Reed Smith, one of Pittsburgh's largest law firms, said Tuesday it will reduce its hourly billing rates 20 percent in January, as well as cut salaries of newly hired lawyers.

The moves are a response to client concerns about "driving down the cost of legal services," said global managing partner Gregory Jordan.

First-year associate salaries in Reed Smith's 15 U.S. offices will shrink to a range between $130,000 in New York, Chicago and other major markets to $110,000 in Pittsburgh.

A federal appeals court on Tuesday backed the judge who ruled against the NFL and let quarterback Michael Vick keep more than $16 million in roster bonuses from the Atlanta Falcons.

The 8th U.S. Circuit Court of Appeals on Tuesday affirmed Judge David Doty's order saying Vick had already earned the bonuses before his dogfighting conviction, so the money wasn't subject to forfeiture.

Vick served 18 months in prison and is now with the Philadelphia Eagles.

Doty has long handled matters arising from the NFL's collective bargaining agreement. After Doty ruled in the Vick bonus case, the NFL accused him of bias and sought to end his oversight of its contract with the players union.

The appeals court said the contract should remain under Doty's oversight.

NFL spokesman Greg Aiello did not say whether the league planned a further appeal, but he said the 8th Circuit upheld Doty's ruling on Vick's bonuses in large part because it found the contract's forfeiture language ambiguous.

"That is something that we will seek to change at the bargaining table to ensure that bonus payments are paid to players who comply with their contracts and perform on the field," Aiello said.

Vick, a former Atlanta Falcons star, was released from federal custody July 20 after serving 18 months of a 23-month sentence for running a dogfighting ring in Surry County, Va. The Eagles signed Vick to a $1.6 million contract for 2009, with a team option for the second year at $5.2 million, but he has not played much.

Scott Rothstein, the Florida lawyer whose firm asked U.S. prosecutors to investigate the alleged disappearance of $500 million in investor funds, was accused in a government filing of conducting a “Ponzi” scheme.

Acting U.S. Attorney Jeffrey Sloman in Miami is seeking the civil forfeiture of eight properties linked to the lawyer.

“There is probable cause to believe that the above- described defendant properties were acquired in connection with a ‘Ponzi’ scheme, conducted by attorney Scott Rothstein” and others, according to Sloman’s filing yesterday in federal court in Fort Lauderdale, Florida.

The law firm, Rothstein Rosenfeldt Adler PA, asked U.S. prosecutors to investigate the possible misappropriation of funds, the firm’s attorney, Kendall Coffey, said in a Nov. 3 interview.

Rothstein, the Fort Lauderdale-based firm’s co-founder, is believed to have taken the funds from a side business that dealt in legal-case settlements, Coffey said then.

Investors were allegedly being enticed to invest in pay-out plans for settlements that didn’t actually exist, prosecutors said. The payments were scheduled over as many as 12 months.

“The entire investment scheme was a fraud,” Sloman’s office said in the court document. Some of the investor proceeds were used to acquire the properties now sought by the U.S., all of which are located in Florida.

Federal prosecutors accused a high-profile South Florida attorney of concocting a Ponzi scheme that lured millions of dollars from investors with promises of big payoffs from legal settlements that never existed, according to court documents filed Monday.

The civil complaint, seeking forfeiture of eight pieces of property owned by lawyer Scott Rothstein, marks the first time prosecutors have leveled fraud allegations at him_ even though criminal charges have yet to be announced. It was filed the same day FBI and Internal Revenue Service agents seized luxury cars, boats, bank accounts and other possessions of the once high-flying Rothstein. The forfeiture complaint put the value of the real estate at more than $18 million.

In the complaint, prosecutors claim that Rothstein operated the Ponzi scheme since 2005 using his law firm, Rothstein Rosenfeldt Adler. Investors were promised fat profits of 20 percent or more by paying lump sums to people who had won legal settlements that would supposedly pay out larger amounts over a longer period.

It was all a lie, the complaint contends. Like all Ponzi schemes, new investor money was used to pay earlier investors to keep up an illusion of success, backed up by false documents showing bank accounts containing fictional large sums.

The Senate gave President Barack Obama a major victory Monday in his efforts to remake the federal courts, confirming a judge who will tip the political balance on the once-conservative appeals court based in Richmond.

The 72-16 vote for U.S. District Judge Andre Davis gives Democratic nominees a 6-5 edge on the 4th U.S. Circuit Court of Appeals, which has been tough in death penalty cases, backed abortion restrictions and supported President George W. Bush's detainee policies.

Davis, of Baltimore, was the sixth of Obama's court nominees to be confirmed, including Supreme Court Justice Sonia Sotomayor. Immediately after approving Davis, the Senate voted 88-0 to confirm a seventh Obama nominee — Charlene Edwards Honeywell — for a district court seat in Florida.

Despite the overwhelming support for both nominees, Judiciary Committee Chairman Patrick Leahy, D-Vt., and ranking committee Republican Jeff Sessions of Alabama squared off in a never-ending battle over judges. Each blamed the other's party for years of blocking tactics.

Leahy pointed out that 28 judges were confirmed during Bush's first year. Sessions argued that the average time from nomination to confirmation for Bush's appellate court nominees was 350 days, a far longer wait than for Davis, who was nominated April 2. Sessions opposed his confirmation.

Davis had been caught in judicial politics before. President Bill Clinton nominated him for the 4th Circuit in October 2000, but the Senate didn't vote before Bush took office.

Prior to the Senate votes Monday, there were 21 appellate vacancies and 76 more for district courts. Since the Supreme Court usually hears about 80 cases a year, the appellate courts usually are the last judicial stop in deciding many of the nation's most controversial legal issues.

No appellate court has been more ripe for change than the 4th Circuit, which hears appeals from courts in West Virginia, Maryland, the Carolinas and Virginia. Senators have battled for years over its nominees, leaving seats unfilled for years.

A judge tasked with unraveling an alleged $2.8 million kickback scheme involving two Pennsylvania judges says they presided over a juvenile justice system "run amok."

Senior Bucks County Judge Arthur Grim told a state investigatory panel Monday that former Judge Mark Ciavarella (shiv-uh-REL'-uh) sentenced juvenile offenders to jail without exploring the charges against them.

Grim's testimony follows his review of thousands of cases after the scandal came to light.

Ciavarella and former Luzerne County Judge Michael Conahan are accused of accepting payoffs from two private juvenile detention centers.

The state Supreme Court last month threw out thousands of juvenile cases that came before Ciavarella. It said none of the young offenders got a fair hearing.