Lance Malone Former Clark County Commission member's trial set to begin Monday Michael Galardi Pleaded guilty Dario Herrera Found guilty Erin Kenny Pleaded guilty Mary Kincaid-Chauncey Found guilty

Former Clark County Commissioner Lance Malone is negotiating with federal prosecutors in a last-ditch effort to avert trial on political corruption charges, a source close to the case said Wednesday.

The government offered Malone an agreement that, in exchange for a guilty plea, would allow him to serve a prison term that will run concurrently with the three-year sentence levied last summer in San Diego in a similar political corruption case. Malone also would agree to abandon the appeal he filed after the San Diego conviction.

Malone is the last of five defendants to go to trial, culminating the 3-year-old public corruption case that centered around Michael Galardi, who admitted bribing politicians to protect the financial viability of his strip clubs in Las Vegas and San Diego.

Galardi and Malone were accused of providing cash bribes to three San Diego councilmen and former Clark County commissioners Erin Kenny, Dario Herrera and Mary Kincaid-Chauncey. In exchange for the cash, the commissioners voted favorably on Galardi-related matters.

Galardi, the money source, and Kenny pleaded guilty in 2003. Herrera and Kincaid-Chauncey, recipients of the bribes, were convicted in May. Malone, the middle-man who is accused of delivering the cash to politicians, had vowed to fight the charges in Las Vegas. But negotiations between Malone's attorney, Dominic Gentile, and federal prosecutors, intensified in the last week, the source said.

Gentile did not return telephone messages Wednesday, but confirmed Tuesday that he was in negotiations with the government.

Natalie Collins, spokeswoman for the U.S. attorney's office, said Wednesday, "Plea negotiations are under way, but we're still scheduled to go to trial beginning Monday."

Malone was charged with conspiracy to commit wire fraud, wire fraud and conspiracy under the Racketeer Influenced and Corrupt Organizations Act.

"He was really in a very, very difficult situation," said Douglas McNabb, a Houston defense attorney who specializes in federal criminal cases and has followed the Galardi case closely.

"When you have so many cooperating people and you have those who actually did go to trial and lost, you run the risk of having your sentence stacked. There's a huge amount of pressure to try to work something out."

Although the plea agreement had not been signed as of Wednesday evening, there were several indications that the trial will not proceed Monday.

For example, in the week leading up to the trial of Kincaid-Chauncey and Herrera, defense attorneys and prosecutors filed a flurry of motions, submitted proposed questions for jurors and attended a status conference, according to court documents.

Only one motion on behalf of Malone has been filed this month.

Herrera's legal team made repeated visits to the Clark County Government Center to speak with potential witnesses who were later subpoenaed. Clark County Deputy District Attorney Mary-Anne Miller said Gentile has subpoenaed no county employees.

Additionally, Assistant U.S. Attorney Daniel Schiess has not met or briefed Galardi, the government's star witness who testified against Malone in San Diego, according to the source familiar with the case.

Schiess had not subpoenaed Tony Montagna, an undercover informant and head of security for Galardi, whose wiretaps and testimony played a key role in Malone's conviction in San Diego, the source said.

Also, according to another source, FBI Special Agent Chris Byers is out of the country. Byers testified for the prosecution in the trial of Kincaid-Chauncey and Herrera and was expected to do so again in Malone's trial.

If Malone lost at trial, he could face a five or six-year sentence on top of the three years he received in San Diego, one source said.

In San Diego last year, Malone was found guilty of paying off San Diego councilmen Michael Zucchet, Charles Lewis and Ralph Inzunza.

Malone, working as Galardi's lobbyist, attempted to reverse an ordinance prohibiting dancers from touching customers at Galardi's club in the San Diego suburb of Kearney Mesa.

In May, jurors in Las Vegas returned a guilty verdict against Herrera and Kincaid-Chauncey. During the eight-week trial, the jury heard hours of recorded telephone conversations between Malone and the defendants setting up meetings.

They also heard conversations in which Malone and Galardi use language that prosecutors said should be interpreted as code phrases for payoffs.

Malone's trial was severed from that of his two co-defendants because his two former colleagues on the commission planned to -- and did -- attack his credibility.

Herrera's attorneys suggested that Malone pocketed bribes Galardi intended to be delivered to the elected officials.

"I have never received a payment from Mr. Galardi or Mr. Malone, anywhere," Herrera testified on April 20.

Malone was captured on a recording of an intercepted telephone call telling Kincaid-Chauncey he planned to "supply" her.

But Kincaid-Chauncey testified she often ignored Malone's ramblings, saying, "Lance would talk a lot and not always say a lot."

Kincaid-Chauncey testified she often found herself concerned for her friend, who was floundering as Galardi's lobbyist. Kincaid-Chauncey said she bowed to Malone's requests to call Galardi and thank him. She explained that Malone wanted to prove to his boss he had a close relationship with commissioners.

Jurors didn't buy it.

During the San Diego trial, Gentile attempted to convince jurors that Malone was simply fulfilling his duties as a lobbyist when he kept in close touch with the council members and flushed them with campaign contributions.

Malone was convicted of one count of conspiracy to commit wire fraud, 33 counts of wire fraud and three counts of extortion.

In all, Malone delivered between $35,000 and $40,000 to the councilmen. Most of the payments were bundled. Malone solicited individuals to make contributions, then reimbursed them. The limit on donations in San Diego is $250.

The amount of money changing hands in Las Vegas was far greater, according to testimony during Herrera and Kincaid-Chauncey's trial.

Galardi, a government witness expected to take the stand in Malone's trial, testified against his two co-defendants. Galardi said he paid Herrera between $150,000 and $200,000 and Kincaid-Chauncey about $80,000. Galardi told FBI agents all the payments were delivered by Malone.