People v. Sweeney CA4/2

I

INTRODUCTION

A jury convicted defendants James Albert Sweeney II and Patrick Michael Ryan of 65 counts of white-collar crime and found true three special allegations. The court sentenced Sweeney to 33 years and Ryan to 31 years. The court also imposed restitution in the amount of $8,266,026 under Penal Code section 1202.4, subdivision (f).

The final version of the second amended information alleged 65 criminal counts. As to each of the 20 individual victims, it alleged three separate counts: the sale of unqualified securities (Corp. Code, § 25110); fraud in the offer of a security (Corp. Code, §§ 25401, 25540, subd. (b)); and grand theft (§ 487). As to all the victims, it alleged count 67, a fraudulent securities scheme (Corp. Code, §§ 25540, subd. (a), 25541) and four counts — 68, 69, 70, and 71 — involving an endless chain scheme. (§ 327; Corp. Code, §§25110, 25401, 25540, subds. (a) & (b), 25441.) The information further alleged two special allegations for excessive takings (§§ 1203.045, 12022.6, subd. (a)(3)) and one for aggravated white-collar crime (§ 186.11, subd. (a)(2)).

On appeal, both defendants challenge the sufficiency of the evidence on count 68 and…