White-Collar Crime
Judge Sets $20M Bond for Marc Dreier
Posted Jan 22, 2009, 04:10 pm CST
By Martha Neil
Agreeing to set bond for a lawyer accused of scamming hedge funds and other sophisticated investors out of $380 million, a federal court ruled today that attorney Marc Dreier will be released if he posts $20 million bond.
"U.S. Magistrate Judge Douglas Eaton in New York modified an earlier ruling that ordered Dreier held without bail until trial," reports Bloomberg. "Eaton said Dreier must have four co-signers and would be subject to home detention and electronic monitoring."
But the amount, which is twice what he requested, is more than Dreier can post, so he plans to appeal the amount of the bond, according to his lawyer, Gerald Shargel.
As discussed in earlier ABAJournal.com posts, Bernard Madoff, the accused architect of an alleged $50 billion Ponzi scheme run under the guise of a hedge fund, posted a $10 million bond in order to stay at home in New York under similar conditions. Federal prosecutors have sought to have his bond revoked, so far without success, contending that he is a flight risk.
Explaining the difference, Eaton said, "I believe the risk of flight is greater in Mr. Dreier's case than in Mr. Madoff's case," reports Reuters.
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