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Plea bargains possible in Gold Club trial
ATLANTA, Georgia (CNN) -- In a surprise turn of events, a majority of the defendants in the Gold Club racketeering trial, including owner Steve Kaplan, are considering a plea bargain offered by the government, sources close to the case told CNN. The development, revealed Wednesday, could spell a quicker-than-expected end to a trial, which began in May and featured graphic testimony about sexual favors and celebrity athletes at the adult entertainment bar. Prosecutors say the club has ties to organized crime. Sources close to the case said Kaplan is considering an offer whereby he would plead guilty to federal racketeering charges including facilitating prostitution, failing to report a felony, credit card fraud and defrauding Delta Airlines out of free or heavilty discounted tickets.
Under the possible deal, he could forfeit ownership of the highly profitably strip club and pay a possible $5 million fine. If he decides to go the distance and is convicted of all the charges against him, Kaplan could lose all assets under federal racketeering laws. He could also face a sentence of more than 20 years. Four other defendants are also considering guilty pleas that would include racketeering and lesser felonies, but another two have not agreed to consider a plea bargain. The plea deal also has been offered to defendants in a second, still unscheduled Gold Club trial involving similar charges. It was not immediately clear whether any deal would involve any prison time. "It's at a very delicate stage of the negotiation," one source said. U.S. District Judge Willis Hunt sent jurors home Wednesday, and attorneys for both sides are believed to be in and out of his chambers as they weigh the options. The two defendants not considering a plea bargain, sources said, are Michael DiLeonardo, aka "Mikey Scars," an alleged associate of John Gotti Jr., and Reginald Burney, a former Atlanta police officer charged with accepting bribes to warn Gold Club managers of pending permit inspections. Several employees of the Gold Club had agreed earlier to testify for the prosecution in exchange for lesser sentences, including former manager Thomas "Ziggy" Sicignano, who said Kaplan orchestrated every move and every dime spent at the night spot. Atlanta Braves' outfield Andruw Jones and basketball star Patrick Ewing were among the athletes who testified about sexual encounters involving the club's dancers. |
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