Giannulli Must Serve 'Varsity Blues' Term Despite Quarantine

By Chris Villani
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Law360 (January 26, 2021, 1:25 PM EST) -- Clothing designer Mossimo Giannulli, who was sentenced to prison along with his wife, actress Lori Loughlin, for their roles in the "Varsity Blues" college admissions case, was denied an early release Tuesday despite complaints about the weeks he spent in quarantine while behind bars.

U.S. District Judge Nathaniel M. Gorton said Giannulli, who is serving a five-month sentence, has not shown any reason why he should be treated differently from other prisoners who are dealing with tougher-than-normal conditions due to the COVID-19 pandemic.

Giannulli is different from another parent who pled guilty in the high-profile case, Toby MacFarlane, who was granted a compassionate release, the judge added. Unlike MacFarlane, Giannulli had a better idea of what he was getting into when he reported to prison months into the pandemic, according to Tuesday's order.

"MacFarlane reported to prison in January, 2020, before the virus was a serious threat," Judge Gorton wrote. "At the time of MacFarlane's compassionate release in April, 2020, moreover, there was significant uncertainty about the virus and how to control it."

Things have since changed for the better, the judge added.

"At this juncture ... there has been substantial improvement in the treatment of the disease, the [Bureau of Prisons] itself has become much more proficient in controlling its spread and vaccines will soon alleviate remaining concerns," Judge Gorton wrote.

In opposing recent virus-related motions by white collar defendants, including successful attempts by former Insys Therapeutics Inc. executives to delay starting their prison terms, the government has highlighted an efficient vaccine distribution by the BOP as well as the Biden administration's commitment to vaccinating prison populations.

Giannulli admitted to paying $500,000 to William "Rick" Singer and University of Southern California athletics funds to designate his two daughters as athletic recruits to the university's rowing team. He spent 56 days in isolation due to COVID-19 concerns and said the time took a significant toll on his emotional and mental health.

His "entry quarantine" was supposed to end Dec. 7, but on that day other inmates in his quarantine unit tested positive for the virus. Shortly thereafter, Giannulli began experiencing a headache and the loss of his sense of smell, symptoms of COVID-19.

His quarantine was extended for more than a month, until Jan. 13, when he was released into the general population at the FCI-Lompoc prison camp in Southern California after several negative COVID-19 tests. Giannulli asked to be released to home confinement, but prosecutors argued the conditions imposed on him were foreseeable given the ongoing health emergency and should not be cause for an early exit from prison.

Judge Gorton agreed Tuesday and added that the five-month term "is appropriate in that it serves ... to dissuade and deter others who may, like Giannulli, believe that because they can afford it, they can flout the law."

"Modifying or reducing defendant's sentence in this case would undercut any such deterrence," Judge Gorton wrote.

A government representative declined to comment on the order. Counsel for Giannulli did not immediately respond to a comment request Tuesday.

Loughlin received a two-month prison term after the celebrity couple pled guilty in May. They had maintained their innocence for more than a year, but eventually admitted to a count of conspiracy to commit wire and mail fraud. Giannulli also pled guilty to conspiracy to commit honest services fraud.

Giannulli got the heftier sentence because he worked more closely with Singer on the plan and personally confronted his daughter's guidance counselor to stop the scheme from being uncovered, prosecutors said.

The government is represented by Kristen A. Kearney, Justin D. O'Connell, Leslie A. Wright, Karin M. Bell and Stephen E. Frank of the U.S. Attorney's Office for the District of Massachusetts.

Giannulli is represented by Perry J. Viscounty, Roman Martinez, Sean M. Berkowitz, Allison S. Blanco and William J. Trach of Latham & Watkins LLP and George W. Vien and Joshua N. Ruby of Donnelly Conroy & Gelhaar LLP.

The case is U.S. v. Colburn et al., case number 1:19-cr-10080, in the U.S. District Court for the District of Massachusetts.

--Additional reporting by Brian Dowling. Editing by Marygrace Murphy.

For a reprint of this article, please contact reprints@law360.com.

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Case Information

Case Title

USA v. Colburn, et al


Case Number

1:19-cr-10080

Court

Massachusetts

Nature of Suit

Judge

Nathaniel M. Gorton

Date Filed

March 05, 2019

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