David Scruggs Pleads Guilty In Scheme To Influence Judge

The son of big-time trial attorney Richard Scruggs followed his dad's lead in pleading guilty in federal court to felony charges related to an attempt to bribe a state judge in a Hurricane Katrina lawsuit.

David Zachary Scruggs pleaded guilty in U.S. District Court for the Northern District of Mississippi in Oxford, Miss., to one felony charge of misprision, for failing to inform federal officials about the attempt to influence the judge.

David Scruggs faces up to three years in prison, a $250,000 fine and one year of supervised release. He is expected to lose his law license as well. He was released on probation pending a sentencing hearing. No date for sentencing was set.

He was originally charged with six felony counts for being part of a scheme to bribe state Circuit Court Judge Henry Lackey. Earlier, Richard "Dickie" Scruggs, David's father, and others pleaded guilty to one count of conspiracy involving a plot to bribe Judge Lackey with $50,000 to decide a fee dispute in their favor. (See NU, March 24, page 8.)

Judge Lackey reported the incident to federal authorities. He worked undercover, wearing a hidden device to record the attempted bribe.

Richard Scruggs led a team of attorneys that brought a class action for coastal homeowners against State Farm over claims stemming from Hurricane Katrina in Mississippi. The case involving Judge Lackey was a dispute between the Scruggs firm and another attorney over fees from the $80 million settlement.

At his hearing, David Scruggs said he had "no knowledge" of a plot to bribe Judge Lackey but was aware that one attorney, Tim Balducci, was attempting to use his close relationship with the judge to influence the outcome of the case. According to court records, Mr. Balducci became a cooperating witness and wore a recording device to collect evidence of the scheme.

"I didn't conspire to bribe Judge Lackey in connection with an arbitration order, and I would have stopped it had I known," David Scruggs said, according to a court record.

Richard Scruggs, brother-in-law of former U.S. Sen. Trent Lott, R-Miss., who gained prominence bringing suit against tobacco companies, faces up to five years in prison, a $250,000 fine and loss of his law license when he is sentenced.

None of the plea agreements exempt either Richard or David Scruggs from any other possible legal actions or indictments. Prosecutors from the U.S. Attorney's Office in Oxford, Miss., are reportedly looking into other cases involving the elder Scruggs.