The SEC has given a pretty good report card regarding its examinations of nationally recognized statistical rating organizations, stating there was only one mistake. This “clean bill of health” comes about a year after the SEC issued a scathing report of all NRSROs.
Although these agencies had been blamed for some of the problems that resulted in the economic meltdown, the SEC Staff noted that most NRSROs addressed the problems noted in its 2011 Report with the exception of one of the smaller NRSROs, who still had a lot of problems. The SEC noted that it would continue to monitor this segment, and seek to promote a more compliant culture with regular pronouncements.
The SEC believes these actions will stop the madness. . . oh boy.