U.S. Attorneys and Fen Phen lawyers argue over interpretation of Jury Verdict regarding how much should be paid back by Gallion and Cunningham.
Federal District Judge Danny Reeves, issued instructions to the jury in the Fen-Phen attorneys criminal trial, asking the jury to determine what funds should be paid back to the class action claimants.
Defense lawyers for William Gallion and Shirley Cunningham are arguing that the indictment and the jury instructions say that only $30 million was to be repaid, and that the $20 million in the nonprofit corporations created by the defdants, was intended to count toward the $30 million monetary judgment.
The form asked the jury three questions. The first question is whether the jury agreed with the prosecution’s argument that the two men should have to repay $94 million. The jury said no. The jury instruction form says that if the jury answered no, it should come up with its own monetary judgment. The jury said the two men should have to repay $30 million.
Prosecutors counter that the jury verdict form does not say that the money in the nonprofit should be counted toward the total.
The form also asked if the two men should have to forfeit money in the Kentucky Fund for Healthy Living. The jury verdict form does not say that the fund should be included in the total amount of money the two men should have to repay, Assistant U.S. Attorney Wade Napier argued in court documents.
Federal prosecutors say the April 7 jury verdict form is clear: The two men should have to pay $30 million in restitution in addition to turning over about $20 million in a nonprofit that was funded with proceeds from the $200 million fen-phen settlement.
Lawyers for the two men have asked that the government delay collection of assets in the case until the questions about how much the two men owe can be resolved.