The SEC will be filing charges against Egan Jones for alleged misstatement on a four-year old regulatory application. This is another example of the administration punishing a company for not keeping in lockstep. The charges come just after Egan Jones lowered their credit rating for the United States for the second time. Never mind that the action is justified and Standard & Poor’s will be following shortly. As our credit rating is lowered, the interest rate on our Treasury Bonds will be raised in order to attract buyers. A 1% raise in interest on our debt will add $150 billion each year to our debt. This interest will be paid by the Federal Reserve Bank directing the Treasury to print more fiat currency. This action will reduce our credit rating again. Zero interest rates by the Federal Reserve must come to an end but the consequences will be severe.
Securities regulators have decided to bring an enforcement case against credit-rating agency Egan-Jones, alleging the firm made material misstatements in a 2008 regulatory application, the company’s lawyer confirmed on Thursday.
This is so pathetic, it is beyond words:
- US SEC EXPECETED TO VOTE ON POSSIBLE CHARGES AGAINST RATING FIRM EGAN JONES ON THURSDAY – RTRS
- POSSIBLE CHARGES STEM FROM ALLEGED WILFUL MISTATEMENTS ON EGAN JONES’ REGULATORY APPLICATION WITH SEC – RTRS
Egan-Jones and the credit rating agency’s founder are expected to be charged by US securities regulators for allegedly filing misleading information in its 2008 application to rate asset-backed securities and sovereign debt, according to people familiar with the matter.
The Securities and Exchange Commission has decided to file a civil action against Sean Egan and his firm for allegedly providing misleading information about the number of ratings it issued and the length of time it had rated those securities, a lawyer for Mr Egan said.