Phen-fen lawyers face new charges

LEXINGTON, Ky., Sept. 5 (UPI) -- Two Kentucky lawyers who allegedly defrauded clients in a settlement over the diet drug phen-fen face new federal charges of wire fraud.

An indictment handed up Wednesday adds eight counts of wire fraud to an original count of conspiracy to commit wire fraud, the Cincinnati Enquirer reported.

Shirley Cunningham and William Gallion have already been through one trial, which ended in a mistrial when the jury was unable to agree on a verdict. A third defendant was acquitted.

Federal prosecutors said they have increased the amount of restitution they want from $66 million to $94 million. They listed 15 properties in Kentucky and Florida that they said Cunningham and Gallion should surrender.

The lawyers allegedly negotiated a $200 million settlement for 400 clients who claimed they had been harmed by phen-fen and then hung on to more than half of the money.