There are new developments in the case of prominent Staten Island attorney Richard Luthmann, who is charged with fraud. 

NY1 has learned that a second co-defendant of attorney Richard Luthmann will plead guility in Brooklyn federal court on Thursday. 

Under the outlines of his plea agreement, 29-year-old George Padula will serve at least five years in prison. It is not clear if he has agreed to testify against Luthmann. 

Padula's attorney declined comment. 

Padula and Luthmann were indicted on fraud and other charges for allegedly selling cheap filler material to companies that had contracted with them to expensive scrap metal.

Another Staten Island man named in the indictment, Michael Beck, has already pleaded guilty to kidnapping and extortion. 

A letter filed by prosecutors last week said they were in active plea negotiations with Luthmann, but his attorney, Arthur Aidala, says Luthmann has declined to accept any offer and will move ahead with a trial, set for June 25.  

Prosecutors also said in the letter they plan to hit Luthmann with a superseding indictment with additional charges if he doesn't plead guilty before a bail hearing next Wednesday.  

If there is no plea, prosecutors say they will ask a federal judge at the hearing to revoke Luthmann's bail and send him back to detention until his trial.

NY1 has learned that one reason for that request has to do with Luthmann's wife, Tammy Moore. Moore, who is now divorcing Luthmann, was the office manager at his one-man law practice. 

NY1 has also learned that Luthmann arranged to share evidence in the case with state Reform Party Chairman Curtis Sliwa and spokesman Frank Morano. Luthmann had been the party's law chairman.

Sources say the evidence consisted of a DVD containing telephone conversations recorded by Pedula. It was initially given to Luthmann's attorney as part of pre-trial discovery. After learning the evidence was being shared, prosecutors sent agents to retrieve it.

This issue also is expected to be bought up at the bail hearing. 

Luthmann's attorney declined to comment on the DVD.