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Fla. judge strikes key charge against lawyer
Headline News | 2008/12/23 17:04
In a ruling hailed as a victory by defense lawyers, a federal judge on Monday dismissed a money-laundering conspiracy charge against a prominent attorney accused of illegal dealings with a Colombian drug lord.

The issue was whether $5.2 million transferred from Colombia to the accounts of attorney Ben Kuehne were exempt from criminal prosecution because they were essentially legal fees. Kuehne's lawyers and defense attorneys' groups argued that the conspiracy charge against him violated the Sixth Amendment's guarantee that a person charged with a crime has a right to a lawyer.

U.S. District Judge Marcia Cooke agreed, rejecting the U.S. Justice Department's contention that the payments were not necessary for the defense of Colombian drug baron Fabio Ochoa, who was eventually convicted and sentenced to prison.

"Congress has explicitly exempted from the money-laundering statute transactions necessary to preserve a person's right to representation," Cooke said in a 13-page ruling. "If I were to construe the statutory exemption as the government suggests, the exemption for such transactions would amount to no exemption at all."

The National Association of Criminal Defense Lawyers, which filed briefs in the case, had argued that the conspiracy charge against Kuehne could deter lawyers around the country from representing numerous clients whose legal fees might stem from questionable sources.



Prominent NY law firm seeks bankruptcy protection
Headline News | 2008/12/19 10:46
The receiver assigned to run a prominent Manhattan law firm after its founder was charged in a massive fraud says the firm will seek bankruptcy protection.

In a recent letter to a federal judge, the receiver said founder Marc Dreier also may seek protection too.

Prosecutors have accused the 58-year-old Dreier of tricking hedge funds into making bogus investments. They say losses could top $380 million.

He ran a mid-size law firm that has represented celebrities including retired football star Michael Strahan and former News Corp. publishing executive Judith Regan.



Report: Justice lawyer leaked surveillance program
Headline News | 2008/12/14 18:44
A former Justice Department lawyer says he tipped off the news media about the Bush administration's warrantless eavesdropping program because it "didn't smell right," Newsweek magazine reported Sunday.

Thomas Tamm, whose suburban Washington home was searched by federal agents last year, told the magazine he leaked the existence of the secret program to The New York Times 18 months before the newspaper broke the story.

"I thought this was something the other branches of the government and the public ought to know about. So they could decide: do they want this massive spying program to be taking place?" Tamm told Newsweek in what the magazine said were a series of recent interviews that he granted against the advice of his lawyers.

"If somebody were to say, who am I to do that? I would say, 'I had taken an oath to uphold the Constitution.' It's stunning that somebody higher up the chain of command didn't speak up," the magazine quoted Tamm as saying.

Tamm, 56, told the magazine he called the Times from a subway station pay phone in Washington.

In December 2005 the Times published a story exposing the Bush administration's warrantless wiretapping program to eavesdrop on international phone calls and e-mails of U.S. residents without court warrants.

The story cited multiple anonymous sources. Newsweek said the Times reporters who wrote the story refused to say whether Tamm was one of them.

The eavesdropping had been conducted without public knowledge and without any court approval. It has since been put under the authority of the Foreign Intelligence Surveillance Court.

Tamm, who left the Justice Department in 2006, had worked in the department's Office of Intelligence Policy and Review, a secretive unit that oversees surveillance of terrorist and espionage targets, according to Newsweek.

He told the magazine he has since struggled to make a living in private practice. Tamm has not been charged with any crimes, though the magazine said his friends and relatives have been questioned by federal agents.



High court hears dispute over religious monument
Headline News | 2008/11/12 18:20
Supreme Court justices warily confronted a free speech dispute Wednesday over a small religious group's efforts to place a monument in a public park.

The justices seemed reluctant to accept the arguments put forth by the religious group known as the Summum that once a government accepts any donations for display in a public park, it must accept them all.

"Do we have to put any president who wants to be on Mt. Rushmore?" Chief Justice John Roberts asked.

Yet the court also was uncomfortable with the position of Pleasant Grove City, Utah, which rejected the Summum's request to erect a monument similar to a Ten Commandments display that has stood in the city's Pioneer Park since 1971.

Justice David Souter wondered how the city could accept the Ten Commandments display and then say, "'We will not on identical terms take the Summum monument because we don't agree with the message.' Why isn't that a First Amendment violation?"

The Salt Lake City-based Summum wants to erect its "Seven Aphorisms of Summum" monument in the park.

The Summum argued, and a federal appeals court agreed, that Pleasant Grove can't allow some private donations in its public park and reject others.



Rail agency sues contractor over LA collision
Headline News | 2008/10/31 08:20
The Southern California Regional Rail Authority has filed a lawsuit against a contractor stemming from the deadly collision of one of its Metrolink commuter trains and a freight train on Sept. 12.

The contractor, Connex Railroad, provides the engineers who run Metrolink trains.

Investigators have said the Metrolink train went through a red signal and its engineer had repeatedly sent text messages on duty that day — one just seconds before the impact that killed 25 people.

Rail authority board Vice Chairman Keith Millhouse says the suit was filed Thursday in federal court. He declined to comment further on it.

A Connex spokeswoman says she hasn't seen the lawsuit.



Court denies appeal of judge's sentencing goof
Headline News | 2008/10/07 15:24
The U.S. Supreme Court on Monday rejected an appeal from an Alabama man who was sentenced to five years in prison when a judge wrongly thought the law required him to serve time.

U.S. District Judge William Steele didn't want to order Patrick Lett, a 17-year Army veteran who served two tours in Iraq, to prison after the former soldier pleaded guilty to cocaine possession. But the judge thought the law required prison time.

When Steele learned differently, he reduced the punishment to 11 days of time served and three years of supervised release. That didn't satisfy prosecutors, who appealed the lighter sentence on the grounds that Steele didn't have the authority to change the initial five-year sentence.

The 11th U.S. Circuit Court of Appeals ruled the judge could not undo his sentence, and the Supreme Court rejected Lett's appeal of that decision without comment.

A new sentencing hearing is set for Oct. 24, though one of Lett's attorneys said a delay may be needed to prepare arguments.

Attorney Douglas Berman of Ohio State University's Moritz College of Law in Columbus said Monday that defense attorneys are expected to argue Lett initially had ineffective legal representation.

A Justice Department spokesman was not immediately available for comment on the high court's ruling.

At the initial sentencing, Steele noted that Lett had led "an exemplary life up until the time of the offenses and even after," when Lett re-enlisted and served another 17 months before his indictment.

Lett, now 39, pleaded guilty to cocaine possession for his involvement in a cousin's drug operation.

Lett works full time doing fiber optics work at a shipyard in Pascagoula, Miss. His two children, who live with Lett's mother, visit him on weekends. He supports his family as a single parent, his attorney said.



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