And yet another chapter in the saga of the first hundred days of the most corrupt administration in US history.

Steven Rattner, the leader of the Obama administration's auto task force, was one of the executives involved with payments under scrutiny in a probe of an alleged kickback scheme at New York state's pension fund, according to a person familiar with the matter.
A Securities and Exchange Commission complaint says a "senior executive" of Mr. Rattner's investment firm met in 2004 with a politically connected consultant about a finder's fee. Later, the complaint says, the firm received an investment from the state pension fund and paid $1.1 million in fees.
The "senior executive," not named in the complaint, is Mr. Rattner, according to the person familiar with the matter. He is co-founder of the investment firm, Quadrangle Group, which he left to join the Treasury Department to oversee the auto task force earlier this year.

I believe that is called “pay to play” – and if this situation does not involve criminal activity it certainly skirts the line. After all, SEC probes don’t just happen – there has to be some substantive evidence to get them started. The “consultant” in this case has been credibly accused of selling access – and Rattner was meeting him and paying him, which seems to have led to a hefty profit for Rattner and his firm. Shades of Obama-buddy Tony Rezko!

In this case the mere appearance of an impropriety seems to qualify as an impropriety in and of itself.

Posted by: Greg at 10:22 AM | No Comments | Add Comment
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