We have heard from the subjects of a couple of today’s posts, and would like to post a couple of clarifications based on what they told us.
First, a source from Davis Polk wants to make it very clear that the marriage bonuses are not “bonuses” per se, but are instead gifts from the partnership, which always happen to be in the exact amount of $500.
Second, we stated in the Mayer Brown post that the firm had not commented on the examiner’s report in the Refco case. We made that statement based on the fact that two online sources reporting on the case had reported that Mayer Brown had not commented at that time. The statement was not based on any specific request for comment from ATL. However, we now have received an official statement from Mayer Brown, and it is posted in its entirety after the jump.
Earlier: Does It Pay to Be Married In Biglaw?
Court-Appointed Examiner Blows The Whistle on Mayer Brown In Refco Case
7/11/07 – 2:00 pm
STATEMENT BY MAYER, BROWN, ROWE & MAW LLP
IN RESPONSE TO REPORT OF BANKRUPTCY EXAMINER
We have reviewed the report of the Refco bankruptcy examiner with regard to the
involvement of Mayer, Brown, Rowe & Maw LLP in the matter. We are disappointed by
the report and disagree with its conclusions.
After reviewing more than a million pages of documents relating to the firm’s
work for Refco and interviewing 33 witnesses, the examiner acknowledges that he “has
not located direct evidence that Mayer, Brown knew that the . . . [transactions that the
examiner criticizes] . . . were used to manipulate Refco’s financial statements.” This is
an important acknowledgement, as the remainder of the examiner’s criticisms flow from
what we believe to be the unwarranted assertion that lawyers at the firm knew of fraud at
Mayer, Brown, Rowe & Maw and the attorneys who worked on Refco matters
have cooperated fully with the bankruptcy examiner’s investigation. Our review of the
evidence available to us shows that our firm acted in a professional, competent and
ethical manner in its work on behalf of Refco.
As events unfold, we will work to demonstrate that Mayer, Brown, Rowe & Maw
acted properly and adhered to the highest ethical standards.
The firm has no additional comment at this time.