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WASHINGTON (AP) -- Federal prosecutors filed conspiracy, fraud and tax evasion charges against lobbyist Jack Abramoff Tuesday, a Justice Department official said, the same day his lawyer said he'd reached an agreement to plead guilty to two criminal charges in a Florida fraud case.
Abramoff was scheduled to appear at a hearing in U.S. District Court later Tuesday, Justice Department spokesman Bryan Sierra said.
Attorney Neal Sonnett said Abramoff would plead guilty to charges stemming from the 2000 purchase of a fleet of gambling boats and will also agree to cooperate in any ongoing federal investigations in Washington. Prosecutors there are investigating several members of Congress who allegedly received favors from Abramoff or his clients.
Abramoff will plead guilty to two of the six charges in a federal indictment, Sonnett said. U.S. District Judge Paul C. Huck has scheduled a telephone status conference for later Tuesday.
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Abramoff and former partner Adam Kidan were indicted in August on charges of conspiracy, wire fraud and mail fraud in connection with their 2000 purchase of the SunCruz Casinos fleet for $147.5 million from Miami businessman Konstantinos "Gus" Boulis.
Prosecutors said the pair faked a $23 million wire transfer to make it appear that they were making a significant contribution of their own money into the deal. Based on that transfer, lenders Foothill Capital Corp. and Citadel Equity Fund Ltd. agreed to provide $60 million in financing for the purchase.
Kidan pleaded guilty Dec. 15 to one count of conspiracy and one count of wire fraud. He faces a maximum of 10 years in prison and up to $500,000 in fines at sentencing scheduled for March 1.
Another of Abramoff's former partners, Michael Scanlon, agreed to cooperate in the SunCruz case as part of a plea agreement in a separate case with federal prosecutors in Washington. In that agreement, Scanlon admitted helping Kidan and Abramoff buy SunCruz, partly by persuading U.S. Rep. Bob Ney, R-Ohio, to insert comments in the Congressional Record designed to pressure Boulis to sell.
Boulis, also founder of the Miami Subs restaurant chain, was found shot to death in February 2001 during a bitter struggle for control of SunCruz. In September, Fort Lauderdale police arrested three men, including one who had worked for Kidan and had ties to New York mobsters, in the murder case.
Kidan and Abramoff have repeatedly denied any involvement in the Boulis killing. The three men arrested on murder charges have all pleaded not guilty and are awaiting trial in Fort Lauderdale.
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Sherman reported from Washington and Anderson from Miami.
(c) 2006 The Associated Press.
Abramoff was scheduled to appear at a hearing in U.S. District Court later Tuesday, Justice Department spokesman Bryan Sierra said.
Attorney Neal Sonnett said Abramoff would plead guilty to charges stemming from the 2000 purchase of a fleet of gambling boats and will also agree to cooperate in any ongoing federal investigations in Washington. Prosecutors there are investigating several members of Congress who allegedly received favors from Abramoff or his clients.
Abramoff will plead guilty to two of the six charges in a federal indictment, Sonnett said. U.S. District Judge Paul C. Huck has scheduled a telephone status conference for later Tuesday.
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Abramoff and former partner Adam Kidan were indicted in August on charges of conspiracy, wire fraud and mail fraud in connection with their 2000 purchase of the SunCruz Casinos fleet for $147.5 million from Miami businessman Konstantinos "Gus" Boulis.
Prosecutors said the pair faked a $23 million wire transfer to make it appear that they were making a significant contribution of their own money into the deal. Based on that transfer, lenders Foothill Capital Corp. and Citadel Equity Fund Ltd. agreed to provide $60 million in financing for the purchase.
Kidan pleaded guilty Dec. 15 to one count of conspiracy and one count of wire fraud. He faces a maximum of 10 years in prison and up to $500,000 in fines at sentencing scheduled for March 1.
Another of Abramoff's former partners, Michael Scanlon, agreed to cooperate in the SunCruz case as part of a plea agreement in a separate case with federal prosecutors in Washington. In that agreement, Scanlon admitted helping Kidan and Abramoff buy SunCruz, partly by persuading U.S. Rep. Bob Ney, R-Ohio, to insert comments in the Congressional Record designed to pressure Boulis to sell.
Boulis, also founder of the Miami Subs restaurant chain, was found shot to death in February 2001 during a bitter struggle for control of SunCruz. In September, Fort Lauderdale police arrested three men, including one who had worked for Kidan and had ties to New York mobsters, in the murder case.
Kidan and Abramoff have repeatedly denied any involvement in the Boulis killing. The three men arrested on murder charges have all pleaded not guilty and are awaiting trial in Fort Lauderdale.
-----
Sherman reported from Washington and Anderson from Miami.
(c) 2006 The Associated Press.
