Opinion ID: 758679
Heading Depth: 3
Heading Rank: 6

Heading: The Alleged Hearsay Testimony of Agent Schaefer

Text: 200 The government called Julio Jimenez a/k/a Victor Loaiza as a witness. On cross-examination by Parada's counsel Loaiza testified that Parada was not aware of the illegal activities of Ariel Ochoa, Harold Cortes, or Hernan Moreno. Loaiza testified that he and the other drug conspirators were careful not to let Parada in on the secrets of the drug business because he was too sound a person, too straight of a person for that type of business. Loaiza also testified that Parada was not told about the hidden compartment in the car, and that all the errands Parada was asked to perform appeared on their surface to be legitimate. Loaiza also testified that he had told government agents that Parada was not aware of what was going on. Later in the trial counsel for Parada cross-examined DEA agent Mike Schaefer about whether he participated in the debriefing of [Loaiza] that took place over the last ten months where he said my client wasn't in the drug business. Agent Schaefer testified that he had participated in debriefing Loaiza. 201 The government then informed the court that agent Schaefer would be asked whether Loaiza had told Schaefer that Parada knew that Harold Cortes and Hernan Moreno were engaging in drug trafficking and money laundering. In response to Parada's hearsay objection the government argued, and the district court agreed, that agent Schaefer's testimony about Loaiza's statements to him was relevant to refute the inference raised by Parada's counsel's questions to Loaiza and agent Schaefer that the government had acted in bad faith by prosecuting someone the government knew to be innocent. Before allowing the government to question agent Schaefer about Loaiza's statements the court gave the following instruction to the jury: 202 Ladies and gentlemen, Mr. Lewis has indicated that he will elicit from Michael Schaefer, the witness on the stand, testimony concerning statements made to this witness by Victor Loaiza, also known as Julio Jimenez. These statements are not being offered for the truth of the matters asserted in Loaiza's statements to Mr. Schaefer, but, rather, are being offered to show that Loaiza made the statements to the investigating agents and to establish the effect on the agents in forming the bases of their subsequent conduct. (Trial Transcript, vol. 89, page 4919) 203 Agent Schaefer then testified that Loaiza had told him that Parada knew that there was drug trafficking and money laundering going on by Hernan Moreno and Harold Cortes. Parada's counsel then cross-examined agent Schaefer at length about his interview with Loaiza. 204 Parada argues that the district court erred in allowing agent Schaefer to testify to Loaiza's hearsay statements and that the court's instruction was insufficient to prevent prejudice to Parada from this testimony. The district court's decision to allow this testimony is reversible only for abuse of discretion. See United States v. Carrillo, 20 F.3d 617, 619 (5th Cir.1994). In light of the questioning by Parada's counsel, which made the testimony relevant, and the limiting instruction given by the court, which minimized any unfair prejudice to Parada, the district court did not abuse its discretion in allowing Schaefer's testimony. 205