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Thursday, September 04, 2008

In Kentucky, Federal Grand Jury Re-indicts Fen-Phen Lawyers, William Gallion and Shirley Cunningham Jr.

Read more here.

Below is an excerpt:

A federal grand jury on Wednesday issued additional charges against two Lexington-area lawyers accused of taking millions of dollars from their former clients in a diet drug settlement.

William Gallion and Shirley Cunningham Jr. were charged in 2007 with one count each of conspiracy to commit wire fraud. On Wednesday, the grand jury charged Gallion and Cunningham with conspiracy and eight new charges of wire fraud.

If convicted, Gallion and Cunningham could now face a maximum of 180 years in prison. Federal prosecutors now say that Gallion and Cunningham took $94 million — an increase of nearly $30 million from the previous indictment — that should have gone to 440 former clients, according to the indictment. However, it is rare for someone to get the maximum sentence.

Gallion and Cunningham were initially accused of taking $65 million from their former clients, and faced a maximum of 20 years.

Editor's comment: for these lawyers, "when it rains, it pours".

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