United States v. Hernandez
750 F.2d 1256 (1985)

Facts:  D was charged with selling cocaine and he claimed that the informant had lied to the police and D never intended to sell cocaine.  During direct examination of an undercover officer, the prosecution asked whey they had started investigating D and the agent testified that they had received information from U.S. Customs indication that D was a drug smuggler.

Issue: Was this statement inadmissible hearsay?

Holding: Yes

Rationale:  The referral was a statement other than one made by the undercover agent which testifying at trial, offered to prove the truth of the matter asserted (that D was a drug smuggler).  Also, this evidence is not sufficient to show the state of mind of the undercover agent because that is irrelevant.  Therefore, out-of-court statements offered to prove state of mind of a part must be relevant to the case in order to be admissible.