United States v. Lisa

152 F. App'x 85
CourtCourt of Appeals for the Second Circuit
DecidedOctober 25, 2005
DocketNo. 04-3209-CR
StatusPublished
Cited by2 cases

This text of 152 F. App'x 85 (United States v. Lisa) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second 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. Lisa, 152 F. App'x 85 (2d Cir. 2005).

Opinion

SUMMARY ORDER

Defendant Michael J. Lisa pleaded guilty to a mail fraud conspiracy to double bill for medical services. See 18 U.S.C. § 371. Presently incarcerated to a term of one-year and one-day — a downward departure from his 21-27 month Sentencing Guidelines range pursuant to U.S.S.G. § 5K1.1 — Lisa appeals his sentence on the grounds that the district court erred (1) in ordering restitution to Jamaica Hospital in the amount of $321,608.18 and (2) in using that loss amount as the basis for calculating his Guidelines offense level. The government consents to an order by this court vacating the restitution provision of Lisa’s sentence and remanding to the district court for resentencing as to restitution. It opposes Lisa’s challenge to his Guidelines calculation as without merit, but it consents to a remand for further proceedings consistent with United States v. Crosby, 397 F.3d 103 (2d Cir.2005). We assume the parties’ familiarity with the facts and record of prior proceedings, which we reference only as necessary to explain our decision.

1. Plain Error Review

Because Lisa did not object in the district court to the Guidelines offense level or restitution order, we review his challenges on appeal only for plain error. See United States v. Cotton, 535 U.S. 625, 631-32, 122 S.Ct. 1781, 152 L.Ed.2d 860 (2002); United States v. Williams, 399 F.3d 450, 454 (2d Cir.2005). Plain error review requires us to find (1) error, (2) that is plain, and (3) that affects substantial rights. United States v. Olano, 507 U.S. 725, 732-34, 113 S.Ct. 1770, 123 L.Ed.2d 508 (1993). In such narrow circumstances, we may notice a forfeited error, but only if it seriously affects the fairness, integrity, or public reputation of judicial proceedings. Id.; see United States v. Catoggio, 326 F.3d 323, 326 (2d Cir.2003) (recognizing that improper restitution order can constitute plain error).

2. Restitution

The law requires a sentencing court “to order full restitution to the identifiable victims of certain crimes, including fraud, without regard to a defendant’s economic circumstances.” United States v. Zak[87]*87hary, 357 F.3d 186, 189 (2d Cir.2004); see 18 U.S.C. §§ 3663A(c)(1); 3664(f)(1)(A). Absent an agreement by the parties, the court may order restitution only for losses attributable to the offense of conviction, not for related conduct. See United States v. Silkowski, 32 F.3d 682, 688-89 (2d Cir. 1994); see also 18 U.S.C. § 3663A(a)(3).

When the offense of conviction “involves as an element a scheme, conspiracy, or pattern of criminal activity,” a convicted co-conspirator is liable to pay restitution to persons “directly harmed by the defendant’s conduct in the course of the scheme, conspiracy, or pattern.” 18 U.S.C. § 3663A(a)(2); see United States v. Boyd, 222 F.3d 47, 50 (2d Cir.2000) (per curiam). In Boyd, we noted that this conclusion obtained “even on uncharged or acquitted counts.” Id. at 51. In that case, a defendant acquitted on a conspiracy count was nevertheless ordered to pay restitution for losses sustained by the victims of the conspiracy. The court noted that, the jury’s guilty verdict on Pinkerton charges, see Pinkerton v. United States, 328 U.S. 640, 66 S.Ct. 1180, 90 L.Ed. 1489 (1946), necessarily meant that the jury found that the defendant participated in the conspiracy, see United States v. Boyd, 222 F.3d at 51. Neither Boyd nor any other case, however, holds that a defendant can be required to pay restitution for losses caused by acquitted or uncharged conduct that extends beyond the “scheme, conspiracy, or pattern of criminal activity” included “as an element” of the offense of conviction. 18 U.S.C. § 3663A(a)(2) (emphasis added). Indeed, such a ruling might present Apprendi concerns. See Apprendi v. New Jersey, 530 U.S. 466, 120 S.Ct. 2348, 147 L.Ed.2d 435 (2000).

In this case, the sole count of conviction is conspiracy. It is not clear from the record, however, whether the district court’s restitution order of $321,608.18 payable to Jamaica Hospital reflects a loss fairly attributable to the charged fraud conspiracy. Pursuant to that scheme, Lisa and his confederates double billed for services provided by Jamaica Hospital, and then kept the payments. At the same time, they apparently also profited by failing to remit to Jamaica Hospital payments collected on proper initial billings. In neither circumstance were Lisa and his partners entitled to the money retained, but because only the double billing scheme was an element of the charged conspiracy — the other fraud being simultaneous but distinct — mandatory restitution applied only to the harms or losses caused by the pattern of double billing. Thus, the district court would have committed error if, in ordering restitution in the amount of $321,608.18, it also compensated Jamaica Hospital for the loss of its legitimate billings.

A further concern arises as to whether Jamaica Hospital can properly be considered a victim of the double billing fraud. It would appear that, in the first instance, the victims of this fraud were insurance companies who paid the duplicative bills. On the other hand, if Jamaica Hospital compensated these insurance companies for their losses, the hospital would be entitled to an award of restitution. See 18 U.S.C. § 3664(j)(l) (“If a victim has received compensation from ... any other source with respect to a loss, the court shall order that restitution be paid to the person who provided or is obligated to provide the compensation, but the restitution order shall provide that all restitution ... be paid to the victims before any restitution is paid to such a provider of compensation.”).

Because the record only permits us to identify these concerns, not necessarily to resolve them in favor of Lisa, we can hardly conclude that he has demonstrated er[88]*88ror, much less plain error, by the district court in ordering restitution.

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Bluebook (online)
152 F. App'x 85, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-lisa-ca2-2005.