Vegas lawyer reveals late luncheon with Tabish, Murphy

Thursday, Nov. 18, 1999 | 11:30 a.m.

A Las Vegas lawyer acknowledged Wednesday that he had lunch with Rick Tabish and Sandy Murphy the day Ted Binion died.

William Knudson, who represents Tabish and Murphy in civil matters, told reporters he dined with the two people accused of killing the wealthy gambling figure at the Z'Tejas Grill on Paradise Road from about 2:35 p.m. until 3:45 p.m. on Sept. 17, 1998.

The lunch is expected to be part of the alibi Tabish and Murphy have put together to fight the murder charges. That means Knudson, a member of the Nevada State Bar since February 1996, could become an important witness at the March 13 trial of the two defendants.

Medical experts working with prosecutors believe the 55-year-old Binion died between 9 a.m. and noon. Tabish and Murphy, once said to be romantically involved, are accused of pumping the former casino executive with drugs and suffocating him. Murphy was Binion's live-in girlfriend at the time.

Murphy, a 27-year-old onetime topless dancer, reported discovering Binion's body at his 2408 Palomino Lane home at 3:55 p.m., about 10 minutes after the lunch with Knudson concluded. Tabish telephoned Murphy on her cell phone at 3:47 p.m., just eight minutes before she called police.

Knudson, with his Los Angeles attorney, Arthur Barens at his side, met Wednesday with reporters to complain that he was being "harassed" by prosecutors and "vilified" by the media over his representation of Tabish and Murphy.

Earlier this year, Knudson cited his attorney-client privilege when he refused to answer questions from prosecutors investigating Binion's slaying.

Barens said Knudson has acted in a "professional" and "responsible" manner throughout his dealings with Tabish and Murphy.

"I believe the prosecutors in this case significantly lack evidence to put together a compelling case," Barens said. "They are looking for any witnesses they can possibly get by any means whatsoever in the hopes that they can get statements that will benefit their case."

Chief Deputy District Attorney David Roger, the lead Binion prosecutor, declined comment.

But Tom Dillard, a private detective probing Binion's death for his estate, said: "What Mr. Knudson calls harassment we call investigation."

Barens described an Oct. 27 Sun story that raised questions about Knudson's role in the case as an unfair attack on his client. Knudson was given an opportunity to comment before the story was printed, but he did not return phone calls.

The Sun agreed to do an interview with Barens after the story was published, but Barens opted instead to hold a news conference. Tabish's criminal lawyer, Louis Palazzo, attended the conference.

Knudson, meanwhile, said there was nothing unusual about his 1998 lunch with Tabish and Murphy and that he didn't notice anything about the demeanor of his two clients that would cause him concern.

Murphy, he said, never mentioned anything about Binion's health or drug use.

He said Tabish asked him to meet for lunch earlier in the day to discuss business, but when it came time to eating they didn't talk much about Tabish's business affairs because Murphy was present.

Knudson explained that he first met Tabish in the spring of 1997 when the two were involved in a business deal. The deal ended up falling apart, he said, but Tabish retained him to help draw up paperwork for his Las Vegas trucking and contracting companies.

The day after Binion's death, Knudson said, Tabish asked him to represent Murphy, who was having trouble getting back into Binion's home.

Barens described Knudson as a "pinch hitter" for Murphy's regular lawyer at the time, David Chesnoff, who was not available.

But Knudson acknowledged he later agreed to represent Murphy in other matters.

He said he allowed Murphy to stay at his home for several weeks after Binion's death to "insulate" her from the media and ensure her safety.

He insisted, however, that his relationship with Murphy was nothing beyond attorney-client.

Knudson's dealings with Tabish and Murphy likely will surface throughout their trial.

On Sept. 18, 1998, Knudson used a videocamera given to him by Tabish to tape a Murphy-led tour inside Binion's home. On that tape, which was played at last August's preliminary hearing, a materialistic Murphy is seen using foul language and taking a wine glass investigators believe played a role in Binion's death.

Knudson also helped Murphy post Tabish's $100,000 bail in Pahrump on Sept. 20, the day after Tabish was arrested on charges of stealing Binion's buried silver fortune.

Then on Sept. 22, the morning of Binion's funeral, Knudson took Murphy to the state Gaming Control Board, where she maligned Binion's sister, Horseshoe Club owner Becky Behnen and her husband, Nick Behnen, in an effort that investigators believe was designed to help establish her defense.

Knudson also gave a job to Murphy's former close friend, Tanya Cropp, after Binion's death.

Cropp, who spent much time with Murphy in the hours before and after Binion's death, decided to cooperate with authorities last July, about a month after Murphy and Tabish were arrested in Binion's slaying.

At his news conference, Knudson said he was "incensed" at the tactics investigators have used against him in the Binion probe, including forcing his mother, Jean Knudson, whom he described as "one of the pillars of this community," to testify before a county grand jury.

Barens said Knudson's mother wasn't asked one question relevant to the Binion investigation.

"That was absolutely as bizarre as anything you could imagine," Barens said.

Knudson said he had heard rumors, but didn't known anything about a Tabish movie deal involving reputed mob figure Joseph Cusumano.