On October 26, 2020, Wigdor LLP filed a lawsuit in New York State Supreme Court alleging that Goldman Sachs unlawfully fired in-house lawyer Marla Crawford as part of a cover-up of sexual misconduct by the investment bank’s Global Head of Litigation, Darrell Cafasso. Goldman Sachs, Mr. Cafasso and the bank’s General Counsel Karen Seymour are named Defendants in the lawsuit.
Ms. Crawford is a highly accomplished attorney with over three decades of litigation experience, including ten years at Goldman Sachs as an Associate General Counsel.
Mr. Cafasso allegedly used his position of power to romantically prey upon a much younger and vulnerable female attorney colleague, referred to in the Complaint as “Jane Doe.” Jane Doe repeatedly confided in Ms. Crawford about her quid pro quo relationship with Mr. Cafasso, according to the Complaint
As alleged, when Mr. Cafasso’s wife learned of his alleged conduct and he was forced to “come clean,” Ms. Seymour and Goldman Sachs retained Weil, Gotshal & Manges LLP to conduct a sham investigation to quickly sweep the misconduct under the rug. Ms. Seymour is alleged to have expressly told another senior lawyer that it was a “sticky situation” and concluded: “Let’s try to put this genie back in the bottle.” When Ms. Crawford attempted to tell Human Capital Management that she had information that was relevant to the investigation, the Complaint alleges that she was told to keep her mouth shut and not speak about the matter further.
Despite his unlawful, harassing and unprofessional conduct, Mr. Cafasso remains at Goldman unscathed from his conduct. As alleged, in contrast, Jane Doe was forced out of the bank and hired prominent women’s rights lawyer Gloria Allred — as part of her departure, Goldman likely forced her to agree to keep the entire matter confidential and to cooperate with Goldman should there be a need to do so in future litigation.
Ms. Crawford raised her own concerns about how the bank handled this entire matter. Mr. Cafasso then retaliated against Ms. Crawford by adding negative comments to her previously finalized performance review. After Ms. Crawford complained that this conduct was retaliatory, she was told that her bonus would be decreased for the first time in her 10-year tenure with the bank, the lawsuit alleges.
To fully get her out of the way, Ms. Crawford was fired shortly thereafter — a clear and blatant effort by the bank to get rid of an employee who spoke up against authority figures, as alleged. Ms. Crawford was initially told she could continue working at the bank through the end of November 2020; however, on October 25, 2020, when she informed Goldman through counsel that she would be commencing litigation, Goldman effectively accelerated the termination by shutting down her access to Goldman’s email and entire electronic platform, demonstrating overt retaliatory animus, the lawsuit alleges.
Wigdor LLP has filed a lawsuit alleging that top lawyers at @GoldmanSachs attempted to cover up sexual misconduct by the bank's Global Head of Litigation, Darrell Cafasso. GS's General Counsel Karen Seymour is a named Defendant in the lawsuit. #GoldmanSachs $GS pic.twitter.com/78xwNs0LFj
— WigdorLaw (@WigdorLaw) October 26, 2020
Ms. Crawford is represented by Wigdor LLP Founding Partner Douglas H. Wigdor and Partner David E. Gottlieb.
Statement from Marla Crawford:
“As a lawyer and professional, I always try to stand up for what is right. Unfortunately for Goldman’s top lawyers, that made me a liability. I will hold Goldman and its senior lawyers accountable for the blatant retaliation perpetrated against me.”
Statement from Douglas H. Wigdor and David E. Gottlieb:
“Senior lawyers at Goldman Sachs should know better than to engage in sexual harassment, cover-ups and blatant retaliation against those who have the courage to speak up. Given these allegations, it should come as no surprise that Goldman has been referred to as the villain of Wall Street.”
Read Ms. Crawford’s Open Letter: “Women Are Being Silenced at Goldman Sachs”
Financial Times
“Goldman accused of covering up sexual misconduct allegation”
October 26, 2020
Read PDF
Read Online
Business Insider
“Goldman Sachs tried to cover up sexual misconduct by one of its top lawyers, according to a lawsuit from a former employee who says she was fired for speaking out”
October 26, 2020
Read PDF
Read Online
Institutional Investor
“Lawsuit Reveals Sexual ‘Misconduct’ Allegations at Goldman Sachs”
October 26, 2020
Read PDF
Read Online
Corporate Counsel
“Suit Alleges Goldman Sachs In-House Department Covered Up Harassment by Litigation Head”
October 26, 2020
Read PDF
Read Online
New York Post
“Goldman Sachs covered up sexual misconduct of top lawyer: lawsuit”
October 27, 2020
Read PDF
Read Online
Banking Dive
“Ex-Goldman lawyer sues bank in alleged sexual misconduct cover-up”
October 27, 2020
Read PDF
Read Online
Daily Mail
“EXCLUSIVE: How ex Goldman Sachs lawyer channeled Linda Tripp and became a casualty of a disastrous affair between the bank’s Global Head of Litigation and junior colleague who confided in her every step of the way – much like Monica Lewinsky”
October 29, 2020
Read PDF
Read Online
ABA Journal
“Former Goldman Sachs lawyer says she was fired after trying to speak up about sexual misconduct”
October 29, 2020
Read PDF
Read Online
Bloomberg
“Goldman’s Chief Lawyer Departs With Senior Exits Growing at Bank”
March 2, 2021
Read PDF
Read Online
Reuters
“Goldman Sachs GC Karen Seymour returns to Sullivan & Cromwell”
March 2, 2021
Read PDF
Read Online
Corporate Counsel
“Goldman Sachs Ex-GC Karen Seymour Lands At Sullivan & Cromwell”
March 3, 2021
Read PDF
Read Online
Bloomberg
“Top Goldman Lawyers Accused of Covering Up Sexual Harassment”
October 26, 2020
Read PDF
Read Online
Reuters
“Goldman Sachs attempted to cover up sexual misconduct, lawsuit claims”
October 26, 2020
Read PDF
Read Online
Daily Mail
“Goldman Sachs ‘tried to cover up sexual misconduct claims’ against its global head of litigation who ‘used this position of power to prey upon a much younger and vulnerable female colleague'”
October 26, 2020
Read PDF
Read Online
Law360
“Fired Atty Says Goldman Buried Top Lawyer’s Sex Misconduct”
October 26, 2020
Read PDF
Read Online
Law & Crime
“Top Lawyers at Goldman Sachs Accused of Sexual Misconduct, Cover-Up and Retaliation”
October 27, 2020
Read PDF
Read Online
Dealbreaker
“People Who Helped Goldman Deal With 1MDB Scandal Create Need For Help Dealing With #metoo Scandal”
October 27, 2020
Read PDF
Read Online
City AM
“Goldman Sachs accused of covering up sexual misconduct allegation”
October 27, 2020
Read PDF
Read Online
Corporate Counsel
“Goldman Sachs Case Highlights Complications Of Investigating Legal Department Allegations”
November 2, 2020
Read PDF
Read Online
New York Post
“Goldman Sachs executive exodus gains steam as top lawyer exits”
March 2, 2021
Read PDF
Read Online
Banking Dive
“Another day, another executive departure at Goldman”
March 3, 2021
Read PDF
Read Online