Trustee Irving Picard says in a complaint filed Friday in Bankruptcy Court that Stanley Chais and his family made more than $1 billion in false earnings off Madoff's scheme. He claims the money came from the pockets of burned investors. He wants the money back.

Chais lawyer Eugene Licker says the Chais family has suffered "astounding and ruinous losses from the Madoff scheme."

Madoff pleaded guilty in March to charges his secretive investment advisory operation was a pyramid scheme. He faces up to 150 years in prison.

Picard is overseeing the liquidation of Madoff's assets. He says he plans to use sale proceeds to pay Madoff's victims.

Critics of the prosecution of Steven Rosen and Keith Weissman of the American Israel Public Afffairs Committee had accused the federal government of trying to criminalize the sort of back-channel discussions between government officials, lobbyists and reporters that are commonplace in the nation's capital. AIPAC is an influential pro-Israel lobbying group.

Acting U.S. Attorney Dana Boente said the government moved to dismiss the charges in the drawn-out case after concluding that pretrial rulings would make it too difficult for the government to prove its case.

U.S. District Judge T.S. Ellis III had made several legal rulings that prosecutors worried would make it almost impossible to obtain a guilty verdict. Among them was a requirement that the government would have to prove that Rosen and Weissman intended to harm the United States by trading in sensitive national defense information.

The trial had been scheduled to start June 2 in a case that has dragged on for four years.

Rosen and Weissman had not been charged with actual espionage, although the charges did fall under provisions of the 1917 Espionage Act, a rarely used World War I-era law that had never before been applied to lobbyists.

A former Defense Department official, Lawrence A. Franklin, previously pleaded guilty to providing Rosen and Weissman classified defense information and was sentenced to more than 12 years in prison.

This came as the high court on Wednesday upheld the conviction and sentence of Christopher Michael Dean, who was arrested for trying to rob a bank in Rome, Georgia, in 2004.

A gun went off accidentally during the attempted robbery when Dean tried to switch the weapon from one hand to the other. The discharge brought an automatic 10-year sentence for firing a weapon during a crime. Dean appealed, saying the automatic sentence shouldn't count since the firing of the gun was accidental.

Federal prosecutors said the law doesn't care why the gun went off, and the high court agreed.

Chief Justice John Roberts, who called it "the case of the bungling bank robber" in his bench statement, said the law "does not require that the discharge be done knowingly or intentionally."

If criminals want to avoid the penalty for accidental gunfire, they can "lock or unload the firearm, handle it with care during the underlying violent or drug trafficking crime, leave the gun at home or — best yet — avoid committing the felony in the first place," Roberts said.

Justices John Paul Stevens and Stephen Breyer dissented, saying Congress intended the automatic sentence to only apply to intentional discharges of weapons.

It is the second major race case heard by the justices after Barack Obama became the nation's first black president.

The justices seemed split along conservative and liberal lines in considering a provision applying to all or parts of 16 states, mostly in the South. It requires them to get federal government approval before changing their voting procedures.

Congress adopted the Voting Rights Act, an historic piece of U.S. civil rights legislation, to make it easier for millions of blacks and other minorities to exercise their right to vote.

Congress extended it in 2006 for 25 years, with then-President George W. Bush signing it into law.

Last week the justices considered whether race still can be used as a factor for job promotions and hirings, an issue that could affect millions of employers nationwide.

Opponents of the voting rights law argue that the protections for minority voters are no longer needed after more than 40 years of progress, and they cite Obama's election as evidence of how America has changed since 1965.

Lawyers also will advocate for GM franchise owners, who are under increasing pressure to go out of business as the auto maker races to downsize in an effort to avoid a government-led bankruptcy.

GM's National Dealer Council retained the law firm of Orrick Herrington & Sutcliffe LLP to help ensure dealers being forced to close get payouts they're owed from the auto maker, according to a memo sent to dealers.

The auto maker is looking to eliminate 2,600 dealers by 2010 as part of a recovery plan that aims to keep the company out of bankruptcy court by slashing costs and restructuring debt.

GM, which has said it expects minimal costs in reducing its dealer body, will inform dealers within the next two weeks whether they are among those marked to close.

Kilpatrick Stockton LLP, an Atlanta-based firm, confirmed in a statement that attorney Mark Levy had died.

"Mark Levy was well known and highly respected for his successful appearances before the Supreme Court of the United States," said Bill Dorris, the firm's co-managing partner.

Levy was a deputy assistant attorney general in the Department of Justice between 1993 and 1995 and served five years in the Solicitor General's office.

D.C. Police spokeswoman Helen Andrews said officers were called to an office building where the firm is located to investigate a shooting Thursday morning. Investigators believe it was a suicide.

Levy attended Yale University's law school with former President Bill Clinton and Secretary of State Hillary Clinton and more recently worked on fundraising for Hillary Clinton's presidential campaign, said Dennis Gingold, an attorney who was working with Levy on a case.

"I don't know anyone who isn't shocked by what just happened," Gingold said. "He was a good guy. He really was ... and professionally, he was first class."

During his career, Levy had argued 16 cases before the Supreme Court. At Kilpatrick Stockton, he served as counsel and chair of the firm's Supreme Court and appellate advocacy practice. Levy, who was married and has two children, lived in Bethesda, Md.

"We worked very hard to keep this company out of bankruptcy," one official said on a conference call with reporters. However, not all of Chrysler's secured creditors were on board with the agreement. "With reluctance, we've made the decision to go through with this surgical bankruptcy process."

Under the terms of the arrangement, Chrysler will be placed in a "quick rinse" bankruptcy, which officials expect to last about 30 to 60 days. The government will provide $3 billion to $3.5 billion so-called "debtor in possession" financing to keep the company running, and another $4.5 billion in exit financing. In addition, the Canadian government will provide $1 for every $3 of U.S. taxpayer money on the line.

The government is also replacing Chrysler's board, but it is not yet clear who the replacements will be. Officials said Chrysler Financial, the company's captive financing arm, didn't have the resources to support a restructuring. Instead, GMAC will be the company's new financing source, with support from the U.S. government. Italian automaker Fiat will engage in a partnership agreement with the company.

Fiat's stake would initially be 20%, but it could increase, in 5% increments, as it meets three government thresholds: helping Chrysler establish a distribution network outside of North America, building a fuel-efficient engine in a Chrysler U.S. Factory, and building a small car in a U.S. Factory. Once taxpayers are repaid, Fiat could boost its stake above 50%.