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$3 Trillion Bush Budget Already Attacked
Law & Politics | 2008/02/04 15:14
President Bush is sending Congress a $3 trillion spending blueprint that would provide a big boost to defense and protect his signature tax cuts.

It seeks sizable savings in government health care programs and puts the squeeze on much of the rest of government, but it would still generate near-record budget deficits over the next two years.

Even before receiving the document Monday, Democrats were attacking it for slashing programs to help the poor while protecting tax cuts for the wealthy.

"This is a budget that sticks it to the middle class, comforts the wealthy and has a set of priorities that are not the priorities of the American people," said Senate Budget Committee Chairman Kent Conrad, D-N.D.

Democrats saw the plan as a continuation of failed policies that have seen the national debt explode under Bush. A projected 10-year surplus of $5.6 trillion when Bush took office was wiped out by the 2001 recession, the increased spending to fight terrorism and, Democrats contend, Bush's costly tax cuts.

Bush's spending blueprint sets the stage for what will probably be epic battles in the president's last year in office, as both parties seek to gain advantages with voters heading into the November elections.

Bush, who was the first president to propose a $2 trillion budget, back in 2002, will leave office as the first president to hit $3 trillion with a spending plan.

His blueprint for the budget year that begins next October projects huge deficits, around $400 billion for this year and next, more than double the 2007 deficit of $163 billion. Private economists believe the deficit could easily surpass the previous record in dollar terms of $413 billion set in 2004, especially if the country does go into a recession.

The sharp jump in the deficits reflects, in part, a proposed economic stimulus plan of around $145 billion. Bush is urging Congress to pass it quickly as a way of getting tax rebates to households this summer in hopes of preventing a full-blown recession.

As in past years, Bush's biggest proposed increases are in national security. Defense spending is projected to rise by about 7 percent, to $515 billion, and homeland security money by almost 11 percent, with a big gain for border security. Details on the budget were obtained through interviews with administration officials, who spoke on condition of anonymity until the budget's release.

The bulk of government programs for which Congress sets annual spending levels would remain essentially frozen at current levels. The president does shower extra money on some favored programs in education and to bolster inspections of imported food, following last year's high-profile recalls of tainted products coming from China.

Bush's spending proposal would achieve sizable savings by slowing the growth in the major health programs — Medicare for retirees and Medicaid for the poor. There the president will be asking for almost $200 billion in cuts over five years, about three times the savings he proposed last year. The savings would come from freezing payments for hospitals and other health care providers.

Congress rejected last year's effort and Democrats are predicting Bush's new proposal will meet the same fate.



LACBA Seminar Focus: Class Actions
Headline News | 2008/02/04 11:18

Class Actions for Non-Class Action Lawyers is the title of a CLE seminar being offered by the Los Angeles County Bar Association (LACBA).

The program will take place on Thursday, February 21 from 9 a.m. to 5 p.m. at the LACBA Conference Center, 281 South Figueroa Street, Los Angeles. Registration begins at 8:30 a.m.

This program is designed for attorneys interested in helping individual and business clients understand when they have been victimized in a manner creating class-action claims, whether involving consumer-fraud schemes, price fixing or market allocations conspiracies, mass-tort injuries, or wage-and-hour schemes.

Speakers will include Alexander Barnett, The Mason Law Firm, LLP; Vincent J. Esades, Heins Mills & Olson, P.L.C.; Valerie G. Esch, Wells Fargo Bank; Gregg A. Farley, The Farley Firm, and Daniel R. Karon, Goldman Scarlato & Karon P.C.

For details on registration fees and available CLE credits, see the Bulletin Board on The Metropolitan Corporate Counsel website at www.metrocorpcounsel.com.



Korean Big Law Firm Under Tax Audit
Legal World News | 2008/02/04 10:20
The Korean National Tax Service has launched an audit of the country's largest law firm, Kim & Chang, over tips that the firm may have avoided paying taxes, tax officials said Monday.

NTS officials played down the probe, but some industry sources raised speculation that the audit is related to ongoing investigations into Samsung Group or Lone Star Funds.

"We've received information that some lawyers of Kim & Chang engaged in dubious activities to dodge taxes," an NTS official said. "`We are looking into their income from recent court cases and checking whether they reported the right amount in the right way."

It is the first time for the NTS to audit the law firm since 1997. Law firms are required to undergo an audit every two years, but the office had skipped the ones for Kim & Chang as the firm had received awards for fulfilling its obligations to pay taxes.

NTS officials said the audit is not a regular one.

"We began the audit because there were reports alleging that the firm had avoided taxes," the official said.

Kim & Chang, based in Seoul, is the largest law firm in South Korea with some 450 lawyers, accountants and patent and trademark attorneys. It represented Lone Star when it acquired Korea Exchange Bank in August 2003.

It also has provided services to Samsung. Late last year, lawyer Kim Yong-chul, former director of the legal department of Samsung Group, alleged that Kim & Chang actively participated in fabricating facts for the trial of Samsung Chairman Lee Kun-hee on charges of illegally transferring his wealth to his son through an illicit convertible bonds deal.

