Former DOJ Chief Rehired by Big Bank Law Firm
Former Assistant Attorney General for the Criminal Division of the Department of Justice, Lanny Breuer, is returning to his roots. According to the New York Times article titled “Once More Through the Revolving Door for Justice’s Breuer”, Breuer is rehired by the Covington & Burling, a law firm known for defending financial clients facing Federal scrutiny such as Bank of America, Citigroup, JP Morgan Chase and Wells Fargo & Co.
Prior to joining to DoJ, Breuer was a partner and co- chairman at the Covington & Burling, from 1989 until 1997. Breuer who failed to criminally prosecute any Wall Street executives during his tenure with the DoJ, will be working as a Vice President for the firm this time around. His first year salary is expected to be around $4 million.
Although Breuer helped secure large amounts of monetary penalties from the Wall Street firms that were involved in the LIBOR scandal and won DOJ’s case against BP over the Deepwater Horizon disaster, PBS documentary “Untouchables” discovered many problems and inconsistencies in the Justice Department’s investigation into the financial crisis during Breuer’s lead.
Breuer and the DOJ never tried any Wall Street execs for fraud after the economic collapse in 2008.
The Guardian’s Glenn Greenwald brilliantly explains, in his January 23rd article, why there have been no efforts made to criminally investigate fraud across the financial industry. He writes “ In the documentary Inside Job, the economist Nouriel Roubini, when asked why there have been no such investigations, replied: “Because then you’d find the culprits.” Underlying all of that is what the Senate’s second-highest ranking Democrat, Dick Durbin, admitted in 2009: the banks “frankly own the place”.”
Breuer announced his resignation on January 30, 2013, eight days after the Frontline documentary “Untouchables” was aired. Breuer’s departure took place on March 1, 2013. Of course he does not need to wait on the unemployment line, as these revolving doors provide ample employment opportunities for former government officials back into the Wall Street and its related industries.
According to federal law, Breuer cannot work in any case against the DOJ for two years after starting with the Covington & Burling, and is not allowed to take part in cases he once handled on the other side of the table at the Justice Department.
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