Near North's Segal To Seek Bail
By Mark E. Ruquet
NU Online News Service, Dec. 15, 1:44 p.m. EST?A bail hearing will be held tomorrow for convicted former Near North chief executive Michael Segal, after a judge tossed out some of the charges against him yesterday.[@@]
U. S. District Court Judge Ruben Castillo in Chicago threw out seven counts against Mr. Segal and his Near North brokerage.
Judge Castillo's action still leaves 19 counts against Mr. Segal. He was found guilty in June of 26 counts including fraud, racketeering, embezzlement and tax evasion. Since his conviction he has been held in jail as a flight risk.
In tossing out the charges, Judge Castillo, who presided at the trial, said prosecutors failed to prove seven counts of making false statements.
Similar charges were dismissed against Mr. Segal's Chicago-based firm, Near North, but the firm's conviction on 14 counts of fraud, racketeering, embezzlement and tax evasion was kept intact.
Mr. Segal was convicted of embezzling $20 million from the firm's premium trust account for personal and business purposes.
Under the remaining counts, Mr. Segal faces up to 20 years in prison, which is the maximum he would receive under the most serious charge of racketeering, said Randall Samborn, a spokesman for the U.S. Attorney's Office for the Northern District of Illinois.
A motion seeking a new trial for Mr. Segal was denied by the judge. Sentencing was set for Feb. 23, 2005 by Judge Castillo without additional comment.
A hearing will be held tomorrow to determine if Mr. Segal will be released on bail, said Mr. Samborn.
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