White Collar Crime

Ex Jenkens Partner Named in Fraud Case

A New York partner of Baker & McKenzie has been indicted in a federal securities fraud case involving alleged corporate kickbacks, along with executives and two individual investors. Attorney Martin Weisberg and the five other defendants “face a variety of charges, including conspiracy, securities fraud and money laundering,” reports the…

Oct 19, 2007 9:34 PM CDT

KPMG Trial Delayed Over Lawyer Ruling

A federal judge has disqualified a defense lawyer and delayed the trial of four defendants accused of helping KPMG promote illegal tax shelters. Judge Lewis Kaplan of New York disqualified Steven Bauer of Latham & Watkins following accusations of a secret defense pact, the Wall Street Journal reports (sub. req.).…

Oct 18, 2007 6:33 PM CDT

DOJ Switched Focus to Terrorism and Immigration Crimes

The Bush administration’s Justice Department has reallocated its resources, focusing less on mobsters and some white-collar crimes and more on terrorism, weapons offenses and immigration violations. Justice Department prosecutions in terrorism and national security cases increased a whopping 876 percent, reaching a peak of 818 in 2003, the Washington Post…

Oct 17, 2007 11:09 AM CDT

Downfall: Why Did Bruce Hyman Do It?

A British lawyer who seemingly had it all, Bruce Hyman was also a wonderful guy. So friends were stunned when he became the first barrister in the bar’s 800-year history jailed for professional misconduct. A wealthy well-known radio and television producer from a professional family, Hyman, now 49, came to…

Oct 16, 2007 9:10 PM CDT

Admin Charged in Law Firm Embezzlement

A longtime administrator has been charged with allegedly embezzling more than $200,000 from a New Orleans law firm through a fraudulent bank deposit scheme. Lisa Mayerhafer, 41, who had worked for a decade at Gertler, Gertler, Vincent and Plotkin, is charged with bank fraud in a federal criminal case, reports…

Oct 16, 2007 12:29 AM CDT

High Court Accepts Second Money Laundering Case

The U.S. Supreme Court has accepted a second case that asks justices to settle a circuit split over the interpretation of the federal money laundering statute. Federal appeals courts disagree whether the law permits a conviction if the defendant has merely hidden money, according to the petition for certiorari (PDF…

Oct 15, 2007 3:36 PM CDT

2 La. Judges Indicted in Racketeering Case

Two Louisiana judges have been indicted for allegedly taking bribes to help get defendants out of jail by reducing bond, among other mechanisms. Both State District Judge Michael Walker, 57, and Caddo Parish Juvenile Court Judge Vernon Claville, 56, are accused in the federal racketeering case of accepting bribes from…

Oct 12, 2007 9:51 PM CDT

Big Legal Bill for Exec’s Backdating Defense

Major corporations commonly agree to indemnify officers and directors for legal costs, should they be sued or prosecuted as a result of their work. Otherwise, even CEOs often would find it difficult or impossible to pay the cost of a standard defense. However, the defense price tag can be noteworthy…

Oct 11, 2007 7:56 PM CDT

Fake Lawyer May Avoid Real Prison Sentence

A paralegal who impersonated a lawyer for two years at a well-known plaintiffs insurance coverage law firm could get probation if he repays New York City-based Anderson Kill & Olick at least $150,000 by his scheduled Jan. 30 sentencing. Otherwise, Brian Valery can expect a prison term of between five…

Oct 10, 2007 8:40 PM CDT

Lawyer Likely to Turn Witness in Ex-Client’s Stock Fraud Trial

The ex-lawyer for a former dot-com billionaire is expected to testify against him in his stock-fraud trial. Lawyer Preston Burton is expected to testify about allegations that Charles “Junior” Johnson pushed him to introduce fake e-mails as evidence, the Washington Post reports. Prosecutors have added a charge of obstruction of…

Oct 10, 2007 11:52 AM CDT

Counsel: PI Lawyer’s Aide Was FBI Mole

A former legal assistant to one of three jailed personal injury lawyers accused of bilking $65 million from clients in diet drug litigation allegedly spied on her boss for the FBI and wore a wire to confidential attorney-client meetings. In a federal-court filing in Kentucky last week, counsel representing Melbourne…

Oct 9, 2007 8:01 PM CDT

Pro Bono Team Attacks Exec’s Prosecution

A team of pro bono attorneys from four different firms has taken up the cause of a convicted Dynegy Inc. executive and filed a habeas corpus petition seeking his release from prison. By pressuring Dynegy, under threat of prosecution, to renege on its promise of paying defense costs, the federal…

Oct 8, 2007 9:16 PM CDT

Oil Man Pleads in Iraq Kickback Scheme

Texas oil man Oscar Wyatt has pleaded guilty to conspiracy in the middle of his trial for paying kickbacks to buy Iraqi oil. Wyatt’s lawyer, Gerald Shargel, told the Wall Street Journal (sub. req.) that his client entered a guilty plea because of his advanced age and the possibility of…

Oct 2, 2007 5:36 PM CDT

FL Expects Surge of Mortgage Fraud Cases

An attorney has been charged with 17 others in a $42 million South Florida mortgage fraud case that authorities say is part of an expected explosion of such prosecutions. In addition to this new case and another smaller mortgage fraud prosecution, U.S. Attorney R. Alexander Acosta also announced today a…

Sep 28, 2007 8:54 PM CDT

2 Lawyers in Bankruptcy Case Crossfire

A well-known defense lawyer is the latest central Florida attorney to be caught in the crossfire between high-profile client Lou Pearlman, a jailed music producer with $500 million in claimed debt, and a bankruptcy trustee. The trustee is asking a bankruptcy judge to compel attorney Robert Leventhal, who has been…

Sep 24, 2007 6:37 PM CDT