Ex-Refco lawyer Collins begins retrial after winning appeal

Maggio Died

Jurors in the retrial were told that Maggio, the former CEO of Refco’s offshore unit and a key government witness against Collins at the earlier trial, died earlier this year. Chernoff told jurors they would instead have transcripts of Maggio’s testimony read to them. Trosten will testify again.

Alleged victims of the scheme included Boston-based Thomas H. Lee Partners, which paid $50 million for a 57 percent stake in Refco in 2004.

Collins was convicted of five counts, including two counts of wire fraud, two counts of security fraud and one count of conspiracy. Jurors were unable to reach a verdict on nine other charges.

On the fifth day of deliberations in Collins’s trial, jurors told U.S. District Judge Robert Patterson in a note that they were having difficulty reaching a verdict. Later that day, one of the jurors told a court security officer that another juror had physically threatened him.

Jury Notes

After Patterson received more notes from jurors, including one claiming that a male juror on the panel tried to barter his vote, he met alone with that juror and encouraged the man to try to work with other members of the panel.

The appeals court held that Patterson’s meeting alone with the juror deprived Collins of his right to be present at all stages of his trial.

Bennett is serving a 16-year sentence. His ex-partner, Tone Grant, is serving 10 years following a conviction at a trial.

The case is U.S. v. Collins, 07-cr-1170, U.S. District Court, Southern District of New York (Manhattan).

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