Rothstein Ratted Out Suspected Mafioso: Report
Ponzi schemer turned informant for feds, may need witness protection
AP
FILE-In this July 27, 2009 photo, Fort Lauderdale, Fla., attorney Scott Rothstein is shown in his office. Rothstein is set to plead guilty Wedensday, Jan. 27, 2010 in Fort Lauderdale federal court to five charges, including racketeering, fraud and money-laundering conspiracy. The 47-year-old faces a maximum of 100 years in prison. (AP Photo/Charles Trainor Jr., The Miami Herald, File)
The mystery surrounding the shuffling of Scott Rothstein between detention centers and hospitals around South Florida two weeks ago is finally getting some perspective after it was revealed yesterday that the Ponzi schemer was working with the Feds to help bust Mafia members.
It turns out Rothstein ratted out one of the alleged mobsters who was arrested in the big FBI/Italian law enforcement sweep in Miami last week, according to the Miami Herald.
After his arrest in November for running the $1.2 billion scam that he has since pleaded guilty to, Rothstein went to work for the Feds in the hopes of reducing his possibly lengthy prison sentence.
Rothstein agreed to wear a wire and go undercover to set up an associate, Roberto Settineri.
Settineri, 41, was arrested in Miami Beach last Wednesday, along with Daniel Dronerhauser, 39. Enrique Ros, 33, is still at large.
Rothstein, according to the Herald, went to Settineri as he was out on bond, claiming the FBI was on his tail and he needed help. Settineri allegedly helped Rothstein destroy boxes of evidence and launder $79,000.
"He knew Settineri," a source told the Herald. "He was able to chat up Settineri."
Settineri was one of several suspected Cosa Nostra crime syndicate members busted in the coordinated round up which also took place in New York and Sicily.
Italian national police in Rome said that 20 warrants were issued on the Palermo-based group, and that six arrests were made in the United States.
The crime family is suspected of running extortion, money laundering and drug trafficking operations.
Though his lawyer had continued to insist that Rothstein wasn't cooperating with authorities, the denials were a ruse to draw Settineri in.
Rothstein's cooperation could land him in the witness protection program, giving him a new name and more protection behind bars. He was transferred from a Miami detention center to the St. Lucie County Jail two weeks ago as the feds were planning the arrest of Settineri.
Rothstein, 47, is facing a maximum of 100 years behind bars for his scheme in which he duped clients of his Fort Lauderdale law firm out of millions through fake legal settlements. He's set to be sentenced on May 6.
Posted Tuesday, Mar 16, 2010 - 9:10 AM EST
