United States v. Robert Lewis Hedges

912 F.2d 1397, 1990 U.S. App. LEXIS 16914, 1990 WL 129266
CourtCourt of Appeals for the Eleventh Circuit
DecidedSeptember 26, 1990
Docket89-7705
StatusPublished
Cited by41 cases

This text of 912 F.2d 1397 (United States v. Robert Lewis Hedges) is published on Counsel Stack Legal Research, covering Court of Appeals for the Eleventh 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. Robert Lewis Hedges, 912 F.2d 1397, 1990 U.S. App. LEXIS 16914, 1990 WL 129266 (11th Cir. 1990).

Opinion

DYER, Senior Circuit Judge:

Hedges appeals his conviction of taking government action while having a conflicting financial interest in violation of Title 18, United States Code, Section 208(a). We agree with the district court that the statute is properly construed as a strict liability offense and is not unconstitutionally vague as applied to Hedges. We reverse, however, because it was error to refuse to instruct the jury on Hedges’ entrapment by estoppel defense.

Statement of the Case

Hedges served in the United States Air Force for over 23 years and attained the rank of Colonel. He was a regulated federal employee under Section 208. He assumed command of the Automated System Project Office (ASPO) in July 1981. In late 1983, he decided to retire from Government service and to seek civilian employment. In January 1984, he notified his superior officer of this decision and sought permission to work in the private sector during his 60-day terminal leave period. His request was granted. His terminal leave was to commence on June 2, 1984, and his full retirement was to be effective on August 1, 1984.

In Hedges’ position as Commander and Program Manager of ASPO, he was responsible for the conduct and implementation of two programs, i.e., Phase IV and the Inter-Service/Agency Automated Message Processing Exchange (I-S/AAMPE). Phase IV was a large contract which was to take the existing computer systems used by all Air Force bases world-wide, analyze them and develop new systems which would operate new hardware and software with enhanced expansion and workload capabilities. The estimated life-cycle cost was $1 billion. I-S/AAMPE, another large contract, which had yet to be released for bids, was designed to provide a computerized data and communications network between all Services. The estimated life-cycle cost was between $4 and $5 billion.

Sperry Corporation was one of many potential bidders for the award of the IS/AAMPE contract and was the prime contractor for Phase IV.

Hedges was also the chairman of the Source Selection Evaluation Board for the I-S/AAMPE Program. The Board was responsible for preparing the formal contracting Requests For Proposals (RFP) released to industry and evaluating proposals submitted by contractors.

Captain Lehman was Staff Judge Advocate for the ASPO and was responsible for program and contract matters. He was also Standards of Conduct Counselor charged with advising personnel about conflict of interest matters and issues involving violations of regulations. Lehman worked closely with Hedges on Phase IV *1399 and I-S/AAMPE and was fully familiar with Hedges’ efforts and responsibilities.

Hedges took several actions in late May and on June 1, 1984 (prior to his terminal leave which began on June 2, 1984) concerning Phase IV and I-S/AAMPE. On May 17, 21, 23, 25, 31 and June 1, 1984 he signed several contract change proposals for Phase IV. On May 14 and 25, 1984, he approved an I-S/AAMPE Report and Decision Memorandum, and on May 24, 1984, he attended a briefing related to the IS/AAMPE RFP. These actions did not result in the payment of any money to Sperry or pertain to the award of any contract and were in the best interests of the Air Force since they resulted in substantial savings to the Air Force.

Hedges’ corporate counterpart at Sperry on the Phase IV program was Traylor, Vice President of Sperry’s Federal Projects Operations, located in McLean, Virginia. They spoke with each other regularly on the telephone and at meetings. Hedges first raised the subject of his impending retirement in April 1984 in a telephone conversation with Traylor during which Hedges asked for general advice about entering private industry. Traylor understood that Hedges was considering either teaching or seeking private employment in the aerospace industry. In addition to giving Hedges general advice, Traylor also told him that if Hedges wanted to go into the data processing industry, he would appreciate it if he would tell Traylor about it and give the Sperry Corporation an opportunity to hire him. Hedges indicated that he had no interest in working for Sperry.

Despite Hedges’ disinterest in working for Sperry, Traylor had his personnel manager prepare a draft consulting agreement so that he would be ready if, later on, Hedges changed his mind and decided to go into data processing or communications with a private corporation. Hedges did not know about this.

In mid-May 1984, Hedges decided to consider defense consulting work, in addition to teaching. About this time, Hedges had another telephone conversation with Tray-lor and told him that he had opened his options to include consulting and that he might discuss the possibility of employment with Teledyne or Compusec. Traylor indicated that he would be interested in Hedges consulting for Sperry, but Hedges did not respond to this suggestion.

On May 29, 1984, Traylor spoke again with Hedges and raised the possibility of Hedges’ employment with Sperry. He told Hedges that he was preparing to send a boiler-plate consulting agreement to him. In terms of salary, Traylor said he was looking at a range of about $65,000. Hedges responded that he expected $75,000. Traylor told Hedges that he had no authority to offer Hedges a job, a salary, or consulting agreement, but that he thought he could get the salary requirement from his superiors at Sperry. During this conversation, Traylor and Hedges also discussed the fact that Hedges would be working for the Sperry I-S/AAMPE Program Manager.

Hedges told Traylor that he had been receiving guidance from his Standards of Conduct Counselor, Lehman, and that he could not and would not consider accepting employment with Sperry until Lehman reviewed the draft for compliance with all conflict of interest laws and regulations and gave him the green light to proceed. Traylor told Hedges that any future offer of employment would also have to be cleared for potential conflicts by Sperry’s legal department. Traylor subsequently spoke with his corporate superiors and they approved a salary of $75,000.

Hedges received the letter consulting agreement draft at his home on May 31, 1984. It contained no salary or terms of employment. On June 1, 1984, Hedges’ last day prior to terminal leave, he asked Lehman to review the draft. Lehman raised several substantive objections and either edited or redrafted portions of the draft in order to satisfy the conflict of interest concerns. Lehman did not tell Hedges that the consulting agreement should not be discussed with Sperry, nor did he tell Hedges to wait until his terminal leave began in 24 hours, at which time employment negotiations could proceed *1400 without risk of violating any statutes or regulations.

After the draft was marked up by Lehman, Hedges telephoned Sperry’s attorney Reisman, and told him that the consulting agreement would have to be changed as he could not perform some of the work requirements contained in the draft agreement. ,

On June 4, 1984, while Hedges was on terminal leave, Traylor informed him that the consulting agreement would be modified as requested and that Reisman had approved it. On June 8, 1984, Hedges signed the agreement and he started to work for Sperry after June 11, 1984.

After June 1, 1984, while on terminal leave, Hedges was free to negotiate with Sperry.

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Cite This Page — Counsel Stack

Bluebook (online)
912 F.2d 1397, 1990 U.S. App. LEXIS 16914, 1990 WL 129266, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-robert-lewis-hedges-ca11-1990.