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Justice gets wrong statute, pays $100M price
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| Contributor | RP |
| Last Edited | RP Mar 28, 2007 04:37pm |
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| Category | Legal Ruling |
| Media | TV News - CNN |
| News Date | Wednesday, March 28, 2007 06:00:00 PM UTC0:0 |
| Description | Poorly written Justice Department documents cost the federal government more than $100 million in what was supposed to have been the crowning moment of the biggest tax prosecution ever.
Walter Anderson, the telecommunications entrepreneur who admitted hiding hundreds of millions of dollars from the IRS and District of Columbia tax collectors, was sentenced Tuesday to nine years in prison and ordered to repay about $23 million to the city.
But U.S. District Judge Paul Friedman said he couldn't order Anderson to repay the federal government $100 million to $175 million because the Justice Department's binding plea agreement with Anderson listed the wrong statute.
Friedman said he could have worked around that problem by ordering Anderson to repay the money as part of his probation. But prosecutors omitted any discussion of probation -- a common element of plea deals -- from Anderson's paperwork.
"I've come to the conclusion, very reluctantly, that I have no authority to order restitution," Friedman said. "I hope the government will appeal me." |
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