Enron Task Force prosecutors have asked a judge in Houston to explain why he refused to accept a plea agreement that would have sent Lea Fastow to jail for five months.

She withdrew her guilty plea earlier this month after U.S. District Judge David Hittner rejected a plea agreement that would have sent her to prison for five months and required five months of home detention (see Daily GPI, April 8). The former Enron assistant treasurer, who is married to ex-CFO Andrew Fastow, pleaded guilty in January to filing a false tax return. A trial now is set for this summer in Brownsville, TX, and if convicted, she could face up to 37 years in prison.

Hittner refused to be bound to the prosecutors’ recommendation, and said he wanted to consider the 10-to-16 months in prison that is called for under federal sentencing guidelines.

Linda Lacewell, a prosecutor for the U.S. Department of Justice and a member of the Enron Task Force, asked Hittner for an explanation of the plea rejection, “particularly since such reasons could aid the parties in determining whether there is a possible resolution, short of trial.”

Lea Fastow’s agreement was tied to an agreement with her husband’s case, but prosecutors said Hittner’s decision would not affect Andrew Fastow’s part of the bargain. Andrew Fastow pleaded guilty to conspiracy charges and received 10 years in prison. He also is cooperating with the prosecution.

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