Buying the silence of crime victims

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rubato
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Buying the silence of crime victims

Post by rubato »

http://www.lawyersgunsmoneyblog.com/201 ... me-victims
Buying the silence of crime victims
Paul Campos



I have a piece on what it means to claim that Dennis Hastert was being subjected to an extortion attempt:

Suppose Individual A calls a lawyer, and tells the lawyer his story. The lawyer calls Hastert, and tells him he wants to talk to Hastert’s lawyer. The two lawyers then negotiate a settlement, in which, in exchange for a payment, Individual A agrees to sign a release, waiving any legal claims he has against Hastert. Such an agreement would certainly include a non-disclosure provision, making the payment contingent upon Individual A’s promise not to disclose the existence of the agreement. All this is perfectly legal, which means the agreement would be enforced by court orders if necessary. But of course the whole point of the agreement is to make it unnecessary for any legal action to ever be filed. In effect, Hastert and Individual A are entering into a contract to bury evidence of Hastert’s crime, in exchange for money.

Now suppose Individual A calls Hastert up and tells him, “if you don’t pay me $3.5 million, I’ll call a press conference and announce that you molested me when I was your student. But if you pay me, I promise to keep quiet.” This is extortion, which is a serious crime. (By the way, if Hastert agrees to this arrangement and then reneges, Individual A can’t go to court to enforce the agreement, because criminal contracts aren’t legally enforceable.)

On one level, the distinction between these two situations is perfectly clear, as Richard Nixon used to say. On another, it’s troubling that we allow people to buy silence regarding their crimes, as long as the appropriate paperwork is drawn up first.


Its not a crime as long as two lawyers get paid ? How Jesuitical.


yrs,
Rubato

PS From the comments:
Gwen says:
June 2, 2015 at 6:06 pm
....
I’m not actively practicing, but I do think in general lawyering is easier when you’re mildly sociopathic.

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MajGenl.Meade
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Re: Buying the silence of crime victims

Post by MajGenl.Meade »

Its not a crime as long as two lawyers get paid ?
No - it's not a crime if a crime is not committed.

Out of court settlements made by legal means are not crimes. They are lawful dispositions of disputed claims in which a person A claiming to have been damaged receives an agreed and mutually satisfactory amount of restitution without any admission of the validity of their claim by the compensating party B. There is in fact no crime involved at all - neither by A nor by B.

Extortion is a crime the victim B of which is told that unless hush-money is provided to the extortionist A, then A will make damaging public allegations, true or not, about the victim. Here we are certain that A is a criminal. B may or may have committed any crime prior to the extortion but it is also certain that refusing to pay the extorted amount is not criminal at all.

One suspects that more than two lawyers will become embroiled in the second instance
For Christianity, by identifying truth with faith, must teach-and, properly understood, does teach-that any interference with the truth is immoral. A Christian with faith has nothing to fear from the facts

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Guinevere
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Re: Buying the silence of crime victims

Post by Guinevere »

If you've got the facts supporting the crime, then report it to the police and let them handle it.

Otherwise, le General pretty much nailed it (and you *know* it pains me to write that phrase) :mrgreen:
“I ask no favor for my sex. All I ask of our brethren is that they take their feet off our necks.” ~ Ruth Bader Ginsburg, paraphrasing Sarah Moore Grimké

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Sue U
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Re: Buying the silence of crime victims

Post by Sue U »

Thanks for saving me us the trouble, Meade.

Also too, what is paid in a private settlement is compensation for personal damages -- an entirely civil-law matter. Crimes are offenses against the state (although there may be an individual victim), and criminal prosecutions vindicate the state's interests, not those of the victim. The victim's personal recourse is through private litigation/settlement of civil claims.

ETA acknowledgment of Guin's pithier prior post.
GAH!

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Guinevere
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Re: Buying the silence of crime victims

Post by Guinevere »

Oh, and as many of the comments after the original piece indicate, I've never drafted or signed or recommended a client sign a settlement with an NDA which didn't include some provision that the NDA can't shield the agreement from an order of a court to disclose/testify/otherwise reveal the information. So, it would not protect any of the parties in any criminal proceeding, which makes your argument total bunk.

ETA - what Sue said about the interests at stake in civil v. criminal proceedings.
“I ask no favor for my sex. All I ask of our brethren is that they take their feet off our necks.” ~ Ruth Bader Ginsburg, paraphrasing Sarah Moore Grimké

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Sue U
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Re: Buying the silence of crime victims

Post by Sue U »

Guinevere wrote:Oh, and as many of the comments after the original piece indicate, I've never drafted or signed or recommended a client sign a settlement with an NDA which didn't include some provision that the NDA can't shield the agreement from an order of a court to disclose/testify/otherwise reveal the information. So, it would not protect any of the parties in any criminal proceeding, which makes your argument total bunk.
I don't think an NDA would even be legally permissible, let alone enforceable, with respect to criminal proceedings.

And I always discourage confidentiality clauses in personal injury settlements, both for reasons of public policy and for tax consequences to my client (personal injury compensation is not taxable, but payment for confidentiality is).
GAH!

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Guinevere
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Re: Buying the silence of crime victims

Post by Guinevere »

Right -- and I only do civil work, not criminal, so that was the context in which I made/meant the comment.

