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New Mexico Supreme Court won't restore funds to Legislature
Legal Network | 2017/05/11 04:51
The New Mexico Supreme Court on Thursday rejected a request to override budget vetoes, leaving negotiations about how to solve the state's budget crisis — and restore funding to the Legislature — in the hands of the governor and lawmakers.

In a two-page order, the court said it was too soon to consider any possible constitutional violations related to Gov. Susana Martinez's vetoes of all funding for the Legislature and state universities in the coming fiscal year.

The order said the Legislature's lawsuit was "not ripe for review," siding with attorneys for the governor who cautioned justices against an abuse of their judicial power.

The Republican governor has called a special session for May 24 in an attempt to resolve the state budget crisis linked to faltering tax revenues and a weak state economy.

The Democratic-led Legislature had argued that Martinez overstepped her authority by defunding the legislative branch of government and all state institutions of higher education.

Martinez had urged the state Supreme Court to stay out of budget negotiations and said her vetoes were made in pursuit of reductions to state spending and never sought to abolish the Legislature.

Thursday's ruling sent lawmakers and the governor back to the negotiating table with no signs of agreement on how to shore up wobbly state finances.

"We need to have a little love, and there is not much love going around right now," said Republican Sen. Bill Sharer, R-Farmington, describing distrust that stands in the way of a budget deal and related tax reforms.

For the upcoming special session, Martinez has outlined rough proposals to restore most vetoed funding for the fiscal year starting July 1. Democratic lawmakers say the proposals are linked to untenable tax revenue increases on nonprofits and food.

The governor's office issued a statement praising the court decision and prodding legislative leaders to abandon a proposed tax increase on gasoline sales designed to shore up state finances.



Joaquin 'El Chapo' Guzman returns to court in drug case
Legal Network | 2017/05/05 23:22
Mexican drug lord Joaquin "El Chapo" Guzman is returning to a Brooklyn courtroom Friday, a day after a judge rejected his request to be allowed in the general inmate population.

The 59-year-old defendant famous for twice escaping from prison in Mexico lost his bid Thursday to relax the terms of his confinement at a lower Manhattan lockup when U.S. District Judge Brian Cogan concluded that solitary confinement was appropriate.

Cogan said the U.S. government had good justifications for applying tough jail conditions on a man who escaped twice, including once through a mile-long tunnel stretching from the shower in his cell. But Cogan relaxed the restrictions known as Special Administrative Measures enough for Guzman to communicate with his wife through written questions and answers.

His lawyers said in a statement that it was "devastating" for Guzman and his wife that they will not be allowed jail visits.

Guzman was brought to the U.S. in January to face charges that he oversaw a multi-billion dollar international drug trafficking operation responsible for murders and kidnappings. He has pleaded not guilty.


Trump 'absolutely' considered breaking up 9th Circuit Court
Legal Network | 2017/05/04 10:21
President Donald Trump, still chafing over rulings blocking his travel ban early this year, says he's considered breaking up the West Coast-based 9th Circuit Court of Appeals.

Asked during a White House interview by the Washington Examiner if he'd thought about proposals to break up the court, Trump replied, "Absolutely, I have." He added that "there are many people that want to break up the 9th Circuit. It's outrageous."

The comments echoed his Twitter criticism of the court Wednesday morning.

Trump called U.S. District Judge William Orrick's preliminary injunction against his order stripping money from sanctuary cities "ridiculous" on Twitter. He said that he planned to take that case to the Supreme Court. But an administration appeal of the district court's decision would go first to the 9th Circuit.


Supreme Court says cities can sue banks under anti-bias law
Legal Network | 2017/05/02 10:21
The Supreme Court ruled Monday that cities may sue banks under the federal anti-discrimination in housing law, but said those lawsuits must tie claims about predatory lending practices among minority customers directly to declines in property taxes.

The justices' 5-3 ruling partly validated a novel approach by Miami and other cities to try to hold banks accountable under the federal Fair Housing Act for the wave of foreclosures during the housing crisis a decade ago.

But the court still threw out an appellate ruling in Miami's favor and ordered a lower court to re-examine the city's lawsuit against Wells Fargo and Bank of America to be sure that there is a direct connection between the lending practices and the city's losses.

Miami claimed that Wells Fargo and Bank of America, as well as Citigroup, pursued a decade-long pattern of targeting African-American and Hispanic borrowers for costlier and riskier loans than those offered to white customers. The loans to minority homeowners went into default more quickly as well, the city said.

Wells Fargo and Bank of America appealed the ruling by the 11th U.S. Circuit Court of Appeals to the Supreme Court, arguing that cities can't use the Fair Housing Act to sue over reductions in tax revenues. The banks said the connection between a loan and the tax consequences is too tenuous. Citigroup did not appeal, though its lawsuit also would be affected by what the appeals court does in response to Monday's ruling.




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