United States v. Brown

In 2003 Brown pleaded guilty to filing a false income tax return. He was sentenced to five years of probation. In 2005, he was charged with conspiracy to engage in financial transactions to conceal the proceeds of illegal narcotics sales, through the purchase of cars in 2002-2005, involving more than $1.5 million in drug proceeds. A key government witness, Coates, refused to testify. Brown pled guilty to one count of money laundering involving the 2003 purchase of a Mercedes Benz by Brown on behalf of Coates. The government agreed to dismiss other charges and to recommend probation. The agreement provided that if Brown breached its terms, “any prosecutions that are not time-barred … on the date of the signing of this Agreement may be commenced.” Meanwhile, the FBI began investigations that would culminate in 2010 charges of mortgage-related fraud, 18 U.S.C. 1341, 1343, 1344. The scheme had commenced in May 2005 and lasted for about a year. Brown contended that the 2005 plea agreement barred his prosecution absent his breach of the agreement, which had not occurred. Convicted, Brown was sentenced to a below-Guidelines 60 months in prison plus restitution of $1.067 million. The district court and Seventh Circuit rejected his argument. View "United States v. Brown" on Justia Law