U.S. v. Gonzales

• Decision Date: 16 September 1996
• Docket Number: Nos. 95-2940,95-3263,95-3261,95-3370,VALENZUELA-OBESO,s. 95-2940
• Citation: 90 F.3d 1363
• Parties: 45 Fed. R. Evid. Serv. 226 UNITED STATES of America, Appellee, v. Martha Elena GONZALES, also known as Marta Gonzales, Appellant. UNITED STATES of America, Appellee, v. Jose Ramiro, also known as Tony, also known as Ramiro Valenzuela, Appellant. UNITED STATES of America, Appellee, v. Juan Manuel, also known as Kiki, also known as Miti, Appellant. UNITED STATES of America, Appellee, v. Patricia Camerina LOPEZ, Appellant.
• Court: U.S. Court of Appeals — Eighth Circuit

Page 1363

90 F.3d 1363

45 Fed. R. Evid. Serv. 226

UNITED STATES of America, Appellee, v. Martha Elena GONZALES, also known as Marta Gonzales, Appellant.

UNITED STATES of America, Appellee, v. Jose Ramiro VALENZUELA-OBESO, also known as Tony, also known

as Ramiro Valenzuela, Appellant.

UNITED STATES of America, Appellee, v. Juan Manuel VALENZUELA-OBESO, also known as Kiki, also known

as Miti, Appellant.

UNITED STATES of America, Appellee, v. Patricia Camerina LOPEZ, Appellant.

Nos. 95-2940, 95-3261, 95-3263, 95-3370.

United States Court of Appeals,

Eighth Circuit.

Submitted May 17, 1996.

Decided July 26, 1996.

Rehearing Denied Sept. 16, 1996.

Margaret Skelton, argued, Richfield, Minnesota, for Juan Manuel Valenzuela-Obeso.

Daniel Gustafson, argued, Minneapolis, Minnesota, for Martha Elena Gonzales.

Terry L. Hegna appeared for Patricia Camerina Lopez in No. 95-3370.

Andrea George, argued, Minneapolis, Minnesota, for Jose Remiro Valenzuela-Obeso.

Mark D. Larsen, argued, Minneapolis, Minnesota, for the U.S.

Before MAGILL, ROSS, and MURPHY, Circuit Judges.

MAGILL, Circuit Judge.

Defendants in this case were convicted of various counts of conspiracy to distribute illegal drugs, see 21 U.S.C. § 846; possession, and aiding and abetting possession, of illegal drugs with intent to distribute, see 21 U.S.C. § 841(a)(1); and money laundering and conspiracy to launder money, see 18 U.S.C. §§ 1956(a)(1)(A)(i), (a)(1)(B)(i). On appeal, they contend that the government violated Brady v. Maryland, 373 U.S. 83, 83 S.Ct. 1194, 10 L.Ed.2d 215 (1963), and the Jencks Act, 18 U.S.C. § 3500, by failing to turn over to the defense certain evidence. The defendants further challenge a host of evidentiary and other trial rulings made by the district court. ¹ We affirm.

I. BACKGROUND

For several years, officers of the Minnesota Bureau of Criminal Apprehension (BCA) suspected that Juan and Jose Valenzuela-Obeso (Juan and Jose, respectively) supervised a large drug importation and distribution organization in Minnesota. During the long investigation, the police arrested a number of individuals who were involved in the distribution of heroin for the organization. Several of those arrested cooperated with the police by providing information that furthered the investigation.

The investigation culminated on March 2, 1994, when the police executed a number of search warrants. During these searches, officers seized one pound of 95% pure methamphetamine, 58 pounds of marijuana, 27.8 grams of cocaine, notebooks containing writings that were consistent with drug notes, and $5000 cash. The officers also discovered several Western Union cash register receipts, leading the officers to suspect Juan and Jose and their common-law wives, Patricia Lopez and Martha Gonzales, of money laundering.

The police also searched a Ford Bronco located in the driveway of one of the residences. Prior to the search, the officers had a narcotics dog sniff the vehicle, and the dog showed interest in the rear door area. Police removed the rear door panel, but found only tools, and not drugs, within the panel.

Based on the evidence uncovered during the long investigation, the defendants were charged with several drug trafficking and money laundering violations. Jose and Juan were charged with conspiracy to distribute and possession with intent to distribute heroin, cocaine, marijuana, and methamphetamine, from January 1, 1990 to March 2, 1994 (Count I). Jose was further indicted on charges of possession with intent to distribute 365 grams of methamphetamine on March 2, 1994 (Count II), and use of a juvenile in connection with a drug trafficking offense (Count VII). Juan was further indicted on charges of aiding and abetting possession with intent to distribute 58.6 pounds of marijuana (Count III) and 27.8 grams of cocaine on March 2, 1994 (Count IV), and use of a juvenile in connection with a drug trafficking offense (Count VI). Finally, Juan, Lopez, and Gonzales were indicted on charges of conspiracy to launder money (Count VIII), and Jose was indicted on charges of money laundering (Count VIII).

