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Legal news from Wednesday, May 11, 2011




Eleventh Circuit strikes bribery charges against ex-governor, ex-HealthSouth CEO
Aman Kakar on May 11, 2011 4:43 PM ET

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[JURIST] The US Court of Appeals for the Eleventh Circuit [official website] on Tuesday reversed two bribery charges [opinion, PDF] against former Alabama governor Don Siegelman [personal profile; JURIST news archive] and former HealthSouth [corporate website] CEO Richard Scrushy [JURIST news archive] and remanded the case for re-sentencing. The court upheld counts for federal funds bribery, depriving others of honest services, Scrushy's bribery of Siegelman and obstruction of justice. However, the court reversed counts based on the allegation that Scrushy used his seat on Alabama's Certificate of Need Review Board to attempt to affect the interests of HealthSouth and its competitors and that this self-dealing was a part of the larger scheme that Siegelman and Scrushy had orchestrated. The court agreed with Siegelman that there was no evidence at trial to link him to Scrushy's self-dealing scheme. The court also did not agree with the Government's post-Skilling theory of Scrushy's alleged bribery of another Health South employee:
The government's case, even in Counts 8 and 9, was always primarily focused on the pay-to-play scheme between Scrushy and Siegelman. The vast majority of the allegations and testimony went to prove this scheme. The government always described the scheme alleged in Counts 8 and 9 as selfdealing, and its attempt now—post-Skilling—to emphasize the alleged bribery of Adams finds some, but not much, support in the proof. The evidence that Adams intended to alter his official actions as a result of the receipt of benefits from Scrushy is insufficient, and Scrushy's convictions on Counts 8 and 9 must be reversed.
Scrushy said that he was pleased [FoxBusiness report] with the reversal of the bribery counts and that he plans to appeal to the Supreme Court [official website] to have the rest of the charges overturned.

Last June, the Supreme Court vacated the 2006 judgments [JURIST report] against Siegelman and Scrushy. Their cases were remanded to the Eleventh Circuit for proceedings consistent with the court's ruling in Skilling v. United States [opinion, PDF; JURIST report]. Siegelman and Scrushy were convicted in 2006 [JURIST report] on federal bribery and corruption charges. The convictions were appealed, and Siegelman had two counts of mail fraud reversed for lack of evidence. The court of appeals later denied a request [JURIST report] by Siegelman and Scrushy for an en banc rehearing of their convictions on charges of corruption.




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Rights group urges Bahrain torture investigation
Dan Taglioli on May 11, 2011 4:43 PM ET

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[JURIST] The government of Bahrain should suspend prosecution of civilians in military courts and set up an impartial commission to investigate torture allegations [press release], Human Rights Watch (HRW) [advocacy website] said Tuesday. A Bahraini military court was set to try 14 prominent government opposition activists Thursday, along with several more activists who are in hiding or exile and will be tried in absentia. Among the charges leveled against them are that they set up "terror groups to topple the royal regime and change the constitution," insulted the army, incited hatred, disseminated false information and illegally took part in rallies without notifying the authorities, according to state-run Bahrain News Agency (BNA) [official website]. Amnesty International has publicly stated [press release] that it "believes many of the defendants are likely to be prisoners of conscience, detained simply for exercising their right to peacefully express their political views in public." Subsequent to their arrests, at least two of the defendants were reportedly maltreated [Reuters report] during their incommunicado detainment, including prominent human rights defender Abdelhadi al-Khawaja, who at a court appearance this week bore visible signs of ill-treatment and perhaps torture, according to HRW. The New York-based rights group said that they could see a number of injuries to al-Khawaja's face, and that he told them he had been beaten and suffered four facial fractures, including one to his jaw that reportedly required four hours of surgery and a six-day stay at the Bahrain Defence Force hospital. BNA has denied the reports as fabricated and politically-motivated. Meanwhile, HRW has asked that Bahraini authorities allow all defendants full access to lawyers, family members and necessary medical care. HRW also noted that Bahrain is a party to the International Covenant on Civil and Political Rights, which prohibits torture, and that the country has ratified the Convention Against Torture.

