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CNN Live At Daybreak

Plea Bargain the Works in Gold Club Trial

Aired August 02, 2001 - 07:24   ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
COLLEEN MCEDWARDS, CNN ANCHOR: We've got word of a plea bargain in the works for some of the defendants in the Gold Club trial. It's a racketeering case -- you probably remember -- involving a strip club owner, alleged mob ties, a dancer named Diva, and sport celebrities as well. It's got it all, and now a possible plea bargain.

Art Harris is with us now. He has been covering this trial.

Art, tell us what you know about this? What's the scoop?

ART HARRIS, CNN CORRESPONDENT: Colleen, what is expected is that the owner of the Gold Club will accept a plea bargain that will in fact give up the Gold Club -- give it to the taxpayers -- you and I -- which would be run initially by the government -- probably not run, but sold. He would in exchange also pay $5 million in fines, and get up to possibly three years in prison saving all his colleagues and co- workers, who are on trial with him, prison time. That is the...

MCEDWARDS: Possible three years in prison though. I mean, I remember that indictment. It was huge. That's a lot less time than prosecutors were indicating at the beginning -- right?

HARRIS: Much less than 20 years.

(CROSSTALK)

HARRIS: And in fact, what some sources tell me is that one reason he is willing to accept this is No. 1, the Gold Club is worth far less than it used to be.

MCEDWARDS: Yes.

HARRIS: It's not doing the business, because of the notoriety. No 2, the number of years offered is far fewer. Colleagues who are on trial with him number six. And they are likely to avoid jail time if the presentencing agreement goes well and the judge upholds what the government has recommended.

MCEDWARDS: And you are hearing that this could happen today. So this is -- is this past the discussion stage? Is this on paper yet, do you know?

HARRIS: A draft has been submitted. It is being considered.

MCEDWARDS: Wow.

HARRIS: At the moment, though, two members have yet to refuse the deal. Michael DiLeonardo, who is an alleged captain in the Gambino crime family, and is the alleged bag man who delivered skim money from the Gold Club to the Gambinos. It is unclear whether he will accept or not. The other is Reginald Burney, an Atlanta police officer, who has been allegedly bribed by Kaplan to warn them of any impending raids.

MCEDWARDS: How about Jackie Bush?

HARRIS: Jackie Bush is expected to accept the plea as well, after, in fact, it was suggested that she would have something called a Madonna defense, which was: I was with Dennis Rodman, because I love Madonna, and he was with her.

(LAUGHTER)

MCEDWARDS: A Madonna defense. She, I should point out, was the stripper known as Diva -- correct?

HARRIS: That was her stage name. She was Diva. And she is the one, who Kaplan allegedly paid, and she would pay the others.

MCEDWARDS: Right. OK. Fascinating story. Thanks very much, Art, for bringing us up to date...

HARRIS: Thank you.

MCEDWARDS: ... on the developments -- appreciate it.

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