Mr. Cuomo, New York’s Democratic governor-elect, is seeking stiffer penalties, including $26 million. While other major figures in the pension investigation had already resolved their cases and Mr. Rattner had been expected to reach a settlement with the S.E.C., the charges from the attorney general’s office amounted to a public showdown between Mr. Cuomo and a man who is not only a prominent figure on Wall Street but also a powerful Democratic fund-raiser.

Indeed, the dispute between Mr. Rattner and Mr. Cuomo has devolved in recent months into hostilities. After months of negotiations, neither camp has much to lose by digging in. Unless Mr. Rattner reaches a settlement with Mr. Cuomo — an outcome that, for now, seems unlikely — Mr. Cuomo will hand off the investigation to a new attorney general when he becomes governor in January.

Mr. Rattner lashed out at Mr. Cuomo’s office on Thursday and accused the attorney general of political grandstanding. He also took aim at the private investment company he helped found, the Quadrangle Group, which settled with Mr. Cuomo and the S.E.C. several months ago.

“I will not be bullied,” Mr. Rattner said. “This episode is the first time during 35 years in business that anyone has questioned my ethics or integrity.” He added, “I intend to clear my name by defending myself vigorously against this politically motivated lawsuit.”

Within hours, Mr. Cuomo’s office fired back, saying that Mr. Rattner had stonewalled its investigation. “Mr. Rattner now has a lot to say as he spins his friends in the press, but when he was questioned under oath about his pension fund dealings, he was much less talkative, taking the Fifth and refusing to answer questions 68 different times,” said Richard Bamberger, a spokesman for Mr. Cuomo.