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Starr Handling Pension Fund Case for Hughes

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As if he weren’t busy enough, independent counsel Kenneth W. Starr has turned up as the “counsel of record” representing Hughes Electronics in a possible Supreme Court battle over employee pension fund benefits.

This case, however, isn’t likely to lure media mobs to sidewalk interviews, and it definitely lacks the, uh, sex appeal of his investigation into the White House intern matter.

Still, it does involve an estimated $1 billion in over-funded pension money--and that makes it a key case for both sides.

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“He’s considered one of the best at arguing cases before the Supreme Court, and that’s obviously why we hired him,” said Hughes spokesman Richard Dore.

Several former Hughes employees filed the lawsuit in early 1992, arguing that Hughes is obligated to share the extra money with its beneficiaries. Hughes argues that it promised employees a specific amount in benefits and is not required to share the fund overage.

Since the filing, Hughes has been pushing to get the case dismissed before it begins. The request was denied by an appeals court, and the case is pending in U.S. District Court in Los Angeles. Meanwhile, though, Hughes has asked the Supreme Court to hear the case for dismissal.

Starr, who has done work for Hughes parent General Motors before, submitted the legal brief.

Seth Kupferberg, an attorney representing the former employees, said he’s checking into whether Starr’s multiple roles constitute a conflict of interest.

“One can speculate about how much he actually contributed to the brief, but he signed it,” Kupferberg said. “I assume that his name is there in an attempt to bring to bear the weight of his prestige and position.”

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