Capt. James Yee spent 76 days in custody after the military initially linked him to a possible espionage ring at the Naval base in Cuba where terror suspects are held. But the government failed to build a capital espionage case against him.

He is charged with mishandling classified material, failing to obey an order, making a false official statement, adultery and conduct unbecoming an officer for allegedly downloading pornography on his government laptop.

The proposed settlement calls for the Army to dismiss the more serious charges, while Yee would waive his right to be court-martialed on the accusations involving the pornography.

That would mean the government could still punish Yee on those charges through an Article 15 proceeding, the military's method for dealing with minor infractions. The penalties would be minor, such as duty restriction or a temporary pay cut.

Petty Officer Christopher Sherwood, spokesman for U.S. Southern Command, which operates the detention center in Cuba, said military officials are reviewing the proposal, but declined to comment further.

Terms of the proposal for Yee were accidentally e-mailed Thursday to dozens of media outlets, including The Associated Press, by one of Yee's civilian lawyers. Minutes later, the lawyer, Eugene Fidell, sent another e-mail, urging recipients to "disregard and destroy the e-mail I sent a few moments ago. It was sent inadvertently."

Some news organizations ignored the request.

Fidell said Friday that he was aware that his proposal had been published and would have no further comment.

"Most people honored my request," he said.

Michael Greenberger, a former deputy associate U.S. Attorney General for counterterrorism in the Clinton administration, said the Army has the authority to accept Fidell's proposal and may decide to back off now to minimize its embarrassment.

"Frankly, this case seems to have been ill-founded from the start," said Greenberger, now a professor at the University of Maryland. "I think it would not be surprising at all that the U.S. would want to cut their losses and accept Eugene Fidell's offer."

If convicted of all charges, Yee could face dismissal and a maximum of 14 years in prison.