Showing posts with label ratings fraud. Show all posts
Showing posts with label ratings fraud. Show all posts

Tuesday, February 3, 2015

Standard and Poors admits no guilt in the financial crisis, but pays $1.375 billion

From the story here:

On Tuesday, Standard & Poor’s (S&P), agreed to pay $1.375 billion to settle claims by the Department of Justice and multiple state governments that the ratings agency defrauded investors in the lead up to the financial crisis.

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Theoretically Standard and Poors made about $7 billion during the period in question, so the claw-back is theoretically 20%.

There are plea bargains, and then there are plea bargains.