SEC Puts Some Shackles On Credit Rating Industry

Law360, New York (December 4, 2008, 12:00 AM EST) -- Heeding calls for reform of the credit rating industry, the U.S. Securities and Exchange Commission has approved some new restrictions on the agencies but stopped short of instituting sweeping changes.

In an open meeting held Wednesday, the SEC approved a series of new rules regulating the Nationally Recognized Statistical Rating Organizations and Credit Ratings, which have come under fire in the wake of the subprime mortgage meltdown.

“These comprehensive rules touch every aspect of the credit rating process – from conflicts of interest, to publication of...
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