Attorneys lay out arguments in Cahill fraud case

BOSTON (AP) - Attorneys have outlined possible trial arguments in a hearing on whether the public corruption case against former State Treasurer Tim Cahill and two former aides should be dismissed.

All three have pleaded not guilty to ethics violations and procurement fraud charges stemming from taxpayer-funded ads for the state lottery during Cahill's unsuccessful campaign for governor in 2010. As treasurer, Cahill oversaw the lottery.

Prosecutor Jim O'Brien said at the hearing Thursday the ad was akin to taking money from the lottery budget and putting it into Cahill's campaign account.

Defense attorney Brad Bailey argued the allegations are like labeling President Barack Obama's campaign references to health care reform as fraud.

Suffolk Superior Court Judge Christine Roach said Massachusetts is "plowing new ground" with the charges. Roach has not decided whether to dismiss the charges.

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