Six of the opposition leaders were arrested [JURIST report] in March after the government, backed by foreign troops from the Gulf Cooperation Council (GCC) [official website], violently dispersed protesters in the capital of Manana. Many protesters are calling for the removal of the royal family, which has been in power since the 18th century. Last week, UN High Commissioner for Human Rights Navi Pillay [official profile] urged the government of Bahrain to release detained activists [JURIST report] and exercise restraint against protesters. She expressed concern over the prosecution of medical professionals and the death sentences [JURIST report] handed to four activists last month. In April, human rights organizations including HRW and Doctors Without Borders (DWB) [advocacy website] criticized Bahrain [JURIST report] for rampant human rights abuses related to anti-government protests. This week Bahraini King Hamad bin Isa Al Khalifa [official website] announced [JURIST report] that the three-month state of emergency [decree text, in Arabic] put in place [JURIST report] in mid-March in response to growing unrest, will be lifted two weeks early.




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India high court supports death penalty for honor killings
Aman Kakar on May 11, 2011 3:58 PM ET

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[JURIST] The Supreme Court of India [official website] on Monday expressed its support for death penalties for "honor killing" convictions in a ruling [text, PDF] upholding the life sentence for a man convicted of an honor killing. The court affirmed Bhagwan Dass's conviction on the charges of killing his daughter who had walked out of her marriage and began an affair with her cousin. The ruling by Justices Markandey Katju and Gyan Misra advocated classifying honor killings as crimes that come within "the rarest of rare cases deserving death punishment." The court characterized the practice as barbaric and feudal and a slur on the nation. The court advocated for the death penalty as a deterrent and advised that the "gallows" await for those who plan on committing honor killings.

Although lower courts have given death sentences in honor killing cases, the Supreme Court had yet to weigh in on death penalties for honor killings. In April, the Supreme Court urged an end to honor killings [JURIST report] and called the custom wholly illegal. Last June, the Supreme Court ordered the central government and seven state governments to explain the steps they have taken to reduce honor killings [JURIST report]. The order came in response to a petition filed by Shakti Vahini [advocacy website], a non-governmental human rights organization seeking the implementation of stricter laws against the perpetrators of honor killings.




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UN rights official concerned over Syria relief access
Dan Taglioli on May 11, 2011 3:29 PM ET

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[JURIST] A UN rights official expressed concern [UN News Centre report] Tuesday regarding humanitarian aid access to Syrian cities where armed forces have been trying to put down anti-government protests. Under-Secretary-General for Humanitarian Affairs and UN Emergency Relief Coordinator Valerie Amos [official profile] issued a statement after the proposed relief mission to Deraa, the city where protests have been most extensive, failed to move forward on Sunday despite repeated entreaties to Syrian authorities for access. "The main objective of the mission was to independently assess the situation and plan a response if needed," Amos reported in her statement, but even a direct phone call from UN Secretary-General Ban Ki-moon [official profile] to Syrian President Bashar al-Assad [Al Jazeera profile] last week regarding the proposed assessment proved unavailing. Citing reports of Syrian tank deployment and shelling of residential areas, the humanitarian relief chief said she was worried that security operations in the cities could be preventing supplies of basic social services, especially hospital access for the many wounded civilians. Amos admitted she had no confirmation of the numbers, but Syrian human rights groups claim that hundreds of civilians have been killed and thousands more have been arrested or wounded.

Syria has struggled violently to end anti-government protests which began earlier this year. At the end of April the UN Human Rights Council (UNHRC) [official website], in an emergency special session, publicly condemned the violence [JURIST report] used by Syrian authorities against peaceful protesters. Also last month UN High Commissioner for Human Rights Navi Pillay [official profile] called for Syria to immediately halt the killings [JURIST report] and violence against civilian protesters in response to the fatal shootings of peaceful anti-government protesters. Assad has recently ended the 48-year-old state of emergency [JURIST report], an event of significant historical note, but protests have continued.




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India high court denies harsher sentences in Bhopal gas case
Jaclyn Belczyk on May 11, 2011 3:10 PM ET

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[JURIST] The Supreme Court of India [official website] on Wednesday dismissed [order, PDF] a government petition to impose harsher sentences on those convicted for their role in the 1984 Bhopal chemical spill disaster [BBC backgrounder; JURIST news archive]. Seven former employees of US chemical producer Union Carbide [corporate website] were convicted [JURIST report] in June on charges of "death by negligence" and sentenced to two years in prison and ordered to pay USD $2,100. The sentences were decried as too lenient, and the Supreme Court agreed in August to reconsider a 1996 ruling [JURIST report] allowing the accused to be charged with negligence instead of culpable homicide. The Supreme Court, however, found Wednesday that there was no reason to overturn the 1996 ruling, dismissing the petition.

