Lots More Thoughts on Quadrangle Situation
Busy morning over at Quadrangle Scandal Central. To sum up, before looking forward: 1. The SEC sued Quadrangle Group for its role in the New York pay-to-play scandal. Specifically, it accused Quadrangle of agreeing funneling cash to the the brother of a state pension fund official, for the production of a straight-to-DVD film called Chooch. 2. Quadrangle Group settled with the SEC, agreeing to pay $5 million in penalties. This sue/settle process apparently is standard operating procedure for the SEC, although the settlement is still subject to a judge's approval. 3. Quadrangle Group also settled with NY Attorney General Andrew Cuomo, agreeing to repay $7 million and sign a "code of conduct" which would preclude Quadrangle from using placement agents going forward. This deal did not include a settlement with Quadrangle co-founder Steve Rattner (who left last year to become Obama's car czar), whom Quadrangle called "unethical" in an official statement. Ok, them's the facts. Now some thoughts:
