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East Chicago-casino settlement up in air

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Indiana Lawyer Rehearing

"RICO case nets $108M in damages" IL March 17-30, 2010

Marion Superior Judge David Shaheed on April 19 declined to immediately decide on the state's request to set aside a partial settlement in a dispute about East Chicago casino revenues.

The Attorney General's Office objects to a lawsuit settlement filed between the City of East Chicago and for-profit company Second Century that received about $16 million in casino revenue since the late 1990s. The AG wants Judge Shaheed to set aside the settlement granted April 8, specifically because the city council had rejected the settlement in March with a 5-4 vote. If approved, the settlement would release about $8 million in remaining funds. Of that, 54 percent is to go to the city administration and 46 percent to Second Century owners. In addition, the casino revenue stream is being redirected to the city without any accounting of how the money's been spent so far or how it might be spent in the future.

This case is part of a larger investigation into public corruption in East Chicago, which so far has been highlighted by the AG's recent victory against former mayor Robert Pastrick and aides in a federal civil racketeering case. In March, a federal judge ordered that they pay $108 million. While this Second Century case is separate, it involves most of the same players and the casino revenue that's been a part of the entire line of litigation. The AG's Office says it was not consulted on the settlement between East Chicago and Second Century.

Briefs were due from both Second Century and the East Chicago Foundations April 23, and the state's reply is due May 3. Following those briefs being filed, the judge will take the arguments under advisement and may hold another hearing in May.
 

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  1. I have dealt with more than a few I-465 moat-protected government attorneys and even judges who just cannot seem to wrap their heads around the core of this 800 year old document. I guess monarchial privileges and powers corrupt still ..... from an academic website on this fantastic "treaty" between the King and the people ... "Enduring Principles of Liberty Magna Carta was written by a group of 13th-century barons to protect their rights and property against a tyrannical king. There are two principles expressed in Magna Carta that resonate to this day: "No freeman shall be taken, imprisoned, disseised, outlawed, banished, or in any way destroyed, nor will We proceed against or prosecute him, except by the lawful judgment of his peers or by the law of the land." "To no one will We sell, to no one will We deny or delay, right or justice." Inspiration for Americans During the American Revolution, Magna Carta served to inspire and justify action in liberty’s defense. The colonists believed they were entitled to the same rights as Englishmen, rights guaranteed in Magna Carta. They embedded those rights into the laws of their states and later into the Constitution and Bill of Rights. The Fifth Amendment to the Constitution ("no person shall . . . be deprived of life, liberty, or property, without due process of law.") is a direct descendent of Magna Carta's guarantee of proceedings according to the "law of the land." http://www.archives.gov/exhibits/featured_documents/magna_carta/

  2. I'm not sure what's more depressing: the fact that people would pay $35,000 per year to attend an unaccredited law school, or the fact that the same people "are hanging in there and willing to follow the dean’s lead in going forward" after the same school fails to gain accreditation, rendering their $70,000 and counting education worthless. Maybe it's a good thing these people can't sit for the bar.

  3. Such is not uncommon on law school startups. Students and faculty should tap Bruce Green, city attorney of Lufkin, Texas. He led a group of studnets and faculty and sued the ABA as a law student. He knows the ropes, has advised other law school startups. Very astute and principled attorney of unpopular clients, at least in his past, before Lufkin tapped him to run their show.

  4. Not that having the appellate records on Odyssey won't be welcome or useful, but I would rather they first bring in the stray counties that aren't yet connected on the trial court level.

  5. Aristotle said 350 bc: "The most hated sort, and with the greatest reason, is usury, which makes a gain out of money itself, and not from the natural object of it. For money was intended to be used in exchange, but not to increase at interest. And this term interest, which means the birth of money from money, is applied to the breeding of money because the offspring resembles the parent. Wherefore of an modes of getting wealth this is the most unnatural.

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