A federal judge has refused to dismiss a criminal indictment against Paul Ceglia who allegedly filed a sham lawsuit against Facebook claiming fifty percent ownership of the social networking website as reported by Christopher M. Matthews for The Wall Street Journal Law Blog:
Lawyers for Mr. Ceglia had asked U.S. District Judge Andrew Carter to toss the indictment, arguing that the allegedly false claims in Mr. Ceglia's civil lawsuit were protected under the First Amendment and that Mr. Ceglia did not intend to commit fraud. On Friday, Judge Carter denied that request saying the grand jury indictment had laid out sufficient allegations for a trial and that knowingly false statements intended to defraud are not protected speech.
The federal courts increasingly are cracking down on shady lawsuits.
Earlier this week a federal judge ruled that a $9.5 billion judgment in an Ecuador court against Chevron Oil for supposedly polluting a rain forest is not enforceable in the United States because it was secured by "corrupt means" as reported by Bloomberg.