In a stunning blow to the prosecution, U.S. District Judge Donald M.Middlebrooks on Monday dismissed all charges against former Miamiseaport director Carmen Lunetta, California financier Calvin Grigsbyand port businessman Neal Harrington.

An elated Lunetta and Grigsby, who were accused of misappropriating$1.5 million in public funds, embraced their lawyers in jubilationafter Middlebrooks halted the case at mid-trial. The judge concludedthe government did not have enough evidence to warrant a juryconviction.