ABA's White Collar Conference

So the ABA's big White Collar Conference is back at the Eden Roc this Wednesday through Friday.  Over 1000 lawyers come to schmooze, get CLEs, and to go to the parties at night all along Miami Beach. 

One party of note is at the Blues Bar at the National Hotel at 9:30pm where there will be the annual Steve Chaykin toast.  This year, the name will be changed to the Chaykin/Sharpstein toast....

In substantive news, both AG Holder and the Republicans are trying to get serious about sentencing reform.  From the NY Times:

Shortly after Senator Rand Paul filed suit last month against the Obama administration to stop its electronic dragnet of American phone records, he sat down for lunch with Attorney General Eric H. Holder Jr. in his private dining room at the Justice Department.

Mr. Paul, a Kentucky Republican, is one of the Obama administration’s most vocal critics. But their discussion focused on an issue on which they have found common cause: eliminating mandatory minimum sentences for nonviolent drug offenders.

The two men are unlikely allies. Their partnership unites the nation’s first African-American attorney general, who sees his legacy in a renewed focus on civil rights, and some of Congress’s most prominent libertarians, who have accused the Obama administration of trampling on personal freedom with drones, wiretaps, tracking devices and too much government.

While a range of judges, prosecutors and public defenders have for years raised concerns about disparities in punishment, it is this alliance that may make politically possible the most significant liberalization of sentencing laws since President Richard M. Nixon declared war on drugs.

I wanted the name to be Neiman Marcus...

...but my vote doesn't count I guess.

Friends of the blog and excellent lawyers Jeff Marcus, Jeff Neiman, and Dan Rashbaum joined forces to start Marcus, Neiman and Rashbaum.

Law360 covers it here:

Three former federal prosecutors with experience in tax, securities and health care have joined forces to create Marcus Neiman & Rashbaum LLP, a South Florida white collar litigation boutique firm with offices in Miami and Fort Lauderdale, the firm announced Monday.
Jeffrey Marcus, Jeffrey Neiman and Daniel Rashbaum, who met while working several years ago at the U.S. Attorney's Office in the Southern District of Florida, opened the doors of their new firm last week. Collectively, they say they have tried more than 75 cases to verdict.
“For me, personally, being able to partner with two very talented white collar lawyers with the experience we all have was a tremendous opportunity,” Marcus, who most recently headed the white collar group at Kenny Nachwalter PA, told Law360.

Meantime, things must be going well at the new firm as Neiman is eating lots of sushi.  Via the DBR:

When Fort Lauderdale attorney Jeff Neiman had a craving for sushi, he jumped in his car and drove to Sushi Rock Cafe a mile up Las Olas Boulevard.
Now, Neiman can just walk to Sky Thai Sushi, the first and only sushi restaurant within walking distance of Fort Lauderdale's power lunch crowd.
"It fills a void for what we need in walking steps of our downtown—good quality sushi," said Neiman, who just formed a litigation boutique with two other former federal prosecutors, Jeffrey Marcus and Daniel Rashbaum. "Given its location, it's going to be hard for Sky Thai Sushi not to attract attorneys and other professionals."

In other news, the Sun-Sentinel covers the sentencing of psychic Rose Marks:

Convicted psychic swindler Rose Marks was sentenced to just over 10 years in federal prison Monday for defrauding clients of her family's fortune-telling businesses out of more than $17.8 million.
Looking frail and downtrodden, Marks, 62, of Fort Lauderdale, sobbed as she apologized to her victims, her family and everyone she hurt, saying her former clients had been some of her best and closest friends.
"At the time, I didn't realize what I was doing was wrong," she said, begging the judge for mercy. "Now, I realize that I caused a lot of hurt and disappointment."
Handcuffed, dressed in dark blue jail scrubs and with her hair pulled back in a ponytail, Marks began to cry even before the judge got on the bench. At times, she looked like she was having a difficult time breathing.
Marks has been locked up since September when a jury found her guilty of 14 charges after a bizarre monthlong trial.

Finally, the Tampa Bay Times is covering the pressing of Florida Senators for confirmation of judges:

The liberal group Progress Florida has organized letter campaigns to Sens. Marco Rubio and Bill Nelson urging them to help speed along five judicial nominees.
"Any observer of lawmaking in Florida has learned by now that no matter what happens in our Legislature, the final decision when it comes to laws that affect our day-to-day lives is more often than not made by a judge. That’s why our courts matter," said Mark Ferrulo, the group's executive director.

Monday news and notes

1.  The Supreme Court this morning will hear the death penalty case of Freddi Lee Hall:

The US Supreme Court is turning its attention to capital punishment this week, with the justices taking up a case examining whether Florida is engaging in cruel and unusual punishment by seeking to execute a condemned prisoner who may be mentally retarded.
The high court declared in 2002 that the Eighth Amendment barred use of the death penalty for anyone with mental retardation. But the court left it to each state to decide how best to determine which defendants qualify as “mentally retarded” for purposes of the death penalty.
On Monday, lawyers for death row inmate Freddie Lee Hall are set to argue that Florida uses an unacceptable method to decide who is – and who isn’t – mentally retarded. The argument will be presented by former US Solicitor General Seth Waxman.
The case is a potential landmark because it could establish a national standard for executions involving individuals with mental retardation. Or it could reaffirm that states retain discretion to decide for themselves who to execute.
If a majority of justices set a national standard it would open new avenues for lawyers seeking to halt executions in a variety of cases in Florida and other states.

2. Chief Judge Federico Moreno had two big rulings on Friday -- one involving JP Morgan and one involving the homeless.  Here's a little about the homeless ruling:

U.S. Judge Federico Moreno on Friday approved changes that will strip the homeless of some of the life-sustaining rights they were granted through a historic settlement reached in Miami almost two decades ago.
Police will now be able to stop homeless people from building fires in parks to cook, or from building makeshift tents to sleep in. The homeless can still sleep on sidewalks, but not if they block the path of pedestrians.
If homeless people are within a quarter-mile of a public restroom, they can no longer expose themselves to urinate or to clean. And convicted sex offenders who are homeless will no longer receive the same life-sustaining benefits as other homeless people.
Moreno’s approval followed a vote in January by Miami city commissioners to go along with the agreement worked out between the city and the American Civil Liberties Union.

Read more here: http://www.miamiherald.com/2014/02/28/3965387/miamis-homeless-stripped-of-some.html#storylink=cpy

 3.  Justices Ginsburg and Scalia celebrate Verdi:

When Supreme Court Justice Antonin Scalia is waiting patiently for his spoonful of rigatoni and scallops, too, you know you’re in for a real Italian party. But what else would you expect at a dinner in honor of a 200-year-old Italian rock star?
On Thursday, the Washington Chorus’s “The Essential Verdi” gala held at the Italian Embassy was dedicated to il Tricolore. Scalia, along with fellow Supreme Court Justice and opera aficionado Ruth Bader Ginsburg and a hundred other music lovers, celebrated another famous Italian, composer Giuseppe Verdi, described to this novice as “The Bruce Springsteen [who's, you guessed it, Italian] of Italy,” while sipping on Italian wine and dining on Italian food. The five-course meal was peppered heavily with performances as part of the chorus’s annual “essential week,” this year dedicated to Verdi, which culminated in a performance at the Kennedy Center on Sunday.
The national pride then was hardly a surprise, although the night held many. The first came as the crowd settled into their seats. As the few non-Italians at Table 32 took a first bite of gnocchi, without warning the chorus members embedded throughout the grand atrium shot up from their seats and commenced to harmonizing. “This is their version of a flash mob,” one guest joked.

4.  The dangers of Facebook can be seen in this state case.  I feel bad for the dad and daughter here:

 Call it the biggest Facebook mistake ever. A daughter’s snarky status update has cost her father the $80,000 settlement he won in an age-discrimination lawsuit.

According to the Miami Herald, Patrick Snay, 69, was the headmaster at Gulliver Preparatory School in Miami for several years, but in 2010, the school didn’t renew his contract. Snay sued his former employer for age discrimination and won a settlement of $80,000 in November 2011. The agreement contained a standard confidentiality clause, prohibiting Snay or the school from talking about the case.

However, Snay’s daughter, Dana, now at Boston College and a part-time Starbucks barista, couldn’t resist bragging about the case on Facebook. “Mama and Papa Snay won the case against Gulliver,” she wrote. “Gulliver is now officially paying for my vacation to Europe this summer. SUCK IT.”

5.  John Pacenti covers the Kaley decision here.  The Justices got this one wrong, but Chief Justice's Roberts' dissent is strong:

Federal prosecutors, when they [*22] rise in court, represent the people of the United States. But so do defense lawyers — one at a time. In my view, the Court's opinion pays insufficient respect to the importance of an independent bar as a check on prosecutorial abuse and government overreaching. Granting the Government the power to take away a defendant's chosen advocate strikes at the heart of that significant role. I would not do it, and so respectfully dissent. 

Robin Rosenberg officially nominated to District Bench (UPDATED w video from Supreme Court)

Congrats to Judge Rosenberg, who will be filling Judge Jordan's seat but likely sitting in Ft. Pierce.  Our previous coverage is here.

In other news:

• Former Mayor (and probation officer) Michael Pizzi's trial is continued till July.  (via Miami Herald)
• Rogerio Scotton was convicted of all charges before Judge Rosenbaum in Ft. Lauderdale.  This was the racecar driver representing himself who tried to introduce sex tapes to prove his marriage was not fraudulent.  Problem was: there were no sex tapes.  (via the Sun-Sentinel)

• Rumpole has an interesting post about the Luis Alvarez trial from 30 years ago.  Check it out. 

