United States v. Kattar

USCA1 Opinion




April 21, 1992 [NOT FOR PUBLICATION]






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No. 92-1126
No. 92-1129

UNITED STATES,

Appellee,

v.

PETER KATTAR,

Defendant, Appellant.


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No. 92-1127

UNITED STATES,

Appellee,

v.

SAYED HACHEM,

Defendant, Appellant.


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No. 92-1128

UNITED STATES,

Appellee,

v.

DAVID ABDOO,

Defendant, Appellant.


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APPEALS FROM THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF MASSACHUSETTS

[Hon. Douglas P. Woodlock, U.S. District Judge]
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Before

Breyer, Chief Judge,
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Campbell, Senior Circuit Judge,
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and Selya, Circuit Judge.
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James B. Krasnoo on brief for appellant, Peter Kattar.
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Douglas I. Louison and Merrick & Louison on brief for appellant,
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Sayed Hachem.
Albert F. Cullen, Jr. and Cullen & Butters on brief for
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appellant, David Abdoo.
A. John Pappalardo, Acting United States Attorney, and Robert W.
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Iuliano, Assistant United States Attorney, on brief for appellee.
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Per Curiam. In these consolidated appeals, Peter
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Kattar, Sayed Hachem and David Abdoo appeal from the decision

of the United States District Court for the District of

Massachusetts denying their requests for release pending

trial.

BACKGROUND
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Appellants were indicted, along with nine other

defendants, on charges of conspiring to import hashish in

violation of 21 U.S.C. 963. Kattar and Abdoo also were

charged with conspiring to possess hashish with the intent to

distribute it in violation of 21 U.S.C. 864.1 The amount

of hashish involved was approximately three tons. The

government moved to detain appellants under 18 U.S.C.

3142(f). A magistrate judge held a hearing concerning Kattar

and Hachem on September 4, 1991. As for Abdoo, the same

magistrate judge held hearings on September 9, November 27,

and December 4, 1991. The magistrate judge determined that

all three appellants presented a danger to the community and

that no conditions or combination of conditions of release

would reasonably assure the safety of the community. He also

found that Kattar and Hachem presented risks of flight.

On appeal to the trial judge, new hearings were

held as to each appellant. The trial judge upheld the



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1. In a separate indictment, Kattar was charged with money
laundering in violation of 18 U.S.C. 1956(a)(3).

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detention orders entered by the magistrate judge; in

addition, the judge concluded that Abdoo presented a risk of

flight as well as a danger to the community. Although the

judge did not make written findings, the transcripts of the

hearings reveal that he clearly articulated the facts and

reasons upon which he based his affirmance of the magistrate

judge's detention orders.

STANDARD OF REVIEW
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It is by now well-settled that we employ an

independent standard of review which nonetheless gives

deference to the decision of the district court. See United
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States v. O'Brien, 895 F.2d 810, 814 (1st Cir. 1990).
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Because appellate courts are "ill-equipped to resolve

factbound disputes, this standard cedes particular respect,

as a practical matter, to the lower court's factual

determinations." United States v. Tortora, 922 F.2d 880,
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882-83 (1st Cir. 1990). Where the trial court has taken

evidence and made carefully detailed findings, as in this

case, the degree of deference is heightened. With these

guidelines in mind, we turn to the merits of the detention

orders.

THE DISTRICT COURT'S FINDINGS
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The grand jury indictment, which gave the district

court probable cause to believe that appellants had committed

offenses for which they could receive sentences of ten years



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or more for violating the Controlled Substances Act, 21

U.S.C. 801 et seq., triggers the "rebuttable presumption"

contained in 3142(e). See United States v. Dillon, 938
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F.2d 1412, 1416 (1st Cir. 1991). Thus, "[s]ubject to

rebuttal by the person, it shall be presumed that no

condition or combination of conditions will reasonably assure

the appearance of the person as required and the safety of

the community. . . ." 18 U.S.C. 3142(e). The burden of

persuasion remains on the government and the presumption

retains evidentiary weight where, as here and as in most

cases, the defendants come forward with "some" refutatory

evidence. See id.; see also United States v. Perez-Franco,
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839 F.2d 867, 870 (1st Cir. 1988) (per curiam).

As for risk of flight, the government must

establish by a preponderance of the evidence that no set of

conditions of release will reasonably assure the presence of

the appellants as required. See United States v. Patriarca,
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948 F.2d 789, 793 (1st Cir. 1991) (preponderance of evidence

standard applies to risk of flight determinations); Dillon,
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938 F.2d at 1416. To measure whether the government has met

this burden, the district court is required to take into

account the relevant factors set forth in 3142(g): (1) the

weight of the evidence as to guilt; (2) the nature and

circumstances of the crime charged; and (3) the

characteristics of the accused, including community and



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family ties, past history, financial resources and

employment. We summarize the findings of the district court.



