High court won't take accountant's appeal

Tuesday, October 2, 2001

WASHINGTON -- A Missouri accountant convicted of helping drug dealers hide their profits will not get a chance to have his conviction thrown out by the Supreme Court.

The Supreme Court refused Monday to consider whether federal prosecutors abused their power in promising Charles I. Covey immunity to get evidence against the dealers, then sought charges against him with the evidence.

Last year the court handled a similar case involving Webster Hubbell, a friend of former President Clinton. The court threw out Hubbell's guilty plea to a misdemeanor tax charge, finding he could not be prosecuted with documents he was forced to provide under immunity.

Covey is serving nearly five years in prison for his role in the money-laundering scheme. He was not identified further in court documents, and his attorney and court officials were unable to say Monday where in Missouri he lived or did business.

The two dealers gave Covey $70,000 cash in a paper bag during a meeting in a restaurant parking lot in 1993. In exchange he gave them a $50,000 loan from his business, MCM Enterprises, to use to set up a motorcycle shop.

Covey notified the IRS in 1995 of the cash exchange and said it was a suspicious transaction.

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