• Did you know it was a crime to "harangue" a Supreme Court Justice in the Supreme Court?  This guy got charged with the crime yesterday.  Via CNN:

Money is not speech," he reportedly said. "Overturn 'Citizens United!'" referring to a 2010 high court decision loosening a century of federal restrictions on corporate spending by "independent" groups like businesses and unions.

He was only able say a few words before police escorted him from the courtroom, and did not resist.

Supreme Court spokeswoman Kathy Arberg identified the man as Noah Newkirk of Los Angeles.

Newkirk has been charged with violating federal law that makes it a crime to "harangue" or utter "loud threatening or abusive language in the Supreme Court Building."

The justices ignored the incident.

The court's official written transcript of the argument made no mention of the remarks.

Such outbursts are rare.

Court officials say the last time it happened was eight years ago, during an oral argument over a federal law restricting a certain type of later-term abortion procedure.

A similar interruption occurred about two decades ago.

The courtroom has about 330 seats available to the public. Court security instructs spectators before each public session to remain seated, not to speak, or demonstrate.

UPDATE -- Wow, someone snuck in a video recorder and took this video from inside the Supreme Court:

BREAKING -- Supremes decide Kaley this morning

Here is the opinion

The Eleventh Circuit is affirmed. The case is remanded; Justice Kagan writes for the Court. Vote is six to three. Roberts dissents, joined by Sotomayor and Breyer.  Very interesting lineup.

Will write more when I have had a chance to read it, but here is the holding:

When challenging the legality of a §853(e)(1) pre-trial asset seizure, a criminal defendant who has been indicted is not constitutionally entitled to contest a grand jury’s determination of probable causeto believe the defendant committed the crimes charged.

What was found in El Chapo's home? (UPDATED)

UPDATED -- well, thanks to the comments, it looks like the pictures are not from El Chapo's home, but from a variety of cases.  They're still cool though.

A lot of money and gold (even gold-plated guns):

 

And even tigers and crazy hot tubs:





Insane.

In other news, friends of the blog, Alfred Spellman and Billy Corben debuted "The Tanning of America" last night on VH1. You should definitely check it out:

Get More:
The Tanning of America, Music News, Rock Docs

"Even though they threw me under the bus … There's a certain sense of unease about acquiring a house in this fashion."

That's Patrick Coulton after moving into his former lawyer's house.  Paula McMahon has the interesting story:


Patrick Coulton's lawyers ripped him off to the tune of $275,000 and left him to rot in prison.
But Coulton is getting payback: He now lives in his former lawyer's home — a three-bedroom house in Miramar that he will eventually own as part of a court-ordered punishment of the two misbehaving attorneys.
"Even though they threw me under the bus … There's a certain sense of unease about acquiring a house in this fashion," Coulton said after moving in last week. "I almost feel sorry for them."

The way Coulton and two federal judges tell it, this is the story of two very bad lawyers — Emmanuel Roy and Peter Mayas — and one very good one, Paul Petruzzi.
"Guys like them are the reason people hate lawyers," Petruzzi said. "They took everything from him and his family … I took it personally because this is what I do for a living. Lawyers are supposed to help people."


In other news, the DOJ is treating its discovery handbook the same way it treats discovery.  Its not turning it over without a fight:


The National Association of Criminal Defense Lawyers today sued the U.S. Department of Justice over public access to a criminal discovery "blue book" that was written after the collapse of the case against Ted Stevens.
The Justice Department last year turned down a request from the NACDL for a copy of the Federal Criminal Discovery Blue Book. The lawsuit was filed today in U.S. District Court for the District of Columbia.
Justice Department officials, according to the complaint, cited the book as an example of why federal legislation was unnecessary to prevent future discovery abuses among prosecutors.
During a hearing on Capitol Hill, in 2012, the Justice Department said the blue book was "distributed to prosecutors nationwide in 2011" and "is now electronically available on the desktop of every federal prosecutor and paralegal," according to the NACDL complaint.
"The due process rights of the American people, and how powerful federal prosecutors have been instructed as relates to the safeguarding of those rights, is a matter of utmost Constitutional concern to the public," NACDL President Jerry Cox said in a written statement. "The 'trust us' approach is simply unacceptable. And it is certainly an insufficient basis upon which to resist bipartisan congressional interest in codifying prosecutors’ duty to disclose."

NACDL is represented by the excellent Kerri Ruttenberg.

