Bond Rev. Tr. at 7:07– 8, ECF No. 34. This stunt earned him pretrial detention. Id. at 10:17–10:19.

In April 2022, Eldabbagh pled guilty to wire fraud in violation of 18 U.S.C. § 1343 and to money laundering in violation of 18 U.S.C. § 1957. PSR ¶ 4; Plea Agreement at 1, ECF No. 29. This Court, upon review of the entire record and after carefully considering the 18 U.S.C. § 3553(a) factors, sentenced Eldabbagh to 120 months’ incarceration for each count, to be served concurrently, followed by 36 months of supervised release. Judgment at 2–3; Sentencing Tr. at 80:22–83:14. Now, Eldabbagh moves for a sentence reduction based on Amendment 821 to the Sentencing Guidelines and the compassionate release statute. 18 U.S.C. § 3582(c)(1)(A). He also moves the Court to appoint him counsel. Mot. Appoint. Counsel, ECF No. 76. These motions are now ripe. 1

1 Eldabbagh separately moves the Court to change his address. See Mot. Change Address, ECF No. 73. The docket currently reflects the address Eldabbagh mentions in the change-of-address motion, so the Court denies this motion as moot.

II.

Before turning to the substance of Eldabbagh’s motion, the Court addresses his request to appoint counsel. See Mot. Appoint. Counsel.

The Sixth Amendment right to counsel “extends to the first appeal of right, and no further.” Pennsylvania v. Finley, 481 U.S. 551, 555 (1987). That is why courts routinely recognize that for sentence reduction motions like Eldabbagh’s, courts may—but need not— appoint counsel. See, e.g., United States v. Whitebird, 55 F.3d 1007, 1011 (5th Cir. 1995) (explaining that “the decision whether to appoint counsel” for a § 3582(c)(2) motion “rests in the discretion of the district court”). United States v. Tidwell, 178 F.3d 946, 949 (7th Cir. 1999) (“How a district judge elects to consider a § 3582(c) motion to reduce a sentence is largely a matter of discretion. The judge can appoint counsel for a [§ 3582(c)] movant, but need not do so.”).

Courts appoint counsel in proceedings under § 3582(c) only “if the interests of justice so require” it. United States v. Evans, No. 1:18-cr-103, 2020 WL 3542231, at *3 n.3 (D.D.C. June 30, 2020) (cleaned up); cf. United States v. Scurry, 992 F.3d 1060, 1069 (D.C. Cir. 2021) (per curiam) (discussing the “interests of justice” standard for appointing counsel in the 28 U.S.C. § 2255 setting). Generally, the interests of justice do not call for the appointment of counsel in straightforward cases where a petitioner is unlikely to succeed on the merits of his claim. See United States v. Lawrence, No. 97-3095, 1998 WL 545406, at *1 (D.C. Cir. July 14, 1998) (per curiam) (noting that an “insufficient likelihood of success on the merits” cuts against appointing counsel in the post-conviction setting); see also United States v. Mala, 7 F.3d 1058, 1063–64 (1st Cir. 1993) (listing various factors as relevant to whether the interests of justice call for appointed

counsel). Eldabbagh’s case falls in that category and thus does not prompt appointment of counsel.

For starters, Eldabbagh’s motion involves straightforward claims that he has adequately handled unaided. Indeed, Eldabbagh requested counsel more than two months after he moved for a sentence reduction. Compare Mot. (filed on June 18, 2024), with Mot. Appoint. Counsel (filed on August 28, 2024); see also United States v. Campbell, 771 F. Supp. 2d 1, 5 (D.D.C. 2011) (denying motion to appoint counsel to assist with post-conviction motion where defendant had already filed the post-conviction motion). And the sentence reduction motion he filed features several coherent theories and legal authorities, confirming that Eldabbagh has the sophistication necessary to make legal arguments on his own behalf. Accord United States v. Waite, 382 F. Supp. 2d 1, 2 (D.D.C. 2005) (declining to appoint counsel to assist with a § 2255 motion where defendant herself was “able to articulate lucidly the legal basis” for her motion). Eldabbagh’s case does not involve issues so “factually complex” or “legally intricate” that he could not sufficiently handle them. See Mala, 7 F.3d at 1064.

Separately, Eldabbagh is unlikely to succeed on any of his claims, as the Court details below. Shortcomings on the substance further diminish his need for appointed counsel. See Lawrence, 1998 WL 545406, at *1 (“Appellant has demonstrated insufficient likelihood of success on the merits to support a determination that the interests of justice require appointment of counsel.”). Because Eldabbagh has failed to show the interests of justice require counsel, the

Court denies his motion.

III.

A.

Turning to the merits, the Court first considers Amendment 821’s effect on Eldabbagh’s sentence. About a year after the Court sentenced Eldabbagh, the U.S. Sentencing Commission promulgated Amendment 821, which changes how “status points” affect criminal history calculations. See Amend. 821 (Part A), U.S.S.C. (eff. Nov. 1, 2023). Under that amendment, the Guidelines no longer add two “status points” to an offender’s criminal history score for “committ[ing] the instant offense while under any criminal justice sentence.” Id. Now, offenders like Eldabbagh, who committed the present crime while on probation for a different crime, no longer receive status points for that circumstance alone. See U.S.S.G. § 4A1.1(e).

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