Pubdate: Wed, 09 Jun 1999 Source: Fulton County Daily Report (GA) Copyright: {1999, American Lawyer Media Address: 190 Pryor Street, S.W., Atlanta, Ga. 30303 Fax: (404) 523-5924 Website: http://www.dailyreportonline.com/ Author: Mary Hladky SPLIT DECISION FOR CALI CARTEL LAWYERS, FEDS MIAMI-Ever since federal prosecutors indicted an abrasive Miami criminal-defense lawyer and a former Department of Justice extradition expert five years ago, howls of outrage have reverberated from defense lawyers nationwide. William Moran and Michael Abbell were charged with being part of the infamous Cali cartel's vast drug importation and distribution enterprise even though, defense lawyers contend, there is no evidence the two had ever brought drugs into the United States or joined in the cartel's other illegal activities. By saying that representing members of the cartel amounted to becoming part of their criminal activity, the government was putting the practice of lawyering on trial and intimidating the defense bar. Now, after two lengthy trials that riveted the attention of lawyers across the country, it turns out the defense lawyers' outcry wasn't hyperbole. In fact, in the view of the highly respected U.S. District Court Senior Judge William M. Hoeveler, they are largely right. With two astonishing decisions last month, Hoeveler has cut the guts out of the government's ambitious case. The government presented no evidence Moran and Abbell were complicit in planning the importation and distribution of cocaine, he concluded in a May 5 written order that acquitted them of the charges. Last week, on the day that Moran was to be sentenced, Hoeveler erased the two lawyers' racketeering conspiracy convictions. "The lawyers did some things that were highly unprofessional and, indeed, unethical," Hoeveler told a courtroom packed with Moran's friends and supporters. "I don't think they should practice law again. That doesn't make them part of a racketeering conspiracy." Hoeveler also noted his concern that the government's prosecution theory has ramifications beyond the fate of Moran and Abbell. "I'm concerned about ... the impact of a case like this on the practice of law generally," he said. The decisions vindicated the defense bar and stunned jurors, who had wrangled for two weeks before coming to their own conclusion at the end of last summer's second trial. "This is a devastating loss to the government and I hope it sends the message to stop targeting lawyers just because you don't like their clients," says Denver attorney Larry Pozner, president of the National Association of Criminal Defense Lawyers. After hearing Hoeveler's decision on racketeering conspiracy from his seat in the back row of the courtroom, juror Robert Gooden, a Miami antiques dealer, says, "It was real disappointing. I actually felt I wasted a lot of my time last summer." Other Convictions Stand The government, too, suffered a serious blow, although not a knockout. Moran and Abbell's convictions on money-laundering conspiracy stand, and they are scheduled to be sentenced next week. Four other lawyers originally charged with Moran and Abbell pleaded guilty before the case went to trial. Even so, Hoeveler's decision that the government had no basis for much of its case is a stunning development, and one certainly not one hoped for by prosecutors when they embarked on this case in 1995. The guts of the government's case was that the lawyers had obstructed justice and laundered money for the cartel. But prosecutors William Pearson and Edward Ryan thought there was more to the case than that. The two believed that Moran and Abbell crossed the line from representing cartel members to becoming part of their operations when they, from the prosecutors' viewpoint, paid the families of jailed smugglers to discourage them from cooperating with federal agents, solicited affidavits they knew contained lies to exonerate cartel chieftains and warned smugglers of expected indictments so they could flee to Colombia. The decision to indict on the far more serious racketeering and drug trafficking conspiracy charges was not made lightly. The case was reviewed for months by top U.S. Department of Justice officials. The review included a meeting with lawyers representing Moran, Abbell and the other indicted lawyers, who tried to dissuade the government from holding lawyers responsible for crimes committed by the cartel. Miami lawyer Albert Krieger, who originally represented Moran, used himself as an example in his arguments to prosecutors. Krieger has represented prominent organized crime figures, including John Gotti. He knows organized crime exists and that one of his clients may well be a crime boss, he recalled saying at that meeting. If Krieger successfully defended him, "my client might go back to a life of crime. Have my actions supported future criminality? The answer is yes. That is what the Constitution demands of me." But under the government's theory in the Cali cartel case, he had committed a criminal act. That argument and many more didn't carry the day. Pearson and Ryan got