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George Ryan loses appeal, but remains free

August 21, 2007

Former Gov. George Ryan’s conviction on corruption charges was upheld today by a federal appeals court, but the once-powerful Republican will not have to immediately report to prison.

Instead, the 7th Circuit U.S. Court of Appeals late this afternoon ruled that Ryan can remain free as his attorneys continue to appeal the case. Ryan was to report to prison by Friday morning.

While the late-afternoon ruling proved a reprieve for Ryan, the decision by the appellate court earlier in the day was a major setback in his efforts to avoid a 6-year-plus prison sentence. A three-judge panel turned down Ryan’s request for a new trial by a 2-1 decision.

Lawyers representing Ryan held out hope that Judge Michael Kanne’s dissenting opinion might lead to a rehearing of his case before all nine eligible judges on the 7th Circuit appellate court.

Ryan has been appealing his conviction on the basis that it was handed down by a tainted jury, as well as other evidence-related issues.

“This case — in terms of the management of the jury and the substitution of jurors after eight days of deliberation — is unprecedented in the American judicial system,” said former Gov. James Thompson, one of Ryan’s lawyers. “No court anywhere has ever deprived a defendant of his life and liberty under these circumstances, and that is an argument we will make to the entire court of appeals and, if necessary, to the Supreme Court of the United States.”

The majority of appellate justices hearing the case ruled that problems with the jury weren’t enough to throw out guilty verdicts against Ryan and a co-defendant, Larry Warner. A jury in April 2006 found Ryan guilty of racketeering and fraud charges involving state government.

Prosecutors, among other things, accused Ryan of taking regular Jamaican vacations paid for by a currency-exchange owner to whom Ryan steered a $500,000 state office lease. They also accused Ryan of steering an $850,000, four-year state office lease to Warner for property that Warner had bought a short time before for $200,000.

“In the end, the evidence supporting the jury’s verdict was overwhelming,” Judge Diane Wood wrote in the majority opinion.

Wood also wrote that the jury problems Ryan pointed out were not egregious enough to warrant throwing out the convictions against Ryan and Warner.

“We conclude that the district court handled most problems that arose in an acceptable manner, and that whatever error remained was harmless,” Wood also wrote.

Former federal prosecutor Patrick M. Collins, who led the government’s case against Ryan, said the appellate court issued a fair decision.

“When I heard the decision, my initial impression was the system is working,” said Collins, who is now in private practice.

The appellate court’s decision to allow Ryan to stay out of prison as he asks the appellate court to reconsider the case ended questions about whether he’d be behind bars before the end of the week.

Should the appellate court decide not to rehear his case, it is likely Ryan will be behind bars shortly thereafter.

Should the appellate court take the case, it is expected Ryan would be allowed his freedom until they render a decision.