Natanel v. United States

USCA1 Opinion




[NOT FOR PUBLICATION]



UNITED STATES COURT OF APPEALS

FOR THE FIRST CIRCUIT


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No. 92-2406

EFRIAM NATANEL,

Petitioner, Appellant,

v.

UNITED STATES OF AMERICA,

Respondent, Appellee.


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APPEAL FROM THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF MASSACHUSETTS

[Hon. Edward F. Harrington, U.S. District Judge]
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Before

Breyer, Chief Judge,
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Torruella and Cyr, Circuit Judges.
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Efriam Natanel on brief pro se.
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A. John Pappalardo, United States Attorney, and Stephen P.
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Heymann, Assistant United States Attorney, on brief for appellee.
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May 14, 1993
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Per Curiam. Petitioner Efriam Natanel was convicted in
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1989 on a single count of distributing more than 500 grams of

cocaine, in violation of 21 U.S.C. 841(b)(1)(B). He was

given a six-year term of imprisonment, to be followed by a

four-year period of supervised release, and was ordered to

pay a $20,000 fine. This court affirmed his conviction on

appeal. United States v. Natanel, 938 F.2d 302 (1st Cir.
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1991), cert. denied, 112 S. Ct. 986 (1992). Following his
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unsuccessful pursuit of motions for a new trial and for

reduction of sentence, petitioner filed a pro se motion under

28 U.S.C. 2255 to vacate the $20,000 fine, alleging that it

had been imposed in violation of the governing statute. From

the district court's denial of this motion, petitioner now

appeals.1 We affirm.

As the crime here occurred in May 1987, the court

imposed the fine pursuant to the applicable pre-Guidelines

statute. See 18 U.S.C. 3622(a). This provision listed
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various factors that the sentencing court "shall consider" in

deciding whether to impose a fine and the amount thereof--

including "the defendant's income, earning capacity, and

financial resources" and "the burden that the fine will







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1. Due to the sentencing judge's intervening retirement, a
different district court judge handled the 2255 petition.

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impose upon the defendant."2 Petitioner argues that the

sentencing court failed to explain its reasons, pursuant to

these criteria, for imposing the fine. He argues that the

court specifically failed to consider his financial status.

And he argues that the court abused its discretion in

imposing the fine in the face of his demonstrated inability

to pay it. We find these assertions unpersuasive.3

Contrary to petitioner's first contention, this court

has held (in accordance with the majority of other circuits)


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2. Section 3622(a) provided in relevant part:

(a) In determining whether to impose a fine and
the amount of a fine, the court shall consider, in
addition to other relevant factors--
(1) the nature and circumstances of the
offense;
(2) the history and characteristics of the
defendant;
(3) the defendant's income, earning capacity,
and financial resources;
(4) the burden that the fine will impose upon
the defendant, any person who is financially
dependent on the defendant, or any other person
(including a government) that would be responsible
for the welfare of any person financially dependent
on the defendant, relative to the burden that
alternative punishments would impose;
....
(7) the need to deprive the defendant of
illegally obtained gains from the offense ....

3. The government argues, and the district court found, that
petitioner waived this issue, having failed both to object
thereto at sentencing and to raise it on direct appeal. See,
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e.g., United States v. Frady, 456 U.S. 152 (1982) (applying
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"cause and prejudice" test to procedural defaults in 2255
context). As we find petitioner's claim to be without merit,
we need not address the question of waiver. See, e.g.,
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Murchu v. United States, 926 F.2d 50, 53 n.4 (1st Cir.) (per
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curiam), cert. denied, 112 S. Ct. 99 (1991).
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that "specific findings ... are not mandated by section

3622(a)," so long as the record otherwise "enables adequate

appellate review." United States v. Wilfred American Educ.
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Corp., 953 F.2d 717, 720 (1st Cir. 1992) (citing cases); see
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also United States v. Savoie, 985 F.2d 612, 620 (1st Cir.
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1993) (adopting same rule in Guidelines case). His second

assertion--that the court failed to consider his financial

status--is equally misplaced. The presentence report (PSI)

addressed this issue at some length, and "[w]e will not

presume that the district court declined to consider the

relevant section 3622(a) evidence contained in the record."