the go-ahead to proceed. "This was not a message case. This was an evidence case," says Miami lawyer Kendall Coffey, who was U.S. attorney at the time. "If anything, there was special sensitivity about the concern the prosecution would be misperceived," he says. As a result, he and prosecutors tried to reassure defense lawyers that they were not attacking them. Prosecutors charged racketeering conspiracy because "the evidence supported that." It was also a tactical decision, Coffey says, since such a charge gives prosecutors the ability to introduce evidence that otherwise would be inadmissible. "I never agonized more over a charging decision and I was never more proud of a prosecution brought while I was U.S. attorney." The result was a five-month trial in 1997. Jurors acquitted Moran and Abbell of a racketeering count and said they were deadlocked on four conspiracy counts including importation and distribution of cocaine and money-laundering. Prosecutors streamlined their case for the second trial. Yet the government prevailed only after Hoeveler dismissed a pro-defense juror who said she would not follow the racketeering law and juror instructions. The remaining 11 jurors convicted on racketeering and money-laundering conspiracy charges, but deadlocked on the drug counts that would have carried a life sentence. Why Wait? If Hoeveler harbored such deep concerns about the government's case, why did he wait until Moran's sentencing day? Defense lawyers say judges are reluctant to weigh in until a jury has spoken. Judges can issue a judgment of acquittal after the government finishes presenting its case, but that rarely happens, in part because jurors are supposed to decide any questions of fact, and there are typically at least some, and often many, of those. Indeed, jurors apparently saw things Hoeveler's way in the first trial, acquitting on the main racketeering charge. Hoeveler might have thought that the second jury would also acquit on the second and lesser racketeering charge and deadlock again or acquit on the drug charges, thereby resolving the case without his taking action. But when they instead convicted on racketeering conspiracy and defense lawyers filed court papers asking the judge to step in, Hoeveler acted. "I've concluded the evidence failed to demonstrate an intent to join the overarching conspiracy," Hoeveler told the packed courtroom. As an example, Hoeveler noted that Moran had written a letter to a cartel boss asking for more legal business. That, he said, isn't the action of a man that prosecutors had painted as "house counsel," or main lawyer, for the cartel. Hoeveler seemed particularly concerned that prosecutors could not pinpoint just when a lawyer crosses the line to become part of a racketeering conspiracy. If a lawyer knows a person is a member of the Mafia and agrees to represent him, has he become a member of the criminal enterprise? Hoeveler asked. After being told he wasn't by Adalberto Jordan, head of the U.S. attorney's office appellate division, Hoeveler asked whether destroying evidence against the client makes the lawyer a member of the enterprise. Jordan responded that a single criminal act does not do so. That happens when the lawyer demonstrates a "pattern of activity that furthers the enterprise," Jordan said. But he conceded it's difficult to say just when that pattern becomes a crime. Hearing Hoeveler's concerns, Pearson rose to defend his case. "There is no question from our perspective what these lawyers and others did," he said. "I think we should strive for raising the bar a bit on the practice [of law]." That seemed to confirm defense lawyers' contention that prosecutors brought the case to go after defense lawyers, and drew heated response. "Is the government supposed to be redefining how lawyers practice law?" Moran attorney Holly Skolnick asked. Pearson and Ryan will not comment on Hoeveler's decision, but their disappointment was clear during the court argument about how much time Moran should spend in jail for money-laundering conspiracy. By Skolnick's reasoning, Moran should receive a light sentence because her client is accused of laundering a mere $15,000 in payments to wives of cartel operatives who were desperately short of cash. Prosecutors say the payments were for a much more sinister purpose-buying silence. But Ryan stunned defense lawyers by saying that since the jury had convicted on a conspiracy count, Moran was responsible for what all other members of the cartel did. As a result, his sentence should be based on the $2 billion the Cali cartel laundered over more than a decade. Although prosecutors did not specify how many years Moran should spend in jail, under sentencing guidelines they could be seeking 15 years. An outraged Skolnick said prosecutors had come up with this idea to get around Hoeveler's dismissal of the racketeering conspiracy charge. "We think it is vindictive," she said. Moran's sentencing hearing began Monday and was continued until Thursday. Abell's hearing began Tuesday and was still going on at press time. - --- MAP posted-by: Don Beck