Law360, New York ( February 11, 2015, 10:16 AM EST) -- On Jan. 21, 2015, and Feb. 3, 2015, Standard & Poor's Financial Services LLC and its business unit, Standard & Poor's Ratings Services (together, S&P), announced a series of settlements with government regulators, including the U.S. Securities and Exchange Commission, the U.S. Department of Justice, and 22 state attorneys general. The settlements resolved claims that S&P deliberately misled investors by using deficient and compromised criteria for rating collateralized debt obligations (CDOs), residential mortgage-backed securities (RMBS), and commercial mortgage-backed securities (CMBS) contrary to its public disclosures in order to generate business from securities issuers.[1] The sanctions to which S&P agreed — including payments totaling $1.45 billion, a one-year ban from rating new issue U.S. conduit/fusion CMBS transactions, and admissions of certain facts underlying the alleged misconduct — are unprecedented for a major rating agency....
Law360 is on it, so you are, too.
A Law360 subscription puts you at the center of fast-moving legal issues, trends and developments so you can act with speed and confidence. Over 200 articles are published daily across more than 60 topics, industries, practice areas and jurisdictions.