Regalado Cuellar v. United States, 553 U.S. 550 (2008)

In Regalado Cuellar v. United States, the underlying events began on July 14, 2004, when Humberto Fidel Regalado Cuellar was stopped by law enforcement in southern Texas for erratic driving while heading toward the Mexican border. During the stop, Cuellar, who spoke no English, presented a stack of papers including bus tickets that indicated he had traveled from a Texas border town to San Antonio and back. His nervous demeanor, conflicting statements about his trip, and a bulge in his shirt pocket led officers to suspect illicit activity. Upon searching Cuellar's vehicle, officers discovered a significant amount of cash, approximately $81,000, hidden in a secret compartment under the rear floorboard, along with evidence suggesting that the compartment had been recently constructed to conceal the money. The procedural history of the case involves Cuellar's conviction under the federal money laundering statute for the international transportation of the proceeds of unlawful activity. Cuellar challenged his conviction, arguing that the evidence did not support the claim that he intended to create the appearance of legitimate wealth with the transported funds. The case was brought before the Supreme Court on a writ of certiorari after the Fifth Circuit Court of Appeals upheld his conviction. The Supreme Court ultimately reversed the Fifth Circuit's judgment, clarifying the requirements for proving a violation of the money laundering statute. Relevant background context includes the legal framework surrounding money laundering, particularly the federal statute prohibiting the transportation of illicit proceeds. The case highlights the complexities involved in establishing intent and actions that go beyond merely hiding money during transport. The Court's decision emphasized the necessity for the government to demonstrate that the defendant engaged in conduct indicative of an effort to conceal the origins of the funds, rather than simply transporting them.

Whether the federal money laundering statute requires proof that a defendant intended to "legitimize" tainted funds in order to sustain a conviction for international transportation of the proceeds of unlawful activity.

The judgment is reversed.