Former auto czar Steve Rattner's settlement of a pay-to-play scandal is on hold.
The timing of General Motors Corp.’s initial public offering of stock has been a closely guarded, if eagerly-anticipated, secret.
But while GM officials have adamantly refused to discuss the time line for the IPO, former U.S. “auto czar” Steven Rattner may have given it away during an interview on the PBS interview program, the Charlie Rose Show.
While talking about his new book, “Overhaul,” Rattner told the host that the IPO was scheduled for November 17. So far, no one has come forward to support Rattner’s assertion but it appears to fit with the time line GM has established. GM’s current management is eager to shed the “Government Motors” tag as quickly as possible.
The Detroit Economic Club has withdrawn the invitation it had extended to former auto czar Rattner, who was previously scheduled to appear before the business group at a meeting in downtown Detroit next week. But DEC President, Beth Chappel, has canceled the invitation, DEC officials confirmed Tuesday.
“I am very sorry to inform you that we must cancel Mr. Rattner’s appearance at the Detroit Economic Club next Tuesday, October 26th.” Chappel said in an e-mail to DEC members. “We do not believe it is appropriate to proceed with this meeting, given the recent settlement between Mr. Rattner and the U.S. Securities and Exchange Commission,” Chappel said.
The DEC is one of the most prestigious public speaking venues for presidents, foreign leaders, leading American politicians and top business executives over the years.
Rattner was scheduled to discuss his book, his role as Obama’s auto czar and the process that led to the forced bankruptcy of both General Motors and Chrysler Group.
But, 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. Rattner reportedly has agreed to pay a $6 million fine and accept a two-year ban from the financial industry, according to The New York Times, where Rattner once worked as a reporter.
Rose quizzed Rattner about the possible settlement. Rattner, however, ducked the question, noting it was in the hands of his lawyers and implying that not all the details have been finalized yet. A hearing scheduled to discuss the settlement, last week, was unexpectedly cancelled and it is not clear when it will be put back on the calendar.
A settlement with the SEC would effectively end the 58-year-old Rattner’s career as a financier, making it doubtful he would ever hold a top political office again. It also could open him up to charges from other states.