ADELPHIA FOUNDER AND SON SENTENCED TO PRISON
By ERIN McCLAM, Associated Press Writer - YAHOO
NEWS
NEW YORK - With frail Adelphia Communications Corp. founder John Rigas looking on, his lawyer portrayed him as a selfless giver who cared deeply for tiny Coudersport, Pa., where he built the cable company.
Moments later, the Manhattan federal judge sentenced the 80-year-old Rigas to 15 years in prison for his role in the looting and debt-hiding scandal that plunged Adelphia into bankruptcy three years ago.
Rigas' son Timothy, 49, who like his father was convicted last year of bank fraud, securities fraud and conspiracy, was sentenced to 20 years in prison. Sand could have sentenced both men to life.
The sentences are among the harshest handed down in any U.S. court since the fall of Enron in 2001 touched off a rash of corporate scandals that rocked the markets and have cost investors billions of dollars.
Adelphia prosecutors had accused the Rigases of using complicated cash-management systems to spread money around to various family-owned entities and as a cover for stealing about $100 million for themselves.
Both men were ordered to report to prison Sept. 19, but lawyers told the judge they planned to file motions for their clients to stay out of prison pending appeal.
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"Beware of Those Who are Holier than Thou, For Often They Are Fleecers of their Own Flocks (and Stocks)..." - Susan M. Block, Ph.D.
http://www.drsusanblock.com/editorial/My_Adelphia_Story.htm
NEW YORK - With frail Adelphia Communications Corp. founder John Rigas looking on, his lawyer portrayed him as a selfless giver who cared deeply for tiny Coudersport, Pa., where he built the cable company.
Moments later, the Manhattan federal judge sentenced the 80-year-old Rigas to 15 years in prison for his role in the looting and debt-hiding scandal that plunged Adelphia into bankruptcy three years ago.
Rigas' son Timothy, 49, who like his father was convicted last year of bank fraud, securities fraud and conspiracy, was sentenced to 20 years in prison. Sand could have sentenced both men to life.
The sentences are among the harshest handed down in any U.S. court since the fall of Enron in 2001 touched off a rash of corporate scandals that rocked the markets and have cost investors billions of dollars.
Adelphia prosecutors had accused the Rigases of using complicated cash-management systems to spread money around to various family-owned entities and as a cover for stealing about $100 million for themselves.
Both men were ordered to report to prison Sept. 19, but lawyers told the judge they planned to file motions for their clients to stay out of prison pending appeal.
**************************************************************************
"Beware of Those Who are Holier than Thou, For Often They Are Fleecers of their Own Flocks (and Stocks)..." - Susan M. Block, Ph.D.
http://www.drsusanblock.com/editorial/My_Adelphia_Story.htm
Posted: Tue - June 21, 2005 at 02:03 AM
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Published On: Jun 29, 2005 02:28 AM
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Published On: Jun 29, 2005 02:28 AM