Judge Won't Dismiss Rigas Charges

A federal judge has refused to dismiss charges of conspiracy and tax evasion against Adelphia Founder John Rigas and his son Timothy Rigas. The charges are separate from the fraud charges on which they were prosecuted in New York. "In the New York action, the Rigases were charged with agreeing to conceal from investors, analysts and lenders the failing financial condition of Adelphia," District Judge John E. Jones III wrote. "In this action, the Rigases are charged with agreeing to avoid paying income taxes. These two different objectives mark two different conspiracies." John Rigas is serving 12 years in prison and Timothy Rigas, once Adelphia's chief financial officer, is serving 17 years following their 2004 New York convictions on charges including conspiracy, bank fraud and securities fraud. The Rigases argued that their acquittal on wire fraud and conspiracy charges in New York means they did not scheme to defraud the company by diverting funds for personal use. But Jones wrote in his 39-page decision that while the New York jury "concluded they did not engage in a scheme to defraud Adelphia, this conclusion does not establish that they did not receive funds from the company for personal use."