Goldman Hires Ex-White House Counsel

Reeling from the suit the Securities and Exchange Commission filed against the firm last week, Goldman Sachs has hired a lawyer with deep Democratic connections: former White House Counsel Gregory Craig. Over the weekend, Goldman held meetings to figure out a PR strategy for dealing with the SEC’s case, which involves collateralized debt obligations sold before the housing bubble burst. Craig—who left the White House after trouble closing the Guantanamo detention facility by deadline—will likely be a key component in the firm’s counterattack, which will attempt to paint the SEC’s case as politically motivated, coming just as President Obama is pushing hard for financial regulatory reform. Goldman employees are staying off TV, instead feeding info and spin to the press as well as their many alumni working in high-level government positions. The goal is to avoid looking “arrogant.”