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Madoff faces 150 years in alleged Ponzi scheme
Lawyer Blog News | 2009/03/11 13:50
Bernard Madoff has been placed under oath in a federal courtroom to answer questions from a judge about potential conflicts of interest with his attorney.


After stating his name and age, the 70-year-old disgraced financier was asked by the judge Tuesday whether he is satisfied with the legal counsel of his lawyer, Ira Sorkin.

"I am," Madoff said.

Sorkin is expected to represent Madoff when the former Wall Street financier pleads guilty on Thursday to swindling investors out of billions of dollars.

Prosecutors have asked the judge to rule on three potential conflicts of interest to clear the way for the plea. One of them involves $900,000 that Sorkin's parents invested with Madoff's firm.



Court rules for prosecutors in speedy trial case
Lawyer Blog News | 2009/03/10 15:52
A Vermont man's freedom from jail could be short-lived after the U.S. Supreme Court ruled Monday that a state ordinarily is not responsible for a public defender's delays in bringing a criminal case to trial.


The court by a 7-2 vote reversed a state Supreme Court decision in favor of Michael Brillon, whose conviction for assaulting his girlfriend was overturned. The state court said Brillon's Sixth Amendment right to a speedy trial was violated after he was jailed for three years and went through six defense attorneys before his trial.

Hours after Monday's decision, Bennington County State's Attorney Erica Marthage filed the paperwork with the Vermont District Court to have Brillon re-arrested. He was released in April after his 12- to 20-year sentence was cut short by the state court's decision.

"It creates a sense that someone gaming the system, like he was, isn't going to be able to get away with it," Marthage said Monday of the Supreme Court ruling. "It puts some faith back into the system."

Marthage said she didn't know how the state court that will consider her motion would rule because the case was so unusual.

The Supreme Court decision, written by Justice Ruth Bader Ginsburg, said taxpayers may foot the bill for a public defender, but the lawyer represents his client. It sent the case back to the Vermont Supreme Court for reconsideration.



Court turns down NYC case against gun industry
Lawyer Blog News | 2009/03/09 17:18
The Supreme Court has turned away pleas by New York City and gun violence victims to hold the firearms industry responsible for selling guns that could end up in illegal markets.


The justices' decision Monday ends lawsuits first filed in 2000. Federal appeals courts in New York and Washington threw out the complaints after Congress passed a law in 2005 giving the gun industry broad immunity against such lawsuits.

The city's lawsuit asked for no monetary damages. It had sought a court order for gun makers to more closely monitor those dealers who frequently sell guns later used to commit crimes.

But the 2nd U.S. Circuit Court of Appeals ruled that federal law provides the gun industry with broad immunity from lawsuits brought by crime victims and violence-plagued cities. The Supreme Court refused to reconsider that decision.

The lawsuit was first brought in June 2000 while Rudy Giuliani was New York mayor. It was delayed due to the Sept. 11, 2001 terrorist attacks on the World Trade Center and because of similar litigation in the state courts.

The city refiled the lawsuit in January 2004, saying manufacturers let handguns reach illegal markets at gun shows in which non-licensed people can sell to other private citizens; through private sales in which background checks are not required; by oversupplying markets where gun regulations are lax, and by having poor overall security.



US urges restraint after court moves against Sudan
Lawyer Blog News | 2009/03/05 16:49
The Obama administration called Wednesday for all parties to the Darfur conflict to exercise restraint after the International Criminal Court issued an arrest warrant for Sudanese President Omar al-Bashir on war crimes charges.


The United States is not a member of the court, but the White House and the State Department said that anyone who has committed atrocities should be held accountable.

"As this process moves forward, we would urge restraint on the part of all parties, including the government of Sudan," White House press secretary Robert Gibbs told reporters. "Further violence against civilians, Sudanese or foreign interests is to be avoided and won't be tolerated."

Gibbs declined to comment on whether President Barack Obama supported the issuance of the warrant, but the State Department said the indictment could help bring peace to the region.

"This can be a helpful step," State Department deputy spokesman Gordon Duguid said. "We will see how it proceeds from here."

Duguid urged all sides to cooperate with the court's decision and added that the United States, which has an embassy but not an ambassador in Khartoum, would review diplomatic contacts with Bashir in light of the ICC arrest warrant, the first issued against a sitting head of state.

"Because we take the court's actions very seriously, any official contacts with President Bashir would have to be carefully reviewed on a case-by-case basis, very mindful of the indictment," Duguid said, noting that the United States believes "it is evident that the government of Sudan has the brunt of the responsibility for what has happened in Darfur."



Madoff trustee asks for firms, property and artwork
Lawyer Blog News | 2009/03/04 16:51
A court-appointed trustee in the case against Bernard Madoff has asked a judge if he may take over ownership of the accused swindler's firm, an associated trading firm, property, artwork and corporate entertainment tickets.


Court documents seen on Tuesday said the trustee, New York lawyer Irving Picard, had made the request with the consent of other civil and criminal investigators as part of efforts to recover assets for Madoff's customers.

Madoff, a once-respected Wall Street trader and investment manager, was arrested and charged with fraud on December 11 after authorities said he confessed to running a $50 billion Ponzi scheme over many years. He is the only person charged in the purported scheme, in which early investors are paid with the money of new clients.

The document filed in U.S. District Court in Manhattan said Picard was seeking control of Bernard L. Madoff Investment Securities LLC (BLMIS) and Primex Holdings LLC "and any membership or ownership interest therein." Primex was a digital trading firm that operated out of Madoff's New York headquarters in what is known as the "Lipstick Building."

The trustee said he wanted Madoff to voluntarily hand over "all of his rights, title and interests" to the firms, property and other assets he listed.

The filing comes after a U.S. judge on Monday partially lifted a freeze on assets of Madoff and his wife Ruth Madoff so he can cooperate with Picard. On Monday, lawyers for Ruth Madoff asserted that her $7 million Manhattan apartment and $62 million in accounts were unrelated to the purported fraud.



Gigantic gem is subject of LA court case
Lawyer Blog News | 2009/03/04 11:51
An 840-pound emerald-encrusted rock will remain in the custody of the Los Angeles County Sheriff's Department while a judge decides which of a half-dozen claimants owns the boulder-sized gem.


The emerald is one of the largest ever found and a judge conceded Tuesday it will take awhile to sort out all of the competing interests. The lawyer for one of the purported owners suggested outside court the gem may be a curse for his client. And the man who first reported it stolen said he was giving up his claims because "I have been threatened."

Larry Biegler, who refused to elaborate on the threats, told Los Angeles County Superior Court Judge John A. Kronstadt he was bowing out of the case. But it was his call to sheriff's deputies reporting that the emerald had been stolen that led to a multi-state caper in which two deputies trucked the mammoth object from Las Vegas.

Another of the claimants, Todd Armstrong of Eagle, Idaho, said outside court that he moved the emerald to Las Vegas after a gem dealer gave it to him as collateral for a shipment of diamonds he paid for but never received. He was trying to sell it when the law arrived.

The parties told the judge that the huge object is worth about $400 million. Lawyers said that museums including the Smithsonian and the Getty have expressed interest in obtaining it for their collections. Its value is as an art object and it can't be broken down to make jewelry, they said.

The emerald was dug up in Brazil in 2001 and became known as the Bahia Emerald. Its first owner was a Brazilian gem trader who made the first sale of it. But after that, its route became muddled. At one point, it wound up in a warehouse in New Orleans that was flooded during Hurricane Katrina.



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