Private Equity Takes Over Lobbying

Just when you thought everyone in town was already working on behalf of private equity, they find someone else to lobby for them.

Washington-based The Carlyle Group announced today that David Marchick will join the firm as a managing director and global head of regulatory affairs. Marchick is currently a partner at Covington & Burling. He'll oversee the private equity firm's lobbying efforts.

Private equity firms threw cash at K Street during the first half of the year, seeking to avert Democrat-backed legislation that would result in paying more taxes on their profits. Companies also banded together to form a trade association, the Private Equity Council.

Carlyle's announcement didn't say whether Marchick's hiring would affect the firm's relationship with Ogilvy Government Relations. Carlyle paid Ogilvy $260,000 for lobbying services during the first half of 2007, according to lobbying disclosure records.

Comments

[Jack Payne]

Over a quarter of a million dollars is a lot to throw at a problem that will not be resolved for the next 18 months anyway. Why don't they just wait till a new (possibly) Democratic administration takes over in January, 2009, and, in the meantime, spend their money on more constructive things?

[Scott]

Any inklings as to whether other PE firms will follow suit? I think that this goes hand in hand with the fact that Carlyle is already so well connected with Congress and the Treasury Department (see article from NewsVisual: http://www.newsvisual.com/newsvisual/2007/09/click-here-fo-2.html ). Should make Marchick's job pretty easy, no?