I’m vindicated, Gage says

Personal injury attorney Noel Gage made a bold prediction before his fraud trial began earlier this year: "I'm going to be acquitted."

Technically, his claim did not come true. His case resulted in a mistrial in March after jurors failed to agree on a verdict. But on Thursday, two days after a judge dismissed the case, Gage said he felt vindicated.

Pointing to the nine-page decision, Gage said, "It shows that we have an office here that's out of control, that doesn't understand their constitutional obligations to the public."

For months, Gage has criticized the U.S. attorney's office in Las Vegas for pursuing the case against him.

"I always knew what the result would be," he said. "I just didn't know when."

Gage said the ruling by Senior U.S. District Judge Justin Quackenbush amounts to an acquittal because it bars prosecutors from refiling the case.

But prosecutors could ask the 9th U.S. Circuit Court of Appeals to review the decision. When asked about the possibility of an appeal, Gage said simply, "Bring it on."

Gregory Brower, the U.S. attorney for Nevada, said he expects to decide within the next couple of weeks whether to pursue an appeal. A decision to proceed then would require approval from Justice Department officials in Washington, D.C.

"Obviously, there was enough evidence for the federal grand jury to believe that Mr. Gage should be indicted," Brower said Thursday. "We believed there was enough evidence to convict Mr. Gage of the charges against him. We believe that the evidence was overwhelming, and we were confident that if given the chance to try the case again, we would prevail."

Brower said only the jurors can explain why their weeklong deliberations did not result in a conviction. He said Quackenbush barred lawyers in the case from contacting jurors after the trial.

Attorneys argued strenuously over jury instructions in the case, Brower said, and prosecutors were worried after Quackenbush made his decision about which legal rules to give the panel. Brower called the instructions "confusing" and "legally defective."

Gage was indicted last year with medical consultant Howard Awand, who is awaiting trial. Prosecutors accused the pair of conspiring with doctors to cheat injured clients and enrich themselves.

Quackenbush, a visiting judge from Spokane, Wash., later acquitted Gage of most of the counts against him. And the judge warned federal prosecutors in April that he would dismiss the remainder of Gage's case unless they granted limited immunity to spine surgeon Mark Kabins. The judge followed through on that threat Tuesday.

Brower called the judge's order "unprecedented under these circumstances."

Prosecutors had granted immunity to two other doctors, Benjamin Venger and John Thalgott, for their testimony at Gage's trial.

Although the defense subpoenaed Kabins, he exercised his Fifth Amendment right against self-incrimination and refused to testify. According to court records, the government has told Kabins that he is a target of their investigation.

After the trial, Gage's lawyers asked Quackenbush for an order compelling the government to grant immunity to Kabins, whose testimony was expected to contradict Thalgott's testimony.

According to the judge's ruling, "The integrity of our justice system would be totally compromised if the prosecutor could grant immunity to witnesses whose testimony supports the Government's charges, but reject the same ... immunity to other witnesses whose testimony would contradict the Government's position or witnesses."

Spokesman Phillip Pattee said the State Bar of Nevada's office of bar counsel is investigating Gage's conduct. It will present its findings to a screening panel of the bar's Southern Nevada Disciplinary Board.

"We've opened what we call a grievance file, and we are monitoring what is going on," Pattee said.

He said the screening panel will decide whether or not to file a formal complaint against Gage.

"We haven't even asked him to present his side yet," Pattee said.

The bar has a rule that attorneys cannot split fees with nonlawyers. At Gage's trial, jurors heard evidence of payments Gage made to Awand.

Gage admits he made payments to Awand, but he denies any wrongdoing.

"I didn't split a fee with a nonlawyer," he said. "I paid for consulting services."

Gage expressed confidence that bar representatives will clear him.

"I don't think anyone has the right to tell a lawyer what he may pay a consultant for services rendered, be it a medical consultant, an engineer, a biomechanics expert or a rocket scientist," he said.

Gage, who has a medical degree, described Awand as "the most competent medical consultant" he has encountered. Gage called the fraud charges against Awand "nonsense."

"He worked his ass off. I paid him a very substantial number of dollars for his assisting me," the lawyer said. "I can't imagine that to be a crime."

Gage, who turned 70 last month, said he has no plans to retire soon. After taking an Alaskan cruise and attending his "victory party," he plans to accelerate his law practice.

The lawyer said he was fortunate that he had the financial resources to obtain a top-notch legal team, which included his wife, Ivy Gage. He also had the support of famed Harvard Law School professor Alan Dershowitz.

"I think the power of the federal prosecutors is so omnipotent and can be abused so easily ... that there needs to be a movement for an ombudsman, because you're spending taxpayers' money, and you're subjecting ordinary people to unthinkable burdens, despite their innocence," he said.

Brower agreed that federal prosecutors have much power, but he said they also are subjected to multiple layers of oversight and exercise their power "very carefully."

Contact reporter Carri Geer Thevenot at cgeer@reviewjournal.com or 702-380-8135.