ILNews

7th Circuit upholds embezzlement convictions against ex-mayor

Back to TopCommentsE-mailPrintBookmark and Share

The 7th Circuit Court of Appeals has affirmed ex-East Chicago Mayor George Pabey’s convictions of embezzling government funds and conspiring to embezzle and found the District Court didn’t err when it sentenced him to 60 months in prison.

Pabey – along with East Chicago’s head of the Engineering Department, Jose Camacho – was convicted in September 2010 on the two embezzling counts. Pabey and Camacho used government funds and government employees to renovate a house Pabey and his wife, Hilda, purchased in Gary, Ind., in October 2007. Pabey claimed that he had no idea about the scheme to use city funds and employees. The District Court gave the jury a conscious avoidance instruction – also known as an ostrich instruction – that Pabey’s knowledge of the scheme can be inferred if they find he deliberately avoided the knowledge necessary for his conviction.

Pabey was convicted and sentenced to 60 months in prison and ordered to pay more than $70,000 in fines and restitution, which was above the United States Sentencing Guidelines. His sentence was also enhanced for obstruction of justice, for his leadership role in the offense, and for abuse of a position of trust.

Pabey challenged the jury instruction, but the 7th Circuit found the District Court did not abuse its discretion by giving it. In this case, the government presented both types of evidence – committing overt physical acts to avoid the knowledge and purely psychological avoidance – to show that if Pabey was unaware of the embezzlement scheme, then he deliberately avoided such knowledge.

The appellate court also found each of the sentencing enhancements were appropriate. Regarding the increased sentence, the District Court provided adequate support for its upward departure based on the 18 U.S.C. Section 3553(a) factors, and further supported its departure using the United States Sentencing Guidelines recommendations, wrote Judge Joel Flaum in United States of America v. George Pabey, No. 11-2046.

 

ADVERTISEMENT

Post a comment to this story

COMMENTS POLICY
We reserve the right to remove any post that we feel is obscene, profane, vulgar, racist, sexually explicit, abusive, or hateful.
 
You are legally responsible for what you post and your anonymity is not guaranteed.
 
Posts that insult, defame, threaten, harass or abuse other readers or people mentioned in Indiana Lawyer editorial content are also subject to removal. Please respect the privacy of individuals and refrain from posting personal information.
 
No solicitations, spamming or advertisements are allowed. Readers may post links to other informational websites that are relevant to the topic at hand, but please do not link to objectionable material.
 
We may remove messages that are unrelated to the topic, encourage illegal activity, use all capital letters or are unreadable.
 

Messages that are flagged by readers as objectionable will be reviewed and may or may not be removed. Please do not flag a post simply because you disagree with it.

Sponsored by
ADVERTISEMENT
Subscribe to Indiana Lawyer
  1. Good riddance to this dangerous activist judge

  2. What is the one thing the Hoosier legal status quo hates more than a whistleblower? A lawyer whistleblower taking on the system man to man. That must never be rewarded, must always, always, always be punished, lest the whole rotten tree be felled.

  3. I want to post this to keep this tread alive and hope more of David's former clients might come forward. In my case, this coward of a man represented me from June 2014 for a couple of months before I fired him. I knew something was wrong when he blatantly lied about what he had advised me in my contentious and unfortunate divorce trial. His impact on the proceedings cast a very long shadow and continues to impact me after a lengthy 19 month divorce. I would join a class action suit.

  4. The dispute in LB Indiana regarding lake front property rights is typical of most beach communities along our Great Lakes. Simply put, communication to non owners when visiting the lakefront would be beneficial. The Great Lakes are designated navigational waters (including shorelines). The high-water mark signifies the area one is able to navigate. This means you can walk, run, skip, etc. along the shores. You can't however loiter, camp, sunbath in front of someones property. Informational signs may be helpful to owners and visitors. Our Great Lakes are a treasure that should be enjoyed by all. PS We should all be concerned that the Long Beach, Indiana community is on septic systems.

  5. Dear Fan, let me help you correct the title to your post. "ACLU is [Left] most of the time" will render it accurate. Just google it if you doubt that I am, err, "right" about this: "By the mid-1930s, Roger Nash Baldwin had carved out a well-established reputation as America’s foremost civil libertarian. He was, at the same time, one of the nation’s leading figures in left-of-center circles. Founder and long time director of the American Civil Liberties Union, Baldwin was a firm Popular Fronter who believed that forces on the left side of the political spectrum should unite to ward off the threat posed by right-wing aggressors and to advance progressive causes. Baldwin’s expansive civil liberties perspective, coupled with his determined belief in the need for sweeping socioeconomic change, sometimes resulted in contradictory and controversial pronouncements. That made him something of a lightning rod for those who painted the ACLU with a red brush." http://www.harvardsquarelibrary.org/biographies/roger-baldwin-2/ "[George Soros underwrites the ACLU' which It supports open borders, has rushed to the defense of suspected terrorists and their abettors, and appointed former New Left terrorist Bernardine Dohrn to its Advisory Board." http://www.discoverthenetworks.org/viewSubCategory.asp?id=1237 "The creation of non-profit law firms ushered in an era of progressive public interest firms modeled after already established like the National Association for the Advancement of Colored People ("NAACP") and the American Civil Liberties Union ("ACLU") to advance progressive causes from the environmental protection to consumer advocacy." https://en.wikipedia.org/wiki/Cause_lawyering

ADVERTISEMENT