Convicted CEO Seeks Supreme Court Limit on Honest Services Fraud

The former CEO of medical facility Vital Imaging Inc. is asking the US Supreme Court to review whether he was properly convicted for honest-services fraud when the alleged scheme didn’t contemplate harm to the private party to whom those services were owed.

In public-sector honest-services fraud cases where honest services are owed by public officials to the citizenry, courts agree that contemplated harm requirement doesn’t exist. But there’s a circuit split over whether something more is required in private-sector cases, CEO Sam Solakyan said in his petition for review.

Five circuits—the Fourth, Sixth, Eighth, Eleventh, and D.C.—require the government ...