People: Steven White leaves J. P. Morgan for Morgan Stanley

CHICAGO - A former managing director and two other bankers in the public finance department of J. P. Morgan Securities Inc. have moved over to Morgan Stanley Dean Witter.

Steven A. White, former managing director in J. P. Morgan's public finance department, left the company late last month along with former vice president Seema Mohanty and former associate Brian T. Giebel.

White is now managing director and co-head of Morgan Stanley's infrastructure group, along with Paula Dagen, a principal at the firm. Mohanty is now vice president of Morgan Stanley's municipal capital markets area and Giebel is vice president in the public finance capital markets area, according to Andrew F. Rowley, managing director and director of public finance at Morgan Stanley.

"We have an excellent platform for them to be bankers," Rowley said. "It's going to help our group tremendously. It's great when you can find people with such terrific talent."

A market source, who asked not to be identified, characterized the moves as a "major blow" for J. P. Morgan. A spokesman for J. P. Morgan declined to comment.

Morgan Stanley ranked sixth nationwide among senior managers for all bonds in 2000 with 5% of market share, according to Thomson Financial Securities Data. J. P. Morgan ranked eighth with 4.6% of market share. It had risen from ninth with 2.4% of market share in 1999.

Meanwhile, Morgan Stanley is looking at possible layoffs in light of current market conditions. "We've told every business unit to review their expenses and head counts and decide what they need to do to maintain the profitability of the business," said Judy Hitchen, spokeswoman for Morgan Stanley. The public finance department will conduct a review like every other unit.