A federal judge in Kentucky has issued an order allowing the U.S. Marshal to seize property owned by two plaintiffs’ attorneys who were disbarred and ordered to pay former clients $127 million from a class action settlement involving the diet pill fen-phen. United States v. Gallion, Crim. No. 07-39-DCR (U.S. Dist. Ct., E.D. Ky., N. Div., Covington, order filed June 18, 2012). The proceeds from the forfeited property will be used to help pay the restitution award. William Gallion and Shirley Cunningham, convicted in 2009 on eight counts of wire fraud, were also sentenced to prison terms.
The property to be seized includes houses in Kentucky and Florida, luxury automobiles, mutual funds, and the assets of a corporation. See Law360, June 19, 2012.
