Tyco jurors being listening to review of Swartz's testimony
NEW YORK (AP) -- Jurors at the Tyco International corporate-looting trial began hearing a lengthy reading yesterday of testimony from former chief financial officer Mark Swartz about $72 million in bonuses given to him and the company's former CEO.
The jury had first requested the review last week, then asked the judge to delay it because members were making progress in the jury room. Deliberations later broke down in infighting, nearly causing a mistrial.
But jurors continued their deliberations for a ninth day, also hearing a brief read-back of testimony Swartz gave about a conversation with former chief executive L. Dennis Kozlowski about loan forgiveness.
Swartz and Kozlowski are accused of stealing $170 million to finance their lavish lifestyles by taking unauthorized bonuses and abusing company loan programs. Prosecutors say the two netted an additional $430 million by pumping up Tyco stock prices and selling their shares at market rates from 1995 through 2002.
The defense argued that both men earned every dime and that the board of directors and the auditors knew about the compensation and never objected.
Swartz testified that he did not do anything he believed was illegal. He said he and Kozlowski received bonuses and had their loans forgiven at many informal company board meetings at which no minutes were recorded. Kozlowski did not testify.
State Supreme Court Justice Michael Obus said the review of Swartz's testimony, which began just before 3:30 p.m., would likely stretch into today, meaning a 10th day of deliberations was likely.
Earlier in the day, a defense lawyer complained that a heavily scrutinized juror has been the subject of venomous attacks in Internet chat rooms. Juror number four has been depicted in the press as a holdout for acquittal of Kozlowski and Swartz.
"It is staggering, sir, to understand the venomous and outrageous statements made about this juror in that environment," said Charles Stillman, a lawyer for Swartz.
He did not elaborate or say which Internet chat rooms he was referencing.
Obus said he would consider the matter later. On Monday, the judge rejected a motion for a mistrial that was based on defense complaints that some news organizations had named the juror.
Juror number four became the object of intense scrutiny when some media organizations reported that she had made an "OK" gesture directed at the defense while walking to the jury box on Friday.
Obus said he had spoken with the juror, a 79-year-old woman, and determined that she could continue to deliberate properly.
