United States v. Horst Werner Joetzki, United States of America v. Lawrence Carl Gisner

Bad Law
91 Daily Journal DAR 15642·952 F.2d 1090·1991 WL 268463·34 Fed. R. Serv. 611·1991 U.S. App. LEXIS 29415
United States Court of Appeals for the Ninth CircuitDecember 19, 199190-10312, 90-10350California3,500 words

Opinion

Opinion

Boochever, J.

Horst Werner Joetzki and Lawrence Carl Gisner appeal their convictions for mail fraud, wire fraud, and aiding and abetting, in violation of 18 U.S.C. sections 1341 , 1343, and 2. They contend that the court improperly admitted prejudicial evidence concerning a bizarre method of refining gold, denied a severance motion, and refused requested jury instructions. They also challenge their sentences under the Sentencing Guidelines, contending that the court improperly calculated the amount of loss on which their sentences were based and improperly sentenced Gisner to a term exceeding the statutory maximum. We affirm in part, but vacate Gisner’s sentence and remand for resentencing.

BACKGROUND

Joetzki and Gisner were the principals of S.D.T. International. Gisner handled the finances, and Joetzki oversaw the enterprise’s gold refining operation. The refining process, by which gold was “recovered” from ore, produced bars with virtually no commercial value.

Around December 11, 1987, Gisner and Joetzki opened a “cash management account” with Merrill Lynch in the name of S.D.T. International. On February 2, 1988, Merrill Lynch closed the account, which had never been credited with any…

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