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Bank of Nova Scotia v. United States | 487 U.S. 250 (1988)
A grand jury reviews the prosecution’s evidence against a potential criminal defendant and decides whether to issue an indictment, or statement of criminal charges. Because a grand jury is a check on the prosecution, it must make an independent decision. In Bank of Nova Scotia versus United States, we explore how prosecutorial misconduct during grand jury proceedings impacts an indictment’s validity.
After a lengthy investigation before two grand juries, federal prosecutors secured indictments against eight defendants, including the Bank of Nova Scotia. But during the grand jury proceedings, the prosecutors engaged in certain improper conduct. For example, they violated the Federal Rules of Criminal Procedure by improperly disclosing grand jury materials to outside parties. They also administered unauthorized oaths to Internal Revenue Service, or I R S, employees, purportedly making them agents of the grand jury. Additionally, the government granted immunity to many witnesses, possibly improperly, and during a recess, one prosecutor argued with a defense witness in front of jurors. But the jurors were made aware of the immunity arrangements and instructed to disregard the confrontation.
Because of the misconduct, the district court, relying on its supervisory authority, dismissed the indictments. A divided Tenth Circuit reversed, holding that the district court couldn’t dismiss the indictments for prosecutorial misconduct because there was no evidence the misconduct infringed on the grand jury’s independence. The United States Supreme Court granted cert.
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