A potential conflict between lawyers at Davis Polk & Wardwell and the interests of client James McDermott may lead the indicted investment banker to retain new counsel.
On one hand is Davis Polk securities specialist Gary G. Lynch, who represented McDermott in May 1999 when he went before the board of his investment bank, Keefe, Bruyette & Woods (KBW), to say that he had passed on public, non-material information to a “friend” about mergers involving six banks that were being handled by the firm.
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