Opinion ID: 2802975
Heading Depth: 2
Heading Rank: 5

Heading: Smith’s Restitution and Forfeiture Orders

Text: Smith contends that the district court incorrectly computed the amounts he owed as restitution and forfeiture. Because he did not object below on this ground, we review for plain error. See United States v. Thorn, 446 F.3d 378, 387 (2d Cir. 2006) (restitution); United States v. Uddin, 551 F.3d 176, 181 (2d Cir. 2009) (forfeiture). When determining whether to award restitution, the court should consider the amount of the loss sustained by the victim as a result of the offense, the financial resources of the defendant and the financial needs of the defendant’s dependents, and such other factors as the court deems appropriate. 18 U.S.C. § 3663(a)(B)(i)(I)-(II). “Any dispute as to the proper amount or type of restitution shall be resolved by the court by the preponderance of the evidence” with the burden of determining loss on the government. 18 U.S.C. § 3664(e). When the government seeks to impose criminal forfeiture, it must also establish the requisite nexus between the offense and the assets to be forfeited by a preponderance of the evidence. United States v. Capoccia, 503 F.3d 103, 110 (2d Cir. 2007). Smith argues that his restitution and forfeiture orders improperly include $600,000 attributable to sales of Firstline following its bankruptcy and he was acquitted of certain counts relating to these sales. The fact that he was acquitted on these counts, he contends, must mean that the jury had determined that he was unaware of the bankruptcy until after the sales occurred. But these contentions overlook the fact that he was also convicted of the conspiracy charged in Count 1, which encompassed fraud related to the post-bankruptcy Firstline sales and of mail fraud 21 No. 13-3164-cr in Count 10, which pertained to the September 10, 2009, Firstline post-bankruptcy memorandum. The jury’s determination that he was acquitted on certain of the substantive mail fraud charges related to the post-bankruptcy mailings is not inconsistent with a conclusion that he entered into a conspiracy involving these sales and does not absolve him of liability for the conspiracy and the losses it caused. Specifically, the government introduced evidence in support of Counts 1 and 10 that Smith learned about the Firstline bankruptcy before the 2009 mailing, and knowingly concealed material information about Firstline. Accordingly, it was not error, plain or otherwise, to include the $600,000 in the two orders. We have considered defendants’ remaining arguments and find them to be without merit.