Public corruption and honest services fraud are an issue both in
Florida and nationally. My next two blog posts will address this issue,
first on the Federal level, then on the state level.
Public
officials and businesspeople in the U.S. are being charged and in some
cases convicted under the Federal honest services fraud statute. The
statute,
18 U.S.C. §1346 (1988),
is itself an addendum to 18 U.S.C. chapter 63, "Mail Fraud and Other
Fraud Offenses," which includes wire fraud and bank fraud. Section
1346, which does not itself define a crime, adds to the definition of
"scheme or artifice to defraud." It reads: "For the purposes of this
chapter, the term 'scheme or artifice to defraud' includes a scheme or
artifice to deprive another of the intangible right of honest services."
The Supreme Court is considering the constitutionality of the honest services fraud statute in three cases this term:
Black v. United States,
Weyhrauch v. United States, and
Skilling v. United States. (The links are to
SCOTUSWiki, a companion site to
SCOTUSBlog, brought to you by
Akin Gump's Supreme Court and Appellate practice group.) According to the
Los Angeles Times, during the arguments over
Black and
Weyhrauch,
on December 9, 2009, the Supreme Court seemed dubious about the
constitutionality of the honest-services fraud statute, with no real
ideological split. The honest-services fraud statute is analyzed, and
its history delved into, in this article originally published on the
American Bar Association's Web site,
"The Honest Services Statute: Scalpel or Axe?" The
Miami Herald ran an editorial in December 2009 about
the necessity of the honest-services fraud statute.