Is Michigan Supreme Court Justice Diane Hathaway resigning? Or ready to plead guilty to criminal charges? Or still planning to fight the feds who have accused her of mortgage fraud in civil proceedings?
Robert Snell and Chad Livengood report that a federal judge in Detroit on Wednesday temporarily halted the government's attempts to seize her Florida home as "a possible sign Hathaway is considering a deal in the controversial land transaction case. According to federal court records, U.S. District Judge Marianne Battani ordered a 90-day stay in the federal government's attempt to seize Hathaway's posh second home in suburban Orlando."
The News reported that a filing on Wednesday indicated forfeiture procedures could get in the way of an FBI probe into the matter and a deal could mean anything from a resignation to a guilty plea.
She and her husband are accused of of scheming to defraud a bank of nearly $600,000 in mortgage debt on their Grosse Pointe Park home in a short sale. As a result, the feds are trying to seize her Florida home in a civil proceeding, but there are reports that the FBI is investigating this as a criminal matter.
Peter Henning, a former federal prosecutor, told the News:
"This is a sign that something is brewing. Which direction the case is going to go is still very much shrouded in secrecy. A stay lets you concentrate on either resolving this or dealing with any kind of criminal investigation. This gives everybody a chance to catch their breath."
Her attorney Steve Fishman declined to comment to the News.
