United States v. Gatto, No. 19-0783 (2d Cir. 2021)Annotate this Case
The Second Circuit affirmed defendants' convictions for wire fraud and conspiracy to commit wire fraud in violation of 18 U.S.C. 1343, 1349. Defendants' conviction stemmed from their involvement in a scheme to defraud universities of athletic-based financial aid when they made secret cash payments to the families of college basketball recruits, thereby rendering the recruits ineligible to play for the universities.
The court held that the evidence was sufficient to sustain the wire fraud convictions where defendants have not shown that the government failed to present evidence for any rational trier of fact to find, beyond a reasonable doubt, that there was a scheme to defraud. Furthermore, the jury was also presented with enough evidence for a rational trier of fact to find that the Universities' athletic-based aid was "an object" of their scheme. In this case, the jury could have reasonably found that defendants deprived the Universities of property -- athletic-based aid that they could have awarded to students who were eligible to play -- by breaking NCAA rules and depriving the Universities of relevant information through fundamentally dishonest means. The court also held that the district court did not abuse its discretion in its evidentiary rulings and did not commit reversible error in its instructions to the jury.