Tuesday, February 3, 2015

Standard and Poors admits no guilt in the financial crisis, but pays $1.375 billion

From the story here:

On Tuesday, Standard & Poor’s (S&P), agreed to pay $1.375 billion to settle claims by the Department of Justice and multiple state governments that the ratings agency defrauded investors in the lead up to the financial crisis.

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Theoretically Standard and Poors made about $7 billion during the period in question, so the claw-back is theoretically 20%.

There are plea bargains, and then there are plea bargains.