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Weiss Sentenced to 2 1/2 Years for Kickback Scheme

Weiss Sentenced to 2 1/2 Years for Kickback Scheme: Mel Weiss, co-founder of the securities law firm Milberg LLP, was sentenced to 2 1/2 years in prison for illegally paying clients to file shareholder suits that prosecutors said earned $251 million in lawyer fees.

Weiss, 72, must also forfeit $9.75 million and pay a fine of $250,000. He pleaded guilty April 2 to racketeering conspiracy, admitting he helped secretly pay a stable of plaintiffs to file suits from 1979 through 2005. By using them to sue first, the firm was more likely to lead cases and reap larger fees.

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