Judge rejects Lea Fastow plea deal

HOUSTON, April 7 (UPI) -- A Houston federal judge Wednesday rejected a proposed plea bargain for Enron defendant Lea Fastow and she asked for a trial on tax charges.

U.S. District Judge David Hittner turned down a deal in which Fastow would have served five months in prison and five months under home confinement, the Houston Chronicle reported.

Hittner asked Fastow, the wife of former Enron Chief Financial Officer Andrew Fastow, if she would accept his sentence. She instead withdrew her guilty plea and will now go on trial in June at Brownsville, Texas, the newspaper reported.

Lea Fastow's plea bargain was the product of extensive negotiations that led to her husband's guilty plea and cooperation in the investigation. His testimony helped indict two other former Enron officials, according to the government.

Lea Fastow, a former Enron assistant treasurer, had pleaded guilty in January to one count of filing a false tax report. Most legal experts said she was indicted in order to force her husband to cooperate in the ongoing federal investigation.