Alston & Bird lands IndyMac role

Atlanta-based Alston & Bird is advising on issues surrounding collapsed US bank IndyMac.

The California bank is a longstanding client of Alston. Washington DC partner Dwight Smith is leading Alston’s team on a number of issues relating to the bank’s collapse, including the transfer of its assets to the government.

Alston is also continuing to advise the bank’s holding company IndyMac Bancorp and is expected to have a role advising the bank’s directors and executives in relation to a current investigation by the Federal Bureau of Investigation (FBI) into possible mortgage fraud.

Chadbourne & Parke counsel Karl Buch, a former assistant US attorney in the criminal division for the district of New Jersey, said Alston was likely to be conflicted out of advising any of IndyMac’s executives on a criminal investigation.

“But it is likely they will advise key individuals on sourcing counsel in relation to the FBI’s investigation,” he added.

A spokeswoman for Alston said it would not comment on client issues.

Last week (18 July), The Lawyer revealed that Thacher Proffitt & Wood had won a key role advising the Federal Deposit Insurance Corporation (FDIC), which on 11 July was named conservator.

This role, effectively as receiver, will see all of IndyMac’s non-brokered insured deposit accounts and substantially all of the assets of IndyMac transferred to the FDIC-insured institution, IndyMac Federal Bank.