United States v. Carlos Durades

Carlos Durades appeals from his conviction for conspiracy to possess heroin with intent to distribute, in violation of 21 U.S.C. §§ 841 (a)(1) and 846. We reverse.

The facts may be briefly summarized. Starting in 1972, Javier Gaxiola regularly shipped narcotics from Mexico to Pedro Lugo, a Los Angeles nightclub owner. Lugo then distributed the drugs to various retailers, retaining a commission for his services. In February or March of 1975, Lugo ceased doing business with Gaxiola because he feared they were being watched by federal authorities. After a hiatus of several months, Lugo began receiving shipments of narcotics from a different supplier, Ted Rodriguez. In September 1975, Lugo met with Durades in Chicago. Each informed the other that he dealt in large quantities of heroin. A few weeks later Durades telephoned Lugo to order a kilo of heroin for a price of between $24,000 and $26,000. Rodriguez supplied Lugo with the quantity requested, and a bouncer employed at Durades’ Chicago nightclub took delivery at Lugo’s club in Los Angeles.

Lugo was arrested on drug charges in October 1976. Following his conviction in March 1977 for conspiracy to possess narcotics with intent to…