Rattner Chrysler | TheDetroitBureau.com
Detroit Bureau on Twitter

Posts Tagged ‘rattner chrysler’

Auto Bailouts “Unambiguous Success” Despite $14 Bil Cost, Argues Rattner

Losses could narrow if GM stock regains momentum.

by on Dec.16, 2011

Former auto czar Steve Rattner.

The federal bailouts of General Motors and Chrysler were a collectively “unambiguous success,” according to the man who helped pulled the deals together – despite the likely $14 billion bill to U.S. taxpayers.

Moving fast was critical, and despite claims that it would have been easier to just let the makers go into bankruptcy on their own, former U.S. auto czar Steven Rattner told The Detroit Economic Club there was no option but to have the federal government step in considering the economy had fallen into its worst downturn since the Great Depression.

The Final Word!

White House officials, up to and including President Barack Obama, have suggested that the bailouts ultimately saved anywhere from 500,000 to as many as 1 million U.S. jobs and prevented the economy from going into a full-fledged depression.

“It’s unambiguous that it was a success,” said Rattner, who detailed the effort to save the two makers in his book, “Overhaul.”

(more…)

Former Auto Czar’s Pay-To-Play Case On Hold

Settlement delayed.

by on Oct.15, 2010

Former auto czar Steve Rattner's settlement of a pay-to-play scandal is on hold.

The Securities and Exchange Commission has postponed – temporarily – a vote to approve a preliminary settlement with Steven Rattner, the Obama administration’s former “auto czar” who was instrumental in re-shaping Detroit through a massive bailout of bankrupt makers General Motors and Chrysler.

Since leaving Washington in the summer of 2009, Rattner has been swept up in a “pay-to-play” scandal involving New York State’s public pension fund.  The SEC has been working on a settlement, but the financier remains under investigation by New York Attorney General Andrew Cuomo.

Under the proposed deal with the federal government, Rattner would pay $6 million and accept a two-year ban from the financial industry, according to The New York Times, where Rattner once worked as a reporter before launching a second career as a financier.

http://www.thedetroitbureau.com/about/subscribe

Subscribe Now!

Such a settlement with the SEC would effectively end the 58-year-old Rattner’s career as a financier and make it doubtful he would ever hold a top political office.

It is unclear why the SEC settlement hearing was postponed, and the agency has not set a subsequent date.  It is also uncertain whether a settlement deal might be in jeopardy due to the Cuomo investigation, which would not necessarily be impacted by a settlement between Rattner and the federal government.

(more…)