Supreme Court Reaffirms Tenth Amendment/Federalism Limitations on Federal Criminal Statutes in Bond v. U.S.

Last week, the U.S. Supreme Court reaffirmed the Tenth Amendment and Federalism as a limitation on Federal statutes, in particular Federal criminal statutes, in the first significant case since U.S. v. Lopez, 514 U. S. 549 (1995), Bond v. U.S., No. 09–1227, which may be read here. Bond is an encouraging development given the overwhelmingly predominant trend to presume Federal criminal statutes and their application to be ipso facto within Congress' authority.

Carol Anne Bond discovered that her close friend was pregnant by Bond's husband. Bond engaged in a campaign of harassment against the woman, which included placing caustic chemicals on objects which the woman was likely to touch. The woman received burns from the substances, and Bond was charged in the U.S. District Court for the Eastern District of Pennsylvania pursuant to 18 U.S.C. s 229, the Federal chemical weapon statute. She entered a plea of guilty and was sentenced to 6 years' imprisonment. She reserved the right to challenge the constitutionality of the statute on appeal, and appealed, arguing that the Section 229 exceeded Congress' authority to enact under the Tenth Amendment which provides that "The powers not delegated to the United States by the Constitution, nor prohibited by it to the States, are reserved to the States respectively, or to the people." U.S. Const. Amend. X.

The Third Circuit Court of Appeals denied Bond's claims, holding that Bond lacked "standing" to object to the statute based upon the Tenth Amendment or Federalism (the division of powers between the Federal government and the States) because no State was involved in Bond's Federal prosecution. The Supreme Court granted certiorari and, in a unanimous opinion authored by Justice Kennedy,  held that where there is an otherwise justiciable case or controversy, a party may object that his or her injury results from violation of the Federal system of government. The Court held that although the States are also beneficiaries of Federalism, Federalism also serves to enhance individual freedom by “‘secur[ing] to citizens the liberties that derive from the diffusion of sovereign power,’” (Quoting New York v. United States, 505 U. S. 144, 181 (1992); quoting Coleman v. Thompson, 501 U. S. 722, 759 (1991) (Blackmun, J., dissenting)). The doctrine  protects the liberty of all persons within a State by ensuring that law enacted in excess of delegated governmental power cannot direct or control their actions. (Citing Gregory v. Ashcroft, 501 U. S. 452, 458 (1991)). Action exceeding the Federal government’s enumerated powers undermines the States’ sovereign interests. The Court remanded Bond's Tenth Amendment arguments for consideration on the merits. 

LAPD Officer Acquitted on Weapons Export Charges

It is a rather slow news day, so the Blog would like to take the opportunity to note that, earlier this month, a jury in the U.S. District Court for the Central District of California acquitted Los Angeles Police Department Officer Johnny Augustus Baltazar on charges of illegally exporting weapons and ammunition to the Central American nation of Belize, as reported in the L.A. Times. Baltazar was alleged to have purchased eight .40-caliber handguns, two 9-millimeter handguns and more than 1,500 rounds of ammunition from the LAPD police academy store for his Belize business, Elite Security. The guns and ammunition were shipped inside a safe, however the shipment was stopped by Belize officials who determined that the shipment was allegedly not in compliance with regulations banning the export of handguns larger than 9 mm. The officials sent the shipment back, and Baltazar planned to substitute smaller caliber guns for the larger caliber ones, however Immigration and Customs Enforcement agency discovered them and started an investigation.

Baltazar's counsel emphasized the confusing nature of export regulations to the jury at trial. He cited errors by the shipping company. He also argued that Baltazar was a law-abiding person merely looking to build a business in Belize for his retirement. A juror questioned following the verdict stated that he believed that Baltazar was merely following the advice of the shipping company. Baltazar remains an LAPD officer, however he has been on leave since the LAPD was notified of the investigation.

Smith & Wesson Investigated for Foreign Corrupt Practices Violations; Ponzi Schemer Scott Rothstein's Partner Invokes Fifth in Deposition

Ashby Jones of the Wall Street Journal Law Blog writes today that Firearms manufacturer Smith & Wesson is being investigated by the U.S. Department of Justice for alleged violations of the Foreign Corrupt Practices Act (FCPA). The company disclosed the investigation and potential future criminal indictments of the company and its officers and employees to investors in filings with the U.S. Securities and Exchange Commission. Smith & Wesson also acknowledged that it could face debarment by the U.S. State Department. The investigation is related to an FCPA sting operation which resulted in the indictment of 22 individuals in the arms industry.

According to Law.com, Stuart Rosenfeldt, of Rothstein Rosenfeldt Adler--as in Scott Rothstein, the convicted $1.2 billion Ponzi schemer--was deposed last week by the law firm's bankruptcy trustee concerning his law firm's finances and political contributions. Rosenfeldt repeatedly invoked his Fifth Amendment privilege against self-incrimination in response to many of the questions. Rosenfeldt stated that he never looked at the firm's books. Also, when asked about groups which he made donations to, such as Common Sense Coalition and Broward Coalition for Truth, Rosenfeldt denied being familiar with the groups or what they stood for. Rosenfeldt's attorney has stated the U.S. Attorney's Office for the Southern District of Florida is investigating Rosenfeldt's contributions.