United States v. Xu

Defendants, four Chinese nationals, appealed their convictions and sentences for federal crimes that they committed as part of a scheme to steal funds from the Bank of China, where two of the defendants were high-level employees. Defendants also appealed their convictions related to their efforts to escape prosecution and to retain the proceeds by illegal transfers of funds and by immigration fraud. The court held that defendants' count one convictions were not the result of an improper extraterritorial application of the Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. 1962(d), conspiracy statute because defendants' criminal enterprise involved both bank fraud and immigration fraud centered on stealing money from the Bank of China and traveling freely with that stolen money in the United States. The evidence was sufficient to support convictions on money laundering conspiracy and conspiracy to transport stolen money. The court remanded for resentencing because the district court improperly relied on defendants' foreign conduct to meet the requirements of U.S.S.G. 2S1(a)(1)(A) resulting in procedural error, improperly applied a one-level enhancement based on foreign conduct, and failed to provide an adequate legal and factual basis for the restitution order. View "United States v. Xu" on Justia Law