Mike or Anyone,
This may be the most naive question I've ever posted here. Or is may be the most insightful. I suppose for either of those reasons I will say in all my reading about the financial crisis, I've never seen this question asked:
Why aren't there lawsuits being thrown left and right by the affected banks/investment houses at the ratings agencies who painted toxic securities with AAA ratings?
My understanding is that the number of AAA rated securities that went sour are valued in the hundreds of billions of dollars, if not more. I also get the impression from the interview of Citi's CEO on Charlie Rose that AAA rated securities rarely, if ever, fail. Given that, there would seem to be some gross negligence, if not outright fraud, committed by the likes of Moody's, Fisk, and S&P. And given how lawsuit crazy this country is, it amazes me that there aren't entities lined up from here to the moon trying to get some legal payback.
craig |
