| Fen-phen lawyers must pay millions
LOUISVILLE - Three attorneys accused of bilking their clients in a diet drug lawsuit settlement must repay at least $62.5 million in settlement funds and interest, a judge ruled Friday. Special Judge William Wehr ordered William J. Gallion, 56, Shirley A. Cunningham Jr., 52, and Melbourne Mills Jr., 76, to repay $42 million taken from the settlement and $20.5 that they put into a corporation they set up, the Kentucky Fund for Healthy Living. Wehr said the attorneys must also pay 8 percent interest on the money for the six years they had it. The attorneys are being sued by about 400 former clients who claim the lawyers took too much of a $200 million fen-phen settlement. A federal grand jury indicted the attorneys last month, charging them with conspiring to commit wire fraud in representing more than 400 people in a lawsuit over the diet drug combination.
Civil case to wait on federal trial
A judge has postponed the trial of a lawsuit filed against two minority owners of Preakness winner Curlin and a third lawyer charged with bilking clients out millions of dollars in a fen-phen lawsuit. In a ruling issued Monday, Special Judge William Wehr postponed the civil trial scheduled for September that would decide damages against attorneys William J. Gallion, 56, Shirley A. Cunningham Jr., 52, and Melbourne Mills Jr., 76. Wehr said the trial would be rescheduled after criminal charges against the men are resolved. A trial in federal court on those counts is set to begin in October. Gallion and Cunningham own a 20 percent stake in Curlin, which won the Preakness Stakes, second leg of the Triple Crown, in May. Former clients who claim the lawyers took too much money as part of a $200 million fen-phen settlement are suing the attorneys.
Judge considering postponing fen-phen civil case
Special Judge William Wehr said the civil trial could be delayed until a federal fraud case against the attorneys is settled.
A federal grand jury indicted the attorneys last month, charging them with conspiring to commit wire fraud in representing more than 400 people in a lawsuit over the diet drug fen-phen. The lawyers were temporarily suspended from practicing law by the Kentucky Bar Association. The lawyers have pleaded not guilty.
Wehr said the lawyers could be placed in a difficult position if the civil trial began before the criminal trial.
Lawyers for Gallion, Mills and Cunningham argued that having the civil trial before the criminal trial could force their clients to choose between their right to testify on their own behalf and their right not to incriminate themselves.
Fen-phen lawyers ordered to pay $62M
BURLINGTON - Three attorneys accused of bilking their clients in a diet drug settlement must repay at least $62.5 million, a judge ruled Friday. Special Judge William Wehr ordered William J. Gallion, 56; Shirley A. Cunningham Jr., 52, and Melbourne Mills Jr., 76, to repay $42 million taken from the settlement and $20.5 they put into a corporation, the Kentucky Fund for Healthy Living. The attorneys are being sued by about 400 former clients who claim the lawyers took too much as part of a $200 million fen-phen settlement. .
Judge delays damages trial in fen-phen case
A judge has postponed the civil trial of two minority owners of Preakness winner Curlin and a third lawyer. The three allegedly bilked clients out millions of dollars in a fen-phen lawsuit. Special Judge William Wehr postponed the September trial date to decide damages against attorneys 56-year-old William Gallion, 52-year-old Shirley Cunningham, and 76-year-old Melbourne Mills. Wehr says the civil action would be rescheduled after criminal charges against the men are resolved. A trial in federal court is set to begin in October. Gallion and Cunningham own a 20 percent stake in Curlin. The attorneys are being sued by former clients who claim the lawyers took too much money as part of a $200 million fen-phen settlement.
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Judge: Fen-Phen lawyers owe $62 million
Three attorneys accused of bilking their clients in a diet drug settlement must repay at least $62.1 million in settlement funds and interest, a judge ruled Friday. Special Judge William Wehr ordered William J. Gallion, 56, Shirley A. Cunningham Jr., 52, and Melbourne Mills Jr., 76, to repay $42 million taken from the settlement and $20.1 million in interest. Wehr said the interest was 8 percent over the six years the attorneys had the funds. The attorneys are being sued by about 400 former clients who claim the lawyers took too much money as part of a $200 million fen-phen settlement. Gallion and Cunningham own a 20 percent stake in Curlin, who won the second leg of the Triple Crown in May. A federal grand jury indicted the attorneys last month, charging them with conspiring to commit wire fraud in representing more than 400 people in a lawsuit over the diet drug.
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