U.S. securities regulators missed repeated chances to uncover Bernard Madoff’s Ponzi scheme, a sharply critical review by a federal watchdog said on Wednesday.

Read the full report below:

Dan Primack reports:

When Steve Rattner stepped down as auto czar earlier this week, Tim Geithner said the following: “Steven Rattner, whose leadership and vision were invaluable to the Auto Task Force’s efforts, has decided to transition back to private life and his family in New York City.”

Almost sounds as if he’d been just renting in DC, and that the Big Apple itch became unbearable. Except…

We’ve learned that Rattner bought a $4.35 million home in Washington D.C. just two months ago. Now why would you spend that much money – including more than $1 million up-front – if you weren’t planning a long-term stay?

Click here to read the full story and view more pictures of Rattner’s house.

More on Rattner:

Rattner leaves autos force, probe intensifies

After autos, Rattner faces next challenge

General Motors is back in bankruptcy court on Wednesday, seeking approval to sell its choice assets to a “New GM” in a plan to reinvigorate the automaker under U.S. government ownership.

Reuters reporters Emily Chasan and Phil Wahba will be filing updates from the hearing in the live headline box below and on the DealZone Twitter feed.

Reuters will be sending live updates from the Chrysler bankruptcy hearing, on the automaker’s plan to reject 789 dealership franchises, expected soon after 0830 ET. Read the updates below or follow us on Twitter.

Reuters’ Emily Chasan will be sending live updates from the third day of the Chrysler sale hearing in U.S. Bankruptcy Court on Wednesday. Read her updates on DealZone or follow the DealZone Twitter account.

Reuters’ Emily Chasan will be sending live updates from the Indiana pensioners’ challenge to Chrysler’s bankruptcy in U.S. District Court scheduled to begin at 11:30 am on Tuesday. Read her updates on DealZone or follow the DealZone Twitter account.

Reuters’ Emily Chasan will be sending live updates from the Chrysler bankruptcy hearing, scheduled to begin at 11:00 am on Wednesday. Read her updates on DealZone or follow the DealZone Twitter account.

More:

• Chrysler creditor group asks court to appoint examiner
• Terminated Chrysler dealerships to challenge sale
• Chrysler seeks OK for Daimler, Cerberus settlement
• Full Coverage: The Auto Industry

Die-hard UBS investors who have stayed with the bank through thick and thin are hoping new boss Oswald Gruebel (sitting) will return the Swiss icon to its former splendour thanks to a bitter medicine of thousands of new layoffs and heavy cost cuts announced on Wednesday.

But their patience is running out.

“The only reason why we are still with UBS is because hope dies last. But if this carries on, we will not tolerate it anymore,” said Blandina Heyne, a UBS investor for seven years, as she and her husband came to attend the bank’s annual general meeting in Zurich.

Both clients and shareholders have turned their back to Switzerland’s largest bank after the crisis forced UBS to post the biggest loss in Swiss corporate history and shares plummeted to historic lows.

Shareholder anger forced former CEO Marcel Rohner to quit in February and chairman Peter Kurer (standing) was giving his last speech on Wednesday before leaving his job after just one year of what some investors say are empty promises.

“When I was little my mother used to read me one of these bedtime stories from the Grimm’s brothers and she said they were the greatest fairytales ever written,” shareholder Rudolph Weber says.  “She got it wrong. It was Mr Kurer who wrote the greatest fairytale.”

Gruebel, a no-nonsense German who once turned around UBS’ rival Credit Suisse, told the shareholder assembly the bank would post yet another loss and announced thousands of job cuts.

“I have been with UBS for almost 20 years and never thought they would disappoint me,” said 68-year-old Christina Sutter.  “Despite all this talk of crisis I always had the impression that UBS’s “Swissness” gave it a degree of immunity.”

 - Josie Cox and Lisa Jucca

(Reuters photo: Arnd Wiegman)