Professor Hillman Comments on GM Conflict of Interest for Bloomberg.com
Professor Robert Hillman commented for an article on Bloomberg.com regarding conflicts of interest that have arisen as General Motors, which is partly owned by the federal government, seeks to borrow money from Citibank Global Markets, which is an affiliate of the U.S. Treasury.
"The concern is that Citigroup will be acting to please Treasury rather than in the best interest of its customers," said Professor Hillman. "By investing any of its clients' money over which it has control in GM stock - which is in the Treasury's interest - Treasury benefits from any money that Citi invests in GM."
Professor Hillman holds the Fair Business Practices and Investor Advocacy Chair at UC Davis, and is a scholar in the fields of international transactions, securities regulation, and corporate and partnership law.