Court Opinion

ID: 9457699
Source: CourtListenerOpinion
Date Created: 2023-08-04 20:30:20.285882+00
Date Added: 2024-06-11T17:35:28.206168
License: Public Domain

LUMBARD, Circuit Judge
(concurring) :
I concur in all of Judge Oakes’ excellent opinion. As to the trial judge’s striking out paragraphs 6 and 7 of Count I, I think more needs to be said. I can see no good reason for the trial *598judge striking out, over the government’s objection, the portions of the indictment that alleged that Colasurdo had defrauded the stockholders and creditors of Pakco and Crescent through the use of the mails and wires.
The entire scheme was an attempt by Colasurdo to conceal from the stockholders and creditors the sham nature of the sales of the blueberry patch that allowed him, in effect to borrow from Crescent $2,000,000 for five years with which he purchased his controlling interest in Crescent. False reports to the SEC were only a portion of this scheme; for it to succeed, it was equally important that all information received by the stockholders and creditors be tailored so as to keep them ignorant of the real nature of Colasurdo’s transactions. Obviously then, the allegations in the indictment that fraudulent material was transmitted to Pakco and Crescent stockholders and creditors over the wires and through the mails were quite properly included in the indictment and the government was entitled to prove these charges to the jury.