Judge Tosses Out Overseas Bribery Case

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    Doyle, Jim. San Francisco Chronicle (pre-1997 Fulltext) [San Francisco, Cali f] 20 Mar 1991: B6.

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    A federal judge yesterday halted a trial and threw out a bribery case against two Bay Area telecommunications

    executives who were charged with conspiring to pay off Colombian officials in exchange for contracts. The abrupt

    dismissal, which came after a 12-member jury heard two weeks of testimony by prosecution witnesses against

    the telephone executives for Harris Corp. in Novato, was a stunning defeat for the Justice Department. It is

    extremely rare for federal judges to exercise their option at mid-trial of preventing a case from going to the jury.

    Shortly after the government rested its case, U.S.

    A federal judge yesterday halted a trial and threw out a bribery case against two Bay Area telecommunications

    executives who were charged with conspiring to pay off Colombian officials in exchange for contracts. The abrupt

    dismissal, which came after a 12-member jury heard two weeks of testimony by prosecution witnesses against

    the telephone executives for Harris Corp. in Novato, was a stunning defeat for the Justice Department. It is

    extremely rare for federal judges to exercise their option at mid-trial of preventing a case from going to the jury.

    Shortly after the government rested its case, U.S. District Judge Charles Legge of San Francisco ruled from the

    bench that ""no reasonable jury" could convict the company nor its executives on any of the five bribery-related

    counts for which they were indicted. Citing insufficient evidence, Legge said the government had failed to show

    any intent by the defendants to enter into a criminal conspiracy. Legge also said it was the first time in his six

    years on the federal bench that he had dismissed a criminal case at mid-trial for lack of evidence. The acquittal

    also reinforced the Justice Department's poor track record of prosecutions in overseas bribery cases. Federal

    prosecutors have won only two dozen convictions under the Foreign Corrupt Practices Act of 1977 since the law

    was adopted more than a decade ago. ""We're very pleased that our digital telephone systems division and its

    employees have been vindicated, but we believe the charges should never have been brought in the first place,"John T. Hartley, the company's chairman, said in a written statement. ""The Justice Department's case was based

    upon a distorted view of the facts," he said, adding that taxpayers would bear the government's costs and that

    Harris Corp. incurred more than $3 million in legal fees. ""The case has also placed a heavy strain on our two

    employees named in the indictment." Prosecutor Scott MacKay said the government brought the case in good

    faith: ""We're disappointed with the judge's ruling. We feel that we presented a good case, but we accept the

    judge's ruling." In the trial, MacKay told the jury that Harris Corp. and two of its executives, John B. Iacobucci and

    Ronald L. Schultz, conspired to pay a Colombian congressman a percentage of any contracts obtained, and to pay

    off officials at Colombia's state-run telephone company.

    Copyright Chronicle Publishing Company Mar 20, 1991

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    Title: Judge Tosses Out Overseas Bribery Case: [FINAL Edition]

    Author: Doyle, Jim

    Publication title: San Francisco Chronicle (pre-1997 Fulltext)

    Pages: B6

    Number of pages: 0

    Publication year: 1991

    Publication date: Mar 20, 1991

    Year: 1991

    Section: NEWS

    Publisher: San Francisco Chronicle, a division of Hearst Communications

    Inc.

    Place of publication: San Francisco, Calif.

    Country of publication: United States

    Journal subject: General Interest Periodicals--United States

    Source type: Newspapers

    Language of publication: English

    Document type: NEWSPAPERProQuest document ID: 302651561

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    Copyright: Copyright Chronicle Publishing Company Mar 20, 1991

    Last updated: 2010-08-27

    Database: ProQuest Newsstand

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