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Attorney airs ad to rebut charges

Alan Dershowitz to defend Noel Gage in federal fraud case

Las Vegas attorney Noel Gage has come out swinging in his fight with the federal government, airing a defiant television commercial since his indictment earlier this year and recently adding one of the country's top legal minds to his defense team.

Harvard University law professor Alan Dershowitz has signed on to represent Gage, who faces fraud and other charges in connection with what prosecutors have described as a multimillion-dollar scheme to inflate settlements and judgments in personal injury cases.

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  • The defendant is tight-lipped about what role Dershowitz will play in his criminal case. He's also keeping mum about what prompted the renowned author and civil libertarian, who accepts only a handful of cases each year, to take up his cause.

    "I think it's fair to say that the government's prosecution of this case is an attempt to create a crime where none has ever existed," Gage said without elaborating.

    A federal grand jury has indicted two people in the fraud case: Gage and Howard Awand. The indictment against Awand claims he "purported to be" a medical consultant. Prosecutors claim the two men conspired with unidentified doctors in Las Vegas for two years to pad their own pockets.

    During an interview on Thursday, Gage pointed to a $101 million verdict returned last month in Boston in a malicious prosecution case against the federal government. The verdict was awarded by a federal judge in a case involving four men who were wrongly convicted of murder.

    "There's going to be a new era for wrongful prosecution," Gage told a reporter. "It's no longer going to be fun for prosecutors to wrongfully accuse and malign honest, innocent people."

    When asked if he was referring to himself, the lawyer replied, "I certainly am."

    Gage also has gone on the offensive with a television commercial that has aired in recent weeks. It begins with Gage telling viewers that the United States was founded on the principle of equal justice.

    "But these days, you can't count on equal justice when lobbyists for insurance companies write the laws," he proclaims. "To avoid compensating injury victims, there's a movement to prosecute the trial lawyers who seek justice for you. I'm going to continue to fight for justice and fair compensation for you when you're injured. My integrity is not for sale."

    Gage, 69, has been practicing law in Las Vegas since 1997. His wife of 16 years, Ivy, is his partner at Gage & Gage.

    "I had no intention of doing TV here, but I had to speak out," he said during an interview at his Summerlin office.

    Gage said television viewers will see his face frequently in the coming weeks.

    "You don't have a forum, as a defendant, until you get to trial," he said in explaining his decision to turn to television advertising.

    Gage said he is continuing to handle personal injury and medical malpractice cases. He declined to say whether publicity about his criminal case has had any effect on business at his law firm.

    His fraud trial is scheduled to begin Oct. 29 before Senior U.S. District Judge Lloyd George, but Gage said he wants it to take place sooner.

    "I'd like it yesterday," he said.

    Federal prosecutors declined to comment on Gage's statements or on Dershowitz's involvement in the case.

    "We will present our case in the courtroom," said Steven Myhre, Nevada's acting U.S. attorney. "Whoever represents their side of the case is entirely up to them."

    Court records show that Dershowitz filed a petition Aug. 10 for permission to practice in U.S. District Court in Nevada in the Gage case. The records now list both Dershowitz and Las Vegas attorney Tom Pitaro as Gage's lead attorneys in the case. Gage referred to Dershowitz and Pitaro as his "trial team."

    Dershowitz was on vacation and did not return a message left at his office this week. Pitaro also could not be reached.

    According to Dershowitz's Web site, he primarily focuses on teaching and writing. One of the frequently asked questions listed on the site is: How do I submit a legal case to professor Dershowitz?

    The professor's answer: "I accept very few legal cases each year, and those I do accept are primarily appellate criminal cases."

    In a 1993 interview with the Review-Journal, Dershowitz discussed his strict criteria for selecting cases.

    "To me, it has to be a cutting-edge issue," he said.

    Dershowitz, who was in Las Vegas at the time to speak at the 30th anniversary celebration for Reno's National Judicial College, said he received about 100 requests a week but accepted only about six cases each year.

    "It has to be a case where I feel there's been an injustice," he said.

    Dershowitz said he also looks for cases that would benefit from his experience and background, as well as those that would serve as a teaching vehicle for his students.

    Although Dershowitz is known for defending clients such as Claus von Bulow, O.J. Simpson, Michael Milken and Mike Tyson, "he continues to represent numerous indigent defendants and takes half of his cases pro bono," according to his Web site.

