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BREAKING NEWS ~ Ebbers to forfeit personal assets in civil settlement

[JURIST] Wire services are reporting that former WorldCom CEO Bernard Ebbers [JURIST news archive], convicted of fraud [JURIST report] in March for his part in an $11 billion accounting scandal, will forfeit as much as $45 million worth of personal assets in a settlement of related civil charges. The deal, announced by the New York Attorney General's office Thursday, will require him to pay $5 million directly and transfer almost all his other assets - worth as much as $40 million -into a liquidation trust to be sold off. This arrangement will, however, allow Ebbers to avoid paying restitution which could have been much more costly. A judge must still approve the settlement, and Ebbers still faces life in prison [AP report] at his sentencing, now scheduled for July 13 after a month's postponement [AP report].

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Paper Chase is JURIST's real-time legal news service, powered by a team of 30 law student reporters and editors led by law professor Bernard Hibbitts at the University of Pittsburgh School of Law. As an educational service, Paper Chase is dedicated to presenting important legal news and materials rapidly, objectively and intelligibly in an accessible format.

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