Opinion ID: 583594
Heading Depth: 2
Heading Rank: 3

Heading: The Definition of Loss

Text: 20 In facilitating the resentencing of Arjoon, we next address whether the district court properly calculated the loss suffered by the Bank as a result of Arjoon's embezzlement. In imposing Arjoon's original sentence, the district court rejected the Probation Department's calculation of an offense level of 13, which was based on the entire value of the stock at the time it was stolen, because Arjoon had returned 2,000 shares of stock before the Bank became aware that he had embezzled it. In ascertaining the Bank's loss, the district court subtracted the value of the shares Arjoon returned, which resulted in an adjusted offense level of 12. The government argues that the court clearly erred in so doing. We agree. 21 Application Note 2 to Section 2B1.1 of the Sentencing Guidelines, which concerns embezzlement, defines loss as the value of the property taken, damaged, or destroyed. Loss is, therefore, not the ultimate harm suffered by the victim, but is rather the value of what was taken. See, e.g., United States v. Brach, 942 F.2d 141, 143 (2d Cir.1991). Consequently, [u]nder the Guidelines, 'loss' includes the value of all property taken, even though all or part of it was returned. Id. It is for this reason that we conclude that the district court improperly subtracted the value of the stock returned. The appropriate figure in determining Arjoon's sentence was the $489,000 calculated by the Probation Department--the value of the stock that Arjoon originally stole.