Monday, November 24, 2008
Feds in Motion
"Michael Garcia, the U.S. attorney for the [SDNY], in Manhattan, could resign his position as early as this week and is likely to join a private law firm in New York, say people close to his office. ... Public pressure is growing to increase regulation of financial institutions and find people who may have contributed to the financial crisis. ... The [SDNY] has suffered some setbacks of late. Mr. Garcia's securities-fraud unit recently lost the chance to investigate mortgage investors Fannie Mae and Freddie Mac after the Justice Department have the cases to federal prosecutors in Washington and Virginia, according to a person familiar with the matter. ... Mr. Garcia has been in advanced talks to join the New York office of law firm Kirkland & Ellis. A spokeman for the law firm declined to comment", Amir Efrati at the WSJ, 10 November 2008.
"Tim Johnson has been named acting U.S. attorney for the Houston-based Southern District of Texas, taking over for Don DeGabrielle, who resigned as of last week. ... DeGabrielle annnounced Monday that he has joined the Houston law firm, Fullbright & Jaworski [F&J] to work in international governmental investigations and white-collar defense. ... DeGabrielle's move to [F&J] was not entirely a surprise in Houston legal circles. His own predecessor, the late Mike Shelby, also went to Fullbright when he resigned from the top prosecutor position. 'Mike always spoke highly of Fullbright, making it an easy next step for me, especially after seeing firsthand the support offered Mike while he was ill. Fullbright has assembled a strong white-collar defense team that includes a nucleus of lawyers with whom I have previously worked in the Department of Justice'," my emphasis, Mary Flood at the Houston Chronicle, 11 November 2008.
You didn't think Garcia would hang out his own shingle and file class-actions for plaintiffs did you? Mike, good riddance.
The DOJ revolving door revolves once more. Good riddance to you too, DeGabrielle. Shades of New York's Mary Jo White!