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Today's Date: U.S. Attorney News Feed
Oil spill continues to demand President Obama's time
U.S. Legal News | 2010/06/07 12:11

White House Press Secretary Robert Gibbs's briefing, which normally comes in the afternoon, takes place at 10 a.m., and will be conducted by Adm. Thad Allen, the national incident commander in charge of the response to the Gulf of Mexico disaster.

The briefing is happening early to make way for a Facebook video chat with energy czar Carol Browner, who has become one of the go-to oil spill people at the White House in the past week.

President Obama also plans to hold a full meeting of his Cabinet -- not a common event during his first year and a half in office -- to discuss what the administration is doing to stop the leak and to clean up the coastlines of several states.

Over the weekend, even as BP appeared to have some success diverting a bit of the oil from the broken undersea gusher, it became clear that the crisis above water will be just as difficult to deal with.

More images of oil-covered animals began emerging, and there were increasing complaints about the lack of cleanup effort at beaches . One local official wondered aloud why Obama didn't order workers from other oil companies to help BP clean up the spill.



Illinois couple guilty of $41M Best Buy fraud
Lawyer News | 2010/06/04 15:53

A federal jury has found an Illinois couple guilty of defrauding Best Buy out of $41 million by over-billing the Richfield-based company for computer parts.

Russell Adam Cole, 50, and Abby Rae Cole, 53, of Deerfield, Ill., were found guilty Thursday of mail fraud, wire fraud, conspiracy, tax evasion and conspiracy to commit money laundering in connection with the scheme.

The IRS led the investigation into the case.

According to prosecutors, Best Buy created a repair service on products in the early 2000s and solicited vendors to submit bids on certain parts they wanted to supply for the repair service.

The Coles owned and operated a computer parts distribution company called the Chip Factory, Inc. For about four years ending in August 2007, Best Buy accounted for most of Chip Factory's sales.

But court records showed that the Coles made Chip Factory quote fraudulently low prices in Best Buy's auction system to obtain computer repair parts. After winning bids, the Coles billed Best Buy prices that were higher than the ones quoted in the bidding process.

Over time, prosecutors said the Coles billed Best Buy for more than $41 million than had been agreed to in the bidding process.

A former Best Buy employee, 39-year-old Robert Paul Bossany of Prior Lake, helped carry out the scheme. Bossany pleaded guilty in January 2009 to accepting bribes from Chip Factory and conspiring to defraud Best Buy while working as Best Buy's primary contact with Chip Factory.



Cleanup Costs and Lawsuits Rattle BP’s Investors
Business Law Info | 2010/06/04 15:50

BP shareholders are fleeing the company’s stock amid growing uncertainty about the ultimate bill for cleanup costs, lawsuits, fines and damage to the oil giant’s reputation.

BP’s shares fell an additional 15 percent on Tuesday, as investors reacted to news that the latest effort to stem the gushing oil in the Gulf of Mexico failed over the weekend. It is the steepest drop in shares in about two decades.

Also on Tuesday, Attorney General Eric H. Holder Jr. said that federal authorities had opened criminal and civil investigations into the Deepwater Horizon explosion.

Since the Deepwater Horizon drilling rig exploded April 20, the company has lost a third of its market value, or about $75 billion.

The company said Tuesday that it had spent almost $1 billion on cleanup efforts. But that bill is likely to rise as oil continues to spill into the gulf, with no guarantees that any of the new plans to contain the spill will work.

Investors are also grappling with potential damage to the company’s reputation.

“Financially they can survive this crisis, but politically they will be punished for a very long time,” said Fadel Gheit, an oil analyst at Oppenheimer & Company.

The prospect of billions of dollars more in legal payouts and fines is also weighing on the company.

BP officials say they have already paid $36 million to settle claims of economic loss and damage under the Oil Pollution Act, a 1990 law passed in the wake of the Exxon Valdez disaster, and that more than 26,000 claims have been submitted.



Mass. sen. who stuffed money in bra pleads guilty
Criminal Law Updates | 2010/06/04 15:49

A Massachusetts state senator caught on video stuffing what prosecutors said was bribe money into her sweater and bra has pleaded guilty to corruption charges.

Dianne Wilkerson, a Boston Democrat, entered the pleas to eight counts of attempted extortion at a hearing in U.S. District Court on Thursday. She will remain free on bail until her sentencing on Sept. 20.

Federal prosecutors are recommending a sentence of no more than four years in prison. Defense attorneys will be allowed to argue for less.

Wilkerson was arrested in October 2008 and accused of taking $23,500 in bribes to help get a liquor license for a nightclub and helping an undercover agent posing as a businessman who wanted to develop state property.



Final NY hate crime suspect pleads guilty
Lawyer Blog News | 2010/06/04 14:53

The last of seven New York teenagers implicated in the hate crime killing of an Ecuadorean immigrant pleaded guilty on Wednesday.

Anthony Hartford's plea to gang assault and other charges closes the prosecution phase of a case that attracted international headlines and prompted an ongoing U.S. Justice Department probe of police responses to bias crimes. The judge indicated Hartford would likely face 10 years in prison when he is sentenced on July 20.

The 18-year-old admitted being with a group that targeted Hispanics for violence in November 2008. Their attacks culminated in the killing of immigrant Marcelo Lucero in Patchogue.

"He's never denied being involved," said defense attorney Laurence Silverman. "He's never denied that it was wrong to be involved."

A week ago, 19-year-old Jeffrey Conroy was sentenced to 25 years in prison for his conviction on manslaughter as a hate crime. Five others are awaiting sentencing.



Jury sentences man to death for Nev. coed murder
Court Feed News | 2010/06/04 11:49

A jury sentenced a 28-year-old Nevada man to death for raping and killing a college coed after sexually assaulting two others in Reno more than two years ago.

The same Washoe County District Court jury that convicted James Biela (BEEL'-uh) last week deliberated about nine hours before reaching a unanimous verdict Wednesday.

The former pipe fitter from Sparks will be sent to death row to await execution by lethal injection.

Biela's public defenders asked the jury to spare Biela's life because he had no previous criminal record and had been abused growing up in poverty in the Chicago area.

Nineteen-year-old Brianna Denison was raped and strangled to death during a string of attacks that shook the Reno community in early 2008.



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