Moody's, S&P settle lawsuits over SIV investments
April 26 (Reuters) - Settlements have been reached in two long-running lawsuits seeking to hold Moody's Investors Service and Standard & Poor's responsible for misleading investors about the safety of risky debt vehicles that they rated.
The lawsuits had accused Moody's and S&P of negligent misrepresentation over their activities regarding the Cheyne and Rhinebridge structured investment vehicles.
An S&P spokesman confirmed on Friday that the cases have settled. Moody's and Morgan Stanley, which marketed both SIVs and helped structure the Rhinebridge SIV, have also settled, a person familiar with the matter said on Friday.
Moody's and Morgan Stanley did not immediately respond to requests for comment.
Trending On Reuters
We are living longer but not creating financial plans to keep pace. Advisers give tips on how to make sure you don’t outlive your money. Video