David Kelley is a senior advisor to public companies, boards of directors, audit committees, and officers and directors in significant investigations and prosecutions by federal, state, and local prosecutors, and regulatory and enforcement actions involving business crime. In these matters, David typically appears in front of the Securities and Exchange Commission, Department of Justice, Department of the Treasury, Office of Foreign Assets Control, the Office of the Comptroller of the Currency, the Federal Reserve Bank, State Attorneys General, and Inspector Generals of various agencies. David also represents companies and their officers and directors in federal securities and commercial litigation as well as Congressional inquiries, and has conducted a vast array of internal investigations, including those concerning accounting fraud and irregularities, earnings management and option backdating.
Prior to joining Cahill in September 2005, David served as the U.S. Attorney for the Southern District of New York, overseeing the 255 lawyer Office and supervising some of the nation's most significant investigations and prosecutions involving white collar crime, securities fraud, international terrorism and national security issues as well as the Foreign Corrupt Practices Act and matters involving the Office of Foreign Assets Control. During his tenure, he served on the President's Corporate Fraud Task Force and the Attorney General's Advisory Committee for White Collar Crime.
David has experience practicing in a variety of industries, including insurance and financial services, healthcare, home building, retail, defense and oil and gas. He regularly advises Cahill’s banking clients in connection with due diligence of prospective acquisitions, and he served as the government appointed monitor of Biomet, Inc. in overseeing governance reforms in connection with its deferred prosecution agreement with the U.S. Attorney's Office in New Jersey. David was appointed by New York City Police Commissioner Raymond W. Kelly to the Crime Reporting Review Committee, which was created to investigate claims concerning the filing and reporting of crime complaints in New York City, and he served as Special counsel to former Governor Pataki to investigate corruption allegations against former New York State Comptroller Alan Hevesi.
Other significant recent work includes:
Foreign Corrupt Practices Act
- Representation of Wal-Mart’s Audit Committee concerning an extensive investigation by the SEC and DOJ into the Company’s global FCPA compliance and allegations of corruption.
- Representation of the Audit Committee of Qualcomm in an investigation by DOJ and the SEC, and a related internal investigation, into the Company’s FCPA compliance.
- Special Counsel to the Audit Committee of Pride International in connection with one of the largest reported FCPA settlements – and the first of its kind to not impose a Monitor.
- Representation of the Diageo Audit Committee in connection with an internal investigation and an SEC enforcement Action concerning global FCPA compliance.
Energy, Oil and Gas
- In addition to his representation of the audit committee of Pride International, David has conducted numerous multinational investigations for publicly traded companies involved in the energy, oil and gas businesses.
- Representation of HSBC Holdings plc, favorably resolving multi-year investigations by the Department of Justice, Office of Foreign Assets Control, Office of the Comptroller of the Currency, the Federal Reserve Bank, District Attorney of New York County, and the U.K. Financial Services Authority concerning various issues, including the bank's global dollar clearing services and Bank Secrecy Act compliance.
- On behalf of three other large global banks, representation of a Supervisory Chairman of the Board, a Chief Operating Officer and the Treasurer, respectively, in connection with various federal, criminal and regulatory investigations concerning dollar clearing and LIBOR.
- Representation of the Federal Reserve Bank of New York.
- Representation of a Senior Officer of Moneygram International in connection with a DOJ investigation into the Company’s compliance with the Bank Secrecy Act.
- Advised WellCare Health Care Plan Inc.'s new senior management in connection with matters relating to the consequences of alleged conduct by prior management, including matters being investigated by the FBI, SEC and DOJ.
- In addition to the WellCare representation and Biomet monitorship, David has practiced extensively in the healthcare industries, including his representation of former members of senior management of one of the world's largest pharmaceutical companies in a federal criminal investigation of off-label marketing, the settlement on behalf of a medical device manufacturer with the New York Attorney General, and has testified as an expert witness concerning healthcare fraud and the anti-kickback statute.
Securities, Accounting, and Consumer Fraud
- Representation of Standard & Poor’s in connection with the investigation by and settlement with the Attorney General of New York relating to its ratings of securities backed by subprime mortgages.
- Representation of journalists in connection with various Federal criminal investigations and related First Amendment and Federal Grand Jury litigation.
Prior to his appointment as U.S. Attorney, David served from 2002-2003 as Deputy United States Attorney, and was named on September 11, 2001 as co-chair of the Justice Department's nationwide investigation into the 9/11 attacks.
On behalf of the U.S. Attorney’s Office, David led some 25 jury trials and argued 20 cases before the U.S. Court of Appeals for the Second Circuit. He personally prosecuted or supervised cases involving white collar crime, securities fraud, terrorism, organized crime, and narcotics, including:
- Corporate Fraud: Under David's direction, the SDNY obtained convictions of Bernie Ebbers and members of the Rigas family for their respective roles in the Worldcom and Adelphia Communications accounting frauds, and conviction of Martha Stewart arising out of her trades of Imclone stock. He negotiated the deferred prosecution agreement with KPMG for fraudulent tax shelters. He supervised the indictments of KPMG employees and executives for tax fraud, of former executives of Royal Ahold's U.S. Foodservice subsidiary for accounting fraud and insider trading, and of the former CEO and COO of Impath for accounting and securities fraud.
- International Issues and Foreign Corrupt Practices Act: Under David's supervision, the SDNY obtained indictments of an oil executive and his companies and foreign associates in connection with the Iraq Oil for Food Investigation as well as participants in a kickback scheme in Kazakhstan.
- Organized Crime and Violent Gangs: As first a member and then the chief of the Organized Crime Unit, David personally investigated and prosecuted large murder and racketeering cases involving each of the five families of La Cosa Nostra, Asian gangs and other organized crime groups. He led the investigation of the Mafia's largest infiltration of Wall Street through various fraudulent securities schemes that resulted in the prosecution of a score of Mafia members and associates. He was a member of the Attorney General's Advisory Subcommittee that rewrote and revised the Attorney General's guidelines for the handling of confidential informants, and was a member of the DOJ/FBI Confidential Informant Review Committee.
- Terrorism: David led the investigations of the Millenium bombing plot and the October 2000 attack on the USS Cole in Yemen, and participated in the investigation of the 1998 bombings of the United States embassies in Kenya and Tanzania. He prosecuted Ramzi Yousef for his role in the 1993 bombing of the World Trade Center, and served as a Special Assistant U.S. Attorney in the Eastern District of Virginia acting as co-lead prosecutor of "American Taliban" John Walker Lindh.
- Congressional Investigation: While U.S. Attorney, DOJ assigned David to investigate the unauthorized computer access by Congressional staffers of confidential documents of members of the Senate Judiciary Committee. In this capacity, he was named the Acting U.S. Attorney for the District of Columbia.
Before joining the U.S. Attorney’s Office, David clerked for the Honorable T.F. Gilroy Daly of the United States District Court for the District of Connecticut. He earned his J.D. in 1986 from New York Law School and his undergraduate degree in 1981 from the College of William & Mary. While attending law school, David served as a police officer and fireman in his home township of East Hampton, New York.
David has been an adjunct professor at New York Law School, and has taught trial advocacy clinics at Harvard and Hofstra Law Schools.
David is admitted to practice in New York and Connecticut.