S&P parent seeks to have lawsuit against rating agency tossed
The parent company of Standard & Poor's wants a federal judge to dismiss a U.S. government lawsuit that claims the ratings agency gave falsely high ratings to mortgage investments that helped trigger the financial crisis.
Attorneys for McGraw-Hill Cos. Inc. delivered their arguments in documents filed Monday in U.S. District Court in California.
The motion asserts that the U.S. government's complaint against S&P is a stretch, noting that other agencies issued ratings identical to S&P.
The U.S. filed the civil lawsuit against New York-based McGraw-Hill in February and aims to seek billions in damages.
The Justice Department claims S&P knowingly inflated its ratings because it wanted to earn more business from its lender clients whose investments it was hired to rate.
(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)