crandon argued november decided february individual petitioners terminated employment petitioner boeing company accept important positions executive branch federal government boeing made became government employee unconditional payment mitigate substantial loss expected suffer reason change employment subsequently filed civil complaint district seeking damages boeing imposition constructive trust moneys received individual petitioners complaint alleged payments made supplement individual petitioners compensation federal employees created conflict interest situation induced breach fiduciary duty undivided loyalty owed individual petitioners government measured inter alia makes crime private party pay government employee receive supplemental compensation employee government service held among things violated payments made recipients become government employees intended compensate government service appeals reversed holding inter alia employment status time payment element violation finding payments intended supplemental compensation government service clearly erroneous held section apply severance payment made encourage payee accept government employment made payee becomes government employee pp section text indicates employment status element offense neither two prohibitions one directed every person receives salary supplement compensation services officer employee directed every person pays makes contribution salary officer employee directly specifies payment must made received however literal reading second prohibition supports conclusion payee must government employee time payment made prohibitions appear coextensive coverage sides single transaction pp legislative history language obviously focus certain payments made recipient government employee unambiguous language covering preemployment payments congress used contemporaneous revision bribery conflicts provisions indicate congress intend change substance predecessor statute eliminated language unquestionably required recipient payment government employee time payment made pp literal reading serves one conflicting policies motivated enactment statute public interest recruiting personnel highest quality capacity since allows corporations encourage qualified employees make special skills available government policy justifications concerns private paymaster economic hold employee payment engender bitterness among fellow employees employee might tend favor former employer wholly inapplicable unconditional preemployment severance payments means directly implicated cases ongoing salary supplements pp extent ambiguity temporal scope remains rule lenity requires resolved petitioners favor unless congress plainly intent misconstrued stevens delivered opinion rehnquist brennan white marshall blackmun joined scalia filed opinion concurring judgment kennedy joined post together boeing also certiorari philip lacovara argued cause petitioners briefs william stein gerard treanor robert plotkin lawrence barcella benjamin sharp argued cause petitioner briefs hilary harp robert bennett alan kriegel edwin kneedler argued cause brief solicitor general starr acting assistant attorney general schiffer deputy solicitor general wallace michael hertz douglas letter justice stevens delivered opinion five executives boeing company boeing resigned took early retirement accept important positions executive branch federal government upon termination employment boeing shortly formation employment relationship government boeing made payment amount intended mitigate substantial financial loss employee expected suffer reason change employment question must decide whether payments violated provision criminal code prohibits private parties paying government employees receiving supplemental compensation employee government service essential facts disputed employee resigned planned accept specific federal position shifts required forgoing higher salaries employee earned boeing also severing financial connection company thus petitioner paisley took early retirement become assistant secretary navy research engineering systems office requires confirmation senate estimated financial cost separating boeing approximately including approximately lost stock options lost retirement benefits boeing severance payment paisley amounted comparable estimate petitioner crandon resigned become computer scientist north atlantic treaty organization severance payment three individual petitioners payments higher crandon lower paisley boeing paid five departing employees total none five individual petitioners government employee time received severance payment moreover payment made unconditionally none employees promised return boeing later date boeing make commitment rehire entering government service none individual petitioners provided boeing favored treatment indeed participated source selection procurement decision affected boeing stipulated five competent faithful government servants apart fact payments charge case misconduct petitioners filed civil complaint alleging payments made supplement individual defendant compensation federal employee created conflict interest situation induced breach fiduciary duty undivided loyalty individual defendant owed measured common law app complaint sought relief boeing aggregate amount payments made imposition constructive trust moneys received individual petitioners full trial district ruled government several alternative grounds supp ed first held violated payments made recipients become government employees intended compensate government service second held violation fiduciary standard conduct established principles agency payments disclosed responsible government officials tend subvert loyalty individual defendants government finally district concluded payments created neither appearance actual conflict interest government injured payments therefore event entitled recover damages ibid divided panel appeals reversed held employment status time payment element violation district finding payments intended supplemental compensation services employees clearly erroneous held prophylactic character conflict interest laws made unnecessary government prove actual injury defendants disclosure payments constitute defense action recovery therefore concluded individual defendants boeing liable although double recovery