JAMES B. COMEY, the United States Attorney for the Southern District
of New York, announced that SAID FARRAJ, a paralegal, was sentenced today
in Manhattan federal court to 2 years and 6 months in prison in connection
with his scheme to sell to opposing counsel a confidential trial plan
prepared by Orrick, Harrington & Sutcliffe LLP ("Orrick"),
the law firm he was employed by, in a tobacco-related civil litigation
titled Falise, et al. v. American Tobacco Co., et al., CV
99-7392 (JBW) (E.D.N.Y.) ("Falise").
On September 27, 2001, SAID FARRAJ pled guilty before United States District
Court Judge VICTOR MARRERO, to conspiracy to commit wire fraud, to transport
stolen property interstate, and to access a computer without authorization,
as well as to substantive charges of interstate transportation of stolen
property and unauthorized computer access. On October 3, 2001, YEAZID
FARRAJ, the brother of SAID FARRAJ, also pled guilty in Manhattan federal
court to a conspiracy charge for his participation in the same scheme.
According to the Indictment, between May 20, 2000, and June 18, 2000,
SAID FARRAJ was employed as a paralegal at the New York office of Orrick,
which was one of several law firms that represented the plaintiffs in
the law firm of Falise litigation, a mass tort case scheduled to
go to trial on July 17, 2000, in Federal Court in Brooklyn, New York.
According to the Indictment, in anticipation of the Falise trial,
attorneys working for Orrick spent hundreds of hours preparing a trial
plan at a cost of several million dollars. The Trial Plan exceeded 400
pages, and included, among other things, trial strategy, deposition excerpts
and summaries, and references to anticipated trial exhibits. In his capacity
as a paralegal working on the Falise litigation, SAID FARRAJ had
access to the Trial Plan.
On June 14, 2000, according to the Indictment, SAID FARRAJ obtained an
electronic copy of the Trial Plan by downloading it from the Orrick computer
system. Three days later, using the alias "FlyGuyNYt," SAID
FARRAJ transmitted to attorneys for the defendants an e-mail in which
he offered to sell the Trial Plan.
Afterwards, according to the Indictment, SAID FARRAJ, negotiated the sale
of the Trial Plan with an undercover agent of the FBI who was posing as
one of the defense counsel in the Falise litigation (the "Undercover
Agent"). Between June and July 2000, according to the Indictment,
SAID FARRAJ transmitted to the Undercover Agent various e-mails, in which
he agreed to sell the Trial Plan for $2 million and arranged to exchange
the Trial Plan for the money.
SAID FARRAJ, 28, is a resident of Staten Island, New York.
Co-defendant YEAZID FARRAJ is scheduled to be sentenced on April 12, 2002
at 4:30 p.m., by Judge MARRERO.
Mr. COMEY praised the Federal Bureau of Investigation's Wire Fraud Squad
for its outstanding investigation of this case.
Assistant United States Attorneys ROBERT R. STRANG and JOSEPH V. De MARCO
are in charge of the prosecution.
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