United States v. Simon

186 F. Supp. 223, 1960 U.S. Dist. LEXIS 3421
CourtDistrict Court, S.D. New York
DecidedJuly 11, 1960
StatusPublished
Cited by4 cases

This text of 186 F. Supp. 223 (United States v. Simon) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
United States v. Simon, 186 F. Supp. 223, 1960 U.S. Dist. LEXIS 3421 (S.D.N.Y. 1960).

Opinion

METZNER, District Judge.

The defendants move to dismiss the indictment or, in the alternative, particular counts of the indictment on the following grounds:

(1) Dismissal of all counts of the indictment because they do not state a crime against the United States.

(2) Dismissal of all counts of the indictment because the statutes and allegations are indefinite and uncertain and therefore do not inform the defendants of the crimes with which they are charged.

(3) Dismissal of counts 1 through 35 because they are multiplicitous and do not charge a crime against the United States.

(4) Dismissal of counts 36 through 70 for the reasons given in (3) above.

(5) Dismissal of counts 71 through 80 for the reasons given in (3) above.

(6) Dismissal of count 81 because it does not charge a single crime, but rather multiple crimes, and is thus vague and duplicitous in not informing the defendants of the accusation against them.

The defendants conducted a school which gave courses in electronics, mostly to veterans. The first 35 counts charge that the defendants made, caused to be made and procured the presentation to the Veterans Administration of 35 separate certificates, each called a “Monthly Certification of Training” (VA Form VB7-1996b), which were false and fraudulent concerning a claim for benefits for education and training allowances. The falsity charged is the alleged understatement in each certificate of absences and tardinesses of the student to which the certificate refers. These alleged falsifications are charged to be violations of 38 U.S.C. § 715 (1952 Edition) .1

Counts 36 through 70 of the indictment charge that the defendants made and presented to the Veterans Administration the same certificates referred to in the first 35 counts which were false, fictitious and fraudulent concerning a claim for payment for education and training allowances in violation of 38 U. S.C. § 979(1) (1952 Edition).

Counts 71 through 80 charge that the defendants made and presented 10 separate certificates, each called an “Enrollment Certification” (VA Form 7-1999). The charge is that the defendants falsely certified that on the day of enrollment of the student listed in each enrollment certificate not more than 85% of the students at the. school were having all or part of their tuition paid by the Veterans Administration or the school. These counts charge violations of 38 U.S.C. § 979(1).

Finally, in count 81 it is charged that the defendants conspired with 43 other named persons to violate §§ 715 and 979 and to defraud a United States agency by making, causing to be made, presenting and causing to be presented claims for benefits for education and training allowances, knowing the claims to be false.

The defendants’ first attack on the indictment is based upon their interpretation of the words “concerning any claim for benefits” contained in § 715. They argue that the monthly certification form does not concern a claim for benefits within the meaning of § 715 and therefore counts 1 through 35 do not allege a crime against the United States.

[226]*226The Veterans Administration pays to each eligible veteran who is pursuing a program of education, and who applies therefor, an education and training allowance. 38 U.S.C. § 941(a) (1952 Edition).2 No allowance shall be paid to an eligible veteran for any period until the Administrator shall have received from the veteran and from the educational institution a certification as to attendance and enrollment. 38 U.S.C. § 941(c) (1) (B) and (c) (2). Education and training allowances shall be paid within 20 days after receipt by the Administrator of the required certification.

There is no argument with defendants’ contention that these payments are gratuities (see Lynch v. United States, 1934, 292 U.S. 571, 54 S.Ct. 840, 78 L. Ed. 1434; Hormel v. United States, D. C.S.D.N.Y.1954, 123 F.Supp. 806) and that a “claim” against the government has been construed to mean “a demand for money or for some transfer of public property.” United States v. McNinch, 1958, 356 U.S. 595, 599, 78 S.Ct. 950, 952, 2 L.Ed.2d 1001. However, defendants’ misconception lies in the attempt to interpret § 715 as limited solely to a “claim” and therefore not applicable to a gratuity. The fact is that the word “gratuities” could be used as a synonym for benefits in this section so that it could read “concerning any claim for gratuities”. If defendants’ limited interpretation of this section were to be adopted, this court would have to hold that Congress enacted a meaningless provision when it made § 715 applicable to Sub-chapter II, Chapter XIV, 38 U.S.C. (§ 980) (1952 Edition). Cf. Karrell v. United States, 9 Cir., 1957, 247 F.2d 706, 708. The statute is specific when it refers to “concerning any claim for benefits”, and the question really is whether the monthly certification concerns a claim for a benefit.

As indicated above, this certificate is a necessary condition precedent to the payment of benefits to the veteran. Therefore, as it is a step in the disbursement procedures it must be embraced within the words “concerning any claim for benefits”.

In addition, the statute (38 U.S.C. § 941(b) (2)) provides that a veteran shall not receive these benefits for any day of absence in excess of 30 days in a 12-month period. This further buttresses the interpretation that the certification concerns a claim for benefits. Finally, the instructions on the back of the certificate (VA Form VB7-1996b) provide that:

“The education and training allowance cannot be paid for any month until this form completed for that month is received by the VA.”

and further provide that:

“The school or training establishment must verify the accuracy of the absence record reported by the veteran. The signature of the responsible official of the school or training establishment constitutes a certification that the veteran’s report is correct except as explained in item 11, ‘Remarks.’ ”

The defendants’ second attack on the indictment is directed to counts 36 through 70 and is based upon their interpretation of the words “concerning any claim for payment” contained in § 979 (1). Arguments similar to those made against counts 1 through 35 are presented. For the reasons stated above these objections must be overruled.

We now come to counts 71 through 80 of the indictment, which charge the defendants with violating 38 U.S.C. § 979

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Bluebook (online)
186 F. Supp. 223, 1960 U.S. Dist. LEXIS 3421, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-simon-nysd-1960.