Latorella sentencing memo's filed.
It seems that there's a 5 yr statutory max for the one count JL is to be sentenced on. The probation dept came up with a recommendation for 235 - 293 months, but I think this is just notional, given the 5 yr cap? Anyway, we'll see what the judge does with it next week.
In another of the odd-seeming situations where the prosecution is softer than the probation dept, they calculate the guideline range as 151 - 188 months.
Part of the discrepancy comes from the prosecution not asking for an obstruction of justice upwards revision. This is because the DoJ "inadvertantly" failed to ask for such a revision in O'Riordan's sentencing and feels that it therefore can't ask for it in JL's case. Bizarre. One more fishy element in the O'Riordan deal.
Other points of interest:
- JL's prescription drug of choice is apparently Xanax and he drinks himself into oblivion every day (according to his attorneys).
- DoJ asking for restitution of $6.8M. The bulk of this represented by Austin W. Marxe's Special Situation Fund's loss of $4.9M. They include interview transcripts, emails etc which for me serve mainly to illustrate SSF's utterly inadequate diligence.
Eg: Supposedly despite intense review of LP's SEC filings nobody from SSF picked up on the array of red flags which festooned these from the earliest registration statement onwards. When ex-director Gallagher told them about the Omni fraud etc, they accepted as sufficient comfort an emal from JL and the report of a conversation between JL and the broker from shady Laislaw & Co (UK) who intro'd the deal to them originally. Nothing here about SSF's investment mainly going straight out the door to pay off debt to Laurus which they would surely have known was going to happen. Etc etc etc.
- No hint that anybody connected with LP except JL, JF and O'Riordan) were anything but victims. The shadows of Tom Murphy and Geoffrey Chalmers flit through the records in various places but nothing to bring them into the spotlight.
