The AP reports:
Rachel Paulose, the embattled U.S. attorney for Minnesota, will be leaving the post to take a position at the Justice Department in Washington, according to a Bush administration official and congressional aide.
Paulose was handpicked by the Justice Department for the U.S. Attorney post because of her personal connections. She is currently under investigation for allegations that she “mishandled classified information, decided to fire the subordinate who called it to her attention, retaliated against others in the office who crossed her, and made racist remarks about one employee.”
UPDATE: Sen. Norm Coleman (R-MN) spoke with Michael Mukasey before his confirmation as Attorney General and “expressed concerns about the allegations in the U.S. attorney’s office.” Justice Department employees, along with “prominent lawyers and law professors” in Minnesota, have also urged Mukasey to investigate Paulose’s mismanagement.
UPDATE II: Eric Black has Paulose’s resignation letter, noting that the “mood in the office is described as a combination of relief and euphoria.”