Attys Wary Of Overzealous SEC In Rating Agency Push

Law360, New York (May 1, 2013, 8:33 PM EDT) -- With the U.S. Securities and Exchange Commission set to weigh new conflict-of-interest rules for credit rating firms, attorneys warn that an industry crackdown could have unintended consequences for investors.

The SEC will hold a roundtable meeting May 14 in Washington to discuss ways to eliminate conflicts among credit rating agencies that are paid by securities issuers for their ratings. The issuer-pays model has come under fire since the financial crisis, when firms registered with the SEC as Nationally Recognized Statistical Rating Organizations, or NRSROs, gave high...
To view the full article, register now.