Adelphia Settlement Gets Partial OK


U.S. District Judge Leonard B. Sand granted his approval to Adelphia Communications Corp.’s $715 million settlement of accounting charges Wednesday, AP reported.

Sand is one of three judges who must sign off on the settlement, according to AP.

Sand presided in the criminal case last year against Adelphia founder and former chairman John Rigas and two of his sons who also held corporate titles at the MSO.

Rigas and his sons have agreed to forfeit more than $1.5 billion in assets as part of the settlement, according to AP. Proceeds would be used to create a fund to compensate investors.

The settlement must be approved before the June 1 sentencing of John Rigas and his son, former chief financial officer Timothy Rigas, on securities-fraud and other charges, AP reported.

“The alternatives to this settlement are not at all attractive, not only in terms of the complexity and the contingencies that would result," Sand told AP.