Opinion ID: 458933
Heading Depth: 1
Heading Rank: 4

Heading: denial of motion for mistrial based on allegedly improper cautionary instruction

Text: 29 The next allegation of error that we address, in which Wilson and Milliken join, concerns an allegedly improper cautionary instruction given by the court. Assistant Iowa Attorney General Tam Ormiston testified that he had told Wilson that Robinson was under investigation in Ohio, and that Robinson had been involved in similar advanced-fee, loan-finding schemes for three years without any loans coming through. Prior to Ormiston's testimony, the district court charged the jury that the answer that was about to be given should only be considered in respect to Wilson, and that it bears only on the issue of whether Defendant Wilson acted with a reckless indifference or disregard for the truth. Immediately following Ormiston's testimony as to his statements to Wilson, the court further instructed the jury: 30 Now you may not consider that evidence as evidence that Mr. Robinson was, in fact, under investigation. You may not consider it as any evidence that, in fact, he had been involved for three years in this type of program. You may not consider it as any evidence that no loan, in fact, had ever come through. It's considered only for the purpose of letting you know that Mr. Wilson was told this by this witness on July 11, 1980. 31 Wilson then moved for a mistrial, arguing that the court's statement prior to Ormiston's testimony that it would bear on the issue of whether Wilson acted with a reckless indifference or disregard for the truth prejudiced Wilson. The court denied Wilson's mistrial motion. Ormiston subsequently testified as to making similar representations about Robinson to Milliken, after which the court incorporated by reference the cautionary instruction made with regard to Wilson. 32 Wilson and Milliken 7 now argue that the district court erred in denying the mistrial motion. They contend that the court's instruction impermissibly indicated that the court believed that Ormiston's testimony would show that Wilson and Milliken had acted with reckless indifference or disregard, thus robbing them of their ability to assert their defense of lack of intent to defraud. The proper course of action for the district court, according to Wilson and Milliken, would have been to instruct the jury that Ormiston's testimony was being received against Wilson (and later Milliken) only, without adding to which issue it related. 33 Wilson's and Milliken's arguments are not well taken. The district court has discretion in deciding whether to give cautionary instructions. Stineman v. Fontbonne College, 664 F.2d 1082, 1087 (8th Cir.1981). The district court also has much discretion in framing jury instructions in general. United States v. Bednar, 728 F.2d 1043, 1048 (8th Cir.), cert. denied, --- U.S. ----, 105 S.Ct. 110, 83 L.Ed.2d 54 (1984); United States v. McQuarry, 726 F.2d 401, 402 (8th Cir.1984). When the court does give a limiting instruction when admitting evidence, it should instruct the jury as to the limited purpose for which the evidence is received. United States v. Bradshaw, 690 F.2d 704, 709-10 (9th Cir.1982), cert. denied, 463 U.S. 1210, 103 S.Ct. 3543, 77 L.Ed.2d 1392 (1983); United States v. Aims Back, 588 F.2d 1283, 1287 (9th Cir.1979). See also United States v. Russell, 712 F.2d 1256, 1258 (8th Cir.1983); United States v. Regner, 677 F.2d 754, 757 (9th Cir.), cert. denied, 459 U.S. 911, 103 S.Ct. 220, 74 L.Ed.2d 175 (1982); United States v. Morrow, 537 F.2d 120, 141 (5th Cir.1976), cert. denied, 430 U.S. 956, 97 S.Ct. 1602, 51 L.Ed.2d 806 (1977). Here the district court gave the cautionary instructions in question to insure that the jury would not consider the statements made by Ormiston to Wilson and Milliken as proof that Robinson actually was under investigation in Ohio, or that he actually had taken part in loan-finding schemes for three years without closing a loan. The testimony was admitted only as evidence that the warnings were made, and the court so instructed the jury. Contrary to Wilson's and Milliken's argument, the instruction did not reflect a belief on the part of the court that they had acted with reckless indifference or disregard. We conclude, then, that the district court did not abuse its discretion in issuing the cautionary instructions in question. 34 VI. DENIAL OF ROBINSON'S MOTION FOR MISTRIAL BASED ON ADMISSION OF TESTIMONY OF ALLEGED COCONSPIRATORS 35 At trial several witnesses for the Government, specifically many alleged victims of the loan scheme as well as James Liverca and Assistant Iowa Attorneys General Neil Hamilton and Tam Ormiston, testified as to statements made by one of the appellants when at least one of the other appellants was not present. When the first of these witnesses, Neil Hamilton, testified, Robinson objected on hearsay grounds to the admission of any testimony by Hamilton as to statements made by Wilson or Milliken out of the presence of Robinson. The Government contended that the testimony was admissible under Fed.R.Evid. 801(d)(2)(E) as statements made by coconspirators of a party during the course and in furtherance of the conspiracy. The district court allowed the testimony in, subject to the procedures outlined in United States v. Bell, 573 F.2d 1040, 1044 (8th Cir.1978), for use when the admissibility of a coconspirator's statement is at issue. 8 Under Bell, the out-of-court declaration of an alleged coconspirator is admitted subject to the requirement that the Government prove that the statement was made by a coconspirator during the course and furtherance of the conspiracy. The court then makes a final determination as to the admissibility of the statement at the close of all of the evidence. The court added that subsequent hearsay objections of a similar nature would likewise be treated under the Bell procedures. 36 When it came time for the district court to make its final ruling as to the admissibility of the alleged coconspirators' statements, however, the court essentially ruled that Bell did not apply because most of the statements in question were not hearsay. 9 Instead, the court ruled, the statements were admissible as nonhearsay verbal acts. The court noted that hearsay is defined as a statement, other than one made by the declarant while testifying at the trial or hearing, offered in evidence to prove the truth of the matter asserted. See Fed.R.Evid. 801(c). The court determined, however, that the Government did not introduce the statements at issue to prove that they were true, but only to establish that the statements had in fact been made. As such, the court held, the statements were admissible as nonhearsay verbal acts. See United States v. Calvert, 523 F.2d 895, 907 (8th Cir.1975), cert. denied, 424 U.S. 911, 96 S.Ct. 1106, 47 L.Ed.2d 314 (1976). 37 Robinson contends that instead of ruling these statements admissible, the district court should have declared a mistrial under section (d) of the Bell guidelines because the Government failed to make the required showing through independent evidence that a conspiracy existed involving Robinson, Wilson, and Milliken. Robinson's argument, however, fails to comprehend that the district court ruled Bell inapplicable because the statements at issue were not offered for the truth of the matters asserted. By and large the testimony to which Robinson objects involves representations made by Wilson and Milliken to prospective clients about the loan program. This testimony was not admitted to establish that the representations made were true, but simply that they were made. Robinson makes no argument that the statements were in fact offered for the truth of the matters asserted. We conclude that the district court did not err in admitting this testimony, and therefore Robinson's motion for mistrial was properly denied.