US Says S&P Can't Prove Fraud Case Was Retaliation

Law360, New York (March 3, 2014, 6:09 PM EST) -- The U.S. Department of Justice on Monday denied allegations that it filed a fraud suit against Standard & Poor's Financial Services LLC in retaliation for the firm's decision to downgrade the U.S. government's credit rating, saying discovery on the issue amounted to a "fishing expedition."

S&P has failed to make a sufficient showing that its 2011 downgrade was the motivation for a February 2013 suit alleging it intentionally gave inaccurate ratings to collateralized debt obligations tied to the imploding housing market in 2007, the DOJ said....
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