UNITED STATES DISTRICT COURTCENTRAL DISTRICT OF CALIFORNIA
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accept the prosecutors’ assurances that their conduct was inadvertent and would not berepeated. The Court even said it was “not anxious to attribute a deliberate, intentional, anddevious motive” to the Government. April 5, 2011, R.T. at 448.In this Court’s experience, almost all of the prosecutors in the Office of the United StatesAttorney for this district consistently display admirable professionalism, integrity and fairness.
So it is with deep regret that this Court is compelled to find that the Government team allowed akey FBI agent to testify untruthfully before the grand jury, inserted material falsehoods intoaffidavits submitted to magistrate judges in support of applications for search warrants andseizure warrants, improperly reviewed e-mail communications between one Defendant and her lawyer, recklessly failed to comply with its discovery obligations, posed questions to certainwitnesses in violation of the Court’s rulings, engaged in questionable behavior during closingargument and even made misrepresentations to the Court.Consequently, the Court throws out the convictions of Defendants LindseyManufacturing Company, Keith E. Lindsey and Steve K. Lee and dismisses the FirstSuperseding Indictment.
On October 21, 2010, the Government filed a First Superseding Indictment (“FSI”)charging Defendants Keith E. Lindsey, Steve K. Lee, and Lindsey Manufacturing Company(“the Lindsey Defendants”) with conspiracy to violate the Foreign Corrupt Practices Act(“FCPA”), as well as substantive violations of the FCPA. Lindsey Manufacturing Company(“LMC”) is a relatively small, privately-owned company that manufactures emergencyrestoration systems and other equipment used by electrical utility companies. Keith Lindsey isits President and CEO. Lee is LMC’s Vice-President and CFO.The gist of the allegations in the FSI was that the Lindsey Defendants paid bribes to twohigh-ranking employees of the Comisión Federal de Electricidad (“CFE”), an electric utilitycompany wholly-owned by the Mexican Government. LMC funneled the alleged bribes to theCFE employees (Nestor Moreno and Arturo Hernandez) by making payments to GrupoInternational (“Grupo”), a company owned and controlled by co-Defendants Enrique FaustinoAguilar Noriega (“Enrique Aguilar”) and his wife, Angela Maria Gomez Aguilar (“Angela
Two of the three members of the prosecution team in this case were from theWashington, D.C., main office of the Department of Justice (“DOJ”), including the lawyer whoinitiated the investigation. Only one “local” AUSA was involved.
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Case 2:10-cr-01031-AHM Document 665 Filed 12/01/11 Page 2 of 41 Page ID #:17869
Case 2:10-cr-01031-AHM Document 666 Filed 12/01/11 Page 3 of 42 Page ID #:17911