government permitted granted certiorari review appeals construction important statute outset note congress created express civil remedy violations government many words argue enactment statute implicitly created damages remedy rather government begins rule agent secretly profits breach fiduciary obligation principal must disgorge gains replaces definition fiduciary obligation stricter standard arguing concealment payment element statutory offense disclosure payments defense regardless whether government amalgamation statutory concepts describes tenable theory recovery least clear government must prove violation prevail cases proceed therefore consider whether applies severance payment made encourage payee accept government employment made payee becomes government employee determining meaning statute look particular statutory language design statute whole object policy mart cartier pilot life ins dedeaux moreover governing standard set forth criminal statute appropriate apply rule lenity resolving ambiguity ambit statute coverage extent language history uncertain interpretive guideline serves ensure fair warning boundaries criminal conduct legislatures courts define criminal liability liparota see also bass ii section one almost two dozen statutory provisions addressing bribery graft conflicts interest revised compiled chapter criminal code sections focus bribes compensation offered quid pro quo government acts apply persons commencing government service prophylactic rule aims source government employees compensation section contains two prohibitions neither directly specifies payment must made received first paragraph directed every person receives salary supplement compensation services officer employee executive agency government second paragraph directed every person pays makes contribution supplement salary officer employee circumstances make receipt contribution violation subsection literal reading second paragraph particularly use term officer employee supports conclusion payee must government employee time payment made similarly paragraph additional prohibitions one makes contribution way supplements salary also refer officer employee indeed since prohibited conduct merely receipt payment salary supplement follows violation either committed time payment made despite awkward drafting paragraphs appear coextensive coverage sides single transaction text thus indicates employment status element offense appeals rejected reading statute two reasons first noted prior codification criminal code plain language predecessor statute ed unambiguously limited whoever government official employee received salary appeals inferred deletion phrase meant payment longer need occur federal employment thus preemployment payments violate second felt public policy underlying conflict interest laws general also support broad interpretation coverage ibid construction criminal statute must guided need fair warning rare legislative history statutory policies support construction statute broader clearly warranted text case sources indicates reading statutory language consistent congressional intent iii predecessor enacted amendment bureau education legislative appropriation provided government official employee shall receive salary connection services source phrase government official employee appear provision transferred reorganization title appeals recognized wording unquestionably required recipient payment government employee time payment made reading neither changed original scope statute engendered controversy entire period criticism focused instead vagueness reference payments made connection employee service fact legislative history explains narrowing consequence elimination words silent reason eliminating government official employee inconsistent view congress intended latter change broaden coverage section senate house judiciary committees attorney general maintained made substantive change law rather deletion government official employee use phrase officer employee executive branch seemed enhance clarity consistency new conflicts statutes attach greater significance two changes congress made revised bribery conflict laws added language extending prohibition bribery public official person selected public official defined person nominated appointed public official officially informed nominated appointed prohibits outside compensation performance public service congress expressly covered advance requests offers compensation services rendered time recipient officer employee provisions congress used unambiguous language cover preemployment payments absence comparable language indicates congress intend broaden coverage provision evidence confirming requires employment status time payment found subsections former expressly authorizes federal employees continue receive payments bona fide pension health benefit plan maintained former employer latter makes inapplicable certain types government employees provisions obviously focus payments made recipient government employee addition two exemptions like careful draftsmanship consistent attorney general kennedy contemporaneous opinion change substance former see supra iv congress appropriately enacts prophylactic rules intended prevent even appearance wrongdoing may apply conduct caused actual injury section rule legislation designed prohibit avoid potential conflicts interest performance governmental service supported legitimate interest maintaining public confidence integrity federal service neither good faith full disclosure exemplary performance public office excuse making receipt prohibited payment nevertheless appropriate case raises questions scope prohibition identify specific policies provision serves well counsel reading broadly see offshore logistics tallentire special committee federal conflict interest laws association bar city new york prepared scholarly report government petitioners agree accurately describes policies implemented report stated rule really special case general injunction serving two masters three basic concerns underlie rule prohibiting two payrolls two paymasters employee job first outside payor hold employee deriving ability cut one employee economic lifelines second employee may tend favor outside payor even though direct pressure put third real risks arrangement generally unwholesome appearance