Rhode Island state government has asked a state Superior Court judge to open to the public records related to the state’s civil suit against several financial companies and law firms in the long-running case to recover damages from those involved in the ill-fated 38 Studios bond deal.
A settlement to Rhode Island's pension conflict may be announced Thursday.
House Speaker Nicholas Mattiello said through his spokesman that a settlement may be at hand. The state has offered modest improvements on a settlement offer rejected last year in an attempt to end the pension dispute. Hanging in the balance is $4 billion in savings for the state pension plan.
Keven A. McKenna, the former state representative, Providence Municipal Court judge and unsuccessful mayoral candidate in the capital city, is in trouble again with the Rhode Island court system.
McKenna, whose law license was recently suspended for one year by the Rhode Island Supreme Court in a long-running professional conduct dispute, was slapped by Superior Court Judge Patricia Hurst in as unusual decision that found McKenna responsible for unprofessional conduct as a lawyer.
A legal observer says he expects the legal dispute over a 2011 overhaul of the state pension system to be settled out of court.
Roger Williams University Law School dean Michael Yelnosky said he’s fairly optimistic about the outlook for a settlement. “For a couple of reasons: one, they came so very close before; there continue to be lots of good reasons to settle on both sides,” said Yelnosky.
Efforts to settle the pension dispute fell apart in April when one of six plaintiff groups rejected a proposed deal.
A Superior Court judge is scheduled Tuesday to consider the first settlement growing out of the state’s lawsuit over 38 Studios. The settlement calls for the state to get a payment of $4.3 million.
After 38 Studios went bankrupt in 2012, the state sued 14 defendants to try to cut down the roughly $90 million owed by taxpayers. The first proposed settlement in the case was announced late last month. It involves the law firm of Moses Afonso Ryan, which served as bond counsel for the ill-fated 38 Studios project.