Opinion ID: 2978318
Heading Depth: 3
Heading Rank: 2

Heading: Elson’s Participation

Text: As a lawyer, Elson’s participation in the conspiracy primarily consisted of arranging for the purchase of judgments entered against Schultz, generally at a substantial discount, by third parties who were controlled by Schultz. No. 07-3778 United States v. Elson Page 3 In 1995, St. Paul Insurance Company (“St. Paul”) hired Elson’s law firm to collect a 1994 judgment against Schultz valued at approximately $2.7 million. Elson became involved in the matter, and pursued collection of the judgment on behalf of St. Paul, eventually obtaining the garnishment of Schultz’s Individual Retirement Account (“IRA”), which was worth approximately $1.3 million. In November 1995, as counsel for St. Paul, Elson represented St. Paul in the sale of its interest in its $2.7 million judgment to Frances McPeak, a co-conspirator, for $450,000. Also in November 1995, Elson agreed to represent McPeak’s entity, JAC. The purpose of JAC was to purchase judgments against Schultz with Schultz’s assets. Through his involvement with JAC, Elson assisted Domenic L. Massari, III, another co-conspirator and Schultz’s attorney, in arranging for JAC to obtain a garnishment of Schultz’s IRA. Elson also negotiated the purchase of a $1.7 million judgment against Schultz in favor of Everan Securities for $611,000. In addition, Elson was involved in the purchase of the “Bryant judgment”—a judgment obtained by Thomas Bourke on behalf of his client, Frank L. Bryant—valued at approximately $2.162 million, for $2 million. In 1998, after learning that a grand jury was investigating Schultz’s fraudulent activities, Elson “prepared documents that purported to reflect an intent for” the purchasers of the judgments against Schultz “to collect on the civil judgments against . . . Schultz.” (J.A. 329.) For example, Elson filed briefs on behalf of JAC in the Ninth Circuit “purporting to be adverse to Schultz.” (Id.) Although Elson represented to the courts and to the grand jury that the nominees’ purchases of the judgments against Schultz were legitimate transactions, Elson “knew that the nominees were acting in part to obstruct the grand jury 1 investigation.” (J.A. 330.)