Pearlman may have to pay interest on $300M

ORLANDO, Fla., July 17 (UPI) -- Assistant U.S. Attorney Roger Handberg has asked a Florida judge to order Lou Pearlman to pay interest on the $300 million he owes those he fleeced.

The former music mogul -- who helped create the pop bands Backstreet Boys and 'NSYNC -- was sentenced in May in Florida to 25 years in prison for money laundering and conspiracy.

Pearlman pleaded guilty in March to bilking investors and banks out of millions of dollars during a period of 25 years.

Handberg argued at a hearing Wednesday that Pearlman should be forced to pay $127 million in interest, in addition to the $297 million he has been ordered to pay in restitution to the investors and banks he conned. Handberg said the victims' money could have been accruing interest elsewhere, had it not been for Pearlman, The Orlando (Fla.) Sentinel said.

The judge hearing the case postponed deciding whether Pearlman should pay the interest, the newspaper said.