Judge Says Government ‘Distorted the Truth-Finding Process’ in Broadcom Case
The stock-options backdating case against executives of Broadcom Corp. was recently dismissed by U.S. District Court Judge Cormac Carney because it was found that the government’s handling of the case “distorted the truth finding process” and made a mockery of the defendant’s due process.
Broadcom’s Chief Financial Officer William Ruehle was completely acquitted. Former CEO and co founder Henry Nicholas was dismissed from the backdating charges. Judge Carney also dismissed the U.S. Securities and Exchange backdating case against Ruehle, Nicholas, co founder Henry Samueli and David Dull (former general counsel).
The focus of the case had shifted from backdating to alleged government misconduct. Such misconduct included the government intimidating and improperly influencing witnesses. Prosecution’s plea bargain with some executives of Broadcom was unconscionable and unusual. One in particular involved grueling interrogation involving threats. Prosecutors also made threats that if testimony wasn’t given a certain way executives could be charged. Prosecutors also inappropriately contacted the general counsel of a former executive of Broadcom’s new employer and caused her to lose her job.
Judge Carney also admonished the government for leaking misleading information about grand jury proceedings to the news media and pressuring Broadcom to terminate Samueli’s employment while the investigation was under way.
Judge Carney made clear that government misconduct would deprive executives of a fair trial, and that is not due process. Judge Carney’s ruling was the right result, and his decision was not just an important day for Broadcom, but it was an important day for justice.
Prosecutors respectfully disagreed while defense counsel praised Carney.
This was such a turning point because this is not the first time a case was dismissed for prosecutorial misconduct and Judge Carney’s decision set the record straight.
From Matthew Yglesias’ Law Blog
A federal judge on Tuesday dismissed the entire criminal stock-options backdating case against two former Broadcom Corp. executives, concluding that the government’s handling of the case “distorted the truth-finding process” and made a “mockery” of the defendants’ due process rights.
Before a courtroom packed with observers and other parties in the case, U.S. District Court Judge Cormac Carney of Santa Ana, Calif., entered a judgment of acquittal for former Chief Financial Officer William Ruehle, who has been in trial since Oct. 23.
“For these constitutional rights to have true meaning, the government must not do anything to intimidate and improperly influence witnesses,” Carney said. “Sadly, they did so in this case.”
It is sad when the turning point of a case is when the government’s prosecutors lie. “This is not the first time a case was dismissed for prosecutorial misconduct” and sadly won’t be the last; look at Greg Reyes’ case.
Where is our faith going to go in our justice system? It’s scary!
Judge Carney’s ruling was indeed the correct one, and should warn other government prosecutors that justice will stand.
Of course the case will switch from backdating to government misconduct, that is the only crime in this case. Backdating is not illegal.
Distorted the truth? They lied!
And this probably won’t be the last time a case is dismissed for prosecutorial misconduct… It seems to be becoming a habit for the government.
When it gets to the point where prosecutors are leaking information and causing people to loose their jobs it begins to get personal. It truly shows the true colors of these prosecutors, to win at any cost.
How does a prosecutor believe he will get away with lying, misleading, or providing false statements in court? Does this happen often? Do they get away with it and they just got caught this time?
Why does the government think they can win their cases by “distorting” the truth? Kind of corny, but have you ever heard the saying “Truth always prevails”?