Lawyer Abbe Lowell appeared in court to at least temporarily represent jailed money manager Kenneth Starr and his wife and urged the U.S. Securities and Exchange Commission not to be “heartless.”
Lawyer Abbe Lowell appeared in court to at least temporarily represent jailed investment adviser Kenneth Starr and his wife and urged the U.S. Securities and Exchange Commission not to be “heartless.”
Lowell and Starr's wife, former stripper Diane Passage, attended a hearing today in Manhattan federal court in a civil suit against Starr and Passage brought by the SEC. At issue was whether the judge would maintain a freeze on the Starrs' assets.
Starr, 66, was arrested and charged May 27 with orchestrating a fraud scheme that prosecutors said may exceed $30 million as more victims come forward. The SEC filed its civil lawsuit the same day against Starr, Passage and New York- based Starr Investment Advisors and Starr & Co.
Lowell, who served as congressional counsel during the impeachment proceedings against then-President Bill Clinton, agreed to a four-week extension of the freeze while he prepares legal papers seeking to lift at least a portion of it. After the hearing, Lowell shared an elevator with Aurora Cassirer, the receiver for Starr's firms, and said the SEC shouldn't be so “heartless” as to deny Passage any funds.
“I don't think it's being heartless,” Cassirer responded. The agency has an obligation to recover the money people invested with Starr, he said.
“I don't think the SEC wants Ms. Passage and her son to starve,” Lowell replied as the elevator descended to the courthouse cafeteria, where the parties conferred. Passage had no comment.
Lowell, 58, is a partner at McDermott Will & Emery. He said in an interview that his continued representation of the Starrs may depend on whether the judge releases assets to pay legal fees. He said he also wants to represent Kenneth Starr, who has been jailed since his arrest, in his criminal case.
