United States v. Reyes

                  UNITED STATES COURT OF APPEALS
                      FOR THE FIRST CIRCUIT
                                           

No. 92-2124

                    UNITED STATES OF AMERICA,

                            Appellee,

                                v.

                           PEDRO REYES,

                      Defendant, Appellant.

                                           

           APPEAL FROM THE UNITED STATES DISTRICT COURT

                 FOR THE DISTRICT OF RHODE ISLAND

          [Hon. Ronald R. Lagueux, U.S. District Judge]
                                                      

                                           

                              Before

                    Torruella, Circuit Judge,
                                            

                 Feinberg,* Senior Circuit Judge,
                                                

                    and Boudin, Circuit Judge.
                                             

                                           

     Randy Olen, by Appointment  of the Court, with whom  John M.
                                                                 
Cicilline, was on brief for appellant.
         
     Margaret E. Curran, Assistant  United States Attorney,  with
                       
whom Lincoln  C. Almond,  United States Attorney  and Kenneth  P.
                                                                 
Madden,  Assistant  United States  Attorney,  were  on brief  for
      
appellee.

                                           

                         August 30, 1993
                                           

                    

*  Of the Second Circuit, sitting by designation.

          TORRUELLA,  Circuit   Judge.     Pursuant  to   a  plea
                                     

agreement,  defendant-appellant Pedro  Reyes pled  guilty to  one

count of conspiracy to  distribute and to possess with  intent to

distribute  cocaine and one count of distribution of cocaine.  In

this appeal, Reyes challenges the district court's calculation of

his guideline sentencing range ("GSR"), contesting the inclusion,

as relevant conduct, of  transactions involving his  codefendant,

which  were the subject of  charges dropped pursuant  to the plea

agreement.  Finding no clear error, we affirm.

                                I
                                 

          Because Reyes  pled  guilty, we  distill  the  relevant

facts from the Pre-Sentence Report ("PSR") and the  transcript of

the sentencing hearing.   United States  v. Castellone, 985  F.2d
                                                      

21,  22 (1st  Cir. 1993).   Reyes  and codefendant  Jos  Tav rez-

Tolentio  ("Tav rez")  were  the  subjects  of  a  combined  Drug

Enforcement Administration ("DEA") and local law enforcement drug

investigation.

          On  the  evening  of  Monday, January  27,  1992,  West

Warwick detective Sergeant Peter Appollonia met Tav rez outside a

building at 61 Whipple  Street in Providence, Rhode Island.   The

two  men proceeded  to a  second floor  apartment where  they met

Reyes.   Electric Company records  indicate that Reyes leased the

apartment.  Once inside, Tav rez  produced a bag containing  27.4

grams  of  cocaine  from   the  bathroom;  Reyes  and  Appollonia

negotiated the price of this transaction  and a quantity discount

for  a future  sale of  two ounces of  cocaine.   Appollonia then

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inquired if he  could purchase  the two ounces  on Wednesday  and

Reyes told Appollonia  to come  by at anytime.   The  transaction

concluded  when Appollonia paid Reyes $900 for the 27.4 grams and

Reyes counted the money.

          The  next  day, January  28,  1992,  DEA Special  Agent

Botelho  met  Tav rez  at 1455  Mineral  Spring  Avenue  in North

Providence.   Tav rez brought Botelho to  apartment sixteen where

they met a man known  as "Tony."  Tav rez gave Botelho  124 grams

of  cocaine and Botelho paid  him $3,100.   Shortly after Botelho

entered the building on Mineral Street, DEA agents observed Reyes

drive  his BMW,  accompanied by  a grey  Oldsmobile, from  his 61

Whipple Street address to  the building on Mineral Street.   When

the two vehicles arrived, the Oldsmobile proceeded to the rear of

the  building.  Reyes  parked nearby, exited  his vehicle, walked

around the parking lot  adjacent to the Mineral Street  building,

and returned  to his  car where  he waited.   Shortly  before the

transaction between Botelho and  Tav rez was completed, Reyes and

the  Oldsmobile departed  the  area and  returned  to 61  Whipple

Street.     The  DEA  interpreted  Reyes'   actions  as  counter-

surveillance for the deal occurring above in apartment sixteen.

