Espy "Gratuities"
Trial Postponed

WASHINGTON —(AP)— The trial for former Clinton administration Agriculture Secretary Mike Espy on charges he took illegal gratuities from companies he regulated — and then tried to cover it up — has been postponed until two related appeals are decided.

"The outcome of these (appeals) will likely have an influence on the content of the prosecution and defense of this case," U.S. District Judge Ricardo Urbina said in a two-page order made public last week.

The trial had been scheduled to begin March 30. No new date was set.

One appeal involves Urbina's previous decision to dismiss four counts of the original 39-count indictment against Espy. Three of those charges were brought under meat inspection laws that were written to prevent rank-and-file Agriculture Department inspectors from accepting gifts from processors.

Independent counsel Donald C. Smaltz is seeking to get those charges reinstated, arguing that the law should apply equally to the agriculture secretary. Espy's attorneys argued in asking for a delay that the trial shouldn't go forward with that question unresolved.

"It would be patently unfair to put Mr. Espy to the task of facing a second trial on charges that are virtually identical to the charges in the first trial," wrote Espy lawyer Reid Weingarten.

In addition, Sun-Diamond Growers of California is appealing its September 1996 convictions for illegally giving Espy $6000 in gifts and improperly contributing $4000 to the failed Mississippi congressional campaign of his brother, Henry Espy.

That appeal, Urbina noted, goes to the heart of whether the gratuities were a crime, "an issue central to the proof" against Espy.

Urbina set no new trial date. Espy, who left Clinton's Cabinet in late 1994, has pleaded innocent to the charges.

Smaltz's probe has led to more than $10.5 million in fines and costs against companies involved in the Espy gifts, including $6 million assessed against Arkansas-based Tyson Foods Inc. for some $12,000 in gratuities. In addition, seven people, five corporations and one law firm have been convicted.