Iranian-born Pete Seda, a 53-year-old US citizen, was convicted September 9 of tax fraud and conspiracy. Seda, also known by his Persian name, Pirouz Sedaghaty, was accused of helping smuggle $150,000 out of the United States 11 years ago through a branch of the Al-Haramain charity that he operated in Ashland, Oregon. The money was said to have been sent to Chechen rebels fighting for independence from Russia.
But before being sentenced, the government announced in December it had failed to turn over information about Richard and Barbara Cabral, a married couple who had gone with Seda on a Muslim pilgrimage but later informed on him to the FBI. Richard died before the trial, but Barbara testified against Seda.
Court documents filed February 18 by the government attempted to explain the prosecution’s failure to disclose to Seda’s defense attorney’s that the FBI paid Richard $14,500 to inform on Seda and discussed paying Barbara.
US Attorney Dwight Holton and several assistants said prosecutors and investigators didn’t deliberately withhold the information, but admitted to a mistake.
The government also declared that FBI Agent David Carroll, who had worked for several years with Barbara, “made a passing comment to [Barbara] Cabral before trial to the effect that he would try to do ‘something’ for her after trial.”
According to Holton’s filing, a month after the trial Carroll called Barbara to tell her he would look into getting her $7,500. In December, he proposed the payment to Assistant US Attorney Chris Cardani. But Cardani’s boss, Holton, denied the payment and ordered that the defense be informed about the financial dealings with the two witnesses.
The defense has called Barbara’s testimony crucial in the jury’s guilty verdicts; Seda’s attorneys say the information about the payments would have allowed them to impeach it. The prosecution, on the other hand, said her testimony was secondary and did not play a major role in the jury’s verdict.
The government said that since the trial, Barbara said she neither expected to be paid for her testimony nor did she recall the suggestion that she receive a payment.
Seda’s defense attorneys are now seeking a new trial and asked US District Judge Michael Hogan to take the US attorney’s office off the case as the judge is currently reviewing whether to open up the prosecution’s files.
US Attorney Holton has argued there is no reason to take his office off the case. Despite the fact that this office admitted withholding evidence, it was Holton who refused to authorize a payment for Barbara’s testimony and informed defense lawyers about the discussion of payments. Holton also pointed out that he assigned a new attorney to handle the post-trial litigation. “The defense has offered no basis whatsoever that would justify recusal, nor do I know of any,” Holton said.
The March 1hearing involved the defense’s request to see e-mails, telephone logs and other materials linked to prosecutors Cardani and Charles Gorder. Judge Hogan said he would issue a ruling on whether or not he would grant the defense motion for more evidence after first examining the prosecution’s files behind closed doors.
Judge Hogan is considering calling for a new trial. Seda remains free but fixed him with a GPS bracelet.
