Plea-Agreement

i 1 1 Case Document 2 Filed 03/10/05 Page 1 of 7 U.S. Department of Justice ?2 H, ., -. Lona? it: b4w'fi?w: .- . -- maid-:3 0+ . em; n: Dear-a, aw {itabWWEt-awut Ef?e United States Attorney FWD 3? District of Connecticut 3 ?0 9.- mm J?t?I?u?n?F I I Connecticut Financial Center 1 5 7 Church Street 0. Box 1824 New Haven, Connecticut 06510 at I 7 usdoj. go v/nsn o/ct February 9, 2005 Richard R. Brown, Esq. 100 Pearl Street Hartford, CT 06103-4506 Re: United States v. Michael Watts Criminal No. Dear Mr. Brown: This letter con?rms the plea agreement entered into between your client, Michael Watts (the "defendant"), and the United States Attorney's Of?ce for the District of Connecticut (the "Government") concerning the referenced criminal matter. THE PLEA AND OFFENSE The defendant agrees to plead guilty to a one?count information charging him with aiding and abetting illegal corporate political contributions, in Violation of 2 U.S.C. 44lb(a) and 437g(d)(1)(A), and 18 U.S.C. 2. He understands that to be guilty of this offense the following essential elements must be satis?ed: 1. A corporation made political contribution(s) in connection with an election for federal of?ce that were illegal under the Federal Election Campaign Act and that aggregated $2,000 or more during a calendar year. 2. The defendant knew that the corporation was Violating the FECA by making . illegal. contributions. 3. The defendant aided and abetted the making of the illegal contributions; that is, the defendant knowingly did some act to aid the crime and acted with the intention of causing the crime to be committed. Document2 Filed 03/10/05 Page20f7 February 9, 2005 Page?2 THE PENALTIES The offense, a Class A misdemeanor, carries a maximum penalty of one year of imprisonment and a maximum ?ne of $100,000. In addition, the Court may impose a term of supervised release of not more than one year, to begin at the expiration of any term of imprisonment imposed. The defendant understands that, should he violate any condition of the supervised release during its term, he may be required to serve a further term of imprisonment of up to one year with no credit for the time already Spent on supervised release. 18 U.S.C. 3583(e)(3). The defendant also is subject to the alternative ?ne provision of 18 U.S.C. 3571. Under this section, the maximum ?ne that may be imposed on the defendant is the greatest of the following amounts: (1) twice the gross gain to the defendant resulting from the offense; (2) twice the gross loss resulting from the offense; or (4) the amount speci?ed in the section de?ning the offense, which in this case is the greater of $25,000 or 300 percent of any political contribution involved in the violation. In addition, the defendant is obligated by 18 U.S.C. 3013 to pay a special assessment of $25. The defendant agrees to pay the special assessment to the Clerk of the Court on the day the guilty plea is accepted. Finally, unless otherwise ordered, should the Court impose a ?ne of more than $2,500 as part of the sentence, interest will be charged on the unpaid balance of a ?ne amount not paid within 15 days after the judgment date. 18 U.S.C. 3612(f). Other penalties and ?nes may be assessed on the unpaid balance of a fine pursuant to 18 U.S.C. 3572 and 3612(g). Restitution In addition to the other penalties provided by law, the Court may also order that the defendant make restitution under 18 U.S.C. 3663. The scope and effect of the order of restitution are set forth in the attached Rider Concerning Restitution. Restitution is payable immediately unless ordered otherwise by the Court. THE SENTENCING GUIDELINES 1. Applicability The defendant understands that although application of the United States Sentencing Guidelines is not mandatory, they are advisory and the Court is required to consider any applicable Sentencing Guidelines as well as other factors enumerated in 18 U.S.C. 3553(a) to tailor an appropriate sentence in this case. See United States v. Booker, 543 US. (2005). The defendant expressly understands that the Sentencing Guideline determinations will be made by the Court, by a preponderance of the evidence, based upon input from the defendant, the Government, and the United States Probation Of?cer who prepares the presentence investigation . 1 Case Document 2 Filed 03/10/05 Page 3 of 7 Richard R. Brown, Esq. February 9, 2005 Page?3 report. The defendant ?irther understands that he has no right to withdraw his guilty plea if his sentence or the Guideline application is other than he antidipated. 2. No Suf?cientlv Analogous Guideline The offense committed by the defendant is currently covered by U.S.S.G. 2C1.8. However, the parties stipulate that, at the time of the offense, a violation of the FECA was not covered by a speci?c sentencing guideline and that, under the commentary to U.S.S.G. 2Xl.1, application note 3, the Court must refer to U.S.S.G. 2X5.1. The parties further stipulate that, at the time of the offense, there was no suf?ciently analogous guideline and that, under U.S.S.G. 2X5.l, the provisions of 18 U.S.C. 3553(b) shall control, except that any guidelines and policy statements that can be applied meaningfully in the absence of a Chapter Two offense guideline shall remain applicable. The Court is not bound by the parties? stipulation that the provisions of 18 U.S.C. 3553(b) shall control. The defendant expressly understands that he may not withdraw his plea of guilty if the Court determines that there is a suf?ciently analogous sentencing guideline which is applicable to this case. In the event that the Court asks for the parties? calculation of a sentencing guidelines range under a particular sentencing guideline, the parties reserve the right to respond to such inquiry and to make appropriate legal arguments regarding such potential calculations. Moreover, to the extent that the Court deems there to be a suf?ciently analogous sentencing guideline and imposes sentence under such guideline, the Government expressly reserves the right to challenge or defend such sentencing determination by the Court in any post-sentencing proceeding. 