Car Czar Canned; Steve Rattner Replaced By Ron Bloom

No, this isn't some new production of The Producers. Ron Bloom, a man with absolutely no experience in the auto industry is replacing Steve Rattner as President Obama's car czar.

Steven Rattner, head of the Obama administration’s auto task force, is leaving that post and will be replaced by former steelworkers official Ron Bloom.

The administration said Monday that Rattner decided to return to private life and his family in New York City.

Rattner won praise for the job he did managing the massive restructuring of General Motors and Chrysler. But his government service came under a cloud with an investigation of an influence peddling scandal back in New York.

Authorities have said that Rattner, an investment banker, was unlikely to face charges in the investigation which involved a giant state pension fund that provides retirement benefits for more than 1 million government employees.

The timing is rather curious. GM and Chrysler were just turned out of bankruptcy in record time given their size and complexity of their respective situations. Why did Rattner suddenly feel the need to spend more time with his family? That's usually an excuse for someone facing criminal prosecution or other ethical or legal lapses.

The AP reports that authorities say that Rattner was unlikely to face charges, but curiously enough the only authorities to have said anything were those connected with the White House. No one in law enforcement has actually said anything, particularly because Rattner is connected with ongoing investigations across the country on pension pay to play and chicanery involving the New York State Comptroller's Office.

Rattner has been on the periphery of pay to play pension scandals in New York and New Mexico, and I've been saying for some time that indictments should be expected. Those investigations have implicated Bill Richardson as well.

As a result of Rattner's company's actions, the City and State of New York have banned the use of placement agents, and the City Comptroller is looking at whether Rattner lied about his ties to Hank Morris.

So, who is replacing Rattner as Obama's car czar? Ron Bloom, who has experience in the steel industry, but who has absolutely no experience in the auto industry, and has even less experience than Steve Rattner.