Updated 12/30/2010 10:11 PM
Rattner Agrees To Pay $10 Million To Settle Pension Fund Suit
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One of Mayor Michael Bloomberg’s lead financial advisors, Steven Rattner, has agreed to pay $10 million to settle a lawsuit over the state’s pension fund.
Attorney General Andrew Cuomo launched two lawsuits against the financier last month, accusing him of paying kickbacks to state officials in exchange for getting business with the state's lucrative pension fund.
Rattner, who led President Barack Obama’s auto task force, also agreed to a five-year ban from work in the securities industry.
Cuomo originally wanted Rattner to pay $26 million and receive a lifetime ban.
Rattner already settled another legal action with the Securities and Exchange Commission for $6 million. The settlement also bars him from acting as an investment advisor for two years.
In the settlement with Cuomo, Rattner said he was sorry.
“I apologize if during the course of this process there is anything I did that may have made reaching this agreement more difficult,” said Rattner. “I respect the work of the Attorney General and his staff to ensure that the New York State Common Retirement Fund operates properly and in the best interests of New Yorkers.”
Rattner would not talk on camera. Earlier, he had loudly accused Cuomo of going after him because of politics.