Reuters: Judge OKs U.S. $5B Fraud Suit Against S&P



Reuters reported that U.S. District Judge David Carter in Santa Ana, CA has ruled that the U.S. government may pursue its $5 billion civil fraud lawsuit accusing Standard & Poor’s of misleading investors by inflating credit ratings.

Reuters said the lawsuit outlined in what the judge called “comprehensive detail” how the largest U.S. credit rating agency failed to downgrade its ratings for collateralized debt obligations despite “clear knowledge” that they were backed by deteriorating residential mortgage-backed securities.

To read the full Reuters article click here.

Previously on monitordaily: WSJ: U.S. Suit Against S&P Tentatively Allowed to Proceed, July 9, 2013.


Like this story? Begin each business day with news you need to know! Register now for FREE Daily E-News Broadcast and start YOUR day informed!

Leave a comment

No tags available

View Latest Digital Edition

Terry Mulreany
Subscriptions: 800 708 9373 x130
terry.mulreany@monitordaily.com
Susie Angelucci
Advertising: 484.459.3016
susie.angelucci@monitordaily.com

View Latest Digital Edition

Visit our sister website for news, information, exclusive articles,
deal tables and more on the asset-based lending, factoring,
and restructuring industries.
www.abfjournal.com