The convictions were the first related to the Bhopal disaster in which nearly 3,800 people were killed when toxic gas was accidentally released in the middle of the night by a chemical plant owned by a Union Carbide subsidiary company. Upwards of 15,000 others later died from exposure to the gas, and 50,000 were left permanently disabled. In November, the Indian government announced that it had authorized additional compensation [JURIST report] for the victims of the chemical spill. The new package includes USD $15.8 million, adding to the original disbursement in June of USD $148 million. In July, the Indian government apologized for improperly dumping waste [JURIST report] related to the Bhopal incident.




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US hedge fund founder convicted of insider trading
Jaclyn Belczyk on May 11, 2011 12:50 PM ET

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[JURIST] A federal jury on Wednesday convicted [press release, PDF] Galleon Group hedge fund founder Raj Rajaratnam on all 14 counts of insider trading. The jury in the US District Court for the Southern District of New York [official website] found that Rajaratnam orchestrated the largest hedge fund insider trading case in US history, finding him guilty of five counts of conspiracy to commit securities fraud and nine counts of securities fraud. US Attorney Preet Bharara said:
The message today is clear—there are rules and there are laws, and they apply to everyone, no matter who you are or how much money you have. Unlawful insider trading should be offensive to everyone who believes in, and relies on, the market. It cheats the ordinary investor, victimizes the companies whose information is stolen, and is an affront not only to the fairness of the market, but the rule of law. In just over 18 months, this office has charged 47 individuals with insider trading crimes; Rajaratnam is the 35th person to be convicted. We will continue to pursue and prosecute those who believe they are both above the law and too smart to get caught.
Rajaratnam faces a maximum sentence of 205 years in prison. Sentencing is scheduled for July 29. His lawyer plans to appeal [Bloomberg report].

Several other defendants have pleaded guilty in connection with the case. Danielle Chiesi pleaded guilty [JURIST report] in January. Former IBM [corporate website] senior vice president Robert Moffat was sentenced to six months in prison in September and ordered him to pay a $50,000 fine for his role in the scheme after pleading guilty [JURIST reports] in March 2010. Former Intel Capital [corporate website] executive Rajiv Goel pleaded guilty [JURIST report] to insider trading charges in February 2010. Rajaratnam, Chiesi, Goel and Moffat were arrested in October 2009 and charged [complaint, PDF] along with two other individuals and two business entities with insider trading. The complaint alleged that the individuals provided Galleon Group and another hedge fund with material nonpublic information about several corporations upon which the funds traded, generating $25 million in illicit gain. Rajaratnam and Chiesi originally pleaded not guilty [JURIST report] in December 2009 after being indicted for insider trading.




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Federal judge blocks Utah immigration law
Jaclyn Belczyk on May 11, 2011 11:54 AM ET

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[JURIST] A judge for the US District Court for the District of Utah [official website] on Tuesday blocked the state's controversial immigration law [HB 497 materials; JURIST news archive], less than 24 hours after it took effect. Judge Clark Waddoups issued a temporary restraining order [Salt Lake Tribune report] at the request of the American Civil Liberties Union (ACLU), the National Immigration Law Center (NILC) [advocacy websites] and other plaintiffs that challenged the law [JURIST report] last week. The bill, which has been compared to the Arizona immigration law [SB 1070 materials; JURIST news archive], was signed into law [JURIST report] in March by Governor Gary Herbert [official website] and requires police to check the immigration status of anyone arrested for an alleged felony or serious misdemeanor. The lawsuit claims that the law unconstitutionally interferes with federal powers over immigration enforcement and violates the Fourth Amendment search and seizure provision and the Equal Protection clause of the US Constitution. A hearing for a preliminary injunction was scheduled for July 14.

