CIT Group, the 101-year-old commercial lender that saw its funding dry up in the credit crunch, filed for bankruptcy in an effort to cut $10bn in debt following a failed debt exchange and US taxpayer bailout.

CIT listed $71bn in assets and $64.9bn in liabilities in a Chapter 11 petition yesterday in US Bankruptcy Court in Manhattan. The Treasury Department said the government probably won’t recover much, if any, of the $2.3bn in taxpayer money that went to CIT.