A number of ranking officials served or are serving as advisors to the law firm. They include Prime Minister-designate Han Seung-soo, Prime Minister Han Deok-soo and former NTS head Seo Young-taik.


Law Offices of Julia Sylva :: A Law Corporation
Law Firm Press | 2008/02/03 17:41

Law Offices of Julia Sylva







The Law Offices of Julia Sylva, A Law Corporation  is afull-service law firm with offices in Los Angeles and Signal Hill,California. We are expert in transactional, administrative, legislativeadvocacy, regulatory, and litigation matters.
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TheFirm was founded in 2000, and since its inception specializes in publiclaw, public finance, general business, corporate, redevelopment andreal estate matters.
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Ithas become a respected law firm in Southern California, providing legalrisk management services and litigation prevention advice andconsultation.

We continue to serve as general and special counsel to public entitiesin land use, planning, code enforcement, redevelopment and publicfinance. We attend regular and special meetings, draft and reviewordinances, resolutions, minutes of the governing board and meet withconstituents in seeking to resolve issues related to land use, planningand code enforcement. When necessary, we file criminal complaints onbehalf of municipalities to enforce the applicable municipal codeprovisions. Also, we conduct training for elected public officials inmatters related to governance, Ethics, the Brown Act, the PublicRecords Act and the Political Reform Act.

In public finance,we serve as bond counsel, underwriter's counsel, disclosure counsel,trustee's counsel and issuer's counsel. We prepare and review alltransactional, disclosure and related closing documents. Astransactional attorneys we draft and negotiate complex documents suchas trust agreements, leases, technology, employment, disposition anddevelopment and owner participation agreements.

Law Offices of Julia Sylva
A Law Corporation

2728 Cherry Avenue
Signal Hill, CA 90755
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Tel. 562.988.3224
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Los Angeles Office
888 W Sixth Street, Ninth Floor
Los Angeles, CA 90017
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Tel. 213.347.0240 Ext.29

www.sylvalawcorp.com


China Upholds Death for Ant Fraudster
Legal World News | 2008/02/03 15:23
A court in northeastern China upheld a death sentence Monday against a businessman accused of bilking investors in a would-be ant-breeding scheme, state media reported.

The Liaoning Provincial Higher People's Court turned down an appeal from Wang Zhendong, who was convicted of fraud and sentenced to death last February, the official Xinhua News Agency reported.

Wang, chairman of Yingkou Donghua Trading Group Co., had promised returns of up to 60 percent for investors who purchased ant-breeding kits from two companies he ran.

The insects were to be used in traditional medicinal wines, herbal remedies and aphrodisiacs.

Authorities, concerned about social unrest, have come down hard on fake investments and pyramid schemes, although Wang's sentence was harsh even by Chinese standards.

Communist leaders have sought to make examples out of businessmen and officials accused of fraud and corruption, and last year executed the former head of its food and drug watchdog for approving untested medicine in exchange for cash.

Wang attracted more than 10,000 investors between 2002 and June 2005, when investigators shut down his companies. The closure of his business set off a panic among small-time players who saw their life savings disappear overnight.

Investigators put the size of the fraud at $416 million. Only $1.28 million was recovered. Fifteen managers of the company were also fined and sentenced to prison terms ranging from five to 10 years.



Court: Elderly sisters must split lottery winnings
Court Feed News | 2008/02/03 15:16

The Connecticut Appeals Court has ruled a 1995 pact struck by two widowed sisters to split each other’s future gambling winnings is still binding despite the fact they no longer speak to one another.

The decision paves the way for a public family feud pitting Theresa Sokaitis, 81, against Rose Bakaysa, 85, over a $500,000 Powerball jackpot Bakaysa hit on June 18, 2005, but doesn’t want to share with her estranged sibling.

Sokaitis is suing Bakaysa for breach of contract. Bakaysa’s attorney, William Sweeney Jr., told the Herald in November Sokaitis is a “gold digger.”

“We’re going to go to trial court and battle it out,” Sokaitis’ Boston attorney, Sean Higgins, said. She was, he said, “extremely excited by the court’s decision. She’s obviously elated for the chance to prove that she is entitled to her share of the money.”

Unlike Massachusetts, a bygone Connecticut law still frowns upon private wagering contracts. However, two appellate judges, in overruling Connecticut Superior Court Judge Patty Pittman’s 2006 summary judgment awarding the money to Bakaysa, found the notarized agreement between the sisters was not induced by the guarantee of hard cash, “but rather their mutual promises to one another to share in any winnings they received.”

Though Connecticut now widely embraces many forms of gambling, Appeals Court Judge William Lavery cast the lone dissenting vote against Sokaitis, stating in written remarks that “money” was the motivation behind the deal. “We must assume that it was the intent of the Legislature to continue to prohibit wagering contracts like the one at issue in this case,” he said.



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