High court asked to overturn ruling

LAS VEGAS " The Attorney General's office on Friday asked the Nevada Supreme Court to allow it to prosecute the lieutenant governor for misappropriation of state funds.

Attorney General Catherine Cortez Masto filed a petition asking the high court to overturn a district court judge's ruling that threw her office off the case against Brian Krolicki.

Krolicki and his chief of staff, Kathryn Besser, were indicted in December on charges they mishandled millions in a state-run college savings program. The both pleaded not guilty to the charges.

Last week, District Judge Elissa Cadish disqualified Cortez Masto's office from leading the prosecution. The judge says the office has a conflict of interest because it also advised Krolicki, then state treasurer, on the college savings program.

Krolicki's attorney sought full dismissal of the felony charges, which Cadish denied. She scheduled a June 3 hearing to determine who should prosecute the case.

In its petition for writ of mandamus, the attorney general says that the district court "abused its discretion" in disqualifying the office.

Krolicki is charged with two counts of misappropriation and falsification of accounts by a public officer, and two counts of misappropriation by a treasurer.

Besser is charged being a principal to misappropriation and falsification of accounts and being a principal to misappropriation by a treasurer.

The charges arose from a 2007 audit of a more than $3 billion, state-run college savings program. Auditors found Krolicki skirted budget controls and spent more on an advertising campaign than allotted by the Legislature. No money is missing and he is not accused of embezzlement.