Judge: Couple must show need for counsel

? A federal judge ruled Wednesday an indicted Haysville doctor and his wife must prove they do not have the funds to pay for their own legal counsel.

U.S. Magistrate Judge Donald Bostwick set a March 3 hearing date on a motion to revoke the court-appointed counsel for Stephen Schneider and his wife, nurse Linda Schneider.

The couple face a 34-count federal indictment charging them with conspiracy, unlawful distribution of a controlled substance, health care fraud, illegal monetary transactions and money laundering. They have pleaded not guilty.

Prosecutors contend the Schneiders have unencumbered assets of about $690,000 that they could sell to pay for their own private counsel. Assistant U.S. Attorney Tanya Treadway told the judge that those were not “tainted assets” allegedly obtained by the indicted criminal acts.

The government listed those properties as “substitute assets” that could be seized only if it wins the case and there are not enough other assets to cover any future judgments.

But that does not preclude the Schneiders from now selling their assets, she said, contending the government could not then go back for them. The indictment alleges millions of dollars in claims.