United States v. Richard Bailey

MEMORANDUM

Richard Bailey (“Bailey”) appeals from his convictions for causing the sale of unregistered securities in violation of 15 U.S.C. §§ 77e and 77x and 18 U.S.C. § 2 . ' He contends that the district court abused its discretion in admitting evidence of securities distributions other than the two that led to the specific unlawful sales in the case and that the jury instructions did not accurately define the word “willfully.” We have jurisdiction under 28 U.S.C. § 1291 . We affirm.

Bailey only takes issue with the court’s admission of Exhibit 39, which listed earlier transactions. However, it appears that Bailey did not actually object to the admission of the exhibit. It was not clearly the subject of the government’s motion in li-mine and the trial transcript indicates that Bailey had no objection to admitting the exhibit. But even if Bailey did object, the evidence of other transactions between Bailey and Owens was “inextricably intertwined” with the charged transactions and provided critical context about Bailey’s relationship with Owens, such that Federal Rule of Evidence 404(b) does not apply. United States v. Rizk, 660 F.3d 1125, 1131 (9th Cir.2011) (internal…