Ducking criminal charges, law firm Milberg LLP will pay the government $75 million and admit wrongdoing in a settlement following a 2-year-old indictment, the Wall Street Journal reports. The firm, which deals with shareholders' class-action lawsuits, acknowledges it paid kickbacks to attract clients between 1979 and 2005, enabling the firm to reap $239 million in fees. The case names former partners, but no current ones.
“The settlement with Milberg reflects the seriousness of what was probably the longest-running scheme ever conducted by a law firm,” said a US attorney. Four ex-partners have pleaded guilty to paying kickbacks; one is in prison while another faces jail time. But “we can now say to courts and clients that we are not a firm under indictment,” said a Milberg rep.