X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

Defendant-Appellant Joseph Percoco appealed from a judgment of conviction entered in the United States District Court for the Southern District of New York (Caproni, J.), after a jury found him guilty of two counts of conspiracy to commit honest-services wire fraud (Counts Nine and Ten), and one count of solicitation of bribes and gratuities (Count Eleven). Finding no merit in the arguments raised on appeal, we affirmed the judgment of the district court. See United States v. Percoco, 13 F.4th 180 (2d Cir. 2021). Percoco then petitioned the Supreme Court for review, asking that Court to decide, as pertinent to Count Ten, whether a private citizen who has informal political or other influence over governmental decision-making can be convicted of honest-services fraud. The Supreme Court reversed our judgment — holding that the district court’s jury instructions, based on our decades-old decision in United States v. Margiotta, 688 F.2d 108 (2d Cir. 1982), were clearly erroneous — and remanded for further proceedings. See Percoco v. United States, 598 U.S. 319 (2023). Having given due consideration to the Supreme Court’s decision in Percoco, we now AFFIRM Percoco’s convictions and sentences on Counts Nine and Eleven for the reasons set forth in our prior opinion, VACATE his conviction and sentence on Count Ten, and REMAND to the district court for further proceedings consistent with this opinion. AFFIRMED IN PART, VACATED IN PART, AND REMANDED. PER CURIAM In 2019, Defendant-Appellant Joseph Percoco appealed from a judgment of conviction entered in the United States District Court for the Southern District of New York (Valerie E. Caproni, J.), after a jury found him guilty of two counts of conspiracy to commit honest-services wire fraud, in violation of 18 U.S.C. §1349 (Counts Nine and Ten), and one count of solicitation of bribes and gratuities, in violation of 18 U.S.C. §§666(a)(1)(B) and 2 (Count Eleven). Before this Court, Percoco challenged (among other things) the district court’s instructions on Count Ten that he could be liable for actions that he agreed to undertake while he was not formally employed as a state official. Finding that the district court’s instructions fit comfortably within our decades-old decision in United States v. Margiotta, 688 F.2d 108 (2d Cir. 1982), and finding no merit in the other arguments raised on appeal, we affirmed the judgment of the district court. See United States v. Percoco, 13 F.4th 180 (2d Cir. 2021). In 2022, Percoco petitioned the Supreme Court for review, asking that Court to decide, as pertinent to his conviction on Count Ten, “whether a private citizen who has informal political or other influence over governmental decision[-]making can be convicted of honest-services fraud.” Percoco v. United States, 598 U.S. 319, 325 (2023) (internal quotation marks omitted); see also id. at 325 n.2 (noting that “Percoco did not petition for review of the Second Circuit’s affirmance of the two other convictions relating to additional conduct”). The Supreme Court granted certiorari, Percoco v. United States, 142 S. Ct. 2901 (2022), reversed this Court’s judgment, and remanded for further proceedings, see Percoco, 598 U.S. at 333. Upon the case returning to us, Percoco and the government filed a letter jointly “request[ing] that the Court vacate Percoco’s conviction and sentence on Count Ten, affirm Percoco’s convictions and sentences on Counts Nine and Eleven, and remand so that the [g]overnment may move to dismiss Count Ten and the [d]istrict [c]ourt may amend the judgment to remove the penalties imposed for the conviction on Count Ten while leaving intact the penalties imposed for the convictions on Counts Nine and Eleven.” Doc. No. 520 at 2; see also id. (“recognizing that this Court ordinarily remands for resentencing when vacating fewer than all of a defendant’s convictions on direct appeal,” but stating that “Percoco waives any resentencing with respect to his remaining convictions on Counts Nine and Eleven”).1 Having given due consideration to the Supreme Court’s decision in Percoco, we agree with the parties’ proposal. As an initial matter, because our previous analysis of Counts Nine and Eleven is unaffected by the Supreme Court’s decision, we affirm Percoco’s convictions and sentences on those counts for the reasons stated in our prior opinion. See Percoco, 13 F.4th at 188–92 (concluding that the error in the so-called “as opportunities arise” jury instruction was harmless); id. at 197–98 (rejecting Percoco’s challenge to the gratuity jury instruction); id. at 199– 201 (rejecting Percoco’s sufficiency-of-evidence challenge); id. at 202–03 (rejecting Percoco’s challenge to a portion of the forfeiture order); see also Escalera v. Coombe, 852 F.2d 45, 47 (2d Cir. 1988) (“Any reconsideration at this juncture of our earlier opinion must be limited to the scope of the Supreme Court’s remand.”). The same, however, cannot be said with respect to our previous analysis of Count Ten. Although the Supreme Court held that a private citizen “nominally outside public employment” can, in certain circumstances, be convicted of defrauding the public of honest services, Percoco, 598 U.S. at 329–30, it nonetheless concluded that the Margiotta-based jury instructions given at trial in this case were erroneous, and that “it [was] far from clear that the erroneous jury instructions would be harmless,” id. at 325–29, 330–33. Indeed, on remand, the government has made no argument that the instructional error was harmless. See Doc. No. 520. Vacatur of Percoco’s conviction and sentence on Count Ten is therefore warranted. Accordingly, we AFFIRM Percoco’s convictions and sentences on Counts Nine and Eleven, VACATE Percoco’s conviction and sentence on Count Ten, and REMAND to the district court for further proceedings consistent with this opinion.2 Dated: September 5, 2023

 
Reprints & Licensing
Mentioned in a Law.com story?

License our industry-leading legal content to extend your thought leadership and build your brand.

More From ALM

With this subscription you will receive unlimited access to high quality, online, on-demand premium content from well-respected faculty in the legal industry. This is perfect for attorneys licensed in multiple jurisdictions or for attorneys that have fulfilled their CLE requirement but need to access resourceful information for their practice areas.
View Now
Our Team Account subscription service is for legal teams of four or more attorneys. Each attorney is granted unlimited access to high quality, on-demand premium content from well-respected faculty in the legal industry along with administrative access to easily manage CLE for the entire team.
View Now
Gain access to some of the most knowledgeable and experienced attorneys with our 2 bundle options! Our Compliance bundles are curated by CLE Counselors and include current legal topics and challenges within the industry. Our second option allows you to build your bundle and strategically select the content that pertains to your needs. Both options are priced the same.
View Now
September 05, 2024
New York, NY

The New York Law Journal honors attorneys and judges who have made a remarkable difference in the legal profession in New York.


Learn More
July 11, 2024
New York, NY

The National Law Journal Elite Trial Lawyers recognizes U.S.-based law firms performing exemplary work on behalf of plaintiffs.


Learn More
July 22, 2024 - July 24, 2024
Lake Tahoe, CA

GlobeSt. Women of Influence Conference celebrates the women who drive the commercial real estate industry forward.


Learn More

McCarter & English, LLP is actively seeking a midlevel insurance coverage associate for its Newark, NJ and/or Philadelphia, PA offices. ...


Apply Now ›

McCarter & English, LLP, a well established and growing law firm, is actively seeking a talented and driven associate having 2-5 years o...


Apply Now ›

Prominent Insurance Defense/Personal Injury litigation law firm located in the Financial District in NYC is seeking attorneys with all level...


Apply Now ›
06/27/2024
The American Lawyer

Professional Announcement


View Announcement ›
06/21/2024
Daily Business Review

Full Page Announcement


View Announcement ›
06/14/2024
New Jersey Law Journal

Professional Announcement


View Announcement ›