Rigases appeal shot down by federal court

A U.S. appeals court has dealt another setback to former Adelphia CEO John Rigas and his son Tim.

A panel of judges in the 2nd U.S. Circuit Court of Appeals rejected the Rigases’ request for reduced sentences. The panel also ruled that a lower court made no error in November 2007 when it denied them a new trial.

John Rigas, 84, is serving a 12-year prison sentence and Tim, 53, is serving a 17-year sentence. They reported to a federal penitentiary in Butner, N.C., in August 2007.

The Rigases were prosecuted after Adelphia collapsed in 2002 following the company’s announcement that it had more than $2 billion in liabilities it had not previously reported.

The 2nd U.S. Circuit Court upheld their 2004 convictions on fraud charges.

The Rigases contended that the sentences were unduly harsh; that they should receive a new trial based on evidence that prosecution witness Jim Brown lied; and that they were denied interview notes from potential witnesses whose testimony may have exonerated them.

Federal prosecutor William Johnson acknowledged that the sentences were long, but said they were not uncommon for white collar cases. He also noted that John Rigas and Tim Rigas had shown no remorse.