The Subpoenas Are Coming! The Subpoenas Are Coming!
Inspectors general may soon have broader investigative power. Congress is considering enacting the Inspector General Authority Improvement Act of 2010, which would give inspectors general the authority to subpoena nonfederally employed witnesses under some circumstances.
A Sentence by Any Other Judge Would Be as Short (or Long)
The DOJ asked the U.S. Sentencing Commission to investigate the propensity of judges to ignore the sentencing guidelines, especially in the white-collar crime area. It noted, for example, that some defendants involved in a $500 million fraud received less than four years' incarceration while others involved in a $40 million fraud received a 25-year sentence.
The Wire (Fraud)
The wire-fraud statute requires the government to prove only that the use of the wires was "reasonably foreseeable," according to the Tenth Circuit. Therefore, any transaction that might involve the use of the Internet would fall within the statute's purview.
When the Hedge Fails
Hedge-fund managers can become fiduciaries of their investors, opening them up to prosecution under the antifraud provisions of the federal Investment Advisers Act, 15 U.S.C. § 80b-6. Normally, the fiduciary duty runs to the fund, but the Sixth Circuit has held that, in some circumstances, the manager's fiduciary duty can run directly to the investors.
Money in Motion
Money-laundering convictions may be harder to come by, thanks to a Sixth Circuit holding that under 18 U.S.C § 1956(a)(2)(B)(i), the government must prove that the "animating purpose" of the transaction was to conceal the fraudulent nature or source of the funds.
To Catch a Thief . . . Ten Years Later
No actual loss to a financial institution is required to double the otherwise applicable five-year statute of limitations for criminal prosecution for mail and wire fraud, according to the Tenth Circuit. A "new or increased risk of loss" to the financial institution because of the scheme is sufficient to invoke the ten-year statute of limitations applicable to a fraudulent scheme that "affects" a financial institution.
A DPA Ain't Immunity
Criminal defendants can introduce evidence that they rejected an offer of immunity to show consciousness of innocence, but not evidence that they rejected an offer of a deferred-prosecution agreement, says one court of appeals.
Splitting Hairs Too Finely
A grand-jury witness can't be too cute when answering the government's questions. The Ninth Circuit held that a witness can't be convicted of perjury for giving a misleading but "literally true" answer. But if the jury could reasonably conclude that the witness and the government had the same basic understanding during the line of questioning, such that the "literal truth" is just an after-the-fact lawyerly contrivance, a perjury conviction will stand.
Steven Cash authored an op-ed, "Director of National Intelligence Maguire Should Stand for the Whistleblower," published byThe Hill.
Steven Cash authored an op-ed, "Schiff Should Consider Using RICO Framework to Organize Impeachment," published by The Hill.
On September 25, DC-based counsel Steven Cash will be a featured speaker at the National Forum on the Foreign Agents Registration Act (FARA), an event presented by the American Conference Institute and held in Washington, DC.
Day Pitney Advisory
Steven Cash moderated a panel discussion hosted by Culper Connect, an alumni association of former United States Government public servants from the U.S. Intelligence Community.
Steven Cash is quoted in an article, "Trump Remarks on Striking Cultural Sites in Iran Provoke Outrage," published by The Hill.
Day Pitney Press Release
Day Pitney Press Release
Firm Ranked Tier 1 Nationally for Energy Law and Trusts and Estates Law
Stan Twardy is quoted in an article, “‘He Had a Reputation’: Ex-Bosses Discuss John Durham, Who’s Heading Russia Probe,” published by the Connecticut Law Tribune.
Steven Cash is quoted in an article, "Meet the Lawyer at Center of Whistleblower Case: 'It is an everyday adventure,'" published by The Hill.