1995 AHI Healthcare Shareholder Lawsuit Key in Milberg Investigation?

The AHI case appears to be a bit of a perfect storm for investigators, with several well known players in Milberg's orbit all having a role in the lawsuit. Several key participants in the case have been granted immunity including frequent Milberg lead plaintiff, Melvyn Kinder, whose attorney has acknowledged that Kinder is assisting investigators.

Other familiar names involved in the case that will ring a bell for one following the Milberg kickback probe include:

Government informant Stephen G. Cooperman was involved in bringing the case to Milberg's attention. Cooperman offered up info on Milberg Weiss in the hopes of reducing the decade-long sentence he was facing on insurance fraud charges.

Former Milberg partner Alan Schulman (now with Bernstein Litowitz) who since leaving Milberg has been openly hostile to the firm's conduct was the team leader on the AHI case. Schulman is known to be cooperating with investigators.

Also participating in the AHI case was John B. Torkelsen, a frequent Milberg expert witness who has had his own troubles with the law. Torkelson recently received a plea deal that was though to be related to his assisting federal prosecutors in their Milberg probe.

Check out the full LA Times article for a closer look the various players' connections to the AHI suit and how it all effects the ongoing government investigation into Milberg Weiss's alledged improprieties.

-- MDT