breeds suspicion bitterness among fellow employees observers public interpretation apt outside party paying government employee paying past services must paying current services payor time services supposed devoted government association bar city new york conflict interest federal service important countervailing consideration also ignored president kennedy recognized sent message congress calling wholesale revision conflict interest laws regulation setting highest moral standards must impair ability government recruit personnel highest quality capacity today government needs men women broad range experience knowledge ability needs increasing numbers people topflight executive talent needs hundreds occasional intermittent consultants experts help deal problems increasing complexity technical difficulty short need draw upon america entire reservoir talent skill help conduct generation important business public business message president relative ethical conduct government doc attorney general kennedy commented concern memorandum legislation explaining one main purposes new legislation help government obtain temporary intermittent services persons special knowledge skills whose principal employment outside government predicted new legislation lead significant expansion pool talent departments agencies draw special needs substantive additions allow continuing participation pension benefits plans exempt certain employees prohibitions wholly consistent attorney general outlook contrast expansion encompass preemployment payments run counter interest severance payments made petitioners case somewhat nebulous character one hand government correctly argues give rise possible appearance impropriety certainly one concerns hand allowing corporations encourage qualified employees make special skills available government serves public interest identified president attorney general enacted function express either approval disapproval kind unconditional severance payment note literal reading statute places service severance payment outside coverage consistent one policies motivated enactment statute language congress used thus harmony thought spirit purpose act case presents none rare exceptional circumstances may justify departure statutory language crooks harrelson accord rubin finally already observed construing criminal statute therefore bound consider application rule lenity extent ambiguity temporal scope remains resolved petitioners favor unless congress plainly misconstrued intent judgment appeals accordingly reversed ordered footnotes whoever receives salary contribution supplementation salary compensation services officer employee executive branch government independent agency district columbia source government except may contributed treasury state county municipality whoever whether individual partnership association corporation organization pays makes contribution way supplements salary officer employee circumstances make receipt violation subsection shall fined imprisoned one year enacted act pub stat joint stipulations uncontested facts app joint stipulations uncontested facts app petitioner jones resigned become deputy secretary defense strategic theater nuclear forces requested cost severance received petitioner reynolds resigned become consultant deputy director space intelligence policy requested received petitioner kitson took early retirement become deputy assistant secretary navy command control communications intelligence requested received joint stipulations uncontested facts app app app employees submitted estimates boeing included expected reduction salary benefits value accumulated unvested company benefits separate payment standard departing boeing employees cashed employees interests vested benefits ibid boeing internal accounting procedure calculating severance pay employees departing government positions used four factors loss salary duration anticipated government employment assumed remainder presidential term period prior employee birthday whichever shorter loss boeing contributions employee retirement plan relocation costs supplement cover difference living costs seattle washington alternative procedure considered employee salary years service boeing duration anticipated government employment app boeing staff estimated payments petitioners kitson crandon using procedures petitioners jones paisley reynolds using solely first procedure petitioner anticipated length government service thus component calculation final payment final amounts approved boeing chief executive ibid appeals also held statute limitations barred government tort claims boeing except boeing payment kitson see bribery public officials witnesses compensation members congress officers others matters affecting government preemployment payments mere offering seeking thereof thus criminal provisions justice scalia grammatical analysis post misses point matter whether payment made officer supplement salary officer either event recipient payment must officer first paragraph whoever government official employee receives salary connection services official employee source government except may contributed treasury state county municipality legislation arose desire halt bureau education practice allowing private organizations rockefeller foundation universities pay real salaries employees bureau pay nominal salary one dollar year decrying activities indulged bureau education agencies seem inimical education youth country senator chamberlain oregon proposed following addition fiscal year appropriations bill part appropriations made bureau education whether salaries expenses purpose connected therewith shall used connection money contributed tendered general education board corporate organization individual way associated either directly indirectly contributed tendered corporation individual may contributed state county municipal agencies shall bureau education receive moneys salaries cong rec government official employee shall receive salary connection services official employee source government except may contributed treasury state county municipality person association corporation shall make contribution way supplement salary government official employee services performed government act mar ch stat act june ch stat reviser note official code explains three specific changes