Opinion ID: 187186
Heading Depth: 2
Heading Rank: 2

Heading: The IRS Records

Text: Farrell contends the district court erred in admitting into evidence certified statements by the IRS that he had not filed income tax returns for the years 1998 through 2002. The district court admitted these statements not to prove Farrell was guilty of tax evasion but rather to rebut Farrell's contention that he had legitimate income and not illegitimate income from drug trafficking. Under Federal Rule of Evidence 404(b), evidence of other crimes, wrongs, or acts is not admissible to prove the character of a person in order to show action in conformity therewith, but it may be admissible for another purpose. Because the introduction of such evidence runs the risk the jury will convict the defendant simply for being a bad person, the district court must be alert to whether the probative value of the evidence is substantially outweighed by the danger of unfair prejudice, in which case the court must exclude it. FED.R.EVID. 403. We accord substantial deference to the district court's rulings on these issues. United States v. Lawson, 410 F.3d 735, 741 (D.C.Cir.2005); see also Henderson v. George Wash. Univ., 449 F.3d 127, 133 (D.C.Cir.2006) (the appellate court is extremely wary of second-guessing the legitimate balancing of interests undertaken by the trial judge pursuant to Rule 403). Farrell contends admitting the IRS records violated both Rule 404(b) and Rule 403. He argues the IRS records were inadmissible under Rule 404(b) because they were probative of nothing more than that [he] just was a tax deadbeat and he was a bad citizen. Farrell argues the evidence was inadmissible under Rule 403 because whatever probative value it might have had was substantially outweighed by the danger of unfair prejudice, specifically the risk that the evidence would unfairly suggest he was the type of dishonest person who would deal drugs near a church or launder money. As Farrell points out, the district court did not give a limiting instruction as to the purpose for which the IRS records were admitted. We need not decide whether the district court erred, as Farrell claims. To the extent the purported errors relate to Farrell's conviction on Count 2 for money laundering, they are moot because we reverse that conviction on a different ground, supra. To the extent they relate to Farrell's drug-related convictions on Counts 1, 3, and 13-15, they were harmless. An error is harmless and thus to be disregarded if it does not affect substantial rights. FED.R.CRIM.P. 52(a); see 28 U.S.C. § 2111. In determining whether an error is harmless, the court measures the harm in terms of whether the error had substantial and injurious effect or influence in determining the jury's verdict, not merely whether the record evidence [would be] sufficient absent the error to warrant a verdict of guilt. Consequently, an evidentiary error is harmless if... the case is not close.... Ashcraft & Gerel v. Coady, 244 F.3d 948, 953 (D.C.Cir.2001) (quotation marks and citation omitted). Of course, the Government bears the burden of proving an error is `harmless.' United States v. Perry, 479 F.3d 885, 891 (D.C.Cir.2007). In this case, none of the drug charges was close; the Government presented overwhelming evidence of Farrell's guilt on each drug-related count, to wit: Count 1: The Government was required to prove Farrell agreed knowingly or intentionally... to ... distribute ... or possess with intent to ... distribute five kilograms or more of powder cocaine, 50 grams or more of crack cocaine (i.e., cocaine base), or 100 grams or more of heroin. See 21 U.S.C. §§ 841(a)(1), (b)(1)(A)(ii)-(iii), (b)(1)(B)(i) & 846. We detailed in Part I some of the evidence in support of this charge: Farrell and Fletcher coordinated their dealings with a drug source, their sales of powder cocaine to Thomas Jackson, and their sale of heroin to Harry Jackson; Farrell and Law jointly sold powder cocaine to Mason; and Law told Mason that Farrell was his source for the powder cocaine and heroin he was selling to Mason. The evidence in support of the other drug counts, which we consider presently, also shows Farrell's participation in the conspiracy. Count 3: The Government was required to prove Farrell knowingly open[ed], lease[d], rent[ed], use[d], or maintain[ed] the Rosedale building for the purpose of manufacturing, distributing, or using powder cocaine, crack cocaine, or heroin. See 21 U.S.C. § 856(a). As detailed in Part I, both