(1) Weight of the Evidence
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The evidence presented by the government was the

result of an extensive investigation conducted by the Federal

Bureau of Investigation, the Bureau of Alcohol, Tobacco and

Firearms and the United States Customs Service. This

investigation occurred over a period of more than one year

and involved the use of a confidential informant and an

undercover FBI agent, both of whom had direct contact with

Kattar and Hachem; the government also employed physical and

electronic surveillance, including the interception and

recording of telephone and oral communications. The district

court concluded that, in the light of such direct evidence,

the government had a very strong case. The question whether

evidence such as tape recordings will be admissable at trial

does not preclude their consideration for pre-trial bail

decisions. See Tortora, 922 F.2d at 886.
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(2) The Nature of the Offense
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Kattar acted as the organizer of the alleged

conspiracy. He is a United States citizen. He has two

passports, however, one issued by the United States and one

issued by Lebanon. He also owns property in Lebanon and has

a bank account there. Hachem is a citizen of Lebanon,



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although he has lived in the United States for the past ten

years as a resident alien. According to statements made by

Hachem, he had sufficient political contacts in Lebanon to

expedite the importation of the hashish.

Through these contacts and others, Kattar had

access to large amounts of hashish grown in Lebanon. Abdoo,

a resident of Vermont, and another defendant provided Kattar

with purchasers for the hashish -- an organized crime network

in Canada. If successful, Kattar planned to import hashish

on a monthly basis. As part of the effort to bring the first

shipment of hashish into this country, Kattar and Abdoo each

advanced $100,000. In addition, Kattar travelled to Lebanon

on two occasions. Hachem visited Lebanon more frequently; in

fact, he personally oversaw the initial packaging of the

hashish.

As a result of these efforts, a ship departed from

Lebanon in May 1991. On it was a sealed container in which

approximately 600 barrels were housed. The hashish was

packed inside over 300 of the barrels under layers of olives

and Lebanese spices. United States Customs officials seized

the container when the ship arrived in Boston in August 1991.

According to an FBI agent who testified at the September 9th

hearing before the magistrate judge, the three tons of

hashish had a street value in Canada of over $90,000,000.

(3) Individual Characteristics
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(a) Kattar. The trial judge acknowledged Kattar's
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longstanding ties to the community in which he lived and the

presence in his life of substantial family ties. Contrary to

the government's assertion, the judge accepted Kattar's claim

that he was legitimately involved in the financial services

business. Nonetheless, the judge determined that Kattar's

employment was "in no small part" connected to illegal

activities. In addition to the drug trafficking scheme,

there was evidence that Kattar intended to act as an arms

importer. Specifically, when the undercover agent, posing as

a foreign mercenary, asked whether Kattar could obtain guns

for him, Kattar indicated that he could. At a subsequent

meeting between Kattar, Abdoo and the agent, Kattar indicated

that Abdoo would be securing the weapons requested by the

agent.

The judge found that Kattar had international

contacts and knowledge concerning ways to surreptitiously

exit from this country and flee to Lebanon. Although not

noted by the judge, it is undisputed that Kattar stated, on

more than one occasion, that he would not remain in this

country should he be apprehended. The pressure to flee, the

court concluded, was particularly strong because Kattar, who

is sixty-one years of age, faces, if convicted, what

essentially may turn out to be a life sentence.





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(b) Hachem. Like Kattar, the judge found that
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Hachem had the international contacts and know-how to effect

a departure from this country. In addition, as a resident

alien, Hachem, should he be convicted, would be faced with

deportation after his prison term. Thus, the court pointed

out, the only difference to Hachem is "whether or not he will

serve time in an American prison before he's deported."

(c) Abdoo. The judge determined that Abdoo was a
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core figure in Kattar's operation, serving as a broker and as

a financier. In so finding, the judge specifically rejected

Abdoo's claim that he had withdrawn from the drug deal before

the shipment arrived in Boston. The government contended

that Abdoo also had been involved in two aborted attempts to

smuggle hashish directly into Canada. These schemes involved

the use of boats, diving teams, and underwater storage of the

drugs at certain buoy markers. The judge concluded, however,

that the evidence only supported a finding that Abdoo was

quite familiar with international drug traffic in general and

the above operations in particular. Abdoo's knowledge of the

details of the two Canadian operations, the judge found,

reflected access to non-public sources of information

concerning the activities of organized crime in Canada.

As for Abdoo's involvement in the arms trade, the

trial judge rejected the government's allegation that Abdoo

had sought to purchase weapons from an individual in Vermont.



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The evidence, the judge concluded, was too conflicting.

Nonetheless, the judge credited the information provided by

the undercover agent that Kattar had identified Abdoo as

Kattar's source of arms. The court noted that by his

silence, Abdoo essentially had "ratified" Kattar's

description of Abdoo's role.

