Unsealing the Sentence Proceedings of the Stock Fraud Case

Before US President Obama nominated Loretta Lynch, a federal prosecutor, to be attorney general, the former federal judge was called to congress for investigation on her tenure in the US attorney’s office for stepping on victim’s rights.

A law professor at the University of Utah, Paul Cassell, said that Ms. Lynch’s office (the US Attorney for the Eastern District of New York) haven’t the victims of a major cause that the culprits were sentenced; which denied them to seek out restitution of about $40 million losses.

In his written statement to House Judiciary Committee panel in 2013, stated that if the prosecutors kept the sentencing procedures a secret to reward criminals for their cooperation in the investigation, it would violate the Crime Victim Restitution Act.

Cassell wrote, “Every day that the office withholds notice from the victims in this case about the continuing proceedings that are occurring in this case is a day in which the office is violating the CVRA.”

Felix Sater
House of Judiciary Committee

The Judiciary Committee sent an email to The Washington Times that it didn’t followed up contact yet with Ms. Lynch’s office, but added that the panel hasn’t ruled out sending an inquiry to her office regarding the handling of the rights of the victims.

The NRO, however, have a written response from Lynch and said that the case of Sater’s cooperation with her office is vital to national security and declined discussing the issue of restitution.

Lynch, replied in writing, “The defendant in question, Felix Sater, provided valuable and sensitive information to the government during the course of his cooperation, which began in or about December 1998. For more than 10 years, he worked with prosecutors from my office, the United States Attorney’s Office for the Southern District of New York and law enforcement agents from the Federal Bureau of Investigation and other law enforcement agencies, providing information crucial to national security and the conviction of over 20 individuals, including those responsible for committing massive financial fraud and members of La Cosa Nostra. For that reason, his case was initially sealed…”

Because of Ms. Lynch’s nominations for being an attorney general was passed before the Senate Judiciary Committee, which is controlled mainly by Republicans, the case would come up for an inquiry.

Mr. Cassell said during one of his interviews, “I do think it’s something that the senate should be investigating as part of the confirmation process.”

A lawyer filed a petition before the Supreme Court to force more records of the stock fraud case to be unsealed for the reason that Ms. Lynch’s office kept secret deals with criminal cooperators.

Atty. Frederick Oberlander, who sued Sater in behalf of the victims, said, “These deals, indisputably in defiance of mandatory federal forfeiture and restitution laws, allow cooperators to keep the proceeds of their crimes in exchange for their cooperation and keep their reputation intact, hidden behind secret dockets.”

The petition filed isn’t the first time that Oberlander and Atty. Richard Lerner sought to pry on the sealed records of Sater’s case.