Opinion ID: 550323
Heading Depth: 1
Heading Rank: 2

Heading: sufficiency of the evidence

Text: 11 Thorn first contends that the evidence is insufficient to support the jury's verdict. In reviewing the sufficiency of the evidence, we view the evidence and any inferences that may be drawn from it in the light most favorable to the verdict. United States v. Onick, 889 F.2d 1425, 1428 (5th Cir.1990). Our review does not encompass weighing the evidence or judging the credibility of witnesses. United States v. Davis, 752 F.2d 963, 968 (5th Cir.1985). We must affirm the conviction if a rational jury could have found the essential elements of the crimes beyond a reasonable doubt. United States v. Fortna, 796 F.2d 724, 740 (5th Cir.), cert. denied, 479 U.S. 950, 107 S.Ct. 437, 93 L.Ed.2d 386 (1986).
12 To prove Thorn guilty of conspiracy, 18 U.S.C. Sec. 371 requires the government to prove beyond a reasonable doubt: (1) an agreement between two or more persons, one of whom was Thorn, (2) to commit a crime against the United States, and (3) an overt act committed by one of the conspirators in furtherance of the agreement. United States v. Schmick, 904 F.2d 936, 941 (5th Cir.1990). The government had to prove that a conspiracy existed, that Thorn knew of the conspiracy and that he voluntarily became a part of it. United States v. Yamin, 868 F.2d 130, 133 (5th Cir.), cert. denied, --- U.S. ----, 109 S.Ct. 3258, 106 L.Ed.2d 603 (1989). If Thorn understood the unlawful nature of the activity and knowingly or intentionally joined it on at least one occasion, that was sufficient to convict him of conspiracy, even though he played only a minor role in the scheme. United States v. Gonzales, 866 F.2d 781, 787-88 (5th Cir.), cert. denied, --- U.S. ----, 109 S.Ct. 2438, 104 L.Ed.2d 994 (1989). Circumstantial evidence is sufficient to prove the existence of a conspiracy. An agreement may be inferred from concert of action among the alleged participants, and voluntary participation may be inferred from a collocation of circumstances. United States v. Espinoza-Seanez, 862 F.2d 526, 537 (5th Cir.1988). 13 The substantive crimes upon which the conspiracy count was based were equity skimming and mail fraud. The equity skimming statute mandates criminal penalties for [w]hoever, with intent to defraud, willfully engages in a pattern or practice of (1) purchasing one- to four-family dwellings ... which are ... in default within one year subsequent to the purchase and the loan is ... guaranteed by the Veterans' Administration, or the loan is made by the Veterans' Administration, (2) failing to make payments under the mortgage or deed of trust as the payments become due, regardless of whether the purchaser is obligated on the loan, and (3) applying or authorizing the application of rents from such dwellings for his own use.... 12 U.S.C. Sec. 1709-2. The essential elements of mail fraud, under 18 U.S.C. Sec. 1341, are: (1) a scheme to defraud, (2) involving the use of the mail, (3) for the purpose of executing the scheme. United States v. Gordon, 780 F.2d 1165, 1170 (5th Cir.1986). We find the evidence sufficient to support Thorn's conviction for conspiracy to commit crimes under both of these statutes. 14 Thorn does not deny the existence of an equity skimming scheme, or that the mails were used to further that scheme. The undisputed facts show that Jamison assumed the mortgages on 17 houses in Abilene. The mortgage on each of these houses was guaranteed by the Veterans' Administration. The houses were then leased, but the rental proceeds were not used to pay the mortgages. 3 It is also undisputed that some of the leases required the renters to make their monthly payments by mail. 15 Thorn argues that assuming the scheme existed, he was not part of the conspiracy and had no knowledge of it. Thorn offered evidence at trial to show that he acted merely as a real estate agent. He claimed that his involvement with Jamison and Whitfield did not extend beyond the relationship between a real estate broker and his clients. He contends that he did nothing illegal by making offers on houses for Jamison, or by collecting commissions after the sales had been consummated. 16 The government, however, offered evidence showing that Thorn played a key role in the scheme. He was not acting merely as a real estate agent. The contradictory testimony presented by both sides shows that either Thorn or the government witnesses were lying. The jury obviously chose to believe the government's witnesses and the additional government evidence. The evidence presented by the government was clearly sufficient to prove beyond a reasonable doubt the elements of conspiracy to commit equity skimming and mail fraud and Thorn's participation in the activity. 