Alert May 19, 2009

Attorneys General Expand Inquiry Into "Pay to Play" Abuses

Goodwin Procter’s White Collar Crime & Government Investigations Practice Area has been closely monitoring , and counseling clients regarding, the situation resulting from NY Attorney General Andrew Cuomo’s recent announcement that his office is partnering with 35 other attorneys general across the country to create a multi-state task force to investigate potential “pay to play” and other abuse involving government pension funds.  Attorney General Cuomo’s office and the SEC have been investigating corruption relating to the NY State pension fund for the past two years, and have already filed several criminal and civil cases.  The announcement reflects a broadening of this investigation to cover other government pension investments, and other states, and included a disclosure that more than 100 new subpoenas were issued to investment firms and intermediaries who brokered deals with public pension funds.  Attorneys in Goodwin Procter’s White Collar Crime & Government Investigations Practice Area are actively advising clients on issues raised by this task force.  If you have any questions or concerns about the investigation, please contact Rich Strassberg or any member of Goodwin Procter’s White Collar Crime & Government Investigations Practice Area, or your Goodwin Procter attorney.