Shepherd co-defendant pleads guilty

NEW ORLEANS, Sept. 11 (UPI) -- A man being tried alongside Louisiana Sen. Derrick Shepherd pleaded guilty to charges of conspiracy to commit mail fraud and will aid the federal investigation.

The Times-Picayune newspaper in New Orleans said Thursday that James Zoucha, 67, entered a guilty plea with U.S. District Judge Carl Barbier this week as part of an ongoing money laundering trial involving Shepherd, D-Marrero.

Shepherd has been accused of mail fraud and conspiracy to commit money laundering for allegedly helping an unlicensed bond broker take funds from businesses targeted by the state.

Prosecutors have alleged that prior to shutting businesses on orders from the state Department of Insurance, broker Gwen Moyo would attempt to access the proceeds of those businesses, The Times-Picayune said.

Shepherd's federal trial on five related criminal counts is to begin Oct. 6.

The newspaper said as part of Zoucha's plea Wednesday, the man accused of defaulting on a multimillion-dollar bond claim will avoid charges of money laundering, along with mail and wire fraud.