Hathaway in federal court next week on fraud charge

DETROIT (AP) -- Former Michigan Supreme Court Justice Diane Hathaway will make her first appearance in federal court next week on a charge of bank fraud.

The U.S. attorney's office says Hathaway is scheduled to appear Jan. 29 before John Corbett O'Meara, a federal judge in Ann Arbor. She was charged with fraud last Friday, three days before her planned resignation from the state's highest court.

Hathaway is accused of concealing assets and shuffling properties to mislead a bank into approving a short sale on her home in Grosse Pointe Park. The sale was approved, and Hathaway and her husband got rid of a $600,000 mortgage debt.

The charge was filed as a criminal information, which means a guilty plea is expected. Hathaway's lawyer won't comment.

Published: Thu, Jan 24, 2013