Tags: WSJ | S&P | probe | Ratings

WSJ: S&P Faces More Scrutiny on Mortgage Bond Ratings

Tuesday, 17 Jan 2012 10:29 AM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

The Justice Department has stepped up its investigation of Standard & Poor's mortgage bond ratings during the financial crisis, the Wall Street Journal reported on Tuesday.

At least five former S&P analysts have been contacted by federal prosecutors in recent weeks, after some had not heard from investigators for more than six months, the newspaper said.

The McGraw-Hill Cos. Inc. unit disclosed in September it had received a Wells notice from the Securities and Exchange Commission indicating it could face civil charges for its ratings of a 2007 mortgage bond deal called Delphinus 2007-1.

It has not yet disclosed any investigation by the DOJ, which the WSJ reported is a civil probe.

Prosecutors are examining whether S&P managers pushed to weaken standards the company had set for rating the mortgage deals, and whether the company followed its established criteria in assigning ratings.

The recent interviews lasted two to three hours, and the former employees were told they would likely by contacted again, the Wall Street Journal said.

A spokesman for S&P declined comment.

© 2014 Thomson/Reuters. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

WH Weighs Quarantine for Doctors Returning from W. Africa

Friday, 24 Oct 2014 18:33 PM

The White House is considering requiring medical workers who treat Ebola overseas to be quarantined when they come back  . . .

Rep. Farenthold: Waiting on Ebola Czar Ron Klain 'Infuriating'

Friday, 24 Oct 2014 18:25 PM

With Ebola now turning up in two large American cities, and the White House's new "Ebola czar" still declining to appear . . .

Ex-Obama Counsel Ruemmler Exits Attorney General Consideration

Friday, 24 Oct 2014 17:11 PM

Former White House Counsel Kathryn Ruemmler took herself out of the running to become the next U.S. attorney general, pa . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved