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Two Justice Department officials linked to the 2006 firings of U.S. attorneys will return to Main Justice in coming months. Scott Schools, the interim U.S. attorney in California’s Northern District — who replaced former U.S. Attorney Kevin Ryan and oversaw slugger Barry Bonds’ indictment last week — will come back as an associate deputy attorney general. Schools says he will “share a similar workload” to that of veteran career attorney David Margolis in the Office of the Deputy Attorney General. Margolis, incidentally, helped put Ryan’s name on the purge list in 2006 because of morale and management complaints. While some close to Schools say that he will eventually take Margolis’ job when the latter retires, Schools says he didn’t “have any expectation” that would happen “in the near future.” “It is just wishful thinking by some,” adds Margolis, now nearing his 43rd year at Justice. “I plan to break Jack Keeney’s [47-year career] record.” Margolis looks forward to working with Schools: “He is my guy.” Meanwhile, Rachel Paulose, the U.S. attorney in Minnesota whose political ties rankled some on her staff, announced last week she’s leaving to become counselor at the Justice Department’s Office of Legal Policy. Paulose, 34, took over in Minnesota in March 2006 after U.S. Attorney Thomas Heffelfinger resigned. Heffelfinger, it was later discovered, had been on a list of U.S. attorneys targeted for dismissal. Several managers in Paulose’s office took demotions in protest when she arrived, and some threatened to quit as late last week. Paulose was a senior counsel to former Deputy Attorney General Paul McNulty and a friend of Monica Goodling, the former Justice official who used politics to vet employees. A department spokesman says Paulose’s departure from Minnesota was a “mutual” decision.
Pedro Ruz Gutierrez can be contacted at [email protected]. Dan Levine is a reporter with The Recorder , an ALM publication.

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