Ex-LA Doc Pleads Guilty in Kickback Case
10.07.2007 21:01
Computers
- Source: Forbes
A former Brentwood physician pleaded guilty to a federal conspiracy charge on Tuesday for his role in a lawsuit kickback scheme that prosecutors said netted more than $200 million for a major New York law firm. Steven G. Cooperman, 65, entered the plea in federal court. In return, prosecutors will recommend that he be sentenced next year to 1 1/2 years in prison. Cooperman, now of Fairfield, Conn., was convicted of insurance fraud and other crimes in 1999 in an unrelated case. He had been cooperating with the government's ongoing investigation into the secret kickbacks scheme. Prosecutors claimed that the law firm now known as Milberg Weiss paid more than $11.3 million in attorney fee kickbacks between 1984 and 2005 to people who agreed to be plaintiffs in more than 150 lawsuits against companies such as PG&E, United Airlines and Sun Microsystems. Authorities said Cooperman, his wife and other family members were plaintiffs in about 70 class-action and shareholder lawsuits. Prosecutors said he received $6.4 million in kickbacks. On Monday, a former partner in the law firm pleaded guilty to one count of conspiracy that includes obstruction of justice and making false statements under oath. David J. Bershad, 67, of Montclair, N.J., was responsible for overseeing the firm's accounting department and financial affairs. He agreed to forfeit $7.75 million, to pay a $250,000 fine and could face up to five years in federal prison when he is sentenced next June. Another former partner, Steven Schulman, is awaiting trial. The law firm was known as Milberg Weiss Bershad & Schulman before Bershad and Schulman resigned. The firm itself has pleaded not guilty to charges in the case and trial is pending. Copyright 2007 Associated Press. All rights reserved. This material may not be published broadcast, rewritten, or redistributed
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