Mr. Fiorito has denied any wrongdoing, saying he was misled by councilors who fooled him with phony receipts.

WSJ: Scandals Rain on Berlusconi's Party

"The Festo case has a much wider economic impact than Napster does, since many patents will no longer be capable of enforcement, " says Edward Fiorito, an intellectual-property lawyer in Dallas.

FORBES: Me-Too Patents

"The Festo case has a much wider economic impact than Napster does, since many patents will no longer be capable of enforcement, " says Edward Fiorito, an intellectual-property lawyer in Dallas, Texas.

FORBES: Me-too patents

Separately, Italian prosecutors say they are investigating whether Franco Fiorito, the former party whip for People of Freedom in Lazio, used taxpayer funds to finance personal expenses for other regional councilors and to pay for his own island vacation.

WSJ: Scandals Rain on Berlusconi's Party