Justia Aviation Opinion Summaries

Articles Posted in White Collar Crime
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Plaintiffs, Mexican nationals, filed suit against defendants, international air transportation companies that transport passengers to and from the United States and Mexico, under the Racketeer Influenced and Corrupt Organizations Act (RICO), 18 U.S.C. 1961-68, alleging that defendants defrauded them by collecting a Mexican tourism tax in which they were exempt. Mexico imposed a tax on certain travelers who arrive in Mexico on flights that originated outside of Mexico, but exempted Mexican nationals and children under the age of two. The district court dismissed the case with prejudice. The court concluded that, although defendants' conduct regarding the tax was very troubling, plaintiffs failed to allege the existence of an express agreement, let alone an "enterprise" under section 1962. Accordingly, the court affirmed the judgment. View "Almanza v. United Airlines" on Justia Law

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Kumar was 19 years old and in his first year in the Aviation Technology Program at Bowling Green State University when he was assigned to fly alone from Wood County Airport near Bowling Green to Burke Lakefront Airport in Cleveland, and back, after 10:00 p.m. The flight plan required him to fly over part of Lake Erie. On the return trip, Kumar observed what he believed to be a flare rising from a boat. He reported this sighting to Cleveland Hopkins International Airport and was instructed to fly lower for a closer look. Kumar could not then see a boat. Fearful of hurting his chances of one day becoming a Coast Guard pilot, he reported that he saw additional flares and described a 25-foot fishing vessel with four people aboard wearing life jackets with strobe lights activated. Kumar’s report prompted a massive search and rescue mission by the U.S. Coast Guard, and the Canadian Armed Forces. A month later, Kumar admitted that his report had been false. He pleaded guilty to making a false distress call, a class D felony per 14 U.S.C. 88(c)(1), which imposes liability for all costs the Coast Guard incurs. He was sentenced to a prison term of three months and ordered to pay restitution of $277,257.70 to the Coast Guard, and $211,750.00 to the Canadian Armed Forces. The Sixth Circuit affirmed. View "United States v. Kumar" on Justia Law