NEW: AG Candidate Hodgson Calls for Kilmartin, Kempe to Step Aside

Monday, June 23, 2014

 

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Dawson Hodgson

State Senator and Republican Attorney General candidate Dawson Hodgson has called for Rhode Island Attorney General Peter Kilmartin, and his spokesperson Amy Kempe, to "step aside" in matters pertaining to the 38 Studio investigation.

In a statement from Hodsgon's camp Monday morning, the campaign stated, "Just days after news broke that RI State Police were seeking cell phone numbers for every state legislator who voted for the 38 Studios bill in 2010 (a list which includes incumbent Attorney General Peter Kilmartin) it was revealed on Friday that the Attorney General’s spokesperson Amy Kempe, has received a subpoena to give evidence in the 38 Studios civil lawsuit."

“This development is not a surprise, but it does highlight the fact that Peter Kilmartin and his senior staffer are just too close to the 38 Studios Scandal to be counted on to provide justice to the people in this matter,” said Hodgson.

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“Peter Kilmartin himself is a potential witness in the case, and now so is one of the highest ranking members of his administration.  It is time for him to acknowledge that the appearance of a conflict of interest in this case is just too strong, and step aside," stated Hodgson.

“In her current position, Ms. Kempe has done all the talking for Peter Kilmartin on the matter of getting answers and justice for 38 Studios.  Yet, as spokesperson for Governor Carcieri she actively worked to keep the 38 Studios insider deal secret from the public and press. These two circumstances cannot be reconciled with any credibility.  The Attorney General and any of his staff who are connected to the 38 Studios deal owe it to the People of Rhode Island to recognize this conflict and stand aside.”

Hodsgon said Monday he believed the Attorney General could take "several courses of action."

"I'm not calling on them to resign, but to step aside from 38 Studios matters," said Hodgson.  "There are two ways -- [Kilmartin] could establish a conflict procedure in the AG's office, essentially telling his staff, "I have a previously identified conflict, I have nothing to do with this, and the Deputy [Attorneys General] will be the only ones to manage this."

"Externally, [Kilmartin] could appoint an attorney from the bar to serve as a special prosecutor to take the matter out of the office entirely," said Hodgson.

 

Related Slideshow: 38 Studios Legal Fees

New state records show that state legal fees associated with the 38 Studios bankruptcy are nearing $1 million. Below is a breakdown of how much each firm has made - and stands to make in the future. Figures are taken from documents provided by the Rhode Island Commerce Corporation. 

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Cohen & Gresser, New York, NY

Billing rates:

Partners: $650-$750/hour
Counsel: $550-$650/hour
Associates: $300-$595/hour
Paralegal: $100-$225/hour

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Cohen & Gresser's Fees:

Total Fees (2013): $102,615.20

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Shechtman Halperin Savage, Providence, RI

Billing rates:

Attorneys: $250/hour
Paralegals: $100/hour
Legal Assistants: $50/hour

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Shechtman Halperin Savage's Fees

2012: $407,899.60
2013: $156,348.37
2014: $19,799.00

Total Fees: $584,046.97

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Wistow & Barylick, Providence, RI

Billing rates: 

Attorneys: $175/hour, $225/hour & $250/hour

Contingency Fee: The RI Commerce Corporation agreed to pay Wistow & Barylick 16 2/3% of the gross of any amount recovered from a lawsuit, compromise, settlement or otherwise. This is not stipulated with the other law firms. 

Note: Wistow & Barylick will only be paid at these rates if the state terminates its contract with the firm. 

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Wistow & Barylick's Fees:

2012: $18.121.05
2013: $90,630.15
2014: $48,054.17

Total Fees: $156,805.37

Note: The above amounts paid to Wistow & Barylick cover the cost of out-of-pocket expenses such as filing fees, costs of depositions, obtaining records, charges for computer-assisted legal research, costs of expert consultants, and the costs of witnesses.   

 
 

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