          On  Saturday,   February  1,  1992,   at  approximately

5:30 p.m., detective Appollonia returned  to 61 Whipple Street to

purchase more  cocaine.   He  encountered Reyes  entering a  Ford

Escort  and inquired whether Reyes  had cocaine for  sale.  Reyes

directed Appollonia to  return later,  at which  time he,  Reyes,

would have the cocaine.   Reyes then departed.   At approximately

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6:00  p.m., Reyes  returned  to 61  Whipple  Street in  his  BMW,

followed  by  the  grey  Oldsmobile, and  entered  the  building.

Appollonia returned  at 6:07 p.m. and  met Tav rez in  the second

floor  apartment.   Reyes  was not  present.   Tav rez  left  the

apartment  and returned with  54.9 grams of  cocaine.  Appollonia

inquired whether  Reyes had informed  Tav rez that the  price was

set  at  $1,700,  representing the  quantity  discount previously

negotiated.     Tav rez  indicated   that  Reyes  had   done  so.

Appollonia paid for the cocaine and left the premises.

          On  Monday,  February 10,  1992, at  approximately 1:15

p.m., agent Botelho returned  to 1455 Mineral Street to  buy more

cocaine.   He met Tav rez, who  agreed to sell him  four and one-

half ounces of cocaine.  Tav rez left Mineral Street and drove in

a red Toyota wagon registered to Reyes to 61 Whipple Street.

          Approximately 35 minutes later, Tav rez returned to the

Mineral  Street  address.   Botelho  observed  Tav rez and  Reyes

inspecting Botelho's car,  which was parked in the  adjacent lot.

Tav rez again  met with Botelho and claimed that he would have to

go to South Providence to obtain the cocaine.  Tav rez departed a

second time, and  the Toyota and  Reyes' BMW went  to 61  Whipple

Street.   DEA agents observed Tav rez,  Reyes and an unidentified

man  entering the  building.   Tav rez then  returned  to Mineral

Street with 124.1 grams of cocaine.  Botelho alerted other agents

and  Tav rez was  arrested.   Later,  Reyes  was arrested  at  61

Whipple Street, where the police found .18 grams of cocaine.

          Count  one  charged  that  from a  time  unknown  until

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February 10, 1992, Reyes and Tav rez conspired to distribute, and

to possess with intent to distribute, cocaine, in violation of 21

U.S.C.    841(a)(1) and 846.  Counts two, three, and four charged

Reyes  and Tav rez with distribution of cocaine on January 27 and

28, and February 1, 1992, in violation of 21 U.S.C.    841(a)(1),

841(b)(1)(B), and  18 U.S.C.    2.  Count five  charged Reyes and

Tav rez  possessed  cocaine  with  intent  to  distribute  it  on

February 10,  1992,  in  violation  of 21  U.S.C.      841(a)(1),

841(b)(1)(C), and 18 U.S.C.   2.  Reyes pled guilty to counts one

and two and the  government dropped the charges in  counts three,

four, and five.

          At sentencing,  the district court  determined the  GSR

based  on the quantity of drugs involved in all the transactions,

including amounts related to the  dropped charges.  The  quantity

therefore was  330.58 grams,  which resulted  in  a base  offense

level of 22.  United States  Sentencing Guidelines   2D1.1(c)(11)

(Drug Quantity Table).  The judge adjusted the base offense level

downward   by  two  levels   for  acceptance  of  responsibility.

U.S.S.G.   3E1.1(a).  With an offense level of 20  and a criminal

history category of  I, the GSR was 33  to 41 months.   The judge

sentenced Reyes to 33 months.

          On appeal,  Reyes contests the calculation  of the GSR,

arguing that he should  be sentenced based  on the 27.4 grams  of

cocaine involved in the  January 27 transaction to which  he pled

guilty.   Based on a 27.4 grams,  the base offense level would be

14,   yielding  an  offense  level  of  12  after  reduction  for

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acceptance of responsibility.   Reyes contends therefore that the

GSR ought to have been 10 to 16 months.

                                II
                                  

          For  the purposes of sentencing,  the key factor is the

quantity of  drugs involved.   That quantity  is "the sum  of the

charged  conduct to  which defendant  pleads plus  his 'relevant'

uncharged  conduct."  United States v. Bradley, 917 F.2d 601, 604
                                              

(1st Cir.  1990).  "The drug  quantity is to be  derived from all

acts  'that were  part of the  same course  of conduct  or common

scheme or plan  as the offense of conviction.'"  United States v.
                                                              

Garc a,  954  F.2d 12,  15 (1st  Cir.  1992) (quoting  U.S.S.G.  
      

