The word is out on the Mel Weiss indictment. Milberg issued a statement late yesterday indicating that, in anticipation of a revised indictment expected to be filed in short order (via the New York Observer):

"Milberg Weiss understands that a second superseding indictment will be issued tomorrow that will include new charges against the Firm and also Melvyn Weiss. Mr. Weiss has decided to discontinue his participation in Firm management in order to focus on the defense of the charges against him. The Firm’s other partners, none of whom is alleged to have been involved in any wrong doing, will be responsible for its management and litigation activities. Mr. Weiss will remain available to counsel clients and Firm attorneys. The Firm remains proud of Mr. Weiss’s and the Firm’s accomplishments over the years and will continue to fight for its clients and class members and to produce the excellent results for which it is known. We do not anticipate any interruption in our work and we look forward to putting this difficult period behind us."

It has been reported that the recent zeroing in on Weiss is the result of information obtained following the plea agreement of former Milberg lawyer, Steven Schulman. Over at CNNMoney,

Roger Parloff's Legal Pad blog has the Shulman plea agreement linked if you want to review it for your own speculations. See Defendants Obligations sub 18 for notes on Schulman's cooperation with authorities.

-- MDT

Labels: indictment, kickbacks, Melvyn Weiss, Milberg, Milberg Weiss