SEC examining S&P's decision on rating
Quotes

SEC examining S&P's decision on rating

Last Updated: Monday, June 25, 2012, 14:21
 
 Comment 0
 
SEC examining S&P's decision on rating
New York: US market regulator SEC is examining Standard & Poor's last minute decision to pull its ratings on USD 1.5 billion deal backed by commercial-real- estate loans, a media report said.

"The Securities and Exchange Commission is examining Standard & Poor's Ratings Services' 11th-hour decision to pull its ratings on a high-profile deal backed by commercial- real-estate loan," The Wall Street Journal reported citing a source.

SEC's inquiry is part of its annual review of S&P and other credit-rating firms, although in S&P's case the regulator is examining whether the rating agency used more lenient standards to rate new CMBS deals than on other outstanding deals, the daily said.

S&P hasn't been accused of any wrongdoing, it added.

The scrutiny relates to S&P's decision in July 2011 to pull its ratings on a new USD 1.5 billion CMBS (commercial- mortgage-backed security), issued by Goldman Sachs Group Inc and Citigroup Inc.

"The unusual step sent the commercial mortgage securities market into turmoil and scuttled the deal for weeks, angering investors and issuers," the daily said.

According to the publication, SEC declined to comment on the issue, while S&P spokesperson said, "like all rating agencies, is subject to annual examinations by the SEC," and "fully cooperates with such oversight".

PTI



First Published: Monday, June 25, 2012, 14:21


Comments


comments powered by Disqus
India`s top ten billionaires
India`s top ten billionaires
Pradhan Mantri Jan Dhan Yojana - In Pics
Pradhan Mantri Jan Dhan Yojana - In Pics
Apple Smartwatch unveiled
Apple Smartwatch unveiled
Apple iPhone 6, iPhone 6 plus
Apple iPhone 6, iPhone 6 plus
Samsung Galaxy Tab 4 Nook
Samsung Galaxy Tab 4 Nook

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved