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Legal news from Tuesday, October 5, 2004 |
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Corporations and securities brief ~ PeopleSoft eyes possible deal with Oracle
Amit Patel on October 5, 2004 5:35 PM ET

In Tuesday's corporations and securities law news, a PeopleSoft director indicates the company's board is prepared to negotiate a deal with Oracle Corp. in which the price of takeover would be above the current $7.7 billion offer. Read more about Oracle's hostile takeover bid of PeopleSoft here. AP has more. In other news...
- US and Canadian officials announced the signing of an accord designed to bolster the process by which the countries will refer cases of anticompetitive behavior to each other's authorities. Read the Department of Justice press release announcing the move here. Read the Federal Trade Commission press release here. Read the Competition Bureau of Canada press release here. AFP has more.
- As previously reported on JURIST's Paper Chase, in the first indictments from the massive fraud scandal at dairy giant Parmalat, an Italian judge has ordered two former Grant Thornton auditors to stand trial for false accounting and market rigging. BBC has compiled a list of people targeted by prosecutors in the Parmalat scandal. AP has more.
- As previously reported on JURIST's Paper Chase, Larry Stewart, a US Secret Service ink expert on trial relating to charges that he falsely testified about his role in the Martha Stewart investigation, was found not guilty on Tuesday. Read the indictment against Stewart here [PDF]. JURIST's Paper Chase has background on the Martha Stewart case. AP has more.... As previously reported on JURIST's Paper Chase, Timothy Despain, a former assistant treasurer with Enron, was arraigned Tuesday on conspiracy charges and is expected to plead guilty to the charges. Despain is expected testify against other Enron executive in exchange for immunity from the charges. JURIST's Paper Chase has ongoing coverage of the Enron case. The Houston Business Journal has more.
- US antitrust authorities announced they would not pursue any action in the proposed merger between Canadian brewer Molson, Inc. and American Adolph Coors Co. Molson has a tentative timetable for the merger here. Reuters has more.
Click for previous corporations and securities law news


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Prosecutors drop fraud case against former Alabama governor
Amit Patel on October 5, 2004 4:25 PM ET

Prosecutors dropped their Medicaid fraud case against former Alabama Governor Don Siegelman Tuesday after US District Court Judge U.W. Clemon ruled that there was insufficient evidence to support the conspiracy charge, the only charge outstanding. As reported yesterday on JURIST's Paper Chase, Judge Clemon had delayed jury selection so he could review the evidence behind the conspiracy charge.
Siegelman, who was elected as governor in 1998, was accused of trying to rig bids on lucrative contracts to provide medical care to poor pregnant women in rural Alabama. Siegelman still faces an investigation into other issues in his administration including tax breaks given to a Waste Management, Inc. landfill and approval for HealthSouth to build a hospital in Birmingham. View Siegelmans indictment here [PDF]. The Montgomery Advertiser has continuing coverage of the case. AP has more.
Previously on JURIST's Paper Chase: UPDATE: Alabama Attorney General Troy King has issued a statement deploring Judge Clemon's ruling as a "denial of justice":If a case can be thought of as a jigsaw puzzle and the evidence as its pieces, what has occurred in Tuscaloosa is that the judge systematically removed the most important pieces of the puzzle until the completion of the puzzle was made impossible. As a result, those charged with assembling the now defective puzzle were ethically bound and had no other choice than to drop what was left of the charges. The losers today are the people of Alabama who have the right to have their public officials serve them honorably, to have them held accountable when they do not, or to at least have a full and fair hearing when allegations supported by substantial and credible evidence of wrongdoing are presented. These proceedings began on a dark day and they sadly conclude on an even darker day, a day without justice. Read the full text of King's statement here.


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International brief ~ EU verdict on Turkish accession set for Wednesday; early reports say membership bid may be put on hold
D. Wes Rist on October 5, 2004 11:25 AM ET

The European Commission (EU profile of Turkey here) is expected to publish its report on Turkey's bid for membership of the European Union sometime Wednesday. The report will review efforts made by Turkey to bring its political, legal, and human rights norms into compliance with EU standards and make recommendations on the Turkish bid. Itar-Tass News Agency is reporting that the Commission has in fact reported favorably on efforts taken by Turkey, but will not be not favoring immediate accession, recommending instead that the EU put a hold on admissions to the organization after the planned 2007 admission of Bulgaria and Romania, suggesting that in light of Turkey's efforts to comply with EU standards, it will be the first nation to be considered for admission after the hold, around 2015 to 2020. JURIST's Paper Chase has more on Turkey's bid for accession here. Itar-Tass has more.
In other international legal news...
- Serbian Muslim Military Police Chief Naser Oric (background here) will stand trial at the International Criminal Tribunal for Yugoslavia beginning Wednesday for allegations of war crimes committed against Bosnian Serbs by troops under his command and control. The charges include wanton destruction of cities/villages, plunder of private and public property, and murder and cruel treatment of civilians within an area of control. Read the official ICTY trial order here. Read the ICTY indictment of Oric here.
- Mohamed ElBaradei, director of the International Atomic Energy Agency, stated Monday that South Korea must come clean about any other illicit nuclear testing it has performed in the past and must endeavor not to commit such mistakes again. ElBaradei, who is in Seoul this week for a science and technology conference, met with various South Korean leaders about the revealed nuclear tests conducted in 1982 and 2000 in enriching plutonium and uranium. ElBaradei said that if the tests were purely scientific - as the South Korean government has claimed - then there will be no legal action brought against the government by the IAEA, whose job it is to monitor all countries' use of nuclear technology. ElBaradei stated that further scientific tests would be permitted as long as they were declared to the IAEA in accordance with international law. Channel News Asia has more.
- Russian FSB (official site in Russian) security officials have arrested 11 people in Nizhny Novgorod alleged to be members of Hizb-ut-Tahrir, a radical Islamic organization that was placed on the Russian list of banned entities last year. Hizb-ut-Tahrir is known for its desire to see the current Uzbekistan government replaced by a fundamentalist Islamic regime. The organization had previously declared its intent to do this through non-violent methods, but recent arrests, including those made Monday, have discovered alleged weapons caches, comprising assault rifles and grenade launchers. Human rights groups allege that Hizb-ut-Tahrir is being targeted in order to stamp out radical Islam in Uzbekisitan rather than a legitimate anti-terror effort. ISN has more.


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Legal agenda and live webcasts ~ Tuesday, October 5
Jeannie Shawl on October 5, 2004 5:51 AM ET

Here's a run-down of law-related events, expected developments and live webcasts on JURIST's docket for Tuesday, October 5.
The US Fifth Circuit Court of Appeals will hear oral arguments today on whether Louisiana's rule barring foreigners from taking the state bar exam violates the Constitution. AP has more.
On Capitol Hill, the US Senate will meet at 9 AM ET and will resume consideration of the Intelligence Reform Bill (S 2845). Watch a live webcast (via C-SPAN).... The US House will begin legislative business at 10 AM ET and will consider several bills, including the Bankruptcy Judgeship Act of 2003 (S 878). Watch a live webcast (via C-SPAN).... The US House Judiciary Committee Subcommittee on Courts, the Internet and Intellectual Property will hold a 9:00 AM ET hearing on peer-to-peer piracy on university campuses. Watch a live webcast.... The US Senate Judiciary Committee will hold a 10 AM ET hearing to examine opening the presidency to naturalized Americans. Watch a live webcast.
Senior law enforcement officials and security experts will gather in Cancun for the 73rd Interpol General Assembly. The conference will focus on international offenses requiring global responses, including terrorism, trafficking in human beings, drugs and financial crime. Read an Interpol press release.


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