McHenry on SEC’s Proposed Rule for Credit Rating AgenciesPosted by Ryan Minto on June 09, 2011
Washington, D.C.-Today, Congressman Patrick McHenry (NC-10), Chairman of the Oversight Subcommittee on TARP, Financial Services and Bailouts of Public and Private Programs, issued the following remarks regarding the SEC’s proposed rule changes for credit rating agencies:
“As mortgage products were packaged and sold as securities during the boom in the housing market, the credit rating industry consistently gave undeservedly-high ratings to many of these securities. This was a significant contributor to the financial crisis that followed.
“The SEC’s proposal today is an important first step towards greater transparency and disclosure from the ratings agencies.”