Moody’s escapes SEC fraud case

Despite finding evidence of fraud, the Washington Post says the Securities and Exchange Commission has decided it won’t charge Moody’s, one of the credit rating firms that seriously misjudged the mortgage-backed securities at the heart of financial meltdown. “The SEC said it chose not to file suit because of ‘jurisdictional’ limitations. The activities at the center of the SEC investigation took place in Europe, beyond the agency’s reach at the time,” the Post said.

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