The 2nd U.S. Circuit Court of Appeals in Manhattan reversed the district court's ruling that ordered the nation's largest police department to turn over secret "field reports" to protesters who sued the city over their arrests.

The ruling said that the city "met its burden of showing that law enforcement privilege applies to field reports — even as redacted by the district court — because the reports contain detailed information about the NYPD's undercover law enforcement techniques and procedures."

Before the convention, members of the NYPD's Intelligence Division went undercover and infiltrated protest groups that wanted to disrupt the convention. Information in the undisclosed documents "reinforces the city's assertions that the public faced a substantial threat of disruption and violence during the RNC," the appeals court wrote.

Former Twin Cities attorney Michael S. Margulies pleaded guilty in federal court Tuesday to wire fraud, admitting that he embezzled $2 million from his former law firm and its clients.

The plea was the result of a deal Margulies, 56, struck with federal prosecutors. U.S. District Judge David Doty accepted the plea and ordered a presentence investigation to help him decide what punishment the former real estate attorney should get when he's sentenced.

Federal sentencing guidelines call for a maximum of 20 years in prison on wire fraud.

Margulies was released until sentencing, with no date set.

The plea came 13 days after Margulies was charged with a single count of wire fraud. The felony charge was the most recent event in a fallen career.

Margulies had been a partner at Lindquist & Vennum, one of the Twin Cities' most prestigious law firms, and he lived in a $1.5 million mansion on St. Paul's Summit Avenue. He was a member of the St. Paul Planning Commission and served on the board of the Children's Theatre Company in Minneapolis.

But in March, his law partners determined he was taking money from the firm and some of its clients. They fired him and reported the alleged thefts to authorities. The Minnesota Supreme Court disbarred him in April.

The criminal charge said that from 1994 to this year, Margulies embezzled about $2 million through false documents, false expenses, false invoices and forged checks.

The sentence was more than the 40 years federal prosecutors had recommended for Rothstein, a disbarred lawyer who pleaded guilty to racketeering and fraud conspiracy charges in January.

He had faced up to 100 years in prison but his lawyer had asked U.S. District Judge James Cohn to give him no more than 30 years.

Rothstein, who turns 48 on Thursday, fled to Morocco as his fraud scheme collapsed in late October, apparently lured by the fact that the country has no extradition treaty with the United States. He voluntarily came back to Florida in early November and has been jailed since he surrendered to the FBI in December.

Upon his return, Rothstein cooperated with investigators unraveling his investment scheme, which prosecutors cited in asking that he be given a sentence of no more than 40 years. But Cohn tore into Rothstein for his "greed and arrogance" before handing down the tougher sentence, stressing that Rothstein had committed his fraud while serving as a licensed attorney.

Part of that fraud involved forging bogus court documents, making it especially egregious to a federal judge, Cohn said. "There can be no conduct more reviled," he said.

However, officials say the 2,763 filings in the metro area represent a 35 percent increase compared with May 2009.

Experts say soft housing prices, a bleak employment scenario and other financial issues continue to plague many Phoenix-area residents.

Chapter 7 filings, which provide a fresh financial start for debtors, accounted for 83 percent of the total. That's the third straight month that they've been above 80 percent.

The Supreme Court on Friday refused to delay ousted Illinois Gov. Rod Blagojevich's trial on corruption charges, set to begin next week.

Justice John Paul Stevens rejected Blagojevich's request without comment. His decision came shortly after the Obama administration told the high court that it opposed Blagojevich's request.

The former governor's trial is scheduled to begin on Thursday.

In Chicago, Blagojevich attorney Sheldon Sorosky said after hearing about the decision that the former governor's legal team was ready for the trial to get under way.

"We didn't prepare presuming that the Supreme Court would rule in our favor — we prepared for the worst," Sheldon Sorosky said. "The Supreme Court has ruled and that's that."

Blagojevich had asked the high court to delay his trial until the justices rule first in pending cases about the constitutionality of the federal honest-services fraud law. Prosecutors have charged Blagojevich with violating the fraud law and other crimes.

Acting Solicitor General Neal Katyal said the evidence on the honest services charges "is the same as that underlying the bribery, extortion, and racketeering counts." That means the flow of the trial won't be affected by what the Supreme Court says about the honest services charges, Katyal said in court papers.

Fifty-seven-year-old William Calderwood was acquitted Friday of 55 counts of aggravated arson in Cuyahoga (ky-uh-HOH'-guh) County Common Pleas Court. He was convicted of one count of burglary.

The fiery Jan. 25 blast damaged 72 homes on Cleveland's west side. Prosecutors say Calderwood stole appliances, furniture and pipes from the vacant house and tampered with its gas line before the explosion.

Calderwood's attorney, Patrick Leneghan, says he is elated about what he calls a "fair and just" verdict.

Calderwood will be sentenced Wednesday and faces a maximum of five years in prison.