wording mention addition change appears encompassed reviser conclusion inor changes made phraseology supp iv see association bar city new york conflict interest federal service see supra attorney general kennedy summary memorandum regarding conflict interest provisions public law fed reg reported subsection uses much language former vary statute substance deletion phrase government official employee suggested least proposed amendment house antitrust subcommittee considered pass subcommittee staff found phrase clearly cover members congress judiciary recommended section revised address hoever receives salary contribution supplementation salary connection services member delegate congress resident commissioner officer agent employee executive legislative judicial branch house committee judiciary federal conflict interest legislation comm print like proposed amendment dropped government official clause left unqualified hoever receives subject yet drafters contemplate effect persons yet employed government one purpose bill eliminate inconsistency overlap conflicts provisions section predecessor statute containing phrase government official employee new bill replaced phrase different terms previously used uniform phrase officer employee executive branch government independent agency district columbia supra act pub stat phrase included order set forth point prospective public official comes within statutory coverage supra stat present statute even specific covering services rendered rendered either personally another time person member congress member congress elect delegate delegate elect resident commissioner resident commissioner elect time person officer employee executive legislative judicial branch government agency including district columbia subsections provide nothing herein prevents officer employee executive branch government independent agency district columbia continuing participate bona fide pension retirement group life health accident insurance stock bonus employee welfare benefit plan maintained former employer section apply special government employee officer employee government serving without compensation whether special government employee person paying contributing supplementing salary conflict interest legislation directed evil endangers fabric democratic society democracy effective people faith govern faith bound shattered high officials appointees engage activities arouse suspicions malfeasance corruption mississippi valley generating office attorney general memorandum regarding conflict interest provisions public law fed reg reach long recognized serious obstacle recruitment men government office age apt vigorous productive association bar city new york conflict interest federal service see also hearings et supra memorandum attorney general conflict interest statutes appears significant problem respecting section whether discourages recruitment executives private industry justice scalia justice justice kennedy join concurring judgment agree government failed prove petitioners violated claim remedy premised upon violation accordingly must fail reasons however somewhat different think payments made term federal employment necessarily excluded think payments neither made periodically term federal service calculated reference periodic compensation excluded subsection makes criminally liable whoever receives salary contribution supplementation salary compensation services officer employee executive branch government source government whoever pays makes contribution way supplements salary officer employee circumstances make receipt violation subsection apparently concedes first clause subsection refers someone receives salary contribution supplementation salary compensation services officer employee executive branch imply recipient must officer employee time receipt reason think second clause imports requirement refers someone pays makes contribution way supplements salary officer employee perhaps possible pay officer officer surely possible pay contribute supplement salary officer possible receive payment contribution supplementation salary either service salary pertains completed different reason unaddressed agree payment present case covered ii ancient sound rule construction word statute possible given effect interpretation needlessly renders words superfluous suspect seeking hold present petitioners liable government treats though read hoever receives compensation services officer employee executive branch government source government read way another ethics statutes read way covering receipt payment compensation services government employee relating particular matter subsection however refer whoever receives compensation whoever receives salary contribution supplementation salary compensation second clause seen likewise entirely tied salary bad construction ignore language given reasonable meaning interpretation statute particularly bad construction ignore criminal statute rule lenity applies see adamo wrecking salary compensation one species genus recompense consideration paid stipulated paid person regular intervals services fixed compensation regularly paid year quarter month week webster second new international dictionary emphasis added see also benedict word salary may defined generally fixed annual periodical payment services depending upon time upon amount services rendered receive salary compensation receive periodic payments compensation context present statute must reasonably thought receive contribution supplementation salary compensation receive contribution supplementation periodic payments sense contribution supplementation must periodic read differently regard single payment nongovernment source contribution supplementation salary render references salary superfluous statute might well prohibited like compensation significant office personnel management sought embody substance ethics regulations fashion understood mean government thinks means revised references contribution supplementation salary follows employee shall receive salary anything monetary value private source compensation services government cfr government official employee shall receive salary connection services official employee source government person association corporation shall make contribution way supplement salary government official employee