Troubled Financier to Manage Bloomberg Fortune

New York City Mayor Michael Bloomberg has asked financier Steven Rattner to manage his fortune and philanthropic foundation, despite the tough scrutiny Rattner is facing for his role in a state and federal investigation involving kickbacks, The New York Times reports. Bloomberg's association with the financier is unexpected, as many are distancing themselves from Rattner, including the very investment firm he founded. New York Attorney General Andrew Cuomo has accused Rattner of paying kickbacks to a bureaucrat in order to nail down a state investment contract for Quadrangle, the firm Ratter once ran. (The firm has since paid $12 million to settle with the state and described Rattner's actions as “inappropriate, wrong, and unethical.”) Aides say Bloomberg continues his relationship with Rattner out of loyalty, and their friendship goes back years. The mayor is working to expand the reach of his charity. Bloomberg and Rattner declined to comment.