Head of auto task force steps down

WASHINGTON (AP) — 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.

In a statement, Treasury Secretary Timothy Geithner praised Rattner’s work on the auto industry overhaul.

“We are extremely grateful to Steve for his efforts in helping strengthen GM and Chrysler, recapitalize GMAC and support the American auto industry,” Geithner said. “I hope that he takes another opportunity to bring his unique skills to government service in the future.”

Rattner will be replaced by Bloom. He assumes leadership of the task force’s activities as the government transitions from day-to-day restructuring to “protecting the substantial investment the American taxpayers have made in GM, Chrysler and GMAC,” Geithner said.