Thursday, November 18, 2010
By Kate Hinds
(Kate Hinds, Transportation Nation) GM Turns a page today, issuing a $16 billion IPO that has (as the New York Times puts it ) "Wall Street panting." But on the day the automaker crawls out its hole, the man who set the stage for the deal crawls into one.
Former auto czar Steven Rattner will pay $6.2 million as part of a settlement deal with the Securities and Exchange Commission. He has also accepted a two-year ban from the securities industry. Meanwhile, in separate proceedings, New York State Attorney General and Governor-elect Andrew Cuomo has filed two lawsuits against Rattner for $26 million dollars. Read the story at WNYC.
Richard Bamberger, Andrew Cuomo's director of communications, issued this statement: “Mr. Rattner now has a lot to say as he spins his friends in the press, but when he was questioned under oath about his pension fund dealings he was much less talkative, taking the Fifth and refusing to answer questions 68 different times. Anyone who reads the extensive facts laid out in our Complaint will understand that Rattner’s claims that he did nothing wrong are ridiculous and belied by the fact that he is paying the SEC $6 million today.”