Jay Clayton Becomes Interim U.S. Attorney for Southern District of New York

Jay Clayton, former chairman of the Securities and Exchange Commission, has been appointed as interim U.S. Attorney for the Southern District of New York following a series of resignations and dismissals in the office. Clayton’s appointment bypasses the traditional Senate confirmation process, allowing him to serve for up to four months, after which federal judges could vote to confirm him permanently. The move is part of a broader shake-up, with acting U.S. Attorney Matthew Podolsky stepping down after succeeding Danielle Sassoon, who resigned in protest over the Justice Department dropping corruption charges against New York Mayor Eric Adams. Senate Democratic leader Chuck Schumer has strongly criticized the appointment, questioning its legality and the political motivations behind it. Clayton, who previously initiated the SEC’s lawsuit against Ripple, has indicated he intends to curtail crypto enforcement actions at the SDNY, a stance that has drawn scrutiny given his regulatory history. The unusual procedural tactics and Clayton's controversial past have sparked debate over the future direction and independence of the influential prosecutor's office.