White Collar Crime Prof Blog

New Scholarship -New Crimes and Punishments: A Case Study Regarding the Impact of Over-Criminalization on White Collar Criminal Cases

Lucian Dervan, Southern Illinois, has a new article titled, "New Crimes and Punishments: A Case Study Regarding the Impact of Over-Criminalization on White Collar Criminal Cases."  The abstract states in part:

"While much has been written about the plethora of negative consequences resulting from over-criminalization generally, it is worth noting that not everyone believes these negative consequences outweigh the potential benefits that might flow from the two types of over-criminalization discussed in this article. First, some might argue that repeatedly increasing the statutory maximums for white collar offenses is justified because doing so means culpable individuals will receive longer prison sentences reflective of their conduct and, in addition, others will be deterred from committing such crimes. Second, some might argue that enacting broad new criminal provisions in areas already criminalized is justified because such enactments provide prosecutors with the tools necessary to ensure that creative and sophisticated white collar criminals are brought to justice in larger numbers, thereby deterring others from committing similar offenses. This article will examine the accuracy of the underlying premises utilized by both of these “justifications” for the over-criminalization discussed herein – (a) the assumption that increasing statutory maximums results in ever lengthening sentences for individual white collar defendants, and (b) the assumption that enacting additional laws that are vague and overlapping in areas already criminalized results in increased levels of enforcement against white collar criminals. Through such an examination, this article seeks to understand whether new crimes and punishments really achieve their intended goals and, if not, what this means for the over-criminalization debate and, in particular, the over-criminalization “justifications” discussed above."

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DOJ White Collar Prosecutions

Is it my imagination, or has the DOJ been picking up its numbers in prosecutions and resolutions in white collar cases?  Or is it just an increase in DOJ Press Releases? -

DOJ Press Release, Australian Man Pleads Guilty to Accepting Payment as Reward for Steering $15 Million in U.S.-Funded Contracts in Afghanistan

DOJ Press Release, Former EPA-CID Special Agent in Texas Pleads Guilty to Perjury and Obstruction of Justice

DOJ Press Release, SAIC and Others to Pay U.S. More Than $22.6 Million to Resolve False Claims Allegations

DOJ Press Release, Houston-based Principals of A&O Entities Sentenced in Virginia for $100 Million Fraud Scheme

DOJ Press Release, Trident Seafoods Corp. to Pay $2.5 Million to Resolve Clean Water Act Violations and Spend More Than $30 Million to Upgrade Processing Plants

DOJ Press Release, Superseding Indictment Filed in $670 Million Fraud Scheme

DOJ Press Release, Johnson & Johnson Subsidiary Scios Pleads Guilty to Misbranding Heart Failure Drug Natrecor - California-Based Company Will Pay $85 Million Criminal Fine

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Yesterday in Fraud

Some noteworthy white collar decisions from the federal circuits, published on 10-3-11:

U.S. v. Gilchrist (9th Cir. 2011) (Guidelines obstruction enhancement okay even if defendant did not know of pending criminal investigation)

U.S. v. King (9th Cir. 2011) (Section 1001 conviction upheld even though false statement was made to state agriculture official)

 U.S. v. Leslie (2nd Cir. 2011) (Imprisonment not withdrawal from conspiracy for purposes of establishing Guidelines loss)

U.S. v. Lee (7th Cir. 2011) (Post-prison MVRA seizure of retirement funds is limited by CCPA)

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Antitrust is Hot!

DOJ Press Release, Hitachi-LG Data Storage Inc. Agrees to Plead Guilty to Paritcipating in Bid-Rigging and Price-Fixing Conspiracies Involving Optical Disk Drives - Company Agrees to Pay $21.1 Million Criminal Fine

DOJ Press Release, Furukawa Electric Co. LTD and Three Executives Agree to Plead Guilty to Automobile Parts Price-Fixing and Bid-Rigging Conspiracy - Company Agrees to Pay $200 Million Criminal Fine; Executives Agree to Serve Prison Time

DOJ Press Release, Six Japanese Freight Companies Agree to Plead Guilty to Criminal Price-Fixing Charges - Companies Agree to Pay a Total of $46.8 Million in Criminal Fines; DOJ Press Release, Japanese Freight Company Agrees to Plead Guilty to Criminal Price-Fixing Charge ($1.84 million fine)

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S.D.Texas Has A New U.S. Attorney

Houston, Texas has been home to several important criminal prosecutions. It now has a new U.S. Attorney with the appointment of Kenneth Magidson as the "22nd presidentially-appointed United States Attorney for the Southern District of Texas (SDTX)." (see here) As noted in the DOJ Press Release, this is "the seventh largest district in the nation."

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Concealment in Money Laundering Cases

The Third Circuit, in United States v. Richardson, discusses "proceeds" and "concealment" in an alleged drug money laundering case. The court finds insufficient evidence "to establish knowledge of a design to conceal" and vacated the money-laundering conviction. This case may be helpful in white collar cases involving money laundering charges.

The lawyer handling this appeal was Ellen C. Brotman.

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Criminal Law & Criminal Justice Books

Professors Jim Finckenauer and Stuart Green have created a free website titled, Criminal Law and Criminal Justice Books. It is aimed to feature "high-quality, timely, and concise on-line reviews of important and interesting new books in criminal law, criminal procedure, and criminal justice."  It is here.

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