United States v. Thomas A. Carruth, Sr., United States of America v. Jackson L. Reed

Thomas Carruth and Jackson Reed appeal their conviction for conspiracy to defraud the United States in violation of 18 U.S.C. § 371 . Both appellants contend that they were impermissibly prejudiced by the government’s delay in seeking an indictment. Carruth also claims that there was a variance between the indictment and his conviction, that the evidence was insufficient to sustain a conviction, and that the district court erred in two evidentiary rulings. We reject these arguments and affirm.

I.

FACTS

Appellants were indicted in February, 1981, by a federal grand jury for tax fraud in connection with the operation of limited partnership tax shelter schemes. According to the indictment, Carruth, through his wholly-owned corporation, Thomas A. Carruth, Sr. and Associates, Inc. (TAC), syndicated over 100 limited partnerships to engage in cattle breeding. TAC contracted with Reed, or with corporations owned or controlled by Reed, to acquire cattle, and to feed and manage the herds for the limited partnerships. The indictment charged that Carruth and Reed used Reed’s corporations to create the appearance of and documentation for nonexistent cattle, feed purchases, and loans to the…