March 18, 1999

Portland, Maine

After deliberating for nearly two weeks, a federal jury found Catherine Duffy Petit guilty of all 78 counts of conspiracy, bankruptcy fraud, money laundering, securities fraud and mail fraud. Co-defendant Paul Richard was convicted on 73 of 74 counts. Both were remanded into custody and will be held in Cumberland County Jail until their sentencing.

Former Sun Life agent David Hall was convicted of 19 counts of conspiracy, mail fraud and securities fraud. Former Lewiston police officer Roland Morin was found guilty of conspiracy and three counts of bankruptcy fraud. Hall and Morin were released pending a sentencing hearing, which is expected within three months. All the defendants are expected to file an appeal.

In a stunning vindication of the government's case, the jury reached its verdict shortly before 3:00 p.m. Thursday and a packed courtroom listened intently as a court clerk read each count just after 4:30 p.m. The defendants and their families remained quiet as the eight-week long trial and jury deliberations reached its conclusion.

Assistant U.S. Attorney Donald Clark told the court that Petit is facing sentencing guidelines of 18-24 years, Richard a possible 17-21 years, David Hall 8-10 years and Morin a possible 6-8 years.

After the verdict was read, Petit's son Matthew and daughter Loren Petit Cimenian told reporters that their mother would be pressing forward with her 14-year-long civil case against Key Bank, the basis of the government's charges that Petit orchestrated a $6.8 million fraud. Cimenian also thanked all of the family's friends and supporters.

It is unclear when Thomas Blackburn, James Erskine, Donald Shields, Robert Paradis, Greg O'Halloran and Armand Pelletier - all government informants who pleaded guilty to felony charges - will be sentenced.

7:30 p.m.

Portland, Maine