services performed government act mar stat whoever government official employee receives salary connection services official employee source government whoever whether person association corporation makes contribution way supplements salary government official employee services performed government stat must acknowledge subsections exclude coverage subsection payments periodic payments interpretation described successful government giving effect language section superfluous exceptions make assurance doubly sure common phenomenon insertion utterly pointless language center substantive restriction moreover since shall discuss part iii government foolish apply literally interpretation payments compensation covered subsections turn largely superfluous view statute well see may memorandum office legal counsel olc advising proposed subsection clarification existing law rather exemption ed op atty op atty case granting reasonable implication subsections subsection applies payments addition periodic payments remains true reasonable meaning subsection applies exclusively periodic payments even one think meaning trumps implication ambiguity since criminal statute rule lenity demands resolved favor narrow criminal liability may seem strange nowadays congress think categorically criminalizing periodic payments salary supplementation salary rather payments government employees seemed strange substance subsection originally enacted existed time apparently one government agency regular practice hiring nominal salary individuals whose real compensation paid private organizations cong rec manning federal conflict interest law cf op atty comp apart fact congress often acts one step time eliminate one abuse become focus attention allied abuses good practical reasons payment supplementation salary singled surely receipt regular salary private source poses greatest risk corruption one commonly characterizes corrupt official saying someone payroll moreover payment supplementation salary categorically eliminated payments without criminalizing large number harmless perfectly innocent often desirable arrangements example rare think parents make periodic payments child might continue government job proud performing wish continue suspect rare however parents make occasional gifts child leave particularly generous bequest precisely end mind interpretation adopted government act generosity rendered accepted objective seemingly violate law alone think reason enough criminalize supplementation salary sense government us understand term iii must address length seems strongest argument interpreting mean says fact long interpreted differently analysis proves weaker consideration one might suppose indeed long unsatisfactory experience countertextual interpretation one prime reasons adhering congress enacted two points must made clear outset first substantial history interpretation exists history judicial interpretation years predecessors existence discussed passing three times see muschany myers international davidson prior present litigation courts appeals discussed three times see oberhardt raborn muntain app district courts four times see pezzello supp nd tex exchange national bank chicago abramson supp gerdel supp ed mo morse sdny one scarce judicial references district opinion explicitly discusses issue salary versus payment agreeing government position discussion moreover admission gratuitous since statute way issue see gerdel supra two cases one district one appeals relatively recent unchallenged assumption payments covered apparently necessary holding see oberhardt supra pezzello supra sum government position supported long even appreciable body judicial interpretation second vast body administrative interpretation exists innumerable advisory opinions attorney general olc office government ethics also comptroller general general counsels various agencies administrative interpretation entitled deference chevron natural resources defense council law question criminal statute administered agency courts entirely reasonable understandable federal officials make available employees legal advice regarding interpretation general way agencies government must interpret order assure behavior employees lawful must interpret innumerable civil criminal provisions order operate lawfully sort specific responsibility administering law triggers chevron justice department course specific responsibility determine statute means order decide prosecute never thought interpretation charged prosecuting criminal statutes entitled deference besides unentitled might called ex officio deference chevron expansive administrative interpretation even deserving persuasive effect responsible lawyer advising whether particular conduct violates criminal statute obviously err direction inclusion rather exclusion assuming safe side statute may cover entirely apparent tendency reinforced justice department knows takes erroneously narrow view prosecute error likely never corrected whereas erroneously broad view corrected courts prosecutions brought thus give persuasive effect government expansive interpretation turn normal construction criminal statutes replacing doctrine lenity doctrine severity body administrative interpretation nonetheless useful present case one purpose demonstrates beyond question unmanageable problems arise interpreted written limited payment supplementation salary administrative history record poignant attempts attorney general olc derive reasonable results rigid undiscriminating criminal statute invented follow logic glimpse behind looking glass example employee receipt cash awards nonprofit organizations meritorious public service unless one believes statutory term compensation predecessor term connection imports commonlaw requirement consideration one contends difficult imagine payments clearly covered cash grants conferred specifically reward work government officials justice department approved first olc opinion rendered june exemplifies benign unpredictable discretion guided administrative interpretation criminal statute opinion quotes attorney general opinion make obvious point object provision government official employee shall serve two masters prejudice unbiased devotion interests june memorandum olc quoting op atty continues conflict present statute liberally construed apply situations