Attorneys plead not guilty in fen-phen case

FRANKFORT, Ky. (AP) -- Two lawyers have pleaded not guilty to charges they defrauded clients out of millions from a settlement over the diet drug fen-phen.

The Lexington Herald-Leader reports that William Gallion and Shirley Cunningham entered the pleas Thursday. U.S. Magistrate Judge Gregory Wehrman also set a Nov. 17 trial date in U.S. District Court in Frankfort for the men on charges of conspiracy to commit wire fraud and wire fraud.

Gallion was released Thursday from jail after posting $2.5 million bond. Cunningham was released in August.

It will be the second trial for the two men. A federal jury could not reach a verdict in July after a six-week trial on charges of conspiracy to commit wire fraud.

Prosecutors say the men withheld more than $200 million in settlement money from more than 400 clients.

Gallion and Cunningham were the original owners of 2007 Horse of the Year Curlin and retain a partial share in the racehorse.

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(Copyright 2008 by The Associated Press. All Rights Reserved.)


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