Appeals Court Throws Out Young’s Fraud Conviction

A federal appeals court today overturned the mail fraud convictions and 18-month prison sentence of former Assemblyman Bruce Young in connection with concealed payments from fireworks manufacturer W. Patrick Moriarty.

The U.S. 9th Circuit Court of Appeals, in a one-sentence order, cited a 1987 Supreme Court ruling that said mail fraud covered only property crimes and did not include a violation of “the intangible right of the citizenry to good government.”

No Prison Time Served

Young (D-Cerritos) served in the Assembly from 1977 to 1984 and became chairman of the house’s Transportation Committee. He has not served any of his prison sentence and has been free on bond during his appeal.

He was the only legislator charged or convicted in an FBI investigation into payments and other favors by Moriarty to lawmakers voting on a bill to require cities to allow sale of so-called “safe and sane” fireworks. Young was the first California legislator convicted of political corruption in more than 30 years.

Moriarty, former Red Devil Fireworks manufacturer, was released from prison Nov. 3 after three of five mail fraud convictions were overturned.

In an earlier guilty plea, he admitted laundering campaign funds to unlawfully influence elected officials, paying kickbacks to a California Canadian Bank official and promising hidden interests to City of Commerce officials in exchange for a license to operate a card club there.

Young, charged with 28 counts of mail fraud, was convicted of five counts and sentenced to 18 months in prison, a $5,000 fine and five years’ probation.

Misuse of Office Alleged

Two counts for which he was convicted involved the alleged misuse of his office and concealment of payments from Moriarty in the establishment of a private consulting business, Young Thinking. The other three counts involved the laundering of $18,500 in campaign contributions to six candidates, which Young allegedly received from Moriarty.

In instructions to the jury, U.S. District Judge Dickran Tevrizian said Young could be convicted of mail fraud for using the mails to further a scheme that would defraud the state and its citizens of “intangible rights,” such as the right to honest government.

The Supreme Court ruled last year in a case from Kentucky that the intangible right to good government could not be the basis for a mail fraud conviction.