    Gage would not say whether he is paying Dershowitz.

    Dershowitz, 68, joined the Harvard Law School faculty more than four decades ago. His book "Reversal of Fortune: Inside the Von Bulow Case" was released in 1986 and was made into an Academy Award-winning motion picture starring Glenn Close and Jeremy Irons.

    Pitaro has filed a motion to dismiss the charges against Gage and requested the opportunity to present oral arguments on the matter to George.

    If the judge grants the hearing, Gage said, the arguments will "illustrate that the U.S. attorney's office is very misguided in its prosecution of this case."

    Pitaro's motion, as well as other documents filed in the case, outline complex legal issues that already have arisen in the matter.

    For instance, the indictment accuses Gage and Awand of conspiring "to defraud and deprive clients of the honest services of their attorneys," but Pitaro is challenging prosecutors' use of this fraud theory in a case involving a private defendant, rather than a public official.

    "The federal government by bringing this novel indictment against Gage ... is actively invading the traditional province of the State Bar of Nevada and its supervision of its attorneys," Pitaro wrote.

    According to the indictment, Awand recruited a network of doctors who agreed to refer patients to him. The document alleges that Awand referred patients to personal injury lawyers, including Gage, in return for secret payments or promises from the lawyers not to file lawsuits against doctors in Awand's network.

    Gage paid Awand and the doctors for the patient referrals with money from a client's settlements or judgments "through false pretenses," the indictment alleges.

    According to a recent document filed by Pitaro, the indictment "does not allege, nor can it, that Gage received kickbacks or bribes from Awand or anyone else." Instead, Pitaro argued, the indictment "alleges that Gage paid Awand in return for the potential future referrals of additional clients -- a classic situation that has traditionally been the province of the State Bar of Nevada."

    Gage denies he paid Awand from client funds and said the case has "absolutely no victim."

    Prosecutors argued in a recent court document that they can properly prosecute Gage under the "honest services" theory of mail fraud.

    "In the eyes of the law, there are few relationships that are more sacrosanct than that between attorney and client," prosecutors wrote. "It is beyond dispute an attorney owes his or her client a fiduciary duty."

    In addition, prosecutors argued that the State Bar of Nevada "does not have exclusive jurisdiction to remedy the wrongs committed by Awand and Gage."

    "Gage's claim notwithstanding, a license to practice law is not a license to steal," prosecutors wrote.

    Gage received his law degree from the University of Michigan in 1962. He practiced law in both Michigan and Texas before moving to Nevada. He received a medical degree in 1985 from Spartan Health Sciences University, which he described as a foreign medical school operating in Texas. According to the school's Web site, it is located in the former British colony of St. Lucia in the West Indies.



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    listen up wrote on August 29, 2007 11:59 AM: "Rebuttable Presumption," you are a fool! You've already heard the evidence, huh? And you think the presumption of innocence has been overcome? Wow! You're an easy sell, aren't ya! What about the defendant's evidence and a trial by a jury of his peers? Let me guess, you've heard all you need to hear? That is truly moronic, and that is not what our country is founded on!
    I bet you thought those poor Duke Lacrosse players were guilty. Well what do you think of that sick, twisted, prosecutor Nifong's evidence now? What's wrong? I thought all you needed to hear was the prosecutor's side of the story!
    Strangely, I do agree with you on one point. That is that this is a case about greed--the greedy insurance industry! I say great job, Gage, and all those other great plaintiff's attorneys in LV who sock it to those greedy bastards!


    Ticked off Reader wrote on August 28, 2007 11:23 AM: Where are you people coming up with this? There are no "secret" reductions given to doctors and then money in the "advertising" campaign. Every penny goes to the client. You should know what you are talking about before staking an idiotic opinion. Mom of 4 is correct. He is innocent until proven guilty. You have only heard the biased reports by the news. If you are not smart enough to know that it is being skewed one way, then you are just pathetic.


    Case of Ethics wrote on August 26, 2007 11:13 AM: "Who" behind the scenes brought this on? It does not appear to be a client, thus Gage's comment about their being no identified "victim". Seems some insurers pulled some strings. I see this more as an "Ethical" case, not criminal (unless of course, the wise Insurers are saying they were criminally defrauded).


