HOUSTON, Jan. 7 (UPI) -- A federal judge in Texas rejected a proposed plea bargain Wednesday that would have given former Enron assistant treasurer Lea Fastow a five-month prison term.
U.S. District Judge David Hittner in Houston turned down the plea bargain between prosecutors and Fastow's lawyers because it gave him no way to increase the sentence, according to sources quoted by the Houston Chronicle.
Lea Fastow, the wife of ex-chief Enron financial officer Andrew Fastow, was expected to plead guilty to one of six counts. She is charged with wire fraud, money laundering and making false tax returns. Her trial is set to begin Feb. 10.
U.S. District Judge Kenneth Hoyt was expected to meet with lawyers Wednesday on another possible plea bargain with Andrew Fastow. Fastow has previously pleaded innocent to charges that include fraud, money laundering and conspiracy.
Andrew Fastow allegedly engineered schemes that defrauded Enron and its shareholders, enriching himself and his family. The Houston energy company filed for Chapter 11 bankruptcy two years ago, costing thousands of workers their jobs.
