Trials & Litigation

Former Dewey chairman avoids retrial with deferred prosecution deal

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Steven Davis escorted in handcuffs

Steven Davis arrives in handcuffs for the arraignment at Manhattan Criminal Court in March 2014. Photo by Reuters Carlo Allegri from the February 2015 ABA Journal.

The former chairman of Dewey & LeBoeuf has reached a deferred prosecution agreement in a case alleging that he and other law firm leaders misled lenders and bond buyers about the firm’s finances before its collapse.

Former firm chairman Steven Davis agreed not to practice law for five years in New York and to a lifetime ban on practice before the Securities and Exchange Commission, report Reuters and the New York Law Journal (sub. req.). Charges will be dropped if he successfully completes the agreement.

Davis’ lawyer, Elkan Abramowitz, said at a court hearing on Friday that his client had reached the agreement. But lawyers for two other former Dewey leaders—executive director Stephen DiCarmine and chief financial officer Joel Sanders—said they had reached no agreements with prosecutors. Their retrial is tentatively scheduled for Sept. 12.

A trial of the three defendants ended in a mistrial in October after jurors deliberated for 22 days.

Related coverage: “Jurors and others unconvinced Dewey & LeBoeuf management was a crime” “Dewey prosecution could have been handled better, DA says”

ABA Journal: “How Dewey management’s rosy picture masked an ugly truth”

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