Federal prosecutors today reached a settlement with the Milberg law firm, four of whose former name partners pleaded guilty in the past year to criminal charges relating to the payment of kickbacks to individual plaintiffs in shareholder cases. The deal calls for the firm to pay $75 million in fines in exchange for the dropping of criminal charges. In a statement of facts accompanying the settlement agreement, Milberg admitted earning around $239 million in legal fees on cases where plaintiffs were paid.
Milberg Agrees to Pay $75 Million in Settlement Over Kickback Scheme
New York Law Journal
June 17, 2008