Abdoo presented testimony and affidavits from

individuals who had personal and professional relationships

with him. These individuals attested to Abdoo's general

reputation and charitable activities in the community and his

good standing as a respected businessman. They generally

stated that Abdoo would not flee if released, especially

given the fact that he runs two successful businesses in

Vermont.

The judge acknowledged that the decision whether to

detain Abdoo pending trial presented a close question. On

the one hand, Abdoo had no prior criminal history and no

history of drug or alcohol abuse; his reputation in and

impact on his community were positive. On the other hand,

those who had submitted character references obviously were

not familiar with the history and characteristics revealed by

the charges contained in the indictment.

Weighing the seriousness of these charges and the

strength of the government's case against Abdoo's "public

character" and relation to the community, the court concluded



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that there were no conditions that would reasonably assure

Abdoo's presence at trial. Specifically, Abdoo's familiarity

with international drug operations and his apparent access to

large amounts of cash supported a finding that Abdoo

presented a risk of flight.

DISCUSSION
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On appeal, Kattar argues that it would, in fact, be

very difficult for him to flee. He offers to turn over his

Lebanese passport, maintaining that without it, his alleged

Lebanese contacts could not aid him in entering that country.

He next contends that he has no available financial

resources. Because the first (and, he claims, only) drug

shipment was confiscated, Kattar maintains he never actually

possessed the hashish or realized any profit from selling it.

He emphasizes that if his real estate holdings and those of

his wife were used as security, there is no likelihood that

he could raise the amount of money needed to flee. In

addition, he avers that as a result of the interception of

the first shipment, there is no existing drug organization

that could assist him in relocating. As for his prior trips

to Lebanon, Kattar avers that he travelled there reluctantly

and, on one occasion, only at the urging of either the

confidential informant or the undercover agent. Finally, he

points to the fact that he was released prior to trial in a

previous federal case and always had appeared as required.



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Hachem argues that his ten-year residency in the

community along with the absence of significant financial

assets adequately rebuts the presumption of flight. In

addition, as a minor player in the alleged conspiracy, Hachem

contends that he did not have access to any of the money used

to finance the drug enterprise. Without his passport and

without aid from Kattar's organization which Hachem, like

Kattar, maintains has essentially been disabled, he does not

have the means or wherewithal to seek asylum elsewhere.

Abdoo argues that the government did not produce

"clear and convincing" evidence that he presented a risk of

flight. He points to his admittedly strong community ties

and lack of criminal history. As for his access to cash to

fund a departure, Abdoo maintains that there was no support

for the court's finding that he had strong ties to organized

crime in Canada. Rather, he asserts, the evidence "shows

nothing more than monies becoming available to finance one

deal from which Abdoo withdrew." Thus, Abdoo states, the

court erred in finding that no conditions of release would

reasonably assure his appearance at trial. Finally, Abdoo

argues that his rights to due process and a speedy trial will

be violated if he is detained pending trial. Because of the

number of audiotapes of surveillance and the voluminous

transcripts that must be reviewed, pretrial detention will be

prolonged, he contends, through no fault of his own.



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We find that the factors favoring detention

outweigh those favoring release. Although Kattar has strong

community and family ties, his own words render him a risk of

flight. The fact that he appeared in court as required when

he previously was under indictment for mail fraud does not

change our calculation. The penal consequences of that

offense were not as severe as those Kattar currently faces.

As for Hachem, the prospect of deportation if he is convicted

provides a motive for flight. This is not outbalanced by

Hachem's ten-year residency in this country.

Although Abdoo presents a closer case, we think

that the trial judge's finding that no conditions of release

would reasonably assure Abdoo's presence at trial is

supported by the evidence. We are mindful of his past

history and reputation in the community. Nonetheless, this

is no ordinary drug case. Abdoo was a central figure in

financing and organizing a criminal enterprise which was

successful in importing over three tons of hashish. Given

the gravity of the charges and the strength of the

government's case, the incentive to relocate is pronounced.

We note, in relation to Abdoo's due process and speedy trial

claims, that it is too early to ascertain, without undue

speculation, whether his pretrial incarceration will be

sufficiently long enough to trigger constitutional concerns.

See Tortora, 922 F.2d at 889.
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In sum, we find that the evidence indicates that

all three appellants were involved in the kind of "highly

lucrative" drug operation that prompted Congress to enact the

Bail Reform Act. As we have explained before, the rebuttable

presumption contained in 3142(e) reflects Congress's

finding that generally drug traffickers pose special risks of

flight. See United States v. Palmer-Contreras, 835 F.2d 15,
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17 (1st Cir. 1987) (per curiam). Thus, we hold that the

district court did not err in determining that, despite

appellants' proffer of evidence, no conditions of release

would reasonably assure their appearance as required.

Because we conclude that detention is required to prevent

flight, we need not address the issue whether appellants also

present a danger to the community. Cf. United States v.
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Jessup, 757 F.2d 378, 380 (1st Cir. 1985).
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The judgment of the district court is affirmed.
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