An NDA in a civil proceeding will not shield the underlying facts from disclosure in any criminal proceeding concerning those facts. Better?
“I ask no favor for my sex. All I ask of our brethren is that they take their feet off our necks.” ~ Ruth Bader Ginsburg, paraphrasing Sarah Moore Grimké

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MajGenl.Meade
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Re: Buying the silence of crime victims

Post by MajGenl.Meade »

Guinevere wrote: Otherwise, le General pretty much nailed it (and you *know* it pains me to write that phrase) :mrgreen:
Sorry Guin... :oops:

:lol:

I liked the further clarifications from you and Sue that followed. Interesting stuff and very clear. It didn't hurt to say that - but OTOH I'm on 800mg ibuprofen and 1000mg acetaminophen not to mention all the steroids pumped into my knees yesterday. Yep, bilateral degenerative arthritis.
For Christianity, by identifying truth with faith, must teach-and, properly understood, does teach-that any interference with the truth is immoral. A Christian with faith has nothing to fear from the facts

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Lord Jim
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Re: Buying the silence of crime victims

Post by Lord Jim »

It doesn't seem to me that the money Hastert paid had anything to do with avoiding criminal charges...

I don't think it could have been a "pay the money or I'll go to the police" situation; assuming the allegation true, and that Hastert engaged in some sort of "inappropriate" behavior with "Person A" the statute of limitations expired long before 2010. Hastert had to know that. There's no way he was going to be charged with a crime.

Again if all that's alleged is true, it's pretty obvious that the payoffs were to avoid public disgrace and having his reputation ruined; not to avoid jail.

Which he'll probably get now...

Maybe if instead of this whole thing being done "off the books", "Person A" had begun a civil suit against Hastert, a payment settlement could have been reached including a NDA that involved simply not "going public" with the allegations. (Again, being paid off in exchange for not reporting a crime wouldn't be an issue since no criminal charges could be brought, even if it was reported.)

If it had been handled that way, then Hastert would have avoided the criminal charges he faces now ; violating banking regulations and lying to the FBI.
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Lord Jim
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Re: Buying the silence of crime victims

Post by Lord Jim »

To me, an interesting missing piece of this is, "how did the FBI tie Hastert's bank withdrawals to 'Individual A'?"

Apparently it was the withdrawals Hastert was making that first got the FBI's attention...

But even given that his explanation was ludicrous, (The former Speaker of The House who still had plenty of cash in banks, and numerous investments involving banks, and who was working as a highly paid lobbyist saying "I don't trust banks") how did they figure out how to track the money from Hastert to "Individual A"...

It's possible that "Individual A" contacted the FBI himself, but that would be in the category of "remarkable coincidence" if he just happened to do so at the time when the FBI had put their spotlight on Hastert...

Plus why would you turn Hastert in while you were still expecting another 1.7 million from him?

I think what happened is that after the pattern of the withdrawals, and Hastert's ridiculous explanation, the FBI put Hastert under surveillance waiting for him to make the next withdrawal and the next payoff...

And that's when they found "Individual A"...

And "Individual A" cut a deal to avoid extortion charges...

And the FBI was inclined to cut that deal because of the nature of the underlying crime (child abuse) that couldn't be prosecuted because of the statute of limitations...

I'd like to think that if all the facts of this case were the same, but Hastert had been paying the hush money to an adult to have them avoid saying he'd had an affair with them as an adult, that they'd be going after the extortionist rather than Hastert...
Last edited by Lord Jim on Sun Jun 07, 2015 2:16 pm, edited 1 time in total.
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wesw
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Re: Buying the silence of crime victims

Post by wesw »

if the fellow made regular deposits that matched Hastert s regular withdrawals they could trace it.

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Lord Jim
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Re: Buying the silence of crime victims

Post by Lord Jim »

That doesn't wash wes...

If he was going to make deposits, he could just as easily have moved the money to an off-shore account and given "Individual A" access to it ...

"Individual A" must have been insisting on getting the money in cash...

It's tough to get upset about this particular case, given the underlying behavior that likely led to this, but if you lay that aside, there's something very disturbing involved here...

These banking regulations were designed to track the deposits of ill-gotten gains...

Not money legitimately earned...

And there's no question that the money that Hastert was withdrawing was legally earned; I'm sure he reported it and paid taxes on it...

If a person who earns money legally decides they want to take it out of the bank and stuff it in their mattress or give it away to homeless people, or burn it on their barbecue, why shouldn't they be allowed to do that?

Why should taking out your own money bring Johnny Law down upon you?

(I've got 5K squirreled away in cash (in case the ATMs aren't working) with our earthquake prepper set up along with our flashlights, radio batteries, bottled water, canned food, and beef jerky...and my Walther...and a couple of jerry cans of gasoline so we can get the hell out of here if The Big One hits...but I digress... 8-) )
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BoSoxGal
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Re: Buying the silence of crime victims

Post by BoSoxGal »

Au contraire, these laws were designed to track contributions to terrorist organizations whether the funds are ill-gotten or earned legitimately. Thus withdrawing your own hard-earned cash in increments just shy of reportable is going to get the Feds to come sniffing . . . probably with the encouragement of your own banker. Want anonymity? Bank with the Swiss.
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Lord Jim
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Re: Buying the silence of crime victims

Post by Lord Jim »

Au contraire, these laws were designed to track contributions to terrorist organizations whether the funds are ill-gotten or earned legitimately
Well that's fair, but the likelihood that Dennis Hastert was a part of a terrorist organization seems rather remote...
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