United States v. Wells

623 F.3d 332, 2010 U.S. App. LEXIS 21066, 2010 WL 3958647
CourtCourt of Appeals for the Sixth Circuit
DecidedOctober 12, 2010
Docket09-3276
StatusPublished
Cited by35 cases

This text of 623 F.3d 332 (United States v. Wells) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth 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. Wells, 623 F.3d 332, 2010 U.S. App. LEXIS 21066, 2010 WL 3958647 (6th Cir. 2010).

Opinion

OPINION

CLELAND, District Judge.

Defendant-Appellant Oscar Wells was convicted of conspiracy to violate, and three counts of substantive violations of, the Hobbs Act, 18 U.S.C. § 1951. Wells was the ‘Water Pipe Repair Supervisor” at the Cleveland, Ohio, Water Department, whose duties included supervising the city’s various repair and replacement contracts undertaken by private entities and individuals. Wells was convicted for his immersion in a scheme that noticeably improved his 2003 income by the solicitation and acceptance of about $40,000 in bribes paid by two contractors in return for channeling projects to them. Wells appeals, alleging prosecutorial misconduct and ineffective assistance of counsel. We AFFIRM.

I. BACKGROUND

On October 24, 2007, Wells (“Defendant”) was charged in a five-count indictment consisting of one count of conspiracy to commit bribery (count 1), in violation of the Hobbs Act; three counts of bribery (counts 2, 4, and 5), also in violation of the Hobbs Act; and one count of conspiracy to commit money laundering (count 3). Counts 1-3 involved activities with coconspirators and testifying witnesses, Jimmy Gates and Liberator Noce. Gates and Noce both cooperated with the Government, testified against Defendant, and received beneficial plea agreements from the Government. Counts 4-5 involved conduct with Larry Insana. Defendant’s trial began on September 30, 2008, and on October 3, 2008, the jury returned a guilty *336 verdict on all counts. The district court, however, granted Wells’s motion for judgment of acquittal on count 3 on October 10, 2008. Defendant filed a motion for a new trial based on newly discovered evidence on October 15, 2008, which the district court denied on March 9, 2009, the same day Defendant was sentenced. Judgment was entered on March 11, 2009; Defendant timely appealed on March 12, 2009.

Defendant’s activities as “Water Pipe Repair Supervisor” at the City of Cleveland Water Department (“the Water Department”), included supervising repair and replacement contracts such as those involving Noce and Insana. Defendant solicited, and Noce paid, bribes totaling around $40,000 during 2003. The thrust of the scheme was that Defendant would direct legitimate city work to Noce; Noce would improperly inflate the cost of the work and pass the excess charges on to Defendant as bribes. Defendant and Noce would meet weekly to discuss reconciling the Department’s “job cards” with Noce’s records and invoices. It was one of Defendant’s job duties to ensure that the work performed by contractors matched what was charged by them. Gates was Defendant’s supervisor. According to Gates, he eventually became suspicious of some of the line items being charged by Noce, and he confronted Defendant. Defendant suggested that Gates join the bribery scheme and that Defendant would split the bribes with Gates. Noce’s testimony was to some extent inconsistent with Gates’s explanation. Noce testified that the first time Defendant sought a bribe from him, Noce reported it to Gates, who did nothing. The three eventually met in person and outlined the details of the plan: Noce would inflate his charges, and pass the inflated amount on to Defendant, who would then split the money evenly with Gates. Initially, Noce would deliver the bribes in cash to Gates or Defendant. Gates testified that Noce said he did not want to pay income taxes on the inflated amounts and wanted to deduct the bribes as business expenses. Accordingly, he asked if he could pay the bribes in checks. Noce testified that his suggestion to pay by check was an attempt to discourage Defendant and Gates from continuing the bribery scheme. Defendant refused to accept checks, but Gates accepted four checks in 2003. On the days that Gates cashed the checks, Defendant’s banking records showed cash deposits in amounts roughly equal to what would be expected to be his share of the bribes. Eventually, the parties to the bribery scheme became aware of a law enforcement investigation. Gates testified that, during initial interviews with the FBI, he lied and tried to coverup the scheme. Gates also actively attempted to stymie the investigation. He sent letters to Noce and Defendant stating that he wanted to “make sure they were all on the page” and expressing concern over the FBI investigation. Eventually, Gates decided to cooperate with the FBI and came clean. On the other hand, Noce, according to his testimony, cooperated with the FBI and told them “what [he] told the jury” at trial. Defendant argues that this testimony is inconsistent with what Noce originally told the FBI, and cites FBI reports which were not a part of the district court’s record. The reports are the subject of Defendant’s motion to supplement the record, and are relevant only to Defendant’s argument that his counsel was constitutionally defective for failing to impeach Noce with the prior inconsistent statements made to the FBI.

The Government also showed that Defendant took bribes from Larry Insana, another contractor. Insana testified that, on two occasions, he bribed Defendant to receive work from the Department. Insana also testified that he had a prior busi *337 ness relationship with Noce. He stated that the business partnership ended in 1986 because of a falling out with Noce, and that they did not speak again until roughly 1994. After the end of the trial, defense counsel discovered evidence suggesting that Insana and Noce started a business together in 2003 to purchase real estate. They each invested $30,000 in an LLC, which was organized to purchase undeveloped land, where a warehouse was built. Upon the leasing of the warehouse, Noce was supposed to buy out Insana’s share in the LLC for $150,000. Based on this evidence, Defendant moved for a new trial; the district court denied 1 the motion.

Defendant argues that the prosecutor made improper statements or elicited improper testimony several times throughout the trial. He points to the following as instances of prosecutorial misconduct. In her closing argument, the prosecutor stated that the jury was “entitled to hear from all of the participants in this scheme.” The prosecutor commented in her opening statement how Noce immediately cooperated with the investigation while Gates initially lied; she further commented that this is why she would recommend a lower sentence for Noce than for Gates. In her direct examination of Gates, the prosecutor elicited testimony concerning her recommended sentence. And she did the same during Noce’s direct examination. In her closing argument, the prosecutor remarked upon the terms of Noce’s and Gates’s plea agreements. In her opening statement, direct examinations of Noce and Insana, and closing argument, the prosecutor also commented on the witnesses’ prior consistent statements made to law enforcement. In her closing argument the prosecutor, referring to Insana, said, “He’s just that kind of guy.” Also in her closing, the prosecutor, in response to a hypothetical about a corrupt business man, said “I think he would” take a bribe. And, finally, the prosecutor elicited testimony that Defendant’s wife, Sharon McLain, was in a position to destroy potentially incriminating job cards, and she elicited testimony that McLain had not been in the courtroom during the trial. Defendant did not object to any of these comments or testimony.

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Cite This Page — Counsel Stack

Bluebook (online)
623 F.3d 332, 2010 U.S. App. LEXIS 21066, 2010 WL 3958647, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-wells-ca6-2010.