At trial, the government put on overwhelming evidence of the defendants' guilt. First, the government introduced at trial the physical evidence seized during the March 2, 1994 searches. Further, four mid-level heroin dealers testified that they bought their heroin from Jose and Juan. Each described in detail how the transactions took place. Two other witnesses testified that they were "runners" in the Obeso organization, delivering heroin for Jose and Juan. One of the runners, Rolando Penalver-Tamarit, participated with police in a controlled delivery of cash back to Jose. Finally, Eldon Fontana, a twenty-four-year veteran with the Hennepin County Sheriff's Department, testified that the notebooks seized contained notations that, in several important respects, were fully consistent with drug notes; i.e., those notations made by drug dealers while tallying the amount of drugs bought and sold and money taken in.

The government also introduced considerable evidence demonstrating that the defendants had committed money laundering violations. During trial, a number of Western Union money transfer applications (MTAs) were introduced, showing that between February 1991 and March 1994, approximately $497,484 was wired via Western Union. The money transfers were sent in various names, including Martha Gonzales, Patricia Lopez, Juan Valenzuela, and Jose Valenzuela. The money was primarily sent to California, although several transfers went to Mexico and Arizona.

The government provided testimony linking the MTAs to the defendants. Cynthia Pose, an employee at a drug store from where several of the money transfers originated, identified Gonzales as someone who had sent money via Western Union. She further testified that Gonzales had provided different names and addresses when she sent money. Further, Debra Springer, a handwriting expert who analyzed the writing on the MTAs, testified as to how many documents were produced by each defendant. As to Lopez, she noted that four documents were conclusively produced by her; that as to nineteen others, there were some indications that Lopez had produced them; and that for thirteen others, Lopez at least filled out the information section of the transfer form. She further testified that Gonzales definitely produced three documents, that it was highly probable that she produced twelve others, and that it was probable that she produced nineteen others. Springer determined conclusively that at least one document was produced by Jose.

Special Agent Paul Wheeler of the Internal Revenue Service, a money laundering expert, testified that the transactions at issue fit several money laundering patterns and that several factors, such as the amount of money sent per transaction, the use of certain false information on the send forms, and the use of several different Western Union locations, were all consistent with money laundering. Wheeler further testified that he reviewed the tax returns of the defendants and concluded that the sums transferred far exceeded the lawful incomes of the defendants.

During the trial, the government failed to turn over, or delayed in turning over, certain evidence to the defense. The first such piece of evidence was a prior statement made by one of the prosecution's witnesses, Greg Bauer. Bauer had been an informant with the police beginning in 1991. During trial, defense counsel requested that any prior statements made by Bauer concerning the defendants be turned over to the defense pursuant to the Jencks Act. The government assured counsel that Bauer had made no prior statements implicating the defendants. However, before Bauer was cross-examined, the government learned that in 1992, Bauer had in fact made oral statements indicating that the defendants had been engaged in illegal activity as far back as 1990. The government did not turn this evidence over to the defense counsel, who subsequently tried to impeach Bauer concerning his apparent recent fabrication regarding the defendants. When Bauer told counsel that he had in fact previously implicated the defendants, thus bolstering his testimony, counsel for Juan and counsel for Lopez moved for a mistrial. The court denied this motion when the defendants refused to waive their double jeopardy rights.

The government also delayed turning over reports that case agent Mike Zasada had compiled regarding the informants in the case. Many of these reports detailed the legal problems of several of the informants. The material was not turned over to the defense until April 10, 1995, after several of the informants had already testified.

The third piece of evidence that defendants claim should have been turned over concerned the search of the Bronco. At the time of the search, the officers believed that the rear door panel could have been an after-market change in the vehicle, added to facilitate drug smuggling. Because the officers were unable to substantiate this belief, however, the government presented no evidence concerning this theory. The evidence presented to the jury related only to the fact that the rear panel contained a space large enough to transport drugs. During a break in trial, the government did learn that the rear door panel was not an after-market change. The government did not relay this knowledge to the defense, although defense counsel gained this information from an independent source during trial. Counsel moved for a mistrial, which was denied.

After hearing the evidence, the jury returned a verdict of guilty on all counts except Count VII, which charged Jose with the use of a juvenile in connection with a drug trafficking crime. The court further entered a judgment of acquittal on Count VI, which charged Juan with the use of a juvenile in connection with a drug trafficking crime. As a result of the convictions, Juan received a sentence...