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Volume 24 No. 117

Law Politics

     Robert Houston, a former accountant for L.A. Kings President
Bruce McNall, has agreed to plead guilty to three criminal counts
for his role preparing false tax returns and financial statements
so that McNall could get more than $150M in loans to "shore up
his deteriorating business and financial situation."  The plea is
expected to be entered within two weeks.  Houston was accused in
court papers of being part of a group of McNall officials "who
for the last eight years fraudulently obtained loans by inflating
McNall's income, overstating his assets and understating or
omitting previous loans."  Houston is the second McNall executive
to agree to plead guilty within the last month and about a dozen
former McNall associates are known to be negotiating pleas (Bates
& Dillman, L.A. TIMES, 9/21).