    James B. Hicks wrote on August 25, 2007 10:23 PM: Noel Gage is a bigger tool than I am.


    carlos wrote on August 25, 2007 05:02 PM:

    Paper should have check Gages back ground more, chase out of Detroit many years ago. Rep the police dept and use
    that leverage many questiable ways.
    xwife judge in Oakland county Michigan
    currently retired.
    Gage left a trail back in the
    middle 1960 and 1970 in Detroit.
    Gage had security on office doors before
    it was even thought of for fear of someone getting him.
    Told people in Detroit that he
    was going to medical school at UCLA
    and was flying out to California weekly.

    Was Gage chase out of Texas??


    Steve wrote on August 25, 2007 04:22 PM: Two Calls spelled it out the best I have seen. I now see how they do it. The rotten bastards.

    Go get em Feds.


    Rebuttable Presumption wrote on August 25, 2007 04:20 PM: Mom of 4 calls us morons because she is obviously friends with Noel Gage and because she says he is "innocent until proven guilty." Wrong Mom of 4. Noel Gage is PRESUMED innocent until proven guilty. Based on what I have read, that presumption has been overcome. I base this on Noel Gage's involvment with Howard Awand, who allegedly steers clients to attorneys and doctors, and is alleged to have had a hand in unnecessary medical procedures, performed on unsuspecting accident victims, solely to increase the value of their accident case, and, derivatively, the money made by the attorneys, doctors, and the medical consultant, Awand.

    In this case, I am of the opinion that the presumption of Gage's innocence has been REBUTTED. Where is it written that we cannot have an opinion as to guilt or innocence? I do not have to wait for the outcome of the court trial to intelligently render my opinion of whether the presumption of innocence has been rebutted.

    Noel Gage was presumed innocent. I read the evidence against him, listened to his response as stated in the media, and believe the mantle of innocence is gone.

    Noel Gage is doing commercials trying to make it appear that insurance companies are the cause of his woes. I would suggest that greed is the cause. There should be no need for a Howard Awand, a non-attorney, non-doctor, if a referral and medical procedures are on the up and up.

    So take that, Moron of 4.


    Two Calls wrote on August 25, 2007 04:06 PM: The "honest services fraud" is the key to this investigation. Doctors approach attorneys who advertise, and offer to pay for advertising so long as the attorneys steer clients to these doctors.

    Here's how:

    Total Settlement: $15,000

    Attorney Fee (1/3) $ 5,000
    Medical Bills $ 5,000
    Client Nets $ 5,000

    An attorney can virtually always get a doctor to reduce his or her medical bill. Say, from $5,000 to $3,000. But, since the attorney is "working" with the doctor, who is paying for the advertising, there is no reduction given. The client THINKS the $5,000 is being paid by the attorney directly to the doctor. However, the doctor actually gets $3,000, with the "$2,000 reduction" going to the advertising budget. Multiply that $2,000 reduction by 50, which is a very conservative estimate of the number of new cases signed up each month by the T.V. attorneys, and you have $50,000 a month in advertising. The big name attorneys get even more. Plus, a steady flow of insurance paying accident clients.

    The crime occurs when the attorney does not give the $2,000 reduction TO THE CLIENT. It's their money. Without this scheme most lawyers could never afford to advertise, or compete with those who do scheme.

    I suggest you see the state court documents in the case of Andracki, M.D. v. Chad Golightly. Doctor Andracki alleges that he and Chad Golightly actually had a SIGNED CONTRACT in which they agreed to exchange clients for advertising dollars.

    Defrauding clients of THEIR money to spend on the ATTORNEY'S advertising is fraud. Honest Services Fraud.


    Insurance Game wrote on August 25, 2007 12:43 PM: Face it. The Insurance Industry and the Medical industry (doctors) have been battling for years over medical bills. The underlying problem might be "insurance" involved in medicine!! (This goes of HMOs and Auto Insurers that review injury claims). Once involved, they try control the medical decisions! It can be sick game of profit over your health. When an Accident happens, and an "injured" person see attorney, the insurer-doctor dispute manifests! The attorney gets stuck in the middle of the dispute.


    JGolden wrote on August 25, 2007 11:33 AM: This is a case for Steve Miller!!!!!


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