strictly construed might held applicable appeared violation spirit statute june memorandum course absurd interpret criminal statute basis one perception whether spirit violated doubly absurd interpret prophylactic measure basis whether evil prophylaxis directed fact exists olc opinion also finds award subject case based upon relationship payor payee usually attends may expected attend application statute principle far tell basis law government assuredly apply statute contexts basis reasoning short conflict interest legislative history statute indicates designed prevent created opinion approves receipt rockefeller public service awards established grant john rockefeller iii later olc opinions memoranda continue essentially approach awards unified mostly extraordinary principle criminal statute violated purposes seem offended award kind far removed purposes statutory prohibition covered july memorandum olc title prohibits payments made received intent reward past government services compensate future ones intent inferred circumstances particularly past prospective connection employee payor ability employee benefit payor performance official duties office advised rockefeller public service awards prohibited statute intended fact give rise sort dual loyalty designed prevent appear true payor educational institution prize payment based achievements entered government one factor determinative opinion based understanding situation receipt award prohibited april memorandum olc many areas besides meritorious awards unworkability government interpretation led charitably called convoluted reasoning mention two attorney general opined violate predecessor employee department commerce dispatched official business speech business organization accept organization reimbursement travel expenses hotel bills otherwise bear personally extent reasoning follows arrangement proposed officer employee concerned personally benefit payments outside sources paid traveling expenses statute violated literally may said contribution officer employee services performed government reality contribution government furtherance prejudice interests op atty finally may mention opinion attorney general robert jackson president roosevelt advising predecessor prohibit universities granting leave pay faculty members serving consultants government part regular sabbatical program enable rendering consulting services wartime emergency opinion genuinely devoid analysis unless one gives name ipse dixit payments circumstances made respect former employment incidental leave granted made connection services individual official employee within contemplation statute op atty mention opinion demonstrates approach necessitated interpretation expands beyond language ultimately quite predictably affect even proper applications statute consultants salaries paid universities almost precise equivalent employees salaries paid foundations last example shows liberties government taken interpretation extent appeal anything concrete spirit statute rely upon phrase compensation predecessor connection proper interpretation eliminate troublesome phrase eliminate temptation give something clear constant meaning covers payment salary little difficulty following principle statute violated reason paying salary whole part recipient status work recipient performed perform federal officer employee one balks applying clear principle example reimbursement transportation lodging federal employee gives speech see op atty meritorious awards see memorandum june registration fees federal employees american bar association meetings entertainment tickets members armed services many situations one envision criminal statute reasonable enough accorded clear interpretation enacted payments consist bribes already covered compensation services particular matter already covered better handled administrative prohibition executive order president authority pursuant see exec order cfr comp agency regulations adopted delegation authority operating manner executive make experiment sorts reasonable distinctions interpreted cover payments honestly said permit according special treatment example privately paid compensation consists cash reimbursement travel subsistence expenses see cfr compensation consists awards conferred nonprofit organization see cfr cfr iv come finally applying think must interpreted facts present case payments recipients lump sums perhaps room argument nonetheless fall within statute existence amounts strictly tied period federal service computed basis much per month much per year recipient promised serve even argument eliminated district finding severance payments contingent upon individuals sic entering federal government service remaining government service stated period time supp ed short basis holding transpired receipt salary contribution supplementation salary within meaning therefore agree judgment appeals must reversed interpretation one possible effect salary language allow unsalaried government officer employee receive payment services private source result payment salary contribution supplementation salary since salary exists supplemented contributed even effect strangely contrived largely completely eliminated subsection entirely excludes section coverage special government employees defined uncompensated government officers employees class remains possible recipient payments obscurely validated otherwise pointless salary language consists government officers employees special employees compensated manner payment salary aware class exists olc opinion notes apparently misses delicious irony fact sponsor original version objected particularly employment persons whose actual salary paid rockefeller carnegie foundations june memorandum olc interesting note three years olc opinion comptroller general given advice receipt rockefeller public service awards violate comp time grants cash gifts continuing grants tuition travel living expenses educational facilities hard see government theory made difference limited discussion text justice department opinions comptroller general rational consider example following donations cash employees private sources therefore prohibited even though money used purchase transportation tickets hotel accommodations however services furnished kind believe different conclusion justifiable comp