Thursday News and Notes

1.  Douglas Bates is going to plead guilty after seeing how the Kitterman trial went.  Paula McMahone covers the development:

Douglas Bates, 55, a Plantation lawyer who lives in Parkland, was indicted in August on the conspiracy charge and three separate wire fraud counts. His trial was scheduled to begin Monday in federal court in West Palm Beach.
But prosecutors filed updated court records on Wednesday charging Bates with the lone conspiracy count and U.S. District Judge Donald Middlebrooks scheduled a change-of-plea hearing for 11 a.m. Thursday, a sign that Bates has reached a plea agreement with the government.
The charge carries a maximum punishment of five years in federal prison and significant fines. A felony conviction would also lead to Bates' disbarment from practicing law.
His decision to plead guilty comes a week after a jury found Christina Kitterman, an attorney who formerly worked for Rothstein, guilty of three counts of wire fraud. She could face nine years or more in prison when she is sentenced later this year, prosecutors said.

2.  Fane Lozman is not a happy camper, even after winning in the Supreme Court (from the DBR):

Fane Lozman won a U.S. Supreme Court decision finding his floating home was a house and not boat, but he said he's still not getting justice after a federal magistrate valued his loss at $7,500.
Lozman offered advertisements of comparable floating homes in the Florida Keys priced from $185,000 to $265,000 in a motion filed Tuesday to vacate U.S. Magistrate Judge Lurana Snow's report.
The West Palm Beach judge used a 5-year-old report ordered by a federal judge when Lozman's floating home, which had no engine, was originally seized as a maritime vessel by the U.S. Marshals Service in Riviera Beach.
"Are they pissed off I got them reversed? Now I'm being punished for winning this," Lozman told the Daily Business Review. "This is pathetic."
The 57-foot, two-story structure was towed to the Miami River by the city and set aflame in 2009 in a legal dispute that filled state and federal court files. Riviera Beach and federal authorities contended they had the right to seize the property under maritime law.
U.S. District Judge William Dimitrouleas in Fort Lauderdale sided with the city, but Lozman appealed. He had retired after making millions of dollars during the tech boom as a stock trader and made his floating home a cause celebre.

3.  Roy Black has an excellent post, explaining how to cross the sympathetic witness.  From the intro to the lengthy post on the SAC insider trading trial:

The government’s star witness and “insider” is Dr. Sidney Gilman, an 81 year old drug researcher who long sought a cure for Alzheimer’s and had published nine books and 240 articles during a highly distinguished career. Gilman testified that he at first “accidentally” passed confidential information to Martoma. He claimed he “slipped” in telling him about the deleterious side effects of an experimental Alzheimer’s drug. He admitted that after his slip he knowingly gave further detailed data on the drug’s failed clinical trial.
Gilman appears grandfatherly, vulnerable and fragile and has been taking anti-cancer drugs. A defense lawyer’s worst nightmare. And the government did their best to elevate Gilman while casting Martoma in an ugly light. Gilman testified that Martoma reminded him of his eldest son who had committed suicide, and suggested that Martoma used this to seduce Gilman, squarely placing most of the blame on their target Martoma. The government’s theme was that Martoma took advantage of a befuddled sick old man.
Despite the government’s efforts to paint him in a good light, Gilman came to the witness stand toting a lot of baggage. The government needed his testimony and gave Gilman a sweet deal. He received a non-prosecution agreement, a settlement with regulators requiring only repaying his consulting fees and retirement from the University of Michigan Medical Center in lieu of being fired. A pretty good global resolution of his myriad problems. All superior benefits the defense lawyer must explore on cross.
There are high stakes in this cross examination for Martoma because a month earlier, another former SAC employee, Michael S. Steinberg, was convicted of insider trading. Matoma’s lawyers are well aware that caution must be abandoned. This cross could go either way and maybe the difference between going home and 20 years in a federal facility.

4.  Rumpole posted about an elderly nun being sentenced to federal prison.  Is this insane or is it me?  From the Chicago Tribune:

A U.S. judge sentenced an 84-year-old nun, Sister Megan Rice, on Tuesday to 35 months in prison for breaking into a Tennessee military facility used to store enriched uranium for nuclear bombs.
...
Rice asked the judge not to take her age into consideration when handing out the sentence.
"To remain in prison for the rest of my life would be the greatest honor," the nun said in court. "I hope that happens."
Rice and the others admitted to spray painting peace slogans and hammering on exterior walls of the facility. When a guard confronted them, they offered him food and began singing.
The three were convicted by a federal jury last May of damaging national defense premises under the sabotage act, which carries a prison sentence of up to 20 years, and of causing more than $1,000 of damage to U.S. government property.
Prosecutors contended the break-in at the primary U.S. site for processing and storage of enriched uranium disrupted operations, endangered U.S. national security and caused physical damage.
Dozens of supporters held a prayer vigil for the group outside the courthouse.
Federal sentencing guidelines called for Rice to receive up to a little more than seven years in prison; Walli, 65, more than nine years; and Boertje-Obed, 58, more than eight years. The defendants have been in custody since their convictions.

5.  And here's your moment of blog zen: