The Plea Bargaining Blog

Five years ago today, Andrew Fastow pleaded guilty to participation in crimes that contributed to the collapse of Enron. In his plea, Fastow admitted to disguising Enron's deteriorating financial health and engaging in a scheme to defraud the company of millions of dollars for his own benefit. Fastow also entered into an agreement to surrender more than $23 million to the SEC to settle related civil charges. Fastow's plea agreement was the beginning of the end for the Enron conspirators. On January 22, 2004, Richard Causey, former Enron Chief Accounting Officer, was charged with being "a principal architect" of a scheme to mislead investors. On February 19, Jeff Skilling, former Enron CEO, was indicted on 35 counts of fraud, insider trading, and conspiracy. Finally, on July 18, Ken Lay, Enron founder and former CEO, was indicted on eleven counts of conspiracy, making misleading statements, wire fraud, bank fraud, and securities fraud. In early 2005, Causey pleaded gu...

It is with great sadness that we learned today of the death of Griffin B. Bell, an individual aptly named by the New York Times as the “dean of Georgia lawyers.” Judge Bell’s influence in the law extends well beyond Georgia of course. In particular, his reputation of strong principles and independence led him to be a popular choice for internal investigations and an attorney who shaped this ever growing area of the law. As the New York Times noted today, his reputation was such that he established a Special Matters practice at King & Spalding to handle such assignments. It is as a member of the King & Spalding Special Matters Team that I was able to meet Judge Bell and, during my final year with the firm, even had the pleasure of having an office just down the hallway from the former Attorney General. I will remember most his Southern style and his gift for quickly boiling down complex issues to the core. He was always a provider of thoughtful guidance, and he will be missed. T...

According to the Washington Post , the DOJ has reached more than a dozen business-related settlements since November. The climate for business settlements could grow more harsh when Obama appointees seize the reins at the Justice Department, corporate lawyers say. They point to statements by Attorney General-designate Eric H. Holder Jr., who told an audience last month that he would expand the focus of federal prosecutors into corporate suites. A review of 15 agreements involving corporations since early November suggests that much of the alleged misconduct dates back five years or more, provoking questions about why the cases took so long to mature and why resolutions are coming with only weeks left in President Bush's term. . . Justice Department officials said there is nothing unusual about end-of-year settlements. They defend their record in investigating and prosecuting corporate misdeeds. In recent weeks, they announced indictments against five Blackwater Worldwide securit...

Fiat has agreed to pay a $7 million penalty for illegal kickbacks paid to officials of the former Iraqi government by three of its subsidiaries. According to the DOJ , the company will pay the fine as part of a deferred prosecution agreement with the government. Criminal informations were filed today against three Fiat subsidiaries in U.S. District Court for the District of Columbia. Iveco S.p.A. (Iveco) and CNH Italia S.p.A. (CNH Italia) were each charged with one count of conspiracy to commit wire fraud and to violate the books and records provisions of the Foreign Corrupt Practices Act (FCPA). CNH France S.A. (CNH France) was charged with conspiracy to commit wire fraud. Fiat has acknowledged responsibility for the actions of its three subsidiaries, Iveco, CNH Italia and CNH France, whose employees and agents made improper payments to the former Iraqi government in order to obtain contracts with Iraqi ministries to provide industrial pumps, gears and other equipment. The agreement ...

According to the Associated Press , Siemens AG will plead guilty to settle corruption charges brought by the United States Department of Justice. The charges relate to allegations of bribery and falsification of corporate books from 2001 to 2007. According to the report, Siemens AG will pay at least $448.5 million in fines. The Justice Department has accused Siemens of making bribes and trying to falsify its corporate books from 2001 to 2007. It has also accused some of the conglomerate's subsidiaries of bribery, including paying kickbacks to the former Iraqi government to get some of the United Nations Oil-for Food contracts. Siemens and its subsidiaries in Bangladesh, Venezuela and Argentina have agreed to plead guilty on Monday in U.S. District Court in Washington in front of Judge Richard J. Leon. Siemens has agreed to pay $448.5 million in fines, with the three subsidiaries paying at least $500,000 each, according to court papers. A spokeswoman for the U.S. division of Sieme...

The New York Times is reporting that five Guantanamo detainees charged with coordinating the September 11 attacks told a military judge on Monday that they wish to confess in full and enter pleas of guilty. The request, which was the result of hours of private meetings among the detainees, appeared intended to undercut the government’s plan for a high-profile trial while drawing international attention to what some of the five men have said was a desire for martyrdom. But the military judge, Col. Stephen R. Henley of the Army, said a number of legal questions about how the commissions are to deal with capital cases had to be resolved before guilty pleas could be accepted. The case is likely to remain in limbo for weeks or months, presenting the Obama administration with a new issue involving detainees at the naval base at Guantánamo Bay to resolve when it takes office next month. At the start of what had been listed as routine proceedings Monday, Judge Henley said he had received a wr...

MSNBC is reporting that prosecutors offered O.J. Simpson a plea deal before he was convicted that would have resulted in less time behind bars than he now faces. Simpson was convicted and sentenced for kidnapping and assaulting two sports memorabilia dealers with a deadly weapon. O.J. Simpson is headed to prison for at least nine years, but a prosecutor says the former football star could have spent less time behind bars if he had accepted a plea deal before he was convicted. Clark County District Attorney David Roger said Simpson was offered a deal for less prison time than the nine-to 33-year prison terms the graying former football star was sentenced to on Friday for kidnapping and assaulting two sports memorabilia dealers with a deadly weapon. "Mr. Simpson wanted something just short of a public apology," Roger said. "We didn't think that was appropriate." For an interesting discussion of the varying reports in the media regarding how many years Simpson ac...