17 The government's evidence showed that Thorn was present at the meeting when Whitfield first asked Jamison to act as nominal owner of houses with mortgages guaranteed by the Veterans' Administration. The evidence also showed that Thorn acted as realtor for the purchase of all 17 houses, and that he collected commissions ranging from $250 to $1000 for each house. Several government witnesses testified that Thorn represented that Jamison was the head of a group of investors from Fort Worth capable of sustaining a negative cash flow on the houses for a significant period of time. He made these representations even though other evidence showed that he knew they were false. Evidence also indicates that Thorn played an active role in the leasing and management of the houses. In fact, Thorn was authorized to sign checks on the account into which Whitfield deposited the rent checks from the houses. 18 From this evidence, the jury properly could have inferred both Thorn's knowledge and voluntary participation in the scheme. By agreeing to act as Jamison's realtor when he knew that Jamison had no money to invest, Thorn voluntarily joined the conspiracy. Even more persuasive as to his participation in the conspiracy is the evidence that he knowingly misrepresented Jamison's credentials to sellers and realtors. Other evidence also can be taken to prove that Thorn actively discouraged the sellers from doing any kind of credit check on Jamison. 19 The conspiracy to commit mail fraud charge follows from Thorn's agreement to participate in an equity skimming scheme that required some lessees to mail their rent checks to Jamison. A conspirator is responsible for the offenses committed by his fellow conspirators if the conspirator was a member of the conspiracy when the offense was committed and the offense was committed in furtherance of or as a foreseeable consequence of the scheme. United States v. Paul, 853 F.2d 308, 312-13 (5th Cir.1988), cert. denied, 488 U.S. 1012, 109 S.Ct. 801, 102 L.Ed.2d 792 (1989). The jury's findings on the conspiracy charge are affirmed in all respects.
20 The indictment also charged Thorn with mail fraud, equity skimming, and aiding and abetting mail fraud and equity skimming. The jury found Thorn guilty of six counts of aiding and abetting mail fraud and one count of aiding and abetting equity skimming. Thorn challenges his conviction on all seven counts, again alleging that the evidence is insufficient to support the jury's verdict. 21 Thorn was charged with substantive counts of aiding and abetting the substantive offenses. Aiding and abetting the commission of the offense is treated exactly the same under the statutory wording as the actual commission of the offense. To prove aiding and abetting, 18 U.S.C. Sec. 2 required the government to show that Thorn (1) associated with a criminal venture, (2) participated in the venture, and (3) sought by his action to make the venture succeed. United States v. Medina, 887 F.2d 528, 532 (5th Cir.1989). The government had to establish that Thorn willfully participated in the criminal venture by engaging in some affirmative conduct designed to aid the scheme. United States v. Ortiz-Loya, 777 F.2d 973, 981 (5th Cir.1985). 22 We find the evidence sufficient to support the jury verdict on all counts. Thorn associated with the criminal venture when he agreed to act as realtor for Jamison, a party he knew did not have the resources to purchase the 17 properties. He facilitated the purchase of these properties knowing that the rental proceeds would not be sufficient to service the mortgages, and that Jamison could not finance the difference. He participated in the venture and sought to make it succeed by misrepresenting Jamison's credentials to various sellers and realtors. The jury could infer the requisite intent to defraud the government from this evidence and find Thorn guilty of aiding and abetting equity skimming. 23 The mail fraud charge stems from the requirement in some of the leases that the rental payments be sent by mail to Jamison. The government offered evidence to show that renters made six rent payments by mail. Because he knew or reasonably could foresee that some of the rental payments would be made by mail, Thorn possessed the requisite criminal intent to subject himself to liability for aiding and abetting mail fraud. See Pereira v. United States, 347 U.S. 1, 8-9, 74 S.Ct. 358, 363, 98 L.Ed. 435 (1954). 24