Andrew M. Cuomo, the attorney general of New York, on Thursday sued Steven L. Rattner over his role in kickbacks to secure investment business from the New York State pension fund.The WSJ is more honest in its reporting.
The attorney general filed two lawsuits, seeking at least $26 million from Mr. Rattner and a lifetime ban from the securities industry in New York. Mr. Rattner was also added to a forfeiture action against Hank Morris, a top adviser to a former New York State comptroller, Alan G. Hevesi.
The lawsuits came as the Securities and Exchange Commission announced a settlement with Mr. Rattner in which he agreed to pay $6.2 million in disgorgement and penalties. He will also be banned from “associating with any investment adviser or broker dealer” for two years.
David Rosenfeld, associate director of the S.E.C.’s New York Regional Office, said, “Rattner delivered special favors and conducted sham transactions that corrupted the Retirement Fund’s investment process.”
Mr. Rattner, the former auto czar, had appeared on CNBC earlier on Thursday to talk about the General Motors’ I.P.O.
Former Obama administration official Steven Rattner was sued by the U.S. Securities and Exchange Commission and New York Attorney General Andrew Cuomo on Thursday for his role in a pay-to-play scheme involving New York's pension fund.When will Rattner be facing criminal charges?
Mr. Rattner agreed to pay $6.2 million and to a two-year ban from associating with any investment advisor or broker-dealer to settle the SEC allegations, the SEC said Thursday.
Separately, Mr. Cuomo's office filed two lawsuits against Mr. Rattner, seeking at least $26 million from Mr. Rattner and an immediate lifetime ban from the securities industry.