United States v. Whittington

26 F.3d 456
CourtCourt of Appeals for the Fourth Circuit
DecidedJune 8, 1994
DocketNos. 92-5693 to 92-5696, and 93-5066
StatusPublished
Cited by82 cases

This text of 26 F.3d 456 (United States v. Whittington) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fourth 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. Whittington, 26 F.3d 456 (4th Cir. 1994).

Opinions

Affirmed in part and reversed and remanded in part by published opinion. Judge RUSSELL wrote the opinion, in which Judge HALL joined. Judge WIDENER wrote an opinion concurring in part and dissenting in part.

OPINION

DONALD RUSSELL, Circuit Judge:

A jury convicted appellants James Whit-tington (‘Whittington”), Daniel Atwood (“Atwood”), Claudette Collier (“Collier”), Riley Ferguson (“Ferguson”), and Barbara Stevens (“Stevens”) on charges that they defrauded Valeria Lust (“Lust”), a widow from Lake-land, Florida, of virtually all her assets. We reverse Collier’s conviction for interstate transportation of stolen property but otherwise affirm all the judgments of conviction entered by the district court.

I.

A twelve-count superseding indictment charged all appellants in this case with conspiracy to defraud Lust of her assets in violation of 18 U.S.C. § 371. Additionally, the indictment charged Collier, Stevens, Whittington and Atwood with various counts of interstate transportation of stolen property, and aiding and abetting the same, in contravention of 18 U.S.C. §§ 2314, 2; Whit-tington and Stevens with mail fraud and aiding and abetting mail fraud in violation of 18 U.S.C. §§ 1341, 2; Whittington with wire fraud in violation of 18 U.S.C. § 1343; and Whittington and Atwood with money laundering and aiding and abetting money laundering in violation of 18 U.S.C. §§ 1956, 2.

The evidence adduced at trial paints the following picture. By 1986, Lust, who had a reputation for frugality, had accumulated assets of approximately $900,000.00. She owned bond accounts with Waddell & Reed in Kansas City, Missouri, valued at almost $700,000, a mortgage receivable worth $42,-000, and a home valued at $34,500. Her checking account at First Florida Bank had a balance of $143,000.

In 1986, Lust, whose physical ailments left her unable to walk, hired Joan Fortune (“Fortune”) to serve as her 24-hour nurse. Fortune purchased food and paid bills for Lust. Lust carefully reviewed each transaction and kept meticulous records in her checkbook.

In January of 1987, Lust underwent a thyroid operation and was prescribed valium to help her sleep. Later that month, Fortune informed Lust that she would be leaving her position. Lust advertised for a replacement. Stevens applied for the position, and Lust hired her.

Before she moved in with Lust, Stevens lived with her paraplegic daughter Melanie Milling (“Milling”). They were supported by Milling’s social security benefits. While living with Milling, Stevens regularly attended religious revival services conducted by Fountain of Life, Inc. (“FOLI”), a Greenville, North Carolina, ministry. Whittington, who founded FOLI, served as its president. Stevens befriended Whittington, Atwood, and Collier while serving as a member of the Board of Directors of Miracle Cathedral, Inc. (“Miracle”), another religious ministry, located in Florida. Atwood, a friend and associate of Whittington, was the pastor of Miracle Cathedral Church in Highland City, Florida. Collier was a notary public certified by the state of Florida and worked as Atwood’s part-time secretary.

During the fall of 1986, Stevens founded Dove of Love Ministries (“Dove”) with the help of a friend, Erlene Slama (“Slama”). After promoting and holding a poorly attend[459]*459ed revival service in Lakeland, Stevens indicated to Slama that she planned to obtain a motor home and travel from city to city in the service of God. She requested that Sla-ma join her, but Slama refused.

Shortly after Stevens began working for Lust, Stevens and Lust began to visit motor home dealerships. Milling testified that Stevens had threatened that if Lust did not purchase a motor home, Stevens would put her in a nursing home where Lust would be ill-treated.

In early February 1987, Stevens visited a motor home dealership in Lakeland. Stevens returned to the dealership with Lust on February 16, 1987, at which time Lust wrote a check for $55,732.00 in order to purchase the largest and most expensive motor home for sale at the dealership. Prior to delivery, the dealership had to undertake certain preparatory steps. During the period in which these steps were being undertaken, Stevens, Whittington and Atwood visited the dealership, and took the motor home Lust had purchased for a test drive, with Whittington at the wheel.

The purported purpose of the motor home was to take Lust on trips, including trips during which Lust would receive therapy for her ailing legs. Indeed, around the time of this purchase, Lust appeared to her banker and long-time friend, Frances Hernbrott, to be in lively spirits and excited about using the motor home to travel. Following delivery of the motor home, however, Stevens telephoned Slama and stated, “T have a motor home, come over and see it.’” J.A. 343. Slama accepted this invitation. Soon thereafter, Stevens again telephoned Slama, this time to tell her to watch FOLI’s television program on a local station because she (Stevens) was to appear. During the program, Whittington, who was featured, said, “ T want you to see how God can bless you.’ ” J.A. 344. He then provided the microphone to Stevens, who said, “ ‘God has given me a motor home in my name, a sixty-five thousand dollar motor home, in my name, it’s mine.’ ” J.A. 345.

Slama also witnessed Stevens wave $6,000 worth of Lust’s monthly interest checks, saying, “ T can use this money for my ministry, Ms. Lust does not need it.’ ” J.A. 346. Later, Stevens also boasted to Slama that she would get the entire principal upon which the $6,000 was interest.

Also in February 1987, at Stevens’ request, a broker from E. F. Hutton paid several visits to Lust to discuss possible changes in Lust’s investment structure. Distribution forms were sent to Waddell & Reed to liquidate Lust’s bond accounts. These transactions were not completed, but, in the exercise, Stevens was able to apprise herself of the amounts in Lust’s accounts, their locations and the process necessary to complete a liquidation.

In late February 1987, large checks began to be written on Lust’s checking account payable to Dove and FOLI. The first of these checks was dated February 23, 1987, one week after the purchase of the motor home, and was made payable to Dove in the amount of $20,000.00. Although the check appears to bear her signature, Lust denies authorizing the check or intending to give such a sum to Stevens or Dove. Subsequent cheeks, payable to FOLI and Stevens, for large sums of money were written on Lust’s account through March.1 These checks were prepared in Stevens’ handwriting, with the exception of what appears to be Lust’s signature. Lust, however, denies having authorized any of these checks or having had any intention thus to distribute her money.

[460]*460A letter dated March 25, 1987, scripted by Stevens and signed by Lust, requested that Waddell & Reed liquidate Lust’s bond accounts and send Lust a check for the value of the accounts.

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Bluebook (online)
26 F.3d 456, Counsel Stack Legal Research, https://law.counselstack.com/opinion/united-states-v-whittington-ca4-1994.