Milberg Weiss indicted on charges of conspiracy to give kickbacks in class-action cases

Posted on May 19th, 2006

The New York based law firm of Milberg Weiss Bershad & Schulman was indicted in Los Angeles yesterday for twenty years of activities, including a conspiracy to give kickbacks to lead plaintiffs in securities class-action cases. It is alleged that the fraud included payment of over $11 million in kicbacks, disguised as referral fees or other legitimate payments.

Included in the charges are conspiracy, racketeering, mail fraud, money laundering, and filing false tax returns. Melvyn Weiss, a co-founder of the firm, is not named as a defendant, but partners David Bershad and Steven Schulman are.

The firm and the government had been having talks about a deferred-prosecution agreement in order to avoid criminal charges. Lawyers said a deal could not be finalized because of a disagreement on a waiver of attorney-client privilege and allowing the government access to privileged internal records.

The law firm has set up a website regarding the charges: www.milbergweissjustice.com.

Related posts:

  1. Settlement Discussed With Milberg Weiss
  2. Milberg Weiss Partner Pleads Guilty
  3. Attorney pleads guilty to charges related to Milberg Weiss federal investigation
  4. Concerns Arise Over Expert Witness Fees Paid by Milberg Weiss
  5. Legal fees in the KPMG case

Tags: , , , ,

Leave a comment

Note that comments which are abusive to the author or other commenters will not be published. Also, comments promoting any multi-level marketing companies, pyramid schemes, or business opportunity scams will not be published. Please do not assume that the author agrees with or endorses any comments left by others.