The Free Press, Mankato, MN

State, national news

October 20, 2013

Petters returning to court, seeks less prison time

Petters say attorneys didn't inform him of 30-year plea deal; they deny that

ST. PAUL, Minn. (AP) — Convicted Minnesota businessman Tom Petters returns to federal court this week to try to shorten his 50-year prison term.

The Star Tribune reports (http://bit.ly/H5vEXF ) that the attempt to get 20 years removed might be Petters' last chance to go after a lighter sentence.

Petters is to take the stand Wednesday in St. Paul. The main witnesses against him at the hearing will be the attorneys who defended him during his 2009 jury trial.

He was convicted on 20 counts of fraud, conspiracy and money laundering in a $3.65 billion Ponzi scheme.

At the heart of the hearing is whether federal prosecutors offered Petters a plea deal with a sentence capped at 30 years, whether Petters' attorneys relayed that offer to him, and whether he had an opportunity to accept it.

His defense team says a 30-year plea deal was discussed with Petters multiple times and that he rejected it on each occasion.

In his appeal, Petters says his attorneys back then failed to inform him about the plea offer before trial. His current attorney, Steven Meshbesher told the newspaper that he believes a 2012 ruling of the U.S. Supreme Court bodes well for Petters' case.

The high court determined in that ruling that a defense attorney did not act in his client's best interest when he received a written plea offer from prosecutors but did not present it to the defendant before it expired.

"This case makes it clear that any discussion between prosecutors and defense attorneys has to be relayed to the defendant," Meshbesher said. "The defendant has to make the choice whether to accept it, not the lawyer."

Attorney Christopher Madel, who's representing the Petters defense team in the sentencing appeal, said, "The motion is laughable that these incredibly accomplished attorneys would do what is alleged with this (allegation) coming from the most accomplished fraudster in Minnesota history."

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