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Department of Justice REUTERS Jonathan Ernst

Former No.2 U.S. DOJ official joins law firm in Washington

2/4/2013 COMMENTS (0)

By Casey Sullivan and David Ingram

Feb 4 (Reuters) - Gary Grindler, a former high-ranking U.S. Justice Department official who became embroiled in Operation Fast and Furious, the failed gun-trafficking probe along the U.S.-Mexico border, has rejoined his former law firm King & Spalding, the firm said on Monday.

Grindler, 62, was acting deputy U.S. attorney general and chief of staff to Attorney General Eric Holder, for most of his four years at the Justice Department.

He returns to King & Spalding as a partner in Washington, D.C., where he will specialize in government investigations with a focus on financial fraud, health care and False Claims Act cases, the firm said.

That is the same area of specialty Grindler had when he worked at the firm as a partner between 2000 and 2009.

Grindler joins a practice group led by Christopher Wray, who served as an assistant attorney general in charge of the Justice Department's Criminal Division from 2003 to 2005, where he oversaw corporate fraud probes under the George W. Bush administration.

Grindler announced his departure from the Justice Department in December, in what aides said was part of regular staff turnover as President Barack Obama prepared to begin a second four-year term.

During his tenure at the Justice Department, Grindler was criticized by congressional Republicans and a report by the department's inspector general for his involvement in Operation Fast and Furious.

The operation became a political scandal in Obama's first term, causing the U.S. attorney in Arizona and some U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) officials to resign.

In the operation, federal agents in Arizona with the ATF failed to seize about 2,000 potentially illegal firearms as they tried to build a case against traffickers who supplied Mexican drug cartels.

Grindler became aware of the operation in December 2010 when two of the 2,000 guns were found at the scene of a U.S. border agent's death, according to a September 2012 report from the Justice Department's inspector general. However, he did not immediately alert Holder about the two guns and their link to Operation Fast and Furious, the report said.

"We believe that he should have informed the attorney general as well as made an appropriate inquiry of ATF or the U.S. Attorney's Office about the connection," the report said.

Holder did not find out about Fast and Furious until January or February 2011, according to the same report.

When asked whether King & Spalding weighed Grindler's track record in the Fast and Furious operation upon re-hiring him, a firm spokesman declined to comment. Eleanor Hill, a King & Spalding partner and former inspector general to the Defense Department under President Bill Clinton, said she has "great respect" for Grindler.

Grindler also was part of the team that helped negotiate the $4.5 billion settlement filed in November between the federal government and BP Plc over the 2010 Deepwater Horizon explosion and oil spill in the Gulf of Mexico, the Justice Department said.

Grindler did not immediately respond to a request for comment through a spokesperson on Monday. Neither did Wray, the head of the government investigations practice at King & Spalding, or the managing partner of King & Spalding's Washington office.

The 127-year-old King & Spalding is headquartered in Atlanta with 800 lawyers in 17 offices worldwide. In 2011, the firm grossed $781 million.

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