United States v. McGovern

505 F. Supp. 195, 1981 U.S. Dist. LEXIS 10454
CourtDistrict Court, W.D. Pennsylvania
DecidedJanuary 22, 1981
DocketCrim. No. 80-168-Erie
StatusPublished
Cited by2 cases

This text of 505 F. Supp. 195 (United States v. McGovern) is published on Counsel Stack Legal Research, covering District Court, W.D. Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. McGovern, 505 F. Supp. 195, 1981 U.S. Dist. LEXIS 10454 (W.D. Pa. 1981).

Opinion

OPINION

WEBER, Chief Judge.

The defendants here are charged with violation of the federal statute covering the interstate transportation of forged travelers’ checks, with unlawful or fraudulent intent, under 18 U.S.C. § 2314 par. four. Only the element of forgery is at issue here.

Neither the ingenuity of counsel nor the laborious plowing of the court has discovered a similar scheme in the reported cases. The court cannot comprehend the actions of the defendants in crossing a state line as being done deliberately as part of a scheme to establish a defense to federal prosecution but that suggestion now faces us. The same acts if done within a single state would subject defendants to a variety of state charges. Nor, as shown by the conclusion we reach here, can we accept the suggestion that no federal prosecutor would pursue an action for violation of the federal travelers’ check statute under the facts set forth herein.

The matter was heard by the court without jury upon the waiver of jury trial made by the defendants in open court. From the evidence the court makes the following:

Findings of Fact

1. In August of 1978 defendant McGovern owed money to defendant Scull.

2. In order to repay the debt defendants McGovern and Scull devised a scheme to obtain funds through a transfer of travelers’ checks.

3. Under the scheme Scull provided McGovern with cash in the amount of $2424.00 to purchase $2400.00 in travelers’ checks issued to McGovern.

4. On August 30,1978 twenty four travelers’ checks in the amount of $100.00 each were issued by a branch of Citibank in Niagara Falls, New York to James McGovern who signed each of the checks in the upper right hand corner. These are the checks described in the indictment.

[196]*1965. At the time of the issue of the checks to defendant McGovern, defendant Scull practised imitating McGovern’s signature.

6. On the same day, August 30, 1978, defendants McGovern and Scull traveled together from Niagara Falls, New York to Erie, Pennsylvania.

7. In Erie, Pennsylvania on August 30, 1978, defendant McGovern gave defendant Scull McGovern’s driver’s license so that Scull could identify himself as McGovern.

8. On August 30, 1978 defendant Scull entered two banks in Erie, Pennsylvania, identified himself as McGovern with the aid of McGovern’s driver’s license, presented the travelers’ checks for cashing, signed McGovern’s signature on each check in the space provided for countersignature and received $2400 in cash. Scull was identified by one teller and his fingerprints appeared on various of the travelers’ checks cashed at both the banks.

9. All the acts performed by defendant Scull were done with the knowledge, consent and assistance of defendant McGovern.

10. The 24 travelers’ checks which were cashed in Erie, Pennsylvania banks were forwarded through banking channels to New York, N. Y. for ultimate collection.

11. After cashing the checks both defendants returned to the state of New York.

12. On August 31, 1978, defendant McGovern filed a report with local police in New York state saying that the checks had been stolen from his automobile at the Buffalo, N. Y. airport on August 30, 1978.

13. On September 1, 1978, defendant McGovern reported to a branch of Citibank in Amherst, N. Y. that the travelers’ checks had been stolen from his auto at the Buffalo, N. Y. airport on August 30, 1978 and that the theft had been reported to the police.

14. On September 1, 1978, Citibank issued $2400 worth of replacement travelers’ checks to defendant McGovern at his request based on his theft report.

15. On February 23, 1979, after being advised of his rights, defendant McGovern admitted the above facts to an agent of the F.B.I.

DISCUSSION

The defendants here were charged in the indictment under paragraph four of 18 U.S.C. § 2314, which defines as an offense:

Whoever, with unlawful or fraudulent intent, transports in interstate or foreign commerce any travelers’ checks bearing a forged countersignature...

18 U.S.C. § 2314 was amended in 1968 by the addition of the above paragraph four to cover a situation where judicial construction excluded from the other provisions of Section 2314 a validly executed instrument bearing a forged countersignature. Streett v. U. S., 331 F.2d 151 (8th Cir. 1964).

The legislative history of paragraph four shows that it was intended to cover only those instruments commonly known as travelers’ checks. U.S.Code Congressional and Administrative News, pp. 3654-55, 3656-57 (1968).

A number of cases have been cited to us which were decided prior to the 1968 amendment and are mostly of limited value because they were brought under paragraph three of Section 2314 which includes in the offense the words “falsely made, forged, altered, or counterfeited securities”. A distinction is now drawn between the forgery requirement at paragraph four and the falsely made requirement of paragraph three at § 2314. U. S. v. Huntley, 535 F.2d 1400 (5th Cir. 1976).

Thus, we are limited to the question of whether the signature described in the findings of fact constitutes a “forgery” under paragraph four of Section 2314.

In Gilbert v. U. S., 370 U.S. 650, 82 S.Ct. 1399, 8 L.Ed.2d 750 (1962) it was held that the crime of forgery is defined by the common law as it existed in 1823.

Forgery is not defined in the statute. Forgery is generally defined as ‘the false making or materially altering, with intent to defraud, of any writing, which, if [197]*197genuine, might be of legal efficacy, or the foundation of legal liability.’ 37 C.J.S. Forgery § 1....... It has been held that ‘forged’ and ‘falsely made’ as used in the statute are ‘homogenous, partaking of each other .... synonymously construed to describe a spurious or fictitious making as distinguished from a false or fraudulent statement’. Marteney v. United States, 216 F.2d 760, 763 (10th Cir. 1954). Edge v. U. S, 270 F.2d 837 (5th Cir. 1959).

A series of cases cited by defendants stem from U. S. v. Sonnenberg, 158 F.2d 911 (3rd Cir. 1946), in which the defendants were charged with forgery under 18 U.S.C. § 73. The essential question in that case was the existence of authority to sign another’s name.

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505 F. Supp. 195, 1981 U.S. Dist. LEXIS 10454, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-mcgovern-pawd-1981.