Marcie K. Farano

Farano had a lead role in the high profile, years-long investigation into Morgan Stanley’s deceptive practices over mortgage-backed securities sold to public employees pension funds.

Morgan Stanley was sued by the California attorney general in 2016 for violating the state’s False Claims Act, corporate security law and false advertising law. Farano was the attorney general’s team leader, handling all court appearances and oversight of the case, including staff management and weekly conferences.

“I loved what I did for that case, but my colleagues who were also on the team are highly competent, proficient in their roles in discovery and drafting motions,” Farano said. “This was a team victory, 100%.”

Morgan Stanley agreed in April 2019 to pay a $150 million to the victims. Farano and her team helped secure $122 million of that settlement for the public employees’ retirement system, and $8 million for the teacher’s retirement system. People v. Morgan Stanley CGC-16-551238 (S.F. Super. Ct.).

“There were moments that were intense but I always felt bolstered by the fact that I had a team of really competent people around me. I never felt alone,” she recalled.

Being able to represent the people of the state of California puts a smile on her face, Farano said. “For me, it’s a tremendous honor,” she said.

Farano got her start representing the government as an extern in the Los Angeles County District Attorney’s Office under DA Gil Garcetti. Then she spent more than 15 years as a partner at Nixon Peabody LLP doing fraud litigation and trial work but dreamed of going back to represent the government.

Farano said she’s grateful the Justice Department hires and promotes women to senor positions.

“We have quite a few women in the False Claims unit; the majority of my colleagues in San Francisco are women,” she said. “For me, that’s been a motivator in trying to mentor young female associates.”

— Gina Kim