Regulators never thought investors would be gullible enough to buy Hertz ‘garbage,’ Harvey Pitt says

Regulators never thought investors would be gullible enough to buy Hertz ‘garbage,’ Harvey Pitt says

The former top securities regulator for the United States said Tuesday that policymakers never considered there would be a market for bankrupt companies like Hertz to issue new stock and that, if things went poorly, investment banks could be on the hook.

Harvey Pitt, who served as chairman of the Securities and Exchange Commission under President George W. Bush, said on CNBC’s “Squawk Box”…

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