Thank you for sharing!

Your article was successfully shared with the contacts you provided.
The Catch-22 of any massive fraud case is that defendants, accused of breaking the law to enrich themselves, must figure out ways to pay top-dollar defense lawyers without betraying any sign of those alleged riches. And when the amount in question is an estimated $20 million and perhaps more, the problem is all the more difficult to solve. “I can tell you, in these kind of cases there’s always a concern with regard to where the money flows from and what money is tainted by the allegations, and we’re examining that as part of our investigation into the government’s claims,” says Reed Smith partner A. Scott Bolden. Bolden is representing Diane Gustus, a D.C. Office of Tax and Revenue employee who authorities say participated in the largest theft scheme ever uncovered in local government in the Washington area. Gustus and Harriette Walters, a tax assessment manager, were arrested last week and each charged with 10 felony counts of conspiracy and fraud for allegedly preparing and approving nearly 60 bogus tax refund checks. Bolden says that he is a friend of the Gustus family and that he was called on Nov. 7, shortly after her arrest. When asked about his compensation, Bolden declined to comment. “It is a delicate subject, as well as an important subject,” he says. “But I’m not concerned about that affecting my representation of her.” DLA Piper’s Peter Zeidenberg is representing Walters. He was hired on Nov. 8, but only for presentment (at press time, Gustus and Walters had not been indicted). “We don’t know if we’ll be retained beyond that,” he says. Zeidenberg would not discuss how he came to represent Walters, saying only that it was “a long, convoluted tale.”
Joe Palazzolo can be contacted at [email protected].

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Advance® Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]

Reprints & Licensing
Mentioned in a Law.com story?

License our industry-leading legal content to extend your thought leadership and build your brand.


ALM Legal Publication Newsletters

Sign Up Today and Never Miss Another Story.

As part of your digital membership, you can sign up for an unlimited number of a wide range of complimentary newsletters. Visit your My Account page to make your selections. Get the timely legal news and critical analysis you cannot afford to miss. Tailored just for you. In your inbox. Every day.

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.