Several other state legislatures have also acted recently to implement so-called "Arizona style" immigration laws. Last month, the Indiana House of Representatives [official website] approved legislation [JURIST report] to revoke tax credits from businesses that hire illegal immigrants and require the use of the E-verify System [official website] to check the eligibility status of employees. Also in April, the Georgia General Assembly [official website] approved a bill requiring police to check the immigration status of anyone they have probable cause to believe has committed a criminal offense and requiring businesses to use E-Verify to check the immigration status of potential employees. Similar legislation has also been approved in Alabama, Virginia and Oklahoma [JURIST reports]. Arizona's law is currently enjoined, and Governor Jan Brewer has pledged to appeal to the US Supreme Court [JURIST reports].




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Georgia judge reverses decision, permits religious headwear in courtroom
John Paul Putney on May 11, 2011 10:22 AM ET

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[JURIST] A Georgia state court judge on Monday reversed his earlier decision blocking a Muslim man from entering his courtroom on three separate occasions on account of the man's religious headwear. Troy "Tariq" Montgomery wears a tight-fitting cap called a kufi—a traditional Muslim symbol of humility. Henry County State Court Judge James Chafin originally requested Montgomery show proof that wearing the kufi is required [AJC report]. The Judicial Council of Georgia decided to allow headwear for religious or medical reasons [AP report] in July 2009 following a similar dispute in December 2008 when a Muslim woman was arrested [JURIST report] after refusing to remove her headscarf in court [Times Georgian report]. Montgomery, who is contesting a speeding ticket, indicated he was surprised by the reversal and hopes no one else has to defend wearing Islamic attire in court.

The wearing of traditional religious clothing in court rooms and other public places has been highly contested in the US and around the world. In March, the Supreme Court of Canada agreed to review a lower court order requiring a Muslim woman to remove her niqab [JURIST report] while testifying. The Court of Appeal for Ontario ruled [JURIST report] that a witness does not have to remove her veil unless the failure to do so will prevent the accused from receiving a fair trial, and should be determined on a case-by-case basis. In December, the American Civil Liberties Union of Georgia (ACLUGA) [advocacy website] filed a lawsuit on behalf of a Muslim woman [JURIST report] who was arrested for refusing to remove her headscarf in court. In October, the French Constitutional Council ruled [JURIST report] that a bill making it illegal to wear the Islamic burqa, niqab or other full face veils in public, conforms with the Constitution. Earlier that month, a Dutch politician suggested that the Netherlands will ban the burqa [JURIST report] as part of the government's plan to form a minority coalition. Last May, the US Court of Appeals for the Ninth Circuit ruled [JURIST report] that a Muslim woman's religious rights were not violated by police officers when she was forced to remove her headscarf while being detained in a holding cell. In April 2010, a judge for the US District Court for the Eastern District of Michigan dismissed [JURIST report] a lawsuit against a Michigan judge who ordered a Muslim woman to remove her headscarf in court.




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Niger court drops corruption charges against ex-president Tandja
John Paul Putney on May 11, 2011 9:27 AM ET

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[JURIST] The appeals court in Niger's capital Niamey ordered the release of former president Mamadou Tandja [BBC profile] Tuesday after dropping all charges against the ousted leader. Tandja has been in custody for 14 months [AP report] following a military coup [JURIST report] in February 2010. The military junta charged Tandja with corruption [Reuters report] following his removal, based on a junta investigation that found USD $128 million was stolen during Tandja's 10-year presidency. The appeals court ruled that it was impossible to try a head of state after leaving office. The prosecution has not reacted to Tandja's release.

In November, voters in Niger have overwhelmingly approved a new constitution [JURIST report]. The Supreme Council for the Restoration of Democracy (CSRD) suspended the previous constitution [JURIST reports], which allowed Tandja to remain in office for three more years and to run in any subsequent elections. The constitution is Niger's seventh since independence from France in 1960. In September 2009, members of Nigerien opposition parties said that police had detained 30 former opposition lawmakers allegedly at the behest of Tandja. The 30 former members of parliament were arrested on charges of embezzlement [JURIST report], but were likely being targeted for their dissidence, as they refused to recognize Tandja's expansion of powers. In February of last year, Nigerien rights group, the United Front for the Safeguard of Democratic Assets (Fusad), pushed for the prosecution [JURIST report] of Tandja on treason charges and corruption violating the constitution shortly after the coup.




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