United States v. Finch

• Decision Date: 09 February 2022
• Docket Number: 21-cr-157 PAM/ECW
• Parties: United States of America, Plaintiff, v. Douglas Robert Finch 1; Danny William Gehl, Jr 2; David William Gehl 3; Frank Joseph Kittleson 4; Patrick Thomas Maykoski 5; and Daniel Richard Thomas 6, Defendants.
• Court: U.S. District Court — District of Minnesota

United States of America, Plaintiff, v. Douglas Robert Finch 1; Danny William Gehl, Jr 2; David William Gehl 3; Frank Joseph Kittleson 4; Patrick Thomas Maykoski 5; and Daniel Richard Thomas 6, Defendants.

No. 21-cr-157 PAM/ECW

United States District Court, D. Minnesota

February 9, 2022

REPORT AND RECOMMENDATION

ELIZABETH COWAN WRIGHT UNITED STATES MAGISTRATE JUDGE

This matter is before the Court on Defendant Douglas Robert Finch's Motion to Suppress Any Evidence Obtained as a Result of Any Illegal Searches (Dkt. 66); Defendant Daniel Richard Thomas' Motion to Suppress Physical Evidence Seized Pursuant to Warrant (Dkt. 75); Defendant Patrick Thomas Maykoski's Motion to Suppress Evidence Obtained as a Result of Search and Seizure (Dkt. 92); Defendant Patrick Thomas Maykoski's Motion to Dismiss Count II of the Indictment (Dkt. 94); and Defendant David William Gehl's Motion to Suppress - Search and Seizure Warrants (Dkt. 118).

This case has been referred to the undersigned United States Magistrate Judge for a report and recommendation pursuant to 28 U.S.C. § 636 and Local Rule 72.1. The Court held a hearing on the Motions on November 2, 2021. (Dkt. 129.)

Thomas Hollenhorst, Assistant U.S. Attorney, appeared on behalf of the United States of America (“the Government”) Thomas Shiah appeared on behalf of Defendant Douglas Robert Finch, who was present at the hearing; James Behrenbrinker appeared on behalf of Defendant Patrick Thomas Maykoski, who was present at the hearing; Marcus Almon appeared on behalf of Defendant Danny William Gehl, Jr., who was present at the hearing; Bruce Nestor appeared on behalf of Defendant David William Gehl, who was present at the hearing; Robert Lengeling appeared on behalf of Defendant Frank Joseph Kittleson, who was present at the hearing; and Daniel Guerrero appeared on behalf of Defendant Daniel Richard Thomas, who was present at the hearing.

I. DEFENDANT DOUGLAS ROBERT FINCH'S MOTION TO SUPPRESS EVIDENCE SEIZED AT THE CENTURY AVENUE RESIDENCES AND CALIFORNIA WAREHOUSE (DKT. 66)

Defendant Douglas Robert Finch (“Finch”) seeks to suppress evidence seized pursuant to search warrants (Gov't Exs. 5 and 6) executed at two Century Avenue North residences in Maplewood, Minnesota (“Century Avenue Residences”), as well as a warehouse located in California (“California Warehouse”) (Gov't Ex. 13).^[1] (See Dkt. 139 at 3-4.)

Ordinarily searches pursuant to a warrant are reviewed to determine if there was probable cause for the search in the search warrant application and affidavit. See Illinois v. Gates, 462 U.S. 213, 236 (1983). “Probable cause exists when, given the totality of the circumstances, a reasonable person could believe there is a fair probability that contraband or evidence of a crime would be found in a particular place.” United States v. Fladten, 230 F.3d 1083, 1085 (8th Cir. 2000) (citing Gates, 462 U.S. at 238). The task of a court issuing a search warrant is “simply to make a practical, common-sense decision whether, given all the circumstances set forth in the affidavit . . . including the ‘veracity' and ‘basis of knowledge' of persons supplying hearsay information, there is a fair probability that contraband or evidence of a crime will be found in a particular place.” Gates, 462 U.S. at 238. “Probable cause is a fluid concept that focuses on ‘the factual and practical considerations of everyday life on which reasonable and prudent men, not legal technicians, act.'” United States v. Colbert, 605 F.3d 573, 576 (8th Cir. 2010) (quoting Gates, 462 U.S. at 231). In reviewing the decision of the issuing court, the duty of the reviewing court is simply to ensure that the court had a substantial basis for concluding that probable cause existed. See Gates, 462 U.S. at 238-39 (citation omitted); see also United States v. LaMorie, 100 F.3d 547, 552 (8th Cir. 1996) (citation omitted) (“Our duty as a reviewing court is to ensure that the issuing judge had a ‘substantial basis' for concluding that probable cause existed, and we owe substantial deference to the determination of probable cause by the issuing judge.”). As to what this Court should consider when reviewing a search warrant for probable cause, “[w]hen the [issuing judge] relied solely on the affidavit presented to him, ‘only that information which is found within the four corners of the affidavit may be considered in determining the existence of probable cause.'” United States v. Solomon, 432 F.3d 824, 827 (8th Cir. 2005) (citing United States v. Etheridge, 165 F.3d 655, 656 (8th Cir. 1999), quoting United States v. Gladney, 48 F.3d 309, 312 (8th Cir. 1995)); United States v. Smith, 581 F.3d 692, 694 (8th Cir. 2009) (quoting United States v. Reivich, 793 F.2d 957, 959 (8th Cir. 1986)).

Given this standard of review, the Court will now proceed with determining whether the search warrants at issue are supported by probable cause.

A. Century Avenue Residences

As part of the June 24, 2021 search warrant applications for the Century Avenue Residences, Special Agent John Tschida (“SA Tschida”) of the Internal Revenue Service, Criminal Investigation Division, stated in his Affidavit supporting the issuance of the two search warrants as follows:

In September 2020, the Ramsey County Violent Crime Enforcement Team (VCET) received a “Crime Stoppers” tip from a concerned citizen (“CC”) who stated that Finch, Maykoski, and Dave (believed to be David Gehl) were receiving and distributing marijuana. The CC said that these men would fly to California once a month to purchase marijuana, which they would then ship back to Minnesota. The CC said that Finch had “hundreds of pounds” of marijuana at a home he was building next to his residence in the area of Century and Minnehaha Avenues in Maplewood, Minnesota. The CC also said that Finch had stolen vehicles at his residence including two “Bobcat” construction vehicles.

Law enforcement has identified XXX Century Avenue North, Maplewood, Minnesota, and XXX Century Avenue North, Maplewood, Minnesota, as the properties to which the CC was referring. According to Minnesota property records, both are owned by Christine Kampa and are located next to each other. The residence at XXX Century Avenue is under construction, but nearly finished. Investigators have regularly seen Finch at XXX Century Ave North. In addition, trash pulls reveal that Finch and Kampa are receiving mail at both addresses. Shortly after receiving the “Crime Stoppers” tip, investigators spotted a “Bobcat” construction vehicle at XXX Century Avenue North with the serial number plate removed and the model number painted over.

(Gov't Exs. 5-6 ¶¶ 7-8.)^[2] The two Century Avenue Residences share a driveway. (Id. ¶ 45.)

In addition, the Affidavit set forth the following facts learned over the eight previous months with respect to a suspected drug trafficking and money laundering organization (“DTO”) whose members included Finch, David William Gehl (“David Gehl”), Danny William Gehl, Jr. (“Danny Gehl”), Frank Joseph Kittleson (“Kittleson”), Patrick Thomas Maykoski (“Maykoski”), and Daniel Richard Thomas (“Thomas”):

Investigators identified a warehouse located at XXXX Energy Park Drive, Saint Paul, Minnesota (“D & D Systems warehouse” or “Minnesota Warehouse”). (Id. ¶ 9.) The Minnesota Secretary of State records revealed that this address was listed as the business address for D & D Systems and identified Joshua Finch, Finch's nephew, as the registered business owner. (Id.) D & D Systems was incorporated in 2015, was purportedly engaged in the business of custom computer programming services, and was listed as “inactive.” (Id.) The telephone number listed for the business was a cellular telephone number used by Defendant Finch. (Id.) Agent Tschida could find no online information or records for D & D Systems that would indicate it was engaged in any legitimate business activities. (Id.)

Investigators had also identified the California Warehouse, located at XXX Orange Grove Avenue, North Highlands, California, which Agent Tschida claimed was being used by the DTO to load marijuana into crates for shipment to Minnesota. (Id. ¶ 10.) The investigation revealed that this was the address for “Modern Waters, ” a California business established in 2017, and Agent Tschida could find no information or records for this business that would indicate that it was engaged in any legitimate business activities. (Id.)

Banking records revealed that from 2015 through the present, the DTO had deposited approximately $235, 000 in cash into a bank account for D & D Systems and that the business paid rent for the two warehouses referenced above. (Id. ¶ 11.) These banking records also revealed that the DTO spent over $50, 000 in shipping costs and spent approximately $130, 000 on warehouse rent from 2015 to the present. (Id.) The DTO has also used the D & D Systems bank account to pay expenses for Modern Waters. (Id.) Investigators had obtained surveillance videos for September and October 2020, which showed a person who appeared to be Finch making drive-through deposits to the account for D & D Systems. (Id.)

In addition, SA Tschida represented that shipping records revealed that from 2016 to the present, D & D Systems and Modern Waters had shipped crates back and forth to each other on at least 61 occasions. (Id. ¶ 12.) The shipping weights for crates sent from Minnesota to California were usually about 300 to 500 pounds lighter than the crates sent from California to Minnesota. (Id.) From September 2019 through April 2021, invoices for shipments from D & D Systems to Modern Waters reflect that the crates (which measured 48 by 48 by 80 inches) purportedly contained some variation of either water heaters, solar panels, or parts. (Id.) From August 2019 through ...