Wilfred American, 953 F.2d at 719. "There is no abuse of
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discretion when the court had before it information bearing

on all the relevant factors,... absent a record showing the

court refused to consider the 3622(a) factors." United
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States v. Weir, 861 F.2d 542, 545 (9th Cir. 1988), cert.
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denied, 489 U.S. 1089 (1989) (quoted in United States v.
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Penagaricano-Soler, 911 F.2d 833, 847 n.17 (1st Cir. 1990)).
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Moreover, petitioner's attorney raised this very issue when

addressing the court immediately prior to the imposition of

sentence.

In his final argument, petitioner suggests that

3622(a) requires a court, not only to consider a defendant's
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financial condition, but to ensure that any fine imposed is

reasonably consistent with his ability to pay. We need not



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decide whether such a requirement can be read into the

statute, for (assuming arguendo that it can be) we think the
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fine here is consistent therewith. To be sure, petitioner

appears to lack the present ability to pay $20,000. The PSI,

reciting financial data submitted by petitioner, lists total

liabilities exceeding $81,000 along with negligible assets.4

And while the government argues that petitioner retained some

undisclosed assets (in the form of his share of the drug




























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4. According to the PSI, petitioner's principal liability is
a $49,000 obligation to the state welfare department for past
child support. He is also described as having over $30,000
in outstanding loans from four family members, apparently to
help pay for legal expenses. (To what extent these loans
covered such reimbursable matters as bail bond is not
indicated.)

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proceeds),5 these would fall well short of overcoming the

reported deficit in his personal finances.

Nonetheless, as indicated by the reference in

3622(a)(3) to "earning capacity," a defendant's future

ability to pay is part of the equation. And petitioner's

employment history reflects a fair degree of accomplishment

and aptitude. He operated his own business for several

years. He thereafter served as a motor coach operator,

earning praise as a "valued employee." And he simultaneously

served on the executive board of the transit union, helping

to negotiate labor agreements and "provid[ing] the leadership

and counsel necessary to the survival of the bargaining

unit." Given this record, and notwithstanding several


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5. The government had recommended a fine of $20,000 on the
ground that such figure corresponded to the then-prevailing
price for a kilogram of cocaine (the amount involved in the
sale). The court agreed that such recommendation was
"proper." Regardless of the share of the proceeds actually
retained by petitioner, such action is consistent with the
"need to deprive the defendant of illegally obtained gains."
18 U.S.C. 3622(a)(7).
Relying on United States v. Wells Metal Finishing, Inc.,
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922 F.2d 54, 58 (1st Cir. 1991), the government now contends
that the court's action also constituted an implicit finding
that petitioner had access to undisclosed assets. We need
not decide this matter. Even if the government were correct
in this regard, but cf. United States v. Rowland, 906 F.2d
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621, 624 (11th Cir. 1990) (finding of undisclosed assets
"must be reasonably supported by probative evidence"), it
would matter little. The government acknowledges that it is
unclear what portion of the proceeds was paid to petitioner.
And given the government's commendably candid portrayal of
petitioner, at sentencing, as "a low-level member of the
distribution chain," it is fair to infer that his share was
less than substantial. Even if he retained access to such
funds, therefore, that fact would make little difference.

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countervailing factors,6 the district court could reasonably

have believed that petitioner had "at least a hope" of being

able to pay the fine imposed. United States v. Mahoney, 859
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F.2d 47, 52 (7th Cir. 1988) (restitution order under

similarly worded statute).

It is also noteworthy that petitioner was facing a fine

of up to $2,000,000. The imposition of a fine 1/100th that

size obviously reflects an appreciation of his financial

status. See, e.g., United States v. Pilgrim Market Corp.,
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944 F.2d 14, 22-23 (1st Cir. 1991). More generally, it is

not disputed that the fine here was fully consistent with the

other 3622(a) factors--particularly the "nature of the

offense" and (as mentioned) the "need to deprive the

defendant of illegally obtained gains." We therefore find

that the sentencing court acted within its discretion in

imposing the $20,000 fine. See, e.g., United States v. Levy,
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897 F.2d 596, 597, 599 (1st Cir. 1990) (upholding $15,000

fine imposed pursuant to 3622(a) even on assumption that

defendant was then "penniless").

Affirmed.
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6. Petitioner is reported to have left school (in Israel) in
the 7th or 8th grade. While he speaks English well, he can
read it only "a little." In the aftermath of a work injury,
he suffers from recurring (but non-disabling) back pain which
requires daily medication. And he is now approximately 57
years of age.

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