3. Acceptance of Resnonsibilitv To the extent the sentencing Court concludes that there is a suf?ciently analogous sentencing guideline, at this time, the Government agrees to recommend that the Court reduce by two levels (if the total offense level is less than 16) or three levels (if the total offense level is greater than 15), whichever is greater, the defendant?s Adjusted Offense Level under U.S.S.G. 3131.1, based on the defendant's prompt recognition and af?rmative acceptance of personal responsibility for the offense. This recommendation is conditioned upon the defendant's full, complete, and truthful disclosure to the Probation Of?ce of information requested, of the circumstances surrounding his commission of the offense, of his criminal history, and of his ?nancial condition. In addition, this recommendation is conditioned upon the defendant timely providing complete information to the Government concerning his involvement in the offense to which he is pleading guilty. The defendant expressly understands that the Court is not obligated to accept the Government's recommendation on the reduction. The Government will not make this recommendation if the defendant engages in any acts which (1) indicate that the defendant has not terminated or withdrawn from criminal conduct or associations (U.S.S.G. 3El.l); (2) could provide a basis for an adjustment for obstructing or impeding the administration of justice GJ.S.S.G. 3Cl.l); or (3) constitute a violation of any condition of release. The defendant expressly understands that he may not withdraw his plea of - - - 2 F'Ied 03/10/05 Pa e4of7 mom},de 00061 HBF Document I February 9, 2005 Page~4 guilty if, for the reasons explained above, the Government does not make this recommendation. 4. Departures To the extent the sentencing Court concludes that there is a suf?ciently analogous sentencing guideline, the parties reserve their rights to argue for departures from the applicable sentencing guidelines range. 5. Appeal Rights Regarding Sentencing The parties reserve their respective rights to appeal and to Oppose each other?s appeal of the sentence imposed as permitted by the statute. 6. Information to the Court The Government expressly reserves its right to address the Court with respect to an appropriate sentence to be imposed in this case. Moreover, it is expressly understood that the Government will discuss the facts of this case, including information regarding the defendant?s background and character, 18 U.S.C. 3661, with the United States Probation Of?ce and will provide the Probation Of?cer with access to its ?le, with the exception of grand jury material. WAIVER OF RIGHTS Waiver of Trial Rights and Consequences of Plea The defendant understands that he has the right to be represented by an attorney at every stage of the proceeding and, if necessary, one will be appointed to represent him. The defendant understands that he has the right to plead not guilty or to persist in that plea if it has already been made, the right to a public trial, the right to be tried by a jury with the assistance of counsel, the right to confront and cross-examine the witnesses against him, the right not to be compelled to incriminate himself, and the right to compulsory process for the attendance of witnesses to testify in his defense. The defendant understands that by pleading guilty he waives and gives up those rights and that, if the plea of guilty is accepted by the Court, there will not be a further trial of any kind. The defendant understands that if he pleads guilty, the Court may ask him questions about each offense to which he pleads guilty, and if he answers those questions falsely under oath, on the record, and in the presence of counsel, his answers may later be used against him in a prosecution for perjury or making false statements. Waiver of Statute of Limitations The defendant is aware that, at the time relevant to the information, the statute of limitations for a criminal violation of the FECA was three years. The defendant is aware that . I %ase 3: Document2 Filed 03/10/05 Page50f7 Richard R. rown, qu. February 9, 2005 Page?5 more than three years have elapsed between the present date and the date of the conduct which gives rise to the information and that, as such, he could successfully assert the applicable statute of limitations as a defense to the charge contained in the information. After discussing this matter with his attorney, the defendant knowingly, voluntarily, and intelligently waives any defense based on the three-year statute of limitations that would otherwise bar his prosecution for the conduct alleged in the information. Waiver of Right To Post-Conviction?DNA Testing of Physical Evidence The defendant understands that the Government has various items of physical evidence in . its possession in connection with this case that could be subjected to DNA testing. The defendant further understands that following conviction in this case, he could ?le a motion with the Court to