Appellees Marion and Baxter operated Allied Enterprises, Inc., a business engaged in selling and installing home improvements such as intercom sets, fire control devices, and burglary detection systems in the District of Columbia metropolitan area. They were indicted on April 21, 1970, and charged in nineteen counts with offenses committed between March 15, 1965, and February 6, 1967, involving alleged misrepresentations, alterations of documents, and deliberate nonperformance of contracts.
Allied Enterprises had been subject to a Federal Trade Commission cease-and-desist order on February 6, 1967. In October 1967 a series of articles appeared in the Washington Post reporting the results of that newspaper's investigation of practices employed by home improvement firms such as Allied and predicting that indictments would soon be forthcoming.
In the summer of 1968, at the request of the United States Attorney's office, Allied delivered its business records to that office, and appellee Marion was interviewed there about his conduct as an officer of the company. The grand jury that indicted appellees was not impaneled until September 1969, appellees were not informed of the grand jury's concern with them until March 1970, and the indictment was finally handed down in April 1970.
On May 5, 1970, appellees moved to dismiss the indictment for failure to commence prosecution within time to afford due process and speedy trial rights. No evidence was submitted at the hearing on the motion, and no specific prejudice was claimed or demonstrated. The District Court granted the motion on June 8, 1970, for lack of speedy prosecution. The United States appealed directly to this Court pursuant to 18 U.S.C. § 3731.
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