WASHINGTON ( CNN ) -- A federal judge on Tuesday set aside the conviction of Republican former Sen. Ted Stevens while excoriating the case 's prosecutors . A courtroom sketch shows ex- Alaska Sen. Ted Stevens at Tuesday proceedings , where he said he had `` new hope . '' District Judge Emmet Sullivan also appointed an independent , nongovernment attorney , Henry Schuelke III , to investigate possible misconduct by the government lawyers who prosecuted the 85-year-old former senator from Alaska . `` In nearly 25 years on the bench , I 've never seen anything approaching the mishandling and misconduct that I 've seen in this case , '' Sullivan said . In October , Stevens was found guilty of seven counts of lying on Senate ethics forms . He lost his bid for re-election in November to Democratic challenger Mark Begich , then mayor of Anchorage . In December , an unnamed FBI whistle-blower accused prosecutors of withholding evidence from the defense . The whistle-blower reported that someone with the government had an inappropriate relationship with Bill Allen , an oil industry executive who was the government 's key witness . In a dismissal motion filed Wednesday , the Justice Department acknowledged that Stevens was not given access to the notes taken by prosecutors during an April 2008 interview with Allen . The notes show that responses by Allen were inconsistent with testimony he gave against Stevens and that information from the interview could have benefited Stevens at trial , according to the motion . `` When we were finally given [ the notes ] , you might have thought my reaction would be to celebrate , do high-fives , that we were right , '' Brendan Sullivan , an attorney for Stevens , said Tuesday . `` It was not like that at all . I was sick to my stomach . How could they do that ? Then my revulsion turned to rage , silent rage for a number of days . '' The revelation also helped prompt Attorney General Eric Holder to drop the case . `` In light of this conclusion , and in consideration of the totality of the circumstances of this particular case , I have determined that it is in the interest of justice to dismiss the indictment and not proceed with a new trial , '' Attorney General Eric Holder said in a statement last week . `` If I were Sen. [ Robert ] Byrd , I 'd say 'hallelujah , ' `` a triumphant Stevens said after leaving the courthouse Tuesday . Stevens maintained his innocence throughout a government investigation that led to an indictment and conviction for failing to disclose hundreds of thousands of dollars of `` freebies '' from an oilfield services company on Senate ethics forms . In a statement read to the court Tuesday , Stevens said that his faith in the justice system had been restored . `` Until recently , my faith in the criminal justice system was unwavering . But what some members of this prosecution team did nearly destroyed my faith . Their conduct has consequences they must know can never be reversed , '' he said . `` But [ I now have ] new hope that others may be spared from similar miscarriages of justice . '' Stevens added that he would `` encourage the enactment of legislation to reform laws relating to the responsibilities and duties of those entrusted with the solemn task of enforcing federal criminal laws . '' Paul O'Brien , one of the new government attorneys assigned to the case , made no attempt to the justify the conduct of the previous prosecution team . `` We deeply regret this occurred , '' he said . `` We apologize to the court . '' In issuing his ruling , Sullivan noted the Justice Department 's investigation into potential misconduct by government prosecutors had gone on for six months with no result . `` The silence is deafening , '' Sullivan said . See what the reversal means for the Justice Department » . The judge previously had excoriated prosecutors during the trial and held the prosecution in contempt at one point . One of Stevens ' longtime friends , Sen. Orrin Hatch of Utah , said last weekend that Stevens was `` screwed by our own Justice Department . '' Hatch praised Holder for `` standing up and fixing this foul situation . '' `` I think he 's more than shown integrity and decency in this matter , and it 's not an easy thing for him to do that , '' Hatch said . `` He has , in looking at it , realized now what people like myself have been saying is 100 percent right . '' In the days that followed the Justice Department 's dismissal motion , Alaska state Republican leaders , including Gov . Sarah Palin , called on Begich to step down and allow a rematch without what has been called the `` taint '' of a criminal case against Stevens . `` There 's no way [ Stevens ] can just 'put this behind him ' as some have suggested he should , '' Palin said in a statement released Tuesday . Begich , while indicating his support for a special prosecutor to investigate the botched prosecution , stated that he intends to serve his six-year term . CNN 's Terry Frieden contributed to this report .
Report : ` ` Highly qualified '' Stevens to conduct inquiry into prosecutorial misconduct . District Attorney Emmet Sullivan says 6-month investigation unfruitful : ` ` noise is deafening '' Stevens says he hopes ` ` others may be spared from similar lack of response ''