apartment # 3, which was rented by Farrell's co-conspirator Law, and apartment #4, which was evidently not rented, contained drugs and drug paraphernalia. Apartment # 4 also contained links to Farrell, as well as to Fletcher and Law, specifically, Farrell's and Fletcher's business cards and a coffee grinder matching a piece of a coffee grinder in Law's apartment. And although Karlene Thomas was the Rosedale building's owner of record, Farrell had effective control. Not only was he collecting the rent from the tenants and paying the mortgage, he was also doing the leasing and he excluded Thomas by changing the locks on the building. Count 13: Much of the evidence that establishes Farrell's guilt under Counts 1 and 3 also proves he knowingly or intentionally possessed with intent to distribute the 15 grams of crack cocaine found in apartment # 4 of the Rosedale building or at least aided and abetted that possession, for which he would be liable as a principal. See 21 U.S.C. § 841(a)(1), (b)(1)(B)(iii); 18 U.S.C. § 2. Count 14: The Government was required to prove Farrell knowingly or intentionally distributed powder cocaine. See 21 U.S.C. § 841(a)(1), (b)(1)(C). On November 25, 2003, Mason, who was cooperating with FBI agents, met Law outside Law's aunt's house, where he gave Law $3,500 in marked bills for 125 grams of powder cocaine. Law did not, however, give Mason the cocaine at that time; rather, they agreed Law would give Mason the drugs later that day at the Shiloh Baptist Church. Farrell entered the church some 20 to 30 minutes after Law had done. Five to ten minutes later, Farrell and Law exited the church together and got into Farrell's van. After Mason arrived, Law left Farrell's van carrying a brown paper bag containing powder cocaine, which he gave to Mason in Mason's car. That night, a Metropolitan Police officer conducting a traffic stop of Farrell seized $3,411, of which $3,030 was in marked bills the FBI had provided to Mason earlier that day for the controlled purchase from Law. Count 15: As with Count 14, the Government was required to prove Farrell knowingly or intentionally distributed powder cocaine to Valentine-Bey. On November 26, 2003, at the direction of FBI agents, Valentine-Bey bought 250 grams of powder cocaine from Farrell outside the Shiloh Baptist Church. Farrell argues the admission of the IRS records showing he had failed to file tax returns for several years was nonetheless prejudicial because the records bolstered the credibility of the cooperating witnesses whose testimony was the core of the government's proof of the narcotics conspiracy. Farrell's theory appears to be that, insofar as the cooperating witnesses testified about Farrell's drug activities, their testimony was bolstered by the inference Farrell fears the jury drew from the IRS records, namely, that Farrell was dishonest and therefore the type of person who would deal drugs as charged. Farrell advances no reason, however, to doubt the credibility of the cooperating witnesses upon whose testimony the Government built its case against him, and so his objection founders; an error that bolsters the credibility of a witness is harmless unless that witness's testimony is otherwise[ ]suspect. United States v. Cunningham, 145 F.3d 1385, 1394 (D.C.Cir. 1998); see also United States v. Lampkin, 159 F.3d 607, 613 (D.C.Cir.1998) (error not harmless where witness's credibility was very much in doubt throughout the trial). Farrell's co-defendant Law, however, has questioned the credibility of one of those witnesses, namely, Mason. As described above, Mason testified about his transactions with Law and about Law's relationship with Farrell. Attempting to undermine Mason's credibility, Law argues that Mason made many vague and contradictory statements concerning the quantity of drugs he allegedly bought from Mr. Law; that there was evidence contradicting Mason's testimony about where the transactions between Mason and Law occurred; and that Mason's testimony was motivated by his plea bargain, under which he would gain leniency from prosecutors for his own actions. The connection between Mason's testimony and any general inference of Farrell's bad character that the jury might have drawn from the IRS records is so attenuated that the IRS records could not have bolstered Mason's credibility, let alone affected the jury's decision with respect to Farrell. We conclude the admission of the IRS records was, if erroneous, harmless with respect to the drug-related charges.