require DNA testing of physical evidence pursuant to 18 U.S.C. 3600 and 3600A in an attempt to prove his innocence. The defendant fully understands his right to have all the physical evidence in this case tested for DNA, has discussed this right with his counsel, and knowingly and voluntarily waives his right to have such DNA testing performed on the physical evidence in this case. Defendant fully understands that because he is waiving this right, the physical evidence in this case will likely be destroyed or will otherwise be unavailable for DNA testing in the future. ACKNOWLEDGMENT OF GUILT: VOLUNTARINESS OF PLEA The defendant acknowledges that he is entering into this agreement and is pleading guilty freely and voluntarily because he is guilty. The defendant further acknowledges that he is entering into this agreement without reliance upon any discussions between the Government and him (other than those described in the plea agreement letter), without promise of bene?t of any kind (other than the concessions contained in the plea agreement letter), and without threats, force, intimidation, or coercion of any kind. The defendant further acknowledges his understanding of the nature of the offense to which he is pleading guilty, including the penalties . provided by law. The defendant also acknowledges his complete satisfaction with the representation and advice received from his undersigned attorney. The defendant and his undersigned counsel are unaware of any con?ict of interest concerning counsel's representation of the defendant in the case. NOT A PREVAILING PARTY The defendant expressly acknowledges that he is not a ?prevailing party? within the meaning of Public Law 105-119, section 617 (?the Hyde Amendment?) with reSpect to the count of conviction or any other count or charge that may be dismissed pursuant to this agreement. The defendant voluntarily, knowingly, and intelligently waives any rights he may have to seek reasonable attorney?s fees and other litigation expenses under the Hyde Amendment. SCOPE OF THE AGREEMENT The defendant acknowledges and understands that this agreement is limited to the Richard R. gigown, February 9, 2005 Page-6 se Document 2 Filed 03/10/05 Page 6 of 7 undersigned parties and cannot bind any other federal authority, or any state or local authority. The defendant acknowledges that no representations have been made to him with respect to any civil or administrative consequences that may result from this plea of guilty because such matters are solely within the province and discretion of the specific administrative or governmental entity involved. This includes the Federal Election Commission which has civil and administrative jurisdiction under 2 U.S.C. 437(g)(a) over FECA matters. Although the defendant apparently has been negotiating with the FEC concerning a disposition of potential administratiVe and/or civil claims relating to the conduct at issue in this case, the United States Attorney?s Of?ce cannot and will not bind the and this agreement is silent as to any administrative and/or civil remedies, including ?nes or penalties, that the defendant may be required to pay in connection with the matter(s) under investigation by the FEC. Finally, the defendant understands and acknowledges that this agreement has been reached without regard to any civil tax matters that may be pending or which may arise involving him. COLLATERAL CONSEQUENCES The defendant further understands that he will be adjudicated guilty of each offense to which he has pleaded guilty. The defendant understands that the Government reserves the right to notify any state or federal-agency by which he is licensed, or with which he does business, as well as any current or future employer of the fact of his conviction. SATISFACTION OF FEDERAL CRIMINAL LIABILITY: BREACH The defendant's guilty plea, if accepted by the Court, will satisfy the federal criminal liability of the defendant in the District of Connecticut as a result of his participation in the matter which forms the basis of the information in this case. The defendant understands that if, before sentencing, he violates any term or condition of this agreement, engages in any criminal activity, or fails to appear for sentencing, the Government may void all or part of this agreement. If the agreement is voided in whole or in part, defendant will not be permitted to withdraw his plea of guilty. 1 1 Case Document 2 Filed 03/10/05 Page 7 of 7 Richard R. Brown, Esq. February 9, 2005 Page-7 OTHER PROMISES Apart from any written Proffer Agreement, the defendant acknowledges that no other promises, agreements, or conditions have been entered into other than those set forth in this plea agreement, and none will be entered into unless set forth in writing, signed by all the parties. This letter shall be presented to the Court, in open court, and ?led in this case. Very truly yours, KEVIN J. UNITED STATES ATTORNEY PETER S. NGBL ED ASSISTANT UNITED STATES ATTORNEY Em NATHAN BIRAN ASSISTANT UNITED STATES ATTORNEY The defendant certi?es that he has read this plea agreement letter and its attachment(s) or has had it read or translated to him, that he has had ample time to discuss this agreement and its - attachment(s) with counsel and that he fully understands and accepts its terms. (UL/ll M) tall; .I o??O MICHAEL WATTS Date The Defendant I have thoroughly read, reviewed and explained this plea agreement and its attachment(s) to my client who advises me that he understands and accepts its terms. RICHARD R. BROWN, ESQ. Date Attorney for the Defendant