United States v. Fiander

547 F.3d 1036, 2008 U.S. App. LEXIS 22053, 2008 WL 4661821
Court of Appeals for the Ninth Circuit·Decided October 23, 2008·No. 07-30251·Published·Cited by 37 cases

Opinion

TASHIMA, Circuit Judge:

Roger Fiander, a member of the Confederated Tribes and Bands of the Yakama Nation, was charged with several other defendants in a multi-count indictment with numerous violations related to trafficking in contraband cigarettes. The charges included violations of the Contraband Cigarette Trafficking Act (“CCTA”), 18 U.S.C. § 2342(a); conspiracy to violate the CCTA, 18 U.S.C. §§ 2, 371, and 2342(a); conspiracy to violate the Racketeer Influenced and Corrupt Organizations Act (“RICO”), 18 U.S.C. § 1962(d); and money laundering, 18 U.S.C. §§ 1956 and 1957. Fiander agreed to plead guilty to Count One of the indictment, conspiracy to violate RICO, and the government agreed to move to dismiss the numerous other counts. Shortly thereafter, however, we decided United States v. Smiskin, 487 *1038 F.3d 1260 (9th Cir.2007), holding that the application of the CCTA to Yakama Indians violated the Yakama Treaty of 1855. We therefore upheld the dismissal of an indictment against two members of the Yakama Nation. Pursuant to Smislcin, after briefing, the district court dismissed the indictment. The government timely appealed. We have jurisdiction pursuant to 18 U.S.C. § 3731 and 28 U.S.C. § 1291, and we now reverse.

I.

The district court’s decision to dismiss the indictment is reviewed de novo. United States v. Jackson, 480 F.3d 1014, 1016 (9th Cir.2007). “ ‘Generally, an indictment is sufficient if it sets forth the elements of the charged offense so as to ensure the right of the defendant not to be placed in double jeopardy and to be informed of the offense charged.’ ” United States v. Fernandez, 388 F.3d 1199, 1217-18 (9th Cir.2004) (quoting United States v. Rodriguez, 360 F.3d 949, 958 (9th Cir.2004)), modified by 425 F.3d 1248 (9th Cir.2005).

II.

Fiander was a member of an organization called the Mahoney Enterprise, which trafficked in contraband cigarettes between Idaho and Washington. Louie Mahoney owned and operated JKL Enterprises on the Coeur d’Alene Indian reservation in Idaho. JKL Enterprises ordered cigarettes from Washington wholesalers using the tribal tobacco license and retail addresses of Christine Mahoney-Meyer and Margaret Jose. JKL Enterprises then took cigarette orders from Washington tribal retailers. Fian-der’s role was to deliver cigarette orders to two retailers on the Yakama Indian Reservation in Washington. Fiander picked up cheeks from the retailers in Washington, drove to Idaho to pick up the cigarettes, and transported the cigarettes to Washington.

Fiander was charged under the CCTA, which provides that it is “unlawful for any person knowingly to ship, transport, receive, possess, sell, distribute, or purchase contraband cigarettes or contraband smokeless tobacco.” 18 U.S.C. § 2342(a). Contraband cigarettes are defined by reference to state law:

[T]he term “contraband cigarettes” means a quantity in excess of 10,000 cigarettes, which bear no evidence of the payment of applicable State or local cigarette taxes in the State or locality where such cigarettes are found, if the State or local government requires a stamp, impression, or other indication to be placed on packages or other containers of cigarettes to evidence payment of cigarette taxes, and which are in the possession of any person other than a person otherwise authorized to possess such cigarettes. 18 U.S.C. § 2341(2).

In order to enforce its cigarette tax, Washington law requires cigarettes sold in the state to have a stamp showing either that the tax was paid or that the cigarettes were tax-exempt. Wash. Rev.Code §§ 82.24.030(1) & (2). It is illegal to transport unstamped cigarettes in the state unless authorized to possess unstamped cigarettes. Wash. Rev.Code § 82.24.250.

[A] “person authorized ... to possess unstamped cigarettes” means:
(a) A wholesaler, licensed under Washington state law;
(b) The United States or an agency thereof; [and]
(c) Any person, including an Indian tribal organization, who, after notice has been given to the board as provided in this section, brings or causes to be brought into the state unstamped cigarettes, if within a period of time after receipt of the cigarettes as the depart *1039 ment determines by rule to be reasonably necessary for the purpose the person has caused stamps to be affixed in accordance with RCW 82.24.030 or otherwise made payment of the tax required by this chapter in the manner set forth in rules adopted by the department.

Wash. Rev.Code § 82.24.250(7).

“Under federal law the state may not tax Indians or Indian tribes in Indian country.” Wash. Admin. Code § 458-20-192. However, ‘Washington law requires that cigarettes destined for sale to Indians be pre-approved by the Washington State Department of Revenue.” Grey Poplars Inc. v. 1,371,100 Assorted Brands of Cigarettes, 282 F.3d 1175, 1178 (9th Cir.2002). Washington law further prohibits the transportation of unstamped cigarettes other than by “[a] licensed wholesaler in the wholesaler’s own vehicle,” or by a person who has given notice to the liquor control board “in advance of the commencement of transportation.” Wash. Rev.Code § 82.24.250(1); see Wash. Rev. Code § 82.24.010 (defining “board” to mean “the liquor control board”).

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United States v. Fiander, 547 F.3d 1036, 2008 U.S. App. LEXIS 22053, 2008 WL 4661821 (9th Cir. 2008).

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