United States v. Luminaire Environmental And Technologies

358 F. Supp. 3d 829
CourtDistrict Court, D. Maine
DecidedJuly 12, 2018
DocketCase No. 17-CR-0237 (PJS/DTS)
StatusPublished
Cited by1 cases

This text of 358 F. Supp. 3d 829 (United States v. Luminaire Environmental And Technologies) is published on Counsel Stack Legal Research, covering District Court, D. Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Luminaire Environmental And Technologies, 358 F. Supp. 3d 829 (D. Me. 2018).

Opinion

Patrick J. Schiltz, United States District Judge

Defendants are charged with various offenses arising out of an alleged scheme in which they contracted to transport and properly dispose of materials containing toxic chemicals, but instead fraudulently diverted and sold the materials as scrap metal. In addition to conspiracy and fraud charges, defendants are charged in Counts 17-22 with falsifying documents in violation of 18 U.S.C. § 1519. Specifically, the indictment charges them with falsely certifying that the hazardous materials had been received at their facility when in fact the materials had been diverted and sold.

This matter is before the Court on defendants' objection to Magistrate Judge David T. Schultz's May 11, 2018 Report and Recommendation ("R & R"). Judge Schultz recommends denying defendants' motion to dismiss Counts 17-22. Having reviewed the matter de novo, see 28 U.S.C. § 636(b)(1), Fed. R. Crim. P. 59(b)(3), the Court agrees with Judge Schultz's analysis, adopts the R & R, and denies defendants' motion to dismiss.

Section 1519 provides as follows:

*831Whoever knowingly alters, destroys, mutilates, conceals, covers up, falsifies, or makes a false entry in any record, document, or tangible object with the intent to impede, obstruct, or influence the investigation or proper administration of any matter within the jurisdiction of any department or agency of the United States or any case filed under title 11, or in relation to or contemplation of any such matter or case, shall be fined under this title, imprisoned not more than 20 years, or both.

In United States v. Yielding , the Eighth Circuit held that § 1519 does not require the government to prove that the defendant knew that his actions were likely to affect an investigation or other federal proceeding. United States v. Yielding , 657 F.3d 688, 712 (8th Cir. 2011). Instead, it is sufficient for the government to prove that the defendant acted in contemplation of and with the intent to impede, obstruct, or influence such a proceeding. Id. This is true even if the proceeding is neither pending nor especially likely to occur. See id. at 712 ("[W]e do not think the statute allows an accused with the requisite intent to avoid liability if he ... shredded a document for the purpose of eliminating a small but appreciable risk that the document would lead investigators to discover his wrongdoing."); see also Yates v. United States , --- U.S. ----, 135 S.Ct. 1074, 1087, 191 L.Ed.2d 64 (2015) (plurality opinion) (noting that § 1519"covers conduct intended to impede any federal investigation or proceeding, including one not even on the verge of commencement").

In so holding, the Eighth Circuit distinguished United States v. Aguilar , 515 U.S. 593, 115 S.Ct. 2357, 132 L.Ed.2d 520 (1995), and Arthur Andersen LLP v. United States , 544 U.S. 696, 125 S.Ct. 2129, 161 L.Ed.2d 1008 (2005). Aguilar construed 18 U.S.C. § 1503 -which criminalizes (among other things) corruptly obstructing "the due administration of justice"-to require the government to prove knowledge that the defendant's acts were likely to affect a particular proceeding. Aguilar , 515 U.S. at 599-600. Relying on Aguilar, Arthur Andersen read a similar requirement into 18 U.S.C. § 1512(b)(2), which criminalizes (among other things) corruptly persuading another to withhold or destroy documents to prevent their use in an official proceeding. Arthur Andersen , 544 U.S. at 707-08, 125 S.Ct. 2129.

Defendants contend that Yielding is no longer good law in light of the Supreme Court's recent decision in Marinello v. United States , --- U.S. ----, 138 S.Ct. 1101, 200 L.Ed.2d 356 (2018). Marinello held that 26 U.S.C. § 7212(a), which makes it a felony to "in any ... way corruptly ... obstruct[ ] or impede[ ] ... the due administration of" the Internal Revenue Code, requires proof of a "nexus" between the defendant's conduct and a particular proceeding that is either pending or reasonably foreseeable. Id. at 1109-10 ; see also

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Bluebook (online)
358 F. Supp. 3d 829, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-luminaire-environmental-and-technologies-med-2018.