Opinion ID: 777545
Heading Depth: 3
Heading Rank: 2

Heading: Upward Adjustments at Sentencing

Text: 72 Szur next argues that he should not have received upward adjustments in his sentence for a leadership role in the offenses, pursuant to U.S.S.G. § 3B1.1, because co-defendant Slutsky conceived, organized, managed, and primarily profited from the fraudulent scheme. In essence, Szur argues that because of the significant disparity between his and Slutsky's roles, he should not receive the maximum four-level upward adjustment for the fraud offenses. He similarly contends that he should not have received a two-level upward adjustment for the money laundering offenses, arguing that he was neither a leader nor an organizer of the money laundering activity. 73 `The sentencing court's findings as to the defendant's role in the offense will be overturned only if they are clearly erroneous.' United States v. Zichettello, 208 F.3d 72, 107 (2d Cir.2000) (quoting United States v. Farah, 991 F.2d 1065, 1068 (2d Cir.1993)), cert. denied sub nom. Lysaght v. United States, 531 U.S. 1143, 121 S.Ct. 1077, 148 L.Ed.2d 954 (2001). Section 3B1.1(a) of the Guidelines provides for a four-level increase if the criminal activity involved five or more participants and the defendant was an organizer or leader. U.S.S.G. § 3B1.1(a). [A] prerequisite to a section 3B1.1(a) enhancement is that the district court makes specific factual findings that (i) the defendant was an organizer or leader, and (ii) the criminal activity involved five or more participants, or was otherwise extensive. United States v. Escotto, 121 F.3d 81, 85 (2d Cir.1997). See generally United States v. Beaulieau, 959 F.2d 375, 379-80 (2d Cir.1992) (Whether a defendant is considered a leader depends upon the degree of discretion exercised by him, the nature and degree of his participation in planning or organizing the offense, and the degree of control and authority exercised over the other members of the conspiracy.). 74 In this case, the district court rejected Szur's arguments against the upward adjustments based on Szur's role in the fraud, and imposed the four-level increase prescribed by § 3B1.1(a). It is not disputed that more than five participants were involved in the fraud activity, and the district court found at sentencing that Szur acted in a leadership role: 75 He [Szur] and Slutsky conceived the scheme and he was to receive half of the proceeds of the sale of the U.S. Asset stock. It was from his share of the proceeds that the others who sold stock from the other offices were paid. Mr. Szur was involved in the recruitment of others to sell the U.S. Asset stock and the stock was sold from the offices of Mr. Szur's firm. Mr. Szur recruited defendants Weinstein and Gold as well as [another co-defendant]. Mr. Szur plainly approved the opening of each of the offices and oversaw the sale of the U.S. Asset stock. Mr. Szur was the owner of the firm and active participant in the scheme, ultimately responsible for the control of the branch offices and a principal beneficiary of the crime through the expansion of his firm. He plainly qualifies as an organizer and leader of the criminal activity. 76 The district court's findings are supported by the trial record. Thus, the enhancement under § 3B1.1(a) was not error. 77 We likewise reject Szur's argument that the district court erred in imposing a two-level upward adjustment under § 3B1.1(c) 10 for a leadership role in the money laundering activity. At sentencing, the district court made the following findings: 78 It was Mr. Szur who was responsible for instructing Mr. Slutsky and M[s]. Lakin how the transfers were to be made, and he explained that the funds were not to be paid directly to J.S. Securities, but to other accounts as he directed.... Mr. Szur, therefore, was the leader of this money laundering activity. 79 Again, the district court's factual findings with respect to Szur's role in the money laundering offenses are fully supported by the trial record. We therefore affirm Szur's two-level enhancement under § 3B1.1(c).