1B1.3(a)(2)).  "This court has repeatedly upheld the inclusion as

relevant conduct  of  acts  either not  charged  or  charged  but

dropped."  Id. (citing cases).  In the case of jointly undertaken
              

criminal  activity  (whether or  not  charged  as a  conspiracy),

relevant conduct includes all  acts reasonably foreseeable by the

defendant and committed in  furtherance of the jointly undertaken

activity.  U.S.S.G.   1B1.3, comment. (n.1); Castellone, 985 F.2d
                                                       

at 24; Garc a, 954 F.2d at  15.  To include disputed transactions
             

as relevant conduct, the government must prove by a preponderance

of the evidence a sufficient nexus between the conduct underlying

the  dropped charges and the  offense of conviction.  Castellone,
                                                                

985 F.2d  at 24; United States  v. Sklar, 920 F.2d  107, 110 (1st
                                        

Cir.  1990).   We accord  considerable deference to  the district

court's  determination that drug  transactions in dropped charges

form part of the  same course of conduct as  counts of conviction

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and, absent mistake of law, will set aside those findings only if

clearly  erroneous.  Castellone, 985 F.2d at 24; Garc a, 954 F.2d
                                                       

at 15.

          Reyes  contends that the government  did not prove by a

preponderance  of the  evidence  a sufficient  nexus between  the

charges  of  convictions  and the  January  28,  February  1, and

February 10, 1992 transactions.  Reyes emphasizes that he was not

physically  present  during  these   transactions  and  that  the

district court found that Tav rez operated his own heroin concern

without  Reyes'  participation.   Reyes  asserts  that, like  the

heroin business, Tav rez was distributing cocaine  without Reyes'

knowledge  and   in  furtherance  of   only  Tav rez'  individual

interests.

          With respect to the February  1, and February 10,  1992

drug  deals, Reyes'  assertions are  ridiculous.  To  begin with,

Reyes indicated at the January 27, drug sale, to which Reyes pled

guilty,  that  detective  Appollonia  could come  by  anytime  to

purchase cocaine.  The natural inference is that Reyes operated a

cocaine  distribution   business.    On   February  1,  detective

Appollonia encountered  Reyes outside  Reyes'  61 Whipple  Street

address,  and asked to purchase cocaine.   Reyes asked Appollonia

to  return  later  when the  cocaine  arrived.    Reyes left  the

building and returned.   Moments later, Appollonia entered Reyes'

second floor apartment and purchased cocaine from Tav rez.  Reyes

was  not observed leaving the building.  The district judge could

fairly infer that Reyes  had brought the cocaine back  to Whipple

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Street, allowing Tav rez to conduct the actual sale.

          The  February 10  transaction  is  similarly linked  to

Reyes.     Although  the  drug  buy   involved  a  different  law

enforcement agent, Botelho, and  occurred at a different address,

1455 Mineral Street, Tav rez drove a vehicle  registered to Reyes

to Reyes' apartment; returned with Reyes to Mineral Street, where

the  two observed  Botelho's  vehicle and  the surrounding  area;

again returned  to Whipple  Street with Reyes;  and finally  went

back to Mineral Street to sell Botelho the cocaine.   This series

of  actions supports an inference  that Tav rez had  to clear the

sale  with Reyes,  that  the two  conducted  an investigation  of

Mineral  Street before  proceeding, and  that Reyes  provided the

cocaine from the Whipple Street address.

          The  evidence   connecting  Reyes  to  the  January  28

transaction admittedly is less  convincing.  When considered with

the  three other drug deals, however, we cannot conclude that the

district court's  inclusion of this evidence  as relevant conduct

was clearly erroneous.  The  other three transactions support the

inference  that  Tav rez and  Reyes  worked  closely together  on

cocaine  sales  and  that Reyes  was  the  supplier.   Given  the

reconnaissance mission  during the  February 10 transaction,  the

visit  paid to the parking lot at  Mineral Street by Reyes in his

BMW and the grey Oldsmobile during the January 28 deal would also

appear to be surveillance.   The district court could  reasonably

infer  from  all the  evidence  that the  conduct  underlying the

dropped charges formed part of the same course of conduct.  As we

                               -8-

made clear in United States v. Ruiz, 905 F.2d 499,  508 (1st Cir.
                                   

1990),  "where there  is  more than  one  plausible view  of  the

circumstances,  the sentencing  court's choice  among supportable

alternatives cannot  be clearly  erroneous."  The  district court

therefore was entitled to include the quantities  of cocaine from

all the transactions when determining the GSR.

          Finding no clear error, we affirm.
                                           

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