More Details on Expected Milberg Settlement

[WSJ_law_blog]

More details are emerging on a settlement between Milberg LLP and the government over the firm’s alleged kickback charges. WSJ reported last week that the sides were close to striking a deal that would involve Milberg paying fines and penalties in the neighborhood of $75 million.

Today, the Daily Journal in Los Angeles (link unavailable) offers some new details, reporting that prosecutors are on the verge of announcing a nonprosecution agreement. Milberg, as part of the deal, would employ a monitor for two years and prosecutors, after four years, would agree to walk away from the case if Milberg attorneys do not engage in certain illegal conduct. (The article does not spell out what conduct is prohibited.)

Milberg’s counsel declined to talk to the Daily Journal, which reports that the deal terms have been approved by both sides and that all that awaits is sign off by other U.S. attorneys across the nation.

Milberg was indicted in 2006 for allegedly paying more than $11 million in kickbacks to clients in exchange for their serving as lead plaintiffs in securities class actions.