Opinion ID: 289442
Heading Depth: 1
Heading Rank: 4

Heading: Multiplicity of Conspiracies.

Text: 45 Count One of Case No. 107 charged a conspiracy, and that it was a part of the conspiracy, inter alia, to make use of the mails to sell securities, to carry and cause to be carried through the mails securities, and to devise a scheme and artifice to defraud by use of the mails, and that among the means by which the defendants would and did carry out the conspiracy was the use of the mails in furtherance of a scheme and artifice to defraud. The other twelve counts in Case No. 107 also charged that the defendants devised a scheme and artifice to defraud, and the final paragraph of each of said counts charged a separate particularized use of the mails for the purpose of executing the aforesaid scheme and artifice to defraud. The distinction between the conspiracy count and the twelve substantive counts is made clear by the discussion in Isaacs v. United States, 8 Cir. 1962, 301 F.2d 706, 725. 46 The substantive offenses proscribed by Title 18 U.S.C.A. §§ 1341 and 1343 (mail fraud and fraud by wire) are closely related to a conspiracy, proscribed by Title 18 U.S. C.A. § 371. The distinguishing feature is that the former may be conceived by one person, and the mails or wire must be used for purpose of executing the scheme, while a conspiracy requires an agreement of two or more to violate the law, and at least one overt act in furtherance of the conspiracy. 47 As the Supreme Court said in Callanan v. United States, 1961, 364 U.S. 587, 593, 81 S.Ct. 321, 325, 5 L.Ed.2d 312: 48 The distinctiveness between a substantive offense and a conspiracy to commit is a postulate of our law. `It has been long and consistently recognized by the Court that the commission of the substantive offense and a conspiracy to commit it are separate and distinct offenses.' Pinkerton v. United States, 328 U.S. 640, 643 [66 S.Ct. 1180, 1182, 90 L.Ed. 1489]. See also Pereira v. United States, 347 U.S. 1, 11 [74 S.Ct. 358, 364, 98 L.Ed. 435]. 49 Williams could be convicted under Count One, the conspiracy count, only by proving an agreement, express or implied, between himself and one or more of his co-conspirators to commit the unlawful act and proof was not necessary that that act was ever actually committed. As to the twelve substantive counts, the situation is reversed. An agreement between Williams and one or more of his co-defendants need not be proved, but proof is essential that Williams actually committed the unlawful act. 50 The indictment in No. 107 charges only one conspiracy and not multiple conspiracies as in Powe v. United States, 5 Cir. 1926, 11 F.2d 598. 51 Williams next argues that the twelve substantive counts, though formally asserted under the mail fraud statute, 18 U.S.C. § 1341, in fact charged the offense proscribed in 15 U.S.C. § 77e(a), which reads: 52 (a) Unless a registration statement is in effect as to a security, it shall be unlawful for any person, directly or indirectly — 53 (1) to make use of any means or instruments of transportation or communication in interstate commerce or of the mails to sell such security through the use or medium of any prospectus or otherwise; or 54 (2) to carry or cause to be carried through the mails or in interstate commerce, by any means or instruments of transportation, any such security for the purpose of sale or for delivery after sale. 55 That statute, unlike section 77q(a), clearly makes each mailing the gist of the crime. 14 Likewise, each mailing in violation of the mail fraud statute, 18 U.S.C. § 1341, is a separate offense. 15 The penalties for the offenses are similar, 16 and the sentence in this case was within the range permitted by either. We need not decide whether the offense charged in the twelve substantive counts in Case No. 107 should have been laid under the Securities Act, 15 U.S.C. § 77e (a) or under the Mail Fraud Statute, 18 U.S.C. § 1341, for any error in that regard is not so material as to be ground for reversal of the conviction. Rule 7(c), Fed.R.Crim.P.